[Title 19 CFR ]
[Code of Federal Regulations (annual edition) - April 1, 2014 Edition]
[From the U.S. Government Publishing Office]
[[Page i]]
Title 19
Customs Duties
________________________
Parts 0 to 140
Revised as of April 1, 2014
Containing a codification of documents of general
applicability and future effect
As of April 1, 2014
Published by the Office of the Federal Register
National Archives and Records Administration as a
Special Edition of the Federal Register
[[Page ii]]
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[[Page iii]]
Table of Contents
Page
Explanation................................................. v
Title 19:
Chapter I--U.S. Customs and Border Protection,
Department of Homeland Security; Department of the
Treasury 3
Finding Aids:
Table of CFR Titles and Chapters........................ 939
Alphabetical List of Agencies Appearing in the CFR...... 959
Chapter I Subject Index................................. 969
List of CFR Sections Affected........................... 1087
[[Page iv]]
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Cite this Code: CFR
To cite the regulations in
this volume use title,
part and section number.
Thus, 19 CFR 0.1 refers to
title 19, part 0, section
1.
----------------------------
[[Page v]]
EXPLANATION
The Code of Federal Regulations is a codification of the general and
permanent rules published in the Federal Register by the Executive
departments and agencies of the Federal Government. The Code is divided
into 50 titles which represent broad areas subject to Federal
regulation. Each title is divided into chapters which usually bear the
name of the issuing agency. Each chapter is further subdivided into
parts covering specific regulatory areas.
Each volume of the Code is revised at least once each calendar year
and issued on a quarterly basis approximately as follows:
Title 1 through Title 16.................................as of January 1
Title 17 through Title 27..................................as of April 1
Title 28 through Title 41...................................as of July 1
Title 42 through Title 50................................as of October 1
The appropriate revision date is printed on the cover of each
volume.
LEGAL STATUS
The contents of the Federal Register are required to be judicially
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evidence of the text of the original documents (44 U.S.C. 1510).
HOW TO USE THE CODE OF FEDERAL REGULATIONS
The Code of Federal Regulations is kept up to date by the individual
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To determine whether a Code volume has been amended since its
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EFFECTIVE AND EXPIRATION DATES
Each volume of the Code contains amendments published in the Federal
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OMB CONTROL NUMBERS
The Paperwork Reduction Act of 1980 (Pub. L. 96-511) requires
Federal agencies to display an OMB control number with their information
collection request.
[[Page vi]]
Many agencies have begun publishing numerous OMB control numbers as
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PAST PROVISIONS OF THE CODE
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``[RESERVED]'' TERMINOLOGY
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(a) The incorporation will substantially reduce the volume of
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(b) The matter incorporated is in fact available to the extent
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(c) The incorporating document is drafted and submitted for
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alphabetical list of agencies publishing in the CFR are also included in
this volume.
[[Page vii]]
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Charles A. Barth,
Director,
Office of the Federal Register.
April 1, 2014.
[[Page ix]]
THIS TITLE
Title 19--Customs Duties is composed of three volumes. The first two
volumes, parts 0--140 and parts 141--199 contain the regulations in
Chapter I--U.S. Customs and Border Protection, Department of Homeland
Security; Department of the Treasury. The third volume, part 200 to end,
contains the regulations in Chapter II--United States International
Trade Commission; Chapter III--International Trade Administration,
Department of Commerce; and Chapter IV--U.S. Immigration and Customs
Enforcement, Department of Homeland Security. The contents of these
volumes represent all current regulations issued under this title of the
CFR as of April 1, 2014.
A Subject Index to Chapter I--U.S. Customs and Border Protection,
Department of Homeland Security; Department of the Treasury appears in
the Finding Aids section of the first two volumes.
For this volume, Bonnie Fritts was Chief Editor. The Code of Federal
Regulations publication program is under the direction of the Managing
Editor, assisted by Ann Worley.
[[Page 1]]
TITLE 19--CUSTOMS DUTIES
(This book contains parts 0 to 140)
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Part
chapter i--U.S. Customs and Border Protection, Department of
Homeland Security; Department of the Treasury............. 0
[[Page 3]]
CHAPTER I--U.S. CUSTOMS AND BORDER PROTECTION, DEPARTMENT OF HOMELAND
SECURITY; DEPARTMENT OF THE TREASURY
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Editorial Note: Nomenclature changes to chapter I appear by CBP Dec.
07-82, 72 FR 59167, Oct. 19, 2007.
Part Page
0 Transferred or delegated authority.......... 5
1-3 [Reserved]
4 Vessels in foreign and domestic trades...... 7
7 Customs relations with insular possessions
and Guantanamo Bay Naval Station........ 79
10 Articles conditionally free, subject to a
reduced rate, etc....................... 84
11 Packing and stamping; marking............... 428
12 Special classes of merchandise.............. 433
18 Transportation in bond and merchandise in
transit................................. 494
19 Customs warehouses, container stations and
control of merchandise therein.......... 512
24 Customs financial and accounting procedure.. 549
54 Certain importations temporarily free of
duty.................................... 605
101 General provisions.......................... 607
102 Rules of origin............................. 620
103 Availability of information................. 679
111 Customs brokers............................. 701
112 Carriers, cartmen, and lightermen........... 724
113 Customs bonds............................... 732
114 Carnets..................................... 760
115 Cargo container and road vehicle
certification pursuant to international
customs conventions..................... 765
118 Centralized examination stations............ 775
122 Air Commerce regulations.................... 780
123 CBP relations with Canada and Mexico........ 855
125 Cartage and lighterage of merchandise....... 880
127 General order, unclaimed, and abandoned
merchandise............................. 884
128 Express consignments........................ 892
132 Quotas...................................... 896
[[Page 4]]
133 Trademarks, trade names, and copyrights..... 904
134 Country of origin marking................... 921
135-140 [Reserved]
[[Page 5]]
PART 0_TRANSFERRED OR DELEGATED AUTHORITY
Sec.
0.1 Customs revenue function regulations issued under the authority of
the Departments of the Treasury and Homeland Security.
0.2 All other Customs Regulations issued under the authority of the
Department of Homeland Security.
Appendix to Part 0--Treasury Department Order No. 100-16
Authority: 5 U.S.C. 301, 6 U.S.C. 101 et seq., 19 U.S.C. 66, 19
U.S.C. 1624, 31 U.S.C. 321.
Source: CBP Dec. 03-24, 68 FR 51869, Aug. 28, 2003, unless otherwise
noted.
Sec. 0.1 Customs revenue function regulations issued under the
authority of the Departments of the Treasury and Homeland
Security.
(a) Regulations requiring signatures of Treasury and Homeland
Security. (1) By Treasury Department Order No. 100-16, set forth in the
appendix to this part, the Secretary of the Treasury has delegated to
the Secretary of Homeland Security the authority to prescribe all CBP
regulations relating to customs revenue functions, except that the
Secretary of the Treasury retains the sole authority to approve such CBP
regulations concerning subject matters listed in paragraph 1(a)(i) of
the order. Regulations for which the Secretary of the Treasury retains
the sole authority to approve will be signed by the Secretary of
Homeland Security (or his or her DHS delegate), and by the Secretary of
the Treasury (or his or her Treasury delegate) to indicate approval.
(2) When a regulation described in paragraph (a)(1) of this section
is published in the Federal Register, the preamble of the document
accompanying the regulation will clearly indicate that it is being
issued in accordance with paragraph (a)(1) of this section.
(b) Regulations with respect to which the Department of Homeland
Security is authorized to sign for the Department of the Treasury. (1)
By Treasury Department Order No. 100-16, set forth in the appendix to
this part, the Secretary of the Treasury delegated to the Secretary of
Homeland Security the authority to prescribe and approve regulations
relating to customs revenue functions on behalf of the Secretary of the
Treasury when the subject matter of the regulations is not listed in
paragraph 1(a)(i) of the order. Such regulations are the official
regulations of both Departments notwithstanding that they are not signed
by an official of the Department of the Treasury. These regulations will
be signed by the Secretary of Homeland Security (or his or her DHS
delegate).
(2) When a regulation described in paragraph (b)(1) of this section
is published in the Federal Register, the preamble of the document
accompanying the regulation will clearly indicate that it is being
issued in accordance with paragraph (b)(1) of this section.
(c) Sole signature by Secretary of the Treasury. (1) Pursuant to
Treasury Department Order No. 100-16, set forth in the appendix to this
part, the Secretary of the Treasury reserves the right to promulgate
regulations related to the customs revenue functions. Such regulations
are signed by the Secretary of the Treasury (or his or her delegate)
after consultation with the Secretary of Homeland Security (or his or
her delegate), and are the official regulations of both Departments.
(2) When a regulation described in paragraph (c)(1) of this section
is published in the Federal Register, the preamble of the document
accompanying the regulation will clearly indicate that the regulation is
being issued in accordance with paragraph (c)(1) of this section.
[CBP Dec. 03-24, 68 FR 51869, Aug. 28, 2003, as amended at CBP Dec. 08-
25, 73 FR 40724, July 16, 2008]
Sec. 0.2 All other CBP regulations issued under the authority of the
Department of Homeland Security.
(a) The authority of the Secretary of the Treasury with respect to
CBP regulations that are not related to customs revenue functions was
transferred to the Secretary of Homeland Security pursuant to section
403(1) of the Homeland Security Act of 2002. Such regulations are signed
by the Secretary of Homeland Security (or his or her delegate) and are
the official regulations of the Department of Homeland Security.
[[Page 6]]
(b) When a regulation described in paragraph (a) of this section is
published in the Federal Register, the preamble accompanying the
regulation shall clearly indicate that it is being issued in accordance
with paragraph (a) of this section.
[CBP Dec. 03-24, 68 FR 51869, Aug. 28, 2003, as amended at CBP Dec. 08-
25, 73 FR 40724, July 16, 2008]
Appendix to 19 CFR Part 0--Treasury Department Order No. 100-16
Delegation from the Secretary of the Treasury to the Secretary of
Homeland Security of general authority over Customs revenue functions
vested in the Secretary of the Treasury as set forth in the Homeland
Security Act of 2002.
Treasury Department, Washington, DC,
May 15, 2003.
By virtue of the authority vested in me as the Secretary of the
Treasury, including the authority vested by 31 U.S.C. 321(b) and section
412 of the Homeland Security Act of 2002 (Pub. L. 107-296) (Act), it is
hereby ordered:
1. Consistent with the transfer of the functions, personnel, assets,
and liabilities of the United States Customs Service to the Department
of Homeland Security as set forth in section 403(1) of the Act, there is
hereby delegated to the Secretary of Homeland Security the authority
related to the Customs revenue functions vested in the Secretary of the
Treasury as set forth in sections 412 and 415 of the Act, subject to the
following exceptions and to paragraph 6 of this Delegation of Authority:
(a)(i) The Secretary of the Treasury retains the sole authority to
approve any regulations concerning import quotas or trade bans, user
fees, marking, labeling, copyright and trademark enforcement, and the
completion of entry or substance of entry summary including duty
assessment and collection, classification, valuation, application of the
U.S. Harmonized Tariff Schedules, eligibility or requirements for
preferential trade programs, and the establishment of recordkeeping
requirements relating thereto. The Secretary of Homeland Security shall
provide a copy of all regulations so approved to the Chairman and
Ranking Member of the Committee on Ways and Means and the Chairman and
Ranking Member of the Committee on Finance every six months.
(ii) The Secretary of the Treasury shall retain the authority to
review, modify, or revoke any determination or ruling that falls within
the criteria set forth in paragraph 1(a)(i), and that is under
consideration pursuant to the procedures set forth in sections 516 and
625(c) of the Tariff Act of 1930, as amended (19 U.S.C. 1516 and
1625(c)). The Secretary of Homeland Security periodically shall identify
and describe for the Secretary of the Treasury such determinations and
rulings that are under consideration under sections 516 and 625(c) of
the Tariff Act of 1930, as amended, in an appropriate and timely manner,
with consultation as necessary, prior to the Secretary of Homeland
Security's exercise of such authority. The Secretary of Homeland
Security shall provide a copy of these identifications and descriptions
so made to the Chairman and Ranking Member of the Committee on Ways and
Means and the Chairman and Ranking Member of the Committee on Finance
every six months. The Secretary of the Treasury shall list any case
where Treasury modified or revoked such a determination or ruling.
(b) Paragraph 1(a) notwithstanding, if the Secretary of Homeland
Security finds an overriding, immediate, and extraordinary security
threat to public health and safety, the Secretary of Homeland Security
may take action described in paragraph 1(a) without the prior approval
of the Secretary of the Treasury. However, immediately after taking any
such action, the Secretary of Homeland Security shall certify in writing
to the Secretary of the Treasury and to the Chairman and Ranking Member
of the Committee on Ways and Means and the Chairman and Ranking Member
of the Committee on Finance the specific reasons therefor. The action
shall terminate within 14 days or as long as the overriding, immediate,
and extraordinary security threat exists, whichever is shorter, unless
the Secretary of the Treasury approves the continued action and provides
notice of such approval to the Secretary of Homeland Security.
(c) The Advisory Committee on Commercial Operations of the Customs
Service (COAC) shall be jointly appointed by the Secretary of the
Treasury and the Secretary of Homeland Security. Meetings of COAC shall
be presided over jointly by the Secretary of the Treasury and the
Secretary of Homeland Security. The COAC shall advise the Secretary of
the Treasury and the Secretary of Homeland Security jointly.
2. Any references in this Delegation of Authority to the Secretary
of the Treasury or the Secretary of Homeland Security are deemed to
include their respective delegees, if any.
3. This Delegation of Authority is not intended to create or confer
any right, privilege, or benefit on any private person, including any
person in litigation with the United States.
4. Treasury Order No. 165-09, ``Maintenance of delegation in respect
to general authority over Customs Revenue functions vested in the
Secretary of the Treasury, as set forth and defined in the Homeland
Security Act of 2002,'' dated February 28, 2003, is rescinded. To the
extent this Delegation of Authority
[[Page 7]]
requires any revocation of any other prior Order or Directive of the
Secretary of the Treasury, such prior Order or Directive is hereby
revoked.
5. This Delegation of Authority is effective May 15, 2003. This
Delegation is subject to review on May 14, 2004. By March 15, 2004, the
Secretary of the Treasury and the Secretary of Homeland Security shall
consult with the Chairman and Ranking Member of the Committee on Ways
and Means and the Chairman and Ranking Member of the Committee on
Finance to discuss the upcoming review of this Delegation.
6. The Secretary of the Treasury reserves the right to rescind or
modify this Delegation of Authority, promulgate regulations, or exercise
authority at any time based upon the statutory authority reserved to the
Secretary by the Act.
John W. Snow, Secretary of the Treasury.
PARTS 1-3 [RESERVED]
PART 4_VESSELS IN FOREIGN AND DOMESTIC TRADES
Arrival and Entry of Vessels
Sec.
4.0 General definitions.
4.1 Boarding of vessels; cutter and dock passes.
4.2 Reports of arrival of vessels.
4.3 Vessels required to enter; place of entry.
4.3a Penalties for violation of vessel reporting and entry
requirements.
4.4 Panama Canal; report of arrival required.
4.5 Government vessels.
4.6 Departure or unlading before report or entry.
4.7 Inward foreign manifest; production on demand; contents and form;
advance filing of cargo declaration.
4.7a Inward manifest; information required; alternative forms.
4.7b Electronic passenger and crew arrival manifests.
4.7c Vessel stow plan.
4.7d Container status messages.
4.8 Preliminary entry.
4.9 Formal entry.
4.10 Request for overtime services.
4.11 Sealing of stores.
4.12 Explanation of manifest discrepancy.
4.13 [Reserved]
4.14 Equipment purchases for, and repairs to, American vessels.
4.15 Fishing vessels touching and trading at foreign places.
4.16 [Reserved]
4.17 Vessels from discriminating countries.
Tonnage Tax and Light Money
4.20 Tonnage taxes.
4.21 Exemptions from tonnage taxes.
4.22 Exemptions from special tonnage taxes.
4.23 Certificate of payment and cash receipt.
4.24 Application for refund of tonnage tax.
Landing and Delivery of Cargo
4.30 Permits and special licenses for unlading and lading.
4.31 Unlading or transshipment due to casualty.
4.32 Vessels in distress, landing of cargo.
4.33 Diversion of cargo.
4.34 Prematurely discharged, overcarried, and undelivered cargo.
4.35 Unlading outside port of entry.
4.36 Delayed discharge of cargo.
4.37 General order.
4.38 Release of cargo.
4.39 Stores and equipment of vessels and crews' effects; unlading or
lading and retention on board.
4.40 Equipment, etc., from wrecked or dismantled vessels.
4.41 Cargo of wrecked vessel.
Passengers on Vessels
4.50 Passenger lists.
4.51 Reporting requirements for individuals arriving by vessel.
4.52 Penalties applicable to individuals.
Foreign Clearances
4.60 Vessels required to clear.
4.61 Requirements for clearance.
4.62 Accounting for inward cargo.
4.63 Outward cargo declaration; shippers' export declarations.
4.64 Electronic passenger and crew member departure manifests.
4.65 Verification of nationality and tonnage.
4.65a Load lines.
4.66 Verification of inspection.
4.66a Illegal discharge of oil and hazardous substances.
4.66b Pollution of coastal and navigable waters.
4.66c Oil pollution by oceangoing vessels.
4.67 Closed ports or places.
4.68 Federal Maritime Commission certificates for certain passengers
vessels.
4.69 Shipping articles.
4.70 Public Health Service requirements.
4.71 Inspection of livestock.
4.72 Inspection of meat, meat-food products, and inedible fats.
4.73 Neutrality; exportation of arms and munitions.
4.74 Transportation orders.
4.75 Incomplete manifest; incomplete export declarations; bond.
4.76 Procedures and responsibilities of carriers filing outbound vessel
manifest information via the AES.
[[Page 8]]
Coastwise Procedure
4.80 Vessels entitled to engage in coastwise trade.
4.80a Coastwise transportation of passengers.
4.80b Coastwise transportation of merchandise.
4.81 Reports of arrivals and departures in coastwise trade.
4.81a Certain barges carrying merchandise transferred from another
barge.
4.82 Touching at foreign port while in coastwise trade.
4.83 Trade between United States ports on the Great Lakes and other
ports of the United States.
4.84 Trade with noncontiguous territory.
4.85 Vessels with residue cargo for domestic ports.
4.86 Intercoastal residue--cargo procedure; optional ports.
4.87 Vessels proceeding foreign via domestic ports.
4.88 Vessels with residue cargo for foreign ports.
4.89 Vessels in foreign trade proceeding via domestic ports and
touching at intermediate foreign ports.
4.90 Simultaneous vessel transactions.
4.91 Diversion of vessel; transshipment of cargo.
4.92 Towing.
4.93 Coastwise transportation by certain vessels of empty vans, tanks,
and barges, equipment for use with vans and tanks; empty
instruments of international traffic; stevedoring equipment
and material; procedures.
General
4.94 Yacht privileges and obligations.
4.94a Large yachts imported for sale.
4.95 Records of entry and clearance of vessels.
4.96 Fisheries.
4.97 Salvage vessels.
4.98 Navigation fees.
4.99 Forms; substitution.
4.100 Licensing of vessels of less than 30 net tons.
4.101 Prohibitions against Customs officers and employees.
Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1431, 1433, 1434, 1624, 2071
note; 46 U.S.C. 501, 60105.
Section 4.1 also issued under 19 U.S.C. 1581(a); 46 U.S.C. 60101;
Section 4.2 also issued under 19 U.S.C. 1441, 1486;
Section 4.3 also issued under 19 U.S.C. 288, 1441;
Section 4.3a also issued under 19 U.S.C. 1433, 1436;
Section 4.5 also issued under 19 U.S.C. 1441;
Section 4.7 also issued under 19 U.S.C. 1581(a);
Section 4.7a also issued under 19 U.S.C. 1498, 1584;
Section 4.7b also issued under 8 U.S.C. 1101, 1221;
Sections 4.7c and 4.7d also issued under 6 U.S.C. 943.
Section 4.8 also issued under 19 U.S.C. 1448, 1486;
Section 4.9 also issued under 42 U.S.C. 269;
Section 4.10 also issued under 19 U.S.C. 1448, 1451;
Section 4.12 also issued under 19 U.S.C. 1584;
Section 4.14 also issued under 19 U.S.C. 1466, 1498; 31 U.S.C. 9701.
Section 4.20 also issued under 46 U.S.C. 2107(b), 8103, 14306,
14502, 14511-14513, 14701, 14702, 60301-60306, 60312;
Section 4.21 also issued under 19 U.S.C. 1441; 46 U.S.C. 60301-
60310, 60312;
Section 4.22 also issued under 46 U.S.C. 60301, 60302, 60303, 60304,
60305, 60306, 60312, 60503;
Section 4.24 also issued under 46 U.S.C. 2108;
Section 4.30 also issued under 19 U.S.C. 288, 1446, 1448, 1450-1454,
1490;
Section 4.31 also issued under 19 U.S.C. 1453, 1586;
Section 4.32 also issued under 19 U.S.C. 1449;
Section 4.35 also issued under 19 U.S.C. 1447;
Section 4.36 also issued under 19 U.S.C. 1431, 1457, 1458; 46 U.S.C.
60107;
Section 4.37 also issued under 19 U.S.C. 1448, 1457, 1490;
Section 4.38 also issued under 19 U.S.C. 1448, 1505;
Section 4.39 also issued under 19 U.S.C. 1446;
Section 4.40 also issued under 19 U.S.C. 1446;
Section 4.50 also issued under 19 U.S.C. 1431; 46 U.S.C. 3502;
Section 4.51 also issued under 19 U.S.C. 1433;
Section 4.52 also issued under 19 U.S.C. 1433;
Section 4.61 also issued under 46 U.S.C. 12101, 12120, 12132, 55102,
55105-55108, 55110, 55115-55117, 55119;
Section 4.64 also issued under 8 U.S.C. 1221;
Section 4.65a also issued under 46 U.S.C. 5101-5102, 5106-5109,
5112-5114, 5116;
Section 4.66 also issued under 46 U.S.C. 60105;
Section 4.66a also issued under 33 U.S.C. 1321; 46 U.S.C. 60105;
Section 4.66b also issued under 33 U.S.C. 407, 1321;
Section 4.68 also issued under 46 U.S.C. 44101-44106;
Section 4.69 also issued under 46 U.S.C. 10301, 10302, 10314, and
10315.
Section 4.74 also issued under 46 U.S.C. 60105;
[[Page 9]]
Section 4.75 also issued under 46 U.S.C. 60105;
Sections 4.80, 4.80a, and 4.80b also issued under 19 U.S.C. 1706a;
28 U.S.C. 2461 note; 46 U.S.C. 12112, 12117, 12118, 50501-55106, 55107,
55108, 55110, 55114, 55115, 55116, 55117, 55119, 56101, 55121, 56101,
57109; Pub. L. 108-7, Division B, Title II,Sec. 211;
Section 4.81 also issued under 19 U.S.C. 1442, 1486; 46 U.S.C.
12101, 12120, 12132, 55102, 55105-55108, 55110, 55114-55117, 55119;
Section 4.81a also issued under 46 U.S.C. 12101, 12120, 12132,
55102, 55105-55108, 55110, 55114-55117, 55119;
Section 4.82 also issued under 19 U.S.C. 293, 294; 46 U.S.C. 60308;
Section 4.83 also issued under 46 U.S.C. 60105, 60308;
Section 4.84 also issued under 46 U.S.C. 12118;
Section 4.85 also issued under 19 U.S.C. 1442, 1623;
Section 4.86 also issued under 19 U.S.C. 1442;
Section 4.88 also issued under 19 U.S.C. 1442, 1622, 1623;
Section 4.92 also issued under 28 U.S.C. 2461 note; 46 U.S.C. 55111;
Section 4.93 also issued under 19 U.S.C. 1322(a); 46 U.S.C. 12101,
12120, 12132, 55102, 55105-55108, 55110, 55114-55117, 55119;
Section 4.94 also issued under 19 U.S.C. 1441; 46 U.S.C. 60504;
Section 4.94a also issued under 19 U.S.C. 1484b;
Section 4.96 also issued under 46 U.S.C. 12101(a)(1), 12108, 55114;
Section 4.98 also issued under 31 U.S.C. 9701;
Section 4.100 also issued under 19 U.S.C. 1706.
Source: 28 FR 14596, Dec. 31, 1963, unless otherwise noted.
Arrival and Entry of Vessels
Sec. 4.0 General definitions.
For the purposes of this part:
(a) Vessel. The word vessel includes every description of water
craft or other contrivance used or capable of being used as a means of
transportation on water, but does not include aircraft. (19 U.S.C.
1401.)
(b) Vessel of the United States. The term vessel of the United
States means any vessel documented under the laws of the United States.
(c) Documented. The term documented vessel means a vessel for which
a valid Certificate of Documentation, form CG 1270, issued by the U.S.
Coast Guard is outstanding. Upon qualification and proper application to
the appropriate Coast Guard office, the Certificate of Documentation may
be endorsed with a: (1) Registry endorsement (generally, available to a
vessel to be employed in foreign trade, trade with Guam, American Samoa,
Wake, Midway, or Kingman Reef, and other employments for which another
endorsement is not required), (2) coastwise endorsement (generally,
entitles a vessel to employment in the coastwise trade, and other
employments for which another endorsement is not required), (3) fishery
endorsement (generally, subject to federal and state laws regulating the
fisheries, entitles a vessel to fish within the Exclusive Economic Zone
(16 U.S.C. 1811) and landward of that zone and to land its catch) or (4)
recreational endorsement (entitles a vessel to recreational use only).
Any other terminology used elsewhere in this part to describe the
particular documentation of a vessel shall be read as synonymous with
the applicable terminology contained in this paragraph. Generally, any
vessel of at least 5 net tons and wholly owned by a United States
citizen or citizens is eligible for documentation except that for a
coastwise, or fisheries endorsement a vessel must also be built in the
United States. Detailed Coast Guard regulations on documentation are set
forth in Title 46, Code of Federal Regulations, Sec. 67.01-67.45.
(d) Noncontiguous territory of the United States. The term
noncontiguous territory of the United States includes all the island
territories and possessions of the United States, but does not include
the Canal Zone.
(e) Citizen. The word citizen is as defined by the U.S. Coast Guard
for purposes of vessel documentation (see subpart 67.03 of title 46,
Code of Federal Regulations.)
(f) Arrival of a vessel. The phrase ``arrival of a vessel'' means
that time when the vessel first comes to rest, whether at anchor or at a
dock, in any harbor within the Customs territory of the U.S.
(g) Departure of a vessel. The phrase ``departure of a vessel''
means that time when the vessel gets under way on its outward voyage and
proceeds on the voyage without thereafter coming to
[[Page 10]]
rest in the harbor from which it is going.
[T.D. 69-266, 34 FR 20422, Dec. 31, 1969, as amended by T.D. 83-214, 48
FR 46511, Oct. 13, 1983; T.D. 93-78, 58 FR 50256, Sept. 27, 1993; T.D.
93-96, 58 FR 67315, Dec. 21, 1993; CBP Dec. 08-25, 73 FR 40725, July 16,
2008]
Sec. 4.1 Boarding of vessels; cutter and dock passes.
(a) Every vessel arriving at a Customs port will be subject to such
supervision while in port as the port director considers necessary. The
port director may detail Customs officers to remain on board a vessel to
secure enforcement of the requirements set forth in this part. Customs
may determine to board as many vessels as considered necessary to ensure
compliance with the laws it enforces.
---------------------------------------------------------------------------
\1-27\ [Reserved]
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(b)(1) No person, with or without the consent of the master, except
a pilot in connection with the navigation of the vessel, personnel from
another vessel in connection with the navigation of an unmanned barge,
an officer of Customs or the Coast Guard, an immigration or health
officer, an inspector of the Animal and Plant Health Inspection Service
of the U.S. Department of Agriculture, or an agent of the vessel or
consular officer exclusively for purposes relating to Customs
formalities, shall go on board any vessel arriving from outside the
Customs territory of the United States without permission of the port
director or the Customs officer in charge until the vessel has been
taken in charge by a Customs officer.
(2) A person may leave the vessel for the purpose of reporting its
arrival as required by law (see Sec. 4.2), but no other person, except
those designated in paragraph (b)(1) of this section, shall leave any
vessel arriving from outside the Customs territory of the United States,
with or without the consent of the master, without the permission of the
port director or the Customs officer in charge until the vessel has been
properly inspected by Customs and brought into the dock or anchorage at
which cargo is to be unladen and until all passengers have been landed
from the vessel (19 U.S.C. 1433).
(3) Every person permitted to go on board or to leave without the
consent of a Customs officer under the provisions of this paragraph
shall be subject to Customs and quarantine regulations.
(4) The master of any vessel shall not authorize the boarding or
leaving of his vessel by any person in violation of this paragraph.
(c) A port director, in his discretion may issue a cutter pass on
Customs Form 3093 to permit the holder to board an incoming vessel after
it has been inspected by the quarantine authorities and taken in charge
by an officer of the Customs, as follows: (1) To persons on official
business; (2) to news reporters, newspaper photographers, photographers
of established motionpicture companies, and broadcasters of established
radio broadcasting cmmpanies; and (3) in cases of special exigency in
which the port director is satisfied as to the urgent need for the
boarding and that its allowance will not result in undue interference
with the performance of official business.
(d) No person in charge of a tugboat, rowboat, or other vessel shall
bring such conveyance alongside an incoming vessel heretofore described
and put on board thereof any person, except as authorized by law or
regulations.
(e) [Reserved]
(f) Term cutter and dock passes, for a period of not to exceed one
year, may be issued in the discretion of the port director, to persons
on official business and to duly accredited news reporters and newspaper
photographers. Passes are not transferable and shall be forfeited upon
presentation by others than those to whom issued.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 78-141, 43 FR 22174, May
24, 1978; T.D. 82-224, 47 FR 35475, Aug. 16, 1982; T.D. 92-74, 57 FR
35751, Aug. 11, 1992; T.D. 95-77, 60 FR 50010, Sept. 27, 1995; T.D. 00-
4, 65 FR 2872, Jan. 19, 2000]
Sec. 4.2 Reports of arrival of vessels.
(a) Upon arrival in any port or place within the U.S., including,
for purposes of this section, the U.S. Virgin Islands, of any vessel
from a foreign port or place, any foreign vessel from a port or place
within the U.S., or any vessel of
[[Page 11]]
the U.S. carrying foreign merchandise for which entry has not been made,
the master of the vessel must immediately report that arrival to the
nearest CBP facility or other location designated by the port director.
The report of arrival, except as supplemented in local instructions
issued by the port director and made available to interested parties by
posting in CBP offices, publication in a newspaper of general
circulation, and other appropriate means, may be made by any means of
communication to the port director or to a CBP officer assigned to board
the vessel. The CBP officer may require the production of any documents
or papers deemed necessary for the proper inspection/examination of the
vessel, cargo, passenger, or crew.
(b) For purposes of this part, ``foreign port or place'' includes a
hovering vessel, as defined in 19 U.S.C. 1401(k), and any point in
customs waters beyond the territorial sea or on the high seas at which a
vessel arriving in a port or place in the U.S. has received merchandise.
(c) In the case of certain vessels arriving either in distress or
for the limited purpose of taking on certain supplies and departing
within a 24-hour time period without having landed or taken on any
passengers or other merchandise (see section 441(4), Tariff Act of 1930,
as amended), the report must be filed by either the master, owner, or
agent, and must be in the form and give the information required by that
statute, except that the report need not be under oath. A derelict
vessel will be considered one in distress and any person bringing it
into port must report its arrival.
(d) The report of baggage and merchandise required to be made by
certain passenger vessels making three or more trips a week between U.S.
and foreign ports and vessels used exclusively as ferryboats carrying
passengers, baggage, or merchandise (see section 441(2), Tariff Act of
1930, as amended), is in addition to the required report of arrival, and
must be made within 24 hours of arrival.
[T.D. 93-96, 58 FR 67315, Dec. 21, 1993, as amended by T.D. 94-44, 59 FR
23795, May 9, 1994; CBP Dec. 10-33, 75 FR 69585, Nov. 15, 2010]
Sec. 4.3 Vessels required to enter; place of entry.
(a) Formal entry required. Unless specifically excepted by law,
within 48 hours after the arrival at any port or place in the United
States, the following vessels are required to make formal entry:
(1) Any vessel from a foreign port or place;
(2) Any foreign vessel from a domestic port;
(3) Any vessel of the United States having foreign merchandise on
board for which entry has not been made; or
(4) Any vessel which has visited a hovering vessel as defined in 19
U.S.C. 1401(k), or has delivered or received merchandise or passengers
while outside the territorial sea.
(b) Completion of entry. (1) When vessel entry is to be made at the
customhouse, either the master, licensed deck officer, or purser may
appear in person during regular working hours to complete preliminary or
formal vessel entry; or necessary documents properly executed by the
master or other authorized officer may be delivered at the customhouse
by the vessel agent or other personal representative of the master.
(2) The appropriate CBP port director may permit the entry of
vessels to be accomplished at locations other than the customhouse, and
services may be requested outside of normal business hours. CBP may take
local resources into consideration in allowing formal entry to be
transacted on board vessels or at other mutually convenient approved
sites and times within or outside of port limits. When services are
requested to be provided outside the limits of a CBP port, the
appropriate port director to whom an application must be submitted is
the director of the port located nearest to the point where the proposed
services would be provided. That port director must be satisfied that
the place designated for formal entry will be sufficiently under CBP
control at the time of entry, and that the expenses incurred by CBP will
be reimbursed as authorized. It may be required that advance notice of
vessel arrival be given as a condition for granting requests for
optional entry locations. A master, owner, or agent of a
[[Page 12]]
vessel who desires that entry be made at an optional location will file
with the appropriate port director an application on CBP Form 3171 and a
single entry or continuous bond on CBP Form 301 containing the bond
conditions set forth in Sec. 113.64 of this chapter, in such amount as
that port director deems appropriate but not less than $1,000. If the
application is approved, the port director or a designated CBP officer
will formally enter the vessel. Nothing in this paragraph relieves any
person or vessel from any requirement as to how, when and where they are
to report, be inspected or receive clearance from other Federal agencies
upon arrival in the United States.
[T.D. 00-4, 65 FR 2872, Jan. 19, 2000, as amended at CBP Dec. 10-33, 75
FR 69585, Nov. 15, 2010]
Sec. 4.3a Penalties for violation of vessel reporting and entry
requirements.
Violation of the arrival or entry reporting requirements provided
for in this part may result in the master being liable for certain civil
and criminal penalties, as provided under 19 U.S.C. 1436, in addition to
other penalties applicable under other provisions of law. The penalties
include civil monetary penalties for failure to report arrival or make
entry, and any conveyance used in connection with any such violation is
subject to seizure and forfeiture. Further, if any merchandise (other
than sea stores or the equivalent for conveyances other than a vessel)
is involved in the failure to report arrival or entry, additional
penalties equal to the value of merchandise may be imposed, and the
merchandise may be seized and forfeited unless properly entered by the
importer or consignee. The criminal penalties, applicable upon
conviction, include fines and imprisonment if the master intentionally
commits any violation of these reporting and entry requirements or if
prohibited merchandise is involved in the failure to report arrival or
make entry.
[T.D. 93-96, 58 FR 67316, Dec. 21, 1993]
Sec. 4.4 Panama Canal; report of arrival required.
Vessels which merely transit the Panama Canal without transacting
any business there shall be required to report their arrival because of
such transit. The report of arrival shall be made in accordance with
Sec. 4.2(a).
[T.D. 79-276, 44 FR 61956, Oct. 29, 1979]
Sec. 4.5 Government vessels.
(a) No report of arrival or entry shall be required of any vessel
owned by, or under the complete control and management of the United
States or any of its agencies, if such vessel is manned wholly by
members of the uniformed services of the United States, by personnel in
the civil service of the United States, or by both, and is transporting
only property of the United States or passengers traveling on official
business of the United States, or it is ballast. In addition, any vessel
chartered by, and transporting only cargo that is the property of, the
U.S. Department of Defense (DoD) will be treated as a Government vessel
for the purpose of being exempt from entry, where the DoD-chartered
vessel is manned entirely by the civilian crew of the vessel carrier
under contract to DoD. Notwithstanding Sec. 4.60(b)(3) of this part,
such DoD-chartered vessel is not exempt from vessel clearance
requirements. However, if any cargo is on board, the master or commander
of each such vessel arriving from abroad shall file a Cargo Declaration,
Customs Form 1302, or an equivalent form issued by the Department of
Defense, in duplicate. The original of each Cargo Declaration or
equivalent form required under this paragraph shall be filed with the
port director within 48 hours after the arrival of the vessel. The other
copy shall be made available for use by the discharging inspector at the
pier. See Sec. 148.73 of this chapter with respect to baggage on
carriers operated by the Department of Defense.
(b) The arrival of every vessel owned or controlled and manned as
described in paragraph (a) of this section but transporting other
property or passengers, and every vessel so owned or controlled but not
so manned, whether in ballast or transporting cargo or passengers, shall
be reported in accordance with Sec. 4.2 and the vessel shall be entered
in accordance with Sec. 4.9.
(c) Every vessel owned by, or under the complete control and
management of, any foreign nation shall be exempt
[[Page 13]]
from or subject to the laws relating to report of arrival and entry
under the same conditions as a vessel owned or controlled by the United
States.
[28 FR 14596, Dec. 31, 1963, as amended by 39 FR 10897, Mar. 22, 1974;
T.D. 83-213, 48 FR 46978, Oct. 17, 1983; CBP Dec. 03-32, 68 FR 68168,
Dec. 5, 2003]
Sec. 4.6 Departure or unlading before report or entry.
(a) No vessel which has arrived within the limits of any Customs
port from a foreign port or place shall depart or attempt to depart,
except from stress of weather or other necessity, without reporting and
making entry as required in this part. These requirements shall not
apply to vessels merely passing through waters within the limits of a
Customs port in the ordinary course of a voyage.
(b) The ``limits of any Customs port'' as used herein are those
described in Sec. 101.3(b) of this chapter, including the marginal
waters to the 3-mile limit on the seaboard and the waters to the
boundary line on the northern and southern boundaries.
(c) Violation of this provision may result in the master being
liable for certain civil penalties and the vessel to arrest and
forfeiture, as provided under 19 U.S.C. 1436, in addition to other
penalties applicable under other provisions of law.
[T.D. 93-96, 58 FR 67316, Dec. 21, 1993, as amended by T.D. 98-74, 63 FR
51287, Sept. 25, 1998]
Sec. 4.7 Inward foreign manifest; production on demand; contents and
form; advance filing of cargo declaration.
(a) The master of every vessel arriving in the United States and
required to make entry shall have on board his vessel a manifest, as
required by section 431, Tariff Act of 1930 (19 U.S.C. 1431), and by
this section. The manifest shall be legible and complete. If it is in a
foreign language, an English translation shall be furnished with the
original and with any required copies. The manifest shall consist of a
Vessel Entrance or Clearance Statement, CBP Form 1300, and the following
documents: (1) Cargo Declaration, CBP Form 1302, (2) Ship's Stores
Declaration, CBP Form 1303, (3) Crew's Effects Declaration, CBP Form
1304, or, optionally, a copy of the Crew List, Customs and Immigration
Form I-418, to which are attached crewmember's declarations on CBP Form
5129, (4) Crew List, Customs and Immigration Form I-418, and (5)
Passenger List, Customs and Immigration Form I-418. Any document which
is not required may be omitted from the manifest provided the word
``None'' is inserted in items 16, 18, and/or 19 of the Vessel Entrance
or Clearance Statement, as appropriate. If a vessel arrives in ballast
and therefore the Cargo Declaration is omitted, the legend ``No
merchandise on board'' shall be inserted in item 16 of the Vessel
Entrance or Clearance Statement.
(b)(1) With the exception of any Cargo Declaration that has been
filed in advance as prescribed in paragraph (b)(2) of this section, the
original and one copy of the manifest must be ready for production on
demand. The master shall deliver the original and one copy of the
manifest to the CBP officer who shall first demand it. If the vessel is
to proceed from the port of arrival to other United States ports with
residue foreign cargo or passengers, an additional copy of the manifest
shall be available for certification as a traveling manifest (see
Sec. 4.85). The port director may require an additional copy or
additional copies of the manifest, but a reasonable time shall be
allowed for the preparation of any copy which may be required in
addition to the original and one copy.
(2) In addition to the vessel stow plan requirements pursuant to
Sec. 4.7c of this part and the container status message requirements
pursuant to Sec. 4.7d of this part, and with the exception of any bulk
or authorized break bulk cargo as prescribed in paragraph (b)(4) of this
section, Customs and Border Protection (CBP) must receive from the
incoming carrier, for any vessel covered under paragraph (a) of this
section, the CBP-approved electronic equivalent of the vessel's Cargo
Declaration (CBP Form 1302), 24 hours before the cargo is laden aboard
the vessel at the foreign port (see Sec. 4.30(n)). The electronic cargo
declaration information must be transmitted through the CBP Automated
[[Page 14]]
Manifest System (AMS) or any electronic data interchange system approved
by CBP to replace the AMS system for this purpose. Any such system
change will be announced by notice in the Federal Register.
(3)(i) Where a non-vessel operating common carrier (NVOCC), as
defined in paragraph (b)(3)(ii) of this section, delivers cargo to the
vessel carrier for lading aboard the vessel at the foreign port, the
NVOCC, if licensed by or registered with the Federal Maritime Commission
and in possession of an International Carrier Bond containing the
provisions of Sec. 113.64 of this chapter, may electronically transmit
the corresponding required cargo declaration information directly to CBP
through the vessel AMS system (or other system approved by CBP for this
purpose). The information must be received 24 or more hours before the
related cargo is laden aboard the vessel at the foreign port (see
Sec. 113.64(c) of this chapter), as provided in paragraph (b)(2) of this
section, or in accordance with paragraph (b)(4) of this section
applicable to exempted bulk and break bulk cargo. In the alternative,
the NVOCC must fully disclose and present the required cargo declaration
information for the related cargo to the vessel carrier which is
required to present this information to CBP, in accordance with this
section, via the vessel AMS system (or other CBP-approved system).
(ii) A non-vessel operating common carrier (NVOCC) means a common
carrier that does not operate the vessels by which the ocean
transportation is provided, and is a shipper in its relationship with an
ocean common carrier. The term ``non-vessel operating common carrier''
does not include freight forwarders as defined in part 112 of this
chapter.
(iii) Where the party electronically presenting to CBP the cargo
information required in Sec. 4.7a(c)(4) receives any of this information
from another party, CBP will take into consideration how, in accordance
with ordinary commercial practices, the presenting party acquired such
information, and whether and how the presenting party is able to verify
this information. Where the presenting party is not reasonably able to
verify such information, CBP will permit the party to electronically
present the information on the basis of what the party reasonably
believes to be true.
(4) Carriers of bulk cargo as specified in paragraph (b)(4)(i) of
this section and carriers of break bulk cargo to the extent provided in
paragraph (b)(4)(ii) of this section are exempt, with respect only to
the bulk or break bulk cargo being transported, from the requirement set
forth in paragraph (b)(2) of this section that an electronic cargo
declaration be received by CBP 24 hours before such cargo is laden
aboard the vessel at the foreign port. With respect to exempted carriers
of bulk or break bulk cargo operating voyages to the United States, CBP
must receive the electronic cargo declaration covering the bulk or break
bulk cargo they are transporting 24 hours prior to the vessel's arrival
in the United States (see Sec. 4.30(n)). However, for any containerized
or non-qualifying break bulk cargo these exempted carriers will be
transporting, CBP must receive the electronic cargo declaration 24 hours
in advance of loading.
(i) Bulk cargo is defined for purposes of this section as
homogeneous cargo that is stowed loose in the hold and is not enclosed
in any container such as a box, bale, bag, cask, or the like. Such cargo
is also described as bulk freight. Specifically, bulk cargo is composed
of either:
(A) Free flowing articles such as oil, grain, coal, ore, and the
like, which can be pumped or run through a chute or handled by dumping;
or
(B) Articles that require mechanical handling such as bricks, pig
iron, lumber, steel beams, and the like.
(ii) A carrier of break bulk cargo may apply for an exemption from
the filing requirement of paragraph (b)(2) of this section with respect
to the break bulk cargo it will be transporting. For purposes of this
section, break bulk cargo is cargo that is not containerized, but which
is otherwise packaged or bundled.
(A) To apply for an exemption, the carrier must submit a written
request for exemption to the U.S. Customs and Border Protection,
National Targeting Center, 1300 Pennsylvania Ave., NW.,
[[Page 15]]
Washington, DC 20229. Until an application for an exemption is granted,
the carrier must comply with the 24 hour advance cargo declaration
requirement set out in paragraph (b)(2) of this section. The written
request for exemption must clearly set forth information such that CBP
may assess whether any security concerns exist, such as: The carrier's
IRS number; the source, identity and means of the packaging or bundling
of the commodities being shipped; the ports of call, both foreign and
domestic; the number of vessels the carrier uses to transport break bulk
cargo, along with the names of these vessels and their International
Maritime Organization numbers; and the list of the carrier's importers
and shippers, identifying any who are members of C-TPAT (The Customs-
Trade Partnership Against Terrorism).
(B) CBP will evaluate each application for an exemption on a case by
case basis. If CBP, by written response, provides an exemption to a
break bulk carrier, the exemption is only applicable under the
circumstances clearly set forth in the application for exemption. If
circumstances set forth in the approved application change, it will be
necessary to submit a new application.
(C) CBP may rescind an exemption granted to a carrier at any time.
(c) No Passenger List or Crew List shall be required in the case of
a vessel arriving from Canada, otherwise than by sea, at a port on the
Great Lakes or their connecting or tributary waters.
(d)(1) The master or owner of--
(i) A vessel documented under the laws of the United States with a
registry, coastwise license, or a vessel not so documented but intended
to be employed in the foreign, or coastwise trade, or
(ii) A documented vessel with a fishery license endorsement which
has a permit to touch and trade (see Sec. 4.15) or a vessel with a
fishery license endorsement lacking a permit to touch and trade but
intended to engage in trade--
at the port of first arrival from a foreign country shall declare on CBP
Form 226 any equipment, repair parts, or materials purchased for the
vessel, or any expense for repairs incurred, outside the United States,
within the purview of section 466, Tariff Act of 1930, as amended (19
U.S.C. 1466). If no equipment, repair parts, or materials have been
purchased, or repairs made, a declaration to that effect shall be made
on CBP Form 226.
(2) If the vessel is at least 500 gross tons, the declaration shall
include a statement that no work in the nature of a rebuilding or
alteration which might give rise to a reasonable belief that the vessel
may have been rebuilt within the meaning of the second proviso to
section 27, Merchant Marine Act, 1920, as amended (46 U.S.C. 883), has
been effected which has not been either previously reported or
separately reported simultaneously with the filing of such declaration.
The port director shall notify the U.S. Coast Guard vessel documentation
officer at the home port of the vessel of any work in the nature of a
rebuilding or alteration, including the construction of any major
component of the hull or superstructure of the vessel, which comes to
his attention unless the port director is satisfied that the owner of
the vessel has filed an application for rebuilt determination as
required by 46 CFR 67.27-3.
(3) The declaration shall be ready for production on demand for
inspection and shall be presented as part of the original manifest when
formal entry of the vessel is made.
(e) Failure to provide manifest information; penalties/liquidated
damages. Any master who fails to provide manifest information as
required by this section, or who presents or transmits electronically
any document required by this section that is forged, altered or false,
or who fails to present or transmit the information required by this
section in a timely manner, may be liable for civil penalties as
provided under 19 U.S.C. 1436, in addition to damages under the
international carrier bond of $5,000 for each violation discovered. In
addition, if any non-vessel operating common carrier (NVOCC) as defined
in paragraph (b)(3)(ii) of this section elects to transmit cargo
declaration information to CBP electronically and fails to do so in the
manner and in the time period required by paragraph
[[Page 16]]
(b)(3)(i) of this section, or electronically transmits any false, forged
or altered document, paper, cargo declaration information to CBP, such
NVOCC may be liable for the payment of liquidated damages as provided in
Sec. 113.64(c) of this chapter, of $5,000 for each violation discovered.
[T.D. 71-169, 36 FR 12602, July 2, 1971]
Editorial Note: For Federal Register citations affecting Sec. 4.7,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 4.7a Inward manifest; information required; alternative forms.
The forms designated by Sec. 4.7(a) as comprising the inward
manifest shall be completed as follows:
(a) Ship's Stores Declaration. Articles to be retained aboard as sea
or ship's stores shall be listed on the Ship's Stores Declaration, CBP
Form 1303. Less than whole packages of sea or ship's stores may be
described as ``sundry small and broken stores.''
(b) Crew's Effects Declaration. (CBP Form 1304). (1) The declaration
number of the Crew Member's Declaration, CBP Form 5129, prepared and
signed by any officer or crewmember who intends to land articles in the
United States, or the word ``None,'' shall be shown in item No. 7 on the
Crew's Effects Declaration, CBP Form 1304 opposite the respective
crewmember's name.
(2) In lieu of describing the articles on CBP Form 1304, the master
may furnish a Crew List, CBP Form I-418, endorsed as follows:
I certify that this list, with its supporting crewmembers'
declarations, is a true and complete manifest of all articles on board
the vessel acquired abroad by myself and the officers and crewmembers of
this vessel, other than articles exclusively for use on the voyage or
which have been duly cleared through CBP in the United States.
______________________________________________________________________
(Master.)
The Crew List on Form I-418 shall show, opposite the crewmember's name,
his shipping article number and, in column 5, the declaration number. If
the crewmember has nothing to declare, the word ``None'' shall be placed
opposite his name instead of a declaration number.
(3) For requirements concerning the preparation of CBP Form 5129,
see subpart G of part 148 of this chapter.
(4) Any articles which are required to be manifested and are not
manifested shall be subject to forfeiture and the master shall be
subjected to a penalty equal to the value thereof, as provided in
section 584, Tariff Act of 1930, as amended.
(c) Cargo Declaration. (1) The Cargo Declaration (CBP Form 1302
submitted in accordance with paragraph (b)(2) or (b)(4) of this section)
must list all the inward foreign cargo on board the vessel regardless of
the U.S. port of discharge, and must separately list any other foreign
cargo remaining on board (``FROB''). For the purposes of this part,
``FROB'' means cargo which is laden in a foreign port, is intended for
discharge in a foreign port, and remains aboard a vessel during either
direct or indirect stops at one or more intervening United States ports.
The block designated ``Arrival'' at the top of the form shall be
checked. The name of the shipper shall be set forth in the column
calling for such information and on the same line where the bill of
lading is listed for that shipper's merchandise. When more than one bill
of lading is listed for merchandise from the same shipper, ditto marks
or the word ``ditto'' may be used to indicate the same shipper. The
cargo described in column Nos. 6 and 7, and either column No. 8 or 9,
shall refer to the respective bills of lading. Either column No. 8 or
column No. 9 shall be used, as appropriate. The gross weight in column
No. 8 shall be expressed in either pounds or kilograms. The measurement
in column No. 9 shall be expressed according to the unit of measure
specified in the Harmonized Tariff Schedule of the United States (HTSUS)
(19 U.S.C. 1202).
(2)(i) When inward foreign cargo is being shipped by container, each
bill of lading shall be listed in the column headed ``B/L Nr.'' in
numerical sequence according to the bill of lading number. The number of
the container which contains the cargo covered by that bill of lading
and the number of
[[Page 17]]
the container seal shall be listed in column No. 6 opposite the bill of
lading number. The number of any other bill of lading for cargo in that
container also shall be listed in column No. 6 immediately under the
container and seal numbers. A description of the cargo shall be set
forth in column No. 7 only if the covering bill of lading is listed in
the column headed ``B/L Nr.''
(ii) As an alternative to the procedure described in paragraph (i),
a separate list of the bills of lading covering each container on the
vessel may be submitted on CBP Form 1302 or on a separate sheet. If this
procedure is used:
(A) Each container number shall be listed in alphanumeric sequence
by port of discharge in column No. 6 of CBP Form 1302, or on the
separate sheet; and
(B) The number of each bill of lading covering cargo in a particular
container, identifying the port of lading, shall be listed opposite the
number of the container with that cargo in the column headed ``B/L Nr.''
if CBP Form 1302 is used, or either opposite or under the number of the
container if a separate sheet is used.
(iii) All bills of lading, whether issued by a carrier, freight
forwarder, or other issuer, shall contain a unique identifier consisting
of up to 16 characters in length. The unique bill of lading number will
be composed of two elements. The first element will be the first four
characters consisting of the carrier or issuer's four digit Standard
Carrier Alpha Code (SCAC) assigned to the carrier in the National Motor
Freight Traffic Association, Inc., Directory of Standard Multi-Modal
Carrier and Tariff Agent Codes, applicable supplements thereto and
reissues thereof. The second element may be up to 12 characters in
length and may be either alpha and/or numeric. The unique identifier
shall not be used by the carrier, freight forwarder or issuer for
another bill of lading for a period of 3 years after issuance. CBP
processing of the unique identifier will be limited to checking the
validity of the Standard Carrier Alpha Codes (SCAC) and ensuring that
the identifier has not been duplicated within a 3-year period. Carriers
and broker/importers will be responsible for reconciliation of
discrepancies between cargo declarations and entries. CBP will not
perform any reconciliation except in a post-audit process.
(3) For shipment of containerized or palletized cargo, CBP officers
shall accept a Cargo Declaration which indicates that it has been
prepared on the basis of information furnished by the shipper. The use
of words of qualification shall not limit the responsibility of a master
to submit accurate Cargo Declarations or qualify the oath taken by the
master as to the accuracy of his declaration.
(i) If Cargo Declaration covers only containerized or palletized
cargo, the following statement may be placed on the declaration:
The information appearing on the declaration relating to the
quantity and description of the cargo is in each instance based on the
shipper's load and count. I have no knowledge or information which would
lead me to believe or to suspect that the information furnished by the
shipper is incomplete, inaccurate, or false in any way.
(ii) If the Cargo Declaration covers conventional cargo and
containerized or palletized cargo, or both, the use of the abbreviation
``SLAC'' for ``shipper's load and count,'' or an appropriate
abbreviation if similar words are used, is approved: Provided, That
abbreviation is placed next to each containerized or palletized shipment
on the declaration and the following statement is placed on the
delaration:
The information appearing on this declaration relating to the
quantity and description of cargo preceded by the abbreviation ``SLAC''
is in each instance based on the shipper's load and count. I have no
information which would lead me to believe or to suspect that the
information furnished by the shipper is incomplete, inaccurate, or false
in any way.
(iii) The statements specified in paragraphs (c)(3) (i) and (ii) of
this section shall be placed on the last page of the Cargo Declaration.
Words similar to ``the shipper's load and count'' may be substituted for
those words in the statements. Vague expressions such as ``said to
contain'' or ``accepted as containing'' are not acceptable. The use of
an asterisk or other character instead
[[Page 18]]
of appropriate abbreviations, such as ``SLAC'', is not acceptable.
(4) In addition to the cargo declaration information required in
paragraphs (c)(1)-(c)(3) of this section, for all inward foreign cargo,
the Cargo Declaration, must state the following:
(i) The last foreign port before the vessel departs for the United
States;
(ii) The carrier SCAC code (the unique Standard Carrier Alpha Code
assigned for each carrier; see paragraph (c)(2)(iii) of this section);
(iii) The carrier-assigned voyage number;
(iv) The date the vessel is scheduled to arrive at the first U.S.
port in CBP territory;
(v) The numbers and quantities from the carrier's ocean bills of
lading, either master or house, as applicable (this means that the
carrier must transmit the quantity of the lowest external packaging
unit; containers and pallets are not acceptable manifested quantities;
for example, a container containing 10 pallets with 200 cartons should
be manifested as 200 cartons);
(vi) The first foreign port where the carrier takes possession of
the cargo destined to the United States;
(vii) A precise description (or the Harmonized Tariff Schedule (HTS)
numbers to the 6-digit level under which the cargo is classified if that
information is received from the shipper) and weight of the cargo or,
for a sealed container, the shipper's declared description and weight of
the cargo. Generic descriptions, specifically those such as ``FAK''
(``freight of all kinds''), ``general cargo'', and ``STC'' (``said to
contain'') are not acceptable;
(viii) The shipper's complete name and address, or identification
number, from all bills of lading. (At the master bill level, for
consolidated shipments, the identity of the Non Vessel Operating Common
Carrier (NVOCC), freight forwarder, container station or other carrier
is sufficient; for non-consolidated shipments, and for each house bill
in a consolidated shipment, the identity of the foreign vendor,
supplier, manufacturer, or other similar party is acceptable (and the
address of the foreign vendor, etc., must be a foreign address); by
contrast, the identity of the carrier, NVOCC, freight forwarder or
consolidator is not acceptable; the identification number will be a
unique number assigned by CBP upon the implementation of the Automated
Commercial Environment);
(ix) The complete name and address of the consignee, or
identification number, from all bills of lading. (For consolidated
shipments, at the master bill level, the NVOCC, freight forwarder,
container station or other carrier may be listed as the consignee. For
non-consolidated shipments, and for each house bill in a consolidated
shipment, the consignee is the party to whom the cargo will be delivered
in the United States, with the exception of ``FROB'' (foreign cargo
remaining on board). However, in the case of cargo shipped ``to order of
[a named party],'' the carrier must report this named ``to order'' party
as the consignee; and, if there is any other commercial party listed in
the bill of lading for delivery or contact purposes, the carrier must
also report this other commercial party's identity and contact
information (address) in the ``Notify Party'' field of the advance
electronic data transmission to CBP, to the extent that the CBP-approved
electronic data interchange system is capable of receiving this data.
The identification number will be a unique number assigned by CBP upon
implementation of the Automated Commercial Environment);
(x) The vessel name, country of documentation, and official vessel
number. (The vessel number is the International Maritime Organization
number assigned to the vessel);
(xi) The foreign port where the cargo is laden on board;
(xii) Internationally recognized hazardous material code when such
materials are being shipped;
(xiii) Container numbers (for containerized shipments);
(xiv) The seal numbers for all seals affixed to containers; and
(xv) Date of departure from foreign, as reflected in the vessel log
(this element relates to the departure of the vessel from the foreign
port with respect to which the advance cargo declaration is filed (see
Sec. 4.7(b)(2) or Sec. 4.7(b)(4)); the time frame for reporting this
data element will be either:
[[Page 19]]
(A) No later than 24 hours after departure from the foreign port of
lading, for those vessels that will arrive in the United States more
than 24 hours after sailing from that foreign port; or
(B) No later than the presentation of the permit to unlade (CBP Form
3171, or electronic equivalent), for those vessels that will arrive less
than 24 hours after sailing from the foreign port of lading); and
(xvi) Time of departure from foreign, as reflected in the vessel log
(see Sec. 4.7a(c)(4)(xv) for the applicable foreign port and the time
frame within which this data element must be reported to CBP).
(d) Crew List. The Crew List shall be completed in accordance with
the requirements of applicable Department of Homeland Security (DHS)
regulations administered by CBP (8 CFR part 251).
(e) Passenger List. (1) The Passenger List shall be completed in
accordance with Sec. 4.50 and with the requirements of applicable DHS
regulations administered by CBP (8 CFR part 231), and the following
certification shall be placed on its last page:
I certify that CBP baggage declaration requirements have been made
known to incoming passengers; that any required CBP baggage declarations
have been or will simultaneously herewith be filed as required by law
and regulation with the proper CBP officer; and that the
responsibilities devolving upon this vessel in connection therewith, if
any, have been or will be discharged as required by law or regulation
before the proper CBP officer. I further certify that there are no
steerage passengers on board this vessel (46 U.S.C. 151-163).
______________________________________________________________________
Master
(2) If the vessel is carrying steerage passengers, the reference to
steerage passengers shall be deleted from the certification, and the
master shall comply with the requirements of Sec. 4.50.
(3) If there are no steerage passengers aboard upon arrival, the
listing of the passengers may be in the form of a vessel ``souvenir
passenger list,'' or similar list, in which the names of the passengers
are listed alphabetically and to which the certificate referred to in
paragraph (e)(1) of this section is attached.
(4) All baggage on board a vessel not accompanying a passenger and
the marks or addresses thereof shall be listed on the last sheet of the
passenger list under the caption ``Unaccompanied baggage.''
(f) Failure to provide manifest information; penalties/liquidated
damages. Any master who fails to provide manifest information as
required by this section, or who presents or transmits electronically
any document required by this section that is forged, altered or false,
may be liable for civil penalties as provided under 19 U.S.C. 1436, in
addition to damages under the international carrier bond of $5,000 for
each violation discovered. In addition, if any non-vessel operating
common carrier (NVOCC) as defined in Sec. 4.7(b)(3)(ii) elects to
transmit cargo declaration information to CBP electronically, and fails
to do so as required by this section, or transmits electronically any
document required by this section that is forged, altered or false, such
NVOCC may be liable for liquidated damages as provided in Sec. 113.64(c)
of this chapter of $5,000 for each violation discovered.
[T.D. 71-169, 36 FR 12602, July 2, 1971]
Editorial Note: For Federal Register citations affecting Sec. 4.7a,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 4.7b Electronic passenger and crew arrival manifests.
(a) Definitions. The following definitions apply for purposes of
this section:
Appropriate official. ``Appropriate official'' means the master or
commanding officer, or authorized agent, owner, or consignee, of a
commercial vessel; this term and the term ``carrier'' are sometimes used
interchangeably.
Carrier. See ``Appropriate official.''
Commercial vessel. ``Commercial vessel'' means any civilian vessel
being used to transport persons or property for compensation or hire.
Crew member. ``Crew member'' means a person serving on board a
vessel in good faith in any capacity required for normal operation and
service of the voyage. In addition, the definition of
[[Page 20]]
``crew member'' applicable to this section should not be applied in the
context of other customs laws, to the extent this definition differs
from the meaning of ``crew member'' contemplated in such other customs
laws.
Emergency. ``Emergency'' means, with respect to a vessel arriving at
a U.S. port due to an emergency, an urgent situation due to a
mechanical, medical, or security problem affecting the voyage, or to an
urgent situation affecting the non-U.S. port of destination that
necessitates a detour to a U.S. port.
Ferry. ``Ferry'' means any vessel which is being used to provide
transportation only between places that are no more than 300 miles apart
and which is being used to transport only passengers and/or vehicles, or
railroad cars, which are being used, or have been used, in transporting
passengers or goods.
Passenger. ``Passenger'' means any person being transported on a
commercial vessel who is not a crew member.
United States. ``United States'' means the continental United
States, Alaska, Hawaii, Puerto Rico, Guam, the Virgin Islands of the
United States, and the Commonwealth of the Northern Mariana Islands
(beginning November 28, 2009).
(b) Electronic arrival manifest--(1) General requirement. Except as
provided in paragraph (c) of this section, an appropriate official of
each commercial vessel arriving in the United States from any place
outside the United States must transmit to Customs and Border Protection
(CBP) an electronic passenger arrival manifest and an electronic crew
member arrival manifest. Each electronic arrival manifest:
(i) Must be transmitted to CPB at the place and time specified in
paragraph (b)(2) of this section by means of an electronic data
interchange system approved by CBP. If the transmission is in US EDIFACT
format, the passenger manifest and the crew member manifest must be
transmitted separately; and
(ii) Must set forth the information specified in paragraph (b)(3) of
this section.
(2) Place and time for submission--(i) General requirement. The
appropriate official must transmit each electronic arrival manifest
required under paragraph (b)(1) of this section to the CBP Data Center,
CBP Headquarters:
(A) In the case of a voyage of 96 hours or more, at least 96 hours
before entering the first United States port or place of destination;
(B) In the case of a voyage of less than 96 hours but at least 24
hours, prior to departure of the vessel;
(C) In the case of a voyage of less than 24 hours, at least 24 hours
before entering the first U.S. port or place of destination; and
(D) In the case of a vessel that was not destined to the United
States but was diverted to a U.S. port due to an emergency, before the
vessel enters the U.S. port or place to which diverted; in cases of non-
compliance, CBP will take into consideration that the carrier was not
equipped to make the transmission and the circumstances of the emergency
situation.
(ii) Amendment of crew member manifests. In any instance where a
crew member boards the vessel after initial submission of the manifest
under paragraph (b)(2)(i) of this section, the appropriate official must
transmit amended manifest information to CBP reflecting the data
required under paragraph (b)(3) of this section for the additional crew
member. The amended manifest information must be transmitted to the CBP
data Center, CBP Headquarters:
(A) If the remaining voyage time after initial submission of the
manifest is 24 hours or more, at least 24 hours before entering the
first U.S. port or place of destination; or
(B) In any other case, at least 12 hours before the vessel enters
the first U.S. port or place of destination.
(3) Information required. Each electronic arrival manifest required
under paragraph (b)(1) of this section must contain the following
information for all passengers and crew members, except that for
commercial passenger vessels, the information specified in paragraphs
(b)(3)(iv), (v), (x), (xii), (xiii), (xiv), (xvi), (xviii), and (xix) of
this section must be included on the manifest only on or after October
4, 2005:
[[Page 21]]
(i) Full name (last, first, and, if available, middle);
(ii) Date of birth;
(iii) Gender (F = female; M = male);
(iv) Citizenship;
(v) Country of residence;
(vi) Status on board the vessel;
(vii) Travel document type (e.g., P = passport, A = alien
registration);
(viii) Passport number, if a passport is required;
(ix) Passport country of issuance, if a passport is required;
(x) Passport expiration date, if a passport is required;
(xi) Alien registration number, where applicable;
(xii) Address while in the United States (number and street, city,
state, and zip code), except that this information is not required for
U.S. citizens, lawful permanent residents, crew members, or persons who
are in transit to a location outside the United States;
(xiii) Passenger Name Record locator, if available;
(xiv) Foreign port/place where transportation to the United States
began (foreign port code);
(xv) Port/place of first arrival (CBP port code);
(xvi) Final foreign port/place of destination for in-transit
passenger and crew member (foreign port code);
(xvii) Vessel name;
(xviii) Vessel country of registry/flag;
(xix) International Maritime Organization number or other official
number of the vessel;
(xx) Voyage number (applicable only for multiple arrivals on the
same calendar day); and
(xxi) Date of vessel arrival.
(c) Exceptions. The electronic arrival manifest requirement
specified in paragraph (b) of this section is subject to the following
conditions:
(1) No passenger or crew member manifest is required if the arriving
commercial vessel is operating as a ferry;
(2) If the arriving commercial vessel is not transporting
passengers, only a crew member manifest is required; and
(3) No passenger manifest is required for active duty U.S. military
personnel onboard an arriving Department of Defense commercial chartered
vessel.
(d) Carrier responsibility for comparing information collected with
travel document. The carrier collecting the information described in
paragraph (b)(3) of this section is responsible for comparing the travel
document presented by the passenger or crew member with the travel
document information it is transmitting to CBP in accordance with this
section in order to ensure that the information transmitted is correct,
the document appears to be valid for travel to the United States, and
the passenger or crew member is the person to whom the travel document
was issued.
(e) Sharing of manifest information. Information contained in
passenger and crew member manifests that is received by CBP
electronically may, upon request, be shared with other Federal agencies
for the purpose of protecting national security. CBP may also share such
information as otherwise authorized by law.
[CBP Dec. 05-12, 70 FR 17850, Apr. 7, 2005, as amended at CBP Dec.09-02,
74 FR 2836, Jan. 16, 2009; CBP Dec. 09-14, 74 FR 25388, May 28, 2009]
Sec. 4.7c Vessel stow plan.
Vessel stow plan required. In addition to the advance filing
requirements pursuant to Sec. Sec. 4.7 and 4.7a of this part and the
container status message requirements pursuant to Sec. 4.7d of this
part, for all vessels subject to Sec. 4.7(a) of this part, except for
any vessel exclusively carrying break bulk cargo or bulk cargo as
prescribed in Sec. 4.7(b)(4) of this part, the incoming carrier must
submit a vessel stow plan consisting of vessel and container information
as specified in paragraphs (b) and (c) of this section within the time
prescribed in paragraph (a) of this section via the CBP-approved
electronic data interchange system.
(a) Time of transmission. Customs and Border Protection (CBP) must
receive the stow plan no later than 48 hours after the vessel departs
from the last foreign port. For voyages less than 48 hours in duration,
CBP must receive the stow plan prior to arrival at the first U.S. port.
(b) Vessel information required to be reported. The following
information must be reported for each vessel:
[[Page 22]]
(1) Vessel name (including international maritime organization (IMO)
number);
(2) Vessel operator; and
(3) Voyage number.
(c) Container information required to be reported. The following
information must be reported for each container carried on each vessel:
(1) Container operator;
(2) Equipment number;
(3) Equipment size and type;
(4) Stow position;
(5) Hazmat code (if applicable);
(6) Port of lading; and
(7) Port of discharge.
(d) Compliance date of this section. (1) General. Subject to
paragraph (d)(2) of this section, all affected ocean carriers must
comply with the requirements of this section on and after January 26,
2010.
(2) Delay in compliance date of section. CBP may, at its sole
discretion, delay the general compliance date set forth in paragraph
(d)(1) of this section in the event that any necessary modifications to
the approved electronic data interchange system are not yet in place or
for any other reason. Notice of any such delay will be provided in the
Federal Register.
[CBP Dec. 08-46, 73 FR 71779, Nov. 25, 2008]
Sec. 4.7d Container status messages.
(a) Container status messages required. In addition to the advance
filing requirements pursuant to Sec. Sec. 4.7 and 4.7a of this part and
the vessel stow plan requirements pursuant to Sec. 4.7c of this part,
for all containers destined to arrive within the limits of a port in the
United States from a foreign port by vessel, the incoming carrier must
submit messages regarding the status of the events as specified in
paragraph (b) of this section if the carrier creates or collects a
container status message (CSM) in its equipment tracking system
reporting that event. CSMs must be transmitted to Customs and Border
Protection (CBP) within the time prescribed in paragraph (c) of this
section via a CBP-approved electronic data interchange system. There is
no requirement that a carrier create or collect any CSMs under this
paragraph that the carrier does not otherwise create or collect on its
own and maintain in its electronic equipment tracking system.
(b) Events required to be reported. The following events must be
reported if the carrier creates or collects a container status message
in its equipment tracking system reporting that event:
(1) When the booking relating to a container which is destined to
arrive within the limits of a port in the United States by vessel is
confirmed;
(2) When a container which is destined to arrive within the limits
of a port in the United States by vessel undergoes a terminal gate
inspection;
(3) When a container, which is destined to arrive within the limits
of a port in the United States by vessel, arrives or departs a facility
(These events take place when a container enters or exits a port,
container yard, or other facility. Generally, these CSMs are referred to
as ``gate-in'' and ``gate-out'' messages.);
(4) When a container, which is destined to arrive within the limits
of a port in the United States by vessel, is loaded on or unloaded from
a conveyance (This includes vessel, feeder vessel, barge, rail and truck
movements. Generally, these CSMs are referred to as ``loaded on'' and
``unloaded from'' messages);
(5) When a vessel transporting a container, which is destined to
arrive within the limits of a port in the United States by vessel,
departs from or arrives at a port (These events are commonly referred to
as ``vessel departure'' and ``vessel arrival'' notices);
(6) When a container which is destined to arrive within the limits
of a port in the United States by vessel undergoes an intra-terminal
movement;
(7) When a container which is destined to arrive within the limits
of a port in the United States by vessel is ordered stuffed or stripped;
(8) When a container which is destined to arrive within the limits
of a port in the United States by vessel is confirmed stuffed or
stripped; and
(9) When a container which is destined to arrive within the limits
of a port in the United States by vessel is stopped for heavy repair.
(c) Time of transmission. For each event specified in paragraph (b)
of this section that has occurred, and for
[[Page 23]]
which the carrier creates or collects a container status message (CSM)
in its equipment tracking system reporting that event, the carrier must
transmit the CSM to CBP no later than 24 hours after the CSM is entered
into the equipment tracking system.
(d) Contents of report. The report of each event must include the
following:
(1) Event code being reported, as defined in the ANSI X.12 or UN
EDIFACT standards;
(2) Container number;
(3) Date and time of the event being reported;
(4) Status of the container (empty or full);
(5) Location where the event took place; and
(6) Vessel identification associated with the message if the
container is associated with a specific vessel.
(e) A carrier may transmit other container status messages in
addition to those required pursuant to paragraph (b) of this section. By
transmitting additional container status messages, the carrier
authorizes Customs and Border Protection (CBP) to access and use those
data.
(f) Compliance date of this section. (1) General. Subject to
paragraph (f)(2) of this section, all affected ocean carriers must
comply with the requirements of this section on and after January 26,
2010.
(2) Delay in compliance date of section. CBP may, at its sole
discretion, delay the general compliance date set forth in paragraph
(f)(1) of this section in the event that any necessary modifications to
the approved electronic data interchange system are not yet in place or
for any other reason. Notice of any such delay will be provided in the
Federal Register.
[CBP Dec. 08-46, 73 FR 71779, Nov. 25, 2008]
Sec. 4.8 Preliminary entry.
(a) Generally. Preliminary entry allows a U.S. or foreign vessel
arriving under circumstances that require it to formally enter, to
commence lading and unlading operations prior to making formal entry.
Preliminary entry may be accomplished electronically pursuant to an
authorized electronic data interchange system, or by any other means of
communication approved by the Customs and Border Protection (CBP).
(b) Requirements and conditions. Preliminary entry must be made in
compliance with Sec. 4.30, and may be granted prior to, at, or
subsequent to arrival of the vessel. The granting of preliminary vessel
entry by Customs at or subsequent to arrival of the vessel, is
conditioned upon the presentation to and acceptance by Customs of all
forms, electronically or otherwise, comprising a complete manifest as
provided in Sec. 4.7, except that the Cargo Declaration, CBP Form 1302,
must be presented to Customs electronically in the manner provided in
Sec. 4.7(b)(2) or (4). Vessels seeking preliminary entry in advance of
arrival must do so: By presenting to Customs the electronic equivalent
of a complete CBP Form 1302 (Cargo Declaration), in the manner provided
in Sec. 4.7(b)(2) or (4), showing all cargo on board the vessel; and by
presenting CBP Form 3171 electronically no less than 48 hours prior to
vessel arrival. The CBP Form 3171 will also serve as notice of intended
date of arrival. The port director may allow for the presentation of the
CBP Form 1302 and CBP Form 3171 less than 48 hours prior to arrival in
order to grant advanced preliminary entry if a vessel voyage takes less
than 48 hours to complete from the last foreign port to the first U.S.
port, or if other reasonable circumstances warrant. Preliminary entry
granted in advance of arrival will become effective upon arrival at the
port granting preliminary entry. Additionally, Customs must receive
confirmation of a vessel's estimated time of arrival in a manner
acceptable to the port director.
[T.D. 00-4, 65 FR 2872, Jan. 19, 2000, as amended by T.D. 02-62, 67 FR
66332, Oct. 31, 2002; CBP Dec. 11-10, 76 FR 27609, May 12, 2011]
Sec. 4.9 Formal entry.
(a) General. Section 4.3 provides which vessels are subject to
formal entry and where and when entry must be made. The formal entry of
an American vessel is governed by section 434, Tariff Act of 1930 (19
U.S.C. 1434). The term ``American vessel'' means a vessel of the United
States (see Sec. 4.0(b)) as well as, when arriving by sea, a vessel
entitled to be documented except for its size (see Sec. 4.0(c)). The
formal entry
[[Page 24]]
of a foreign vessel arriving within the limits of any CBP port is also
governed by section 434, Tariff Act of 1930 (19 U.S.C. 1434).
Alternatively, information necessary for formal entry may be transmitted
electronically pursuant to a system authorized by CBP.
(b) Procedures for American vessels. Under certain circumstances,
American vessels arriving in ports of the United States directly from
other United States ports must make entry. Entry of such vessels is
required when they have unentered foreign merchandise aboard. Report of
arrival as provided in Sec. 4.2 of this part, together with presenting a
completed CBP Form 1300 (Vessel Entrance or Clearance Statement),
satisfies all entry requirements for the subject vessels.
(c) Delivery of foreign vessel document. The master of any foreign
vessel will exhibit the vessel's document to the port director on or
before the entry of the vessel. After the net tonnage has been noted,
the document may be delivered to the consul of the nation to which such
vessel belongs, in which event the vessel master will certify to the
port director the fact of such delivery (see section 434, Tariff Act of
1930, as amended (19 U.S.C. 1434), as applied through section 438,
Tariff Act of 1930, as amended (19 U.S.C. 1438)). If not delivered to
the consul, the document will be deposited in the customhouse. Whether
delivered to the foreign consul or deposited at the customhouse, the
document will not be delivered to the master of the foreign vessel until
clearance is granted under Sec. 4.61. It will not be lawful for any
foreign consul to deliver to the master of any foreign vessel the
register, or document in lieu thereof, deposited with him in accordance
with the provisions of 19 U.S.C. 1434 until such master will produce to
him a clearance in due form from the director of the port where such
vessel has been entered. Any consul violating the provisions of this
section is liable to a fine of not more than $5,000 (section 438, Tariff
Act of 1930, as amended; 19 U.S.C. 1438).
(d) Failure to make required entry; penalties. Any master who fails
to make entry as required by this section or who presents or transmits
electronically any document required by this section that is forged,
altered, or false, may be liable for certain civil penalties as provided
under 19 U.S.C. 1436, in addition to penalties applicable under other
provisions of law. Further, any vessel used in connection with any such
violation is subject to seizure and forfeiture.
[T.D. 00-4, 65 FR 2873, Jan. 19, 2000; T.D. 00-22, 65 FR 16515, Mar. 29,
2000; CBP Dec. 10-33, 75 FR 69585, Nov. 15, 2010]
Sec. 4.10 Request for overtime services.
Request for overtime services in connection with entry or clearance
of a vessel, including the boarding of a vessel in accordance with
Sec. 4.1 shall be made on Customs Form 3171. (See Sec. 24.16 of this
chapter regarding pleasure vessels.) Such request for overtime services
must specify the nature of the services desired and the exact times when
they will be needed, unless a term special license (unlimited or limited
to the service requested) has been issued (see Sec. 4.30(g)) and
arrangements are made locally so that the proper Customs officer will be
notified during official hours in advance of the rendering of the
services as to the nature of the services desired and the exact times
they will be needed. Such request shall not be approved (previously
issued term special licenses shall be revoked) unless the carrier
complies with the provisions of paragraphs (l) and (m) of Sec. 4.30
regarding terminal facilities and employee lists, respectively, and the
required cash deposit or bond, on Customs Form 301, containing the bond
conditions set forth in Sec. 113.64 of this chapter, has been received.
Separate bonds shall be required if overtime services are requested by
different principals.
[T.D. 72-189, 37 FR 13975, July 15, 1972, as amended by T.D. 84-213, 49
FR 41163, Oct. 19, 1984; T.D. 92-74, 57 FR 35751, Aug. 11, 1992]
Sec. 4.11 Sealing of stores.
Upon the arrival of a vessel from a foreign port, or a vessel
engaged in the foreign trade from a domestic port, sea stores and ship's
stores not required for immediate use or consumption on board while the
vessel is in port and articles acquired abroad by officers and members
of the crew, for which no permit to land has been issued, shall be
[[Page 25]]
placed under seal, unless the Customs officer is of the opinion that the
circumstances do not require such action. Customs inspectors in charge
of the vessel, from time to time, as in their judgment the necessity of
the case requires, may issue stores from under seal for consumption on
board the vessel by its passengers and crew. (See Sec. 4.39.)
Sec. 4.12 Explanation of manifest discrepancy.
(a)(1) Vessel masters or agents shall notify the port director on
Customs Form 5931 of shortages (merchandise manifested, but not found)
or overages (merchandise found, but not manifested) of merchandise.
(2) Shortages shall be reported to the port direct by the master or
agent of the vessel by endorsement on the importer's claim for shortage
on Customs Form 5931 as provided for in Sec. 158.3 of this chapter, or
within 60 days after the date of entry of the vessel, whichever is
later. Satisfactory evidence to support the claim of nonimportation or
of proper disposition or other corrective action (see Sec. 4.34) shall
be obtained by the master or agent and shall be retained in the
carrier's file for one year.
(3) Overages shall be reported to the port director within 60 days
after the date of entry of the vessel by completion of a post entry or
suitable explanation of corrective action (see Sec. 4.34) on the Customs
Form 5931.
(4) The port director shall immediately advise the master or agent
of those discrepancies which are not reported by the master or agent.
Notification may be in any appropriate manner, including the furnishing
of a copy of Customs Form 5931 to the master or agent. The master or
agent shall satisfactorily resolve the matter within 30 days after the
date of such notification, or within 60 days after entry of the vessel,
whichever is later.
(5) Unless the required notification and explanation is made timely
and the port director is satisfied that the discrepancies resulted from
clerical error or other mistake and that there has been no loss of
revenue (and in the case of a discrepancy not initially reported by the
master or agent that there was a valid reason for failing to so report),
applicable penalties under section 584, Tariff Act of 1930, as amended
(19 U.S.C. 1584), shall be assessed (see Sec. 162.31 of this chapter).
For purposes of this section, the term ``clerical error'' is defined as
a non-negligent, inadvertent, or typographical mistake in the
preparation, assembly, or submission (electronically or otherwise) of
the manifest. However, repeated similar manifest discrepancies by the
same parties may be deemed the result of negligence and not clerical
error or other mistake. For the purpose of assessing applicable
penalties, the value of the merchandise shall be determined as
prescribed in Sec. 162.43 of this chapter. The fact that the master or
owner had no knowledge of a discrepancy shall not relieve him from the
penalty.
(b) Except as provided in paragraph (c) of this section, a
correction in the manifest shall not be required in the case of bulk
merchandise if the port director is satisfied that the difference
between the manifested quantity and the quantity unladen, whether the
difference constitutes an overage or a shortage, is an ordinary and
usual difference properly attributable to absorption of moisture,
temperature, faulty weighing at the port of lading, or other similar
reason. A correction in the manifest shall not be required because of
discrepancies between marks or numbers on packages of merchandise and
the marks or numbers for the same packages as shown on the manifest of
the importing vessel when the quantity and description of the
merchandise in such packages are correctly given.
(c) Manifest discrepancies (shortages and overages) of petroleum and
petroleum products imported in bulk shall be reported on Customs Form
5931, if the discrepancy exceeds one percent.
[T.D. 80-142, 45 FR 36383, May 30, 1980, as amended by T.D. 99-64, 64 FR
43265, Aug. 10, 1999; CBP Dec. 10-29, 75 FR 52450, Aug. 26, 2010]
Sec. 4.13 [Reserved]
Sec. 4.14 Equipment purchases for, and repairs to, American vessels.
(a) General provisions and applicability--(1) General. Under section
466, Tariff Act of 1930, as amended (19
[[Page 26]]
U.S.C. 1466), purchases for or repairs made to certain vessels while
they are outside the United States are subject to declaration, entry,
and payment of ad valorem duty. These requirements are effective upon
the first arrival of affected vessels in the United States or Puerto
Rico. The vessels subject to these requirements include those documented
under the U.S. law for the foreign or coastwise trades, as well as those
which were previously documented under the laws of some foreign nation
or are undocumented at the time that foreign shipyard repairs are
performed, but which exhibit an intent to engage in those trades under
CBP interpretations. Duty is based on actual foreign cost. This includes
the original foreign purchase price of articles that have been imported
into the United States and are later sent abroad for use.
(2) Expenditures not subject to declaration, entry, or duty. The
following vessel repair expenditures are not subject to declaration,
entry, or duty:
(i) Expenditures made in American Samoa, the Guantanamo Bay Naval
Station, Guam, Puerto Rico, or the U.S. Virgin Islands because they are
considered to have been made in the United States;
(ii) Reimbursements paid to members of the regular crew of a vessel
for labor expended in making repairs to vessels; and
(iii) The cost of equipment, repair parts, and materials that are
installed on a vessel documented under the laws of the United States and
engaged in the foreign or coasting trade, if the installation is done by
members of the regular crew of such vessel while the vessel is on the
high seas, in foreign waters, or in a foreign port, and does not involve
foreign shipyard repairs by foreign labor.
(3) Expenditures subject to declaration and entry but not duty.
Under separate provisions of law, the cost of labor performed, and of
parts and materials produced and purchased in Israel are not subject to
duty under the vessel repair statute. Additionally, expenditures made in
Canada or in Mexico are not subject to any vessel repair duties.
Furthermore, certain free trade agreements between the United States and
other countries also may reduce the duties on vessel repair expenditures
made in foreign countries that are parties to those agreements, although
the final duty amount may depend on each agreement's schedule for
phasing in those reductions. In these situations and others where there
is no liability for duty, it is still required, except as otherwise
required by law, that all repairs and purchases be declared and entered.
(b) Applicability to specific types of vessels--(1) Fishing vessels.
As provided in Sec. 4.15, vessels documented under U.S. law with a
fishery endorsement are subject to vessel repair duties for covered
foreign expenditures. Undocumented American fishing vessels which are
repaired, or for which parts, nets or equipment are purchased outside
the U.S. are also liable for duty.
(2) Government-owned or chartered vessels. Vessels normally subject
to the vessel repair statute because of documentation or intended use
are not excused from duty liability merely because they are either owned
or chartered by the U.S. Government.
(3) Vessels continuously away for two years or longer--(i) Liability
for expenditures throughout entire absence from U.S. Vessels that
continuously remain outside the United States for two years or longer
are liable for duty on any fish nets and netting purchased at any time
during the entire absence. Vessels designed and used primarily for
transporting passengers or merchandise, which depart the United States
for the sole purpose of obtaining equipment, parts, materials or repairs
remain fully liable for duty regardless of the duration of their absence
from the United States.
(ii) Liability for expenditures made during first six months of
absence. Except as provided in paragraph (b)(3)(i) of this section,
vessels that continuously remain outside the United States for two years
or longer are liable for duty only on those expenditures which are made
during the first six months of their absence. See paragraph (h)(3) of
this section. However, even though some costs might not be dutiable
because of the six-month rule, all repairs, materials, parts and
equipment-related expenditures must be declared and entered.
[[Page 27]]
(c) Estimated duty deposit and bond requirements. Generally, the
person authorized to submit a vessel repair declaration and entry must
either deposit or transmit estimated duties or produce evidence of a
bond on CBP Form 301 at the first United States port of arrival before
the vessel will be permitted to depart from that port. A continuous or
single entry bond of sufficient value to cover all potential duty on the
foreign repairs and purchases must be identified by surety, number and
amount on the vessel repair declaration which is submitted at the port
of first arrival. At the time the vessel repair entry is submitted by
the vessel operator to the appropriate VRU port of entry as defined in
paragraph (g) of this section, that same identifying information must be
identified on the entry form. Sufficiency of the amount of the bond is
within the discretion of CBP at the arrival port with claims for
reduction in duty liability necessarily being subject to full
consideration of evidence by CBP. CBP officials at the port of arrival
may consult the appropriate Vessel Repair Unit (VRU) port of entry as
identified in paragraph (g) of this section or the staff of the Cargo
Security, Carriers & Immigration Branch, Office of International Trade
in CBP Headquarters in setting sufficient bond amounts. These duty,
deposit, and bond requirements do not apply to vessels which are owned
or chartered by the United States Government and are actually being
operated by employees of an agency of the Government. If operated by a
private party for a Federal agency under terms whereby that private
party is liable under the contract for payment of the duty, there must
be a deposit or a bond filed in an amount adequate to cover the
estimated duty.
(d) Declaration required. When a vessel subject to this section
first arrives in the United States following a foreign voyage, the
owner, master, or authorized agent must submit a vessel repair
declaration on CBP Form 226, a dual-use form used both for declaration
and entry purposes, or must transmit its electronic equivalent. The
declaration must be ready for presentation in the event that a CBP
officer boards the vessel. If no foreign repair-related expenses were
incurred, that fact must be reported either on the declaration form or
by approved electronic means. The CBP port of arrival receiving either a
positive or negative vessel repair declaration or electronic equivalent
will immediately forward it to the appropriate VRU port of entry as
identified in paragraph (g) of this section.
(e) Entry required. The owner, master, or authorized representative
of the owner of any vessel subject to this section for which a positive
declaration has been filed must submit a vessel repair entry on CBP Form
226 or transmit its electronic equivalent. The entry must show all
foreign voyage expenditures for equipment, parts of equipment, repair
parts, materials and labor. The entry submission must indicate whether
it provides a complete or incomplete account of covered expenditures.
The entry must be presented or electronically transmitted by the vessel
operator to the appropriate VRU port of entry as identified in paragraph
(g) of this section, so that it is received within ten calendar days
after arrival of the vessel. Claims for relief from duty should be made
generally as part of the initial submission, and evidence must later be
provided to support those claims. Failure to submit full supporting
evidence of cost within stated time limits, including any extensions
granted under this section, is considered to be a failure to enter.
(f) Time limit for submitting evidence of cost. A complete vessel
repair entry must be supported by evidence showing the cost of each item
entered. If the entry is incomplete when submitted, evidence to make it
complete must be received by the appropriate VRU port of entry as
identified in paragraph (g) of this section within 90 calendar days from
the date of vessel arrival. That evidence must include either the final
cost of repairs or, if the operator submits acceptable evidence that
final cost information is not yet available, initial or interim cost
estimates given prior to or after the work was authorized by the
operator. The proper VRU port of entry may grant one 30-day extension of
time to submit final cost evidence if a satisfactory written explanation
of the need for an extension is received before the expiration of the
[[Page 28]]
original 90-day submission period. All extensions will be issued in
writing. Inadequate, vague, or open-ended requests will not be granted.
Questions as to whether an extension should be granted may be referred
to the Cargo Security, Carriers & Immigration Branch, Office of
International Trade in CBP Headquarters by the VRU ports of entry. Any
request for an extension beyond a 30-day grant issued by a VRU must be
submitted through that unit to the Cargo Security, Carriers &
Immigration Branch, Office of International Trade, CBP Headquarters. In
the event that all cost evidence is not furnished within the specified
time limit, or is of doubtful authenticity, the VRU may refer the matter
to the U.S. Immigration and Customs Enforcement to begin procedures to
obtain the needed evidence. That agency may also investigate the reason
for a failure to file or for an untimely submission. Unexplained or
unjustified delays in providing CBP with sufficient information to
properly determine duty may result in penalty action as specified in
paragraph (j) of this section. Extensions granted for the filing of
necessary evidence may also extend the time for filing Applications for
Relief (see paragraph (i)(1) of this section).
(g) Location and jurisdiction of vessel repair unit ports of entry.
Vessel Repair Units (VRUs) are responsible for processing vessel repair
entries. VRUs are located in New York, New York; New Orleans, Louisiana;
and San Francisco, California. The New York unit processes vessel repair
entries received from ports of arrival on the Great Lakes and the
Atlantic Coast of the United States north of, but not including, those
located in the State of Virginia. The New Orleans unit processes vessel
repair entries received from ports of arrival on the Atlantic Coast from
and including those in the State of Virginia, southward, and from all
United States ports of arrival on the Gulf of Mexico including ports in
Puerto Rico. The San Francisco unit processes vessel repair entries
received from all ports of entry on the Pacific Coast including those in
Alaska and Hawaii.
(h) Justifications for relief from duty. Claims for relief from the
assessment of vessel repair duties may be submitted to CBP. Relief may
be sought under paragraphs (a), (d), (e), or (h) of the vessel repair
statute (19 U.S.C. 1466(a), (d), (e), or (h)), each paragraph of which
relates to a different type of claim as further specified in paragraphs
(h)(1)-(h)(4) of this section.
(1) Relief under 19 U.S.C. 1466(a). Requests for relief from duty
under 19 U.S.C. 1466(a) consist of claims that a foreign shipyard
operation or expenditure is not considered to be a repair or purchase
within the terms of the vessel repair statute or as determined under
judicial or administrative interpretations. Example: a claim that the
shipyard operation is a vessel modification.
(2) Relief from duty under 19 U.S.C. 1466(d). Requests for relief
from duty under 19 U.S.C. 1466(d) consist of claims that a foreign
shipyard operation or expenditure involves any of the following:
(i) Stress of weather or other casualty. Relief will be granted if
good and sufficient evidence supports a finding that the vessel, while
in the regular course of its voyage, was forced by stress of weather or
other casualty, while outside the United States, to purchase such
equipment or make those repairs as are necessary to secure the safety
and seaworthiness of the vessel in order to enable it to reach its port
of destination in the United States. For the purposes of this paragraph,
a ``casualty'' does not include any purchase or repair made necessary by
ordinary wear and tear, but does include the failure of a part to
function if it is proven that the specific part was repaired, serviced,
or replaced in the United States immediately before the start of the
voyage in question, and then failed within six months of that date.
(ii) U.S. parts installed by regular crew or residents. Relief will
be granted if equipment, parts of equipment, repair parts, or materials
used on a vessel were manufactured or produced in the United States and
were purchased in the United States by the owner of the vessel. It is
required under the statute that residents of the United States or
[[Page 29]]
members of the regular crew of the vessel perform any necessary labor in
connection with such installations.
(iii) Dunnage. Relief will be granted if any equipment, equipment
parts, materials, or labor were used for the purpose of providing
dunnage for the packing or shoring of cargo, for erecting temporary
bulkheads or other similar devices for the control of bulk cargo, or for
temporarily preparing tanks for carrying liquid cargoes.
(3) Relief under 19 U.S.C. 1466(e). Requests for relief from duty
under 19 U.S.C. 1466(e) relate in pertinent part to matters involving
vessels normally subject to the vessel repair statute, but that
continuously remain outside the United States for two years or longer.
Vessels that continuously remain outside the United States for two years
or longer may qualify for relief from duty on expenditures made later
than the first six months of their absence. See paragraph (b)(3)(ii) of
this section.
(4) Relief under 19 U.S.C. 1466(h). Requests for relief from duty
under 19 U.S.C. 1466(h) consist of claims that a foreign shipyard
operation or expenditure involves any of the following:
(i) Expenditures on LASH barges. Relief will be granted with respect
to the cost of equipment, parts, materials, or repair labor for Lighter
Aboard Ship (LASH) operations accomplished abroad.
(ii) Certain spare repair parts or materials. Relief will be granted
with respect to the cost of spare repair parts or materials which are
certified by the vessel owner or master to be for use on a cargo vessel,
but only if duty was previously paid under the appropriate commodity
classification(s) as found in the Harmonized Tariff Schedule of the
United States when the article first entered the United States.
(iii) Certain spare parts necessarily installed on a vessel prior to
their first entry into the United States. Relief will be granted with
respect to the cost of spare parts only, which have been necessarily
installed prior to their first entry into the United States with duty
payment under the appropriate commodity classification(s) as found in
the Harmonized Tariff Schedule of the United States.
(i) General procedures for seeking relief--(1) Applications for
Relief. Relief from the assessment of vessel repair duty will not be
granted unless an Application for Relief is filed with CBP. Relief will
not be granted based merely upon a claim for relief made at the time of
entry under paragraph (e) of this section. The filing of an Application
for Relief is not required, nor is one required to be presented in any
particular format, but if filed it must clearly present the legal basis
for granting relief, as specified in paragraph (h) of this section. An
Application must also state that all repair operations performed aboard
a vessel during the one-year period prior to the current submission have
been declared and entered. A valid Application is required to be
supported by complete evidence as detailed in paragraphs (i)(1)(i)-(vi)
and (i)(2) of this section. Except as further provided in this
paragraph, the deadline for receipt of an Application and supporting
evidence is 90 calendar days from the date that the vessel first arrived
in the United States following foreign operations. The provisions for
extension of the period for filing required evidence in support of an
entry, as set forth in paragraph (f) of this section, are applicable to
extension of the time period for filing Applications for Relief as well.
Applications must be addressed and submitted by the vessel operator to
the appropriate VRU port of entry and will be decided in that unit. The
VRUs may seek the advice of the Cargo Security, Carriers & Immigration
Branch, Office of International Trade in CBP Headquarters with regard to
any specific item or issue which has not been addressed by clear
precedent. If no Application is filed or if a submission which does not
meet the minimal standards of an Application for Relief is received, the
duty amount will be determined without regard to any potential claims
for relief from duty (see paragraph (h) of this section). Each
Application for Relief must include copies of:
(i) Itemized bills, receipts, and invoices for items shown in
paragraph (e) of this section. The cost of items for which a request for
relief is made must be segregated from the cost of the
[[Page 30]]
other items listed in the vessel repair entry;
(ii) Photocopies of relevant parts of vessel logs, as well as of any
classification society reports which detail damage and remedies;
(iii) A certification by the senior officer with personal knowledge
of all relevant circumstances relating to casualty damage (time, place,
cause, and nature of damage);
(iv) A certification by the senior officer with personal knowledge
of all relevant circumstances relating to foreign repair expenditures
(time, place, and nature of purchases and work performed);
(v) A certification by the master that casualty-related expenditures
were necessary to ensure the safety and seaworthiness of the vessel in
reaching its United States port of destination; and
(vi) Any permits or other documents filed with or issued by any
United States Government agency other than CBP regarding the operation
of the vessel that are relevant to the request for relief.
(2) Additional evidence. In addition, copies of any other evidence
and documents the applicant may wish to provide as evidentiary support
may be submitted. Elements of applications which are not supported by
required evidentiary elements will be considered fully dutiable. All
documents submitted must be certified by the master, owner, or
authorized corporate officer to be originals or copies of originals, and
if in a foreign language, they must be accompanied by an English
translation, certified by the translator to be accurate. Upon receipt of
an Application for Relief by the VRU within the prescribed time limits,
a determination of duties owed will be made. After a decision is made on
an Application for Relief by a VRU, the applicant will be notified of
the right to protest any adverse decision.
(3) Application for Relief; failure to file or denial in whole or in
part. If no Application for Relief is filed, or if a timely filed
Application for Relief is denied in whole or in part, the VRU will
determine the amount of duty due and issue a bill to the party who filed
the vessel repair entry. If the bill is not timely paid, interest will
accrue as provided in Sec. 24.3a(b)(1) of this chapter.
(4) Administrative protest. Following the determination of duty
owing on a vessel repair entry, a protest may be filed under 19 U.S.C.
1514(a)(2) as the only and final administrative appeal. The procedures
and time limits applicable to protests filed in connection with vessel
repair entries are the same as those provided in part 174 of this
chapter. In particular, the applicable protest period will begin on the
date of the issuance of the decision giving rise to the protest as
reflected on the relevant correspondence from the appropriate VRU.
(j) Penalties--(1) Failure to report, enter, or pay duty. It is a
violation of the vessel repair statute if the owner or master of a
vessel subject to this section willfully or knowingly neglects or fails
to report, make entry, and pay duties as required; makes any false
statements regarding purchases or repairs described in this section
without reasonable cause to believe the truth of the statements; or aids
or procures any false statements regarding any material matter without
reasonable cause to believe the truth of the statement. If a violation
occurs, the vessel, its tackle, apparel, and furniture, or a monetary
amount up to their value as determined by CBP, is subject to seizure and
forfeiture and is recoverable from the owner (see Sec. 162.72 of this
chapter). The owner or master of the vessel who fails to timely pay the
duty determined to be due is liable for interest as provided in
Sec. 24.3a(b)(1) of this chapter.
(2) False declaration. If any person required to file a vessel
repair declaration or entry under this section, knowingly and willfully
falsifies, conceals or covers up by any trick, scheme, or device a
material fact, or makes any materially false, fictitious or fraudulent
statement or representation, or makes or uses any false writing or
document knowing the same to contain any materially false, fictitious or
fraudulent statement, that person will be subject to the criminal
penalties provided for in 18 U.S.C. 1001.
[66 FR 16397, Mar. 26, 2001, as amended at 74 FR 53651, Oct. 20, 2009;
77 FR 17332, Mar. 26, 2012]
[[Page 31]]
Sec. 4.15 Fishing vessels touching and trading at foreign places.
(a) Before any vessel documented with a fishery license endorsement
shall touch and trade at a foreign port or place, the master shall
obtain from the port director a permit on Customs Form 1379 to touch and
trade.
When a fishing vessel departs from the United States and there is an
intent to stop at a foreign port (1) to lade vessel equipment which was
preordered, (2) to purchase and lade vessel equipment, or (3) to
purchase and lade vessel equipment to replace existing vessel equipment,
the master of the vessel must either clear for that foreign port or
obtain a permit to touch and trade, whether or not the vessel will
engage in fishing on that voyage. \28\ Purchases of such equipment,
whether intended at the time of departure or not, are subject to
declaration, entry, and payment of duty pursuant to section 466 of the
Tariff Act of 1930, as amended (19 U.S.C. 1466). The duty may be
remitted if it is established that the purchases resulted from stress of
weather or other casualty.
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\28\ If such a vessel puts into a foreign port or place and only
obtains bunkers, stores, or supplies suitable for a fishing voyage, it
is not considered to have touched and traded there. Fish nets and
netting are considered vessel equipment and not vessel supplies.
29-61 [Reserved]
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(b) Upon the arrival of a documented vessel with a fishery
endorsement which has put into a foreign port or place, the master shall
report its arrival, make entry, and conform in all respects to the
regulations applicable in the case of a vessel arriving from a foreign
port.
(c) If a vessel which has been granted a permit to touch and trade
arrives at a port in the United States, whether or not the vessel has
touched at a foreign port or place, such permit shall forthwith be
surrendered to the port director.
(d) No permit to touch and trade shall be issued to a vessel which
does not have a Certificate of Documentation with a fishery license
endorsement.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 77-28, 42 FR 3161, Jan.
17, 1977; T.D. 83-214, 48 FR 46512, Oct. 13, 1983; T.D. 94-24, 59 FR
13200, Mar. 21, 1994; T.D. 95-77, 60 FR 50010, Sept. 27, 1995]
Sec. 4.16 [Reserved]
Sec. 4.17 Vessels from discriminating countries.
The prohibition against imports in, and the penalty of forfeiture
of, certain vessels from countries which discriminate against American
vessels provided for in subsections 2 and 3 of paragraph J, section IV,
Tariff Act of 1913, as amended by the act of March 4, 1915 (19 U.S.C.
130, 131), shall be enforced only in pursuance of specific instructions
issued and published from time to time by the Secretary of the Treasury
or such other officer as the Secretary may designate. (See also
Sec. Sec. 4.20(c) and 159.42 of this chapter.)
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 73-175, 38 FR 17444,
July 2, 1973]
Tonnage Tax and Light Money
Sec. 4.20 Tonnage taxes.
(a) Except as specified in Sec. 4.21, a regular tonnage tax or duty
of 2 cents per net ton, not to exceed in the aggregate 10 cents per net
ton in any 1 year, shall be imposed at each entry on all vessels which
shall be entered in any port of the United States from any foreign port
or place in North America, Central America, the West Indies, the Bahama
Islands, the Bermuda Islands, the coast of South America bordering on
the Caribbean Sea (considered to include the mouth of the Orinoco
River), or the high seas adjacent to the U.S. or the above listed
foreign locations, and on all vessels (except vessels of the U.S.,
recreational vessels, and barges, as defined in Sec. 2101 of Title 46)
that depart a U.S. port or place and return to the same port or place
without being entered in the United States from another port or place,
and regular tonnage tax of 6 cents per net ton, not to exceed 30 cents
per net ton per annum, shall be imposed at each entry on all vessels
which shall be entered in any port of the United States from any
[[Page 32]]
other foreign port. In determining the port of origin of a voyage to the
United States and the rate of tonnage tax, the following shall be used
as a guide:
(1) When the vessel has proceeded in ballast from a port to which
the 6-cent rate is applicable to a port to which the 2-cent rate applies
and there has laden cargo or taken passengers, tonnage tax upon entry in
the United States shall be assessed at the 2-cent rate.
(2) The same rate shall be applied in a case in which the vessel has
transported cargo or passengers from a 6-cent port to a 2-cent port when
all such cargo or passengers have been unladen or discharged at the 2-
cent port, without regard to whether the vessel thereafter has proceeded
to the United States in ballast or with cargo or passengers laden or
taken on board at the 2-cent port.
(3) The 6-cent rate shall be applied when the vessel proceeds from a
2-cent port to a 6-cent port en route to the United States under
circumstances similar to paragraph (a) (1) or (2) of this section.
(4) If the vessel arrives in the United States with cargo or
passengers taken at two or more ports to which different rates are
applicable, tonnage tax shall be collected at the higher rate.
(b) The tonnage year shall be computed from the date of the first
entry of the vessel concerned, without regard to the rate of the payment
made at that entry, and shall expire on the day preceding the
corresponding date of the following year. There may be 5 payments at the
maximum (6 cent) and 5 at the minimum (2-cent) rate during a tonnage
year, so that the maximum assessment of tonnage duty may amount to 40
cent per net ton for the tonnage year of a vessel engaged in alternating
trade.
(c) A vessel shall also be subject on every entry from a foreign
port or place, whether or not regular tonnage tax is payable on the
particular entry, to the payment of a special tonnage tax and to the
payment of light money at the rates and under the circumstances
specified in the following table:
----------------------------------------------------------------------------------------------------------------
Rate per net ton
---------------------------------------
Classes of vessels Special Light
Regular tax tax money
----------------------------------------------------------------------------------------------------------------
Vessels of the United States:
1. Under provisional register, without regard to citizenship of $.02 or $.06 .......... ..........
officers.............................................................
2. All others:
(i) If all the officers are citizens................................ .02 or .06 .......... ..........
(ii) If any officer is not a citizen................................ .02 or .06 \1\ 0.50 \1\ .50
Undocumented vessels which are owned by citizens \2\.................... .02 or .06 .50 \3\ .50
Foreign vessels:
1. Of nations whose vessels are exempted from special tax or light .02 or .06 .......... ..........
money................................................................
2. All others:
(i) Built in the U.S................................................ .02 or .06 .30 .50
(ii) Not built in the U.S........................................... .02 or .06 .50 .50
(iii) In addition to (i) or (ii) of 2., Foreign Vessels, when .02 or .06 \4\ 2.00 \4\ .50
entering from a foreign port or place where vessels of the U.S. are
not ordinarily permitted to enter and trade \3a\...................
----------------------------------------------------------------------------------------------------------------
\1\ This does not apply on the first arrival of a vessel in a port of the United States from a foreign or
intercoastal voyage if all the officers who are not citizens are below the grade of master and are filling
vacancies which occurred on the voyage.
\2\ This special tax and light money do not apply if the vessel is documented as a vessel of the United States
before leaving the port.
\3\ This does not apply if the vessel is under a certificate of protection and the owner or master files with
the port director the oath required by 46 U.S.C. App. 129. An unrecorded bill of sale is not such a document
as will exempt a vessel from the payment of light money under 46 U.S.C. App. 128, and the recording of such
bill of sale after the arrival of the vessel is not sufficient to relieve it from the payment of the tax.
\3a\ The Democratic People's Republic of Korea (North Korea), does not ordinarily permit vessels of the United
States to enter and trade.
\4\ This is to be collected on each entry of a vessel from such a port or place.
(d) Tonnage tax shall be imposed upon a vessel even though she
enters a port of the United States only for orders.
(e) The fact that a vessel passes through the Panama Canal does not
affect the rate of tonnage tax otherwise applicable to the vessel.
[[Page 33]]
(f) For the purpose of computing tonnage tax, the net tonnage of a
vessel stated in the vessel's marine document shall be accepted unless
(1) such statement is manifestly wrong, in which case the net tonnage
shall be estimated, pending admeasurement of the vessel, or the tonnage
reported for her by any recognized classification society may be
accepted, or (2) an appendix is attached to the marine document showing
a net tonnage ascertained under the so-called ``British rules'' or the
rules of any foreign country which have been accepted as substantially
in accord with the rules of the United States, in which case the tonnage
so shown may be accepted and the date the appendix was issued shall be
noted on the tonnage tax certificate, Customs Form 1002, and on the
Vessel Entrance or Clearance Statement, Customs Form 1300. For the
purpose of computing tonnage tax on a vessel with a tonnage mark and
dual tonnages, the higher of the net tonnages stated in the vessel's
marine document or tonnage certificate shall be used unless the Customs
officer concerned is satisfied by report of the boarding officer,
statement or certificate of the master, or otherwise that the tonnage
mark was not submerged at the time of arrival. Whether the vessel has a
tonnage mark, and if so, whether the mark was submerged on arrival,
shall be noted on Customs Form 1300 by the boarding officer.
(g) The decision of the Commissioner of Customs is the final
administrative decision on any question of interpretation relating to
the collection of tonnage tax or to the refund of such tax when
collected erroneously or illegally, and any question of doubt shall be
referred to him for instructions.
(h) Any person adversely affected by a decision of the Commissioner
of Customs relating to the collection of tonnage tax, or to the refund
of such tax when collected erroneously or illegally, may appeal the
decision in the Court of International Trade provided that the appeal
action is commenced in accordance with the rules of the Court within 2
years after the cause of action first accrues.
[28 FR 14596, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 4.20,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 4.21 Exemptions from tonnage taxes.
(a) Tonnage taxes and light money shall be suspended in whole or in
part whenever the President by proclamation shall so direct.
(b) The following vessels, or vessels arriving in the circumstances
as defined below, shall be exempt from tonnage tax and light money:
(1) It comes into port for bunkers (including water), sea stores, or
ship's stores; transacts no other business in the port; and departs
within 24 hours after its arrival.
(2) It arrives in distress, even though required to enter.
(3) It is brought into port by orders of United States naval
authorities and transacts no business while in port other than the
taking on of bunkers, sea stores, or ship's stores.
(4) It is a vessel of war or other vessel which is owned by, or
under the complete control and management of the United States or the
government of a foreign country, and which is not carrying passengers or
merchandise in trade or, if in ballast, which is not arriving from a
foreign port during the usual course of its employment as a vessel
engaged in trade.
(5) It is a yacht or other pleasure vessel not carrying passengers
or merchandise in trade.
(6) It is engaged exclusively in scientific activities.
(7) It is engaged exclusively in laying or repairing cables.
(8) It is engaged in whaling or other fisheries, even though it may
have entered a foreign port for fuel or supplies, if it did not carry
passengers or merchandise in trade.
(9) It is a passenger vessel making three trips or more a week
between a port of the United States and a foreign port.
(10) It is used exclusively as a ferry boat, including a car ferry.
(11) It enters otherwise than by sea from a foreign port at which
tonnage or lighthouse duties or equivalent taxes are not imposed on
vessels of the United States (applicable only where
[[Page 34]]
the vessel arrives from a port in the province of Ontario, Canada).
(12) It is a coastwise-qualified vessel solely engaged in the
coastwise trade (although arriving from a foreign port or place, it is
engaged in the transportation of merchandise or passengers, or the
towing of a vessel other than a vessel in distress, between points in
the U.S. via a foreign point) (see Sec. Sec. 4.80, 4.80a, 4.80b, and
4.92).
(13) It is a vessel entering directly from the Virgin Islands
(U.S.), American Samoa, the islands of Guam, Wake, Midway, Canton, or
Kingman Reef, or Guantanamo Bay Naval Station.
(14) It is a vessel making regular daily trips between any port of
the United States and any port in Canada wholly upon interior waters not
navigable to the ocean, except that such a vessel shall pay tonnage
taxes upon her first arrival in each calendar year.
(15) It is a vessel arriving at a port in the United States which,
while proceeding between ports in the United States, touched at a
foreign port under circumstances which would have exempted it from
making entry under section 441(4), Tariff Act of 1930, as amended (19
U.S.C. 1441(4)), had it touched at a United States port.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 72-264, 37 FR 20317,
Sept. 29, 1972; T.D. 75-110, 40 FR 21027, May 15, 1975; T.D. 75-206, 40
FR 34586, Aug. 18, 1975; T.D. 79-276, 44 FR 61956, Oct. 29, 1979; T.D.
83-214, 48 FR 46512, Oct. 13, 1983; T.D. 93-12, 58 FR 13197, Mar. 10,
1993; CBP Dec. 12-21, 77 FR 73308, Dec. 10, 2012]
Sec. 4.22 Exemptions from special tonnage taxes.
Vessels of the following nations are exempted by treaties,
Presidential proclamations, or orders of the Secretary of the Treasury
from the payment of any higher tonnage duties than are applicable to
vessels of the United States and are exempted from the payment of light
money:
Algeria
Antigua and Barbuda
Arab Republic of Egypt
Argentina
Australia
Austria
Bahamas, The
Bahrain
Bangladesh
Barbados
Belgium
Belize
Bermuda
Bolivia
Brazil
Bulgaria
Burma
Canada
Chile
Colombia
Cook Islands
Costa Rica
Cuba
Cyprus
Czechoslovakia
Denmark (including the Faeroe Islands)
Dominica
Dominican Republic
Ecuador
El Salvador
Estonia
Ethiopia
Fiji
Finland
France
Gambia, The
German Democratic Republic
German Federal Republic
Ghana
Great Britain (including the Cayman Islands)
Greece
Greenland
Guatemala
Guinea, Republic of
Guyana
Haiti
Honduras
Hong Kong
Hungarian People's Republic
Iceland
India
Indonesia
Iran
Iraq
Ireland (Eire)
Israel
Italy
Ivory Coast, Republic of
Jamaica
Japan
Kenya
Korea
Kuwait
Latvia
Lebanon
Liberia
Libya
Lithuania
Luxembourg
Malaysia
Malta
Marshall Islands, Republic of
Mauritius
Mexico
Monaco
Morocco
Nauru, Republic of
Netherlands
Netherlands Antilles
New Zealand
Nicaragua
Nigeria
Norway
Oman
Pakistan
Panama
Papua New Guinea
Paraguay
People's Republic of China
Peru
Philippines
Poland
Portugal
Qatar
Rumania
Saudi Arabia
Senegal
Singapore, Republic
Somali, Republic
Spain
Sri Lanka
St. Vincent and The Grenadines
Surinam, Republic of
Sweden
Switzerland
Syrian Arab Republic
Taiwan
Thailand
Togo
Tonga
Tunisia
Turkey
Tuvalu
Union of South Africa
Union of Soviet Socialist Republics
United Arab Emirates (Abu Dhabi, Ajman, Dubai, Fujairah, Ras Al Khaimah,
Sharjah, and Umm Al Qaiwain)
Uruguay
Vanuatu, Republic of
Venezuela
Yugoslavia
Zaire
[28 FR 14596, Dec. 31, 1963]
[[Page 35]]
Editorial Note: For Federal Register citations affecting Sec. 4.22,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 4.23 Certificate of payment and cash receipt.
Upon each payment of tonnage tax or light money, the master of the
vessel shall be given a certificate on Customs Form 1002 on which the
control number of the cash receipt (Customs Form 368 or 368A) upon which
payment was recorded shall be written. This certificate shall constitute
the official evidence of such payment and shall be presented upon each
entry during the tonnage year to establish the date of commencement of
the tonnage year and to insure against overpayment. In the absence of
the certificate, evidence of payment of tonnage tax shall be obtained
from the port director to whom the payment was made.
[T.D. 85-71, 50 FR 15415, Apr. 18, 1985, as amended by T.D. 92-56, 57 FR
24943, June 12, 1992]
Sec. 4.24 Application for refund of tonnage tax.
(a) The authority to make refunds in accordance with section 26 of
the Act of June 26, 1884 (46 U.S.C. 8) of regular tonnage taxes
described in Sec. 4.20(a) is delegated to the Directors of the ports
where the collections were made. If any doubt exists, the case shall
first be referred to Headquarters, U.S. Customs Service for advice.
(b) Each application for refund of regular or special tonnage tax or
light money prepared in accordance with this section shall be filed with
the Customs officer to whom payment was made. After verification of the
pertinent facts asserted in the claim, the application shall be
forwarded with any necessary report or recommendation to the appropriate
port director. Applications for refund of special tonnage tax and light
money (see Sec. 4.20(c)) with the reports and recommendations submitted
therewith shall be forwarded by the port director to the Commissioner of
Customs for decision. Any refund authorized by the Port Director under
paragraph (a) of this section or any refund of special tonnae tax or
light money authorized by the Commissioner of Customs shall be made by
the appropriate Customs officer. The records of tonnage tax shall be
clearly noted to show each refund authorized.
(c) The application shall be a direct request for the refund of a
definite sum, showing concisely the reasons therefor, the nationality
and name of the vessel, and the date, place, and amount of each payment
for which refund is requested. The application shall be made within 1
year from date of the payment. A protest against a payment shall not be
accepted as an application for its refund.
(d) When the application is based upon a claim that more than five
payments of regular tax at either the 2-cent or the 6-cent rate have
been made during a tonnage year, the application shall be supported by a
statement from the appropriate Customs officer at the port where the
application is submitted and from the appropriate Customs officer at
each port at which any claimed payment was made verifying the facts and
showing in each case whether refunds have been authorized.
(e) The application shall include a certificate by the owner or by
the owner's agent that payment of tonnage tax at the applicable rate has
been or will be made for each entry of the vessel on a voyage on which
that rate is applicable before the end of the current tonnage year,
exclusive of any payment which has been refunded or which may be
refunded as a result of such application.
(f) The owner or operator of the vessel involved, or other party in
interest, may file with the port Director a petition addressed to the
Commissioner of Customs for a review of the port director's decision on
an application for refund of regular tonnage tax. Such petition shall be
filed in duplicate within 30 days from the date of notice of the initial
decision, shall completely identify the case, and shall set forth in
detail the exceptions to the decision.
[T.D. 71-274, 36 FR 21025, Nov. 3, 1971, as amended by T.D. 95-77, 60 FR
50010, Sept. 27, 1995]
[[Page 36]]
Landing and Delivery of Cargo
Sec. 4.30 Permits and special licenses for unlading and lading.
(a) Except as prescribed in paragraph (f), (g), or (k) of this
section or in Sec. 123.8 of this chapter, and except in the case of a
vessel exempt from entry or clearance fees under 19 U.S.C. 288, no
passengers, cargo, baggage, or other article shall be unladen from a
vessel which arrives directly or indirectly from any port or place
outside the Customs territory of the U.S., including the adjacent waters
(see Sec. 4.6 of this part), or from a vessel which transits the Panama
Canal and no cargo, baggage, or other article shall be laden on a vessel
destined to a port or place outside the Customs territory of the U.S.,
including the adjacent waters (see Sec. 4.6 of this part) if Customs
supervision of such lading is required, until the port director shall
have issued a permit or special license therefore on Customs Form 3171
or electronically pursuant to an authorized electronic data interchange
system or other means of communication approved by the Customs Service.
(1) U.S. and foreign vessels arriving at a U.S. port directly from a
foreign port or place are required to make entry, whether it be formal
or, as provided in Sec. 4.8, preliminary, before the port director may
issue a permit or special license to lade or unlade.
(2) U.S. vessels arriving at a U.S. port from another U.S. port at
which formal entry was made may be issued a permit or special license to
lade or unlade without having to make either preliminary or formal entry
at the second and subsequent ports. Foreign vessels arriving at a U.S.
port from another U.S. port at which formal entry was made may be issued
a permit or special license to lade or unlade at the second and
subsequent ports prior to formal entry without the necessity of making
preliminary entry. In these circumstances, after the master has reported
arrival of the vessel, the port director may issue the permit or special
license or may, in his discretion, require the vessel to be boarded, the
master to make an oath or affirmation to the truth of the statements
contained in the vessel's manifest to the Customs officer who boards the
vessel, and require delivery of the manifest prior to issuing the
permit.
(b) Application for a permit or special license will be made by the
master, owner, or agent of the vessel on Customs Form 3171, or
electronically pursuant to an authorized electronic data interchange
system or other means of communication approved by the Customs Service,
and will specifically indicate the type of service desired at that time,
unless a term permit or term special license has been issued. Vessels
that arrive in a Customs port with more than one vessel carrier sharing
or leasing space on board the vessel (such as under a vessel sharing or
slot charter arrangement) are required to indicate on the CF 3171 all
carriers on board the vessel and indicate whether each carrier is
transmitting its cargo declaration electronically or is presenting it on
the Customs Form 1302. In the case of a term permit or term special
license, upon entry of each vessel, a copy of the term permit or special
license must be submitted to Customs during official hours in advance of
the rendering of services so as to update the nature of the services
desired and the exact times they will be needed. Permits must also be
updated to reflect any other needed changes including those in the name
of the vessel as well as the slot charter or vessel sharing parties. An
agent of a vessel may limit his application to operations involved in
the entry and unlading of the vessel or to operations involved in its
lading and clearance. Such limitation will be specifically noted on the
application.
(c) The request for a permit or a special license shall not be
approved (previously issued term permits or special licenses shall be
revoked) unless the carrier complies with the provisions of paragraphs
(l) and (m) of this section regarding terminal facilities and employee
lists, and the required cash deposit or bond has been filed on Customs
Form 301, containing the bond conditions set forth in Sec. 113.64 of
this chapter relating to international carriers. \62\
[[Page 37]]
When a carrier has on file a bond on Customs Form 301, containing the
bond conditions set forth in Sec. 113.63 of this chapter relating to
basic custodial bond conditions, no further bond shall be required
solely by reason of the unlading or lading at night or on a Sunday or
holiday of merchandise or baggage covered by bonded transportation
entries. Separate bonds shall be required if overtime services are
requested by different principals.
---------------------------------------------------------------------------
\62\ ``Before any such special license to unlade shall be granted,
the master, owner, or agent of such vessel or vehicle, or the person in
charge of such vehicle, shall be required to deposit sufficient money to
pay, or to give a bond in an amount to be fixed by the Secretary
conditioned to pay, the compensation and expenses of the customs
officers and employees assigned to duty in connection with such unlading
at night or on Sunday or a holiday, in accordance with the provisions of
section 5 of the act of February 13, 1911, as amended (U.S.C. 1952
edition, title 19 sec. 267). In lieu of such deposit or bond the owner
or agent of any vessel or vehicle or line of vessels or vehicles may
execute a bond in an amount to be fixed by the Secretary of the Treasury
to cover and include the issuance of special licenses for the unlading
of such vessels or vehicles for a period not to exceed one year. * * *''
(Tariff Act of 1930, section 451, as amended, 19 U.S.C. 1451)
63-66 [Reserved]
---------------------------------------------------------------------------
(d) Except as prescribed in paragraph (f) or (g) of this section, a
separate application for a permit or special license shall be filed in
the case of each arrival.
(e) Stevedoring companies and others concerned in lading or unlading
merchandise, or in removing or otherwise securing it, shall ascertain
that the applicable preliminary Customs requirements have been complied
with before commencing such operation, since performance in the absence
of such compliance render them severally liable to the penalties
prescribed in section 453, Tariff Act of 1930, even though they may not
be responsible for taking the action necessary to secure compliance.
(f) The port director may issue a term permit on Customs Form 3171,
which will remain in effect until revoked by the port director,
terminated by the carrier, or automatically cancelled by termination of
the supporting continuous bond, to unlade merchandise, passengers, or
baggage, or to lade merchandise or baggage during official hours.
(g) The port director may issue a term special license on Customs
Form 3171, which will remain in effect until revoked by the port
director, terminated by the carrier, or automatically cancelled by
termination of the supporting continuous bond, to unlade merchandise,
passengers, or baggage, or to lade merchandise or baggage during
overtime hours or on a Sunday or holiday when Customs supervision is
required. (See Sec. 24.16 of this chapter regarding pleasure vessels.)
(h) A special license for the unlading or lading of a vessel at
night or on a Sunday or holiday shall be refused by the port director if
the character of the merchandise or the conditions or facilities at the
place of unlading or lading render the issuance of such special license
dangerous to the revenue. In no case shall a special license for
unlading or lading at night or on a Sunday or holiday be granted except
on the ground of commercial necessity.
(i) The port director shall not issue a permit or special license to
unlade cargo or equipment of vessels arriving directly or indirectly
from any port or place outside the United States, except on compliance
with one or more of the following conditions:
(1) The merchandise shall have been duly entered and permits issued;
or
(2) A bond on Customs Form 301, containing the bond conditions set
forth in Sec. 113.64 of this chapter relating to international carriers,
or cash deposit shall have been given; or
(3) The merchandise is to be discharged into the custody of the port
director as provided for in section 490(b), Tariff Act of 1930.
(j) Bonds are not required under this section for vessels owned by
the United States and operated for its account.
(k) In the case of vessels of 5 net tons or over which are used
exclusively as pleasure vessels and which arrive from any country, the
port director in his discretion and under such conditions as he deems
advisable may allow the required application for unlading passengers and
baggage to be made orally, and may authorize his inspectors to grant
oral permission for unlading at any time, and to grant requests on
Customs Form 3171 for overtime services.
(l) A permit to unlade pursuant to this part 4 or part 122 of this
chapter
[[Page 38]]
shall not be granted unless the port director determines that the
applicant provides or the terminal at which the applicant will unlade
the cargo provides (1) sufficient space, capable of being locked,
sealed, or otherwise secured, for the storage immediately upon unlading
of cargo whose weight-to-value ratio renders it susceptible to theft or
pilferage and of packages which have been broken prior to or in the
course of unlading; and (2) an adequate number of vehicles, capable of
being locked, sealed, or otherwise secured, for the transportation of
such cargo or packages between the point of unlading and the point of
storage. A term permit to unlade shall be revoked if the port director
determines subsequent to such issuance that the requirements of this
paragraph have not been met.
(m) A permit to unlade pursuant to this part 4 or part 122 of this
chapter shall not be granted to an importing carrier, and a term permit
to unlade previously granted to such a carrier shall be revoked, (1) if
such carrier, within 30 days after the date of receipt of a written
demand by the port director, does not furnish a written list of the
names, addresses, social security numbers, and dates and places of birth
of persons it employs in connection with the unlading, storage and
delivery of imported merchandise; or (2) if, having furnished such a
list, the carrier does not advise the port director in writing of the
names, addresses, social security numbers, and dates and places of birth
of any new personnel employed in connection with the unlading, storage
and delivery of imported merchandise within 10 days after such
employment. If the employment of any such person is terminated, the
carrier shall promptly advise the port director. For the purposes of
this part, a person shall not be deemed to be employed by a carrier if
he is an officer or employee of an independent contractor engaged by a
carrier to load, unload, transport or otherwise handle cargo.
(n) CBP will not issue a permit to unlade before it has received the
cargo declaration information pursuant to Sec. 4.7(b)(2) or (4) of this
part. In cases in which CBP does not receive complete cargo declaration
information from the carrier or a NVOCC in the manner, format, and time
frame required by Sec. 4.7(b)(2) or (4), as appropriate, CBP may delay
issuance of the permit to unlade the entire vessel until all required
information is received. CBP may also decline to issue a permit to
unlade the specific cargo for which a cargo declaration is not received
in a timely manner under Sec. 4.7(b)(2) or (4). Further, where a carrier
does not transmit a cargo declaration in the manner required by
Sec. 4.7(b)(2) or (4), preliminary entry pursuant to Sec. 4.8(b) will be
denied.
[28 FR 14596, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 4.30,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 4.31 Unlading or transshipment due to casualty.
(a) When any cargo or stores of a vessel have been unladen or
transshipped at any place in the United States or its Customs waters
other than a port of entry because of accident, stress of weather, or
other necessity, no penalty shall be imposed under section 453 or
586(a), Tariff Act of 1930, if due notice is given to the director of
the port at which the vessel thereafter first arrives and satisfactory
proof is submitted to him as provided for in section 586(f), Tariff Act
of 1930, as amended, regarding such accident, stress of weather, or
other necessity. The port director may accept the certificates of the
master and two or more officers or members of the crew of the vessel, of
whom the person next to the master in command shall be one, as proof
that the unlading or transshipment was necessary by reason of
unavoidable cause.
(b) The port director may then permit entry of the vessel and its
cargo and permit the unlading of the cargo in such place at the port as
he may deem proper. Unless its transportation has been in violation of
the coastwise laws, the cargo may be cleared through Customs at the port
where it is discharged or forwarded to the port of original destination
under an entry for immediate transportation or for transportation and
exportation, as the case may be. All regulations shall apply in
[[Page 39]]
such cases as if the unlading and delivery took place at the port of
original destination.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 95-77, 60 FR 50010,
Sept. 27, 1995]
Sec. 4.32 Vessels in distress; landing of cargo.
(a) When a vessel from a foreign port arrives in distress at a port
other than that to which it is destined, a permit to land merchandise or
baggage may be issued if such action is necessary. Merchandise and
baggage so unladen shall be taken into Customs custody and, if it has
not been transported in violation of the coastwise laws, may be entered
and disposed of in the same manner as any other imported merchandise or
may be reladen without entry to be carried to its destination on the
vessel from which it was unladen, subject only to charges for storage
and safekeeping.
(b) A bond on Customs Form 301, containing the bond conditions set
forth in Sec. 113.64 of this chapter relating to international carriers
shall be given in an amount to be determined by the port director to
insure the proper disposition of the cargo, whether such cargo be
dutiable or free.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 84-213, 49 FR 41164,
Oct. 19, 1984]
Sec. 4.33 Diversion of cargo.
(a) Unlading at other than original port of destination. A vessel
may unlade cargo or baggage at an alternative port of entry to the port
of original destination if:
(1) It is compelled by any cause to put into the alternative port
and the director of that port issues a permit for the unlading of cargo
or baggage; or
(2) As a result of an emergency existing at the port of destination,
the port director authorizes the vessel to proceed in accordance with
the residue cargo bond procedure to the alternative port. The owner or
agent of the vessel shall apply for such authorization in writing,
stating the reasons and agreeing to hold the port director and the
Government harmless for the diversion.
(b) Disposition of cargo or baggage at emergency port. Cargo and
baggage unladen at the alternative port under the circumstances set
forth in paragraph (a) of this section may be:
(1) Entered in the same manner as other imported cargo or baggage;
(2) Treated as unclaimed and stored at the risk and expense of its
owner; or
(3) Reladen upon the same vessel without entry, for transportation
to its original destination.
(c) Substitution of ports of discharge on manifest. After entry, the
Cargo Declaration, Customs Form 1302, of a vessel may be changed at any
time to permit discharge of manifested cargo at any domestic port in
lieu of any other port shown on the Cargo Declaration, if:
(1) A written application for the diversion is made on the amended
Cargo Declaration by the master, owner, or agent of the vessel to the
director of the port where the vessel is located, after entry of the
vessel at that port;
(2) An amended Cargo Declaration, under oath, covering the cargo,
which it is desired to divert, is furnished in support of the
application and is filed in such number of copies as the port director
shall require for local Customs purposes; and
(3) The certified traveling manifest is not altered or added to in
any way by the master, owner, or agent of the vessel. When an
application under paragraph (c)(1) of this section is approved, the port
director shall securely attach an approved copy of the amended manifest
to the traveling manifest and shall send one copy of the amended Cargo
Declaration to the director of the port where the vessel's bond was
filed.
(d) Retention of cargo on board for later return to the United
States. If, as the result of a strike or other emergency at a United
States port for which inward foreign cargo is manifested, it is desired
to retain the cargo on board the vessel for discharge at a foreign port
but with the purpose of having the cargo returned to the United States,
an application may be made by the master, owner, or agent of the vessel
to amend the vessel's Cargo Declaration, Customs Form 1302, under a
procedure similar to that described in paragraph (c) of this section,
except that a foreign port shall be substituted for the domestic port of
discharge. If the application
[[Page 40]]
is approved, it shall be handled in the same manner as an application
filed under paragraph (c) of this section. However, before approving the
application, the port director is authorized to require such bond as he
deems necessary to insure that export control laws and regulations are
not circumvented.
[T.D. 77-255, 42 FR 56320, Oct. 25, 1977]
Sec. 4.34 Prematurely discharged, overcarried, and undelivered cargo.
(a) Prematurely landed cargo. Upon receipt of a satisfactory written
application from the owner or agent of a vessel establishing that cargo
was prematurely landed and left behind by the importing vessel through
error or emergency, the port director may permit inward foreign cargo
remaining on the dock to be reladen on the next available vessel owned
or chartered by the owner of the importing vessel for transportation to
the destination shown on the Cargo Declaration, Customs Form 1302, of
the first vessel, provided the importing vessel actually entered the
port of destination of the prematurely landed cargo. Unless so forwarded
within 30 days from the date of landing, the cargo shall be
appropriately entered for Customs clearance or for forwarding in bond;
otherwise, it shall be sent to general order as unclaimed. If the
merchandise is so entered for Customs clearance at the port of unlading,
or if it is so forwarded in bond, other than by the importing vessel or
by another vessel owned or chartered by the owner of the importing
vessel, representatives of the importing vessel shall file at the port
of unlading a Cargo Declaration in duplicate listing the cargo. The port
director shall retain the original and forward the duplicate to the
director of the originally intended port of discharge.
(b) Overcarried cargo. Upon receipt of a satisfactory written
application by the owner or agent of a vessel establishing that cargo
was not landed at its destination and was overcarried to another
domestic port through error or emergency, the port director may permit
the cargo to be returned in the importing vessel, or in another vessel
owned or chartered by the owner of the importing vessel, to the
destination shown on the Cargo Declaration, Customs Form 1302, of the
importing vessel, provided the importing vessel actually entered the
port of destination. \67\
---------------------------------------------------------------------------
\67\ See Sec. 141.69(c) of this chapter for the conditions under
which such merchandise and goods removed from a port of intended entry
under these or certain other circumstances may subsequently be cleared
under a consumption entry which had been filed therefore before the
merchandise was removed from the port of intended entry.
68-69 [Reserved]
---------------------------------------------------------------------------
(c) Inaccessibly stowed cargo. Cargo so stowed as to be inaccessible
upon arrival at destination may be retained on board, carried forward to
another domestic port or ports, and returned to the port of destination
in the importing vessel or in another vessel owned or chartered by the
owner of the importing vessel in the same manner as other overcarried
cargo.
(d) Application for forwarding cargo. When it is desired that
prematurely landed cargo, overcarried cargo, or cargo so stowed as to be
inaccessible, be forwarded to its destination by the importing vessel or
by another vessel owned or chartered by the owner of the importing
vessel in accordance with paragraph (a), (b), or (c) of this section,
the required application shall be filed with the local director of the
port of premature landing or overcarriage by the owner or agent of the
vessel. The application shall be supported by a Cargo Declaration,
Customs Form 1302, in such number of copies as the port director may
require. Whenever practicable, the application shall be made on the face
of the Cargo Declaration below the description of the merchandise. The
application shall specify the vessel on which the cargo was imported,
even though the forwarding to destination is by another vessel owned or
chartered by the owner of the importing vessel, and all ports of
departure and dates of sailing of the importing vessel. The application
shall be stamped and signed to show that it has been approved.
(e) Manifesting prematurely landed or overcarried cargo. One copy of
the Cargo Declaration, Customs Form 1302, shall be certified by Customs
for use as a substitute traveling manifest for the prematurely landed or
overcarried
[[Page 41]]
cargo being forwarded as residue cargo, whether or not the forwarding
vessel is also carrying other residue cargo. If the application for
forwarding is made on the Cargo Declaration, the new substitute
traveling manifest shall be stamped to show the approval of the
application. If the application is on a separate document, a copy
thereof, stamped to show its approval, shall be attached to the
substitute traveling manifest. An appropriate cross-reference shall be
placed on the original traveling manifest to show that the vessel has
one or more substitute traveling manifests. A permit to proceed endorsed
on a Vessel Entrance or Clearance Statement, Customs Form 1300, issued
to the vessel transporting the prematurely landed or overcarried cargo
to its destination shall make reference to the nature of such cargo,
identifying it with the importing vessel.
(f) Residue cargo procedure. A vessel with prematurely landed or
overcarried cargo on board shall comply upon arrival at all domestic
ports of call with all the requirements of part 4 relating to foreign
residue cargo for domestic ports. The substitute traveling manifest,
carried forward from port to port by the oncarrying vessel, shall be
finally surrendered at the port where the last portion of the
prematurely landed or overcarried cargo is discharged.
(g) Cargo undelivered at foreign port and returned to the U.S.
Merchandise shipped from a domestic port, but undelivered at the foreign
destination and returned, shall be manifested as ``Undelivered-to be
returned to original foreign destination,'' if such a return is
intended. The port director may issue a permit to retain the merchandise
on board, or he may, upon written application of the steamship company,
issue a permit on a Delivery Ticket, Customs Form 6043, allowing the
merchandise to be transferred to another vessel for return to the
original foreign destination. No charge shall be made against the bond
on Customs Form 301, containing the bond conditions relating to
international carriers set forth in Sec. 113.64 of this chapter. The
items shall be remanifested outward and an explanatory reference of the
attending circumstances and compliance with export requirements noted.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 77-255, 42 FR 56321,
Oct. 25, 1977; T.D. 85-123, 50 FR 29952, July 23, 1985; T.D. 95-77, 60
FR 50010, Sept. 27, 1995; T.D. 00-22, 65 FR 16515, Mar. 29, 2000]
Sec. 4.35 Unlading outside port of entry.
(a) Upon written application from the interested party, the port
director concerned, if he considers it necessary, may permit any vessel
laden with merchandise in bulk to proceed, after entry, to any place
outside the port where the vessel entered which such port director may
designate for the purpose of unlading such cargo.
(b) In such case a deposit of a sum sufficient to reimburse the
Government for the compensation, travel, and subsistence expenses of the
officers detailed to supervise the unlading and delivery of the cargo
may be required by the port director.
[28 FR 14596, Dec. 31, 1963, as amended at T.D. 95-77, 60 FR 50010,
Sept. 27, 1995]
Sec. 4.36 Delayed discharge of cargo.
(a) When pursuant to section 457, Tariff Act of 1930, customs
officers are placed on a vessel which has retained merchandise on board
more than 25 days after the date of the vessel's arrival, their
compensation and subsistence expenses shall be reimbursed to the
Government by the owner or master.
(b) The compensation of all Customs officers and employees assigned
to supervise the discharge of a cargo within the purview of section 458,
Tariff Act of 1930, \70\ after the expiration of 25 days after the date
of the vessel's entry
[[Page 42]]
shall be reimbursed to the Government by the owner or master of the
vessel.
---------------------------------------------------------------------------
\70\ ``The limitation of time for unlading shall not extend to
vessels laden exclusively with merchandise in bulk consigned to one
consignee and arriving at a port for orders, but if the master of such
vessel requests a longer time to discharge its cargo, the compensation
of the inspectors or other customs officers whose services are required
in connection with the unlading shall, for every day consumed in
unlading in excess of twenty-five (25) days from the date of the
vessel's entry, be reimbursed by the master or owner of such vessel.''
(Tariff Act of 1930, sec. 458; 19 U.S.C. 1458)
71-75 [Reserved]
---------------------------------------------------------------------------
(c) When cargo is manifested ``for orders'' upon the arrival of the
vessel, no amendment of the manifest to show another port of discharge
shall be permitted after 15 days after the date of the vessel's arrival,
except as provided for in Sec. 4.33.
(d) All reimbursements payable in accordance with this section shall
be paid or secured to the port director before clearance is granted to
the vessel.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 95-77, 60 FR 50010,
Sept. 27, 1995; T.D. 98-74, 63 FR 51287, Sept. 25, 1998]
Sec. 4.37 General order.
(a) Any merchandise or baggage regularly landed but not covered by a
permit for its release shall be allowed to remain at the place of
unlading until the fifteenth calendar day after landing. No later than
20 calendar days after landing, the master or owner of the vessel or the
agent thereof shall notify Customs of any such merchandise or baggage
for which entry has not been made. Such notification shall be provided
in writing or by any appropriate Customs-authorized electronic data
interchange system. Failure to provide such notification may result in
assessment of a monetary penalty of up to $1,000 per bill of lading
against the master or owner of the vessel or the agent thereof. If the
value of the merchandise on the bill is less than $1,000, the penalty
shall be equal to the value of such merchandise.
(b) Any merchandise or baggage that is taken into custody from an
arriving carrier by any party under a Customs-authorized permit to
transfer or in-bond entry may remain in the custody of that party for 15
calendar days after receipt under such permit to transfer or 15 calendar
days after arrival at the port of destination. No later than 20 calendar
days after receipt under the permit to transfer or 20 calendar days
after arrival under bond at the port of destination, the party shall
notify Customs of any such merchandise or baggage for which entry has
not been made. Such notification shall be provided in writing or by any
appropriate Customs-authorized electronic data interchange system. If
the party fails to notify Customs of the unentered merchandise or
baggage in the allotted time, he may be liable for the payment of
liquidated damages under the terms and conditions of his custodial bond
(see Sec. 113.63(c)(4) of this chapter).
(c) In addition to the notification to Customs required under
paragraphs (a) and (b) of this section, the carrier (or any other party
to whom custody of the unentered merchandise has been transferred by a
Customs authorized permit to transfer or in-bond entry) shall provide
notification of the presence of such unreleased and unentered
merchandise or baggage to a bonded warehouse certified by the port
director as qualified to receive general order merchandise. Such
notification shall be provided in writing or by any appropriate Customs-
authorized electronic data interchange system and shall be provided
within the applicable 20-day period specified in paragraph (a) or (b) of
this section. It shall then be the responsibility of the bonded
warehouse proprietor to arrange for the transportation and storage of
the merchandise or baggage at the risk and expense of the consignee. The
arriving carrier (or other party to whom custody of the merchandise was
transferred by the arriving carrier under a Customs-authorized permit to
transfer or in-bond entry) is responsible for preparing a Customs Form
(CF) 6043 (Delivery Ticket), or other similar Customs document
designated by the port director or an electronic equivalent as
authorized by Customs, to cover the proprietor's receiptof the
merchandise and its transport to the warehouse from the custody of the
arriving carrier (or other party to whom custody of the merchandise was
transferred by the carrier under a Customs-authorized permit to transfer
or in-bond entry) (see Sec. 19.9 of this chapter). Any unentered
merchandise or baggage shall remain the responsibility of the carrier,
master, or person in charge of the importing vessel or the agent thereof
or party to whom the merchandise has been transferred under a Customs
authorized permit to transfer or in-bond entry, until it is properly
transferred from his control in accordance with this paragraph. If the
party
[[Page 43]]
to whom custody of the unentered merchandise or baggage has been
transferred by a Customs-authorized permit to transfer or in-bond entry
fails to notify a Customs-approved bonded warehouse of such merchandise
or baggage within the applicable 20-calendar-day period, he may be
liable for the payment of liquidated damages of $1,000 per bill of
lading under the terms and conditions of his international carrier or
custodial bond (see Sec. Sec. 113.63(b), 113.63(c) and 113.64(b) of this
chapter).
(d) If a carrier or any other party to whom custody of the unentered
merchandise has been transferred by means of a Customs-authorized permit
to transfer or in-bond entry fails to timely relinquish custody of the
merchandise to a Customs-approved bonded General Order warehouse, the
carrier or other party may be liable for liquidated damages equal to the
value of that merchandise under the terms and conditions of his
international carrier or custodial bond, as applicable.
(e) If the bonded warehouse operator fails to take possession of
unentered and unreleased merchandise or baggage within five calendar
days after receipt of notification of the presence of such merchandise
or baggage under this section, he may be liable for the payment of
liquidated damages under the terms and conditions of his custodial bond
(see Sec. 113.63(a)(1) of this chapter). If the port director finds that
the warehouse operator cannot accept the goods because they are required
by law to be exported or destroyed (see Sec. 127.28 of this chapter), or
for other good cause, the goods will remain in the custody of the
arriving carrier or other party to whom the goods have been transferred
under a Customs-authorized permit to transfer or in-bond entry. In this
event, the carrier or other party will be responsible under bond for
exporting or destroying the goods, as necessary (see
Sec. Sec. 113.63(c)(3) and 113.64(b) of this chapter).
(f) In ports where there is no bonded warehouse authorized to accept
general order merchandise or if merchandise requires specialized storage
facilities which are unavailable in a bonded facility, the port
director, after having received notice of the presence of unentered
merchandise or baggage in accordance with the provisions of this
section, shall direct the storage of the merchandise by the carrier or
by any other appropriate means.
(g) Whenever merchandise remains on board any vessel from a foreign
port more than 25 days after the date on which report of arrival of such
vessel was made, the port director, as prescribed in section 457, Tariff
Act of 1930, as amended (19 U.S.C. 1457), may take possession of such
merchandise and cause it to be unladen at the expense and risk of the
owners of the merchandise. Any merchandise so unladen shall be sent
forthwith by the port director to a general order warehouse and stored
at the risk and expense of the owners of the merchandise.
(h) Merchandise taken into the custody of the port director pursuant
to section 490(b), Tariff Act of 1930, as amended (19 U.S.C. 1490(b)),
shall be sent to a general order warehouse after 1 day after the day the
vessel was entered, to be held there at the risk and expense of the
consignee.
[T.D. 98-74, 63 FR 51287, Sept. 25, 1998, as amended by T.D. 02-65, 67
FR 68032, Nov. 8, 2002]
Sec. 4.38 Release of cargo.
(a) No imported merchandise shall be released from Customs custody
until a permit to release such merchandise has been granted. Such permit
shall be issued by the port director only after the merchandise has been
entered and, except as provided for in Sec. 141.102(d) or part 142 of
this chapter, the duties thereon, if any, have been estimated and paid.
Generally, the permit shall consist of a document authorizing delivery
of a particular shipment or an electronic equivalent. Alternatively, the
permit may consist of a report which lists those shipments which have
been authorized for release. This alternative cargo release notification
may be used when the manifest is not filed by the carrier through the
Automated Manifest System, the entry has been filed through the
Automated Broker Interface, and Customs has approved the cargo for
release without submission of paper documents after reviewing the entry
data submitted electronically through ABI and its selectivity
[[Page 44]]
criteria (see Sec. 143.34). The report shall be posted in a conspicuous
area to which the public has access in the customhouse at the port of
entry where the cargo was imported.
(1) Where the cargo arrives by vessel, the report shall consist of
the following data elements:
(i) Vessel name or code, if transmitted by the entry filer;
(ii) Carrier code;
(iii) Voyage number, if transmitted by the entry filer;
(iv) Bill of lading number;
(v) Quantity released; and
(vi) Entry number (including filer code).
(2) Where the cargo arrives by air, the report shall consist of the
following data elements:
(i) Air waybill number;
(ii) Quantity released;
(iii) Entry number (including filer code);
(iv) Carrier code; and
(v) Flight number, if transmitted by the entry filer.
(3) In the case of merchandise traveling via in-bond movement, the
report will contain the following data elements:
(i) Immediate transportation bond number;
(ii) Carrier code;
(iii) Quantity released; and
(iv) Entry number (including filer code).
When merchandise is released without proper permit before entry has been
made, the port director shall issue a written demand for redelivery. The
carrier or facility operator shall redeliver the merchandise to Customs
within 30 days after the demand is made. The port director may authorize
unentered merchandise brought in by one carrier for the account of
another carrier to be transferred within the port to the latter
carrier's facility. Upon receipt of the merchandise the latter carrier
assumes liability for the merchandise to the same extent as though the
merchandise had arrived on its own vessel.
(b) When packages of merchandise bear marks or numbers which differ
from those appearing on the Cargo Declaration, Customs Form 1302, of the
importing vessel for the same packages and the importer or a receiving
bonded carrier, with the concurrence of the importing carrier, makes
application for their release under such marks or numbers, either for
consumption or for transportation in bond under an entry filed therefor
at the port of discharge from the importing vessel, the port director
may approve the application upon condition that (1) the contents of the
packages be identified with an invoice or transportation entry as set
forth below and (2) the applicant furnish at his own expense any bonded
cartage or lighterage service which the granting of the application may
require. The application shall be in writing in such number of copies as
may be required for local Customs purposes. Before permitting delivery
of packages under such an application, the port director shall cause
such examination thereof to be made as will reasonably identify the
contents with the invoice filed with the consumption entry. If the
merchandise is entered for transportation in bond without the filing of
an invoice, such examination shall be made as will reasonably identify
the contents of the packages with the transportation entry.
(c) If the port director determines that, in a port or portion of a
port, the volume of cargo handled, the incidence of theft or pilferage,
or any other factor related to the protection of merchandise in Customs
custody requires such measures, he shall require as a condition to the
granting of a permit to release imported merchandise that the importer
or his agent present to the carrier or his agent a fully executed pickup
order in substantially the following format, in triplicate, to obtain
delivery of any imported merchandise:
[[Page 45]]
[GRAPHIC] [TIFF OMITTED] TC14NO91.167
The pickup order shall contain a duly authenticated customhouse broker's
signature, unless it is presented by a person properly identified as an
employee or agent of the ultimate consignee. When delivered quantities
are verified by a Customs officer, he shall certify all copies of the
pickup order, returning one to the importer or his agent and two to the
carrier making delivery.
(d) When the provisions of paragraph (c) of this section are invoked
by the port director and verification of delivered quantities by Customs
is required, a permit to release merchandise shall be effective as a
release from Customs custody at the time that the delivery of the
merchandise covered by the pickup order into the physical possession of
a subsequent carrier or an importer or the agent of either is completed
under the supervision of a Customs officer, and only to the extent of
the actual delivery of merchandise described in such pickup order as
verified by such Customs officer.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 71-39, 36 FR 1892, Feb.
3, 1971; T.D. 77-255, 42 FR 56321, Oct. 25, 1977; T.D. 91-46, 56 FR
22330, May 15, 1991; 56 FR 27559, June 14, 1991]
Sec. 4.39 Stores and equipment of vessels and crews' effects; unlading
or lading and retention on board.
(a) The provisions of Sec. 4.30 relating to unlading under a permit
on Customs Form 3171 are applicable to the unlading of articles, other
than cargo or baggage, which have been laden on a vessel outside the
Customs territory of the United States, regardless of the trade in which
the vessel may be engaged at the time of unlading, except that such
provisions do not apply to such articles which have already been
entered.
(b) Any articles other than cargo or baggage landed for delivery for
consumption in the United States shall be treated in the same manner as
other imported articles. A notation as to the landing of such articles,
together with the number of the entry made therefor, shall be made on
the vessel's store list, but such notation shall not subject the
articles to the requirement of being included in a post entry to the
manifest.
(c) Bags or dunnage constituting equipment of a vessel may be landed
temporarily and reladen on such vessel under Customs supervision without
entry.
(d) Articles claimed to be sea or ships' stores which are in excess
of the reasonable requirements of the vessel
[[Page 46]]
on which they are found shall be treated as cargo of such vessel.
(e) Under section 446, Tariff Act of 1930, port directors may permit
narcotic drugs, except smoking opium, in reasonable quantities and
properly listed as medical stores to remain on board vessels if
satisfied that such drugs are adequately safeguarded and used only as
medical supplies.
(f) Application for permission to transfer bunkers, stores or
equipment as provided for in the proviso to section 446, Tariff Act of
1930, shall be made and the permit therefor granted on Customs Form
3171.
(g) Equipment of a vessel arriving either directly or indirectly
from a foreign port or place, if in need of repairs in the United
States, may be unladen from and reladen upon the same vessel under the
procedures set forth in Sec. 4.30 relating to the granting of permits
and special licenses on Customs Form 3171 (CF 3171). Adequate protection
of the revenue is insured under the appropriate International Carrier
Bond during the period that equipment is temporarily landed for repairs
(see Sec. 113.64(b) of this chapter), and so resort to the procedures
established for the temporary importation of merchandise under bond is
unnecessary. Once equipment which has been unladen under the terms of a
CF 3171 has been reladen on the same vessel, potential liability for
that transaction existing under the bond will be extinguished.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 93-66, 58 FR 44130, Aug.
19, 1993; T.D. 00-61, 65 FR 56790, Sept. 20, 2000]
Sec. 4.40 Equipment, etc., from wrecked or dismantled vessels.
Ship's or sea stores, supplies, and equipment of a vessel wrecked
either in the waters of the United States or outside such waters, on
being recovered and brought into a United States port, and like articles
landed from a vessel dismantled in a United States port shall be subject
to the same Customs treatment as would apply if the articles were landed
from a vessel arriving in the ordinary course of trade. Parts of the
hull and fittings recovered from a vessel which arrived in the United
States in the course of navigation and was wrecked in the waters of the
United States or was dismantled in this country are free of duties and
import taxes, but if such articles are recovered from vessels outside
the waters of the United States and brought into a United States port,
they shall be treated as imported merchandise.
Sec. 4.41 Cargo of wrecked vessel.
(a) Any cargo landed from a vessel wrecked in the waters of the
United States or on the high seas shall be subject at the port of entry
to the same entry requirements and privileges as the cargo of a vessel
regularly arriving in the foreign trade. In lieu of a Cargo Declaration,
Customs Form 1302, to cover such cargo, the owner, underwriter (if the
merchandise has been abandoned to him), or the salvor of the merchandise
shall make entry on Customs Form 7501, and any such applicant shall be
regarded as the consignee of the merchandise for Customs purposes. \76\
---------------------------------------------------------------------------
\76\ ``* * * The underwriters of abandoned merchandise and the
salvors of merchandise saved from a wreck at sea or on or along a coast
of the United States may be regarded as the consignees.''* * * (Tariff
Act of 1930, sec. 483; 19 U.S.C. 1483)
---------------------------------------------------------------------------
(b) All such merchandise shall be taken into possession by the
director of the port where it shall first arrive and be retained in his
custody pending entry. If it is not entered by the person entitled to
make entry, or is not disposed of pursuant to court order, it shall be
subject to sale as unclaimed merchandise.
(c) If such merchandise is from a vessel which has been sunk in
waters of the United States for 2 years or more and has been abandoned
by the owner, any person who has salvaged the cargo shall be permitted
to enter the merchandise at the port where the vessel was wrecked free
of duty upon the facts being established to the satisfaction of the
director of the port of entry. \77\ Any
[[Page 47]]
other such merchandise is subject to the same tariff classification as
like merchandise regularly imported in the ordinary course of trade.
---------------------------------------------------------------------------
\77\ ``Whenever any vessel laden with merchandise, in whole or in
part subject to duty, has been sunk in any river, harbor, bay, or waters
subject to the jurisdiction of the United States, and within its limits,
for the period of two years and is abandoned by the owner thereof, any
person who may raise such vessel shall be permitted to bring any
merchandise recovered therefrom into the port nearest to the place where
such vessel was so raised free from the payment of any duty thereupon,
but under such regulations as the Secretary of the Treasury may
prescribe.'' (Tariff Act of 1930, sec. 310; 19 U.S.C. 1310)
---------------------------------------------------------------------------
(d) If the merchandise is libeled for salvage, \78\ the port
director shall notify the United States attorney of the claim of the
United States for duties, and request him to intervene for such duties.
---------------------------------------------------------------------------
\78\ Salvors have an uncertain interest in the goods salved,
dependent upon the decree of a competent tribunal, and have a
presumptive right without such decree to possession of merchandise
salved by them from abandoned wrecks. The salvors are entitled in either
case to make entry of derelict or wrecked goods.
79-103 [Reserved]
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 77-255, 42 FR 56321,
Oct. 25, 1977; T.D. 87-75, 52 FR 20066, May 29, 1987; T.D. 95-77, 60 FR
50010, Sept. 27, 1995; T.D. 99-27, 64 FR 13675, Mar. 22, 1999]
Passengers on Vessels
Sec. 4.50 Passenger lists.
(a) The master of every vessel arriving at a port of the United
States from a port or place outside the Customs territory (see Sec. 4.6
of this part) and required to make entry, except a vessel arriving from
Canada, otherwise than by sea, at a port on the Great Lakes, or their
connections or tributary waters, shall submit passenger and crew lists,
as required by Sec. 4.7(a) of this part. If the vessel is arriving from
noncontiguous foreign territory and is carrying steerage passengers, the
additional information respecting such passengers required by Customs
and Immigration Form I-418 shall be included therein.
(b) A passenger within the meaning of this part is any person
carried on a vessel who is not connected with the operation of such
vessel, her navigation, ownership, or business.
[28 FR 14596, Dec. 31, 1963 as amended by T.D. 71-169, 36 FR 12603, July
2, 1971; T.D. 82-145, 47 FR 35475, Aug. 16, 1982; T.D. 93-96, 58 FR
67316, Dec. 21, 1993]
Sec. 4.51 Reporting requirements for individuals arriving by vessel.
(a) Arrival of vessel reported. Individuals on vessels, which have
reported their arrival to Customs in accordance with19 U.S.C. 1433 and
Sec. 4.2 of this part, shall remain on board until authorized by Customs
to depart. Upon departing the vessel, such individuals shall immediately
report to a designated Customs location together with all of their
accompanying articles.
(b) Arrival of vessel not reported. Individuals on vessels, which
have not reported their arrival to Customs in accordance with 19 U.S.C.
1433 and Sec. 4.2 of this part, shall immediately notify Customs and
report their arrival together with appropriate information regarding the
vessel, and shall present themselves and their accompanying articles at
a designated Customs location.
(c) Departure from designated Customs location. Individuals required
to report to designated Customs locations under this section shall not
depart from such locations until authorized to do so by any appropriate
Customs officer.
[T.D. 93-96, 58 FR 67316, Dec. 21, 1993]
Sec. 4.52 Penalties applicable to individuals.
Individuals violating any of the reporting requirements of Sec. 4.51
of this part or who present any forged, altered, or false document or
paper to Customs in connection with this section, may be liable for
certain civil penalties, as provided under 19 U.S.C. 1459, in addition
to other penalties applicable under other provisions of law. Further, if
the violation of these reporting requirements is intentional, upon
conviction, additional criminal penalties may be applicable, as provided
by under 19 U.S.C. 1459, in addition to other penalties applicable under
other provisions of law.
[T.D. 93-96, 58 FR 67317, Dec. 21, 1993; 59 FR 1918, Jan. 13, 1994]
Foreign Clearances
Sec. 4.60 Vessels required to clear.
(a) Unless specifically excepted by law, the following vessels must
obtain clearance from CBP before departing
[[Page 48]]
from a port or place in the United States:
(1) All vessels departing for a foreign port or place;
(2) All foreign vessels departing for another port or place in the
United States;
(3) All American vessels departing for another port or place in the
United States that have foreign merchandise for which entry has not been
made; and
(4) All vessels departing for points outside the territorial sea to
visit a hovering vessel or to receive merchandise or passengers while
outside the territorial sea, as well as foreign vessels delivering
merchandise or passengers while outside the territorial sea.
(b) The following vessels are not required to clear:
(1) A documented vessel with a pleasure license endorsement or an
undocumented American pleasure vessel (i.e., an undocumented vessel
wholly owned by a United States citizen or citizens, whether or not it
has a certificate of number issued by the State in which the vessel is
principally used under 46 U.S.C. 1466-1467 and not engaged in trade nor
violating the customs or navigation laws of the United States and not
having visited any hovering vessel (see 19 U.S.C. 1709(d)).
(2) A vessel exempted from entry by section 441, Tariff Act of 1930.
(See Sec. 4.5.)
(3) A vessel of less than 5 net tons which departs from the United
States to proceed to a contiguous country otherwise than by sea.
(c) Vessels which will merely transit the Panama Canal without
transacting any business there will not be required to be cleared
because of such transit.
(d) In the event that departure is delayed beyond the second day
after clearance, the delay must be reported within 72 hours after
clearance to the port director who will note the fact of detention on
the certificate of clearance and on the official record of clearance.
When the proposed voyage is canceled after clearance, the reason
therefor must be reported in writing within 24 hours after such
cancellation and the certificate of clearance and related papers must be
surrendered.
(e) No vessel will be cleared for the high seas except, a vessel
bound to another vessel on the high seas to--
(1) Transship export merchandise which it has transported from the
U.S. to the vessel on the high seas; or
(2) Receive import merchandise from the vessel on the high seas and
transport the merchandise to the U.S.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 79-276, 44 FR 61956,
Oct. 29, 1979; T.D. 83-214, 48 FR 46512, Oct. 13, 1983; T.D. 85-91, 50
FR 21429, May 24, 1985; T.D. 94-24, 59 FR 13200, Mar. 21, 1994; T.D. 95-
77, 60 FR 50010, Sept. 27, 1995; T.D. 00-4, 65 FR 2873, Jan. 19, 2000;
CBP Dec. 08-25, 73 FR 40725, July 16, 2008; CBP Dec. 10-33, 75 FR 69585,
Nov. 15, 2010]
Sec. 4.61 Requirements for clearance.
(a) Application for clearance. A clearance application for a vessel
intending to depart for a foreign port must be made by filing Customs
Form 1300 (Vessel Entrance or Clearance Statement) executed by the
vessel master or other proper officer. The master, licensed deck
officer, or purser may appear in person to clear the vessel, or the
properly executed Customs Form 1300 may be delivered to the customhouse
by the vessel agent or other personal representative of the master.
Necessary information may also be transmitted electronically pursuant to
a system authorized by Customs. Clearance will be granted by Customs
either on the Customs Form 1300 or by approved electronic means. Customs
port directors may permit the clearance of vessels at locations other
than the customhouse, and at times outside of normal business hours.
Customs may take local resources into consideration in allowing
clearance to be transacted on board vessels themselves or at other
mutually convenient sites and times either within or outside of port
limits. Customs must be satisfied that the place designated for
clearance is sufficiently under Customs control at the time of
clearance, and that the expenses incurred by Customs will be reimbursed
as authorized. Customs may require that advance notice of vessel
departure be given prior to granting requests for optional clearance
locations.
(b) When clearance required. Under certain circumstances, American
vessels departing from ports of the United
[[Page 49]]
States directly for other United States ports must obtain Customs
clearance. The clearance of such vessels is required when they have
merchandise aboard which is being transported in-bond, or when they have
unentered foreign merchandise aboard. For the purposes of the vessel
clearance requirements, merchandise transported in-bond does not include
bonded ship's stores or supplies. While American vessels transporting
unentered foreign merchandise must fully comply with usual clearance
procedures, American vessels carrying no unentered foreign merchandise
but that have in-bond merchandise aboard may satisfy vessel clearance
requirements by reporting intended departure within 72 hours prior
thereto by any means of communication that is satisfactory to the local
Customs port director, and by presenting a completed Customs Form 1300
(Vessel Entrance or Clearance Statement). Also, the Customs officer may
require the production of any documents or papers deemed necessary for
the proper inspection/examination of the vessel, cargo, passenger, or
crew. Report of departure together with providing information to Customs
as specified in this paragraph satisfies all clearance requirements for
the subject vessels.
(c) Verification of compliance. Before clearance is granted to a
vessel bound to a foreign port as provided in Sec. 4.60 and this
section, the port director will verify compliance with respect to the
following matters:
(1) Accounting for inward cargo (see Sec. 4.62).
(2) Outward Cargo Declarations; shippers export declarations (see
Sec. 4.63).
(3) Documentation (see Sec. 4.0(c)).
(4) Verification of nationality and tonnage (see Sec. 4.65).
(5) Verification of inspection (see Sec. 4.66).
(6) Inspection under State laws (46 U.S.C. App. 97).
(7) Closed ports or places (see Sec. 4.67).
(8) Passengers (see Sec. 4.68).
(9) Shipping articles and enforcement of Seamen's Act (see
Sec. 4.69).
(10) Medicine and slop chests.
(11) Load line regulations (see Sec. 4.65a).
(12) Carriage of United States securities, etc. (46 U.S.C. App. 98).
(13) Carriage of mail.
(14) Public Health regulations (see Sec. 4.70).
(15) Inspection of vessels carrying livestock (see Sec. 4.71).
(16) Inspection of meat, meat-food products, and inedible fats (see
Sec. 4.72).
(17) Neutrality exportation of arms and munitions (see Sec. 4.73).
(18) Payment of State and Federal fees and fees due the Government
of the Virgin Islands of the United States (46 U.S.C. App. 100).
(19) Orders restricting shipping (see Sec. 4.74).
(20) Estimated duties deposited or a bond given to cover duties on
foreign repairs and equipment for vessels of the United States (see
Sec. 4.14).
(21) Illegal discharge of oil (see Sec. 4.66a).
(22) Attached or arrested vessel.
(23) Immigration laws.
(24) Electronic receipt of required vessel cargo information (see
Sec. 192.14(c) of this chapter).
(d) Vessel built for foreign account. A new vessel built in the
United States for foreign account will be cleared under a certificate of
record, Coast Guard Form 1316, in lieu of a marine document.
(e) Clearance not granted. Clearance will not be granted to any
foreign vessel using the flag of the United States or any distinctive
signs or markings indicating that the vessel is an American vessel (22
U.S.C. 454a).
(f) Clearance in order of itinerary. Unless otherwise provided in
this section, every vessel bound for a foreign port or ports will be
cleared for a definite port or ports in the order of its itinerary, but
an application to clear for a port or place for orders, that is, for
instructions to masters as to destination of the vessel, may be accepted
if the vessel is in ballast or if any cargo on board is to be discharged
in a port of the same country as the port for which clearance is sought.
[T.D. 00-4, 65 FR 2874, Jan. 19, 2000; T.D. 00-22, 65 FR 16515, Mar. 29,
2000; CBP Dec. 03-32, 68 FR 68169, Dec. 5, 2003]
Sec. 4.62 Accounting for inward cargo.
Inward cargo discrepancies shall be accounted for and adjusted by
correction of the Cargo Declaration Outward
[[Page 50]]
With Commercial Forms, Customs Form 1302-A, but the vessel may be
cleared and the adjustment deferred if the discharging officer's report
has not been received. (See Sec. 4.12.)
[T.D. 77-255, 42 FR 56322, Oct. 25, 1977, as amended by T.D. 84-193, 49
FR 35485, Sept. 10, 1984]
Sec. 4.63 Outward cargo declaration; shippers' export declarations.
(a) No vessel shall be cleared directly for a foreign port, or for a
foreign port by way of another domestic port or other domestic ports
(see Sec. 4.87(b)), unless there has been filed with the appropriate
Customs officer at the port from which clearance is being sought:
(1) A Cargo Declaration Outward With Commercial Forms, Customs Form
1302-A. Copies of bills of lading or equivalent commercial documents
relating to all cargo encompassed by the manifest must be attached in
such manner as to constitute one document, together with a Vessel
Entrance or Clearance Statement, Customs Form 1300, and export
declarations as are required by pertinent regulations of the Bureau of
the Census, Department of Commerce; or
(2) An incomplete Cargo Declaration as provided for in Sec. 4.75.
(b) Except as hereafter stated, the number of the export declaration
covering each shipment for which an authenticated export declaration is
required shall be shown on the Cargo Declaration Outward With Commercial
Forms, Customs Form 1302-A, in the marginal column headed ``B/L No.'' If
an export declaration is not required for a shipment, a notation shall
be made on the Cargo Declaration Outward With Commercial Forms (Customs
Form 1302-A) describing the basis for the exemption with a reference to
the number of the section in the Census Regulations (see 15 CFR 30.39,
30.50 through 30.57) where the particular exemption is provided. If
shipments are exempt on the basis of value and destination, the
appearance of the value and destination on a bill of lading or other
commercial documents is acceptable as evidence of the exemption and
reference to the applicable section in the Census Regulations is not
required.
(c) The following minimal information shall be included on the Cargo
Declaration Outward With Commercial Forms, Customs Form 1302-A (other
information required to be on a Customs Form 1302-A as shown on the form
itself must also be included thereon) or on attached copies of bills of
lading or equivalent commercial documents:
(1) Name and address of shipper;
(2) Description of the cargo (see paragraph (d) of this section);
(3) Number of packages and gross weight (see paragraph (d) of this
section);
(4) Name of vessel or carrier;
(5) Port of exit (this shall be the port where the merchandise is
loaded on the vessel); and
(6) Port of destination (this shall be the foreign port of discharge
of the merchandise).
(d) If the bills of lading or equivalent commercial documents
attached to the Customs Form 1302-A show on their face the cargo
information required by columns 6, 7, and either column 8 or 9, of the
Customs Form 1302-A, that information need not be shown again on the
Customs Form 1302-A. However, in that case, the cargo information must
be incorporated by a suitable reference on the face of the Customs Form
1302-A such as ``Cargo as per attached commercial documents.''
(e) For each shipment to be exported under an entry or withdrawal
for exportation or for transportation and exportation, the Cargo
Declaration Outward With Commercial Forms, Customs Form 1302-A, or
commercial document attached to the Cargo Declaration and made a part
thereof in accordance with paragraph (a)(1) of this section, shall
clearly show for such shipment the number, date, and class of such
Customs entry or withdrawal (i.e., T. & E., Wd. T. & E., I. E., Wd. Ex.,
or Wd. T., as applicable) and the name of the port where the merchandise
is laden for exportation.
(f) Customs officers shall accept a Cargo Declaration Outward With
Commercial Forms, Customs Form 1302-A, covering containerized or
palletized cargo which indicates by the use of appropriate words of
qualification (see Sec. 4.7a(c)(3)) that the declaration has
[[Page 51]]
been prepared on the basis of information furnished by the shipper.
[T.D. 84-193, 49 FR 35484, Sept. 10, 1984; T.D. 00-22, 65 FR 16515, Mar.
29, 2000]
Sec. 4.64 Electronic passenger and crew member departure manifests.
(a) Definitions. The definitions contained in Sec. 4.7b(a) also
apply for purposes of this section.
(b) Electronic departure manifest--(1) General requirement. Except
as provided in paragraph (c) of this section, an appropriate official of
each commercial vessel departing from the United States to any port or
place outside the United States must transmit to Customs and Border
Protection (CBP) an electronic passenger departure manifest and an
electronic crew member departure manifest. Each electronic departure
manifest:
(i) Must be transmitted to CPB at the place and time specified in
paragraph (b)(2) of this section by means of an electronic data
interchange system approved by CBP. If the transmission is in US EDIFACT
format, the passenger manifest and the crew member manifest must be
transmitted separately; and
(ii) Must set forth the information specified in paragraph (b)(3) of
this section.
(2) Place and time for submission--(i) General requirement. The
appropriate official must transmit each electronic departure manifest
required under paragraph (b)(1) of this section to the CBP Data Center,
CBP Headquarters, no later than 60 minutes before the vessel departs
from the United States.
(ii) Amended crew member manifests. If a crew member boards the
vessel after submission of the manifest under paragraph (b)(2)(i) of
this section, the appropriate official must transmit amended manifest
information to CBP reflecting the data required under paragraph (b)(3)
of this section for the additional crew member. The amended manifest
information must be transmitted to the CBP Data Center, CBP
Headquarters, no later than 12 hours after the vessel has departed from
the United States.
(3) Information required. Each electronic departure manifest
required under paragraph (b)(1) of this section must contain the
following information for all passengers and crew members, except that
the information specified in paragraphs (b)(3)(iv), (ix), (xi), (xv),
and (xvi), of this section must be included on the manifest only on or
after October 4, 2005:
(i) Full name (last, first, and, if available, middle);
(ii) Date of birth;
(iii) Gender (F = female; M = male);
(iv) Citizenship;
(v) Status on board the vessel;
(vi) Travel document type (e.g., P = passport; A = alien
registration card);
(vii) Passport number, if a passport is required;
(viii) Passport country of issuance, if a passport is required;
(ix) Passport expiration date, if a passport is required;
(x) Alien registration number, where applicable;
(xi) Passenger Name Record locator, if available;
(xii) Departure port code (CBP port code);
(xiii) Port/place of final arrival (foreign port code);
(xiv) Vessel name;
(xv) Vessel country of registry/flag;
(xvi) International Maritime Organization number or other official
number of the vessel;
(xvii) Voyage number (applicable only for multiple departures on the
same calendar day); and
(xviii) Date of vessel departure.
(c) Exceptions. The electronic departure manifest requirement
specified in paragraph (b) of this section is subject to the following
conditions:
(1) No passenger or crew member departure manifest is required if
the departing commercial vessel is operating as a ferry;
(2) If the departing commercial vessel is not transporting
passengers, only a crew member departure manifest is required;
(3) No passenger departure manifest is required for active duty U.S.
military personnel on board a departing Department of Defense commercial
chartered vessel.
(d) Carrier responsibility for comparing information collected with
travel document. The carrier collecting the information described in
paragraph (b)(3) of
[[Page 52]]
this section is responsible for comparing the travel document presented
by the passenger or crew member with the travel document information it
is transmitting to CBP in accordance with this section in order to
ensure that the information is correct, the document appears to be valid
for travel purposes, and the passenger or crew member is the person to
whom the travel document was issued.
(e) Sharing of manifest information. Information contained in
passenger and crew member manifests that is received by CBP
electronically may, upon request, be shared with other Federal agencies
for the purpose of protecting national security. CBP may also share such
information as otherwise authorized by law.
[CBP Dec. 05-12, 70 FR 17851, Apr. 7, 2005, as amended by CBP Dec. 07-
64, 72 FR 48342, Aug. 23, 2007]
Sec. 4.65 Verification of nationality and tonnage.
The nationality and tonnage of a vessel shall be verified by
examination of its marine document. If such examination discloses that
insufficient tonnage tax was collected on entry of the vessel, no
clearance shall be granted until the deficiency is paid.
Sec. 4.65a Load lines.
(a) If a port director is notified by an officer of the United
States Coast Guard that a detention order has been issued against a
vessel engaged in the foreign trade under the International Voyage Load
Line Act of 1973, clearance shall not be granted until the order is
withdrawn.
(b) If a port director issues a detention order under the Coastwise
Load Line Act, 1935, as amended, or is notified by an officer of the
United States Coast Guard that a detention order has been issued against
a vessel under the aforesaid Act, clearance shall not be granted until
the order is withdrawn.
[T.D. 75-133, 40 FR 24518, June 9, 1975]
Sec. 4.66 Verification of inspection.
(a) No clearance shall be granted unless the port director is
satisfied that a proper certificate of inspection is in force and the
vessel is in compliance with such certificate, if the vessel is:
(1) A vessel of the United States required to be inspected as
specified in Title 46, Code of Federal Regulations.
(2) A foreign vessel carrying passengers from the United States.
(b) In the case of vessels of foreign nations which are signatories
of the International Convention for the Safety of Life at Sea, 1948,
carrying passengers from the United States, an unexpired Certificate of
Examination for Foreign Passenger Vessel, Form CG-989, or an unexpired
Certificate for Foreign Vessel to Carry Persons in Addition to Crew,
Form CG-3463, issued by the United States Coast Guard, may be accepted
as evidence that a proper certificate of inspection is in force and the
vessel is in compliance with such certificate.
(c) In the case of vessels of the United States subject to
inspection proceeding to another port for repairs, a valid Permit to
Proceed to Another Port for Repairs, Form CG-948, issued by the United
States Coast Guard, shall be accepted in lieu of the certificate of
inspection required by this section.
[T.D. 56173, 29 FR 6681, May 22, 1964, as amended by T.D. 69-266, 34 FR
20422, Dec. 31, 1969]
Sec. 4.66a Illegal discharge of oil and hazardous substances.
If a port director receives a request from an officer of the U.S.
Coast Guard to withhold clearance of a vessel whose owner or operator is
subject to a civil penalty for discharging oil or a hazardous substance
into or upon the navigable waters of the United States, adjoining
shorelines, or into or upon the waters of the contiguous zone in
quantities determined to be harmful by appropriate authorities, such
clearance shall not be granted until the port director is informed that
a bond or other surety satisfactory to the Coast Guard has been filed.
[T.D. 82-28, 47 FR 5226, Feb. 4, 1982]
Sec. 4.66b Pollution of coastal and navigable waters.
(a) If any Customs officer has reason to believe that any refuse
matter is
[[Page 53]]
being or has been deposited in navigable waters or any tributary of any
navigable waters in violation of section 13 of the Act of March 3, 1899
(30 Stat. 1152; 33 U.S.C. 407), or oil or a hazardous substance is being
or has been discharged into or upon the navigable waters of the United
States, adjoining shorelines, or into or upon the waters of the
contiguous zone in violation of the Federal Water Pollution Control Act,
as amended (33 U.S.C. 1251, 1321), he shall promptly furnish to the port
director a full report of the incident, together with the names of
witnesses and, when practicable, a sample of the material discharged
from the vessel in question.
(b) The port director shall forward this report immediately, without
recommendation, to the district commander of the Coast Guard district
concerned and a copy of such report shall be furnished to Headquarters,
U.S. Customs Service.
[T.D. 73-18, 38 FR 1587, Jan. 16, 1973, as amended by T.D. 82-28, 47 FR
5226, Feb. 4, 1982]
Sec. 4.66c Oil pollution by oceangoing vessels.
(a) If a port director receives a request from a Coast Guard officer
to refuse or revoke the clearance or permit to proceed of a vessel
because the vessel, its owner, operator, or person in charge, is liable
for a fine or civil penalty, or reasonable cause exists to believe that
they may be subject to a fine or civil penalty under the provisions of
33 U.S.C. 1908 for violating the Protocol of 1978 Relating to the
International Convention for the Prevention of Pollution from Ships,
1973 (MARPOL Protocol), the Act to Prevent Pollution from Ships, 1980
(33 U.S.C. 1901-1911), or regulations issued thereunder, such clearance
or a permit to proceed shall be refused or revoked. Clearance or a
permit to proceed may be granted when the port director is informed that
a bond or other security satisfactory to the Coast Guard has been filed.
(b) If a port director receives a notification from a Coast Guard
officer that an order has been issued to detain a vessel required to
have an International Oil Pollution Prevention (IOPP) Certificate which
does not have a valid certificate on board, or whose condition or whose
equipment's condition does not substantially agree with the particulars
of the certificate on board, or which presents an unreasonable threat of
harm to the marine environment, the port director shall refuse or revoke
the clearance or permit to proceed of the vessel if requested to do so
by a Coast Guard officer. The port director shall not grant clearance or
issue a permit to proceed to the vessel until notified by a Coast Guard
officer that detention of the vessel is no longer required.
(c) If a port director receives a notification from a Coast Guard
officer to detain a vessel operated under the authority of a country not
a party to the MARPOL Protocol which does not have a valid certificate
on board showing that the vessel has been surveyed in accordance with
and complies with the requirements of the MARPOL Protocol, or whose
condition or whose equipment's condition does not substantially agree
with the particulars of the certificate on board, or which presents an
unreasonable threat of harm to the marine environment, the port director
shall refuse or revoke the clearance or permit to proceed of the vessel
if requested to do so by a Coast Guard officer. The port director shall
not grant clearance or issue a permit to proceed to the vessel until
notified by a Coast Guard officer that detention of the vessel is no
longer required.
[T.D. 81-148, 49 FR 28695, July 16, 1984]
Sec. 4.67 Closed ports or places.
No foreign vessel shall be granted a clearance or permit to proceed
to any port or place from which such vessels are excluded by orders or
regulations of the United States Navy Department except with the prior
approval of that Department.
Sec. 4.68 Federal Maritime Commission certificates for certain
passenger vessels.
No vessel having berth or stateroom accommodations for 50 or more
passengers and embarking passengers at U.S. ports will be granted a
clearance at the port or place of departure from
[[Page 54]]
the United States unless it is established that the vessel has valid
certificates issued by the Federal Maritime Commission.
[T.D. 00-4, 65 FR 2874, Jan. 19, 2000]
Sec. 4.69 Shipping articles.
No vessel of the U.S. on a voyage between a U.S. port and a foreign
port (except a port in Canada, Mexico, or the West Indies), or if of at
least 75 gross tons, on a voyage between a U.S. port on the Atlantic
Ocean and a U.S. port on the Pacific Ocean, shall be granted clearance
before presentation, to the appropriate Customs officer, of the shipping
articles agreements, including any seaman's allotment agreement,
required by 46 U.S.C. chapter 103, in the form provided for in 46 CFR
14.05-1.
[T.D. 92-52, 57 FR 23945, June 5, 1992]
Sec. 4.70 Public Health Service requirements.
No clearance will be granted to a vessel subject to the foreign
quarantine regulations of the Public Health Service.
[T.D. 00-4, 65 FR 2874, Jan. 19, 2000]
Sec. 4.71 Inspection of livestock.
A proper export inspection certificate issued by the Veterinary
Services, Animal and Plant Health Inspection Service, Department of
Agriculture, shall be filed before the clearance of a vessel carrying
horses, mules, asses, cattle, sheep, swine, or goats (9 CFR part 91)
[T.D. 79-32, 44 FR 5650, Jan. 29, 1979]
Sec. 4.72 Inspection of meat, meat-food products, and inedible fats.
(a) No clearance shall be granted to any vessel carrying meat or
meat-food products, as defined and classified by the U.S. Department of
Agriculture, Food Safety and Inspection Service, Meat and Poultry
Inspection until there have been filed with the port director such
copies of export certificates concerning such meat or meat-food products
as are required by the pertinent regulations of the U.S. Department of
Agriculture, Food Safety and Inspection Service, Meat and Poultry
Inspection (9 CFR part 322). If such certificate has been obtained but
is unavailable at the scheduled time of a vessel's departure, the vessel
may be cleared on the basis of the receipt of a statement, under the
shipper's or shipper's agent's letterhead, certifying the number of
boxes, the number of pounds, the product name and the U.S. Department of
Agriculture export certificate number that covers the shipment of the
product. If such statement has been used as the basis for obtaining
vessel clearance, the duplicate of the certificate must be filed with
Customs within the time period prescribed by Sec. 4.75.
(b) No clearance shall be granted to any vessel carrying tallow,
stearin, oleo oil, or other rendered fat derived from cattle, sheep,
swine, or goats for export from the United States, which has not been
inspected, passed, and marked by the United States Department of
Agriculture, unless the port director is furnished with a certificate by
the exporter that the article is inedible.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 78-99, 43 FR 13059, Mar.
29, 1978; T.D. 91-77, 56 FR 46114, Sept. 10, 1991;T.D. 95-54, 60 FR
35838, July 12, 1995]
Sec. 4.73 Neutrality; exportation of arms and munitions.
(a) Clearance shall not be granted to any vessel if the port
director has reason to believe that her departure or intended voyage
would be in violation of any provision of the Neutrality Act of 1939 or
other neutrality law of the United States, \104\ or of any regulation or
instruction issued pursuant to any such law.
---------------------------------------------------------------------------
\104\ See 18 U.S.C. 961 through 967 and 22 U.S.C. 441 through 457.
---------------------------------------------------------------------------
(b) The port director shall refuse clearance for and detain any
vessel manifestly built for warlike purposes and about to depart from
the United States with a cargo consisting principally of arms and
munitions of war \105\ when the number of men intending to sail or other
circumstances render it probable that the vessel is intended to
[[Page 55]]
commit hostilities against the subjects, citizens, or property or any
foreign country, with which the United States is at peace, until the
decision of the President thereon is received, or until the owners shall
have given bond or security in double the value of the vessel and its
cargo that she will not be so employed.
---------------------------------------------------------------------------
\105\ Clearance for vessel shall not be denied for the sole reason
that her cargo contains contraband of war.
106-110 [Reserved]
---------------------------------------------------------------------------
(c) A port director shall promptly communicate all the facts to
Headquarters, U.S. Customs Service, if he learns while the United States
is at peace that any vessel of a belligerent power which has arrived as
a merchant vessel is altering, or will attempt to alter, her status as a
merchant vessel so as to become an armed vessel or an auxiliary to armed
vessels of a foreign power.
(d) If a port director has reason to believe during the existence of
a war to which the United States is not a party that any vessel at his
port is about to carry arms, munitions, supplies, dispatches,
information, or men to any warship or tender or supply ship of a
belligerent nation, he shall withhold the clearance of such vessel and
report the facts promptly to Headquarters, U.S. Customs Service.
Sec. 4.74 Transportation orders.
Clearance shall not be granted to any vessel if the port director
has reason to believe that her departure or intended voyage would be in
violation of any provision of any transportation order, regulation, or
restriction issued under authority of the Defense Production Act of 1950
(50 U.S.C. App. 2061-2066).
Sec. 4.75 Incomplete manifest; incomplete export declarations; bond.
(a) Pro forma manifest. Except as provided for in Sec. 4.75(c), if a
master desiring to clear his vessel for a foreign port does not have
available for filing with the port director a complete Cargo Declaration
Outward with Commercial Forms, Customs Form 1302-A (see Sec. 4.63) in
accordance with 46 U.S.C. 91, or all required shipper's export
declarations (see 15 CFR 30.24), the port director may accept in lieu
thereof an incomplete manifest (referred to as a pro forma manifest) on
the Vessel Entrance or Clearance Statement, Customs Form 1300, if there
is on file in his office a bond on Customs Form 301, containing the bond
conditions set forth in Sec. 113.64 of this chapter relating to
international carriers, executed by the vessel owner or other person as
attorney in fact of the vessel owner. The ``Incomplete Manifest for
Export'' box in item 17 of the Vessel Entrance or Clearance Statement
form must be checked.
(b) Time in which to file complete manifest and export declarations.
Not later than the fourth business day after clearance from each port in
the vessel's itinerary, the master, or the vessel's agent on behalf of
the master, shall deliver to the director of each port a complete Cargo
Declaration Outward with Commercial Forms, Customs Form 1302-A, in
accordance with Sec. 4.63, of the cargo laden at such port together with
duplicate copies of all required shipper's export declarations for such
cargo and a Vessel Entrance or Clearance Statement, Customs Form 1300.
The statutory grace period of 4 days for filing the complete manifest
and missing export declarations begins to run on the first day
(exclusive of any day on which the customhouse is not open for marine
business) following the date on which clearance is granted.
(c) Countries for which vessels may not be cleared until complete
manifests and shipper's export declarations are filed. To aid the
Customs Service in the enforcement of export laws and regulations, no
vessel shall be cleared for any port in the following countries until a
complete outward foreign manifest and all required shipper's export
declarations have been filed with the port director:
Albania
Bulgaria
Cambodia
China, People's Republic of
Cuba
Czechoslovakia
Estonia
German Democratic Republic (Soviet Zone of Germany and Soviet Zone
sector of Berlin)
Hungary
Iran
Iraq
Laos
Latvia
Libya
Lithuania
Mongolian People's Republic
North Korea
Polish People's Republic (Including Danzig)
Rumania
South Yemen
Union of Soviet Socialist Republics
Viet Nam
[[Page 56]]
[T.D. 87-1, 52 FR 255, Jan. 5, 1987, as amended by T.D. 91-60, 56 FR
32085, July 15, 1991; T.D. 00-22, 65 FR 16515, Mar. 29, 2000]
Sec. 4.76 Procedures and responsibilities of carriers filing outbound
vessel manifest information via the AES.
(a) The sea carrier's module. The Sea Carrier's Module is a
component of the Automated Export System (AES) (see, part 192, subpart
B, of this chapter) that allows for the filing of outbound vessel
manifest information electronically (see, 15 CFR part 30). All sea
carriers are eligible to apply for participation in the Sea Carrier's
Module. Application and certification procedures for AES are found at 15
CFR 30.60. A sea carrier certified to use the module that adheres to the
procedures set forth in this section and the Census Regulations (15 CFR
part 30) concerning the electronic submission of an outbound vessel
manifest information meets the outward cargo declaration filing
requirements (CF 1302-A) of Sec. Sec. 4.63 and 4.75, except as otherwise
provided in Sec. Sec. 4.75 and 4.84.
(b) Responsibilities. The performance requirements and operational
standards and procedures for electronic submission of outbound vessel
manifest information are detailed in the AES Trade Interface
Requirements handbook (available on the Customs internet web site
(www.customs.gov)). Carriers and their agents are responsible for
reporting accurate and timely information and for responding to all
notifications concerning the status of their transmissions and the
detention and release of freight in accordance with the procedures set
forth in the AES Trade Interface Requirements handbook. Customs will
send messages to participant carriers regarding the accuracy of their
transmissions. AES participants are required to comply with the
recordkeeping requirements contained at Sec. 30.66 of the Census
Regulations (15 CFR 30.66) and any other applicable recordkeeping
requirements. Where paper SEDs have been submitted by exporters prior to
departure, participant carriers will be responsible for submitting those
SEDs to Customs within four (4) business days after the departure of the
vessel from each port, unless a different time requirement is specified
by Sec. Sec. 4.75 or 4.84. Upon written agreement with participant sea
carriers, Customs and Census can provide for an alternative to the
location filing requirement for paper SEDs set forth in Sec. 4.75(b) by
which the participant carriers are otherwise bound.
(c) Messages required to be filed within the sea carrier's module.
Participant carriers will be responsible for transmitting and responding
to the following messages:
(1) Booking. Booking information identifies all the freight that is
scheduled for export. Booking information will be transmitted to Customs
via AES for each shipment as far in advance of departure as practical,
but no later than seventy-two hours prior to departure for all
information available at that time. Bookings received within seventy-two
hours of departure will be transmitted to Customs via AES as received;
(2) Receipt of booking. When the carrier receives the cargo or
portion of the cargo that was booked, the carrier will inform Customs so
that Customs can determine if an examination of the cargo is necessary.
Customs will notify the carrier of shipments designated for examination.
Customs will also notify the carrier when the shipment designated for
inspection is released and may be loaded on the vessel;
(3) Departure. No later than the first calendar day following the
actual departure of the vessel, the carrier will notify Customs of the
date and time of departure; and
(4) Manifest. Within ten (10) calendar days after the departure of
the vessel from each port, the carrier will submit the manifest
information to Customs via AES for each booking loaded on the departed
vessel. However, if the destination of the vessel is a foreign port
listed in Sec. 4.75(c), the carrier must transmit complete manifest
information before vessel departure. Time requirements for transmission
of complete manifest information for carriers destined to Puerto Rico
and U.S. possessions are the same as the requirement for the submission
of the complete manifest as found in Sec. 4.84.
(d) All penalties and liquidated damages that apply to the
submission of
[[Page 57]]
paper manifests (see, applicable provisions in this part) apply to the
electronic submission of outbound vessel manifest information through
the Sea Carrier's Module.
[T.D. 99-57, 64 FR 40986, July 28, 1999]
Coastwise Procedure
Sec. 4.80 Vessels entitled to engage in coastwise trade.
(a) No vessel shall transport, either directly or by way of a
foreign port, any passenger or merchandise between points in the United
States embraced within the coastwise laws, including points within a
harbor, or merchandise for any part of the transportation between such
points, unless it is:
(1) Owned by a citizen and is so documented under the laws of the
United States as to permit it to engage in the coastwise trade;
(2) Owned by a citizen, is exempt from documentation, and is
entitled to or, except for its tonnage, would be entitled to be
documented with a coastwise endorsement.
(3) Owned by a partnership or association in which at least a 75
percent interest is owned by such a citizen, is exempt from
documentation and is entitled to or, except for its tonnage, or
citizenship of its owner, or both, would be entitled to be documented
for the coastwise trade. The term ``citizen'' for vessel documentation
purposes, whether for an individual, partnership, or corporation owner,
is defined in 46 CFR 67.3.
(b) Penalties for violating coastwise laws. (1) The penalty imposed
for the illegal transportation of merchandise between coastwise points
is forfeiture of the merchandise or, in the discretion of the port
director, forfeiture of a monetary amount up to the value of the
merchandise to be recovered from the consignor, seller, owner, importer,
consignee, agent, or other person or persons so transporting or causing
the merchandise to be transported (46 U.S.C. 55102).
(2) The penalty imposed for the unlawful transportation of
passengers between coastwise points is $300 for each passenger so
transported and landed (46 U.S.C. 55103, as adjusted by the Federal
Civil Penalties Inflation Act of 1990).
(c) Any vessel of the United States, whether or not entitled under
paragraph (a) of this section to engage in the coastwise trade, and any
foreign vessel may proceed between points in the United States embraced
within the coastwise laws to discharge cargo or passengers laden at a
foreign port, to lade cargo or passengers for a foreign port, in
ballast, or to transport certain articles in accordance with Sec. 4.93.
Cargo laden at a foreign port may be retained onboard during such
movements. Furthermore, certain barges of United States or foreign flag
may transport transferred merchandise between points in the United
States embraced within the coastwise laws, excluding transportation
between the continental United States and a noncontiguous point in the
United States embraced within the coastwise laws, in accordance with
Sec. 4.81a.
(d) No vessel owned by a corporation which is a citizen of the
United States under the Act of September 2, 1958 (46 U.S.C. 12118),
shall be used in any trade other than the coastwise and shall not be
used in that trade unless it is properly documented for such use or is
exempt from documentation and is entitled to or, except for its tonnage,
would be entitled to a coastwise license. Such a vessel shall not be
documented for nor engage in the foreign trade or the fisheries and
shall not transport merchandise or passengers coastwise for hire except
as a service for a parent or a subsidiary corporation as defined in the
aforesaid Act or while under demise or bareboat charter at prevailing
rates for use otherwise than in trade with noncontiguous territory of
the United States to a common or contract carrier subject to part III of
the Interstate Commerce Act, as amended (49 U.S.C. 901 through 923),
which otherwise qualifies as a citizen of the United States under
section 2 of the Shipping Act, 1916, as amended (46 U.S.C. 50501), and
which is not connected, directly or indirectly, by way of ownership or
control with such owning corporation.
(e) No vessel which has acquired the lawful right to engage in the
coastwise trade, by virtue of having been built or documented under the
laws of the United States, will have the right to engage in such trade
if it:
[[Page 58]]
(1) Thereafter has been sold foreign in whole or in part or placed
under foreign registry, unless such vessel is 200 gross tons or less (as
measured under chapter 143 of title 46, United States Code); or
(2) Has been rebuilt, unless the entire rebuilding, including the
construction of any major components of the hull or superstructure of
the vessel, was effected within the United States.
(f) No foreign-built vessel owned and documented as a vessel of the
United States prior to February 1, 1920, by a citizen nor one owned by
the United States on June 5, 1920, and sold to and owned by a citizen,
shall engage in the American fisheries, but it is otherwise unlimited as
to trade so long as it continues in such ownership (section 22, Merchant
Marine Act, of June 5, 1920; 46 U.S.C. 13). No foreign-built vessel
which is owned by a citizen, but which was not so owned and documented
on February 1, 1920, or which was not owned by the United States on June
5, 1920, shall engage in the coastwise trade or the American fisheries.
No foreign-built vessel which has been sold, leased, or chartered by the
Secretary of Commerce to any citizen, shall engage in the American
fisheries, but it is otherwise unlimited as to trade so long as it
continues in such ownership, lease, or charter (section 9 of the Act of
Sept. 7, 1916, as amended, 46 U.S.C. 56101 and 57109). A vessel engaged
in taking out fishing parties for hire, unless it intends to proceed to
a foreign port, is considered to be engaged in the coastwise trade and
not the fisheries.
(g) Certain vessels not documented under the laws of the United
States which are acquired by or made available to the Secretary of
Commerce may be documented under section 3 of the Act of August 9, 1954
(50 U.S.C. 198). Such vessels shall not engage in the coastwise trade
unless in possession of a valid unexpired permit to engage in that trade
issued by the Secretary of Commerce under authority of section 3(c) of
the said Act.
(h) A vessel which is at least 50 percent owned by a citizen as
defined in 46 CFR subpart 68.05, and which, except for citizenship
requirements, is otherwise entitled to be documented with a coastwise
endorsement, may be documented with a limited coastwise endorsement,
provided the vessel is owned by a not-for-profit oil spill response
cooperative or by one or more members of such a cooperative who dedicate
the vessel to the use of the cooperative (46 U.S.C. 12117).
Notwithstanding 46 U.S.C. 55102, a vessel may be documented with such a
limited endorsement even if formerly owned by a not-for-profit oil spill
response cooperative or by one or more members thereof, as long as the
citizenship criteria of 46 CFR subpart 68.05 are met. A vessel so
documented may operate on the navigable waters of the United States or
in the Exclusive Economic Zone only for the purpose of training for oil
spill cleanup operations; deploying equipment, supplies and personnel
for cleanup operations; and recovering and/or transporting oil
discharged in a spill. Such vessel may also engage in any other
employment for which a registry or fishing endorsement is not required,
and may qualify to operate for other purposes by meeting the applicable
requirements of 46 CFR part 67.
(i) Any vessel, entitled to be documented and not so documented,
employed in a trade for which a Certificate of Documentation is issued
under the vessel documentation laws (see Sec. 4.0(c)), other than a
trade covered by a registry, is liable to a civil penalty of $500 for
each port at which it arrives without the proper Certificate of
Documentation. If such a vessel has on board any foreign merchandise
(sea stores excepted), or any domestic taxable alcoholic beverages, on
which the duty and taxes have not been paid or secured to be paid, the
vessel and its cargo are subject to seizure and forfeiture.
[T.D. 69-266, 34 FR 20422, Dec. 31, 1969, as amended by T.D. 79-160, 44
FR 31956, June 4, 1979; T.D. 83-214, 48 FR 46512, Oct. 13, 1983; T.D.
93-78, 58 FR 50257, Sept. 27, 1993; T.D. 97-82, 62 FR 51769, Oct. 3,
1997; T.D. 03-11, 68 FR 13820, Mar. 21, 2003; CBP Dec. 08-25, 73 FR
40725, July 16, 2008; CBP Dec. 12-21, 77 FR 73308, Dec. 10, 2012]
Sec. 4.80a Coastwise transportation of passengers.
(a) For the purposes of this section, the following terms will have
the meaning set forth below:
[[Page 59]]
(1) Coastwise port means a port in the U.S., its territories, or
possessions embraced within the coastwise laws.
(2) Nearby foreign port means any foreign port in North America,
Central America, the Bermuda Islands, or the West Indies (including the
Bahama Islands, but not including the Leeward Islands of the Netherlands
Antilles, i.e., Aruba, Bonaire, and Curacao). A port in the U.S. Virgin
Islands shall be treated as a nearby foreign port.
(3) Distant foreign port means any foreign port that is not a nearby
port.
(4) Embark means a passenger boarding a vessel for the duration of a
specific voyage and disembark means a passenger leaving a vessel at the
conclusion of a specific voyage. The terms embark and disembark are not
applicable to a passenger going ashore temporarily at a coastwise port
who reboards the vessel and departs with it on sailing from the port.
(5) Passenger has the meaning defined in Sec. 4.50(b).
(b) The applicability of the coastwise law (46 U.S.C. 55103) to a
vessel not qualified to engage in the coastwise trade (i.e., either a
foreign-flag vessel or a U.S.-flag vessel that is foreign-built or at
one time has been under foreign-flag) which embarks a passenger at a
coastwise port is as follows:
(1) If the passenger is on a voyage solely to one or more coastwise
ports and the passenger disembarks or goes ashore temporarily at a
coastwise port, there is a violation of the coastwise law.
(2) If the passenger is on a voyage to one or more coastwise ports
and a nearby foreign port or ports (but at no other foreign port) and
the passenger disembarks at a coastwise port other than the port of
embarkation, there is a violation of the coastwise law.
(3) If the passenger is on a voyage to one or more coastwise ports
and a distant foreign port or ports (whether or not the voyage includes
a nearby foreign port or ports) and the passenger disembarks at a
coastwise port, there is no violation of the coastwise law provided the
passenger has proceeded with the vessel to a distant foreign port.
(c) An exception to the prohibition in this section is the
transportation of passengers between ports in Puerto Rico and other
ports in the U.S. on passenger vessels not qualified to engage in the
coastwise trade. Such transportation is permitted until there is a
finding under 46 U.S.C. 55104 that a qualified U.S.-flag passenger
vessel is available for such service.
(d) The owner or charterer of a foreign vessel or any other
interested person may request from Headquarters, U.S. Customs and Border
Protection, Attention: Cargo Security, Carriers & Immigration Branch,
Office of International Trade, an advisory ruling as to whether a
contemplated voyage would be considered to be coastwise transportation
in violation of 46 U.S.C. 55103. Such a request shall be filed in
accordance with the provisions of part 177, CBP Regulations (19 CFR part
177).
[T.D. 85-109, 50 FR 26984, July 1, 1985, as amended by T.D. 85-109, 50
FR 37519, Sept. 16, 1985; T.D. 99-27, 64 FR 13675, Mar. 22, 1999; CBP
Dec. 12-21, 77 FR 73308, Dec. 10, 2012]
Sec. 4.80b Coastwise transportation of merchandise.
(a) Effect of manufacturing or processing at intermediate port or
place. A coastwise transportation of merchandise takes place, within the
meaning of the coastwise laws, when merchandise laden at a point
embraced within the coastwise laws (``coastwise point'') is unladen at
another coastwise point, regardless of the origin or ultimate
destination of the merchandise. However, merchandise is not transported
coastwise if at an intermediate port or place other than a coastwise
point (that is at a foreign port or place, or at a port or place in a
territory or possession of the United States not subject to the
coastwise laws), it is manufactured or processed into a new and
different product, and the new and different product thereafter is
transported to a coastwise point.
(b) Request for ruling. Interested parties may request an advisory
ruling from Headquarters, U.S. Customs and Border Protection, Attention:
Cargo Security, Carriers & Immigration Branch, Office of International
Trade, as to whether a specific action taken or to be taken with respect
to merchandise at the intermediate port or place will result in its
becoming a new and
[[Page 60]]
different product for purposes of this section. The request shall be
filed in accordance with the provisions of part 177 of this chapter.
[T.D. 79-193, 44 FR 42178, July 19, 1979, as amended by T.D. 91-77, 56
FR 46114, Sept. 10, 1991; 56 FR 47268, Sept. 18, 1991; T.D. 99-27, 64 FR
13675, Mar. 22, 1999]
Sec. 4.81 Reports of arrivals and departures in coastwise trade.
(a) No vessel which is documented with a coastwise license or
registry endorsement or is owned by a citizen and exempt from
documentation, and which is in ballast or laden only with domestic
products or passengers being carried only between points in the United
States shall be required to report arrival or to enter when coming into
one port of the United States from any other such port, except as
provided for in sections 4.83 and 4.84, nor to obtain a clearance,
permit to proceed, or permission to depart when going from one port in
the United States to any other such port except when transporting
merchandise to a port in noncontinguous territory. \111\
---------------------------------------------------------------------------
\111\ See Sec. 4.84.
112-114 [Reserved]
---------------------------------------------------------------------------
(b) When the facts are as above stated except that the vessel is
carrying bonded merchandise, the master shall report its arrival as
provided for in Sec. 4.2.
(c) [Reserved]
(d) The traveling Crew's Effects Declaration, Customs Form 1304, or
Customs and Immigration Form I-418 with attached Customs Form 5129,
referred to in Sec. 4.85 (b), (c), and (e) shall be deposited with the
port director upon arrival at each port in the United States and finally
surrendered to the appropriate Customs officer or director of the port
where the vessel first departs directly for a foreign port.
(e) Before any foreign vessel departs in ballast, or solely with
articles to be transported in accordance with Sec. 4.93, from any port
in the United States for any other such port, the master must apply to
the port director for a permit to proceed by filing a Vessel Entrance or
Clearance Statement, Customs Form 1300, in duplicate. If a vessel is
proceeding in ballast and therefore the Cargo Declaration (Customs Form
1302) is omitted, the words ``No merchandise on board'' shall be
inserted in item 16 of the Vessel Entrance or Clearance Statement.
However, articles to be transported in accordance with Sec. 4.93 must be
manifested on the Cargo Declaration, as required by Sec. 4.93(c). Three
copies of the Cargo Declaration must be filed with the port director.
When the port director grants the permit by making an appropriate
endorsement on the Vessel Entrance or Clearance Statement (see
Sec. 4.85(b)), the duplicate copy, together with two copies of the Cargo
Declaration covering articles to be transported in accordance with
Sec. 4.93, must be returned to the master. The traveling Crew's Effects
Declaration, Customs Form 1304, and all unused crewmembers' declarations
on Customs Form 5129 will be placed in a sealed envelope addressed to
the appropriate Customs officer at the next intended domestic port and
returned to the master for delivery. The master must execute a receipt
for all unused crewmembers' declarations which are returned to him.
Immediately upon arrival at the next United States port the master must
report his arrival to the port director. He must make entry within 48
hours by filing with the port director the permit to proceed on the
Vessel Entrance or Clearance Statement received at the previous port, a
newly executed Vessel Entrance or Clearance Statement, a Crew's Effects
Declaration of all unentered articles acquired abroad by crewmembers
which are still on board, a Ship's Stores Declaration, Customs Form
1303, in duplicate of the stores remaining on board, both copies of the
Cargo Declaration covering articles transported in accordance with
Sec. 4.93, and the document of the vessel. The traveling Crew's Effects
Declaration and all unused crewmembers' declarations on Customs Form
5129 returned at the prior port to the master must be delivered by him
to the appropriate Customs officer.
(f) The master, licensed deck officer, or purser who enters or
clears a vessel, or who obtains permission for a vessel to depart, when
required under the provisions of this section or of Sec. Sec. 4.82,
4.84, 4.85, 4.87, 4.89, or 4.91 of the regulations
[[Page 61]]
of this part, may appear in person at the customhouse for that purpose,
or any required oaths, related documents, and other papers properly
executed by the master or other proper officer may be delivered at the
customhouse by the vessel agent or other personal representative of the
master.
(g) In lieu of the procedures stated in Sec. Sec. 4.85 and 4.87 and
at the option of the owner or operator, unmanned non-self-propelled
barges specifically designed for carriage aboard a vessel and regularly
carried aboard a vessel in the foreign trade, hereinafter referred to as
LASH-type barges, may move under a simplified permit-to-proceed
procedure as follows:
(1) At the port where a LASH-type barge begins a coastwise movement
with inward foreign cargo, a permit to proceed on the Vessel Entrance or
Clearance Statement, Customs Form 1300, must be obtained. A single
permit to proceed may be used for all the barges proceeding to the same
port of unlading in the same town. An inward foreign manifest of the
cargo in each barge, destined to the port of unlading shown on the
permit to proceed, must be attached to each permit. At the port of
unlading of the barge, report of arrival and entry must be made
immediately upon arrival to the appropriate Customs officer by
presentation of the permit to proceed, manifests, and a new Vessel
Entrance or Clearance Statement, Customs Form 1300. If only part of the
inward foreign cargo is unladen, a new permit to proceed must be
obtained and the inward foreign manifests must be attached to it.
(2) At the port where a LASH-type barge begins a coastwise movement
with export cargo, a permit to proceed on the Vessel Entrance or
Clearance Statement, Customs Form 1300, must be presented to the
appropriate Customs officer. A single permit to proceed may be presented
for all the barges proceeding from the same port of lading in the same
tow. Required shipper's export declarations for LASH-type barges must be
filed at the port where the barges will be taken aboard a barge-carrying
vessel. At the next port, a report of arrival must be made immediately
upon arrival and entry must be made within 48 hours by presentation of
the permit to proceed received upon departure from the prior port and a
newly executed Vessel Entrance or Clearance Statement, Customs Form
1300.
(3) When foreign LASH-type barges are proceeding between ports of
the United States under paragraph (e) of this section, a single permit
to proceed may be used for all the barges proceeding to the same port in
the same tow.
(4) In lieu of the master of the towing vessel executing and
delivering documents required under permit-to-proceed procedures (see
Sec. 4.81(f)) at the port where a LASH-type barge begins a coastwise
movement, the master of the towing vessel may designate in writing the
owner or operator of the barges as his representative with authority to
execute and deliver such documents at the customhouse. The owner or
operator of the barges may designate representatives to perform such
functions at ports or places where permit-to-proceed documents must be
delivered. Documents obtained from Customs officers at one place by such
a representative may be forwarded by any suitable means to the
representative who must present them to Customs officers at another
place, the only requirement being that the forms are properly completed
and are presented within the prescribed time periods. Moreover, instead
of a written designation from each master of a towing vessel, a blanket
designation in writing from the owner or operator of one or more towing
vessels on behalf of masters of their towing vessels, designating the
owner or operator of the barges to be the representative of the master
for purposes of executing and delivering permit-to-proceed documents, is
authorized.
(5) [Reserved]
(6) When a LASH-type barge is proceeding to a place in the United
States that is not a port of entry, Sec. 101.4(a) and (b) of this
chapter are applicable. No merchandise shall be unladen from a LASH-type
barge until a permit or special license therefor is obtained in
accordance with Sec. 4.30 except that a single permit to unlade may be
used for all
[[Page 62]]
barges that arrived at the port of unlading in the same tow.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 71-169, 36 FR 12604,
July 2, 1971; T.D. 74-63, 39 FR 6108, Feb. 19, 1974; T.D. 74-284, 39 FR
39718, Nov. 11, 1974; T.D. 75-315, 40 FR 58852, Dec. 19, 1975; T.D. 77-
241, 42 FR 54936, Oct. 12, 1977; T.D. 77-255, 42 FR 56322, Oct. 25,
1977; T.D. 83-214, 48 FR 46512, Oct. 13, 1983; T.D. 92-74, 57 FR 35752,
Aug. 11, 1992; T.D. 93-96, 58 FR 67317, Dec. 21, 1993; T.D. 00-22, 65 FR
16515, Mar. 29, 2000]
Sec. 4.81a Certain barges carrying merchandise transferred from another
barge.
(a) A LASH-type barge (as defined in Sec. 4.81(g)) documented as a
vessel of the United States but not qualified to engage in the coastwise
trade or a LASH-type barge of a nation found to grant reciprocal
privileges to United States-flag LASH-type barges may transport inward
foreign and export cargo between points embraced within the coastwise
laws of the United States after the merchandise has been transferred to
it from another LASH-type barge owned or leased by the same owner or
operator. This section is not applicable to transportation between the
continental United States and noncontiguous States, districts,
territories, and possessions embraced within the coastwise laws. The
permit to proceed shall include a statement that the unqualified LASH-
type barge is owned or leased by the owner or operator of the LASH-type
barge from which the merchandise was transferred.
(b) The following nations have been found to extend privileges
reciprocal to those provided in paragraph (a) of this section to LASH-
type barges of the United States:
Federal Republic of Germany.
Netherlands.
Sweden.
Union of Soviet Socialist Republics.
[T.D. 74-63, 39 FR 6108, Feb. 19, 1974, as amended by T.D. 74-292, 39 FR
41360, Nov. 27, 1974; T.D. 75-7, 39 FR 44660, Dec. 26, 1974; T.D. 75-
315, 40 FR 58852, Dec. 19, 1975; T.D. 78-492, 43 FR 58814, Dec. 18,
1978]
Sec. 4.82 Touching at foreign port while in coastwise trade.
(a) A United States documented vessel with a registry or, coastwise
endorsement, or both which, during a voyage between ports in the United
States, touches at one or more foreign ports and there discharges or
takes on merchandise, passengers, baggages, or mail shall obtain a
permit to proceed or clearance at each port of lading in the United
States for the foreign port or ports at which it is intended to touch.
The Cargo Declaration Outward With Commercial Forms, Customs Form 1302-A
(see Sec. 4.63), shall show only the cargo for foreign destination. (See
Sec. Sec. 4.61 and 4.87.)
(b) The master shall also present to the port director a coastwise
Cargo Declaration in triplicate of the merchandise to be transported via
the foreign port or ports to the subsequent ports in the United States.
It shall describe the merchandise and show the marks and numbers of the
packages, the names of the shippers and consignees, and the
destinations. The port director shall certify the two copies and return
them to the master. Merchandise carried by the vessel in bond under a
transportation entry and manifest, Customs Form 7512, shall not be shown
on the coastwise Cargo Declaration.
(c) Upon arrival from the foreign port or ports at the subsequent
port in the United States, a report of arrival and entry of the vessel
shall be made, and tonnage taxes shall be paid. The master shall present
Cargo Declaration in accordance with Sec. 4.7 and the certified copies
of the coastwise Cargo Declaration, Customs Form 1302.
(d) All merchandise on the vessel upon its arrival at the subsequent
port in the United States is subject to such Customs examination and
treatment as may be necessary to protect the revenue. Any article on
board which is not identified to the satisfaction of the port director,
by the coastwise Cargo Declaration, Customs Form 1302, or otherwise, as
part of the coastwise cargo, shall be treated as imported merchandise.
[T.D. 77-255, 42 FR 56322, Oct. 25, 1977, as amended by T.D. 83-214, 48
FR 46513, Oct. 13, 1983; T.D. 84-193, 49 FR 35485, Sept. 10, 1984; T.D.
99-64, 64 FR 43265, Aug. 10, 1999; CBP Dec. 08-25, 73 FR 40725, July 16,
2008]
[[Page 63]]
Sec. 4.83 Trade between United States ports on the Great Lakes and
other ports of the United States.
If a vessel proceeding from or to a port of the United States on the
Great Lakes to or from any other port of the United States via the St.
Lawrence River is intended to touch at any foreign port and does so
touch, it will be subject to the usual requirements for manifesting,
clearing, report of arrival, entry, payment of fees for entry and
clearance, and tonnage taxes. Vessels which are boarded on the St.
Lawrence River by Canadian authorities for the purposes of inspecting
the vessel and taking a passing report are not deemed to have touched at
a foreign port, provided that no ship's stores are landed or taken
aboard and no other business is transacted at the port or place of
boarding.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 69-266, 34 FR 20423,
Dec. 31, 1969; T.D. 83-214, 48 FR 46513, Oct. 13, 1983; CBP Dec. 12-21,
77 FR 73308, Dec. 10, 2012]
Sec. 4.84 Trade with noncontiguous territory.
(a) No foreign vessel shall depart from a port in noncontiguous
territory of the United States for any other port in noncontiguous
territory or for any port in any State or the District of Columbia, nor
from any port in any State or the District of Columbia for any port in
noncontiguous territory, until a clearance for the vessel has been
granted. Such a clearance shall be granted in accordance with the
applicable provisions of Sec. 4.61 of the regulations of this part,
including clearance of a vessel simultaneously engaged in one or more of
the transactions listed in Sec. 4.90(a)(4), (5), or (6) of this part.
When merchandise is laden on a foreign vessel in noncontiguous territory
other than Puerto Rico, for transportation on that vessel to a port in
any State, the District of Columbia, or noncontiguous territory, and
when this transportation is not forbidden by the coastwise laws, the
merchandise may be laden and shipped without shipper's export
declarations.
(b) The master of every foreign vessel arriving at a port in any
State or the District of Columbia or in noncontiguous territory of the
United States from a port in noncontiguous territory to which the
coastwise laws do not apply (e.g., Virgin Islands and American Samoa),
or arriving at any port in noncontiguous territory to which the
coastwise laws do not apply from any place embraced within the coastwise
laws, shall immediately report its arrival and make entry for the vessel
within 48 hours after its arrival.
(c)(1) A vessel which is not required to clear but which is
transporting merchandise from a port in any State or the District of
Columbia to any noncontiguous territory of the United States (excluding
Puerto Rico), or from Puerto Rico to any State or the District of
Columbia, or any other noncontiguous territory, shall not be permitted
to depart without filing a complete manifest, when required by
regulations of the Bureau of the Census (15 CFR part 30), and all
required Shipper's Export Declarations, unless before the vessel departs
an approved bond is filed for the timely production of the required
documents, as specified in 15 CFR 30.24. Requests for permission to
depart may be written or oral and permission to depart shall be granted
orally by the appropriate Customs officer. However, if the request is to
depart prior to the filing of the required manifest and export
declarations, permission shall not be granted unless the appropriate
bond is on file. In the latter case, the Customs officer shall keep a
simplified record of the necessary information in order to assure that
the manifest and export declarations are filed within the required time
period. The Vessel Entrance or Clearance Statement, Customs Form 1300
(see Sec. 4.63(a)), required at the time of clearance is not required to
be taken to obtain permission to depart.
(2) A vessel which is not required to clear but which is
transporting merchandise from a port in any State or the District of
Columbia to Puerto Rico shall file a complete manifest, when required by
the regulations of the Bureau of the Census (15 CFR part 30), and all
required Shipper's Export Declarations within one business day after
arrival, as defined in Sec. 4.2(b) of this part, with the appropriate
Customs officer in Puerto Rico. If the complete
[[Page 64]]
manifest and all required Shipper's Export Declarations are not filed
with the appropriate Customs officer within that time frame, an
appropriate bond shall be filed with the Customs officer for the timely
production of the required documents as specified in 15 CFR 30.24. In
these instances when a bond is filed, the Customs officer shall keep a
simplified record of the necessary information in order to ensure that
the manifest and export declarations are filed not later than the
seventh business day after arrival in Puerto Rico.
(d) Upon arrival of a vessel of the United States at a port in any
State, the District of Columbia, or Puerto Rico from a port in
noncontiguous territory other than Puerto Rico, the master shall
immediately report its arrival and shall prepare, produce, and file a
Cargo Declaration in the form and manner and at the times specified in
Sec. Sec. 4.7 and 4.9 but shall not be required to make entry. If the
vessel proceeds directly to another port in any State, the District of
Columbia, or Puerto Rico, the master shall prepare, produce, and file a
Cargo Declaration in the form and manner and at the times specified in
Sec. 4.85 but no permit to proceed on the Vessel Entrance or Clearance
Statement, Customs Form 1300, shall be required for the purposes of this
paragraph. No cargo shall be unladen from any such vessel until Cargo
Declarations have been filed and a permit to unlade has been issued in
accordance with the procedure specified in Sec. 4.30.
(e) No vessel shall bring guano to the United States from a guano
island appertaining to the United States (see 48 U.S.C. 1411) unless
such a vessel is entitled to engage in the coastwide trade.
(f) No vessel owned by a corporation which qualifies as a citizen
under the Act of September 2, 1958 (46 U.S.C. 883-1) shall, while under
demise or bareboat charter from such corporation, be granted clearance
or permitted to depart in trade with noncontiguous territory.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 69-266, 34 FR 20423,
Dec. 31, 1969: T.D. 71-169, 36 FR 12604, July 2, 1971; T.D. 77-255, 42
FR 56323, Oct. 25, 1977; T.D. 79-276, 44 FR 61956, Oct. 29, 1979; T.D.
93-61, 58 FR 41425, Aug. 4, 1993; T.D. 93-96, 58 FR 67317, Dec. 21,
1993; T.D. 00-22, 65 FR 16516, Mar. 29, 2000]
Sec. 4.85 Vessels with residue cargo for domestic ports.
(a) Any foreign vessel or documented vessel with a registry
endorsement, arriving from a foreign port with cargo or passengers
manifested for ports in the United States other than the port of first
arrival, may proceed with such cargo or passengers from port to port,
provided a bond on Customs Form 301, containing the bond conditions set
forth in Sec. 113.64 of this chapter relating to international carriers
in a suitable amount is on file with the director of the port of first
entry. \115\ No additional bond shall be required at subsequent ports of
entry. Before the vessel departs from the port of first arrival, the
master shall obtain from the port director a certified copy of the
complete inward foreign manifest (hereinafter referred to as the
traveling manifest). The certified copy shall have a legend similar to
the following endorsed on the Vessel Entrance or Clearance Statement,
Customs Form 1300:
---------------------------------------------------------------------------
\115\ ``* * * Any vessel arriving from a foreign port or place
having on board merchandise shown by the manifest to be destined to a
port or ports in the United States other than the port of entry at which
such vessel first arrived and made entry may proceed with such
merchandise from port to lading thereof.'' (Tariff Act of 1930, sec.
442; 19 U.S.C. 1442)
116-118 [Reserved]
________________________________________________________________________
Port Date
Certified to be a true copy of the original inward foreign manifest.
______________________________________________________________________
Signature and title
(b)(1) Before a vessel proceeds from one domestic port to another
with cargo or passengers on board as described in paragraph (a) of this
section, the master must present to the director of such port of
departure an application in triplicate on Customs Form
[[Page 65]]
1300 for a permit to proceed to the next port. When a port director
grants the permit on Customs Form 1300, the following legend must be
endorsed on the form:
Port
Date
Permission is granted to proceed to the port named in item 12.
--------
Signature and title
(2) The duplicate must be attached to the traveling manifest and the
triplicate (the permit to proceed to be delivered at the next port) must
be returned to the master, together with the traveling manifest and the
vessel's document, if on deposit. If no inward foreign cargo or
passengers are to be discharged at the next port, that fact must be
indicated on Customs Form 1300 by inserting ``To load only'' in
parentheses after the name of the port to which the vessel is to
proceed. The traveling Crew's Effects Declaration covering articles
acquired abroad by officers and members of the crew, together with the
unused crewmembers' declarations prepared for such articles, will be
placed in a sealed envelope addressed to the appropriate Customs officer
at the next port and given to the master for delivery.
(c)(1) Upon the arrival of a vessel at the next and each succeeding
domestic port with inward foreign cargo or passengers still on board,
the master must immediately report its arrival and make entry within 48
hours. To make such entry, he must deliver to the port director the
vessel's document, the permit to proceed (Customs Form 1300 endorsed in
accordance with paragraph (b) of this section), the traveling manifest,
and the traveling Crew's Effects Declaration (Customs Form 1304),
together with the crewmembers' declarations received on departure from
the previous port. The master must also present an abstract manifest
consisting of a newly executed Vessel Entrance or Clearance Statement,
Customs Form 1300, a Cargo Declaration, Customs Form 1302, and a
Passenger List, Customs and Immigration Form I-418, in such number of
copies as may be required for local Customs purposes, of any cargo or
passengers on board manifested for discharge at that port, a Crew's
Effects Declaration in duplicate of all unentered articles acquired
abroad by officers and crewmembers which are still on board, a Ship's
Stores Declaration, Customs Form 1303, in duplicate of the sea or ship's
stores remaining on board, and if applicable, the Cargo Declaration
required by Sec. 4.86. If no inward foreign cargo or passengers are to
be discharged, the Cargo Declaration or Passenger List may be omitted
from the abstract manifest, and the following legend must be placed in
item 15 of the Vessel Entrance or Clearance Statement:
Vessel on an inward foreign voyage with residue cargo/passengers for
--------. No cargo or passengers for discharge at this port.
(2) The traveling manifest, together with a copy of the newly
executed Vessel Entrance or Clearance Statement, will serve the purpose
of a copy of an abstract manifest at the port where it is finally
surrendered.
(d) If boarding is required before the port director will issue a
permit or special license to lade or unlade, the abstract manifest
described in paragraph (c) of this section shall be ready for
presentation to the boarding officer.
(e) The traveling manifest shall be surrendered to the director of
the final domestic port of discharge of the cargo, except that if
residue foreign cargo remains on board for discharge at a foreign port
or ports, the traveling manifest shall be surrendered at the final port
of departure from the United States. However, it shall not be
surrendered at the port from which the vessel departs for another United
States port, via an intermediate foreign port, under Sec. 4.89 if
residue foreign cargo remains on board for discharge at a subsequent
U.S. port. The traveling Crew's Effects Declaration shall be finally
surrendered to the director of any port from which the vessel will
depart directly for a foreign port.
[T.D. 71-169, 36 FR 12604, July 2, 1971, as amended by T.D. 77-255, 42
FR 56323, Oct. 25, 1977; T.D. 83-214, 48 FR 46513, Oct. 13, 1983; T.D.
84-213, 49 FR 41164, Oct. 19, 1984; T.D. 92-74, 57 FR 35752, Aug. 11,
1992; T.D. 93-96, 58 FR 67317, Dec. 21, 1993; T.D. 94-24, 59 FR 13200,
Mar. 21, 1994; T.D. 00-22, 65 FR 16516, Mar. 29, 2000; CBP Dec. 12-21,
77 FR 73308, Dec. 10, 2012]
[[Page 66]]
Sec. 4.86 Intercoastal residue--cargo procedure; optional ports.
(a) When a vessel arrives at an Atlantic or Pacific coast port from
a foreign port or ports with residue cargo for delivery at a port or
ports on the opposite coast or on the Great Lakes, or where such arrival
is at a port on the Great Lakes, with residue cargo for delivery at a
port or ports on the Atlantic or Pacific coasts, or both, and the
master, owner, or agent is unable at that time to designate the specific
port or ports of discharge of that residue cargo, the Cargo Declaration,
Customs Form 1302, filed on entry in accordance with Sec. 4.7(b) shall
show such cargo as destined for ``optional ports, Atlantic coast,'' or
``optional ports, Pacific coast,'' or ``optional ports, Great Lakes
coast,'' as the case may be. The traveling manifest shall be similarly
noted. Upon arrival of the vessel at the first port on the next coast,
the master, owner, or agent must designate the port or ports of
discharge of residue cargo as required by section 431, Tariff Act of
1930.
(b) For this purpose, the master shall furnish with the other papers
required upon entry a Cargo Declaration, Customs Form 1302 in original
only of inward foreign cargo remaining on board for discharge at
optional ports on that coast, and the Cargo Declaration, must designate
the specific ports of intended discharge for that cargo. The traveling
manifest shall be amended to agree with that Cargo Declaration so as to
show the newly designated ports of discharge on that coast and shall be
used to verify the abstract Cargo Declarations surrendered at subsequent
ports on that coast.
[T.D. 77-255, 42 FR 56323, Oct. 25, 1977]
Sec. 4.87 Vessels proceeding foreign via domestic ports.
(a) Any foreign vessel or documented vessel with a registry may
proceed from port to port in the United States to lade cargo or
passengers for foreign ports.
(b) When applying for a clearance from the first and each succeeding
port of lading, the master must present to the port director a Vessel
Entrance or Clearance Statement, Customs Form 1300, in duplicate and a
Cargo Declaration Outward With Commercial Forms, Customs Form 1302-A, in
accordance with Sec. 4.63(a), of all the cargo laden for export at that
port. The Vessel Entrance or Clearance Statement must clearly indicate
all previous ports of lading.
(c) Upon compliance with the applicable provisions of Sec. 4.61, the
port director will grant the permit to proceed by making the endorsement
prescribed by Sec. 4.85(b) on the Vessel Entrance or Clearance
Statement, Customs Form 1300. One copy will be returned to the master,
together with the vessel's document if on deposit. The traveling Crew's
Effects Declaration, Customs Form 1304, together with any unused
crewmembers' declarations, will be placed in a sealed envelope addressed
to the appropriate Customs officer at the next domestic port and
returned to the master.
(d) On arrival at the next and each succeeding domestic port, the
master must immediately report arrival. He must also make entry within
48 hours by presenting the vessel's document, the permit to proceed on
the Vessel Entrance or Clearance Statement, Customs Form 1300, received
by him upon departure from the last port, a Crew's Effects Declaration,
Customs Form 1304, in duplicate listing all unentered articles acquired
aboard by officers and crew of the vessel which are still retained on
board, and a Ship's Stores Declaration, Customs Form 1303, in duplicate
of the stores remaining aboard. The master must also execute a Vessel
Entrance or Clearance Statement. The traveling Crew's Effects
Declaration, together with any unused crewmembers' declarations returned
to the master at the prior port, will be delivered by him to the port
director.
(e) Clearance shall be granted at the final port of departure from
the United States in accordance with Sec. 4.61.
(f) If a complete Cargo Declaration Outward With Commercial Forms,
Customs Form 1302-A (see Sec. 4.63), and all required shipper's export
declarations are not available for filing before departure of a vessel
from any port, clearance on the Vessel Entrance or Clearance Statement,
Customs Form 1300, may be granted in accordance
[[Page 67]]
with Sec. 4.75, subject to the limitation specified in Sec. 4.75(c).
(g) When the procedure outlined in paragraph (f) of this section is
followed at any port, the owner or agent of the vessel must deliver to
the director of that port within 4 business days after the vessel's
clearance a Cargo Declaration Outward With Commercial Forms, Customs
Form 1302-A (see Sec. 4.63), and the export declarations to cover the
cargo laden for export at that port.
[T.D. 77-255, 42 FR 56324, Oct. 25 1977, as amended by T.D. 83-214, 48
FR 46513, Oct. 13, 1983; T.D. 84-193, 49 FR 35485, Sept. 10, 1984; T.D.
92-74, 57 FR 35752, Aug. 11, 1992; T.D. 93-96, 58 FR 67317, Dec. 21,
1993; T.D. 00-22, 65 FR 16517, Mar. 29, 2000; CBP Dec. 08-25, 73 FR
40725, July 16, 2008]
Sec. 4.88 Vessels with residue cargo for foreign ports.
(a) Any foreign vessel or documented vessel with a registry which
arrives at a port in the United States from a foreign port shall not be
required to unlade any merchandise manifested for a foreign destination
provided a bond on Customs Form 301, containing the bond conditions set
forth in Sec. 113.64 of this chapter relating to international carriers
in a suitable amount is on file with the director of the port of first
entry. \119\
---------------------------------------------------------------------------
\119\ ``Any vessel having on board merchandise shown by the manifest
to be destined to a foreign port or place may, after the report and
entry of such vessel under the provisions of this Act, proceed to such
foreign port of destination with the cargo so destined therefor, without
unlading the same and without the payment of duty thereon. * * *''
(Tariff Act of 1930, sec. 442; 19 U.S.C. 1442)
---------------------------------------------------------------------------
(b) The port director shall designate the items of such merchandise,
if any, for which foreign landing certificates \120\ will be required.
---------------------------------------------------------------------------
\120\ ``The Secretary of the Treasury may by regulations require the
production of landing certificates in respect of merchandise exported
from the United States, or in respect of residue cargo, in cases in
which he deems it necessary for the protection of the revenue.'' (Tariff
Act of 1930, sec. 622; 19 U.S.C. 1622)
---------------------------------------------------------------------------
(c) If the vessel clears directly foreign from the first port of
arrival, cargo brought in from foreign ports and retained on board may
be declared on the Cargo Declaration Outward With Commercial Forms,
Customs Form 1302-A (see Sec. 4.63), by the insertion of the following
statement:
All cargo declared on entry in this port as cargo for discharge at
foreign ports and so shown on the Cargo Declaration filed upon entry has
been and is retained on board.
If any such cargo has been landed, the Cargo Declaration shall describe
each item of the cargo from a foreign port which has been retained on
board (see Sec. 4.63(a).
(d) If the vessel is proceeding to other ports in the United States
with foreign residue cargo on board manifested for discharge at a
foreign port or ports, a procedure like that set forth in Sec. 4.85
shall be followed with respect thereto.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 77-255, 42 FR 56324,
Oct. 25, 1977; T.D. 83-214, 48 FR 46513, Oct. 13, 1983; T.D. 84-193, 49
FR 35485, Sept. 10, 1984; 49 FR 41164, Oct. 19, 1984; CBP Dec. 08-25, 73
FR 40725, July 16, 2008]
Sec. 4.89 Vessels in foreign trade proceeding via domestic ports and
touching at intermediate foreign ports.
(a) A vessel proceeding from port to port in the United States in
accordance with Sec. Sec. 4.85, 4.86, or 4.87 may touch at an
intermediate foreign port or ports to lade or discharge cargo or
passengers. In such a case the vessel shall obtain clearance from the
last port of departure in the United States before proceeding to the
intermediate foreign port or ports at which it is intended to touch. The
Cargo Declaration Outward With Commercial Forms, Customs Form 1302-A
(see Sec. 4.63), shall show the cargo for such foreign destination in
the manner provided in Sec. 4.88(c).
(b) The master shall also present to the port director the Cargo
Declaration or Cargo Declarations required by Sec. Sec. 4.85, 4.86, or
4.87, and obtain a permit to proceed on the Vessel Entrance or Clearance
Statement, Customs Form 1300, to the next port in the United States at
which the vessel will touch.
(c) Upon arrival at the next port in the United States after
touching at a foreign port or ports a report of arrival and entry shall
be made. The Cargo Declaration, Customs Form 1302, filed at time of
entry shall list the cargo
[[Page 68]]
laden at the intermediate foreign port or ports.
(d) The master shall also present to the port director the permit to
proceed on the Vessel Entrance or Clearance Statement, Customs Form
1300, and the Cargo Declaration from the last previous port in the
United States as provided for in Sec. Sec. 4.85, 4.86, or 4.87.
[T.D. 77-255, 42 FR 56324, Oct. 25, 1977, as amended by T.D. 84-193, 49
FR 35485, Sept. 10, 1984; T.D. 00-22, 65 FR 16517, Mar. 29, 2000]
Sec. 4.90 Simultaneous vessel transactions.
(a) A vessel may proceed from port to port in the United States for
the purpose of engaging in two or more of the following transactions
simultaneously, \121\ subject to the limitations hereafter mentioned in
this section and the conditions stated in the sections indicated in the
list:
---------------------------------------------------------------------------
\121\ For the purposes of this part, an inward foreign voyage is
completed at the port of final discharge of inbound passengers or cargo,
and an outward foreign voyage begins at the port where cargo or
passengers are first laden for carriage to a foreign destination.
---------------------------------------------------------------------------
(1) Coastwise trade (Sec. 4.80).
(2) Touching at a foreign port while in coastwise trade (Sec. 4.82).
(3) Trade with noncontiguous territory of the United States
(Sec. 4.84).
(4) Carriage of residue cargo or passengers from foreign ports
(Sec. Sec. 4.85-4.86).
(5) Carriage of cargo or passengers laden for foreign ports
(Sec. 4.87).
(6) Carriage of residue cargo for foreign ports (Sec. 4.88).
(b) When a vessel is engaged simultaneously in two or more such
transactions, the master shall indicate each type of transaction in
which the vessel is engaged in his application for clearance on Customs
Form 1300. The master shall conform simultaneously to all requirements
of these regulations with respect to each transaction in which the
vessel is engaged.
(c) A foreign vessel is not authorized by this section to engage in
the coastwise trade, including trade with noncontiguous territory
embraced within the coastwise laws.
(d) A documented vessel may engage in transactions (2), (4), (5), or
(6) only if the vessel's document has a registry. Such a vessel shall
not engage in transactions (1) or (3) unless permitted by the
endorsement on its Certificate of Documentation to do so.
(e) When a single entry bond, containing the bond conditions set
forth in Sec. 113.64, relating to international carriers, is filed at
any port and it is applicable to the current voyage of the vessel, it
shall cover all other transactions engaged in on that voyage of a like
nature and another bond containing the international carrier bond
conditions need not be filed.
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 71-169, 36 FR 12605,
July 2, 1971; T.D. 83-214, 48 FR 46513, Oct. 13, 1983; T.D. 84-213, 49
FR 41164, Oct. 19, 1984; T.D. 00-22, 65 FR 16517, Mar. 29, 2000; CBP
Dec. 08-25, 73 FR 40725, July 16, 2008]
Sec. 4.91 Diversion of vessel; transshipment of cargo.
(a) If any vessel granted a permit to proceed from one port in the
United States for another such port as provided for in
Sec. Sec. 4.81(e), 4.85, 4.87, or 4.88, is, while en route, diverted to
a port in the United States other than the one specified in the permit
to proceed (Customs Form 1300), \122\ the owner or agent of the vessel
immediately shall give notice of the diversion to the port director who
granted the permit, informing him of the new destination of the vessel
and requesting him to notify the director of the latter port. Such
notification by the port director shall constitute an amendment of the
permit previously granted, shall authorize the vessel to proceed to the
new destination, and shall be filed by the director of the latter port
with the Form 1300 submitted on entry of the vessel.
---------------------------------------------------------------------------
\122\ See Sec. 4.33.
---------------------------------------------------------------------------
(b) If any vessel cleared from a port in the United States for a
foreign port as provided for in Sec. 4.60 is diverted, while en route,
to a port in the United States other than that from which it was
cleared, the owner or agent of the vessel immediately shall give notice
of the diversion to the port director who granted the clearance,
informing him of the new destination of the vessel and requesting him to
notify the director of the latter port. Such notification by
[[Page 69]]
the port director shall constitute a permit to proceed coastwise, and
shall authorize the vessel to proceed to the new destination. On arrival
at the new destination, the master shall immediately report arrival. He
shall also make entry within 48 hours by presenting (1) the vessel's
document, (2) the foreign clearance on Form 1300 granted by the director
of the port of departure, (3) a certificate that when the vessel was
cleared from the last previous port in the United States there were on
board cargo and/or passengers for the ports named in the foreign
clearance certificate only and that additional cargo or passengers
(have) (have not) been taken on board or discharged since such clearance
was granted (specifying the particulars if any passengers or cargo were
taken on board or discharged), (4) a Crew's Effects Declaration in
duplicate of all unentered articles acquired abroad by the officers and
crew of the vessel which are still retained on board, and (5) a Ship's
Stores Declaration in duplicate of the stores on board.
(c) In a case of necessity, a port director may grant an application
on Customs Form 3171 of the owner or agent of an established line for
permission to transship \123\ all cargo and passengers from one vessel
of the United States to another such vessel under Customs supervision,
if the first vessel is transporting residue cargo for domestic or
foreign ports or is on an outward foreign voyage or a voyage to
noncontiguous territory of the United States, and is following the
procedure prescribed in Sec. Sec. 4.85, 4.87, or 4.88. When inward
foreign cargo or passengers are so transshipped to another vessel, a
separate traveling manifest (Cargo Declaration, Customs Form 1302, or
Passenger List, Customs and Immigration Form I-418) shall be used for
the transshipped cargo or passengers, whether or not the forwarding
vessel is also carrying other residue cargo or passengers. An
appropriate cross-reference shall be made on the separate traveling
manifest to show whether any other traveling manifest is being carried
forward on the same vessel.
---------------------------------------------------------------------------
\123\ See Sec. 4.31.
\124\ [Reserved]
[T.D. 71-169, 36 FR 12605, July 2, 1971, as amended by T.D. 77-255, 42
FR 56324, Oct. 25, 1977; T.D. 93-96, 58 FR 67317, Dec. 21, 1993; T.D.
00-22, 65 FR 16517, Mar. 29, 2000]
Sec. 4.92 Towing.
No vessel other than a vessel documented for the coastwise trade, or
which would be entitled to be so documented except for its tonnage (see
Sec. 4.80), may tow a vessel other than a vessel in distress between
points in the U.S. embraced within the coastwise laws, or for any part
of such towing (46 U.S.C. App. 316(a)). The penalties for violation of
this provision are a fine of from $350 to $1100 against the owner or
master of the towing vessel and a further penalty against the towing
vessel of $60 per ton of the towed vessel (46 U.S.C. App. 316(a), as
adjusted by the Federal Civil Penalties Inflation Adjustment Act of
1990).
[T.D. 93-12, 58 FR 13197, Mar. 10, 1993, as amended by T.D. 03-11, 68 FR
13820, Mar. 21, 2003; CBP Dec. 08-25, 73 FR 40725, July 16, 2008]
Sec. 4.93 Coastwise transportation by certain vessels of empty vans,
tanks, and barges, equipment for use with vans and tanks;
empty instruments of international traffic; stevedoring
equipment and material; procedures.
(a) Vessels of the United States prohibited from engaging in the
coastwise trade and vessels of nations found to grant reciprocal
privileges to vessels of the United States may transport the following
articles between points embraced within the coastwise laws of the United
States:
(1) Empty cargo vans, empty lift vans, and empty shipping tanks;
equipment for use with cargo vans, lift vans, or shipping tanks; empty
barges specifically designed for carriage aboard a vessel and equipment,
excluding propulsion equipment, for use with such barges; and empty
instruments of international traffic exempted from application of the
Customs laws by the Secretary of the Treasury pursuant to the provisions
of section 322(a), Tariff Act of 1930 (19 U.S.C. 1322(a)), if such
articles are owned or leased by the
[[Page 70]]
owner or operator of the transporting vessel and are transported for his
use in handling his cargo in foreign trade.
(2) Stevedoring equipment and material, if such equipment and
material is owned or leased by the owner or operator of the transporting
vessel, or is owned or leased by the stevedoring company contracting for
the lading or unlading of that vessel, and is transported without charge
for use in the handling of cargo in foreign trade. \125\
---------------------------------------------------------------------------
\125\ ``* * * Provided further, That upon such terms and conditions
as the Secretary of the Treasury by regulation may prescribe, and, if
the transporting vessel is of foreign registry, upon a finding by the
Secretary of the Treasury, pursuant to information obtained and
furnished by the Secretary of State, that the government of the nation
of registry extends reciprocal privileges to vessels of the United
States, this section shall not apply to the transportation by vessels of
the United States not qualified to engage in the coastwise trade, or by
vessels of foreign registry, of (a) empty cargo vans, empty lift vans,
and empty shipping tanks, (b) equipment for use with cargo vans, lift
vans, or shipping tanks, (c) empty barges specifically designed for
carriage aboard a vessel, and (d) any empty instrument for international
traffic exempted from application of the customs laws by the Secretary
of the Treasury pursuant to the provisions of section 322(a), Tariff Act
of 1930 (19 U.S.C. 1322(a)), if the articles described in clauses (a)
through (d) are owned or leased by the owner or operator of the
transporting vessel and are transported for his use in handling his
cargo in foreign trade; and (e) stevedoring equipment and material, if
such equipment and material is owned or leased by the owner or operator
of the transported vessel, or is owned or leased by the stevedoring
company contracting for the lading or unlading of that vessel, and is
transported without charge for use in the handling of cargo in foreign
trade.'' (46 U.S.C. 883).
126-130 [Reserved]
---------------------------------------------------------------------------
(b)(1) The following nations have been found to extend privileges
reciprocal to those provided in paragraph (a) of this section for empty
cargo vans, empty lift vans, and empty shipping tanks to vessels of the
United States:
Antigua and Barbuda
Australia
Austria
Bahamas, The
Bahrain
Belgium
Bermuda
Brazil
Canada
Chile
China*
Colombia
Cyprus
Denmark
Ecuador
Finland
France
Guatemala
Germany, Federal Republic of
Greece
Iceland
India
Iran
Ireland
Israel
Italy
Ivory Coast
Japan
Kuwait
Liberia
Luxembourg
Malta
Marshall Islands, Republic of the
Mexico
Netherlands
Netherlands Antilles
Norway
Pakistan
Philippines
Polish People's Republic
Portugal
Republic of Korea
Republic of Panama
Republic of Singapore
Republic of Zaire
St. Vincent and the Grenadines
Saudi Arabia
South Africa
Spain
Sweden
Taiwan
Union of Soviet Socialist Republics
United Arab Emirates
United Kingdom (including The Cayman Islands and Hong Kong)
Vanuatu, Republic of
Yugoslavia, Socialist Federal Republic of
*See also Taiwan
(2) The following nations have been found to extend similar
reciprocal privileges in respect to the other articles mentioned in
paragraph (a) of this section:
Antigua and Barbuda
Australia
Austria
Bahamas, The
Bahrain
Belgium
Bermuda
Brazil
Chile
Colombia
Denmark
Federal Republic of Germany
Finland
France
Greece
Guatemala
Iceland
India
Ireland
Israel
Italy
Ivory Coast
Kuwait
Liberia
Luxembourg
Malta
Mexico
Netherlands
Netherlands Antilles
Norway
Polish People's Republic
Portugal
Republic of Korea
Republic of Panama
Republic of Singapore
Republic of Zaire
St. Vincent and the Grenadines
South Africa
Spain
Sweden
Taiwan
Union of Soviet Socialist Republics
United Arab Emirates
United Kingdom (including The Cayman Islands and Hong Kong)
Vanuatu, Republic of
(c) Any Cargo Declaration, Customs Form 1302, required to be filed
under
[[Page 71]]
this part by any foreign vessel shall describe any article mentioned in
paragraph (a) of this section laden aboard and transported from one
United States port to another, giving its identifying number or symbol,
if any, or such other identifying data as may be appropriate, the names
of the shipper and consignee, and the destination. The Cargo Declaration
shall also include a statement (1) that the articles specified in
paragraph (a)(1) of this section are owned or leased by the owner or
operator of the transporting vessel and are transported for his use in
handing his cargo in foreign trade; or (2) that the stevedoring
equipment and material specified in paragraph (a)(2) of this section is
owned or leased by the owner or operator of the transporting vessel, or
is owned or leased by the stevedoring company contracting for the lading
or unlading of that vessel, and is transported without charge for his
use in handling his cargo in foreign trade. If the director of the port
of lading is satisfied that there will be sufficient control over the
coastwise transportation of the article without identifying it by number
or symbol or such other identifying data on the Cargo Declaration, he
may permit the use of a Cargo Declaration that does not include such
information provided the Cargo Declaration includes a statement, that
the director of the port of unlading will be presented with a statement
at the time of entry of the vessel that will list the identifying number
or symbol or other appropriate identifying data for the article to be
unladen at that port. Applicable penalties under section 584, Tariff Act
of 1930, as amended (19 U.S.C. 1584), shall be assessed for violation of
this paragraph.
[T.D. 68-302, 33 FR 18436, Dec. 12, 1968]
Editorial Note: For Federal Register citations affecting Sec. 4.93,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
General
Sec. 4.94 Yacht privileges and obligations.
(a) Any documented vessel with a pleasure license endorsement, as
well as any undocumented American pleasure vessel, shall be used
exclusively for pleasure and shall not transport merchandise nor carry
passengers for pay. Such a vessel which is not engaged in any trade nor
in any way violating the Customs or navigation laws of the U.S. may
proceed from port to port in the U.S. or to foreign ports without
clearing and is not subject to entry upon its arrival in a port of the
U.S., provided it has not visited a hovering vessel, received
merchandise while in the customs waters beyond the territorial sea, or
received merchandise while on the high seas. Such a vessel shall
immediately report arrival to Customs when arriving in any port or place
within the U.S., including the U.S. Virgin Islands, from a foreign port
or place.
(b) A cruising license may be issued to a yacht of a foreign country
only if it has been made to appear to the satisfaction of the Secretary
of the Treasury that yachts of the United States are allowed to arrive
at and depart from ports in such foreign country and to cruise in the
waters of such ports without entering or clearing at the customhouse
thereof and without the payment of any charges for entering or clearing,
dues, duty per ton, tonnage, taxes, or charges for cruising licenses. It
has been made to appear to the satisfaction of the Secretary of the
Treasury that yachts of the United States are granted such privileges in
the following countries:
Argentina
Australia
Austria
Bahama Islands
Belgium
Bermuda
Canada
Denmark
Finland
France
Germany, Federal Republic of
Greece
Honduras
Ireland
Italy
Jamaica
Liberia
Marshall Islands
Netherlands
New Zealand
Norway
Saint Kitts and Nevis
Saint Vincent and the Grenadines
Sweden
Switzerland
Turkey
United Kingdom and the Dependencies: the Anguilla Islands, the Isle of
Man, the British Virgin Islands, the Cayman Islands, and the Turks and
Caicos Islands
(c) In order to obtain a cruising license for a yacht of any country
listed in paragraph (b) of this section, there shall be filed with the
port director an application therefor executed by either
[[Page 72]]
the yacht owner or the master which shall set forth the owner's name and
address and identify the vessel by flag, rig, name, and such other
matters as are usually descriptive of a vessel. The application shall
also include a description of the waters in which the yacht will cruise,
and a statement of the probable time it will remain in such waters. Upon
approval of the application, the port director will issue a cruising
license in the form prescribed by paragraph (d) of this section
permitting the yacht, for a stated period not to exceed one year, to
arrive and depart from the United States and to cruise in specified
waters of the United States without entering and clearing, without
filing manifests and obtaining or delivering permits to proceed, and
without the payment of entrance and clearance fees, or fees for
receiving manifests and granting permits to proceed, duty on tonnage,
tonnage tax, or light money. The license shall be granted subject to the
condition that the vessel shall not engage in trade or violate the laws
of the United States in any respect. Upon the vessel's arrival at any
port or place within the U.S. or the U.S. Virgin Islands, the master
shall comply with 19 U.S.C. 1433 by immediately reporting arrival at the
nearest Customs facility or other place designated by the port director.
Individuals shall remain on board until directed otherwise by the
appropriate Customs officer, as provided in 19 U.S.C. 1459.
(d) Cruising licenses shall be in the following form:
License To Cruise in the Waters of the United States
To Port Directors:
For a period of -------- from --------(Date) the --------(Flag) ----
---- (Rig) yacht --------(Name) belonging to ---------------- of
(Owner's name) ----------------(Address) shall be permitted to arrive at
and depart from the United States and to cruise in the waters of the
Customs port of
________________________________________________________________________
(Name of port or ports)
without entering and clearing, without filing manifests and obtaining or
delivering permits to proceed, and without the payment of entry and
clearance fees, or fees for receiving manifests and granting permits to
proceed, duty on tonnage, tonnage tax, or light money.
This license is granted subject to the condition that the yacht
named herein shall not engage in trade or violate the laws of the United
States in any respect. Upon arrival at each port or place in the United
States, the master shall report the fact of arrival to the Customs
officer at the nearest customhouse. Such report shall be immediately
made.
Issued this ---------- day of --------------, 19----
________________________________________________________________________
(Port Director of Customs)
Warning: This vessel is dutiable:
(1) If owned by a resident of the United States (including Puerto
Rico), or brought into the United States (including Puerto Rico), for
sale or charter to a resident thereof, or
(2) If brought into the United States (including Puerto Rico) by a
nonresident free of duty as part of personal effects and sold or
chartered within one year from date of entry.
Any offer to sell or charter (for example, a listing with yacht
brokers or agents) is considered evidence that the vessel was brought in
for sale or charter to a resident or, if made within one year of entry
of a vessel brought in free of duty as personal effects, that the vessel
no longer is for the personal use of the non-resident.
If the vessel is sold or chartered, or offered for sale or charter,
in the circumstances described, without the owner first having filed a
consumption entry and having paid duty, the vessel may be subject to
seizure or to a monetary claim equal to the value of the vessel. See
Chapter 89, Additional U.S. Note 1, HTSUS, and subheadings 8903.10,
8903.91, 8903.92, 8903.99.10, 8903.99.20, and 8903.99.90, HTSUS.
(e) A foreign-flag yacht which is not in possession of a cruising
license shall be required to comply with the laws applicable to foreign
vessels arriving at, departing from, and proceeding between ports of the
United States.
[T.D. 69-266, 34 FR 20423, Dec. 31, 1969]
Editorial Note: For Federal Register citations affecting Sec. 4.94,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 4.94a Large yachts imported for sale.
(a) General. An otherwise dutiable vessel used primarily for
recreation or pleasure and exceeding 79 feet in length that has been
previously sold by a manufacturer or dealer to a retail consumer and
that is imported with the intention to offer for sale at a boat show in
the United States may qualify
[[Page 73]]
at the time of importation for a deferral of entry completion and
deposit of duty. The following requirements and conditions will apply in
connection with a deferral of entry completion and duty deposit under
this section:
(1) The importer of record must certify to Customs in writing that
the vessel is being imported pursuant to 19 U.S.C. 1484b for sale at a
boat show in the United States;
(2) The certification referred to in paragraph (a)(1) of this
section must be accompanied by the posting of a single entry bond
containing the terms and conditions set forth in appendix C of part 113
of this chapter. The bond will have a duration of 6 months after the
date of importation of the vessel, and no extensions of the bond period
will be allowed;
(3) The filing of the certification and the posting of the bond in
accordance with this section will permit Customs to determine whether
the vessel may be released;
(4) All subsequent transactions with Customs involving the vessel in
question, including any transaction referred to in paragraphs (b)
through (d) of this section, must be carried out in the same port of
entry in which the certification was filed and the bond was posted under
this section; and
(5) The vessel in question will not be eligible for issuance of a
cruising license under Sec. 4.94 and must comply with the laws
respecting vessel entry and clearance when moving between ports of entry
during the 6-month bond period prescribed under this section.
(b) Exportation within 6-month period. If a vessel for which entry
completion and duty payment are deferred under paragraph (a) of this
section is not sold but is exported within the 6-month bond period
specified in paragraph (a)(2) of this section, the importer of record
must inform Customs in writing of that fact within 30 calendar days
after the date of exportation. The bond posted with Customs will be
returned to the importer of record and no entry completion and duty
payment will be required. The exported vessel will be precluded from
reentry under the terms of paragraph (a) of this section for a period of
3 months after the date of exportation.
(c) Sale within 6-month period. If the sale of a vessel for which
entry completion and duty payment are deferred under paragraph (a) of
this section is completed within the 6-month bond period specified in
paragraph (a)(2) of this section, the importer of record within 15
calendar days after completion of the sale must complete the entry by
filing an Entry Summary (Customs Form 7501) and must deposit the
appropriate duty (calculated at the applicable rates provided for under
subheading 8903.91.00 or 8903.92.00 of the Harmonized Tariff Schedule of
the United States and based upon the value of the vessel at the time of
importation). Upon entry completion and deposit of duty under this
paragraph, the bond posted with Customs will be returned to the importer
of record.
(d) Expiration of bond period. If the 6-month bond period specified
in paragraph (a)(2) of this section expires without either the completed
sale or the exportation of a vessel for which entry completion and duty
payment are deferred under paragraph (a) of this section, the importer
of record within 15 calendar days after expiration of that 6-month
period must complete the entry by filing an Entry Summary (Customs Form
7501) and must deposit the appropriate duty (calculated at the
applicable rates provided for under subheading 8903.91.00 or 8903.92.00
of the Harmonized Tariff Schedule of the United States and based upon
the value of the vessel at the time of importation). Upon entry
completion and deposit of duty under this paragraph, the bond posted
with Customs will be returned to the importer of record, and a new bond
on Customs Form 301, containing the bond conditions set forth in
Sec. 113.62 of this chapter, may be required by the appropriate port
director.
[68 FR 13625, Mar. 20, 2003]
Sec. 4.95 Records of entry and clearance of vessels.
Permanent records shall be prepared at each customhouse of all
entries of vessels on Customs Form 1400 and of all clearances and
permits to proceed on Customs Form 1401. Whenever a vessel is diverted,
as provided for in Sec. 4.91 (a) or (b), Customs Form 1401 shall be
amended to show the new destination.
[[Page 74]]
These records shall be open to public inspection.
[T.D. 82-224, 47 FR 53727, Nov. 29, 1982]
Sec. 4.96 Fisheries.
(a) As used in this section:
(1) The term ``convention vessel'' means a Canadian fishing vessel
which, at the time of its arrival in the United States, is engaged only
in the North Pacific halibut fishery and which is therefore entitled to
the privileges provided for by the Halibut Fishing Vessels Convention
between the United States and Canada signed at Ottawa, Canada, on March
24, 1950 (T.D. 52862);
(2) The term ``nonconvention fishing vessel'' means any vessel other
than a convention vessel which is employed in whole or in part in
fishing at the time of its arrival in the United States and
(i) Which is documented under the laws of a foreign county,
(ii) Which is undocumented, of 5 net tons or over, and owned in
whole or in part by a person other than a citizen of the United States,
or
(iii) Which is undocumented, of less than 5 net tons, and owned in
whole or in part by a person who is neither a citizen nor a resident of
the United States;
(3) The term ``nonconvention cargo vessel'' means any vessel which
is not employed in fishing at the time of its arrival in the United
States, but which is engaged in whole or in part in the transportation
of fish or fish products \131a\ and
---------------------------------------------------------------------------
\131a\ Except as otherwise provided by treaty or convention to which
the United States is a party, no foreign-flag vessel shall, whether
documented as a cargo vessel or otherwise, land in a port of the United
States its catch of fish taken on board such vessels on the high seas or
fish products processed therefrom, or any fish or fish products taken on
board such vessel on the high seas from a vessel engaged in fishing
operations or in the processing of fish or fish products.'' (46 U.S.C.
251)
\132\ [Reserved]
---------------------------------------------------------------------------
(i) Which is documented under the laws of a foreign country or
(ii) Which is undocumented and owned by a person other than a
citizen of the United States;
(4) The term ``treaty vessel'' means a Canadian fishing vessel which
at the time of its arrival in the United States is engaged in the
albacore tuna fishery and which is therefore entitled to the privileges
provided for by the treaty with Canada on Pacific Coast Albacore Tuna
Vessels and Port Privileges, entered into force at Ottawa, Canada, on
July 29, 1981 (T.D. 81-227); and
(5) The term ``fishing'' means the planting, cultivation, or taking
of fish, shell fish, marine animals, pearls, shells, or marine
vegetation, or the transportation of any of those marine products to the
United States by the taking vessel or another vessel under the complete
control and management of a common owner or bareboat charterer.
(b) Except as otherwise provided by treaty or convention to which
the United States is a party (see paragraphs (d) and (g) of this
section), no foreign-flag vessel shall, whether documented as a cargo
vessel or otherwise, land in a port of the United States its catch of
fish taken on board such vessel on the high seas or fish products
processed therefrom, or any fish or fish products taken on board such
vessel on the high seas from a vessel engaged in fishing operations or
in the processing of fish or fish products. (46 U.S.C. 251). This
prohibition applies regardless of the intended ultimate disposition of
the fish or fish products (e.g., it applies to transshipments from the
foreign vessel to another vessel in United States territorial waters; it
applies to landing for transshipment in bond to Canada or Mexico; it
applies to landing for exportation under bond; and it applies to landing
in a Foreign Trade Zone). However, the prohibition is limited to fish,
or fish products processed therefrom, taken on board the foreign vessel
on the high seas.
(c) A vessel of the United States to be employed in the fisheries
must have a Certificate of Documentation endorsed with a fishery
license. ``Fisheries'' includes processing, storing, transporting
(except in foreign commerce), planting, cultivating, catching, taking,
or harvesting fish, shellfish, marine animals, pearls, shells, or marine
vegetation in the navigable waters of the United States or the exclusive
economic zone.
(d) A convention vessel may come into a port of entry on the Pacific
[[Page 75]]
coast of the United States, including Alaska, to land its catch of
halibut and incidentally-caught sable fish, or to secure supplies,
equipment, or repairs. Such a vessel may come into any other port of
entry or, if properly authorized to do so under Sec. 101.4(b) of this
chapter, into any place other than a port of entry, for the purpose of
securing supplies, equipment, or repairs only, but shall not land its
catch. A convention vessel which comes into the United States as
provided for in this paragraph shall comply with the usual requirements
applicable to foreign vessels arriving at and departing from ports of
the United States.
(e) A nonconvention fishing vessel, other than a treaty vessel, may
come into a port of entry in the United States or, if granted permission
under Sec. 101.4(b) of this chapter, into a place other than a port of
entry for the purpose of securing supplies, equipment, or repairs, but
shall not land its catch. A nonconvention fishing vessel which comes
into the United States as provided for in this paragraph shall comply
with the usual requirements applicable to foreign vessels arriving at
and departing from ports of the United States.
(f) A nonconvention cargo vessel, although not prohibited by law
from coming into the United States, shall not be permitted to land in
the United States its catch of fish taken on the high seas or any fish
or fish products taken on board on the high seas from a vessel employed
in fishing or in the processing of fish or fish products, but may land
fish taken on board at any place other than the high seas upon
compliance with the usual requirements. Before any such fish may be
landed the master shall satisfy the port director that the fish were not
taken on board on the high seas by presenting declarations of the master
and two or more officers or members of the crew of the vessel, of whom
the person next in authority to the master shall be one, or other
evidence acceptable to the port director which establishes the place of
lading to his satisfaction.
(g) A treaty vessel may come into a port or place of the United
States named in Annex B of the Treaty with Canada on Pacific Coast
Albacore Tuna Vessels and Port Privileges to land its catch of albacore
tuna, or to secure fuel, supplies, equipment and repairs. Such a vessel
may come into any other port of entry or, if properly authorized to do
so under Sec. 101.4(b) of this chapter, into any place other than a port
of entry, for the purpose of securing supplies, equipment, or repairs
only, but shall not land its catch. A treaty vessel which comes into the
United States as provided for in this paragraph shall comply with the
usual requirements applicable to foreign vessels arriving at and
departing from ports of the United States.
(h) A convention vessel, a nonconvention fishing vessel, a
nonconvention cargo vessel, or a treaty vessel, which arrives in the
United States in distress shall be subject to the usual requirements
applicable to foreign vessels arriving in distress. While in the United
States, supplies, equipment, or repairs may be secured, but, except as
specified in the next sentence, fish shall not be landed unless the
vessel's master, or other authorized representative of the owner, shows
to the satisfaction of the port director that it will not be possible,
by the exercise of due diligence, for the vessel to transport its catch
to a foreign port without spoilage, in which event the port director may
allow the vessel upon compliance with all applicable requirements, to
land, transship, or otherwise dispose of its catch. Nothing herein shall
prevent, upon compliance with normal Customs procedures, a convention
vessel arriving in distress from landing its catch of halibut and
incidentally-caught sable fish at a port of entry on the Pacific coast,
including Alaska; a foreign cargo vessel arriving in distress from
landing its cargo of fish taken on board at any place not on the high
seas; or a treaty vessel arriving in distress from landing its catch of
albacore tuna at a port of entry on the Pacific coast, including Alaska.
[T.D. 82-144, 47 FR 35182, Aug. 13, 1982, as amended by T.D. 83-214, 48
FR 46513, Oct. 13, 1983; T.D. 83-214, 48 FR 50075, Oct. 31, 1983; T.D.
93-12, 58 FR 13197, Mar. 10, 1993]
Sec. 4.97 Salvage vessels.
(a) Only a vessel of the United States, a numbered motorboat owned
[[Page 76]]
by a citizen, or a vessel operating within the purview of paragraph (d)
or (e) of this section, shall engage in any salvage operation in
territorial waters of the United States unless an application addressed
to the Commissioner of Customs to use another specified vessel in a
completely described operation has been granted. \133\
---------------------------------------------------------------------------
\133\ ``No foreign vessel shall, under penalty of forfeiture, engage
in salvaging operations on the Atlantic or Pacific coast of the United
States, in any portion of the Great Lakes or their connecting or
tributary waters, including any portion of the Saint Lawrence River
through which the international boundary line extends, or in territorial
waters of the United States on the Gulf of Mexico, except when
authorized by a treaty or in accordance with the provisions of section
725 of this title: Provided, however, That if, on investigation, the
Secretary of the Treasury is satisfied that no suitable vessel wholly
owned by a person who is a citizen of the United States and documented
under the laws of the United States or numbered pursuant to section 288
of this title, is available in any particular locality he may authorize
the use of a foreign vessel or vessels in salvaging operations in that
locality and no penalty shall be incurred for such authorized use.'' (46
U.S.C. 316(d))
``Nothing in this section shall be held or construed to prohibit or
restrict any assistance to vessels or salvage operations authorized by
Article II of the treaty between the United States and Great Britain
`concerning reciprocal rights for United States and Canada in the
conveyance of prisoners and wrecking and salvage' signed at Washington,
May 18, 1908 (35 Stat. 2036), or by the treaty between the United States
and Mexico `to facilitate assistance to and salvage of vessels in
territorial waters,' signed at Mexico City, June 13, 1935 (49 Stat.
3359).'' (46 U.S.C. 316(e))
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(b) Upon receipt of such an application, the Commissioner of Customs
will cause an investigation to be made immediately to determine whether
a suitable vessel of the United States or a suitable numbered motorboat
owned by a citizen is available for the operation. If he finds that no
such vessel is available and that the facts otherwise warrant favorable
action, he will grant the application.
(c) If the application is granted, the applicant shall make a full
report of the operation as soon as possible to the director of the port
nearest the place where the operation was conducted.
(d) A Canadian vessel may engage in salvage operations on any vessel
in any territorial waters of the United States in which Canadian vessels
are permitted to conduct such operations by article II of the treaty
between the United States and Great Britain signed on May 18, 1908,
\134\ or by section 725, title 46, United States Code. \135\ If any such
vessel engages in a salvage operation in territorial waters of the
United States, the owner or master of the vessel shall make a full
report of the operation as soon as possible to the director of the port
nearest the place where the operation was conducted.
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\134\ ``The High Contracting Parties agree that vessels and wrecking
appliances, either from the United States or from the Dominion of
Canada, may salve any property wrecked and may render aid and assistance
to any vessels wrecked, disabled or in distress in the waters or on the
shores of the other country in that portion of the St. Lawrence River
through which the International Boundary line extends, and, in Lake
Ontario, Lake Erie, Lake St. Clair, Lake Huron, and Lake Superior, and
in the Rivers Niagara, Detroit, St. Clair, and Ste. Marie, and the
Canals at Sault Ste. Marie, and on the shores and in the waters of the
other country along the Atlantic and Pacific Coasts within a distance of
thirty miles from the International Boundary on such Coasts.
``It is further agreed that such reciprocal wrecking and salvage
privileges shall include all necessary towing incident thereto, and that
nothing in the Customs, Coasting or other laws or regulations of either
country shall restrict in any manner the salving operations of such
vessels or wrecking appliances.
``Vessels from either country employed in salving in the waters of
the other shall, as soon as practicable afterwards, make full report at
the nearest custom house of the country in whose waters such salving
takes place.'' (35 Stat. 2036)
\135\ ``Canadian vessels and wrecking appurtenance may render aid
and assistance to Canadian or other vessels and property wrecked,
disabled, or in distress in the waters of the United States contiguous
to the Dominion of Canada.
``This section shall be construed to apply to the canal and
improvement of the waters between Lake Erie and Lake Huron, and to the
waters of the Saint Mary's River and Canal: * * *.'' (46 U.S.C. 725)
The waters of Lake Michigan are not contiguous to the Dominion of
Canada within the meaning of this statute.
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[[Page 77]]
(e) A Mexican vessel may engage in a salvage operation on a Mexican
vessel in any territorial waters of the United States in which Mexican
vessels are permitted to conduct such operations by the treaty between
the United States and Mexico signed on June 13, 1935. \136\
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\136\ ``The High Contracting Parties agree that vessels and rescue
apparatus, public or private, of either country, may aid or assist
vessels of their own nationality, including the passengers and crews
thereof, which may be disabled or in distress on the shores or within
the territorial waters of the other country within a radius of seven
hundred and twenty nautical miles of the intersection of the
International Boundary Line and the coast of the Pacific Ocean, or
within a radius of two hundred nautical miles of the intersection of the
International Boundary Line and the coast of the Gulf of Mexico.'' (49
Stat. 3360)
[28 FR 14596, Dec. 31, 1963, as amended by T.D. 69-266, 34 FR 20423,
Dec. 31, 1969]
Sec. 4.98 Navigation fees.
(a)(1) The Customs Service shall publish a General Notice in the
Federal Register and Customs Bulletin periodically, setting forth a
revised schedule of navigation fees for the following services:
Fee No. and description of services
1 Entry of vessel, including American, from foreign port:
(a) Less than 100 net tons.
(b) 100 net tons and over.
2 Clearance of vessel, including American, to foreign port:
(a) Less than 100 net tons.
(b) 100 net tons or over.
3 Issuing permit to foreign vessel to proceed from port to port, and
receiving manifest.
4 Receiving manifest of foreign vessel on arrival from another port,
and granting a permit to unlade.
5 Receiving post entry.
6 [Reserved]
7 Certifying payment of tonnage tax for foreign vessels only.
8 Furnishing copy of official document, including certified outward
foreign manifest, and others not elsewhere enumerated.
The published revised fee schedule shall remain in effect until changed.
(2) The fees shall be calculated in accordance with Sec. 24.17(d)
Customs Regulations (19 CFR 24.17(d)), and be based upon the amount of
time the average service requires of a Customs officer in the fifth step
of GS-9.
(3) The party requesting a vessel service described in paragraph
(a)(1) of this section for which reimbursable overtime compensation is
payable under 19 U.S.C. 267 or 19 U.S.C. 1451 and Sec. 24.16 of this
chapter shall pay only the applicable overtime charge, and not both the
overtime charge and the fee specified in the fee schedule.
(4) The revised fee schedule shall be made available to the public
in Customs offices.
(5) The respective fees shall be designated in correspondence and
reports by the applicable fee number.
(b) Fee 1 shall be collected at the first port of entry only. It
shall not be collected from a vessel entering directly from a port in
noncontiguous territory of the United States nor from one entering at a
port on a northern, northeastern, or northwestern frontier otherwise
than by sea.
(c) Fee 2 shall be collected at the final port of departure from the
United States. It shall be collected from a yacht or public vessel which
obtains a clearance, but shall not be collected from a vessel clearing
directly for a port in noncontiguous territory of the United States nor
from one clearing from a port on the northern, northeastern, or
northwestern frontier otherwise than by sea. It shall be collected only
upon the first clearance each year of a vessel making regular daily
trips between a port of the United States and a port in Canada wholly
upon interior waters not navigable to the ocean.
(d) Fee 3 shall be collected for granting a permit to a foreign
vessel to proceed to another Customs port. It shall be collected from a
foreign vessel clearing directly for a port in noncontiguous territory
of the United States outside its Customs territory. This fee shall not
be collected in the case of a foreign vessel proceeding on a voyage by
sea from one port in the United States to another port via a foreign
port. Only one fee shall be collected in case of simultaneous vessel
transactions.
[[Page 78]]
(e) Fee 4 shall be collected for receiving the manifest of a foreign
vessel arriving from another Customs port. It shall be collected from a
foreign vessel entering directly from a port in noncontiguous territory
of the United States outside its Customs territory. This fee shall not
be collected in the case of a foreign vessel which arrives at one port
in the United States from another port on a voyage by sea via a foreign
port. Only one fee shall be collected in the case of simultaneous vessel
transactions.
(e-1) Fee 5 shall be collected from a foreign or American vessel at
each port where the vessel is required to file a post entry in
accordance with the provisions of Sec. 4.12(a)(3). An original post
entry may be supplemented by additional post entries in instances where
items were omitted from the original post entry. A separate fee shall be
collected for each supplemental post entry made to the original post
entry.
(f) [Reserved]
(g) Fee 7 shall be collected from foreign vessels only.
(h) Fee 8 shall be collected for each copy of any official document,
whether certified or not, furnished to any person other than a
Government officer.
(i) Private and commercial vessels, and passengers aboard commercial
vessels, may be subject to the payment of fees for services provided in
connection with their arrival as set forth in Sec. 24.22 of this
chapter.
(j) The loading or unloading of merchandise or passengers from a
commercial vessel at a U.S. port may cause the harbor maintenance fee
set forth in Sec. 24.24 of this chapter to be assessed.
[T.D. 69-266, 34 FR 20423, Dec. 31, 1969, as amended by T.D. 74-194, 39
FR 26153, July 17, 1974; T.D. 80-25, 45 FR 3572, Jan. 18, 1980; T.D. 82-
224, 47 FR 53727, Nov. 29, 1982; T.D. 84-149, 49 FR 28698, July 16,
1984; T.D. 86-109, 51 FR 21155, June 11, 1986; T.D. 87-44, 52 FR 10211,
Mar. 30, 1987; T.D. 93-85, 58 FR 54282, Oct. 21, 1993]
Sec. 4.99 Forms; substitution.
(a) Customs Forms 1300, 1302, 1302-A, 1303, and 1304 printed by
private parties or foreign governments shall be accepted provided the
forms so printed:
(1) Conform to the official Customs forms in wording arrangement,
style, size of type, and paper specifications;
(2) Conform to the official Customs forms in size, except that:
(i) Each form may be printed on metric A4 size paper, 210 by 297
millimeters (approximately 8\1/4\ by 11\2/3\ inches).
(ii) The vertical format of Customs Forms 1300, 1302-A, 1303, and
1304 may be increased in size up to a maximum of 14 inches.
(iii) Customs Form 1302 may be reduced in size to not less than
either 8\1/2\ by 11 inches or 210 by 297 millimeters (metric A4 size).
If Customs Form 1302 is reduced in size, the size of type used may be
reduced proportionately.
(b) If instructions are printed on the reverse side of the official
Customs form, the instructions may be omitted from the privately printed
forms, but the instructions shall be followed.
(c) The port director, in his discretion, may accept a computer
printout instead of Customs Form 1302 for use at a specific port.
However, to ensure that computer printouts may be used at all ports, the
private party or foreign government first must obtain specific approval
from Headquarters, U.S. Customs Service.
(d) Forms which do not comply with the requirements of this section
are not acceptable without the specific approval of the Commissioner of
Customs.
[T.D. 79-255, 44 FR 57088, Oct. 4, 1979; T.D. 00-22, 65 FR 16517, Mar.
29, 2000]
Sec. 4.100 Licensing of vessels of less than 30 net tons.
(a) The application for a license to import merchandise in a vessel
of less than 30 net tons in accordance with section 6, Anti-Smuggling
Act of August 5, 1935, shall be addressed to the Secretary of the
Treasury and delivered to the directors of the ports where foreign
merchandise is to be imported in such vessel.
(b) The application shall contain the following information:
(1) Name of the vessel, rig, motive power, and home port.
(2) Name and address of the owner.
(3) Name and address of the master.
(4) Net tonnage of the vessel.
[[Page 79]]
(5) Kind of merchandise to be imported.
(6) Country or countries of exportation.
(7) Ports of the United States where the merchandise will be
imported.
(8) Whether the vessel will be used to transport and import
merchandise from a hovering vessel.
(9) Kind of document under which the vessel is operating.
(c) If the port director finds that the applicant is a reputable
person and that the revenue would not be jeopardized by the issuance of
a license, he may issue the license for a period not to exceed 12
months, incorporating therein any special conditions he believes to be
necessary or desirable, and deliver it to the licensee.
(d) The master or owner shall keep the license on board the vessel
at all times and exhibit it upon demand of any duly authorized officer
of the United States. This license is personal to the licensee and is
not transferable.
(e) The Secretary of the Treasury or the port director at whose
office the license was issued may revoke the license if any of its terms
have been willfully or intentionally violated or for any other cause
which may be considered prejudicial to the revenue or otherwise against
the interest of the United States.
[T.D. 72-211, 37 FR 16486, Aug. 15, 1972]
Sec. 4.101 Prohibitions against Customs officers and employees.
No Customs officer or employee shall:
(a) Own, in whole or in part, any vessel except a yacht or other
pleasure boat;
(b) Act as agent, attorney, or consignee for the owner or owners of
any vessel, or of any cargo or lading on board the vessel; or
(c) Import or be concerned directly or indirectly in the importation
of any merchandise for sale into the United States
[T.D. 78-394, 43 FR 49787, Oct. 25, 1978]
PART 7_CUSTOMS RELATIONS WITH INSULAR POSSESSIONS AND GUANTANAMO BAY
NAVAL STATION
Sec.
7.1 Puerto Rico; spirits and wines withdrawn from warehouse for
shipment to; duty on foreign-grown coffee.
7.2 Insular possessions of the United States other than Puerto Rico.
7.3 Duty-free treatment of goods imported from insular possessions of
the United States other than Puerto Rico.
7.4 Watches and watch movements from U.S. insular possessions.
7.11 Guantanamo Bay Naval Station.
Authority: 19 U.S.C. 66, 1202 (General Note 3(i), Harmonized Tariff
Schedule of the United States), 1623, 1624; 48 U.S.C. 1406i.
Sec. 7.1 Puerto Rico; spirits and wines withdrawn from warehouse for
shipment to; duty on foreign-grown coffee.
(a) When spirits and wines are withdrawn from a bonded manufacturing
warehouse for shipment in bond to Puerto Rico pursuant to section 311,
Tariff Act of 1930, as amended, \1 2\ the warehouse withdrawal shall
contain on the face thereof a statement of the
[[Page 80]]
kind and quantity of all imported merchandise (in its condition as
imported) and imported containers used in the manufacture and putting up
of such spirits and wines. The duty assessed on the imported merchandise
and containers so used, and their classification and value, shall be
shown on the withdrawal in accordance with Sec. 144.41 of this chapter.
If no imported merchandise or containers have been used, the warehouse
withdrawal shall bear an endorsement to that effect. (See
Sec. Sec. 191.105 and 191.106 of this chapter.)
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\1\ [Reserved]
\2\ ``* * * Distilled spirits and wines which are rectified in
bonded manufacturing warehouses, class six, and distilled spirits which
are reduced in proof and bottled in such warehouses, shall be deemed to
have been manufactured within the meaning of this section and may be
withdrawn as hereinbefore provided, and likewise for shipment in bond to
Puerto Rico, subject to the provisions of this section, and under such
regulations as the Secretary of the Treasury may prescribe, there to be
withdrawn for consumption or be rewarehoused and subsequently withdrawn
for consumption: Provided, That upon withdrawal in Puerto Rico for
consumption, the duties imposed by the customs laws of the United States
shall be collected on all imported merchandise (in its condition as
imported) and imported containers used in the manufacture and putting up
of such spirits and wines in such warehouses: Provided further, That no
internal-revenue tax shall be imposed on distilled spirits and wines
rectified in class six warehouses if such distilled spirits and wines
are exported or shipped in accordance with the provisions of this
section, * * *.'' (Tariff Act of 1930, sec. 311, as amended; 19 U.S.C.
1311)
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(b) The spirits and wines shall be forwarded in accordance with the
general provisions of the regulations governing the transportation of
merchandise in bond, part 18 of this chapter.
(c) A regular entry shall be made for all foreign-grown coffee
shipped to Puerto Rico from the United States, but special Customs
invoices shall not be required for such shipments. \3\
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\3\ Section 319, Tariff Act of 1930, authorizes the Legislature of
Puerto Rico to impose a duty on coffee imported into Puerto Rico,
including coffee grown in a foreign country coming into Puerto Rico from
the United States, and the Legislature of Puerto Rico has imposed such a
duty.
(Secs. 311, 319, 484(a), 46 Stat. 691, as amended, 696, 722, as amended;
19 U.S.C. 1311, 1319, 1484(a); R.S. 251, as amended, sec. 624, 46 Stat.
---------------------------------------------------------------------------
759 (19 U.S.C. 66, 1624))
[28 FR 14636, Dec. 31, 1963, as amended by T.D. 73-175, 38 FR 17445,
July 2, 1973; T.D. 83-212, 48 FR 46770, Oct. 14, 1983; T.D. 98-16, 63 FR
11004, Mar. 5, 1998]
Sec. 7.2 Insular possessions of the United States other than Puerto
Rico.
(a) Insular possessions of the United States other than Puerto Rico
are also American territory but, because those insular possessions are
outside the customs territory of the United States, goods imported
therefrom are subject to the rates of duty set forth in column 1 of the
Harmonized Tariff Schedule of the United States (HTSUS) except as
otherwise provided in Sec. 7.3 or in part 148 of this chapter. The
principal such insular possessions are the U.S. Virgin Islands, Guam,
American Samoa, Wake Island, Midway Islands, and Johnston Atoll.
Pursuant to section 603(c) of the Covenant to Establish a Commonwealth
of the Northern Mariana Islands in Political Union With the United
States of America, Public Law 94-241, 90 Stat. 263, 270, goods imported
from the Commonwealth of the Northern Mariana Islands are entitled to
the same tariff treatment as imports from Guam and thus are also subject
to the provisions of Sec. 7.3 and of part 148 of this chapter.
(b) Importations into Guam, American Samoa, Wake Island, Midway
Islands, Johnston Atoll, and the Commonwealth of the Northern Mariana
Islands are not governed by the Tariff Act of 1930, as amended, or the
regulations contained in this chapter. The customs administration of
Guam is under the Government of Guam. The customs administration of
American Samoa is under the Government of American Samoa. The customs
administration of Wake Island is under the jurisdiction of the
Department of the Air Force (General Counsel). The customs
administration of Midway Islands is under the jurisdiction of the
Department of the Navy. There is no customs authority on Johnston Atoll,
which is under the operational control of the Defense Nuclear Agency.
The customs administration of the Commonwealth of the Northern Mariana
Islands is under the Government of the Commonwealth.
(c) The Secretary of the Treasury administers the customs laws of
the U.S. Virgin Islands through the U.S. Customs and Border Protection.
The importation of goods into the U.S. Virgin Islands is governed by
Virgin Islands law; however, in situations where there is no applicable
Virgin Islands law or no U.S. law specifically made applicable to the
Virgin Islands, U.S. laws and regulations shall be used as a guide and
be complied with as nearly as possible. Tariff classification of, and
rates of duty applicable to, goods imported into the U.S. Virgin Islands
are established by the Virgin Islands legislature.
[T.D. 97-75, 62 FR 46439, Sept. 3, 1997, as amended by CBP Dec. 08-25,
73 FR 40725, July 16, 2008]
[[Page 81]]
Sec. 7.3 Duty-free treatment of goods imported from insular possessions
of the United States other than Puerto Rico.
(a) General. Under the provisions of General Note 3(a)(iv),
Harmonized Tariff Schedule of the United States (HTSUS), the following
goods may be eligible for duty-free treatment when imported into the
customs territory of the United States from an insular possession of the
United States:
(1) Except as provided in Additional U.S. Note 5 to Chapter 91,
HTSUS, and except as provided in Additional U.S. Note 2 to Chapter 96,
HTSUS, and except as provided in section 423 of the Tax Reform Act of
1986, as amended (19 U.S.C. 2703 note), goods which are the growth or
product of any such insular possession, and goods which were
manufactured or produced in any such insular possession from materials
that were the growth, product or manufacture of any such insular
possession or of the customs territory of the United States, or of both,
provided that such goods:
(i) Do not contain foreign materials valued at either more than 70
percent of the total value of the goods or, in the case of goods
described in section 213(b) of the Caribbean Basin Economic Recovery Act
(19 U.S.C. 2703(b)), more than 50 percent of the total value of the
goods; and
(ii) Come to the customs territory of the United States directly
from any such insular possession; and
(2) Goods previously imported into the customs territory of the
United States with payment of all applicable duties and taxes imposed
upon or by reason of importation, provided that:
(i) The goods were shipped from the United States directly to the
insular possession and are returned from the insular possession to the
United States by direct shipment; and
(ii) There was no remission, refund or drawback of such duties or
taxes in connection with the shipment of the goods from the United
States to the insular possession.
(b) Origin of goods. For purposes of this section, goods shall be
considered to be the growth or product of, or manufactured or produced
in, an insular possession if:
(1) The goods are wholly the growth or product of the insular
possession; or
(2) The goods became a new and different article of commerce as a
result of production or manufacture performed in the insular possession.
(c) Foreign materials. For purposes of this section, the term
``foreign materials'' covers any material incorporated in goods
described in paragraph (b)(2) of this section other than:
(1) A material which was wholly the growth or product of an insular
possession or of the customs territory of the United States;
(2) A material which was substantially transformed in an insular
possession or in the customs territory of the United States into a new
and different article of commerce which was then used in an insular
possession in the production or manufacture of a new and different
article which is shipped directly to the United States; or
(3) A material which may be imported into the customs territory of
the United States from a foreign country and entered free of duty
either:
(i) At the time the goods which incorporate the material are
entered; or
(ii) At the time the material is imported into the insular
possession, provided that the material was incorporated into the goods
during the 18-month period after the date on which the material was
imported into the insular possession.
(d) Foreign materials value limitation. For purposes of this
section, the determination of whether goods contain foreign materials
valued at more than 70 or 50 percent of the total value of the goods
shall be made based on a comparison between:
(1) The landed cost of the foreign materials, consisting of:
(i) The manufacturer's actual cost for the materials or, where a
material is provided to the manufacturer without charge or at less than
fair market value, the sum of all expenses incurred in the growth,
production, or manufacture of the material, including general expenses,
plus an amount for profit; and
(ii) The cost of transporting those materials to the insular
possession, but excluding any duties or taxes assessed
[[Page 82]]
on the materials by the insular possession and any charges which may
accrue after landing; and
(2) The final appraised value of the goods imported into the customs
territory of the United States, as determined in accordance with section
402 of the Tariff Act of 1930, as amended (19 U.S.C. 1401a).
(e) Direct shipment--(1) General. For purposes of this section,
goods shall be considered to come to the United States directly from an
insular possession, or to be shipped from the United States directly to
an insular possession and returned from the insular possession to the
United States by direct shipment, only if:
(i) The goods proceed directly to or from the insular possession
without passing through any foreign territory or country;
(ii) The goods proceed to or from the insular possession through a
foreign territory or country, the goods do not enter into the commerce
of the foreign territory or country while en route to the insular
possession or the United States, and the invoices, bills of lading, and
other shipping documents show the insular possession or the United
States as the final destination; or
(iii) The goods proceed to or from the insular possession through a
foreign territory or country, the invoices and other shipping documents
do not show the insular possession or the United States as the final
destination, and the goods:
(A) Remained under the control of the customs authority of the
foreign territory or country;
(B) Did not enter into the commerce of the foreign territory or
country except for the purpose of sale other than at retail, and the
port director is satisfied that the importation into the insular
possession or the United States results from the original commercial
transaction between the importer and the producer or the latter's sales
agent; and
(C) Were not subjected to operations in the foreign territory or
country other than loading and unloading and other activities necessary
to preserve the goods in good condition.
(2) Evidence of direct shipment. The port director may require that
appropriate shipping papers, invoices, or other documents be submitted
within 60 days of the date of entry as evidence that the goods were
shipped to the United States directly from an insular possession or
shipped from the United States directly to an insular possession and
returned from the insular possession to the United States by direct
shipment within the meaning of paragraph (e)(1) of this section, and
such evidence of direct shipment shall be subject to such verification
as deemed necessary by the port director. Evidence of direct shipment
shall not be required when the port director is otherwise satisfied,
taking into consideration the kind and value of the merchandise, that
the goods qualify for duty-free treatment under General Note 3(a)(iv),
HTSUS, and paragraph (a) of this section.
(f) Documentation. (1) When goods are sought to be admitted free of
duty as provided in paragraph (a)(1) of this section, there shall be
filed with the entry/entry summary a properly completed certificate of
origin on CBP Form 3229, signed by the chief or assistant chief customs
officer or other official responsible for customs administration at the
port of shipment, showing that the goods comply with the requirements
for duty-free entry set forth in paragraph (a)(1) of this section.
Except in the case of goods which incorporate a material described in
paragraph (c)(3)(ii) of this section, a certificate of origin shall not
be required for any shipment eligible for informal entry under
Sec. 143.21 of this chapter or in any case where the port director is
otherwise satisfied that the goods qualify for duty-free treatment under
paragraph (a)(1) of this section.
(2) When goods in a shipment not eligible for informal entry under
Sec. 143.21 of this chapter are sought to be admitted free of duty as
provided in paragraph (a)(2) of this section, the following declarations
shall be filed with the entry/entry summary unless the port director is
satisfied by reason of the nature of the goods or otherwise that the
goods qualify for such duty-free entry:
(i) A declaration by the shipper in the insular possession in
substantially the following form:
[[Page 83]]
I, -------------------- (name) of --------------------
(organization) do hereby declare that to the best of my knowledge and
belief the goods identified below were sent directly from the United
States on ------------, 19----, to -------------------- (name) of ------
-------------- (organization) on -------------------- (insular
possession) via the -------------------- (name of carrier) and that the
goods remained in said insular possession until shipped by me directly
to the United States via the -------------------- (name of carrier) on
------------, 19----.
----------------------------------------------------------------------------------------------------------------
Marks Numbers Quantity Description Value
----------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------
Dated at ----------------, this -------- day of ------------, 19--
--.
Signature:______________________________________________________________
(ii) A declaration by the importer in the United States in
substantially the following form:
I, -------------------- (name), of --------------------
(organization) declare that the (above) (attached) declaration by the
shipper in the insular possession is true and correct to the best of my
knowledge and belief, that the goods in question were previously
imported into the customs territory of the United States and were
shipped to the insular possession from the United States without
remission, refund or drawback of any duties or taxes paid in connection
with that prior importation, and that the goods arrived in the United
States directly from the insular possession via the --------------------
(name of carrier) on ------------, 19----.
________________________________________________________________________
(Date)
________________________________________________________________________
(Signature)
(g) Warehouse withdrawals; drawback. Merchandise may be withdrawn
from a bonded warehouse under section 557 of the Tariff Act of 1930, as
amended (19 U.S.C. 1557), for shipment to any insular possession of the
United States other than Puerto Rico without payment of duty, or with a
refund of duty if the duties have been paid, in like manner as for
exportation to foreign countries. No drawback may be allowed under
section 313 of the Tariff Act of 1930, as amended (19 U.S.C. 1313), on
goods manufactured or produced in the United States and shipped to any
insular possession. No drawback of internal-revenue tax is allowable
under 19 U.S.C. 1313 on goods manufactured or produced in the United
States with the use of domestic tax-paid alcohol and shipped to Wake
Island, Midway Islands or Johnston Atoll.
[T.D. 97-75, 62 FR 46439, Sept. 3, 1997, as amended by CBP Dec. 08-25,
73 FR 40725, July 16, 2008]
Sec. 7.4 Watches and watch movements from U.S. insular possessions.
(a) The issuance of an International Trade Administration Form ITA-
360, Certificate of Entitlement to Secure the Refund of Duties on
Watches and Watch Movements, by the Department of Commerce, authorizes a
producer of watches in the U.S. insular possessions to file requests
with CBP for the refund of duties paid on imports of watches, watch
movements (including solid state watches and watch movements), and watch
parts (excepting separate watch cases and any articles containing any
materials to which rates of duty set forth in Column 2, Harmonized
Tariff Schedule of the United States (19 U.S.C. 1202) apply). The amount
of the refund requested may be up to the value specified in the
certificate, provided that the articles for which refunds are requested
were entered during a 3-year period beginning 2 years before the date of
issuance of the Form ITA-360 certificate from the Department of
Commerce.
(b) The Form ITA-360 may not be used to secure refunds. To secure a
refund, the party requesting the refund of duties (claimant) must
present to CBP Form ITA-361, Request for Refund
[[Page 84]]
of Duties on Watches and Watch Movements, properly executed, and
authenticated by the Department of Commerce.
(c) By completing Form ITA-361, the insular producer may either:
(1) Transfer its entitlement, in whole or in part, to any other
party for any consideration agreed to by the insular producer and the
transferee, or
(2) Request the refund of duties to itself.
(d) A claimant must file Form ITA-361 with CBP at the same port
where the watch import entry was originally filed and duties paid. The
documentation accompanying Form ITA-361 shall include a copy of the
import entry, providing proof that duty was paid on the watches and
watch movements.
(e) When requesting the refund of duties on Form ITA-361, the
claimant also must complete and submit to CBP the declaration on the
form which reads as follows:
I declare that the information given above is true and correct to
the best of my knowledge and belief; that no notices of exportation of
articles with benefit of drawback were filed upon exportation of this
merchandise from the United States; that no liquidated refunds on the
articles relating to the present claim have been paid; and that no
protest or request for litigation for refund of duties paid and herewith
claimed has been made.
(f) A fee of 1 percent will be deducted from each refund request as
reimbursement to salaries and expenses of those CBP personnel processing
the request.
(g) Form ITA-360 expires 1 year from its date of issuance. Any
refund request on Form ITA-361 made by either the insular producer
itself or any transferee named on Form ITA-360 must be filed within this
1-year period. This expiration date applies equally to all refund
requests, whether a single request for the entire amount specified in
the Form ITA-361 certificate or multiple requests for partial amounts.
Refund requests will be accepted until either the amount specified in
the certificate is depleted or until the certificate expires 1 year from
its date of issuance.
(h) CBP will process only those refund requests made in accordance
with the joint rules of the Departments of Commerce and the Interior
governing the issuance and handling of certificates and the transfer of
entitlements as contained in 15 CFR part 303.
[T.D. 84-16, 49 FR 1481, Jan. 12, 1984, as amended by T.D. 84-211, 49 FR
39044, Oct. 3, 1984; T.D. 89-1, 53 FR 51252, Dec. 21, 1988. Redesignated
and amended by T.D. 97-75, 62 FR 46441, Sept. 3, 1997 ; CBP Dec. 08-25,
73 FR 40725, July 16, 2008]
Sec. 7.11 Guantanamo Bay Naval Station.
Articles of foreign origin may enter the area (both land and water)
of the Guantanamo Bay Naval Station free of duty, but such articles
shall be subject to duty upon their subsequent entry into the United
States.
[28 FR 14636, Dec. 31, 1963]
PART 10_ARTICLES CONDITIONALLY FREE, SUBJECT TO A REDUCED RATE, ETC.
Subpart A_General Provisions
Articles Exported and Returned
Sec.
10.1 Domestic products; requirements on entry.
10.3 Drawback; internal-revenue tax.
10.4 Internal-revenue marks; erasure.
10.5 Shooks and staves; cloth boards; port director's account.
10.6 Shooks and staves; claim for duty exemption.
10.7 Substantial containers or holders.
10.8 Articles exported for repairs or alterations.
10.8a Imported articles exported and reimported.
10.9 Articles exported for processing.
10.10 [Reserved]
Articles Assembled Abroad With United States Components
10.11 General.
10.12 Definitions.
10.13 Statutory provision: Subheading 9802.00.80, Harmonized Tariff
Schedule of the United States (19 U.S.C. 1202).
10.14 Fabricated components subject to the exemption.
10.15 Fabricated components not subject to the exemption.
10.16 Assembly abroad.
10.17 Valuation of exempted components.
10.18 Valuation of assembled articles.
10.19-10.20 [Reserved]
10.21 Updating cost data and other information.
10.23 Standards, quotas, and visas.
10.24 Documentation.
[[Page 85]]
10.25 Textile components cut to shape in the United States and
assembled abroad.
10.26 Articles assembled or processed in a beneficiary country in whole
of U.S. components or ingredients; articles assembled in a
beneficiary country from textile components cut to shape in
the United States.
Free Entry--Articles for the Use of Foreign Military Personnel
10.30c [Reserved]
Temporary Importations Under Bond
10.31 Entry; bond.
10.33 Theatrical effects.
10.35 Models of women's wearing apparel.
10.36 Commercial travelers' samples; professional equipment and tools
of trade; theatrical effects and other articles.
10.36a Vehicles, pleasure boats and aircraft brought in for repair or
alteration.
10.37 Extension of time for exportation.
10.38 Exportation.
10.39 Cancellation of bond charges.
10.40 Refund of cash deposits.
International Traffic
10.41 Instruments; exceptions.
10.41a Lift vans, cargo vans, shipping tanks, skids, pallets, and
similar instruments of international traffic; repair
components.
10.41b Clearance of serially numbered substantial holders or outer
containers.
Articles for Institutions
10.43 Duty-free status.
10.46 Articles for the United States.
10.47 [Reserved]
Works of Art
10.48 Engravings, sculptures, etc.
10.49 Articles for exhibition; requirements on entry.
10.50 [Reserved]
10.52 Painted, colored or stained glass windows for religious
institutions.
10.53 Antiques.
10.54 Gobelin and other hand-woven tapestries.
Vegetable Oils
10.56 Vegetable oils, denaturing; release.
Potatoes, Corn, or Maize
10.57 Certified seed potatoes, and seed corn or maize.
Bolting Cloths
10.58 Bolting cloths; marking.
Withdrawal of Supplies and Equipment for Vessels
10.59 Exemption from customs duties and internal-revenue tax.
10.60 Forms of withdrawals; bond.
10.61 Withdrawal permit.
10.62 Bunker fuel oil.
10.62a Blanket withdrawals for certain merchandise.
10.62b Aircraft turbine fuel.
10.63 Landing of supplies and stores from receiving vessel in the
United States.
10.64 Crediting or cancellation of bonds.
10.64a [Reserved]
10.65 Cigars and cigarettes.
Articles Exported for Exhibition, Etc.
10.66 Articles exported for temporary exhibition and returned; horses
exported for horse racing and returned; procedure on entry.
10.67 Articles exported for scientific or educational purposes and
returned; procedure on entry.
Theatrical Effects, Motion-Picture Films, Commercial Travelers' Samples,
and Tools of Trade
10.68 Procedure.
10.69 Samples to Great Britain and Ireland under reciprocal agreement.
Animals and Birds
10.70 Purebred animals for breeding purposes; certificate.
10.71 Purebred animals; bond for production of evidence; deposit of
estimated duties; stipulation.
10.72-10.73 [Reserved]
10.74 Animals straying across boundary for pasturage; offspring.
10.75 Wild animals and birds; zoological collections.
10.76 Game animals and birds.
10.77 [Reserved]
Products of American Fisheries
10.78 Entry.
10.79 [Reserved]
Salt for Curing Fish
10.80 Remission of duty; withdrawal; bond.
10.81 Use in any port.
10.82 [Reserved]
10.83 Bond; cancellation; extension.
Automotive Products
10.84 Automotive vehicles and articles for use as original equipment in
the manufacture of automotive vehicles.
Master Records, and Metal Matrices
10.90 Master records and metal matrices.
Prototypes
10.91 Prototypes used exclusively for product development and testing.
10.92-10.97 [Reserved]
[[Page 86]]
Fluxing Material
10.98 Copper-bearing fluxing material.
Ethyl Alcohol
10.99 Importation of ethyl alcohol for nonbeverage purposes.
United States Government Importations
10.100 Entry, examination, and tariff status.
10.101 Immediate delivery.
10.102 Duty-free entries.
10.103 American goods returned.
10.104 Temporary importation entries for United States Government
agencies.
Wheat
10.106 [Reserved]
Rescue and Relief Work
10.107 Equipment and supplies; admission.
Products Exported Under Lease and Reimported
10.108 Entry of reimported articles exported under lease.
Strategic Materials Obtained by Barter or Exchange
10.110 [Reserved]
Late Filing of Free Entry and Reduced Duty Documents
10.112 Filing free entry documents or reduced duty documents after
entry.
Instruments and Apparatus for Educational and Scientific Institutions
10.114 General provisions.
10.115-10.119 [Reserved]
Visual or Auditory Materials
10.121 Visual or auditory materials of an educational, scientific, or
cultural character.
Rate of Duty Dependent Upon Actual Use
10.131 Circumstances in which applicable.
10.132 [Reserved]
10.133 Conditions required to be met.
10.134 Declaration of intent.
10.135 Deposit of duties.
10.136 Suspension of liquidation.
10.137 Records of use.
10.138 Proof of use.
10.139 Liquidation.
Importations Not Over $200 and Bona Fide Gifts
10.151 Importations not over $200.
10.152 Bona-fide gifts.
10.153 Conditions for exemption.
Generalized System of Preferences
10.171 General.
10.172 Claim for exemption from duty under the Generalized System of
Preferences.
10.173 Evidence of country of origin.
10.174 Evidence of direct shipment.
10.175 Imported directly defined.
10.176 Country of origin criteria.
10.177 Cost or value of materials produced in the beneficiary
developing country.
10.178 Direct costs of processing operations performed in the
beneficiary developing country.
10.178a Special duty-free treatment for sub-Saharan African countries.
Canadian Crude Petroleum
10.179 Canadian crude petroleum subject to a commercial exchange
agreement between United States and Canadian refiners.
Certain Fresh, Chilled, or Frozen Beef
10.180 Certification.
Watches and Watch Movements From U.S. Insular Possessions
10.181-10.182 [Reserved]
Civil Aircraft
10.183 Duty-free entry of civil aircraft, aircraft engines, ground
flight simulators, parts, components, and subassemblies.
Subpart B_Caribbean Basin Initiative
10.191 General.
10.192 Claim for exemption from duty under the CBI.
10.193 Imported directly.
10.194 Evidence of direct shipment.
10.195 Country of origin criteria.
10.196 Cost or value of materials produced in a beneficiary country or
countries.
10.197 Direct costs of processing operations performed in a beneficiary
country or countries.
10.198 Evidence of country of origin.
10.198a Duty reduction for certain leather-related articles.
10.198b Products of Puerto Rico processed in a beneficiary country.
10.199 Duty-free entry for certain beverages produced in Canada from
Caribbean rum.
Subpart C_Andean Trade Preference
10.201 Applicability.
10.202 Definitions.
10.203 Eligibility criteria in general.
10.204 Imported directly.
10.205 Country of origin criteria.
10.206 Value content requirement.
[[Page 87]]
10.207 Procedures for filing duty-free treatment claim and submitting
supporting documentation.
Subpart D_Textile and Apparel Articles Under the African Growth and
Opportunity Act
10.211 Applicability.
10.212 Definitions.
10.213 Articles eligible for preferential treatment.
10.214 Certificate of Origin.
10.215 Filing of claim for preferential treatment.
10.216 Maintenance of records and submission of Certificate by
importer.
10.217 Verification and justification of claim for preferential
treatment.
Subpart E_United States-Caribbean Basin Trade Partnership Act
Textile and Apparel Articles Under the United States-Caribbean Basin
Trade Partnership Act
10.221 Applicability.
10.222 Definitions.
10.223 Articles eligible for preferential treatment.
10.224 Certificate of Origin.
10.225 Filing of claim for preferential treatment.
10.226 Maintenance of records and submission of Certificate by
importer.
10.227 Verification and justification of claim for preferential
treatment.
10.228 Additional requirements for preferential treatment of
brassieres.
Non-Textile Articles Under the United States-Caribbean Basin Trade
Partnership Act
10.231 Applicability.
10.232 Definitions.
10.233 Articles eligible for preferential tariff treatment.
10.234 Certificate of Origin.
10.235 Filing of claim for preferential tariff treatment.
10.236 Maintenance of records and submission of Certificate by
importer.
10.237 Verification and justification of claim for preferential tariff
treatment.
Subpart F_Andean Trade Promotion and Drug Eradication Act
Apparel and Other Textile Articles Under the Andean Trade Promotion and
Drug Eradication Act
10.241 Applicability.
10.242 Definitions.
10.243 Articles eligible for preferential treatment.
10.244 Certificate of Origin.
10.245 Filing of claim for preferential treatment.
10.246 Maintenance of records and submission of Certificate by
importer.
10.247 Verification and justification of claim for preferential
treatment.
10.248 Additional requirements for preferential treatment of
brassieres.
Extension of ATPA Benefits to Tuna and Certain Other Non-Textile
Articles
10.251 Applicability.
10.252 Definitions.
10.253 Articles eligible for preferential treatment.
10.254 Certificate of Origin.
10.255 Filing of claim for preferential treatment.
10.256 Maintenance of records and submission of Certificate by
importer.
10.257 Verification and justification of claim for preferential
treatment.
Subpart G_United States-Canada Free Trade Agreement
10.301 Scope and applicability.
10.302 Eligibility criteria in general.
10.303 Originating goods.
10.304 Exclusions.
10.305 Value content requirement.
10.306 Direct shipment to the United States.
10.307 Documentation.
10.308 Records retention.
10.309 Verification of documentation.
10.310 Election to average for motor vehicles.
10.311 Documentation for election to average for motor vehicles.
Subpart H_United States-Chile Free Trade Agreement
General Provisions
10.401 Scope.
10.402 General definitions.
Import Requirements
10.410 Filing of claim for preferential tariff treatment upon
importation.
10.411 Certification of origin or other information.
10.412 Importer obligations.
10.413 Validity of certification.
10.414 Certification or other information not required.
10.415 Maintenance of records.
10.416 Effect of noncompliance; failure to provide documentation
regarding transshipment.
Tariff Preference Level
10.420 Filing of claim for tariff preference level.
10.421 Goods eligible for tariff preference claims.
[[Page 88]]
10.422 Submission of certificate of eligibility.
10.423 Certificate of eligibility not required.
10.424 Effect of noncompliance; failure to provide documentation
regarding transshipment of non-originating cotton or man-made
fiber fabric or apparel goods.
10.425 Transit and transshipment of non-originating cotton or man-made
fiber fabric or apparel goods.
Export Requirements
10.430 Export requirements.
10.431 Failure to comply with requirements.
Post-Importation Duty Refund Claims
10.440 Right to make post-importation claim and refund duties.
10.441 Filing procedures.
10.442 CBP processing procedures.
Rules of Origin
10.450 Definitions.
10.451 Originating goods.
10.452 Exclusions.
10.453 Treatment of textile and apparel sets.
10.454 Regional value content.
10.455 Value of materials.
10.456 Accessories, spare parts or tools.
10.457 Fungible goods and materials.
10.458 Accumulation.
10.459 De minimis.
10.460 Indirect materials.
10.461 Retail packaging materials and containers.
10.462 Packing materials and containers for shipment.
10.463 Transit and transshipment.
Origin Verifications and Determinations
10.470 Verification and justification of claim for preferential
treatment.
10.471 Special rule for verification in Chile of U.S. imports of
textile and apparel products.
10.472 Verification in the United States of textile and apparel goods.
10.473 Issuance of negative origin determinations.
10.474 Repeated false or unsupported preference claims.
Penalties
10.480 General.
10.481 Corrected declaration by importers.
10.482 Corrected certification of origin by exporters or producers.
10.483 Framework for correcting declarations and certifications.
Goods Returned After Repair or Alteration
10.490 Goods re-entered after repair or alteration in Chile.
Subpart I_United States-Singapore Free Trade Agreement
General Provisions
10.501 Scope.
10.502 General definitions.
Import Requirements
10.510 Filing of claim for preferential tariff treatment upon
importation.
10.511 Supporting statement.
10.512 Importer obligations.
10.513 Supporting statement not required.
10.514 Maintenance of records.
10.515 Effect of noncompliance; failure to provide documentation
regarding third country transportation.
Tariff Preference Level
10.520 Filing of claim for tariff preference level.
10.521 Goods eligible for tariff preference level claims.
10.522 Submission of certificate of eligibility.
Rules of Origin
10.530 Definitions.
10.531 Originating goods.
10.532 Integrated Sourcing Initiative.
10.533 De minimis.
10.534 Accumulation.
10.535 Regional value content.
10.536 Value of materials.
10.537 Accessories, spare parts, or tools.
10.538 Fungible goods and materials.
10.539 Retail packaging materials and containers.
10.540 Packing materials and containers for shipment.
10.541 Indirect materials.
10.542 Third country transportation.
10.543 Certain apparel goods made from fabric or yarn not available in
commercial quantities.
Origin Verifications and Determinations
10.550 Verification and justification of claim for preferential
treatment.
10.551 Issuance of negative origin determinations.
10.552 Information sharing by CBP regarding textile and apparel goods
produced in the United States.
10.553 Textile and apparel site visits.
10.554 Exclusion of textile or apparel goods for intentional
circumvention.
Penalties
10.560 General.
10.561 Corrected claim or supporting statement.
10.562 Framework for correcting claims or supporting statements.
[[Page 89]]
Goods Returned After Repair or Alteration
10.570 Goods re-entered after repair or alteration in Singapore.
Subpart J_Dominican Republic-Central America-United States Free Trade
Agreement
General Provisions
10.581 Scope.
10.582 General definitions.
Import Requirements
10.583 Filing of claim for preferential tariff treatment upon
importation.
10.584 Certification.
10.585 Importer obligations.
10.586 Certification not required.
10.587 Maintenance of records.
10.588 Effect of noncompliance; failure to provide documentation
regarding transshipment.
Export Requirements
10.589 Certification for goods exported to a Party.
Post-Importation Duty Refund Claims
10.590 Right to make post-importation claim and refund duties.
10.591 Filing procedures.
10.592 CBP processing procedures.
Rules of Origin
10.593 Definitions.
10.594 Originating goods.
10.595 Regional value content.
10.596 Value of materials.
10.597 Accumulation.
10.598 De minimis.
10.599 Fungible goods and materials.
10.600 Accessories, spare parts, or tools.
10.601 Retail packaging materials and containers.
10.602 Packing materials and containers for shipment.
10.603 Indirect materials.
10.604 Transit and transshipment.
10.605 Goods classifiable as goods put up in sets.
Tariff Preference Level
10.606 Filing of claim for tariff preference level.
10.607 Goods eligible for tariff preference level claims.
10.608 Submission of certificate of eligibility for certain apparel
goods of Nicaragua.
10.609 Transshipment of non-originating cotton or man-made fiber
apparel goods.
10.610 Effect of noncompliance; failure to provide documentation
regarding transshipment of non-originating cotton or man-made
fiber apparel goods.
Origin Verifications and Determinations
10.616 Verification and justification of claim for preferential tariff
treatment.
10.617 Special rule for verifications in a Party of U.S. imports of
textile and apparel goods.
10.618 Issuance of negative origin determinations.
10.619 Repeated false or unsupported preference claims.
Penalties
10.620 General.
10.621 Corrected claim or certification by importers.
10.622 Corrected certification by exporters or producers.
10.623 Framework for correcting claims or certifications.
Goods Returned After Repair or Alteration
10.624 Goods re-entered after repair or alteration in a Party.
Retroactive Preferential Tariff Treatment for Textile and Apparel Goods
10.625 Refunds of excess customs duties.
Subpart K_United States-Jordan Free Trade Agreement
General Provisions
10.701 Scope.
10.702 Definitions.
Import Requirements
10.703 Filing of claim for preferential tariff treatment.
10.704 Declaration.
10.705 Importer obligations.
10.706 Declaration not required.
10.707 Maintenance of records.
10.708 Effect of noncompliance; failure to provide documentation
regarding third-country transportation.
Rules of Origin
10.709 Country of origin criteria.
10.710 Value-content requirement.
10.711 Imported directly.
Origin Verifications
10.712 Verification of claim for preferential tariff treatment.
Subpart L [Reserved]
[[Page 90]]
Subpart M_United States-Morocco Free Trade Agreement
General Provisions
10.761 Scope.
10.762 General definitions.
Import Requirements
10.763 Filing of claim for preferential tariff treatment upon
importation.
10.764 Declaration.
10.765 Importer obligations.
10.766 Declaration not required.
10.767 Maintenance of records.
10.768 Effect of noncompliance; failure to provide documentation
regarding transshipment.
Rules of Origin
10.769 Definitions.
10.770 Originating goods.
10.771 Textile or apparel goods.
10.772 Accumulation.
10.773 Value of materials.
10.774 Direct costs of processing operations.
10.775 Packaging and packing materials and containers for retail sale
and for shipment.
10.776 Indirect materials.
10.777 Imported directly.
Tariff Preference Level
10.778 Filing of claim for tariff preference level.
10.779 Goods eligible for tariff preference claims.
10.780 Transshipment of non-originating fabric or apparel goods.
10.781 Effect of noncompliance; failure to provide documentation
regarding transshipment of non-originating fabric or apparel
goods.
Origin Verifications and Determinations
10.784 Verification and justification of claim for preferential
treatment.
10.785 Issuance of negative origin determinations.
Penalties
10.786 Violations relating to the MFTA.
Goods Returned After Repair or Alteration
10.787 Goods re-entered after repair or alteration in Morocco.
Subpart N_United States-Bahrain Free Trade Agreement
General Provisions
10.801 Scope.
10.802 General definitions.
Import Requirements
10.803 Filing of claim for preferential tariff treatment upon
importation.
10.804 Declaration.
10.805 Importer obligations.
10.806 Declaration not required.
10.807 Maintenance of records.
10.808 Effect of noncompliance; failure to provide documentation
regarding transshipment.
Rules of Origin
10.809 Definitions.
10.810 Originating goods.
10.811 Textile or apparel goods.
10.812 Accumulation.
10.813 Value of materials.
10.814 Direct costs of processing operations.
10.815 Packaging and packing materials and containers for retail sale
and for shipment.
10.816 Indirect materials.
10.817 Imported directly.
Tariff Preference Level
10.818 Filing of claim for tariff preference level.
10.819 Goods eligible for tariff preference claims.
10.820 Certificate of eligibility.
10.821 Declaration.
10.822 Transshipment of non-originating fabric or apparel goods.
10.823 Effect of non-compliance; failure to provide documentation
regarding transshipment of non-originating fabric or apparel
goods.
Origin Verifications and Determinations
10.824 Verification and justification of claim for preferential
treatment.
10.825 Issuance of negative origin determinations.
Penalties
10.826 Violations relating to the BFTA.
Goods Returned After Repair or Alteration
10.827 Goods re-entered after repair or alteration in Bahrain.
Subpart O_Haitian Hemispheric Opportunity through Partnership
Encouragement Act of 2006 and 2008
10.841 Applicability.
10.842 Definitions.
10.843 Articles eligible for duty-free treatment.
10.844 Value-content requirement.
10.845 Retroactive application of duty-free treatment for certain
apparel articles.
10.846 Imported directly.
[[Page 91]]
10.847 Filing of claim for duty-free treatment.
10.848 Declaration of compliance.
10.849 Importer obligations.
10.850 Verification of claim for duty-free treatment.
Subpart P_United States-Oman Free Trade Agreement
General Provisions
10.861 Scope.
10.862 General definitions.
Import Requirements
10.863 Filing of claim for preferential tariff treatment upon
importation.
10.864 Declaration.
10.865 Importer obligations.
10.866 Declaration not required.
10.867 Maintenance of records.
10.868 Effect of noncompliance; failure to provide documentation
regarding transshipment.
Post-Importation Duty Refund Claims
10.869 Right to make post-importation claim and refund duties.
10.870 Filing procedures.
10.871 CBP processing procedures.
Rules of Origin
10.872 Definitions.
10.873 Originating goods.
10.874 Textile or apparel goods.
10.875 Accumulation.
10.876 Value of materials.
10.877 Direct costs of processing operations.
10.878 Packaging and packing materials and containers for retail sale
and for shipment.
10.879 Indirect materials.
10.880 Imported directly.
Tariff Preference Level
10.881 Filing of claim for tariff preference level.
10.882 Goods eligible for tariff preference claims.
10.883 [Reserved]
10.884 Declaration.
10.885 Transshipment of non-originating apparel goods.
10.886 Effect of non-compliance; failure to provide documentation
regarding transshipment of non-originating apparel goods.
Origin Verifications and Determinations
10.887 Verification and justification of claim for preferential
treatment.
10.888 Issuance of negative origin determinations.
Penalties
10.889 Violations relating to the OFTA.
Goods Returned After Repair or Alteration
10.890 Goods re-entered after repair or alteration in Oman.
Subpart Q_United States-Peru Trade Promotion Agreement
General Provisions
10.901 Scope.
10.902 General definitions.
Import Requirements
10.903 Filing of claim for preferential tariff treatment upon
importation.
10.904 Certification.
10.905 Importer obligations.
10.906 Certification not required.
10.907 Maintenance of records.
10.908 Effect of noncompliance; failure to provide documentation
regarding transshipment.
Export Requirements
10.909 Certification for goods exported to Peru.
Post-Importation Duty Refund Claims
10.910 Right to make post-importation claim and refund duties.
10.911 Filing procedures.
10.912 CBP processing procedures.
Rules of Origin
10.913 Definitions.
10.914 Originating goods.
10.915 Regional value content.
10.916 Value of materials.
10.917 Accumulation.
10.918 De minimis.
10.919 Fungible goods and materials.
10.920 Accessories, spare parts, or tools.
10.921 Goods classifiable as goods put up in sets.
10.922 Retail packaging materials and containers.
10.923 Packing materials and containers for shipment.
10.924 Indirect materials.
10.925 Transit and transshipment.
Origin Verifications and Determinations
10.926 Verification and justification of claim for preferential tariff
treatment.
10.927 Special rule for verifications in Peru of U.S. imports of
textile and apparel goods.
10.928 Issuance of negative origin determinations.
10.929 Repeated false or unsupported preference claims.
[[Page 92]]
Penalties
10.930 General.
10.931 Corrected claim or certification by importers.
10.932 Corrected certification by U.S. exporters or producers.
10.933 Framework for correcting claims or certifications.
Goods Returned After Repair or Alteration
10.934 Goods re-entered after repair or alteration in Peru.
Subpart R_United States-Korea Free Trade Agreement
General Provisions
10.1001 Scope.
10.1002 General definitions.
Import Requirements
10.1003 Filing of claim for preferential tariff treatment upon
importation.
10.1004 Certification.
10.1005 Importer obligations.
10.1006 Certification not required.
10.1007 Maintenance of records.
10.1008 Effect of noncompliance; failure to provide documentation
regarding transshipment.
Export Requirements
10.1009 Certification for goods exported to Korea.
Post-Importation Duty Refund Claims
10.1010 Right to make post-importation claim and refund duties.
10.1011 Filing procedures.
10.1012 CBP processing procedures.
Rules of Origin
10.1013 Definitions.
10.1014 Originating goods.
10.1015 Regional value content.
10.1016 Value of materials.
10.1017 Accumulation.
10.1018 De minimis.
10.1019 Fungible goods and materials.
10.1020 Accessories, spare parts, or tools.
10.1021 Goods classifiable as goods put up in sets.
10.1022 Retail packaging materials and containers.
10.1023 Packing materials and containers for shipment.
10.1024 Indirect materials.
10.1025 Transit and transshipment.
Origin Verifications and Determinations
10.1026 Verification and justification of claim for preferential tariff
treatment.
10.1027 Special rule for verifications in Korea of U.S. imports of
textile and apparel goods.
10.1028 Issuance of negative origin determinations.
10.1029 Repeated false or unsupported preference claims.
Penalties
10.1030 General.
10.1031 Corrected claim or certification by importers.
10.1032 Corrected certification by U.S. exporters or producers.
10.1033 Framework for correcting claims or certifications.
Goods Returned After Repair or Alteration
10.1034 Goods re-entered after repair or alteration in Korea.
Subpart S_United States-Panama Trade Promotion Agreement
General Provisions
10.2001 Scope.
10.2002 General definitions.
Import Requirements
10.2003 Filing of claim for preferential tariff treatment upon
importation.
10.2004 Certification.
10.2005 Importer obligations.
10.2006 Certification not required.
10.2007 Maintenance of records.
10.2008 Effect of noncompliance; failure to provide documentation
regarding transshipment.
Export Requirements
10.2009 Certification for goods exported to Panama.
Post-Importation Duty Refund Claims
10.2010 Right to make post-importation claim and refund duties.
10.2011 Filing procedures.
10.2012 CBP processing procedures.
Rules of Origin
10.2013 Definitions.
10.2014 Originating goods.
10.2015 Regional value content.
10.2016 Value of materials.
10.2017 Accumulation.
10.2018 De minimis.
10.2019 Fungible goods and materials.
10.2020 Accessories, spare parts, or tools.
10.2021 Goods classifiable as goods put up in sets.
10.2022 Retail packaging materials and containers.
10.2023 Packing materials and containers for shipment.
[[Page 93]]
10.2024 Indirect materials.
10.2025 Transit and transshipment.
Origin Verifications and Determinations
10.2026 Verification and justification of claim for preferential tariff
treatment.
10.2027 Special rule for verifications in Panama of U.S. imports of
textile and apparel goods.
10.2028 Issuance of negative origin determinations.
10.2029 Repeated false or unsupported preference claims.
Penalties
10.2030 General.
10.2031 Corrected claim or certification by importers.
10.2032 Corrected certification by U.S. exporters or producers.
10.2033 Framework for correcting claims or certifications.
Goods Returned After Repair or Alteration
10.2034 Goods re-entered after repair or alteration in Panama.
Subpart T_United States-Colombia Trade Promotion Agreement
General Provisions
10.3001 Scope.
10.3002 General definitions.
Import Requirements
10.3003 Filing of claim for preferential tariff treatment upon
importation.
10.3004 Certification.
10.3005 Importer obligations.
10.3006 Certification not required.
10.3007 Maintenance of records.
10.3008 Effect of noncompliance; failure to provide documentation
regarding transshipment.
Export Requirements
10.3009 Certification for goods exported to Colombia.
Post-Importation Duty Refund Claims
10.3010 Right to make post-importation claim and refund duties.
10.3011 Filing procedures.
10.3012 CBP processing procedures.
Rules of Origin
10.3013 Definitions.
10.3014 Originating goods.
10.3015 Regional value content.
10.3016 Value of materials.
10.3017 Accumulation.
10.3018 De minimis.
10.3019 Fungible goods and materials.
10.3020 Accessories, spare parts, or tools.
10.3021 Goods classifiable as goods put up in sets.
10.3022 Retail packaging materials and containers.
10.3023 Packing materials and containers for shipment.
10.3024 Indirect materials.
10.3025 Transit and transshipment.
Origin Verifications and Determinations
10.3026 Verification and justification of claim for preferential tariff
treatment.
10.3027 Special rule for verifications in Colombia of U.S. imports of
textile and apparel goods.
10.3028 Issuance of negative origin determinations.
10.3029 Repeated false or unsupported preference claims.
Penalties
10.3030 General.
10.3031 Corrected claim or certification by importers.
10.3032 Corrected certification by exporters or producers.
10.3033 Framework for correcting claims or certifications.
Goods Returned After Repair or Alteration
10.3034 Goods re-entered after repair or alteration in Colombia.
Authority: 19 U.S.C. 66, 1202 (General Note 3(i), Harmonized Tariff
Schedule of the United States (HTSUS)), 1321, 1481, 1484, 1498, 1508,
1623, 1624, 3314.
Section 10.17 also issued under 19 U.S.C. 1401a, 1402;
Sections 10.25 and 10.26 also issued under 19 U.S.C. 3592;
Sections 10.41, 10.41a, 10.107 also issued under 19 U.S.C. 1322;
Section 10.41b also issued under 19 U.S.C. 1202 (Chapter 98,
Subchapter III, U.S. Note 3, HTSUS);
Section 10.53 also issued under 16 U.S.C. 1521, et seq.;
Section 10.59 also issued under 19 U.S.C. 1309, 1317;
Sections 10.61, 10.62, 10.63, 10.64, 10.64a also issued under 19
U.S.C. 1309;
Sections 10.62a, 10.65 also issued under 19 U.S.C. 1309, 1317, 1555,
1556, 1557, 1646a;
Sec. 10.62b also issued under 19 U.S.C. 1557;
Sections 10.70, 10.71 also issued under 19 U.S.C. 1486;
Sections 10.80, 10.81, 10.82, 10.83 also issued under 19 U.S.C. 1313
(e) and (i);
Section 10.91 also issued under Pub. L. 106-476 (114 Stat. 2101),
sections 1434, 1435;
Section 10.121 also issued under 19 U.S.C. 2501.
Sections 10.171 through 10.178a also issued under 19 U.S.C. 2461 et
seq.;
[[Page 94]]
Section 10.183 also issued under 19 U.S.C. 1202 (General Note 6,
HTSUS);
Sections 10.191 through 10.199 also issued under 19 U.S.C. 2701 et
seq.;
Sections 10.201 through 10.207 also issued under 19 U.S.C. 3203;
Sections 10.211 through 10.217 also issued under 19 U.S.C. 3721;
Sections 10.221 through 10.228 and Sec. Sec. 10.231 through 10.237
also issued under 19 U.S.C. 2701 et seq.
Sections 10.241 through 10.248 and Sec. Sec. 10.251 through 10.257
also issued under 19 U.S.C. 3203.
Sections 10.401 through 10.490 also issued under Pub. L. 108-77, 117
Stat. 909 (19 U.S.C. 3805 note).
Sections 10.501 through 10.570 also issued under 19 U.S.C. 1202
(General Note 25, HTSUS) and Pub. L. 108-78, 117 Stat. 948 (19 U.S.C.
3805 note).
Sections 10.581 through 10.625 also issued under 19 U.S.C. 1202
(General Note 29, HTSUS), 19 U.S.C. 1520(d), and Pub. L. 109-53, 119
Stat. 462 (19 U.S.C. 4001 note).
Section 10.699 also issued under Pub. L. 109-53, 119 Stat. 462.
Sections 10.701 through 10.712 also issued under 19 U.S.C. 1202
(General Note 18, HTSUS) and Pub. L. 107-43, 115 Stat. 243 (19 U.S.C.
2112 note).
Sections 10.761 through 10.789 also issued under Pub. L. 108-302,
118 Stat. 1103 (19 U.S.C. 3805 note).
Sections 10.801 through 10.829 also issued under 19 U.S.C. 1202
(General Note 30, HTSUS) and Pub. L. 109-169, 119 Stat. 3581 (19 U.S.C.
3805 note).
Sections 10.841 through 10.850 also issued under 19 U.S.C. 2703A.
Sections 10.861 through 10.890 also issued under 19 U.S.C. 1202
(General Note 31, HTSUS) and Pub. L. 109-283, 120 Stat. 1191 (19 U.S.C.
3805 note).
Sections 10.901 through 10.934 also issued under 19 U.S.C. 1202
(General Note 32, HTSUS), 19 U.S.C. 1520(d), and Pub. L. 110-138, 121
Stat. 1455 (19 U.S.C. 3805 note).
Sections 10.1001 through 10.1034 also issued under 19 U.S.C. 1202
(General Note 33, HTSUS), 19 U.S.C. 1520(d), and Pub. L. 112-41, 125
Stat. 428 (19 U.S.C. 3805 note).
Sections 10.2001 through 10.2034 also issued under 19 U.S.C. 1202
(General Note 35, HTSUS), 19 U.S.C. 1520(d), and Pub. L. 112-43, 125
Stat. 497 (19 U.S.C. 3805 note).
Sections 10.3001 through 10.3034 also issued under 19 U.S.C. 1202
(General Note 34, HTSUS), 19 U.S.C. 1520(d), and Pub. L. 112-42, 125
Stat. 462 (19 U.S.C. 3805 note).
Source: 28 FR 14663, Dec. 31, 1963, unless otherwise noted.
Subpart A_General Provisions
Articles Exported and Returned
Sec. 10.1 Domestic products; requirements on entry.
(a) Except as otherwise provided for in paragraph (g), (h), (i) or
(j) of this section or elsewhere in this part or in Sec. 145.35 of this
chapter, the following documents must be filed in connection with the
entry of articles in a shipment valued over $2,500 and claimed to be
free of duty under subheading 9801.00.10 or 9802.00.20, Harmonized
Tariff Schedule of the United States (HTSUS):
(1) A declaration by the foreign shipper in substantially the
following form:
I, ----------------------,
declare that to the best of my knowledge and belief the articles herein
specified were exported from the United States, from the port of ------
---------- on or about ----------------, 20----, and that they are
returned without having been advanced in value or improved in condition
by any process of manufacture or other means.
----------------------------------------------------------------------------------------------------------------
Marks Number Quantity Description Value, in U.S. coin
----------------------------------------------------------------------------------------------------------------
................. ................. ........................... ..........................
................. ................. ........................... ..........................
................. ................. ........................... ..........................
................. ................. ........................... ..........................
................. ................. ..........................
(Date) (Signature)
................. ................. ..........................
(Address) (Capacity)
----------------------------------------------------------------------------------------------------------------
(2) A declaration by the owner, importer, consignee, or agent having
knowledge of the facts regarding the claim for free entry. If the owner
or ultimate consignee is a corporation, such declaration may be signed
by the president, vice president, secretary, or treasurer of the
corporation, or may be signed by any employee or agent of the
corporation who holds a power of attorney executed under the conditions
outlined in subpart C, part 141 of this
[[Page 95]]
chapter and a certification by the corporation that such employee or
other agent has or will have knowledge of the pertinent facts. This
declaration must be in substantially the following form:
I, --------------,
declare that the (above) (attached) declaration by the foreign shipper
is true and correct to the best of my knowledge and belief, that the
articles were manufactured by ---------------- (name of manufacturer)
located in ---------------- (city and state), that the articles were not
manufactured or produced in the United States under subheading
9813.00.05, HTSUS, and that the articles were exported from the United
States without benefit of drawback.
________________________________________________________________________
(Date)
________________________________________________________________________
(Address)
________________________________________________________________________
(Signature)
________________________________________________________________________
(Capacity)
(b) In any case in which the value of the returned articles exceeds
$2,500 and the articles are not clearly marked with the name and address
of the U.S. manufacturer, the port director may require, in addition to
the declarations required in paragraph (a) of this section, such other
documentation or evidence as may be necessary to substantiate the claim
for duty-free treatment. Such other documentation or evidence may
include a statement from the U.S. manufacturer verifying that the
articles were made in the United States, or a U.S. export invoice, bill
of lading or airway bill evidencing the U.S. origin of the articles and/
or the reason for the exportation of the articles.
(c) A certificate from the master of a vessel stating that products
of the United States are returned without having been unladen from the
exporting vessel may be accepted in lieu of the declaration of the
foreign shipper required by paragraph (a)(1) of this section.
(d) If the port director is reasonably satisfied, because of the
nature of the articles or production of other evidence, that the
articles are imported in circumstances meeting the requirements of
subheading 9801.00.10 or 9802.00.20, HTSUS, and related section and
additional U.S. notes, he may waive the requirements for producing the
documents specified in paragraph (a) of this section.
(e) No evidence relative to the conditions of subheading 9801.00.10,
HTSUS, will be required in the case of articles the product of the U.S.
in use at the time of importation as the usual coverings or containers
of merchandise not subject to an ad valorem rate of duty unless such
articles would be dutiable if not products of the U.S. under General
Rule of Interpretation 5, HTSUS.
(f) In the case of photographic films and dry plates manufactured in
the United States (except motion picture films to be used for commercial
purposes) exposed abroad and entered under subheading 9802.00.20, HTSUS,
the requirements of paragraphs (a) and (c) of this section are
applicable except that the declaration by the foreign shipper provided
for in paragraph (a)(1) to the effect that the articles ``are returned
without having been advanced in value or improved in condition by any
process of manufacture or other means'' must be crossed out, and the
entrant must show on the declaration provided for in paragraph (a)(2)
that the subject articles when exported were of U.S. manufacture and are
returned after having been exposed, or exposed and developed, and, in
the case of motion picture films, that they will not be used for
commercial purposes.
(g) Aircraft and aircraft parts and equipment. (1) In the case of
aircraft and aircraft parts and equipment returned to the United States
under subheading 9801.00.10, HTSUS, by or for the account of an aircraft
owner or operator and intended for use in his own aircraft operations,
within or outside the United States, the entry summary may be made on
CBP Form 3311. The entry summary on CBP Form 3311 must be executed by
the entrant and supported by the entry documentation required by
Sec. 142.3 of this chapter. If the CBP officer is satisfied that the
articles are products of the United States, that they have not been
improved in condition or advanced in value while abroad, and that no
drawback has been or will be paid, the other documents
[[Page 96]]
described in this section will not be required, and no bond need be
filed for their production.
(2) The entrant must show on CBP Form 3311:
(i) The name and address of the aircraft owner or operator by whom
or for whose account the articles are returned to the United States, in
the block headed ``Articles Returned To (Name and Address)'',
(ii) The name of the importing vessel or conveyance,
(iii) The date of its arrival,
(iv) A description of the articles,
(v) The value of the articles, and
(vi) That the articles are intended for use by the aircraft owner or
operator in his own aircraft operations.
(3) If CBP Form 3311 is filed at time of entry, it will serve as
both the entry and the entry summary.
(h) Nonconsumable vessel stores and equipment. (1) In the case of
nonconsumable vessel stores and equipment returned to the United States
under subheading 9801.00.10, HTSUS, the entry summary may be made on
Customs Form 3311. The entry summary on CBP Form 3311 must be executed
in duplicate by the entrant and supported by the entry documentation
required by Sec. 142.3 of this chapter. Before an entry summary on CBP
Form 3311 may be accepted for nonconsumable vessel stores and equipment,
the CBP officer must be satisfied that:
(i) The articles are products of the United States.
(ii) The articles have not been improved in condition or advanced in
value while abroad.
(iii) No drawback has been or will be paid, and
(iv) No duty equal to an internal revenue tax is payable under
subheading 9801.00.80, HTSUS.
(2) The documentation described in paragraph (a) of this section
will not be required in connection with an entry for nonconsumable
vessel stores and equipment on CBP Form 3311.
(3) To satisfy the CBP officer that no drawback has been or will be
paid on the articles in connection with their removal from the United
States, the master of the vessel or other person having knowledge of the
facts must furnish a written declaration which may be made on the
reverse side of CBP Form 3311 showing that the articles were:
(i) Exported as stores or equipment on a United States vessel or a
vessel operated by the United States Government,
(ii) Not landed in a foreign country, except for any needed repairs,
adjustments, or refilling and return to the vessel from which landed or,
(iii) For transshipment as stores or equipment to another vessel.
(4) The entrant also must show:
(i) The name of the importing vessel,
(ii) The date of its arrival,
(iii) A description of the articles, and
(iv) The value of the articles.
(5) If CBP Form 3311 is filed at time of entry, it will serve as
both the entry and the entry summary.
(i) When the total value of articles of claimed American origin
contained in any shipment does not exceed $250 and such articles are
found to be unquestionably products of the United States and do not
appear to have been advanced in value or improved in condition while
abroad and no quota is involved, free entry thereof may be made under
subheading 9801.00.10 on CBP Form 3311, executed by the owner, importer,
consignee, or agent and filed in duplicate, without regard to the
requirement of filing the documentation provided for in paragraph (a) of
this section, unless the CBPofficer has reason to believe that Customs
drawback or exemption from internal revenue tax, or both, were probably
allowed on exportation of the articles or that they are otherwise
subject to duty. The entrant must show on Customs Form 3311 the name of
the importing conveyance, the date of its arrival, the name of the
country from which the articles were returned to the United States, and
the value of the articles. The entrant must also produce evidence of his
right to make entry (except as provided in Sec. 141.11(b) of this
chapter). If the Customs officer is not entirely certain that the
articles to be entered under this paragraph by a nominal consignee are
products of the United States, the actual owner or ultimate consignee
thereof may be required to execute a Customs Form 3311.
[[Page 97]]
(j) In the case of products of the United States, when the aggregate
value of the shipment does not exceed $10,000 and the products are
imported--
(1) For the purposes of repair or alteration, prior to
reexportation, or
(2) After having been either rejected or returned by the foreign
purchaser to the United States for credit, free entry thereof may be
made under subheading 9801.00.10, HTSUS, on CBP Form 3311 (a CBP Form
7501 must be submitted as well for such articles as provided in
Sec. 143.23(h) of this chapter), executed by the owner, importer,
consignee, or agent and filed in duplicate, without regard to the
requirement of filing the documentation provided for in paragraph (a) of
this section, unless the CBP officer has reason to believe that CBP
drawback or exemption from internal revenue tax, or both, were probably
allowed on exportation of the articles or that they are otherwise
subject to duty. The person making entry must show on CBP Form 3311 the
name of the importing conveyance, the date of its arrival, the name of
the country from which the articles were returned to the United States,
and the value of the articles. The person making entry must also produce
evidence of his right to make entry (except as provided in
Sec. 141.11(b) of this chapter). If the CBP officer is not entirely
certain that the articles to be entered under this paragraph by a
nominal consignee are products of the United States, the actual owner or
ultimate consignee thereof may be required to execute a CBP Form 3311.
[T.D. 72-119, 37 FR 8867, May 2, 1972 as amended by T.D. 78-99, 43 FR
13060, Mar. 29, 1978; 43 FR 20003, May 10, 1978; T.D. 79-221, 44 FR
46812, Aug. 9, 1979; T.D. 83-82, 48 FR 14596, Apr. 5, 1983; T.D. 89-1,
53 FR 51246, Dec. 21, 1988; T.D. 94-47, 59 FR 25566, May 17, 1994; T.D.
97-82, 62 FR 51769, Oct. 3, 1997; T.D. 98-28, 63 FR 16416, Apr. 3, 1998;
77 FR 72718, Dec. 6, 2012]
Sec. 10.3 Drawback; internal-revenue tax.
(a) Except as prescribed in Sec. 10.1(f) or in paragraphs (c) and
(f) of this section, no free entry shall be allowed under Chapter 98,
Subchapter 1, Harmonized Tariff Schedule of the United States (HTSUS),
in the final liquidation of an entry unless the port director is
satisfied by the certificate of exportation or other evidence or
information that no drawback was allowed in connection with the
exportation from the United States, and unless no internal-revenue tax
is imposed on the importation of like articles not previously exported
from the United States or, if such tax is being imposed at the time of
entry for consumption or withdrawal from warehouse for consumption, the
port director is satisfied that an internal-revenue tax on production or
importation was paid in respect of the imported article before it was
exported from the United States and was not refunded. Except as provided
for in Sec. 10.1(f), when it is impracticable, because of the
destruction of Customs records or other circumstances, to determine
whether drawback was allowed, or the amount of drawback allowed, with
respect to an article established to be a returned product of the United
States which has not been advanced in value or improved in condition
while abroad, there shall be assessed on the returned article an amount
of duty determined as follows:
(1) If there is any likelihood that drawback was allowable on the
exportation of like articles at any time when the imported article may
have been exported from the United States, the estimated amount of any
drawback which would have been allowable if duty had been paid on any
foreign merchandise likely to have been used in the manufacture of the
returned article at the rate or rates applicable to such foreign
merchandise on the date of importation of the returned article (see
paragraph (b) of this section), and
(2) If there is any likelihood that a refund or remission of tax was
allowed on the exportation of the returned article, the amount of any
internal-revenue tax which would be payable at the time of importation
if the returned article were wholly of foreign origin, but in no such
case shall there be assessed more than an amount equal to the duty and
tax that would apply if the returned article were wholly of foreign
origin and originally imported. (See Sec. 10.7(a).) Except as provided
for in Sec. 10.1(f), if the imported article is of a kind which would be
subject to an internal-revenue tax if of foreign origin and payment of
an internal-revenue
[[Page 98]]
tax before exportation without refund thereof is not established, duty
shall be assessed on the imported article in an amount equal to the
internal-revenue tax imposed at the time of entry for consumption or
withdrawal from warehouse for consumption on like articles of foreign
origin, plus the amount of any drawback allowed on the exportation of
the article from the United States; but if no drawback was allowed, the
duty equal to internal-revenue tax shall be the total duty to be
assessed. If an allowance of drawback on the exportation from the United
States of the imported article is established, duty shall be assessed in
an amount equal to such drawback, plus an amount equal to any internal-
revenue tax which may be assessable in accordance with this paragraph;
but in no case shall duty equal to drawback, or to drawback and
internal-revenue tax, be assessed in an amount in excess of the ordinary
Customs duty and internal-revenue tax applicable to like articles of
foreign origin. In any case, where payment of internal-revenue tax
before exportation without refund thereof is established, no duty equal
to an internal-revenue tax currently in force shall be assessed.
(b) In the absence of satisfactory evidence as to the nonallowance
of drawback or the amount thereof allowed on the following articles of
American manufacture or production, duty shall be assessed thereon in
the amounts respectively indicated, the amount shown in each case being
considered the fair average amount of drawback allowed on such articles:
------------------------------------------------------------------------
Article Duty assessment
------------------------------------------------------------------------
Drums, metal (when not exempted from duty 24 cents each.
in accordance with sec. 10.3(c)).
Hosiery, nylon............................ 45 cents per dozen.
Lead compound, tetraethyl................. $0.003 per kilogram.
Lithopone................................. $0.00065 per kilogram.
Oxide, zinc............................... $0.0029 per kilogram.
Piece goods, cotton:
Bleached................................ $0.03199 per square meter.
Dyed.................................... $0.03454 per square meter.
Printed................................. $0.03226 per square meter.
Piece goods, nylon: Dyed $0.29086 per square meter.
Piece goods, rayon:
Printed................................. $0.04867 per square meter.
Other than printed (white, piece dyed or $0.08478 per square meter.
yarn dyed).
Tallow, refined, inedible................. $0.003 per kilogram.
------------------------------------------------------------------------
(c) The following articles shall be admitted free of duty, even
though exported from the United States with benefit of drawback:
(1) Any article of a kind which would be admitted free of duty
otherwise than under Chapter 98, Subchapter 1, HTSUS, if of foreign
origin;
(2) Substantial containers or holders of domestic manufacture,
including shooks and staves when returned as boxes or barrels, when in
use at the time of importation as the usual containers of merchandise;
(3) Any article provided for in subheadings 9801.00.70 or
9801.00.80, HTSUS, with respect to which the port director has
determined that the collection of duty under such subheadings 9801.00.70
or 9801.00.80, HTSUS, would involve an expense and inconvenience to the
Government disproportionate to the probable amount of such duty; and
(4) Other articles of domestic manufacture which are in use at the
time of importation as the usual coverings or containers of merchandise
not subject to an ad valorem rate of duty, and which have not been
advanced in value or improved in condition while abroad by any process
of manufacture or other means.
(d) Articles manufactured or produced in the United States in a
Customs bonded warehouse and exported shall be subject on reimportation
to a duty equal to the total duty and internal-revenue tax, if any,
imposed at the time of entry for consumption or withdrawal from
warehouse for consumption with respect to the importation of like
articles not previously exported from the United States.
(e) Animals straying across the border or driven across the border
for pasturage purposes or for feeding to improve them for the market and
not returned within 8 months are excluded from free entry as domestic
products returned.
(f) Tobacco products and cigarette papers and tubes classifiable
under subheading 9801.00.80, HTSUS, may be released from customs custody
without the payment of that part of the duty attributable to the
internal-revenue
[[Page 99]]
tax for return to internal-revenue bond as provided by section 5704(d)
of the Internal Revenue Code of 1954.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 68-104, 33 FR 5616, Apr.
11, 1968; T.D. 83-240, 48 FR 53098, Nov. 25, 1983; T.D. 89-1, 53 FR
51246, Dec. 21, 1988; T.D. 93-66, 58 FR 44130, Aug. 19, 1993]
Sec. 10.4 Internal-revenue marks; erasure.
Internal-revenue brands or marks on casks or other containers
previously exported from the United States must be erased at the
importer's expense under Customs supervision before their delivery from
Customs custody.
Sec. 10.5 Shooks and staves; cloth boards; port director's account.
(a) Shooks and staves produced in the United States and returned in
the form of complete boxes or barrels in use as the usual containers of
merchandise are exempt from any duties imposed by the tariff laws upon
similar containers made of foreign shooks or staves, provided their
identity is established under the regulations in this part.
(b) The term ``shook'' embraces only shooks which at the time of
exportation from this country are ready to be assembled into boxes or
barrels without further cutting to size; except that box shooks may be
exported in double lengths and cut abroad. The number of boxes made from
such shooks which may be imported into this country free of duty cannot
exceed the number of complete sets of shooks exported.
(c) [Reserved]
(d) An exporter of shooks or staves in respect of which free entry
is to be claimed when returned as boxes or barrels shall file in
triplicate with the director of the port of exportation, at least 6
hours before the landing of the articles on the exporting vessel, a
Certificate of Registration, Customs Form 4455.
(e) The Certificate of Registration, CF 4455, shall be completed in
triplicate by the port director after verification from the manifest of
the exporting vessel and the return of the lading officer. The original
shall be forwarded by the port director to the consignee. The duplicate
copy shall be given to the exporter and the triplicate copy shall be
retained.
(f) Whenever boxes or barrels alleged to have been manufactured from
American shooks or staves are shipped to the United States from a person
abroad other than the one to whom they were exported from the United
States, the importer shall be required to obtain from the foreign
consignee to whom the shooks or staves were originally exported from
this country the certificate or certificates, Customs Form 4455,
covering the exportation of the shooks or staves from the United States,
or an extract therefrom signed by such consignee, showing the number of
shooks or staves covered by such certificate or certificates, together
with the number of superficial feet of such shooks or staves. Such Form
4455, or extract therefrom, shall be filed by the importer in connection
with the entry of the boxes or barrels.
(g) Accounts shall be kept by the director of the port of
exportation of the shooks and staves as to each exportation thereof and
as to the returns thereof in boxes, barrels, etc. Notifications of such
returns shall be given to the port of exportation by the director of the
port of importation. When returns in the form of boxes, barrels, etc.,
entirely account for the shooks and staves exported as shown on the
appropriate Customs Form 4455, the port director maintaining the account
shall so inform the port director making inquiry about the merchandise
being imported and alleged to contain shooks or staves covered by the
particular exportation.
(h) A record of cloth boards of domestic manufacture exported to be
wrapped with foreign textiles shall be kept by the port director in a
similar manner as for shooks and staves. Cloth boards of domestic
manufacture are conditionally free of duty under Chapter 98, subchapter
1, Harmonized Tariff Schedule of the United States (HTSUS). If such
boards are advanced in value or improved in condition while abroad, free
entry shall be denied on importation.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 78-99, 43 FR 13060, Mar.
29, 1978; T.D. 89-1, 53 FR 51247, Dec. 21, 1988; T.D. 98-52, 63 FR
29954, June 2, 1998]
[[Page 100]]
Sec. 10.6 Shooks and staves; claim for duty exemption.
An importer, seeking an exemption from duty on account of boxes or
barrels made from American shooks or staves, must make such a claim on
Customs Form 4455 at the time of filing the entry. Upon receipt, from
the director of the port of exportation of the shooks and staves, of
corroboration that the records of exportation do not conflict materially
with such a claim, the exemption may be allowed. If the claim for an
exemption is disallowed in full or in part, the importer may file a
request within 15 days of the date of the port director's notice to him
of any disallowance, for referral of the question to the Commissioner of
Customs for review.
[T.D. 87-75, 52 FR 20066, May 29, 1987, as amended by T.D. 98-52, 63 FR
29954, June 2, 1998]
Sec. 10.7 Substantial containers or holders.
(a) Substantial containers or holders, which are products of the
United States, which are of the usual and ordinary types used in the
shipment or transportation of goods, which are reusable for such
purposes, and which are imported containing or holding merchandise,
shall be entered under the general regulations governing the free entry
of domestic products exported and returned. When such containers or
holders are imported not containing or holding merchandise they may be
admitted without entry if readily identifiable as products of the United
States.
(b) Substantial containers or holders, which are of foreign
production and previously imported duty paid, which are of the usual or
ordinary types used in the shipment or transportation of goods, which
are reusable for such purpose, and which are imported containing or
holding merchandise, shall be exempt from duty if (1) exported in
accordance with the regulations contained in Sec. 10.5 (d) and (e), and
(2) there is filed in connection with the entry a certificate of the
foreign shipper in the form prescribed by paragraph (c) of this section.
(c) The certificate to be furnished by the foreign shipper for the
use of the director of the port of entry shall be in the following form:
I, ----------------, of ----------------, do hereby certify that to
the best of my knowledge and belief the substantial containers and
holders mentioned in (the annexed invoice) (invoice No. -------- of ----
----, 19----) * are of the manufacture of ---------------- and were
exported from the United States at the port of ------------, per S.S. --
-------------- on ----------, 19----, and that the same are being
returned to the United States (empty) filled with --------) (holdings --
------------).*
---------------------------------------------------------------------------
* Cross out inapplicable words.
---------------------------------------------------------------------------
________________________________________________________________________
Shipper
(d) The port director, after verification of the foreign shipper's
certificate with the records of the director of the port of exportation
in this country, shall allow free entry to the extent the basis for such
allowance is verified. The procedure in the last two sentences of
Sec. 10.6 shall be applicable.
(e) If claim for exemption from duty for such containers or holders
of foreign production previously imported duty paid is made at the time
of entry, the certificate of the foreign shipper may be accepted if
produced at any time prior to the liquidation of the entry.
(f) When such containers or holders of foreign production previously
imported duty paid are reimported empty, they may be admitted without
entry if readily identifiable as having been previously imported duty
paid.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 82-145, 47 FR 35475,
Aug. 16, 1982; T.D. 86-118, 51 FR 22515, June 20, 1986; T.D. 97-82, 62
FR 51769, Oct. 3, 1997]
Sec. 10.8 Articles exported for repairs or alterations.
(a) Except as otherwise provided for in this section and except in
the case of goods covered by Sec. 181.64 of this chapter, the following
documents shall be filed in connection with the entry of articles which
are returned after having been exported for repairs or alterations and
which are claimed to be subject to duty only on the value of the repairs
or alterations performed abroad under subheading 9802.00.40 or
9802.00.50, Harmonized Tariff Schedule of the United States (HTSUS):
[[Page 101]]
(1) A declaration from the person who performed such repairs or
alterations, in substantially the following form:
I,----------------, declare that the articles herein specified are
the articles which, in the condition in which they were exported from
the United States, were received by me (us) on ----------------, 19----,
from---------------- (name and address of owner or exporter in the
United States); that they were received by me (us) for the sole purpose
of being repaired or altered; that only the repairs or alterations
described below were performed by me (us); that the full cost or (when
no charge is made) value of such repairs or alterations are correctly
stated below; and that no substitution whatever has been made to replace
any of the articles originally received by me (us) from the owner or
exporter thereof mentioned above.
----------------------------------------------------------------------------------------------------------------
Full cost or (when no
Description of charge is made) value of Total value of
Marks and numbers articles and of repairs or alterations (see articles after repairs
repairs or alterations subchapter II, chapter 98, or alterations
HTSUS)
----------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------
(Date)__________________________________________________________________
(Address)_______________________________________________________________
(Signature)_____________________________________________________________
(Capacity)______________________________________________________________
(2) A declaration by the owner, importer, consignee, or agent having
knowledge of the pertinent facts in substantially the following form:
I, ----------,
declare that the (above) (attached) declaration by the person who
performed the repairs or alterations abroad is true and correct to the
best of my knowledge and belief; that the articles were not manufactured
or produced in the United States under subheading 9813.00.05, HTSUS;
that such articles were exported from the United States for repairs or
alterations and without benefit of drawback from ---------------- (port)
on ----------------, 19----; and that the articles entered in their
repaired or altered condition are the same articles that were exported
on the above date and that are identified in the (above) (attached)
declaration.
(Date)__________________________________________________________________
(Address)_______________________________________________________________
(Signature)_____________________________________________________________
(Capacity)______________________________________________________________
(b) The port director may require such additional documentation as
is deemed necessary to prove actual exportation of the articles from the
United States for repairs or alterations, such as a foreign customs
entry, foreign customs invoice, foreign landing certificate, bill of
lading, or an airway bill.
(c) If the port director concerned is satisfied, because of the
nature of the articles or production of other evidence, that the
articles are imported under circumstances meeting the requirements of
subheading 9802.00.40 or 9802.00.50, HTSUS, and related section and
additional U.S. notes, he may waive submission of the declarations
provided for in paragraph (a) of this section.
(d) The port director shall require at the time of entry a deposit
of estimated duties based upon the full cost or value of the repairs or
alterations. The cost or value of the repairs or alterations outside the
United States, which is to be set forth in the invoice and entry papers
as the basis for the assessment of duty under subheading 9802.00.40 or
9802.00.50, HTSUS, shall be limited to the cost or value of the repairs
or alterations actually performed abroad, which will include all
domestic and foreign articles furnished for the repairs or alterations
but shall not include any of the expenses incurred in this country
whether by way of engineering costs, preparation of plans or
specifications, furnishing of tools or equipment for doing the repairs
or alterations abroad, or otherwise.
[T.D. 94-47, 59 FR 25567, May 17, 1994, as amended by T.D. 95-68, 60 FR
46361, Sept. 6, 1995]
[[Page 102]]
Sec. 10.8a Imported articles exported and reimported.
(a) In addition to regular entry procedures, supplementary
documentation is required in connection with duty-free entries under
subheading 9801.00.25, Harmonized Tariff Schedule of the United States
(19 U.S.C. 1202), of articles which were originally entered duty paid,
removed from Customs custody, and subsequently exported, if:
(1) The articles were exported within 3 years after the date of the
previous importation.
(2) The articles were not advanced in value or improved in condition
by any process of manufacture or other means while abroad.
(3) The articles did not conform to sample or specifications abroad.
(4) The articles are reimported by or for the account of the person
who imported them into and exported them from the United States.
(b) The following supplementary documents shall be filed in
connection with the entry of articles claimed to be free of duty under
subheading 9801.00.25, Harmonized Tariff Schedule of the United States:
(1) A declaration by the person abroad who received and is returning
the merchandise to the United States, in substantially the following
form:
I declare that the---------------------- (Description of articles)
were received by me from ---------------------------------- (Name and
address of U.S. exporter), that they have not been advanced in value or
improved in condition by any process of manufacture or other means and
are being returned to --------------------------------(Name and address
of consignee in the United States) because they do not conform to sample
or specifications for the following reasons:
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
(Date) (Signature)
________________________________________________________________________
(Address) (Title)
(2) A declaration by the owner, importer, consignee, or agent, in
substantially the following form:
I declare that the ---------------------- (Description of articles)
were previously imported into the United States at the Port of --------
-------- (Name of port), Entry No.------, on -------------- (Date of
entry) by ---------------------- (Name and address of importer) at which
time duty was paid; that they were exported from the United States at
the Port of ---------------- (Name of port) on --------------------
(Date of exportation) by ---------------------- (Name and address of
exporter) without benefit of drawback; that the articles are being
reimported by or for the account of ----------------, and, that the
attached declaration from -------------------------------- (Name of
foreign shipper) is correct in every respect.
________________________________________________________________________
(Date) (Signature)
________________________________________________________________________
(Address) (Title)
(c) If the port director concerned is reasonably satisfied because
of the nature of the articles or production of other evidence that the
requirements of subheading 9801.00.25, Harmonized Tariff Schedule of the
United States, and the related section and additional U.S. notes have
been met, he may waive the production of the documents provided for in
paragraph (b) of this section.
[T.D. 72-221, 37 FR 17469, Aug. 29, 1972, as amended by T.D. 89-1, 53 FR
51247, Dec. 21, 1988]
Sec. 10.9 Articles exported for processing.
(a) Except as otherwise provided for in this section, the following
documents shall be filed in connection with the entry of articles which
are returned after having been exported for further processing and which
are claimed to be subject to duty only on the value of the processing
performed abroad under subheading 9802.00.60, Harmonized Tariff Schedule
of the United States (HTSUS):
(1) A declaration by the person who performed the processing abroad,
in substantially the following form:
I, ----------, declare that the articles herein specified are the
articles which, in the condition in which they were exported from the
United States, were received by me (us) on ------------, 19 ------, from
---------------- (name and address of owner or exporter in the United
States); that they were received by me (us) for the sole purpose of
being processed; that only the processing described below was effected
by me (us); that the full cost or (when no charge is made) value of such
processing and the value of the articles after processing are correctly
stated below; and that no substitution whatever has been made to replace
any of the articles
[[Page 103]]
originally received by me (us) from the owner or exporter thereof
mentioned above.
----------------------------------------------------------------------------------------------------------------
Full cost or (when no
Description of charge is made) value of Total value of
Marks and numbers articles and of processing (see subchapter articles after
processing II, chapter 98, HTSUS) processing
----------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------
(Date)__________________________________________________________________
(Address)_______________________________________________________________
(Signature)_____________________________________________________________
(Capacity)______________________________________________________________
(2) A declaration by the owner, importer, consignee, or agent having
knowledge of the pertinent facts in substantially the following form:
I, ----------, declare that the (above) (attached) declaration by the
person who performed the processing abroad is true and correct to the
best of my knowledge and belief; that the articles were manufactured in
the United States by ---------------- (name and address) or, if of
foreign origin, were subjected to ---------------- (show processes of
manufacture, such as molding, casting, machining) in the United States
by ---------------- (name and address); that the articles were not
manufactured or produced in the United States under subheading
9813.00.05, HTSUS; that the articles were exported for processing and
without benefit of drawback from ---------------- (port) on ------------
, 19 ------; that the articles entered in their processed condition are
otherwise the same articles that were exported on the above date and
that are identified in the (above) (attached) declaration; and that the
returned articles will be subjected to ---------------- (describe
processing to be performed in the United States) by ----------------
(name and address of U.S. processor).___________________________________
________________________________________________________________________
(Date)
________________________________________________________________________
(Address)
________________________________________________________________________
(Signature)
________________________________________________________________________
(Capacity)
(b) The port director may require such additional documentation as
is deemed necessary to prove actual exportation of the articles from the
United States for processing, such as a foreign customs entry, foreign
customs invoice, foreign landing certificate, bill of lading, or an
airway bill.
(c) If the port director concerned is satisfied, because of the
nature of the articles or production of other evidence, that the
articles are imported under circumstances meeting the requirements of
subheading 9802.00.60, HTSUS, and related section and additional U.S.
notes, he may waive submission of the declarations provided for in
paragraph (a) of this section.
(d) The port director shall require at the time of entry a deposit
of estimated duties based upon the full cost or value of the processing.
The cost or value of the processing outside the United States, which is
to be set forth in the invoice and entry papers as the basis for the
assessment of duty under subheading 9802.00.60, HTSUS, shall be limited
to the cost or value of the processing actually performed abroad, which
will include all domestic and foreign articles used in the processing
but shall not include the exported United States metal article or any of
the expenses incurred in this country whether by way of engineering
costs, preparation of plans or specifications, furnishing of tools or
equipment for doing the processing abroad, or otherwise.
[T.D. 94-47, 59 FR 25568, May 17, 1994]
Sec. 10.10 [Reserved]
Articles Assembled Abroad With United States Components
Sec. 10.11 General.
(a) Sections 10.12 through 10.23 set forth definitions and
interpretative regulations adopted by the Commissioner of Customs
pertaining to the construction of subheading 9802.00.80, Harmonized
Tariff Schedule of the
[[Page 104]]
United States (19 U.S.C. 1202) and related provisions of law. These
provisions concern claims for the exemption from duty provided by
subheading 9802.00.80, Harmonized Tariff Schedule of the United States
(19 U.S.C. 1202), for American-made fabricated components which are
returned to the United States as parts of articles assembled abroad. The
examples included in these sections describe specific situations in
which the exemption may or may not be applicable. The definitions and
regulations that follow are promulgated to inform the public of the
constructions and interpretations that the United States Customs Service
shall give to relevant statutory terms and to assure the impartial and
uniform assessment of duties upon merchandise claimed to be partially
exempt from duty under subheading 9802.00.80, Harmonized Tariff Schedule
of the United States (19 U.S.C. 1202), at the various ports of entry.
Nothing in these regulations purports or is intended to restrict the
legal right of importers or others to a judicial review of the matters
contained therein.
(b) Section 10.24 sets forth the documentary requirements applicable
to the entry of assembled articles claimed to be subject to the
exemption provided under subheading 9802.00.80, Harmonized Tariff
Schedule of the United States (19 U.S.C. 1202). Allowance of an
importer's claim is dependent upon meeting the statutory requirements
for the exemption under subheading 9802.00.80, Harmonized Tariff
Schedule of the United States (19 U.S.C. 1202) and his complying with
the documentary requirements set forth in Sec. 10.24.
[T.D. 75-230, 40 FR 43021, Sept. 18, 1975, as amended by T.D. 89-1, 53
FR 51247, Dec. 21, 1988; T.D. 97-82, 62 FR 51769, Oct. 3, 1997]
Sec. 10.12 Definitions.
As used in Sec. Sec. 10.11 through 10.24, the following terms shall
have the meanings indicated:
(a) American-made. The term ``American-made'' is used to refer to a
product of the United States as defined in paragraph (e) of this
section.
(b) Assembly. ``Assembly'' means the fitting or joining together of
fabricated components.
(c) Exemption. ``Exemption'' means the deduction of the cost or
value of products of the United States which were assembled abroad in
accordance with the requirements of subheading 9802.00.80, Harmonized
Tariff Schedule of the United States (19 U.S.C. 1202), from the full
value of the assembled article.
(d) Fabricated component. ``Fabricated component'' means a
manufactured article ready for assembly in the condition as exported
except for operations incidental to the assembly.
(e) Product of the United States. A ``product of the United States''
is an article manufactured within the Customs territory of the United
States and may consist wholly of United States components or materials,
of United States and foreign components or materials, or wholly of
foreign components or materials. If the article consists wholly or
partially of foreign components or materials, the manufacturing process
must be such that the foreign components or materials have been
substantially transformed into a new and different article, or have been
merged into a new and different article.
[T.D. 75-230, 40 FR 43021, Sept. 18, 1975, as amended by T.D. 89-1, 53
FR 51247, Dec. 21, 1988]
Sec. 10.13 Statutory provision: Subheading 9802.00.80, Harmonized
Tariff Schedule of the United States (19 U.S.C. 1202).
Subheading 9802.00.80, Harmonized Tariff Schedule of the United
States (HTSUS), (19 U.S.C. 1202), provides that articles assembled
abroad in whole or in part of fabricated components, the product of the
United States, which (a) were exported in condition ready for assembly
without further fabrication, (b) have not lost their physical identity
in such articles by change in form, shape, or otherwise, and (c) have
not been advanced in value or improved in condition abroad except by
being assembled and except by operations incidental to the assembly
process such as cleaning, lubricating, and painting, are subject to a
duty upon the full value of the imported article, less the cost or, if
no charge is made, the value of such products of the United States. The
rate
[[Page 105]]
of duty which is assessed upon the dutiable portion of the imported
article is that which is applicable to the imported article as a whole
under the appropriate provision of the HTSUS (19 U.S.C. 1202) for such
article. If that provision requires a specific or compound rate of duty,
the total duties assessed on the imported article are reduced in such
proportion as the cost or value of the returned United States components
which qualify for the exemption bears to the full value of the assembled
article.
Example 1. A transistor radio is assembled abroad from foreign-made
components and American-made transistors. Upon importation, the
transistor radio is subject to the ad valorem rate of duty applicable to
transistor radios upon the value of the radio less the cost or value of
the American-made transistors assembled therein.
Example 2. A solid-state watch movement is assembled abroad from
foreign-made components and an American-made integrated circuit. If the
movement in question is subject to the specific rate of duty of 75 cents
if the value of the assembled movement is $30, and if the value of the
American-made integrated circuit is $10, then the value of the
integrated circuit represents one third of the total value of the
assembled article and the duty on the assembled article will be reduced
by one third ($.25). Therefore, the duty on the assembled movement is 50
cents.
[T.D. 75-230, 40 FR 43021, Sept. 18, 1975, as amended by T.D. 89-1, 53
FR 51247, Dec. 21, 1988]
Sec. 10.14 Fabricated components subject to the exemption.
(a) Fabricated components, the product of the United States. Except
as provided in Sec. 10.15, the exemption provided under subheading
9802.00.80, Harmonized Tariff Schedule of the United States (HTSUS) (19
U.S.C. 1202), applies to fabricated components, the product of the
United States. The components must be in condition ready for assembly
without further fabrication at the time of their exportation from the
United States to qualify for the exemption. Components will not lose
their entitlement to the exemption by being subjected to operations
incidental to the assembly either before, during, or after their
assembly with other components. Materials undefined in final dimensions
and shapes, which are cut into specific shapes or patterns abroad are
not considered fabricated components.
Example 1. Articles identifiable in their exported condition as
components or parts of the article into which they will be assembled,
such as transistors, diodes, integrated circuits, machinery parts, or
precut parts of wearing apparel, are regarded as fabricated components.
Example 2. Prestamped metal lead frames for semiconductor devices
exported in multiple unit strips in which the individual frame units are
connected to each other, or integrated circuit wafers containing
individual integrated circuit dice which have been scribed or scored in
the United States, are regarded as fabricated components. The separation
of the individual frames by cutting, or the segmentation of the wafer
into individual dice by flexing and breaking along scribed or scored
lines, is regarded as an operation incidental to the assembly process.
Example 3. Wires of various type, electrical conductors, metal
foils, insulating tapes, ribbons, findings used in dressmaking, and
similar products, which are in a finished state when exported from the
United States, and are ready for use in the assembly of the imported
article, are regarded as fabricated components if they are only cut to
length or subjected to operations incidental to the assembly process
while abroad.
Example 4. Uncut textile fabrics exported in bolts from which
wearing apparel components will be cut according to a pattern are not
regarded as fabricated components. Similarly, other materials, such as
lumber, leather, sheet metal, plastic sheeting, exported in basic shapes
and forms to be fabricated into components for assembly, are not
eligible for treatment as fabricated components.
(b) Substantial transformation of foreign-made articles or
materials. Foreign-made articles or materials may become products of the
United States if they undergo a process of manufacture in the United
States which results in their substantial transformation. Substantial
transformation occurs when, as a result of manufacturing processes, a
new and different article emerges, having a distinctive name, character,
or use, which is different from that originally possessed by the article
or material before being subject to the manufacturing process. The mere
finishing or modification of a partially or nearly complete foreign
product in the United States will not result in the substantial
transformation of such product and it remains the product of a foreign
country.
[[Page 106]]
Example 1. A cast metal housing for a valve is made in the United
States from imported copper ingots, the product of a foreign country.
The housing is a product of the United States because the manufacturing
operations performed in the United States to produce the housing
resulted in a substantial transformation of the foreign copper ingots.
Example 2. An integrated circuit device is assembled in a foreign
country and imported into the United States where its leads are formed
by bending them to a specified angle. It is then tested and marked. The
imported article does not become a product of the United States because
the operations performed in the United States do not result in a
substantial transformation of the foreign integrated circuit device.
Example 3. A circuit board assembly for a computer is assembled in
the United States by soldering American-made and foreign-made components
onto an American-made printed circuit board. The finished circuit board
assembly has a distinct electronic function and is ready for
incorporation into the computer. The foreign-made components have
undergone a substantial transformation by becoming permanent parts of
the circuit board assembly. The circuit board assembly, including all of
its parts is regarded as a fabricated component, the product of the
United States, for purposes of subheading 9802.00.80, HTSUS (19 U.S.C.
1202).
[T.D. 75-230, 40 FR 43022, Sept. 18, 1975, as amended by T.D. 89-1, 53
FR 51247, Dec. 21, 1988]
Sec. 10.15 Fabricated components not subject to the exemption.
Fabricated components which are not products of the United States
are excluded from the exemption. In addition, the exemption is not
applicable to any component exported from the Customs territory of the
United States:
(a) From continuous Customs custody with remission, abatement, or
refund of duty;
(b) With benefit of drawback;
(c) To comply with any law of the United States or regulation of any
Federal agency requiring exportation; or
(d) After manufacture or production in the United States under
subheading 9813.00.05, HTSUS (19 U.S.C. 1202).
Example. Partially completed components of an electric motor are
imported in several separate shipments and are entered under a temporary
importation bond to be manufactured into finished motors under the
provisions of subheading 9813.00.05, HTSUS (19 U.S.C. 1202). The
components are completed and assembled into finished electric motors.
The finished motors are exported and are assembled abroad into electric
fans which are subsequently imported into the United States.
Irrespective of the fact that the assembly of the motors might involve
such a substantial change that the motor could be considered a product
of the United States, no exemption may be given for the value of the
electric motors, since they were exported after manufacture or
production in the United States under the provision of subheading
9813.00.05, HTSUS (19 U.S.C. 1202).
[T.D. 75-230, 40 FR 43023, Sept. 18, 1975, as amended by T.D. 89-1, 53
FR 51247, Dec. 21, 1988]
Sec. 10.16 Assembly abroad.
(a) Assembly operations. The assembly operations performed abroad
may consist of any method used to join or fit together solid components,
such as welding, soldering, riveting, force fitting, gluing, laminating,
sewing, or the use of fasteners, and may be preceded, accompanied, or
followed by operations incidental to the assembly as illustrated in
paragraph (b) of this section. The mixing or combining of liquids,
gases, chemicals, food ingredients, and amorphous solids with each other
or with solid components is not regarded as an assembly.
Example 1. A television yoke is assembled abroad from American-made
magnet wire. In the foreign assembly plant the wire is despooled and
wound into a coil, the wire cut from the spool, and the coil united with
other components, including a terminal panel and housing which are also
American-made. The completed article upon importation would be subject
to the ad valorem rate of duty applicable to television parts upon the
value of the yoke less the cost or value of the American-made wire,
terminal panel and housing, assembled therein. The winding and cutting
of the wire are either assembly steps or steps incidental to assembly.
Example 2. An aluminum electrolytic capacitor is assembled abroad
from American-made aluminum foil, paper, tape, and Mylar film. In the
foreign assembly plant the aluminum foil is trimmed to the desired
width, cut to the desired length, interleaved with paper, which may or
may not be cut to length or despooled from a continuous length, and
rolled into a cylinder wherein the foil and paper are cut and a section
of sealing tape fastened to the surface to prevent these components from
unwinding. Wire or other electric connectors are bonded at appropriate
intervals to the aluminum foil of the cylinder which is then inserted
into a
[[Page 107]]
metal can, and the ends closed with a protective washer. As imported,
the capacitor is subject to the ad valorem rate of duty applicable to
capacitors upon the value less the cost or value of the American-made
foil, paper, tape, and Mylar film. The operations performed on these
components are all either assembly steps or steps incidental to
assembly.
Example 3. The manufacture abroad of cloth on a loom using thread or
yarn exported from the United States on spools, cops, or pirns is not
considered an assembly but a weaving operation, and the thread or yarn
does not qualify for the exemption. However, American-made thread used
to sew buttons or garment components is qualified for the exemption
because it is used in an operation involving the assembly of solid
components.
(b) Operations incidental to the assembly process. Operations
incidental to the assembly process whether performed before, during, or
after assembly, do not constitute further fabrication, and will not
preclude the application of the exemption. The following are examples of
operations which are incidental to the assembly process:
(1) Cleaning;
(2) Removal of rust, grease, paint, or other preservative coating;
(3) Application of paint or preservative coating, including
preservative metallic coating, lubricants, or protective encapsulation;
(4) Trimming, filing, or cutting off of small amounts of excess
materials;
(5) Adjustments in the shape or form of a component to the extent
required by the assembly being performed abroad;
(6) Cutting to length of wire, thread, tape, foil, and similar
products exported in continuous length; separation by cutting of
finished components, such as prestamped integrated circuit lead frames
exported in multiple unit strips; and
(7) Final calibration, testing, marking, sorting, pressing, and
folding of assembled articles.
(c) Operations not incidental to the assembly process. Any
significant process, operation, or treatment other than assembly whose
primary purpose is the fabrication, completion, physical or chemical
improvement of a component, or which is not related to the assembly
process, whether or not it effects a substantial transformation of the
article, will not be regarded as incidental to the assembly and will
preclude the application of the exemption to such article. The following
are examples of operations not considered incidental to the assembly as
provided under subheading 9802.00.80, Harmonized Tariff Schedule of the
United States (19 U.S.C. 1202):
(1) Melting of exported ingots and pouring of the metal into molds
to produce cast metal parts;
(2) Cutting of garment parts according to pattern from exported
material;
(3) Chemical treatment of components or assembled articles to impart
new characteristics, such as showerproofing, permapressing, sanforizing,
dying or bleaching of textiles;
(4) Machining, polishing, burnishing, peening, plating (other than
plating incidental to the assembly), embossing, pressing, stamping,
extruding, drawing, annealing, tempering, case hardening, and any other
operation, treatment or process which imparts significant new
characteristics or qualities to the article affected.
(d) Joining of American-made and foreign-made components. An
assembly operation may involve the use of American-made components and
foreign-made components. The various requirements for establishing
entitlement to the exemption apply only to the American-made components
of the assembly.
Example. Diodes are assembled abroad from American-made components.
The process includes the encapsulation of the assembled components in a
plastic shell. The plastic used for the encapsulation is in the form of
a pellet, and is of foreign origin. After the prefabricated diode
components are assembled, the assembled unit is placed in a transfer
molding machine, where, by use of the pellet, molten epoxy is caused to
flow around the perimeters of the assembled components, forming upon
solidification a plastic body for the diode. Upon importation, exemption
may be granted for the value of the American-made components, but not
for the value of the plastic pellet. If the plastic pellet used for
encapsulation was of United States origin, its value would still be a
part of the dutiable value of the diode, because the plastic pellet is
not a fabricated component of a type designed to be fitted together by
assembly, but merely a premeasured quantity of material which was
applied to the assembled
[[Page 108]]
unit by a process not constituting an assembly.
(e) Subassembly. An assembly operation may involve the joining or
fitting of American-made components into a part or subassembly of an
article, followed by the installation of the part or subassembly into
the complete article.
Example. Rolls of foil and rolls of paper are exported and cut to
specific length abroad and interleaved and rolled to form the electrodes
and dielectric of a capacitor. Following this procedure, the rolls are
assembled with cans and other parts to form a complete capacitor. The
foil and paper are entitled to the exemption.
(f) Packing. The packing abroad of merchandise into containers does
not in itself qualify either the containers or their contents for the
exemption. However, assembled articles which otherwise qualify for the
exemption and which are packaged abroad following their assembly will
not be disqualified from the exemption by reason of their having been so
packaged, whether for retail sale or for bulk shipment. The tariff
status of the packing materials or containers will be determined in
accordance with General Rule of Interpretation 5, HTSUS (19 U.S.C.
1202).
[T.D. 75-230, 40 FR 43023, Sept. 18, 1975, as amended by T.D. 89-1, 53
FR 51248, Dec. 21, 1988; CBP Dec. 08-21, 73 FR 33300, June 12, 2008]
Sec. 10.17 Valuation of exempted components.
The value of fabricated components to be subtracted from the full
value of the assembled article is the cost of the components when last
purchased, f.o.b. United States port of exportation or point of border
crossing as set out in the invoice and entry papers, or, if no purchase
was made, the value of the components at the time of their shipment for
exportation, f.o.b. United States port of exportation or point of border
crossing, as set out in the invoice and entry papers. However, if the
appraising officer concludes that the cost or value of the fabricated
components so ascertained does not represent a reasonable cost or value,
then the value of the components shall be determined in accordance with
section 402 or section 402a, Tariff Act of 1930, as amended (19 U.S.C.
1401a, 1402).
[T.D. 75-230, 40 FR 43024, Sept. 18, 1975]
Sec. 10.18 Valuation of assembled articles.
As in the case of the appraisement of any other import merchandise
(see subpart C of part 152 of this chapter), the full value of assembled
articles imported under subheading 9802.00.80, Harmonized Tariff
Schedule of the United States (HTSUS) (19 U.S.C. 1202), is determined in
accordance with 19 CFR 152.100 et seq.
[T.D. 87-89, 52 FR 24445, July 1, 1987, as amended by T.D. 89-1, 53 FR
51248, Dec. 21, 1988]
Sec. Sec. 10.19-10.20 [Reserved]
Sec. 10.21 Updating cost data and other information.
When a claim for the exemption is predicated on estimated cost data
furnished either in advance of or at the time of entry, this fact should
be clearly stated in writing at the time of entry, and suspension of
liquidation may be requested by the importer or his agent pending the
furnishing of actual cost data. Actual cost data must be submitted as
soon as accounting procedures permit. To insure that information used
for Customs purposes is reasonably current, the importer shall
ordinarily be required to furnish updated cost and assembly data at
least every six months, regardless of whether he considers that
significant changes have occurred. The 6-month period for the submission
of updated cost or other data may be extended by the port director if
such extension is appropriate for the type of merchandise involved, or
because of the accounting period normally used in the trade, or because
of other relevant circumstances.
[T.D. 75-230, 40 FR 43025, Sept. 18, 1975]
Sec. 10.23 Standards, quotas, and visas.
All requirements and restrictions applicable to imported
merchandise, such as labeling, radiation standards, flame-retarding
properties, quotas, and visas, apply to assembled articles eligible for
the exemption in the same manner as
[[Page 109]]
they would apply to all other imported merchandise.
[T.D. 75-230, 40 FR 43025, Sept. 18, 1975]
Sec. 10.24 Documentation.
(a) Documents required. The following documents shall be filed in
connection with the entry of assembled articles claimed to be subject to
the exemption under subheading 9802.00.80, Harmonized Tariff Schedule of
the United States (HTSUS) (19 U.S.C. 1202).
(1) Declaration by the assembler. A declaration by the person who
performed the assembly operations abroad shall be filed in substantially
the following form:
I, ----------, declare that to the best of my knowledge and belief
the ---------- were assembled in whole or in part from fabricated
components listed and described below, which are products of the United
States:
----------------------------------------------------------------------------------------------------------------
Unit value at
Marks of time and place Port and date of
identification, Description of Quantity of export from export from Name and address
numbers component United States United States of manufacturer
\1\
----------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------
\1\ In accordance with U.S. Note 4 to Subchapter II of Chapter 98, Harmonized Tariff Schedule of the United
States (19 U.S.C. 1202).
Description of the operations performed abroad on the exported components (in sufficient detail to enable
Customs officers to determine whether the operations performed are within the preview of subheading
9802.00.80, Harmonized Tariff Schedule of the United States (19 U.S.C. 1202) (attach supplemental sheet if
more space is required)):
________________________________________________________________________
Date Signature
________________________________________________________________________
Address Capacity
(2) Endorsement by the importer. An endorsement, in substantially
the following form, shall be signed by the importer:
I declare that to the best of my knowledge and belief the (above),
(attached) declaration, and any other information submitted herewith, or
otherwise supplied or referred to, is correct in every respect and there
has been compliance with all pertinent legal notes to the Harmonized
Tariff Schedule of the United States (19 U.S.C. 1202).
________________________________________________________________________
Date Signature
________________________________________________________________________
Address Capacity
(b) Revision of format. In specific cases, the port director may
revise the format of either of the documents specified in paragraph (a)
of this section and may make such changes as conditions warrant,
provided the data and information required to be supplied in these
documents are presented. For example, if the components were furnished
by the importer, the information on components may be supplied as part
of the importer's endorsement, rather than as part of the assembler's
declaration.
(c) Reference to previously filed documents. In lieu of filing
duplicate lists of components and descriptions of assembly operations
with each entry, the documents specified in paragraph (a) of this
section may refer to assembly descriptions and lists of components
previously filed with and approved by the port director, or to records
showing costs, names of manufacturers, and other necessary data on
components, provided the importer has arranged with the port director to
maintain such records and keep them available for examination by
authorized Customs officers.
(d) Waiver of specific details for each entry. There are cases where
large quantities of United States components are purchased from various
sources or exported at various ports and dates on a continuing basis, so
that it is impractical to identify the exact source, port and date of
export for each particular component included in an entry of merchandise
claimed to be subject to the exemption under subheading 9802.00.80,
HTSUS (19 U.S.C. 1202). In these cases, specific details such as the
port and date of export and the name of the manufacturer of the United
States components may be waived if the port director is satisfied that
the importer and assembler have
[[Page 110]]
established reliable controls to insure that all components for which
the exemption is claimed are in fact products of the United States.
These controls shall include strict physical segregation of United
States and foreign components, as well as records of United States
components showing quantities, sources, costs, dates shipped abroad, and
other necessary information. These records shall be maintained by the
importer and assembler for 5 years from the date of the released entry
in a manner so that they are readily available for audit, inspection,
copying, reproduction or other official use by authorized Customs
officers.
(e) Waiver of documents. When the port director is satisfied that
unusual circumstances make the production of either or both of the
documents specified in paragraph (a) of this section, or of any of the
information set forth therein, impractical and is further satisfied that
the requirements of subheading 9802.00.80, HTSUS, and related legal
notes have been met, he may waive the production of such document(s) or
information.
(f) Unavailability of documents at time of entry. If either or both
of the documents specified in paragraph (a) of this section are not
available at the time of entry, a bond on Customs Form 301 containing
the bond conditions set forth in Sec. 113.62 of this chapter for the
production of the document(s) may be given pursuant to Sec. Sec. 113.41-
113.46 and 141.66 of this chapter.
(g) Responsibility of correctness. Subject to the civil and criminal
sanctions provided by law for false or fraudulent entries, the importer
has the ultimate responsibility for supplying all information needed by
the Customs Service to process an entry, and for the completeness and
truthfulness of such information. If certain information cannot be
supplied by the assembler, it must be provided by the importer.
[T.D. 75-230, 40 FR 43025, Sept. 18, 1975, as amended by T.D. 79-159, 44
FR 31967, June 4, 1979; T.D. 84-213, 49 FR 41165, Oct. 19, 1984; T.D.
89-1, 53 FR 51248, Dec. 21, 1988]
Sec. 10.25 Textile components cut to shape in the United States and
assembled abroad.
Where a textile component is cut to shape (but not to length, width,
or both) in the United States from foreign fabric and exported to
another country, territory, or insular possession for assembly into an
article that is then returned to the United States and entered, or
withdrawn from warehouse, for consumption on or after July 1, 1996, the
value of the textile component shall not be included in the dutiable
value of the article. For purposes of determining whether a reduction in
the dutiable value of an imported article may be allowed under this
section:
(a) The terms ``textile component'' and ``fabric'' have reference
only to goods covered by the definition of ``textile or apparel
product'' set forth in Sec. 102.21(b)(5) of this chapter;
(b) The operations performed abroad on the textile component shall
conform to the requirements and examples set forth in Sec. 10.16 insofar
as they may be applicable to a textile component; and
(c) The valuation and documentation provisions of Sec. Sec. 10.17,
10.18, 10.21 and 10.24 shall apply.
[T.D. 95-69, 60 FR 46196, Sept. 5, 1995; T.D. 95-69, 60 FR 55995, Nov.
6, 1995]
Sec. 10.26 Articles assembled or processed in a beneficiary country in
whole of U.S. components or ingredients; articles assembled in
a beneficiary country from textile components cut to shape in
the United States.
(a) No article (except a textile article, apparel article, or
petroleum, or any product derived from petroleum, provided for in
heading 2709 or 2710, Harmonized Tariff Schedule of the United States
(HTSUS)) shall be treated as a foreign article or as subject to duty:
(1) If the article is assembled or processed in a beneficiary
country in whole of fabricated components that are a product of the
United States; or
(2) If the article is processed in a beneficiary country in whole of
ingredients (other than water) that are a product of the United States;
and
(3) Neither the fabricated components, materials or ingredients
after their exportation from the United
[[Page 111]]
States, nor the article before its importation into the United States,
enters into the commerce of any foreign country other than a beneficiary
country.
(b) No article (except a textile or apparel product) entered, or
withdrawn from warehouse, for consumption on or after July 1, 1996,
shall be treated as a foreign article or as subject to duty:
(1) If the article is assembled in a beneficiary country in whole of
textile components cut to shape (but not to length, width, or both) in
the United States from foreign fabric; or
(2) If the article is assembled in a beneficiary country in whole of
both textile components described in paragraph (b)(1) of this section
and components that are products of the United States; and
(3) Neither the components after their exportation from the United
States, nor the article before its importation into the United States,
enters into the commerce of any foreign country other than a beneficiary
country.
(c) For purposes of this section:
(1) The terms ``textile article'', ``apparel article'', and
``textile or apparel product'' cover all articles, other than footwear
and parts of footwear, that are classifiable in an HTSUS subheading
which carries a textile and apparel category number designation;
(2) The term ``beneficiary country'' has the meaning set forth in
Sec. 10.191(b)(1); and
(3) A component, material, ingredient, or article shall be deemed to
have not entered into the commerce of any foreign country other than a
beneficiary country if:
(i) The component, material, or ingredient was shipped directly from
the United States to a beneficiary country, or the article was shipped
directly to the United States from a beneficiary country, without
passing through the territory of any non-beneficiary country; or
(ii) Where the component, material, ingredient, or article passed
through the territory of a non-beneficiary country while en route to a
beneficiary country or the United States:
(A) The invoices, bills of lading, and other shipping documents
pertaining to the component, material, ingredient, or article show a
beneficiary country or the United States as the final destination and
the component, material, ingredient, or article was neither sold at
wholesale or retail nor subjected to any processing or other operation
in the non-beneficiary country; or
(B) The component, material, ingredient, or article remained under
the control of the customs authority of the non-beneficiary country and
was not subjected to operations in that non-beneficiary country other
than loading and unloading and activities necessary to preserve the
component, material, ingredient, or article in good condition.
[T.D. 95-69, 60 FR 46197, Sept. 5, 1995]
Free Entry--Articles for the Use of Foreign Military Personnel
Sec. 10.30c [Reserved]
Temporary Importations Under Bond
Sec. 10.31 Entry; bond.
(a)(1) Entry of articles brought into the United States temporarily
and claimed to be exempt from duty under Chapter 98, Subchapter XIII,
Harmonized Tariff Schedule of the United States (HTSUS), unless covered
by an A.T.A. carnet or a TECRO/AIT carnet as provided in part 114 of
this chapter, shall be made on Customs Form 3461 or 7533, supported by
the documentation required by Sec. 142.3 of this chapter. However, when
Sec. 10.36 or Sec. 10.36a is applicable, or the aggregate value of the
article is not over $250, the form prescribed for the informal entry of
importations by mail, in baggage, or by other means, may be used. When
entry is made on Customs Form 3461 or 7533, an entry summary, Customs
Form 7501, shall be filed within 10 days after time of entry, in
accordance with subpart B, part 142 of this chapter.
(2) If Customs Form 7501 is filed at time of entry, it shall serve
as both the entry and entry summary, and Customs Form 3461 or 7533 shall
not be required. Customs Form 7501 shall be in original only, except for
entries under subheading 9813.00.05, HTSUS, which require a duplicate
copy for statistical purposes. When articles are entered under an A.T.A.
carnet or a TECRO/AIT carnet, the importation voucher of the carnet
shall serve as the entry.
[[Page 112]]
(3) In addition to the data usually shown on a regular consumption
entry summary, each temporary importation bond entry summary shall
include:
(i) The HTSUS subheading number under which entry is claimed.
(ii) A statement of the use to be made of the articles in sufficient
detail to enable the port director to determine whether they are
entitled to entry as claimed, and
(iii) A declaration that the articles are not to be put to any other
use and that they are not imported for sale or sale on approval.
(b) The port director, if he is satisfied as to the importer's
identity and good faith, may admit a vehicle or craft brought in by a
nonresident to take part in a race or other specific contest for which
no money purse is awarded, under the provisions of subheading
9813.00.35, HTSUS, without formal entry or security for exportation. If
at the time of arrival it appears that the article is likely to remain
in the United States beyond 90 days, formal entry and bond shall be
taken.
(c) When any article has been admitted without formal entry or
security for exportation and the importer thereafter desires to prolong
his stay beyond 90 days, an entry covering the article and security for
its exportation shall be accepted at any port where the article may be
presented for entry. The time during which the imported article may
remain in the United States under the entry shall be computed from the
date of its original arrival in the United States. The estimated duties
for the purpose of fixing the amount of any bond required by paragraph
(f) of this section shall be the estimated duties which would have been
required to be deposited had the article been entered under an ordinary
consumption entry on the date of the original arrival.
(d) [Reserved]
(e) The entry or invoice shall: (1) Describe each article in detail;
(2) set forth the value of each article; and (3) set forth any marks or
numbers thereon or other distinguishing features thereof. In the case of
a vehicle, aircraft, or pleasure boat entered under subheading
9813.00.05, HTSUS and Sec. 10.36a, the registration number, and engine
or motor number, and the body number (if available) shall also be shown
on the entry. Examination of the imported articles shall be made
whenever the circumstances warrant, and occasionally in any event to an
extent which will enable the Customs officer to determine that the
importation is in agreement with the invoice or entry as to identity and
quantity and for the purpose of accepting the entry under the applicable
provisions of Chapter 98, Subchapter XIII, HTSUS. No examination for the
purpose of appraisement and no appraisement of the articles shall be
made.
(f) With the exceptions stated herein, a bond shall be given on
Customs Form 301, containing the bond conditions set forth in
Sec. 113.62 of this chapter, in an amount equal to double the duties,
including fees, which it is estimated would accrue (or such larger
amount as the port director shall state in writing or by the electronic
equivalent to the entrant is necessary to protect the revenue) had all
the articles covered by the entry been entered under an ordinary
consumption entry. In the case of samples solely for use in taking
orders entered under subheading 9813.00.20, HTSUS, motion-picture
advertising films entered under subheading 9813.00.25, HTSUS, and
professional equipment, tools of trade and repair components for such
equipment or tools entered under subheading 9813.00.50, HTSUS, the bond
required to be given shall be in an amount equal to 110 percent of the
estimated duties, including fees, determined at the time of entry. If
appropriate a carnet, under the provisions of part 114 of this chapter,
may be filed in lieu of a bond on Customs Form 301 (containing the bond
conditions set forth in Sec. 113.62 of this chapter). Cash deposits in
the amount of the bond may be accepted in lieu of sureties. When the
articles are entered under subheading 9813.00.05, 9813.00.20, or
9813.00.50, HTSUS without formal entry, as provided for in
Sec. Sec. 10.36 and 10.36a, or the amount of the bond taken under any
subheading of Chapter 98, Subchapter XIII, HTSUS, is less than $25, the
bond shall be without surety or cash deposit, and the bond shall be
modified to so indicate. In addition, notwithstanding any other
provision of
[[Page 113]]
this paragraph, in the case of professional equipment necessary for
carrying out the business activity, trade or profession of a business
person, equipment for the press or for sound or television broadcasting,
cinematographic equipment, articles imported for sports purposes and
articles intended for display or demonstration, if brought into the
United States by a resident of Canada, Mexico, Singapore, Chile,
Morocco, El Salvador, Guatemala, Honduras, Nicaragua, the Dominican
Republic, Costa Rica, Bahrain, Oman, Peru, the Republic of Korea,
Colombia, or Panama and entered under Chapter 98, Subchapter XIII,
HTSUS, no bond or other security will be required if the entered article
is a good originating, within the meaning of General Note 12, 25, 26,
27, 29, 30, 31, 32, 33, 34, and 35, HTSUS, in the country of which the
importer is a resident.
(g) Claim for free entry under Chapter 98, Subchapter XIII, HTSUS
may be made for articles of any character described therein which have
been previously entered under any other provision of law and the entry
amended accordingly upon compliance with the requirements of this
section, provided the articles have not been released from CBP custody,
or even though released from CBP custody if it is established that the
original entry was made on the basis of a clerical error, mistake of
fact, or other inadvertence within the meaning of section 514(a), Tariff
Act of 1930, as amended, and was brought to the attention of CBP within
the time limits of that section. If an entry is so amended, the period
of time during which the merchandise may remain in the customs territory
of the United States under bond shall be computed from the date of
importation. In the case of articles covered by an informal mail entry,
such a claim may be made within a reasonable time either before or after
the articles have been released from CBP custody.
(h) After the entry and bond have been accepted, the articles may be
released to the importer. The entry shall not be liquidated as the
transaction does not involve liquidated duties. However, a TIB importer
may be required to file an entry for consumption and pay duties, or pay
liquidated damages under its bond for a failure to do so, in the case of
merchandise imported under subheading 9813.00.05, HTSUS, and
subsequently exported to Canada or Mexico (see Sec. 181.53 of this
chapter).
[28 FR 14663, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 10.31,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 10.33 Theatrical effects.
For purposes of the entry of theatrical scenery, properties and
apparel under subheading 9817.00.98, Harmonized Tariff Schedule of the
United States:
(a) Animals imported for use or exhibition in theaters or menageries
may be classified as theatrical properties; and
(b) The term ``theatrical scenery, properties and apparel'' shall
not be construed to include motion-picture films.
For provisions relating to the return without formal entry of theatrical
effects taken from the United States, see Sec. 10.68 of this part.
[T.D. 92-85, 57 FR 40605, Sept. 4, 1992, as amended by CBP Dec. 04-28,
69 FR 52599, Aug. 27, 2004]
Sec. 10.35 Models of women's wearing apparel.
(a) Models of women's wearing apparel admitted under subheading
9813.00.10, Harmonized Tariff Schedule of the United States (HTSUS),
shall not be removed from the importer's establishment for reproducing,
copying, painting, sketching, or for any other use by others, nor be
used in the importer's establishment for such purposes except by the
importer or his employees.
(b) Invoices covering models of women's wearing apparel entered
under subheading 9813.00.10 or 9813.00.25, HTSUS shall state the kind
and color of the principal material from which the apparel is made, and
shall contain a description of the lining and the trimming, stating
whether composed of fur, lace, embroidery, or other material. Invoices
shall also contain a statement as to how the trimming is applied, that
[[Page 114]]
is, whether on the cuffs, collar, sleeves, or elsewhere, and the total
value of each completed garment or article.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 87-75, 52 FR 20066, May
29, 1987; T.D. 89-1, 53 FR 51248, Dec. 21, 1988]
Sec. 10.36 Commercial travelers' samples; professional equipment and
tools of trade; theatrical effects and other articles.
(a) Samples accompanying a commercial traveler who presents an
adequate descriptive list or a special CBP invoice, and professional
equipment, tools of trade, and repair components for such equipment or
tools imported in his baggage for his own use by a nonresident
sojourning temporarily in the United States may be entered on the
importer's baggage declaration in lieu of formal entry and examination
and may be passed under subheadings 9813.00.20 or 9813.00.50, Harmonized
Tariff Schedule of the United States, (HTSUS), at the place of arrival
in the same manner as other passengers' baggage. The examination may be
made by an inspector who is qualified, in the opinion of the port
director, to determine the amount of the bond required by Sec. 10.31(c)
to be filed in support of the entry. If the articles are a commercial
traveler's samples and exceed $500 in value, a special Customs invoice
or a descriptive list shall be furnished.
(b) When the proprietor or manager of a theatrical exhibition
arriving from abroad who has entered his scenery, properties, and
apparel under subheading 9817.00.98, HTSUS, contemplates side trips to a
contiguous country with the exhibition within the period of time during
which the merchandise may remain in the customs territory of the United
States under bond, including any lawful extension, a copy of the entry
covering the effects and a copy of a descriptive list of such effects or
invoice furnished by him may be certified by the examining officer and
returned to the proprietor or manager for use in registering the effects
with the CBP officers at the port of exit, and in clearing them through
CBP on his return. Cancellation of the bond shall be effected by
exportation in accordance with the provisions of Sec. 10.38 at the time
the theatrical effects are finally taken out of the United States before
the expiration of the period of time during which the merchandise may
remain in the customs territory of the United States under bond,
including any lawful extension. Similar treatment may be accorded
articles entered under other subheadings in chapter 98, subchapter XIII,
HTSUS, upon approval by Headquarters, U.S. Customs and Border
Protection.
(c) When a commercial traveler contemplates side trips to a
contiguous country within the period of time during which the
merchandise may remain in the customs territory of the United States
under bond, including any lawful extension, a copy of his baggage
declaration and a copy of the descriptive list or special CBP invoice
furnished by him may be certified by the examining officer and returned
to the traveler for use in registering the samples with CBP officers at
the port of exit, and in clearing them through CBP upon his return.
Cancellation of the bond shall be effected by exportation in accordance
with the provisions of Sec. 10.38 at the time the samples are finally
taken out of the United States before the expiration of the period of
time during which the merchandise may remain in the customs territory of
the United States under bond, including any lawful extension.
(d) The privilege of clearance of commercial travelers' samples or
professional equipment, tools of trade, and repair components for such
equipment or tools imported for his own use by a nonresident sojourning
temporarily in the United States on a baggage declaration under bond
without surety or cash deposit shall not be accorded to a commercial
traveler or such nonresident who, through fraud or culpable negligence,
has failed to comply with the provisions of such a bond in connection
with a prior arrival.
Such a commercial traveler or nonresident shall be required to file a
formal entry under subheading 9813.00.20 or subheading 9813.00.50, HTSUS
with a
[[Page 115]]
bond supported by a surety or cash deposit in lieu of surety.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 69-146, 34 FR 9799, June
25, 1969; T.D. 84-213, 49 FR 41165, Oct. 19, 1984; T.D. 89-1, 53 FR
51248, Dec. 21, 1988; CBP Dec. 10-29, 75 FR 52450, Aug. 26, 2010]
Sec. 10.36a Vehicles, pleasure boats and aircraft brought in for repair
or alteration.
(a) A vehicle (such as an automobile, truck, bus, motorcycle,
tractor, trailer), pleasure boat, or aircraft brought into the United
States by an operator of such vehicle, pleasure boat, or aircraft for
repair or alteration (as defined in Sec. Sec. 10.8, 10.490, 10.570, and
181.64 of this chapter) may be entered on the operator's baggage
declaration, in lieu of formal entry and examination, and may be passed
under subheading 9813.00.05, Harmonized Tariff Schedule of the United
States (HTSUS), at the place of arrival in the same manner as
passengers' baggage. When the vehicle, aircraft, or pleasure boat to be
entered is being towed by or transported on another vehicle, the
operator of the towing or transporting vehicle may make entry for the
vehicle, aircraft or pleasure boat to be repaired or altered. The bond,
prescribed by Sec. 10.31(f), filed to support entry under this section
shall be without surety or cash deposit except as provided by this
paragraph and paragraph (d) of this section. The examination may be made
by an inspector who is qualified to determine the amount of such bond to
be filed in support of the entry. The privilege accorded by this
paragraph shall not apply when two or more vehicles, pleasure boats, or
aircraft are to be entered by the same importer under subheading
9813.00.05, HTSUS, at the same time. In that event, the importer must
file a formal entry supported by bond with surety or cash deposit in
lieu of surety.
(b) Each vehicle, pleasure boat, or aircraft to which paragraph (a)
of this section is applicable shall be identified on the operator's
baggage declaration, which must include the data prescribed in
paragraphs (a) and (e) of Sec. 10.31.
(c) Exportation shall be effected in accordance with the provisions
of Sec. 10.38.
(d) The privilege of clearance of a vehicle, pleasure boat, or
aircraft brought in by the operator of such vehicle, pleasure boat, or
aircraft, for repair or alteration on his baggage declaration under bond
without surety or cash deposit shall not be granted to an individual who
has failed to comply with the provisions of such a bond in connection
with any prior arrival. Such individual shall be required to file a
formal entry under subheading 9813.00.05, HTSUS, with a bond supported
by a surety or cash deposit in lieu of surety.
[T.D. 66-39, 31 FR 2817, Feb. 17, 1966, as amended by T.D. 84-213, 49 FR
41165, Oct. 19, 1984; T.D. 89-1, 53 FR 51248, Dec. 21, 1988; T.D. 94-1,
58 FR 69470, Dec. 30, 1993; CBP Dec. 05-07, 70 FR 10872, Mar. 7, 2005;
CBP Dec. 07-28, 72 FR 31995, June 11, 2007]
Sec. 10.37 Extension of time for exportation.
The period of time during which merchandise entered under bond under
chapter 98, subchapter XIII, Harmonized Tariff Schedule of the United
States (19 U.S.C. 1202), may remain in the customs territory of the
United States, may be extended for not more than two further periods of
1 year each, or such shorter period as may be appropriate. Extensions
may be granted by the director of the port where the entry was filed
upon written application on CBP Form 3173, provided the articles have
not been exported or destroyed before the receipt of the application,
and liquidated damages have not been assessed under the bond before
receipt of the application. Any untimely request for an extension of
time for exportation shall be referred to the Director, Commercial and
Trade Facilitation Division, Office of International Trade, CBP
Headquarters, for disposition. Any request for relief from a liquidated
damage assessment in excess of a Fines, Penalties, and Forfeitures
Officer's delegated authority shall be referred to the Director, Border
Security and Trade Compliance Division, Office of International Trade,
CBP
[[Page 116]]
Headquarters, for disposition. No extension of the period for which a
carnet is valid shall be granted.
[T.D. 69-146, 34 FR 9799, June 25, 1969, as amended by T.D. 84-213, 49
FR 41165, Oct. 19, 1984; T.D. 89-1, 53 FR 51249, Dec. 21, 1988; T.D. 91-
77, 56 FR 46114, Sept. 10, 1991; T.D. 99-27, 64 FR 13675, Mar. 22, 1999]
Sec. 10.38 Exportation.
(a) Articles entered under chapter 98, subchapter XIII, Harmonized
Tariff Schedule of the United States (HTSUS) (19 U.S.C. 1202) may be
exported at the port of entry or at another port. An application on
Customs Form 3495 shall be filed in duplicate with the port director a
sufficient length of time in advance of exportation to permit the
examination and identification of the articles if circumstances warrant
such action and, in such event, the applicant shall be notified on a
copy of Customs Form 3495 where the articles are to be sent for
identification. If a carnet was used for entry purposes, the
reexportation voucher of the carnet shall be filed, in addition to
Customs Form 3495, and the carnet shall be presented for certification.
(b) All expenses in connection with the delivery of the articles for
examination, the cording and sealing of such articles, and their
transfer for exportation shall be paid by the parties in interest.
(c) If exportation is to be made at a port other than the one at
which the merchandise was entered, the application on Customs Form 3495
shall be filed in triplicate. There shall also be filed with the
application a certified copy of the import entry or a certified copy of
the invoice used on entry.
(d) If the goods are examined at one port and are to be exported
from another port, they shall be forwarded to the port of exportation
under a transportation and exportation entry. In such cases Customs Form
3495 shall be filed in triplicate. Articles entered under a carnet shall
not be examined elsewhere than at the port from which they are to be
exported.
(e) If the articles are to be exported by mail or parcel post, the
package containing the articles must be mailed under Customs supervision
after examination. Waiver of the right to withdraw the package from the
mails shall be endorsed on each package to be so exported and signed by
the exporter.
(f) Whenever the circumstances warrant, and occasionally in any
event, port directors shall cause the fact of exportation to be verified
by the Office of Enforcement in harmony with the procedures provided for
in Sec. Sec. 18.7 and 191.61 of this chapter.
(g) Upon the presentation of satisfactory evidence to the director
of the port at which samples were entered under subheading 9813.00.20,
HTSUS, or professional equipment or tools of trade were entered under
subheading 9813.00.50, HTSUS, that such articles cannot be exported for
the reason that they have been seized (other than by seizure at the suit
of private persons), the requirement of exportation shall be suspended
for the duration of the seizure. The articles shall be exported promptly
after release from seizure.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 69-146, 34 FR 9799, June
25, 1969; T.D. 83-212, 48 FR 46771, Oct. 14, 1983; T.D. 84-213, 49 FR
41165, Oct. 19, 1984; T.D. 89-1, 53 FR 51249, Dec. 21, 1988; T.D. 91-77,
56 FR 46114, Sept. 10, 1991; T.D. 98-16, 63 FR 11004, Mar. 5, 1998]
Sec. 10.39 Cancellation of bond charges.
(a) Charges against bonds taken pursuant to Chapter 98, Subchapter
XIII, Harmonized Tariff Schedule of the United States, (HTSUS), may be
canceled in the manner prescribed in Sec. 113.55 of this chapter. A
completed reexportation counterfoil on a carnet establishes that the
articles covered by the carnet have been exported, and no claim shall be
brought against the guaranteeing association under the carnet for
failure to export, except under the provisions of Sec. 114.26 of this
chapter. In the case of articles entered under subheading 9813.00.30,
HTSUS, which are destroyed because of their use for the purposes of
importation, the bond charge shall not be canceled unless there is
submitted to the port director a certificate of the importer that the
articles were destroyed during the course of a specifically described
use, and the port director is satisfied that the articles were so
destroyed as articles of commerce within the period of time during which
the articles may remain in the Customs territory of the
[[Page 117]]
United States under bond (including any lawful extension). Bonds
covering articles entered under other provisions of law shall not be
canceled upon proof of destruction, except as provided for in paragraph
(c) of this section, unless the articles are destroyed under Customs
supervision in accordance with section 557, Tariff Act of 1930, as
amended, and Sec. 158.43 of this chapter.
(b) Where exportation has been made at a port other than the port of
entry, the bond may be canceled upon the certificate of lading received
from the port of exportation, showing that such exportation was made
within the period of time during which the articles may remain in the
Customs territory of the United States under bond. In addition, the port
director may require the production of a landing certificate signed by a
revenue officer of the country to which the merchandise is exported.
(c) When articles entered temporarily free of duty under bond are
destroyed within the bond period by death, accidental fire, or other
casualty, petition for relief from liability under the bond shall be
made to the United States Customs Service. The petition shall be
accompanied by a statement of the importer, or other person having
knowledge of the facts, setting forth the circumstances of the
destruction of the articles.
(d)(1) If any article entered under Chapter 98, subchapter XIII,
HTSUS, except those entered under a carnet, has not been exported or
destroyed in accordance with the regulations in this part within the
period of time during which the articles may remain in the Customs
territory of the United States under bond (including any lawful
extension), the Fines, Penalties, and Forfeitures Officer shall make a
demand in writing under the bond for the payment of liquidated damages
equal to double the estimated duties applicable to such entry, unless a
different amount is prescribed by Sec. 10.31(f). The demand shall
include a statement that a written petition for relief from the payment
of the full liquidated damages may be filed with the Fines, Penalties,
and Forfeitures Officer within 60 days after the date of the demand. For
purposes of this section, the term estimated duties shall include any
merchandise processing fees applicable to such entry.
(2) If articles entered under a carnet have not been exported or
destroyed in accordance with the regulations in this part within the
carnet period, the port director shall promptly after expiration of that
period make demand in writing upon the importer and guaranteeing
association for the payment of liquidated damages in the amount of 110
percent of the estimated duties on the articles not exported or
destroyed. The guaranteeing association shall have a period of 6 months
from the date of claim in which to furnish proof of the exportation or
destruction of the articles under conditions set forth in the Convention
or Agreement under which the carnet is issued. If such proof is not
furnished within the 6-month period, the guaranteeing association shall
forthwith pay the liquidated damages provided for above. The payment
shall be refunded if the guaranteeing association within 3 months from
the date of payment furnishes the proof referred to above. No claim for
payment under a carnet covering a temporary importation may be made
against the guaranteeing association more than 1 year after the
expiration of the period for which the carnet was valid.
(3) Demand for return to Customs custody. When the demand for return
to Customs custody is made in the case of merchandise entered under
Chapter 98, subchapter XIII, HTSUS (19 U.S.C. 1202), liquidated damages
in an amount equal to double the estimated duties on the merchandise not
returned shall be demanded, except that in the case of samples solely
for use in taking orders, motion-picture advertising films, professional
equipment, tools of trade, and repair components for professional
equipment and tools of trade, the liquidated damages demanded shall be
in an amount equal to 110 percent of the estimated duties.
(e) If there has been a default with respect to any or all of the
articles covered by the bond and a written petition for relief is filed
as provided in part 172 of this chapter, it will be reviewed by the
Fines, Penalties, and Forfeitures Officer having jurisdiction in the
port
[[Page 118]]
where the entry was filed. If the Fines, Penalties, and Forfeitures
Officer is satisfied that the importation was properly entered under
Chapter 98, subchapter XIII, and that there was no intent to defraud the
revenue or delay the payment of duty, the Fines, Penalties, and
Forfeitures Officer may cancel the liability for the payment of
liquidated damages in any case in his or her delegated authority as
follows:
(1) If evidence is furnished which satisfies the Fines, Penalties,
and Forfeitures Officer that the article would have been entitled to
free entry as domestic products exported and returned had the evidence
been furnished at the time of entry, without the collection of
liquidated damages.
(2) If the article has been exported or destroyed under Customs
supervision but not within the period of time during which the articles
may remain in the Customs territory of the United States under bond,
upon the payment of such lesser amount as the port director may deem
appropriate under the law and in view of the circumstances, or without
the collection of liquidated damages if the Fines, Penalties, and
Forfeitures Officer is satisfied that the delay in exportation or
destruction was for the benefit of the United States or was occasioned
wholly by circumstances reasonably beyond the control of the parties
concerned and which could not have been anticipated by a reasonably
prudent person.
(3) If the article was exported or destroyed within the period of
time during which the articles may remain in the Customs territory of
the United States under bond but not under Customs supervision and
satisfactory documentary evidence of actual exportation, such as a
foreign landing certificate, or of death or other complete destruction,
such as a veterinarian's certificate or certificates of two
disinterested witnesses, are furnished together with a complete
explanation by the applicant of the failure to obtain Customs
supervision, upon the payment of such lesser amount as the Fines,
Penalties, and Forfeitures Officer may deem appropriate under the law
and in view of the circumstances, or without the collection of
liquidated damages if the port director is satisfied that the
merchandise was destroyed under circumstances which precluded any
arrangement to obtain Customs supervision. Satisfactory documentary
evidence of exportation, in the case of carnets, would include the
particulars regarding importation or reimportation entered in the carnet
by the Customs authorities of another contracting party, or a
certificate with respect to importation or reimportation issued by those
authorities, based on the particulars shown on a voucher which was
detached from the carnet on importation or reimportation into their
territory, provided it is shown that the importation or reimportation
took place after the exportation which it is intended to establish.
(4) Upon the payment of an amount equal to double the duty which
would have accrued on the articles had they been entered under an
ordinary consumption entry, or equal to 110 percent of such duties where
that percentage is prescribed in Sec. 10.31(f), if such amount is
determined to be less than the full amount of the bond.
(f) Anticipatory breach. If an importer anticipates that the
merchandise entered under a Temporary Importation Bond will not be
exported or destroyed in accordance with the terms of the bond, the
importer may indicate to Customs in writing before the bond period has
expired of the anticipatory breach. At the time of written notification
of the breach, the importer shall pay to Customs the full amount of
liquidated damages that would be assessed at the time of breach of the
bond, and the entry will be closed. The importer shall notify the surety
in writing of the breach and payment. By this payment, the importer
waives his right to receive a notice of claim for liquidated damages as
required by Sec. 172.1(a) of this chapter.
(g) If the petitioner is not satisfied with the port director's
action under this section and submits a supplemental petition, both the
original and the supplemental petitions shall be transmitted to the
designated Headquarters official with a full report on the case.
[28 FR 14663, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 10.40,
see the List of CFR
[[Page 119]]
Sections Affected, which appears in the Finding Aids section of the
printed volume and at www.fdsys.gov.
Sec. 10.40 Refund of cash deposits.
(a) When a cash deposit is made in lieu of surety, it shall be
refunded to the person in whose name the entry is made upon exportation
in compliance with Sec. 10.38.
(b) If any article entered under Chapter 98, subchapter XIII,
Harmonized Tariff Schedule of the United States, is not exported or
destroyed within the period of time during which articles may remain in
the Customs territory of the United States under bond (including any
lawful extension), the port director shall notify the importer in
writing that the entire cash deposit will be transferred to the regular
account as liquidated damages unless a written application for relief
from the payment of the full liquidated damages is filed with the port
director within 60 days after the date of the notice. If such an
application is timely filed, the transfer of the cash deposit to the
regular account as liquidated damages shall be deferred pending the
decision of the Headquarters, U.S. Customs Service or, in appropriate
cases, the port director on the application.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 84-213, 49 FR 41165,
Oct. 19, 1984; T.D. 89-1, 53 FR 41249, Dec. 21, 1988]
International Traffic
Sec. 10.41 Instruments; exceptions.
(a) Locomotives and other railroad equipment, trucks, buses,
taxicabs, and other vehicles used in international traffic shall be
subject to the treatment provided for in part 123 of this chapter.
(b) [Reserved]
(c) Foreign-owned aircraft arriving in the United States shall be
subject to the treatment provided for in part 122 of this chapter,
unless entered under the provisions of Sec. Sec. 10.31, 10.183, or
paragraph (d) of this section.
(d) Any foreign-owned locomotive or other railroad equipment, truck,
bus, taxicab, or other vehicle, aircraft, or undocumented boat brought
into the United States for the purpose of carrying merchandise or
passengers between points in the United States for hire or as an element
of a commercial transaction, except as provided at Sec. Sec. 123.12 (a)
and (b), 123.14(c), and 141.4(b)(4), is subject to treatment as an
importation of merchandise from a foreign country and a regular entry
for such vehicle, aircraft or boat will be made. The use of any such
vehicle, aircraft, or boat without a proper entry having been made may
result in liabilities being incurred under section 592, Tariff Act of
1930, as amended (19 U.S.C. 1592).
(e) [Reserved]
(f) Material for the maintenance or repair of international cables
under the high seas, if requiring storage in special tanks for
preservation, may be placed in tanks specially bonded for the purpose
and withdrawn therefrom for high-seas installation without the payment
of duty and without limitation of the storage period to the usual 3-year
warehousing period. International cables laid under the territorial
waters of the United States but not brought on shore in the United
States shall be admitted without entry or the payment of duty. With
respect to international cables laid under the territorial waters of the
United States but brought on shore in the United States, only that part
of the cable in the United States between the point of entry into the
territorial waters of the United States and the first point of support
on land in the United States shall be admitted without the payment of
duty.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 70-121, 35 FR 8222, May
26, 1970; T.D. 79-160, 44 FR 31956, June 4, 1979; T.D. 84-109, 49 FR
19450, May 8, 1984; T.D. 88-12, 53 FR 9315, Mar. 22, 1988; T.D. 93-66,
58 FR 44130, Aug. 19, 1993; T.D. 99-79, 64 FR 61205, Nov. 10, 1999]
Sec. 10.41a Lift vans, cargo vans, shipping tanks, skids, pallets, and
similar instruments of international traffic; repair
components.
(a)(1) Lift vans, cargo vans, shipping tanks, skids, pallets, caul
boards, and cores for textile fabrics, arriving (whether loaded or
empty) in use or to be used in the shipment of merchandise in
international traffic are hereby designated as ``instruments of
international traffic'' within the meaning of section 322(a), Tariff Act
of 1930, as
[[Page 120]]
amended. The Commissioner of Customs is authorized to designate as
instruments of international traffic, in decisions to be published in
the weekly Customs Bulletin, such additional articles or classes of
articles as he shall find should be so designated. Such instruments may
be released without entry or the payment of duty, subject to the
provisions of this section.
(2) Repair components, accessories, and equipment for any container
of foreign production which is an instrument of international traffic
may be entered or withdrawn from warehouse for consumption without the
deposit of duty if the person making the entry or withdrawal from
warehouse files a declaration that the repair component was imported to
be used in the repair of a container of foreign production which is an
instrument of international traffic, or that the accessory or equipment
is for a container of foreign production which is an instrument of
international traffic. The port director must be satisfied that the
importer of the repair component, accessory, or equipment had the
declared intention at the time of importation.
(3) As used in this section, ``instruments of international
traffic'' includes the normal accessories and equipment imported with
any such instrument which is a ``container'' as defined in Article 1 of
the Customs Convention on Containers.
(b) The reexportation of a container, as defined in Article 1 of the
Customs Convention on Containers, which has become badly damaged, shall
not be required in the case of a duly authenticated accident if the
container (1) is subjected to applicable import duties and import taxes,
or (2) is abandoned free of all expense to the Government or destroyed
under Customs supervision at the expense of the parties concerned,
following the procedure outlined in Sec. 158.43(c) of this chapter. Any
salvaged parts and materials shall be subjected to applicable import
duties and import taxes. Replaced parts which are not reexported shall
be subjected to import duties and import taxes except where abandoned
free of expense to the Government or destroyed under Customs supervision
at the expense of the parties concerned.
(c) The instruments of international traffic designated in paragraph
(a) of this section may be released in accordance with the provisions of
that paragraph only after the applicant for such release has filed a
bond on Customs Form 301, containing the bond conditions set forth in
Sec. 113.66 of this chapter. The required application may be filed at
the port of arrival or at a subsequent port to which an instrument shall
have been transported in bond or to which a container shall have been
moved under cover of a TIR carnet (see part 114 of this chapter) showing
the characteristics and value of the container on the Goods Manifest of
the carnet. If the container is listed on the Goods Manifest of the
carnet, the application may be filed at the port of arrival or at the
subsequent port. If the container is not listed on the Goods Manifest,
the application shall be filed at the port of arrival. When the
application is filed at a port other than the port at which the bond is
on file, the following procedure applies:
(1) When the application is filed before the fact of approval of the
applicant's bond has been established, the applicant must submit with
the application, or the Customs officer to whom the application is made
must obtain, evidence that a current bond is on file at another port.
That evidence may consist of a certified copy of the bond, or any other
evidence which will satisfy the Customs officer to whom the application
is made that a current bond is on file at another port.
(2) If the application is filed after the fact of approval of the
applicant's bond has been established, a certified copy of that bond
need not be filed at the port of release. Upon determination by the
appropriate Customs officer that the fact of approval of the applicant's
bond has been established, and the bond has not been subsequently
discontinued, the instruments of international traffic will be released
as provided for in paragraph (a) of this section.
(3) Upon the request of the applicant, the appropriate Customs
officer at the port at which the instruments of international traffic
are to be released will determine whether or not the fact of approval of
the applicant's bond has
[[Page 121]]
been established. If the approval has not been established, the Customs
officer with whom the application has been filed will advise the
applicant of the nature of the evidence required to establish the fact
that a current bond is on file at another port.
(d) If an instrument of foreign origin, or of United States origin
which has been increased in value or improved in condition by a process
of manufacture or other means while abroad, is released under this
section and is subsequently diverted to point-to-point local traffic
within the United States, or is otherwise withdrawn in the United States
from its use as an instrument of international traffic, it becomes
subject to entry and the payment of any applicable duties. An instrument
of United States origin which has not been increased in value or
improved in condition by a process of manufacture or other means while
abroad and which is released under this section shall not be subject to
entry or the payment of duty if it is so diverted or otherwise
withdrawn.
(e) The person who filed the application for release under paragraph
(a)(1) of this section shall promptly notify a director of a port of
entry in the United States as defined in Section 401(k), Tariff Act of
1930, as amended, (1) that the container is to be abandoned or
destroyed, as described in paragraph (b) of this section, or (2) that
the instrument is the subject of a diversion or withdrawal as described
in paragraph (d) of this section, in which event he shall file with the
port director a consumption entry for the instrument and pay all import
duties and import taxes due on the container or instrument at the rate
or rates in effect and in its condition on the date of such diversion or
withdrawal.
(f)(1) Except as provided in paragraph (j) of this section, an
instrument of international traffic (other than a container as defined
in Article 1 of the Customs Convention on Containers that is governed by
paragraphs (g) (1)-(3) of this section) may be used as follows in point-
to-point traffic, provided such traffic is incidental to the efficient
and economical utilization of the instrument in the course of its use in
international traffic:
(i) Picking up and delivering loads at intervening points in the
United States while en route between the port of arrival and the point
of destination of its imported cargo; or
(ii) Picking up and delivering loads at intervening points in the
United States while en route from the point of destination of imported
cargo to a point where export cargo is to be loaded or to an exterior
port of departure by a reasonably direct route to, or nearer to, the
place of such loading or departure.
(2) Neither use as enumerated in paragraph (f)(1)(i) or (ii) of this
section constitutes a diversion to unpermitted point-to-point local
traffic within the United States or a withdrawal of an instrument in the
United States from its use as an instrument of international traffic
under this section.
(g)(1) Except as provided in paragraph (j) of this section, a
container (as defined in Article 1 of the Customs Convention on
Containers) that is designated as an instrument of international traffic
is deemed to remain in international traffic provided that the container
exits the U.S. within 365 days of the date on that it was admitted under
this section. An exit from the U.S. in this context means a movement
across the border of the United States into a foreign country where
either:
(i) All merchandise is unladen from the container; or
(ii) Merchandise is laden aboard the container (if the container is
empty).
(2) The person who filed the application for release under paragraph
(a)(1) of this section is responsible for keeping and maintaining such
records, otherwise generated and retained in the ordinary course of
business, as may be necessary to establish the international movements
of the containers. Such records shall be made available for inspection
by Customs officials upon reasonable notice.
(3) If the container does not exit the U.S. within 365 days of the
date on which it is admitted under this section, such container shall be
considered to have been removed from international traffic, and entry
for consumption must be made within 10 business days after the end of
the month in which the container is deemed removed from
[[Page 122]]
international traffic. When entry is required under this section, any
containers considered removed from international traffic in the same
month may be listed on one entry. Such entry may be made at any port of
entry. Under 19 U.S.C. 1484(a)(1)(B), the importer of record is
required, using reasonable care, to complete the entry by filing with
Customs the declared value, classification and rate of duty applicable
to the merchandise. The importer of record must use the value of the
container as determined in accordance with section 402, Tariff Act of
1930 (19 U.S.C. 1401a), as amended by the Trade Agreements Act of 1979
(TAA).
(h) For failure promptly to report the diversion or withdrawal or
promptly to make the required entry and pay the duties due, the
applicant shall be liable for the payment of liquidated damages equal to
the domestic value of the instrument established in accordance with
Section 606, Tariff Act of 1930.
(i) When an instrument of international traffic, as provided in
paragraph (a) of this section, is returned to the United States and
released in accordance with the provisions of that paragraph, any
repairs which may have been made to the instrument while it was abroad
are not subject to entry or the payment of duty whether the instrument
is of foreign or domestic manufacture, whether it left the United States
empty or loaded, and whether or not the repairs made abroad were in
contemplation when the instrument left the United States.
(j) Containers and other articles designated as instruments of
international traffic in accordance with this section are nevertheless
subject to the application of the coastwise laws of the United States,
with particular reference to Section 883, Title 46, United States Code
(see Sec. 4.93 of this chapter).
[28 FR 14663, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting
Sec. 10.41a, see the List of CFR Sections Affected, which appears in the
Finding Aids section of the printed volume and at www.fdsys.gov.
Sec. 10.41b Clearance of serially numbered substantial holders or outer
containers.
(a) The holders and containers described in this section may be
released without entry or the payment of duty, subject to the provisions
of this section.
(b) Subject to the approval of a port director pursuant to the
procedures described in this paragraph, certain foreign- or U.S.-made
shipping devices arriving from Canada or Mexico, including racks,
holders, pallets, totes, boxes and cans, need not be serially numbered
or marked if they are always transported on or within either intermodal
and similar containers or containers which are themselves vehicles or
vehicle appurtenances and accessories such as twenty and forty foot
containers of general use and ``igloo'' air freight containers. The
following or similar notation shall appear on the vehicle or vessel
manifest in relation to such shipping devices which are exempt from
serial numbering or marking requirements pursuant to this paragraph:
``The shipping devices transported herein, which are not serially
numbered or marked, have been exempted from such requirement pursuant to
an application approved under 19 CFR 10.41b(b).'' Also, pallets and
other solid wood shipping devices must be accompanied by an importer
document, to the extent that this is required by the U.S. Department of
Agriculture, Animal and Plant Health Inspection Service, attesting to
the admissibility of such devices as regards plant pest risk, as
provided for in 7 CFR 319.40-3.
(1) An importer or his agent, regardless of whether the importer is
the owner of the foreign- or U.S.-manufactured shipping devices, may
apply to a port director of Customs at one of the importer's chiefly
utilized Customs ports or the port within which the importer's or
agent's recordkeeping center is located for permission to have such
shipping devices arriving from Canada or Mexico released without entry
and payment of duty at the time of arrival and without the devices being
serially numbered or marked. Application may be filed in only one port.
Although no particular format is
[[Page 123]]
specified for the application, it must contain the information
enumerated in paragraph (b)(2) of this section. Any duty which may be
due on these shipping devices shall be tendered and paid cumulatively at
the time specified in an approved application, which may be either
before or after the arrival of the shipping devices in the U.S. (such
as, at the time a contract, purchase order or lease agreement is
issued).
(2) The application shall:
(i) Describe the types of shipping devices covered, their
classification under the Harmonized Tariff Schedule of the U.S. (HTSUS),
their countries of origin, and whether and to whom required duty was
paid for them or when it will be paid for them, including duties for
repair and modifications to such shipping devices while outside the
U.S.;
(ii) Identify the intended ports where it is anticipated the
shipping devices will be arriving and departing the U.S., as well as the
particular movements and conveyances in which they are intended to be
utilized;
(iii) Describe the applicant's proposed program for accounting for
and reporting these shipping devices;
(iv) Identify the reporting period (which shall in no event be less
frequent than annual), as well as the payment period within which
applicable duty and fees must be tendered (which shall in no event
exceed 90 days following the close of the related reporting period);
(v) Describe the type of inventory control and recordkeeping,
including the specific records, to be maintained to support the reports
of the shipping devices; and
(vi) Provide the location in the United States, including the name
and address, where the records supporting the reports will be retained
by law and will be made available for inspection and audit upon
reasonable notice. (The records supporting the reports of the shipping
devices must be kept for a period of at least 3 years from the date such
reports are filed with the port director.)
(3) The application shall be filed along with a continuous bond
containing the conditions set forth in Sec. 113.66(c) of this chapter.
If the application is approved by the port director and the conditions
set forth in the application or of the bond are violated, the port
director may issue a claim for liquidated damages equal to the domestic
value of the container. If the domestic value exceeds the amount of the
bond, the claim for liquidated damages will be equal to the amount of
the bond.
(4) The port director receiving the application shall evaluate the
program proposed to account for, report and maintain records of the
shipping devices. The port director may suggest amendments to the
applicant's proposal. The port director shall notify the applicant in
writing of his decision on the application within 90 days of its
receipt, unless this period is extended for good cause and the applicant
is so informed in writing. Approval of the application by the port
director with whom it is filed shall be binding on all Customs ports
nationwide.
(5) If the decision is to deny the application, in whole or in part,
the port director shall specify the reason for the denial in a written
reply, and inform the applicant that such denial may be appealed to the
Assistant Commissioner, Office of Field Operations, Customs
Headquarters, within 21 days of its date. The Assistant Commissioner's
decision shall be issued, in writing, within 30 days of the receipt of
the appeal, and shall constitute the final Customs determination
concerning the application.
(6) If the application is approved, an importer may later apply to
amend his application to add or delete particular types of shipping
devices listed in the application in which the procedures set forth in
the application may be utilized. If a requested amendment to an approved
application should be denied, or if an approved application should be
revoked, in whole or in part, by the port director, the procedures
described in paragraph (b)(5) of this section shall apply.
(7) Application for and approval of a reporting program shall not
limit or restrict the use of other alternative means for obtaining the
release of holders, containers and shipping devices.
[[Page 124]]
(c) In the case of serially numbered holders or containers of United
States manufacture for which free clearance under subheading 9801.00.10,
Harmonized Tariff Schedule of the United States, is claimed, the owner
shall place thereon the following markings:
(1) 9801.00.10, unless the holder or container has permanently
attached thereto the manufacturer's metal tag or plate showing, among
other things, the name and address of the manufacturer who is located in
the United States.
(2) The name of the owner, either positioned as indicated in the
example below, or elsewhere conspicuously shown on the holder or
container.
(3) The serial number assigned by the owner, which shall be one of
consecutive numbers and not to be duplicated. For example: 9801.00.10 *
* * Zenda * * * 2468.
(d)(1) In the case of serially numbered holders or containers of
foreign manufacture, other than those provided for in paragraph (d)(2)
of this section, for which free clearance under the second provision in
subheading 9803.00.50, HTSUS (19 U.S.C. 1202), is claimed, the owner
shall place thereon the following markings:
(i) 9803.00.50.
(ii) The district and port code numbers of the port of entry, the
entry number, and the last two digits of the fiscal year of entry
covering the importation of the holders and containers on which duty was
paid.
(iii) The name of the owner, either positioned as indicated in the
example below, or elsewhere conspicuously shown on the holder or
container.
(iv) The serial number assigned by the owner, which shall be one of
consecutive numbers and not to be duplicated. For example: 9803.00.50 *
* * 10-1-366-63 * * * Zenda * * * 2468.
(2) In the case of substantial holders or containers of either U.S.
or foreign manufacture, specially designed and equipped to facilitate
the carriage of goods by one or more modes of transport without
intermediate reloading, each having a gross mass rating of at least
18,120 kilograms, for which duty-free entry is requested under either
the first or the second proviso in subheading 9803.00.50, HTSUS (19
U.S.C. 1202), is claimed, only the following clear, conspicuous and
durable markings are required to be on the container:
(i) The identity of the owner or operator of the container.
(ii) The serial number assigned by the owner or operator of the
container, which shall be one of consecutive numbers and shall not be
duplicated.
(e) The prescribed markings shall be clear and conspicuous, that is,
they shall appear on an exposed side of the holder or container in
letters and figures of such size as to be readily discernible. The
markings will be stricken out or removed when the holders or containers
are taken out of service or when ownership is transferred, except that
appropriate changes may be made if a new owner wishes to use the holders
and containers under this procedure.
(f) The owner shall keep adequate records open to inspection by
Customs officers, which shall show the current status of the serially
numbered holders and containers in service and the disposition made of
such holders and containers taken out of service.
(g) Nothing in this procedure shall be deemed to affect:
(1) The requirements for outward or inward manifesting of such
holders or containers. The manifests will show for each holder or
container its markings as provided for herein.
(2) The requirements of the Department of Commerce on exportation
with respect to the filing of ``Shipper's Export Declaration,'' Form
7525-V.
(3) The treatment of articles covered herein under the coastwise
laws of the United States, with particular reference to section 883,
Title 46, United States Code.
(h) If the holder or container and its contents are to move in bond
or under cover of a TIR carnet (see part 114 of this chapter) from the
port of arrival intact, the holder or container shall appear on the
inward foreign manifest so as to be related to the cargo contained
therein and will be released under this procedure at a subsequent port.
If the holder or container is to move in bond or under cover of a TIR
carnet from the port of arrival not intact with its contents, the holder
or container may appear on the inward
[[Page 125]]
foreign manifest separate from and not related to the cargo contained
therein and will be released under this procedure at the port of arrival
before it moves forward and will not appear on the in-bond document.
(i) A continuous bond containing the conditions set forth in
Sec. 113.66 of this chapter shall be filed with the port director. If
the conditions are violated the port director shall issue a claim for
liquidated damages equal to the domestic value of the holder or
container established in accordance with section 606, Tariff Act of
1930, as amended (19 U.S.C. 1606). If the domestic value exceeds the
amount of the bond the claim for liquidated damages will be equal to the
amount of the bond.
[T.D. 56542, 30 FR 15143, Dec. 8, 1965, as amended by T.D. 71-70, 36 FR
4485, Mar. 6, 1971; T.D. 84-213, 49 FR 41165, Oct. 19, 1984; T.D. 86-13,
51 FR 4164, Feb. 3, 1986; T.D. 89-1, 53 FR 51249, Dec. 21, 1988; T.D.
96-20, 61 FR 7989, Mar. 1, 1996; T.D. 97-82, 62 FR 51769, Oct. 3, 1997;
T.D. 99-64, 64 FR 43265, Aug. 10, 1999]
Articles for Institutions
Sec. 10.43 Duty-free status.
(a) The port director may, at his discretion, require appropriate
proof of duty-free status for articles for institutions claimed to be
exempt from duty under subheadings 9810.00.05, 9810.00.15, 9810.00.25,
9810.00.30, 9810.00.40, 9810.00.45, 9810.00.50, 9810.00.55, Harmonized
Tariff Schedule of the United States (19 U.S.C. 1202).
(b) Appropriate proof may be a copy of the charter or other evidence
of the character of the institution for the use of which the articles
are imported.
[T.D. 85-123, 50 FR 29953, July 23, 1985, as amended by T.D. 89-1, 53 FR
51249, Dec. 21, 1988]
Sec. 10.46 Articles for the United States.
Pursuant to subheadings 9808.00.10 and 9808.00.20, books,
engravings, and other articles therein enumerated, which are imported by
authority or for the use of the United States or for the use of the
Library of Congress, shall be admitted free of duty upon the written
request of the head of the bureau or executive department concerned.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 67-108, 32 FR 6392, Apr.
25, 1967; T.D. 89-1, 53 FR 51249, Dec. 21, 1988; T.D. 97-82, 62 FR
51769, Oct. 3, 1997]
Sec. 10.47 [Reserved]
Works of Art
Sec. 10.48 Engravings, sculptures, etc.
(a) Invoices covering works of art claimed to be free of duty under
subheadings 9702.00.00 and 9703.00.00, HTSUS, shall show whether they
are originals, replicas, reproductions, or copies, and also the name of
the artist who produced them, unless upon examination the Customs
officer is satisfied that such statement is not necessary to a proper
determination of the facts.
(b) The following evidence shall be filed in connection with the
entry: A declaration in the following form by the artist who produced
the article, or by the seller, shipper or importer, showing whether it
is original, or in the case of sculpture, the original work or model, or
one of the first twelve castings, replicas, or reproductions made from
the original work or model; and in the case of etchings, engravings,
woodcuts, lithographs, or prints made by other hand-transfer processes,
that they were printed by hand from hand-etched, hand-drawn, or hand-
engraved plates, stones, or blocks:
I, --------, do hereby declare that I am the producer, seller,
shipper or importer of certain works of art, namely -------- covered by
the annexed invoice dated --------; that any sculptures or statuary
included in that invoice are the original works or models or one of the
first twelve castings, replicas, or reproductions made from the
sculptor's original work or model; and that any etchings, engravings,
woodcuts, lithographs, or prints made by other hand-transfer processes
included in that invoice were printed by hand from hand-etched, hand-
drawn, or hand-engraved plates, stones, or blocks.
(c) The port director may waive the declaration requirement set
forth in paragraph (b) of this section.
(d) Artists' proof etchings, engravings, woodcuts, lithographs, or
prints made by other hand-transfer
[[Page 126]]
processes should bear the genuine signature or mark of the artist as
evidence of their authenticity. In the absence of such a signature or
mark, other evidence shall be required which will establish the
authenticity of the work to the satisfaction of the port director.
[T.D. 94-3, 58 FR 68742, Dec. 29, 1993]
Sec. 10.49 Articles for exhibition; requirements on entry.
(a) There shall be filed in connection with the entry of works of
art and other articles claimed to be free of duty under Chapter 98,
Subchapter XII, Harmonized Tariff Schedule of the United States (HTSUS),
a declaration by a qualified officer of the institution in sufficient
detail to demonstrate entitlement to entry as claimed, and a bond on
Customs Form 301, containing the bond conditions set forth in
Sec. 113.62 of this chapter. Claim for free entry under Chapter 98,
Subchapter XII may be made for articles of the character described
therein which have been previously entered under any other provision of
law and the entry amended accordingly upon compliance with the
requirements of this section, provided the articles have not been
released from Customs custody.
(b) The port director may require a copy of the charter or other
evidence of the character of the institution for which the articles are
imported, and may also require the production of the original of any
order given by such society or institution to any importing agent or
dealer for such articles. The society or institution shall file, within
6 months after the date of filing the entry, any document or proof
demanded by the port director in connection with the entry.
(c) Articles entered under subheading 9812.00.20, HTSUS, may be
transferred from one institution to another upon an application in
writing in the case of each transfer describing the articles and stating
the name of the institution to which transfer is to be made, provided
the sureties to the bond assent in writing under seal or a new bond is
filed. No entry or withdrawal shall be required for such a transfer.
(d) If any of the articles accorded free entry under Chapter 98,
Subchapter XII shall be sold, offered or exposed for sale, transferred,
or used in any manner contrary to the provisions of the regulations in
this part, within 5 years after the date of entry under such part, the
amount of the duties shall be collected immediately by the director of
the port of entry and deposited as duties. If the articles are exported
or destroyed under Customs supervision within such 5-year period, the
liability under the bond shall be treated as terminated.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 84-213, 49 FR 41166,
Oct. 19, 1984; T.D. 89-1, 53 FR 51249, Dec. 21, 1988; T.D. 92-85, 57 FR
40605, Sept. 4, 1992]
Sec. 10.50 [Reserved]
Sec. 10.52 Painted, colored or stained glass windows for religious
institutions.
When painted, colored, or stained glass windows or parts thereof,
are claimed free of duty under subheading 9810.00.10, Harmonized Tariff
Schedule of the United States (19 U.S.C. 1202), the port director may,
at his discretion, require appropriate proof that the importation was
designed by, and produced by or under the direction of, a professional
artist, and that it is for the use of an institution established solely
for religious purposes.
[T.D. 85-123, 50 FR 29953, July 23, 1985, as amended by T.D. 89-1, 53 FR
51250, Dec. 21, 1988]
Sec. 10.53 Antiques.
(a) Articles accompanying a passenger and entitled to entry under
the passenger's declaration and entry, or articles entered under an
informal entry which are claimed to be free of duty under subheading
9706.00.00, Harmonized Tariff Schedule of the United States (HTSUS), may
be admitted free of duty upon the execution of a declaration on the face
of the entry provided that the passenger or person filing the informal
entry is the owner of the articles and that they are for his personal
use and not for sale or other commercial use and provided the Customs
officer concerned is satisfied that the articles are of the requisite
age.
[[Page 127]]
(b) Antiques of the age prescribed by subheading 9706.00.00, HTSUS,
or admitted under the provisions of paragraph (e) of this section, shall
be admitted free of duty though repaired or renovated. If, however, an
antique has been repaired with a substantial amount of additional
material, without changing the original form or shape, the original and
added portions shall be appraised and reported as separate entities and
the basis for such report shall be plainly indicated on the invoice by
the appraiser. In such cases duty shall be assessed on the portion
added. If the repairs consist of an addition to an article of a feature
which changes it substantially from the article originally produced, or
if the antique portion has otherwise been so changed as to lose its
identity as the article which was in existence prior to the time
prescribed in subheading 9706.00.00, HTSUS, the entire article shall be
excluded from free entry under subheading 9706.00.00, HTSUS.
(c) Except for furniture admitted under the provisions of paragraph
(e) of this section, furniture claimed to be free of duty under
subheading 9706.00.00, Harmonized Tariff Schedule of the United States
(HTSUS) may be entered for consumption at any port of entry within the
customs territory of the United States. Furniture as used in this
section of the regulations is defined as `movable articles of
convenience or decoration for use in furnishing a house, apartment,
place of business or accommodation'. This definition embraces most
articles claimed to be free of duty as antiques.
(d) A claim for the free entry of an article under subheading
9706.00.00, HTSUS on the basis of antiquity may be made on the entry, or
filed after entry at any time prior to liquidation of the entry,
provided the article has not been released from Customs custody or it
has been found upon examination before such release to be described in
subheading 9706.00.00, HTSUS.
(e) Antique articles otherwise prohibited entry by the Endangered
Species Act of 1973 (16 U.S.C. 1521, et seq.) may be entered if:
(1) The article is composed in whole or in part of any endangered or
threatened species listed in 50 CFR 17.11 or 17.12,
(2) The article is not less than 100 years of age,
(3) The article has not been repaired or modified with any part of
any such endangered or threatened species, on or after December 28,
1973,
(4) The article is entered at a port designated in Sec. 12.26 of
this chapter,
(5) A Declaration for Importation or Exportation of Fish or Wildlife
(USFWS Form 3-177) is filed at the time of entry with the port director
who will forward the form to the U.S. Fish and Wildlife Service, and
(6) The importer meets the requirements of paragraph (a) of this
section.
(f) The additional duty imposed by additional U.S. Note 2, Chapter
97, HTSUS, shall apply to any article which is imported for sale and
claimed, either at the time of entry or at a later date, to be free of
duty under subheading 9706.00.00, HTSUS, if such article is later found
to be unauthentic in respect of the antiquity claimed as a basis for
such free entry, unless the claim under subheading 9706.00.00, HTSUS, is
withdrawn in writing before the examination of the article for the
purpose of appraisement or classification has begun.
(g) The additional duty provided for in additional U.S. Note 2,
Chapter 97, HTSUS shall not be assessed if the importer established by
evidence satisfactory to the port director that the article was not
imported for sale. In the case of any article imported in a passenger's
baggage or entered under an informal entry, the Customs officer
concerned may accept the statement of the owner that the article was not
imported for sale if he is satisfied of the truth of such statement.
[28 FR 14663, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 10.53,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 10.54 Gobelin and other hand-woven tapestries.
Pursuant to subheading 5805.00.10, Harmonized Tariff Schedule of the
United States, Gobelin tapestries produced in the Manufacture Nationale
[[Page 128]]
des Gobelins factories at Paris and Beauvais under the direction and
control of the French Government, and other hand-woven tapestries, shall
be accorded free entry if of a kind fit only for use as wall hangings,
and valued over $215 per square meter.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 87-75, 52 FR 20066, May
29, 1987; T.D. 89-1, 53 FR 51250, Dec. 21, 1988]
Vegetable Oils
Sec. 10.56 Vegetable oils, denaturing; release.
(a) Olive, palm-kernel, rapeseed, sunflower, and sesame oil shall be
classifiable under subheadings 1509.10.20, 1509.10.40, 1509.90.20,
1509.90.40, 1510.00.20, 1512.19.20, 1513.29.00, 1514.90.10, 1514.90.50,
1515.50.00, Harmonized Tariff Schedule of the United States, if
denatured abroad or under Customs supervision after importation but
before release from Customs custody, at the request and expense of the
importer, by a formula prescribed by Headquarters, U.S. Customs Service,
or if by their method of production abroad they are rendered unfit for
use as food or for any but mechanical or manufacturing purposes.
(b) Each cask or package of oil claimed to have been before
importation denatured or otherwise rendered unfit for use as food or for
any but mechanical or manufacturing purposes shall be sampled and tested
by an appraising officer.
(c) Formulas prescribed by Headquarters, U.S. Customs Service,
except proprietary mixtures, will be circulated to all Customs officers
and will appear as abstracts of United States Customs Service decisions
published in the weekly Customs Bulletins. Proprietary mixtures approved
by the Commissioner of Customs will not be published but appropriate
notice of their approval will be given to all Customs officers.
(d) The Headquarters, U.S. Customs Service, will from time to time
prescribe additional formulas, and will consider any formula for special
denaturing that may be submitted.
(e) The port director may, if he deems it advisable, require an
importer requesting permission to use any authorized denaturant to
submit to the appraiser an adequate sample of such denaturant, in order
that the appraiser may report to the port director whether or not such
denaturant is suitable for rendering the oil unfit for use as food or
for any but mechanical or manufacturing purposes.
(f) No such oil shall be released free of duty until the appraiser
shall have made a special report that it has been properly denatured.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 66-182, 31 FR 11416,
Aug. 30, 1966; T.D. 87-75, 52 FR 20066, May 29, 1987; T.D. 89-1, 53 FR
51250, Dec. 21, 1988]
Potatoes, Corn, or Maize
Sec. 10.57 Certified seed potatoes, and seed corn or maize.
Claim for classification as seed potatoes under subheading
0701.10.00, as seed corn (maize) under subheading 1005.10., HTSUS, shall
be made at the time of entry. Such classification shall be allowed only
if the articles are white or Irish potatoes, or maize or corn, imported
in containers and if, at the time of importation, there is firmly
affixed to each container an official tag supplied by the government of
the country in which the contents were grown, or an agency of such
government. The tag shall bear a certificate to the effect that the
specified contents of the container were grown, and have been approved,
especially for use as seed. The tag shall also bear a number or other
symbol identifying the potatoes or corn in the container with an
inspection record of the foreign government or its agency on the basis
of which the certificate was issued.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 89-1, 53 FR 51250, Dec.
21, 1988]
Bolting Cloths
Sec. 10.58 Bolting cloths; marking.
(a) As a prerequisite to the free entry of bolting cloth for milling
purposes under subheading 5911.20.20, Harmonized Tariff Schedule of the
United States, the cloth shall be indelibly marked from selvage to
selvage at intervals of not more then 10.16 centimeters with ``bolting
cloth expressly for milling purposes'' in block letters 7.62 centimeters
in height. Bolting
[[Page 129]]
cloths composed of silk imported expressly for milling purposes shall be
considered only such cloths as are suitable for and are used in the act
or process of grading, screening, bolting, separating, classifying, or
sifting dry materials, or dry materials mixed with water, if the water
is merely a carrying medium.
(b) Bolting cloths not marked in the manner above indicated at the
time of importation may be so marked by the importers in public stores
under the supervision of customs officers.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 87-75, 52 FR 20066, May
29, 1987; T.D. 89-1, 53 FR 51250, Dec. 21, 1988]
Withdrawal of Supplies and Equipment for Vessels
Sec. 10.59 Exemption from customs duties and internal-revenue tax.
(a) A vessel shall not be considered to be actually engaged in the
foreign trade, or in trade between the Atlantic and Pacific ports of the
United States, or between the United States and its possessions, or
between Hawaii and any other part of the United States or between Alaska
and any other part of the United States, as the case may be, for the
purpose of withdrawing supplies free of duty and internal-revenue tax
pursuant to section 309(a), Tariff Act of 1930, as amended, unless it
is--
(1) Operating on a regular schedule in a class of trade which
entitles it to the privilege;
(2) Actually transporting passengers or merchandise to or from a
foreign port, a port on the opposite coast of the United States, or
between a port in a possession of the United States and a port in the
United States or in another of its possessions, or between Hawaii and
any other part of the United States or between Alaska and any other part
of the United States;
(3) Departing in ballast (without cargo or passengers) from one port
for another, domestic or foreign, for the purpose of lading passengers
or cargo at the port of destination for carriage in a class of trade
specified in section 309(a), Tariff Act of 1930, as amended, for which
class of trade the vessel is suitable and substantially ready for
service with necessary fittings, outfit, and equipment already installed
on its departure in ballast, and from which it is not diverted prior to
carriage of passengers or cargo in such trade. A written declaration of
the owner or agent of the vessel may be required in connection with the
withdrawal, certifying to the vessel's suitableness and substantial
readiness with necessary fittings, outfit, and equipment already
installed on its departure in ballast for service in a class of trade
specified in section 309 and agreeing to notify the port director if it
is laid up or diverted from such class of trade prior to the carriage of
cargo or passengers in such trade.
(b) A withdrawal of articles may not be made under section 309,
Tariff Act of 1930, as amended, for use on a trial or test trip of a
vessel preparatory to its actually engaging in trades.
(c) The classes of articles which may be withdrawn as provided for
by section 309, Tariff Act of 1930, as amended, include the containers
in which the articles are withdrawn and laden even though for tariff
purposes the containers are classifiable separately from their contents,
except unusual containers within the purview of General Rule of
Interpretation 5, Harmonized Tariff Schedule of the United States
(HTSUS).
(d) For the purpose of allowing the privileges of section 309,
Tariff Act of 1930, as amended, to aircraft as provided for therein, an
aircraft shall be deemed to be a vessel within the meaning of each
provision of this section and of Sec. Sec. 10.60 through 10.64 which may
be applied to aircraft.
(e) A documented vessel with a fisheries license endorsement and
foreign fishing vessels of 5 net tons or over may be allowed to withdraw
distilled spirits (including alcohol), wines, and beer conditionally
free under section 309, Tariff Act of 1930, as amended (19 U.S.C. 1309),
if the port director is satisfied from the quantity requested, in the
light of (1) whether the vessel is employed in substantially continuous
fishing activities, and (2) the vessel's complement, that none of the
withdrawn articles is intended to be removed from the vessel in, or
otherwise returned to, the United States without
[[Page 130]]
the payment of duty or tax. Such withdrawal shall be permitted only
after the approval by the port director of a special written
application, in triplicate, on Customs Form 5125, of the withdrawer,
supported by a bond on Customs Form 301, containing the bond conditions
set forth in Sec. 113.62 of this chapter executed by the withdrawer.
Such application shall be filed with Customs Form 7501 or 7512, as the
case may be. The original and the triplicate copy of the application,
after approval, shall be stamped with the withdrawal number and date
thereof and shall be returned to the withdrawer for use as prescribed
below. Approval of each such application shall be subject to the
condition that the original and the triplicate copy shall be presented
thereafter by the withdrawer or the vessel's master to the port director
within 24 hours (excluding Saturday, Sunday, and holidays) after each
subsequent arrival of the vessel at a Customs port or station and that
an accounting shall be made at the time of such presentation of the
disposition of the articles until the port director is satisfied that
all of them have been consumed on board, or landed under Custom's
supervision, and takes up the original application. (The withdrawer
shall retain the triplicate copy as evidence of consumption on board or
landing under Customs supervision.) The approval shall be subject to the
further conditions that any such withdrawn article remaining on board
while the vessel is in port shall be safeguarded in the manner and to
such extent as the district director for the port or place of arrival
shall deem necessary and that failure to comply with the conditions upon
which a conditionally free withdrawal is approved shall subject the
total quantity of withdrawn articles to the assessment and collection of
an amount equal to the duties and taxes that would have been assessed on
the entire quantity of supplies withdrawn had such supplies been
regularly entered, or withdrawn, for consumption.
Exemption from internal-revenue tax on distilled spirits, alcohol,
wines, and beer removed from any internal-revenue bonded warehouse,
industrial alcohol premises, bonded wine cellar, or brewery; and
drawback on taxpaid distilled spirits or wines removed from an export
storage room, or on taxpaid beer removed from a brewery (or place of
storage elsewhere), for use as supplies on vessels under section 309,
Tariff Act of 1930, as amended, are governed by regulations of the
Internal Revenue Service.
(f) Pursuant to section 309(d) of the Tariff Act of 1930, as
amended, the Department of Commerce has found and advised the Secretary
of the Treasury of the foreign countries which allow privileges to
aircraft registered in the United States substantially reciprocal to
those described in sections 309 and 317 of the Tariff Act of 1930, as
amended. Advices also have been received of changes and limitations of
privileges allowed. In accordance with these advices, Treasury decisions
are issued extending to the aircraft of foreign countries free
withdrawal privileges reciprocal to those found by the Secretary of
Commerce to be extended by those countries to aircraft registered in the
United States or making changes in such privileges on the basis of new
findings. Listed below by countries are the Treasury decisions issued
pursuant to such findings which are currently in effect:
------------------------------------------------------------------------
Treasury Exceptions if any, as
Country Decision(s) noted--
------------------------------------------------------------------------
Abu Dhabi.......................... 95-45
Argentina.......................... 54925 (1) Applicable only as to
92-20 aircraft equipment,
spare parts, and
supplies.
Australia.......................... 54747 (1) Not applicable to
ground equipment.
Austria............................ 80-68
Bahamas............................ 52798 (3)
Bahrain............................ 95-45
Belgium............................ 52846 (2)
Benin.............................. 71-215,93-
Bermuda............................ 49944 (4)
Brazil............................. 53281 (2)
Canada............................. 69-149 Not applicable to
69-245 ground equipment
during period May 1
to September 16,
1969, inclusive.
Chile.............................. 66-128 (2)
China*............................. 82-91
Colombia........................... 70-107 (1)
Costa Rica......................... 53658 (1)
Cuba............................... 81-198 Applicable only as to
aircraft supplies.
Czechoslovakia..................... 70-107 (1)
Denmark............................ 51966 (3)
Dominican Republic................. 54522 (1)
Ecuador............................ 52510 (4)
Egypt.............................. 74-3
85-141
El Salvador........................ 54675 (1)
[[Page 131]]
Finland............................ 69-120 (2)
France............................. 67-96 (1) Not applicable to
tobacco products
under section 317 of
the tariff act. Not
applicable to ground
equipment.
Federal Republic of Germany........ 69-150 Not applicable to
ground equipment.
Greece............................. 54847 (1)
Guyana............................. 78-28
Honduras........................... 71-154
Iceland............................ 67-265 (1)
India.............................. 55155 (1)
Indonesia.......................... 90-61 Applicable only as to
aviation fuels and
lubricants.
Iran............................... 75-254
Ireland............................ 55291 (1)
Israel............................. 52831 (3)
Italy.............................. 69-223 Not applicable to
ground equipment.
Ivory Coast........................ 71-215
Jamaica............................ 70-250
Japan.............................. 53550 (1), Not applicable to
88-45 ground support
equipment as of
August 1, 1986
Jordan............................. 74-102
Kenya.............................. 71-102 Applicable only as to
aircraft fuels and
lubricants.
Lebanon............................ 53902 (1)
Luxembourg......................... 89-77 Applicable only as to
aviation fuels.
Mexico............................. 54506 (5)
Morocco............................ 75-254
Netherlands........................ 52494 (2)
Netherlands Antilles............... 71-211
New Zealand........................ 73-52 Not applicable to
ground equipment.
Nicaragua.......................... 54640 (1)
Norway............................. 51966 (3)
Oman............................... 95-45
Pakistan........................... 55416 (1)
Panama............................. 55453 (1)
Peru............................... 52911 (2)
Poland............................. 72-153
Portugal........................... 68-107 (1) Not applicable to
ground equipment.
Qatar.............................. 95-45
Republic of Korea.................. 71-140
Republic of the Philippines........ 71-197
Romania............................ 75-35
Saudi Arabia....................... 73-307, 92-
68
Senegal............................ 71-215
Singapore.......................... 93-25
South Africa....................... 69-162 Not applicable to
ground equipment.
Spain.............................. 54522 (2)
Sweden............................. 51966 (3)
Switzerland........................ 56047
Taiwan............................. 70-107 (1), Not applicable to
82-91 ground equipment.
Tanzania........................... 71-102 Applicable only as to
aircraft fuels and
lubricants.
Thailand........................... 71-138, 89-
6
Trinidad and Tobago................ 56441 (1)
Turkey............................. 89-7
Uganda............................. 71-102 Applicable only as to
aircraft fuels and
lubricants.
Union of Soviet Socialist Republics 67-123 (1)
United Kingdom..................... 69-176 Not applicable to
ground equipment.
Venezuela.......................... 55425 (1)
Yugoslavia......................... 71-138
Zambia............................. 89-5
------------------------------------------------------------------------
*See also Taiwan
[28 FR 14663, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 10.59,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 10.60 Forms of withdrawals; bond.
(a) Withdrawals from warehouse shall be made on Customs Form 7501.
Each withdrawal shall contain the statement prescribed for withdrawals
in Sec. 144.32 of this chapter and all of the statistical information as
provided in Sec. 141.61(e) of this chapter. Withdrawals from continuous
Customs custody elsewhere than in a bonded warehouse shall be made on
Customs Form 7512, except as provided for by paragraph (h) of this
section. When a withdrawal of supplies or other articles is made which
may be used on a vessel while it is proceeding in ballast to another
port as provided for by Sec. 10.59(a)(3), a notation of this fact shall
be made on the withdrawal and the name of the other port given if known.
(b) If the withdrawal is made by other than the principal on the
warehouse or rewarehouse entry, as the case may be, the assent of such
principal shall be endorsed on the withdrawal, unless the principal has
otherwise authorized such withdrawal in writing.
(c) A bond on Customs Form 301, containing the bond conditions set
forth in Sec. 113.62 of this chapter shall be taken when the withdrawal
from warehouse is made by a person other than the principal on the
warehouse or rewarehouse entry, as provided for in paragraph (b) of this
section.
(d) Except as otherwise provided in Sec. 10.62b, relating to
withdrawals from warehouse of aircraft turbine fuel to be used within 30
days of such withdrawal as supplies on aircraft under Sec. 309, Tariff
Act of 1930, as amended, when the
[[Page 132]]
supplies are to be laden at a port other than the port of withdrawal
from warehouse, they shall be withdrawn for transportation in bond to
the port of lading. Three copies of the manifest on Customs Form 7512,
in addition to six copies of the withdrawal on Customs Form 7501, shall
be required. The procedure shall be the same as that prescribed in
Sec. 144.37 of this chapter (the six copies of Customs Form 7501 taking
the place of the entry copies of Customs Form 7512).
(e) No bond shall be required in the case of war vessels.
(f) Unless transfer is permitted under the provisions of paragraph
(h) of this section, when articles are withdrawn from continuous Customs
custody elsewhere than in a bonded warehouse for lading at the port of
withdrawal, the procedure provided for in Sec. 18.25 of this chapter
shall be followed, except that the bond required shall be on Customs
Form 301, containing the bond conditions set forth in Sec. 113.62 of
this chapter. Unless transfer is permitted under the provisions of
paragraph (h) of this section, when articles are withdrawn from
continuous Customs custody elsewhere than in a bonded warehouse for
lading at another port, the procedure set forth in Sec. 18.26 of this
chapter shall be followed, except that the withdrawal when filed shall
be supported by a bond on Customs Form 301, containing the bond
conditions set forth in Sec. 113.62 of this chapter. There shall be such
examination of the articles as may be necessary to satisfy the port
director that they are subject to the privileges of section 309, Tariff
Act of 1930, as amended, and that the value and quantity declared for
them are correct.
(g) A withdrawal under Sec. 10.59(e) shall be supported by a bond on
Customs Form 301, containing the bond conditions set forth in
Sec. 113.62 of this chapter.
(h) If a request is made for permission to transfer supplies or
stores from one vessel to another which would be entitled to withdraw
them free of duty and tax under section 309 or 317, Tariff Act of 1930,
as amended, the port director in his discretion may permit the articles
to be so transferred under Customs supervision under a permit on Customs
Form 3171 in lieu of a formal withdrawal under the pertinent statute. In
such a case, the pertinent statute shall be indicated by an endorsement
made on the permit by the port director.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 73-175, 38 FR 17445,
July 2, 1973; T.D. 73-312, 38 FR 30882, Nov. 8, 1973; T.D. 84-213, 49 FR
41166, Oct. 19, 1984; T.D. 95-81, 60 FR 52295, Oct. 6, 1995; T.D. 96-18,
61 FR 6777, Feb. 22, 1996]
Sec. 10.61 Withdrawal permit.
Upon the filing of the withdrawal and the execution of the bond,
when required, the port director shall issue a permit on Customs Form
7501 or 7512.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 95-81, 60 FR 52295, Oct.
6, 1995]
Sec. 10.62 Bunker fuel oil.
(a) Withdrawal under section 309, Tariff Act of 1930, as amended (19
U.S.C. 1309). Except as otherwise provided in Sec. 10.62b, relating to
withdrawals from warehouse of aircraft turbine fuel to be used within 30
days of such withdrawal as supplies on aircraft under section 309,
Tariff Act of 1930, as amended (19 U.S.C. 1309), when all the bunker
fuel oil in a Customs bonded tank is intended only for lading duty free
as supplies on vessels under section 309 at the port where the tank is
located, delivery of the oil, by Customs bonded carrier, cartman, or
lighterman (including bonded pipelines), under withdrawals on Customs
Form 7501, either single or blanket, may be made without the presence of
a Customs officer. When a blanket withdrawal is filed and a partial
release takes place, the partial release procedure set forth in
Sec. 19.6(d) of this chapter shall be followed for each partial release.
However, each abstract copy of Customs Form 7501 shall include the
following additional information:
(1) Type of oil withdrawn.
(2) Number or other identification of sales order therefor.
(3) Name of bonded carrier, date it received oil.
(4) Receipt signed by master or other person in charge of delivering
conveyance identified by number, or name, and if Customs bonded
lighterman or cartman, by the carrier's license number.
[[Page 133]]
(5) Name and location of vessel obtaining oil.
(6) Quantity and identification of each type of oil received with
date, and signature and title of receiving officer. If all the oil is
laden on the receiving vessel at the port of withdrawal via pipeline
from the bonded storage tank, paragraphs (a) (3) and (4) of this section
shall be deemed to be inapplicable.
(b) If a blanket free withdrawal of bunker fuel oil is filed, to
comply with Bureau of the Census requirements the withdrawal on Customs
Form 7501 shall be endorsed ``Estimated Withdrawals'' and limited to the
aggregate quantity and value of fuel oil which it is estimated will be
physically removed from Customs bond during the calendar month in which
the withdrawal is filed for lading on vessels entitled to duty-free
vessel supplies under section 309 of the Tariff Act of 1930, as amended.
(c)(1) As an incident of the delivery of fuel oils classifiable at
different rates of duty to a vessel or vessels under section 309 of the
tariff act, the port director may, when necessary to enable a supplier
to meet fuel specifications, permit the blending of the oils in the
delivering conveyance or in other suitable facilities after withdrawal
from the bonded tanks, upon the condition that, to the extent of the
amount of oil withdrawn classifiable at the higher rate, duty at the
higher rate will be paid on any portion of the blended fuel oil not
delivered within a reasonable time to a qualified vessel. The withdrawer
shall be required to file a withdrawal for consumption for the excess
quantity withdrawn. For example, if the quantity withdrawn consists of
1,500 barrels of bunker C fuel oil classifiable at the rate of one-
eighth cent per gallon and 500 barrels of diesel oil classifiable at the
rate of one-fourth cent per gallon but only 1,400 barrels of the blended
oil are actually laden as fuel supplies on qualified vessels,
withdrawals for consumption are required for 500 barrels of diesel oil
at the higher rate and for 100 barrels of bunker C fuel oil at the lower
rate.
(2) Delivering transferer receipt. The receipt of the delivering
carrier on a copy of Customs Form 7501 for fuel oil which has been
blended under paragraph (c)(1) of this section with components
classifiable at different rates of duty shall show, for each warehouse
entry number and withdrawal number involved, the types and quantity of
oil received.
(d) Fuel oil withdrawn as vessel supplies at one port may be laden
at another port on a vessel or vessels entitled to the free withdrawal
privileges of section 309 of the tariff act, under procedures prescribed
in this section, provided the movement to the receiving vessel or
vessels is under the bond of a qualified carrier as described in
Sec. 18.1(a) of this chapter. In such cases, the provisions of
Sec. 10.60(d) of this chapter shall be deemed inapplicable.
(e) If a vessel not entitled to duty-free withdrawal of supplies
from Customs bonded warehouses under section 309 of the Tariff Act of
1930, as amended, should be supplied with fuel oil from a Customs bonded
tank described in paragraph (a) of this section because of an emergency,
a duty paid withdrawal therefor shall be filed on the first day that the
customhouse is open for the general transaction of business after the
day on which the oil is laden on the using vessel. If there should be
willful or repeated instances of late filing of a duty-paid withdrawal
in such cases, the port director shall require a duty-paid withdrawal to
be filed prior to the removal of fuel oil from the bonded tank.
(f) When the procedures prescribed in this section are followed,
representatives of the port director will from time to time verify
various withdrawals against all pertinent records, including financial
records, of the withdrawers, deliverers, and receivers of the oil. The
withdrawer shall maintain all pertinent records relating to the
withdrawal, delivery, or receipt of the fuel oil for 5 years from the
date of liquidation of the related fuel oil entry.
[T.D. 69-99, 34 FR 6520, Apr. 16, 1969, as amended by T.D. 79-159, 44 FR
31967, June 4, 1979; T.D. 82-204, 47 FR 49367, Nov. 1, 1982; T.D. 95-81,
60 FR 52295, Oct. 6, 1995; T.D. 96-18, 61 FR 6777, Feb. 22, 1996; T.D.
96-51, 61 FR 31395, June 20, 1996; T.D. 99-33, 64 FR 16347, Apr. 5,
1999]
[[Page 134]]
Sec. 10.62a Blanket withdrawals for certain merchandise.
(a) Generally. Under this section, a blanket withdrawal on Customs
Form 7501 may be filed for all or part of any merchandise withdrawn from
warehouse except fuel oil covered under Sec. 10.62, for use on qualified
vessels. Such a withdrawal shall be made only for lading on board
vessels at the port where the warehouse is located. The procedure for
the blanket withdrawal and partial releases after the initial release
are the same as those provided in Sec. 19.6(d) of this chapter, except
as noted in paragraph (b).
(b) Partial release. A partial release on Customs Form 7501, in
duplicate, or in triplicate if an extra copy is required by the port
director, shall be presented to the warehouse proprietor and placed in
the proprietor's permit file folder under the partial release procedure
set forth in Sec. 19.6(d) of this chapter, as merchandise is needed for
delivery to a using vessel. The original of the partial release document
shall accompany the merchandise for delivery to the Customs officer who
will supervise lading, or if a Customs officer does not physically
supervise lading, to the master of the vessel. The original shall be
returned to the proprietor for record purposes after the Customs officer
or master of the vessel, as appropriate, has certified lading of the
goods described in the document.
[T.D. 82-204, 47 FR 49367, Nov. 1, 1982, as amended by T.D. 95-81, 60 FR
52295, Oct. 6, 1995]
Sec. 10.62b Aircraft turbine fuel.
(a) General. Unless otherwise provided, aircraft turbine fuel
withdrawn from a Customs bonded warehouse for use under section 309,
Tariff Act of 1930, as amended (19 U.S.C. 1309), may be commingled with
domestic or other aircraft turbine fuel after such withdrawal only if
such commingling is approved by the appropriate Customs official for the
port where the commingling occurs. The appropriate Customs official may
approve such commingling if the fueling system in which the commingling
will occur contains adequate physical safeguards to prevent the possible
unauthorized entry into the Customs territory of the bonded fuel. Such
commingled fuel must be accounted for in the same 24-hour period in
which it was commingled and must be--
(1) Exported within that 24-hour period;
(2) Used under section 309 within that 24-hour period; or
(3) Entered or withdrawn for consumption, with duty deposited, as
required under the applicable regulations (see part 144 of this
chapter).
(b) Duty-free withdrawal from warehouse of aircraft turbine fuel
under section 557(a), Tariff Act of 1930, as amended (19 U.S.C.
1557(a)). Turbine fuel intended for use as supplies on aircraft under
section 309, Tariff Act of 1930, as amended, and withdrawn from a
Customs bonded warehouse shall be entitled to the privileges provided
for in section 309 if an amount equal to or exceeding the quantity of
such fuel is established, as provided for in paragraph (c) of this
section, to have been used on aircraft qualifying for the privileges
provided for in section 309 within 30 days after the withdrawal of the
fuel from the Customs bonded warehouse. Withdrawal of aircraft turbine
fuel under this paragraph shall be in accordance with the procedures in
Sec. Sec. 10.59 through 10.64, unless otherwise provided in this
section. Withdrawals under this paragraph shall be annotated with the
term ``Withdrawal under 19 CFR 10.62b(b)''.
(c) Establishment of use of fuel by qualifying aircraft. (1) The
person withdrawing aircraft turbine fuel under paragraph (b) of this
section must establish that an aircraft qualifying for the privileges
provided for in section 309, Tariff Act of 1930, as amended, used fuel
in an amount equal to or exceeding the quantity of the fuel withdrawn
that is not entered and upon which duties are not paid by submitting to
Customs, at the port where the bonded warehouse entry was filed, within
the time provided in paragraph (d) of this section, either--
(i) Records prepared in the normal course of business effecting the
transfer to identified (e.g., by aircraft company name, flight number,
flight origin and destination, and date of flight) aircraft of fuel in
an amount equal to or exceeding the quantity of the fuel withdrawn which
is not entered and on
[[Page 135]]
which duties are not paid and objective evidence that the aircraft to
which the fuel was transferred were actually used in trade qualifying
for the privileges provided in section 309, Tariff Act of 1930, as
amended; or
(ii) A certification (documentary or electronic) that:
(A) All of the fuel withdrawn was intended for use on aircraft
entitled to the privileges provided for in section 309;
(B) Within 30 days of the date of withdrawal from warehouse, an
amount of fuel equal to or exceeding the quantity of the fuel withdrawn
which is not entered and on which duties are not paid was transferred as
supplies to aircraft entitled to the privileges provided for in section
309;
(C) All of the aircraft into which fuel is loaded hereunder were
used in a trade provided for in section 309; and
(D) The person making the certification possesses evidence
(documentary or electronic) available for Customs inspection at a named
place which supports each of the above statements.
(2) Upon request by Customs, the person who submits the
certification provided for in paragraph (c)(1) of this section shall
promptly provide the evidence required to support the claim for
treatment under this section (including the records described in
Sec. 10.62b(c)(1)(i)) and Sec. Sec. 10.62 and 19.6(d) and each of the
statements in the certification.
(d) Time for establishment of use of fuel by qualifying aircraft.
The person withdrawing aircraft turbine fuel under paragraph (b) of this
section shall submit the records or certification provided for in
paragraph (c) of this section by the 40th day after the date of
withdrawal of the fuel unless the fuel was withdrawn under a blanket
withdrawal under paragraph (g) of this section. If the fuel was
withdrawn under a blanket withdrawal, the person withdrawing aircraft
turbine fuel under this section shall submit the records or
certification provided for in paragraph (c) of this section by the 40th
day after all of the fuel covered by the blanket permit to withdraw has
been withdrawn.
(e) Treatment of turbine fuel withdrawn but not used on qualifying
aircraft within 30 days. If turbine fuel is withdrawn from a Customs
bonded warehouse under paragraph (b) of this section but fuel in an
amount less than the quantity withdrawn is established to have been used
within 30 days of the date of withdrawal from warehouse on aircraft
qualifying for the privileges provided for in section 309, Tariff Act of
1930, as amended, a withdrawal for consumption shall be filed and duties
shall be deposited for the excess of fuel so withdrawn over that used on
aircraft so qualifying. Such withdrawal shall be filed and such duties
shall be deposited by the 40th day after the date of withdrawal of the
fuel in accordance with the procedures in Sec. 144.38 of this chapter.
Interest shall be payable and deposited with such duties, calculated
from the date of withdrawal at the rate of interest established under 26
U.S.C. 6621.
(f) Liquidated damages. Failure to account for turbine fuel
withdrawn under paragraphs (b) through (h) of this section shall result
in liquidated damages against the person withdrawing the turbine fuel,
as provided for under Sec. 113.62 of this chapter. Such failure to
account for turbine fuel includes:
(1) The failure to timely file the withdrawal for consumption and
payment of duty, with interest, on the quantity of fuel so withdrawn in
excess of the quantity of fuel established to have been used on
qualifying aircraft within 30 days of withdrawal, as provided for in
paragraph (e) of this section;
(2) The failure to timely file the evidence or certification
establishing such use of the fuel which is not entered and on which
duties are not paid, as provided for in paragraph (c) of this section;
or
(3) The failure to promptly provide the evidence required to support
the claim for treatment under paragraph (b) of this section, upon
request by Customs, as provided for in paragraph (c)(2) of this section.
(g) Blanket withdrawals. Blanket withdrawals, as provided for in
Sec. Sec. 10.62 and 19.6(d), may be used for withdrawals from warehouse
under section 557(a), Tariff Act of 1930, as amended, and paragraphs (b)
through (h) of this section, under the procedures provided in
Sec. Sec. 10.62 and 19.6(d) except that--
[[Page 136]]
(1) Application by the withdrawer for a blanket permit to withdraw
shall be on the warehouse entry, or on the warehouse entry/entry summary
when used as an entry, annotated with the words ``Some or all of the
merchandise will be withdrawn under blanket permit per Sec. Sec. 10.62,
10.62b, and 19.6(d).'';
(2) Turbine fuel withdrawn under a blanket permit as authorized in
this paragraph may be delivered at a port other than the port of
withdrawal;
(3) Customs acceptance of a properly completed application for a
blanket permit to withdraw, on the warehouse entry or warehouse entry/
entry summary, will constitute approval of the blanket permit to
withdraw;
(4) A copy of the approved blanket permit to withdraw will be
delivered to the warehouse proprietor, whereupon fuel may be withdrawn
under the terms of the blanket permit;
(5) The withdrawal document to be placed in the proprietor's permit
file folder (see Sec. 19.6(d)(2)) will be a commercially acceptable
document of receipt (such as a ``withdrawal ticket'') issued by the
warehouse proprietor, identified with a unique alpha-numeric code and
containing the following information:
(i) Identity of withdrawer;
(ii) Identity of warehouse and tank from which fuel is withdrawn;
(iii) Date of withdrawal;
(iv) Type of merchandise withdrawn; and
(v) Quantity of merchandise withdrawn.
(6) The date of withdrawal, for purposes of calculating the 30-day
period in which fuel must be used on qualifying aircraft under this
section, shall be the date on which physical removal of the fuel from
the warehouse commences;
(7) The blanket permit summary prepared by the proprietor as
provided for in Sec. 19.6(d)(4) shall be prepared when all of the fuel
covered by the blanket permit has been withdrawn and shall account for
all merchandise withdrawn under the blanket permit, as required by
Sec. 19.6(d)(4), by stating, in summary form, the unique alpha-numeric
codes and information required in paragraph (g)(5) of this section, as
well as the identity of the warehouse entry to which the withdrawal is
attributed;
(8) The certification on the blanket permit summary (see
Sec. 19.6(d)(4)) shall be that the merchandise listed thereunder was
withdrawn in compliance with Sec. Sec. 10.62, 10.62b, and 19.6(d); and
(9) The person withdrawing aircraft turbine fuel under these blanket
procedures shall submit the records or certification provided for in
Sec. 10.62b(c) by the 40th day after all of the fuel covered by the
blanket permit has been withdrawn (see Sec. 10.62b(d)). At the
discretion of the port director for the port where blanket withdrawal
was approved, submission of the records and evidence required to
establish use of the fuel on qualifying aircraft may be required to be
submitted electronically, in a format compatible with Customs electronic
record-keeping systems.
(h) Recordkeeping. The person withdrawing aircraft turbine fuel from
warehouse under this section is subject to the recordkeeping
requirements in 19 U.S.C. 1508 and 1509, as provided for in part 162 of
this chapter.
[T.D. 96-18, 61 FR 6778, Feb. 22, 1996, as amended by T.D. 99-33, 64 FR
16347, Apr. 5, 1999]
Sec. 10.63 Landing of supplies and stores from receiving vessel in the
United States.
Supplies or stores laden on a vessel duty and tax free under section
309, Tariff Act of 1930, as amended, may be landed under Customs
supervision under proper permit, the same as if they had been laden in a
foreign country. See Sec. 4.39 of this chapter. Except when transfer to
another vessel entitled to the free withdrawal privilege is permitted
under the original withdrawal under section 309, Tariff Act of 1930, as
amended, the landed articles shall be treated as an importation from a
foreign country.
[28 FR 14663, Dec. 31, 12963, as amended by T.D. 89-1, 53 FR 51250, Dec.
21, 1988; T.D. 97-82, 62 FR 51769, Oct. 3, 1997]
Sec. 10.64 Crediting or cancellation of bonds.
(a) Except as stated below, a bond on Customs Form 301, containing
the bond conditions set forth in Sec. 113.62 of this
[[Page 137]]
chapter may be credited or canceled in respect of such articles upon the
vessel's departure from the port of lading in a class of trade or
business entitling the articles to exemption from duty and tax under the
statute. The withdrawer shall cause the merchandise to be delivered to
the lading vessel, and shall provide such evidence of lading as required
by the port director within 30 days after lading, except as provided in
this section. If the vessel is not operated by the United States and
proceeds in ballast from the port where the articles are laden to
another port to lade passengers or cargo for carriage in a class of
trade specified in section 309, Tariff Act of 1930, as amended, the bond
may be credited or canceled upon the filing with the director of the
port of withdrawal within 3 months after the date of withdrawal of a
proper declaration as prescribed below. The declaration shall be
executed by one of the following who has knowledge of the facts:
(1) The operations manager or port captain for the vessel on which
the articles are laden but not a representative of the supplier.
(2) The master or other officer of the vessel on which the articles
are laden. The declaration shall be in substantially the following form:
I,______________________________________________________________________
(Operations manager, port captain, master, or other officer) of the
vessel ------------ declare that I have knowledge of the facts set forth
herein, and that upon the lading of the articles described below covered
by withdrawal No. --------, filed at ----------------(Name of port), the
vessel then proceeded in ballast to ----------------(Name of port) to
lade cargo or passengers; that the vessel was suitable for service in
the class of trade checked below with fittings, outfit, and equipment
for such trade already installed when it so departed in ballast; and
that upon arrival it proceeded to engage in the carriage of cargo or
passengers in such trade, except as stated below:
________________________________________________________________________
(If no exception, note ``None'')
1. Foreign Trade.
2. Trade between Atlantic and Pacific ports of the United States, when
such trade is not prohibited by coastwise laws.
3. Trade between the United States and any of its possessions, when such
trade is not prohibited by coastwise laws.
4. Trade between Alaska or Hawaii and any other part of the United
States, when such trade is not prohibited by coastwise laws.
Description of articles:
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
______________________________________________________________________
(Name and title)
(b) A declaration as to the intended business or trade of a vessel
may, in the discretion of the port director, be accepted in lieu of a
declaration prescribed in paragraph (a) of this section when the amount
of duty or tax, or both, involved in a single lading is less than $100.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 84-213, 49 FR 41166,
Oct. 19, 1984]
Sec. 10.64a [Reserved]
Sec. 10.65 Cigars and cigarettes.
(a) Imported cigars and cigarettes in bonded warehouse or otherwise
in Customs custody, and such articles manufactured with the use of
imported materials in a bonded manufacturing warehouse of class 6, may
be withdrawn under section 317, Tariff Act of 1930, as amended, for
consumption beginning beyond the 3-mile limit or international boundary,
as the case may be, (1) on vessels actually engaged in the foreign,
intercoastal, or noncontiguous territory trade within the purview of
Sec. 10.59(a); (2) on vessels departing from the port where the
withdrawal is made directly for a foreign port, a port on the opposite
coast, or a port in one of the possessions of the United States; or (3)
on vessels of war or other governmental activity.
(b) The privilege shall not be granted to vessels stationed in
American waters for an indefinite period without sailing schedules, nor
shall it be granted to aircraft of foreign registry of a country for
which there is not in effect a finding and advice by the Department of
Commerce under section 309(d), Tariff Act of 1930, as amended, that such
country allows privileges to aircraft registered in the United States
substantially reciprocal to those described in section 317, Tariff Act
of 1930, as amended. See section 10.59(f).
(c) With the following additions and exceptions, the same procedure
shall be
[[Page 138]]
followed as in the case of withdrawals under section 309(a), Tariff Act
of 1930, as amended.
(1) No bond shall be required in the case of vessels operated by the
United States Government.
(2) When a shipping case containing cigars and cigarettes is made up
of a number of units, each in a separate package, such units may be
withdrawn separately, provided each unit is marked and numbered for
identification and contains not less than 250 cigars or 1,000
cigarettes. In the case of imported cigars and cigarettes so packed,
only one unit from each shipping case shall be opened for examination,
unless the port director shall deem it necessary for the protection of
the revenue to examine a greater quantity. Imported tobacco products on
which the duty or internal-revenue tax has been paid may not be
withdrawn under section 317, Tariff Act of 1930, as amended, with a
drawback of such duty or internal-revenue tax.
(3) When all the units in such shipping case are not to be withdrawn
at the same time or for use on the same vessel, a blanket withdrawal may
be filed for the entire case in lieu of a separate withdrawal for each
unit. In such event, the withdrawal shall be retained by the warehouse
proprietor until delivery receipts are obtained for the entire quantity
covered by the withdrawal, provided the total period of time prior to
delivery to the using vessel or aircraft does not exceed 5 years. A bond
on Customs Form 301, containing the bond conditions set forth in
Sec. 113.62 of this chapter, when required, shall be filed at the time
of or prior to the removal of any of the merchandise from the warehouse
for delivery to the vessel on which it is to be used.
(4) Merchandise for which blanket withdrawals are filed shall be
stored in a separate room or enclosure in a bonded warehouse under
separate locks, and the merchandise clearly marked to show that it has
been withdrawn. If, at the time of any such inventory, any merchandise
is missing and not properly accounted for, duties shall be paid thereon
before any further withdrawals are permitted.
(5) The declaration of use, when required, shall include a statement
that consumption of the articles covered by the withdrawal did not begin
until the withdrawing vessel or aircraft had proceeded beyond the 3 mile
limit or the international boundary.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 67-193, 32 FR 11764,
Aug. 16, 1967; T.D. 70-73, 35 FR 5400, Apr. 1, 1970; T.D. 82-204, 47 FR
49368, Nov. 1, 1982; T.D. 84-213, 49 FR 41166, Oct. 19, 1984; T.D. 89-1,
53 FR 51250, Dec. 21, 1988]
Articles Exported for Exhibition, Etc.
Sec. 10.66 Articles exported for temporary exhibition and returned;
horses exported for horse racing and returned; procedure on
entry.
(a) In connection with the entry of articles, including livestock or
other animals, exported for temporary exhibition and returned and
claimed to be exempt from duty under subheading 9801.00.50 or
9801.00.60, Harmonized Tariff Schedule of the United States (HTSUS),
there shall be filed:
(1) A certificate of exportation on Customs Form 3311;
(2) A declaration of the importer on Customs Form 4455 for articles
of either domestic or foreign origin; and
(3) In the case of animals of foreign origin taken abroad for
exhibition in connection with a circus or menagerie, a copy of an
inventory of these animals filed prior to their leaving the country with
the director of the port of their departure.
(b) If it is shown to be impracticable to produce the certificate of
exportation required under paragraph (a)(1) of this section, the port
director may accept other satisfactory evidence of exportation, or may
take a bond on Customs Form 301, containing the bond conditions set
forth in Sec. 113.62 of this chapter to secure the production of such
certificate or other evidence.
(c) Articles claimed to be exempt from duty under subheading
9801.00.50 or 9801.00.60, Harmonized Tariff Schedule of the United
States (HTSUS) (19 U.S.C. 1202), may be returned free of duty without
formal entry and without regard to the requirements of paragraph (a) or
(b) of this section if:
(1) Prior to the exportation of such articles, an application on
Customs
[[Page 139]]
Form 4455 (accompanied by an appropriate inventory, when required by law
or by the port director) is filed with a declaration thereon that:
(i) Any right to drawback of Customs duties with respect to that
shipment was waived;
(ii) Any internal revenue tax due has been paid and no refund
thereof will be sought; and
(iii) The merchandise was identified, registered, and exported in
accordance with the regulations set forth in Sec. Sec. 10.8(e), (g),
(h), and (i), governing the exportation of articles sent abroad for
repairs, and
(2) Upon return, a duplicate Customs Form 4455 (with accompanying
inventory where one was required) is filed.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 74-242, 39 FR 33794,
Sept. 20, 1974; T.D. 75-235, 40 FR 44319, Sept. 26, 1975; T.D. 78-153,
43 FR 23709, June 1, 1978; T.D. 82-224, 47 FR 53727, Nov. 29, 1982; T.D.
84-213, 49 FR 41166, Oct. 19, 1984; T.D. 87-75, 52 FR 20066, May 29,
1987; T.D. 89-1, 53 FR 51250, Dec. 21, 1988; T.D. 94-1, 58 FR 69470,
Dec. 30, 1993]
Sec. 10.67 Articles exported for scientific or educational purposes and
returned; procedure on entry.
(a) In connection with each entry of articles exported for
scientific or educational purposes and returned under subheading
9801.00.40, Harmonized Tariff Schedule of the United States (HTSUS), the
following shall be required, irrespective of the value of the shipment:
(1) A certificate of exportation on Customs Form 3311;
(2) A declaration by the foreign shipper in the same form as that
prescribed in Sec. 10.66(a)(2) but stating that such articles were sent
from the United States solely for temporary scientific or educational
use and describing the specific use to which they were put while abroad.
(3) A declaration of the ultimate consignee in substantially the
following form:
Port of ----------------, Port Director's Office, ------------------,
19----.
I, --------------------, declare that the several articles described
in the annexed entry are, to the best of my knowledge and belief, the
identical articles exported from the United States on the ------------
day of ------------, 19----, by ------------------ (Actual shipper)
address ----------------, for the account of ----------------, address
----------------that they are returned to ----------------, address ----
------------, for the account of ----------------, address ------------
-- that the said articles were exported solely for temporary scientific
or educational purposes and for no other use abroad than for exhibition,
examination, or experimentation; that they are being returned without
having been changed in condition in any manner, except by reason of
their bona fide use as follows:
________________________
(Describe change in condition)
________________________
______________________________________________________________________
(Ultimate consignee)
(b) If it is shown to be impracticable to produce the certificate of
exportation required by paragraph (a)(1) of this section, the port
director may accept other satisfactory evidence of exportation. The port
director may take a bond on Customs Form 301, containing the bond
conditions set forth in Sec. 113.62 of this chapter to secure the
subsequent production of any of the evidence or documents required by
paragraph (a) of this section which are not available at the time of
entry.
(c) If, prior to the exportation of articles claimed to be exempt
from duty under subheading 9801.00.40, Harmonized Tariff Schedule of the
United States (HTSUS), an application on Customs Form 4455 (accompanied
by an appropriate inventory when, in the discretion of the port
director, such inventory is deemed necessary) was filed, such articles
may be returned for the account of the exporter free of duty without
formal entry, without regard to the requirements of paragraphs (a) and
(b) of this section, upon the filing of the duplicate Customs Form 4455
(with accompanying inventory, if one was required), and a declaration of
the ultimate consignee in substantially the form set forth in paragraph
(a)(3) of this section.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 74-242, 39 FR 33794,
Sept. 20, 1974; T.D. 84-213, 49 FR 41166, Oct. 19, 1984; T.D. 89-1, 53
FR 51250, Dec. 21, 1988; T.D. 94-1, 58 FR 69470, Dec. 30, 1993; T.D. 97-
82, 62 FR 51769, Oct. 3, 1997]
[[Page 140]]
Theatrical Effects, Motion-Picture Films, Commercial Travelers' Samples,
and Tools of Trade
Sec. 10.68 Procedure.
(a) Theatrical scenery, properties, and effects, motion-picture
films (including motion-picture films taken aboard a vessel for
exhibition only during an outward voyage and returned for the same
purpose during an inward voyage on the same or another vessel),
commercial travelers' samples, and professional books, implements,
instruments, and tools of trade, occupation, or employment (see
Sec. 148.53 of this chapter), of domestic or foreign origin, taken
abroad may be returned without formal entry and without payment of duty
if an exportation voucher from a carnet, when applicable, or an
application on Customs Form 4455 was filed, and the merchandise was
identified as set forth in Sec. 10.8, before exportation of the
articles. Articles exported under cover of an A.T.A. carnet (where the
carnet serves as the control document) may, in accordance with this
paragraph, be returned without entry or the payment of duty. If Customs
Form 4455 is utilized, commercial travelers' samples, professional
books, implements, instruments, and tools of trade, occupation, or
employment may be returned with either an informal entry or a
declaration on Customs Form 3299; theatrical scenery, properties, and
effects and motion-picture films may be returned only with an informal
entry. When articles other than those exported by mail or parcel post
are examined and registered at one port and exported through another
port, the port director may require proof of exportation in those cases
where the carnet or Customs Form 4455 does not reflect that these
articles were exported under Customs supervision. In the case of
commercial travelers' samples taken abroad for temporary use, except
where exportation involves certification of a carnet, port directors may
waive examination of the samples at the time of exportation. When
motion-picture films are to be taken aboard a vessel for exhibition only
during an outward voyage and are to be returned for the same purpose
during an inward voyage on the same or another vessel, port directors
may waive examination and supervision at the time of exportation. When
theatrical scenery, properties, and effects are taken abroad in sealed
carload lots by rail for temporary use, the cars must be sealed by U.S.
Customs officers for entry at any Canadian or Mexican port where U.S.
Customs officers are stationed. Application and examination before the
time of exportation is waived if a Customs Form 4455 is filed with the
U.S. Customs officer in the appropriate Canadian or Mexican port, and
that officer examines the articles before they are released from foreign
customs custody by the foreign customs officer.
(b) When any such articles are to be returned to the United States
from a contiguous foreign country in which a United States Customs
officer is stationed, the articles may be presented to such officer with
the duplicate copy of the application for examination and comparison
with the descriptive list. Upon completion of such examination, the
packages containing the articles shall be corded and sealed or forwarded
in cars sealed by Customs officers and shall be manifested in the same
manner as personal baggage. Articles so treated shall be released upon
arrival in the United States and removal of the seals by Customs
officers.
(c) When commercial travelers' samples consisting of raw cotton are
taken to and returned from Canada, the application on Customs Form 4455
shall be executed in triplicate, two copies thereof to be returned to
the traveler for surrender to the Customs officer on the return of the
samples from Canada.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 69-146, 34 FR 9801, June
25, 1969; T.D. 75-41, 40 FR 6646, Feb. 13, 1975; T.D. 82-49, 47 FR
12160, Mar. 22, 1980; T.D. 82-116, 47 FR 27261, June 24, 1982]
Sec. 10.69 Samples to Great Britain and Ireland under reciprocal
agreement.
Descriptive lists of samples taken to Great Britain and Ireland by
commercial travelers of the United States under the joint declarations
of December 3 and 8, 1910 (State Department treaty series 552), shall be
required in triplicate, verified by the affidavit of
[[Page 141]]
the commercial traveler before a Customs officer, and shall show that
the samples are for use as models or patterns for the purpose of
obtaining orders and not for sale and that the lists contain a full
description of the articles. One copy shall be retained and the others
shall be delivered to the commercial traveler--one for the
identification of the samples on their return to the United States and
one for the use of the foreign customs authorities. The latter copy must
have been attested by a consular officer of the country concerned in the
United States.
Animals and Birds
Cross Reference: For regulations with respect to recognition of
breeds and purebred animals, see 9 CFR part 151.
Sec. 10.70 Purebred animals for breeding purposes; certificate.
(a) In connection with the entry of purebred animals for breeding
purposes under subheading 0101.11.00, Harmonized Tariff Schedule of the
United States (HTSUS), no claim for free entry shall be allowed in
liquidation of the entry until the port director has received from the
Department of Agriculture a certificate that the animal is purebred of a
recognized breed and duly registered in a book of record recognized by
the Secretary of Agriculture for that breed. Importers are required by
regulation of the Department of Agriculture to make application for a
certificate of pure breeding to the U.S. Department of Agriculture,
Animal and Plant Health Inspection Service, Veterinary Services, on ANH
Form 17-338 before the animal will be examined as required by 9 CFR
151.7. Application for the certificate must be executed by the owner
agent, or importer and filed at a port of entry designated in the
regulations of the Department of Agriculture for the importation of
animals (9 CFR 92.3). However, applications for certificates for dogs
(other than dogs for handling livestock regulated under 9 CFR 92.18) and
cats may be filed either at a designated port of entry or at any other
port where Customs entry is made. The regulations of the Department of
Agriculture prescribing the requirements for the issuance of
certificates of pure breeding provide that all animals imported under
such regulations must be accompanied to the port at which examination is
to be made by certificates of pedigree and transfer of ownership in
order that identification may be accomplished, and that, if such animals
are moved from such port prior to the presentation of such certificates
and transfers, such action shall constitute a waiver of any further
claim to certification under such regulations.
(b) In the cases of cats and dogs arriving at Canadian border ports,
Customs officers and employees are hereby authorized and directed to
make the examination required by such regulations of the Department of
Agriculture. Customs officers and employees are also authorized and
directed to make such examinations at the ports of New York and Boston,
provided the dog or cat is brought into the United States by a
passenger. At all airports, Customs officers shall make the examination
of dogs and cats, whether or not accompanied by the owners, if there is
no inspector of the Department of Agriculture stationed there or on duty
at the time of arrival.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 68-154, 33 FR 8730, June
14, 1968; T.D. 78-99, 43 FR 13060, Mar. 29, 1978; T.D. 87-75, 52 FR
20066, May 29, 1987; T.D. 89-1, 53 FR 51250, Dec. 21, 1988]
Sec. 10.71 Purebred animals; bond for production of evidence; deposit
of estimated duties; stipulation.
(a) The animal may be released from Customs custody upon the
furnishing by the importer of a bond on Customs Form 301, containing the
bond conditions set forth in Sec. 113.62 of this chapter for the
production within 6 months of (1) a certificate of pure breeding issued
by the Department of Agriculture, and (2) the declaration required by
Sec. 10.70(a) submitted in letter form if such declaration was not filed
at the time of entry. The release of the animal from customs custody
requires the presentation of the pedigree certificate and evidence of
transfer of ownership in accordance with the regulations of the
Department of Agriculture mentioned in Sec. 10.70(b).
[[Page 142]]
(b) Charges against the bond shall be canceled only upon the
production of the required evidence or on payment of duties.
(c) In cases where the pedigree certificate and evidence of transfer
of ownership have been presented in accordance with the regulations of
the Department of Agriculture, the importer, if he so elects, may, in
lieu of giving a bond, deposit estimated duties and file a stipulation
with the port director within 10 days after the date of entry to produce
the declaration and certificate of pure breeding within 6 months from
the date of entry, whereupon the liquidation of the entry shall be
suspended. (See Sec. 113.42 of this chapter.)
(d) If the pedigree certificate and evidence of transfer of
ownership were not presented in accordance with such regulations of the
Department of Agriculture, a deposit of estimated duties, in addition to
the regular entry bond, shall be required.
(e) When a passenger arriving in the United States with one or more
dogs or cats and with the required certificates of pedigree and
transfers of ownership in his possession furnishes a properly executed
declaration as required by Sec. 10.70(a) along with an application to
the Department of Agriculture on ANH Form 17-338 for a certificate of
pure breeding, the entry of the animal(s) as duty-free under subheading
0106.00.50, Harmonized Tariff Schedule of the United States (HTSUS), may
be made on the passenger's baggage declaration if the value of the
animals does not exceed $500. In such case the entry shall be supported
by a bond on Customs Form 301, containing the bond conditions set forth
in Sec. 113.62 of this chapter for the production within 6 months of a
certificate of pure breeding. The bond shall be without surety or cash
deposit unless the port director on the basis of information before him
finds that a bond with surety or a cash deposit is necessary to protect
the revenue.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 68-79, 33 FR 4461, Mar.
13, 1968; T.D. 68-154, 33 FR 8731, June 14, 1968; T.D. 74-227, 39 FR
32015, Sept. 4, 1974; T.D. 78-99 43 FR 13060, Mar. 29, 1978; T.D. 84-
213, 49 FR 41166, Oct. 19, 1984; T.D. 87-75, 52 FR 26142, July 13, 1987;
T.D. 89-1, 53 FR 51250, Dec. 21, 1988; T.D. 93-66, 58 FR 44130, Aug. 19,
1993]
Sec. Sec. 10.72-10.73 [Reserved]
Sec. 10.74 Animals straying across boundary for pasturage; offspring.
When domestic animals for which free entry is to be claimed under
subheading 9801.00.90, Harmonized Tariff Schedule of the United States,
have strayed across the boundary line, they may be returned, together
with their offspring, without entry if brought back within 30 days;
otherwise entry shall be required. The owner of any such animal shall
report its return to the nearest Customs office and hold it for such
inspection and treatment as may be deemed necessary by a representative
of the Animal and Plant Health Inspection Service of the Department of
Agriculture. Any such arrival found not to have been so reported or held
shall be subject to seizure and forfeiture pursuant to 18 U.S.C. 545.
[T.D. 87-75, 52 FR 20067, May 29, 1987, as amended by T.D. 89-1, 53 FR
51250, Dec. 21, 1988]
Sec. 10.75 Wild animals and birds; zoological collections.
When wild animals or birds are claimed to be free of duty under
subheading 9810.00.70, Harmonized Tariff Schedule of the United States
(HTSUS), (19 U.S.C. 1202), the port director may, at his discretion,
require appropriate proof that the animals or birds were specially
imported pursuant to negotiations conducted prior to importation for the
delivery of animals or birds of a named species meeting agreed
specifications of reasonable particularity and that they are intended at
the time of importation for public exhibition in a collection maintained
for scientific or educational purposes and not for sale or for use in
connection with any enterprise conducted for profit. The fact that an
animal or bird may have been sent on approval shall not preclude free
entry under subheading 9810.00.70, HTSUS, when it is actually accepted
as a part of the zoological collection and so exhibited.
[T.D. 85-123, 50 FR 29953, July 23, 1985, as amended by T.D. 89-1, 53 FR
51250, Dec. 21, 1988; T.D. 97-82, 62 FR 51769, Oct. 3, 1997]
[[Page 143]]
Sec. 10.76 Game animals and birds.
(a) The following classes of live game animals and birds may be
admitted free of duty for stocking purposes under the provisions of
subheading 9817.00.70 without reference to the United States Customs
Service, if the requirements of the Fish and Wildlife Service,
Department of the Interior, have been complied with.
animals
1. Cervidae, commonly known as deer and elk.
2. Leporidae, commonly known as rabbits.
3. Sciuridae, commonly known as squirrels.
birds
1. Anatidae, commonly known as ducks and geese.
2. Gallinae, commonly known as turkeys, grouse, pheasants,
partridges, and quail.
3. Otididae, commonly known as bustards.
4. Tinamidae, commonly known as tinamous.
(b) Application for the free entry of other live animals or birds
under subheading 9817.00.70, Harmonized Tariff Schedule of the United
States shall be referred to the United States Customs Service for
consideration. Animals imported for fur-farming purposes shall not be
admitted free of duty under that paragraph.
(c) [Reserved]
(d) Game animals and birds killed in foreign countries by residents
of the United States, if not imported for sale or other commercial
purposes, may be admitted free of duty without entry, if the person has
no merchandise requiring a written declaration upon the filing of a
declaration on U.S. Fish and Wildlife Service Form 3-177, Declaration
for Importation or Exportation of Fish or Wildlife. No bond or cash
deposit to insure the destruction or exportation of the plumage of such
birds shall be required.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 82-145, 47 FR 35475,
Aug. 16, 1982; T.D. 86-118, 51 FR 22515, June 20, 1986; T.D. 89-1, 53 FR
51250, Dec. 21, 1988; T.D. 90-78, 55 FR 40166, Oct. 2, 1990]
Sec. 10.77 [Reserved]
Products of American Fisheries
Sec. 10.78 Entry.
(a) No entry shall be required for fish or other marine products
taken on the high seas by vessels of the U.S. or by residents of the
U.S. in undocumented vessels owned in the U.S. when such fish or other
products are brought into port by the taking vessel or are transferred
at sea to another fishing vessel of the same fleet and brought into
port.
(b) An American fishery, within the meaning of Subchapter XV of
Chapter 98, Harmonized Tariff Schedule of the United States, is defined
as a fishing enterprise conducted under the American flag by vessels of
the United States on the high seas or in foreign waters in which such
vessels have the right by treaty or otherwise, to take fish or other
marine products and may include a shore station operated in conjunction
with such vessels by the owner or master thereof.
(c) The employment of citizens of a foreign country by an American
fishery is permissible but the purchase by an American fishery of fish
or other marine products taken by citizens of a foreign country on the
high seas or in foreign waters will subject such fish or other marine
products to treatment as foreign merchandise.
(d) Products of an American fishery shall be entitled to free entry
although prepared, preserved, or otherwise changed in condition,
provided the work is done at sea by the master or crew of the fishery or
by persons employed by and under the supervision of the master or owner
of the fishery. Fish (except cod, haddock, hake, pollock, cusk,
mackerel, and swordfish) the product of an American fishery landed in a
foreign country and there not further advanced than beheaded,
eviscerated, packed in ice, frozen and with fins removed, shall be
entitled to free entry, whether or not such processing is done by the
American fishery. Products of an American fishery prepared or preserved
on the treaty coasts of Newfoundland, Magdalen Islands, or Labrador, as
such coasts are defined in the Convention of 1818 between the United
States and Great Britain, shall
[[Page 144]]
be entitled to free entry only if the preparation or preservation is
done by an American fishery.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 87-75, 52 FR 20067, May
29, 1987; T.D. 89-1, 53 FR 51250, Dec. 21, 1988]
Sec. 10.79 [Reserved]
Salt For Curing Fish
Sec. 10.80 Remission of duty; withdrawal; bond.
Imported salt in bond may be used in curing fish taken by vessels
licensed to engage in the fisheries, and in curing fish in the shores of
the navigable waters of the U.S., whether such fish are taken by
licensed or unlicensed vessels, and upon proof that the sale has been
used for either of such purposes, the duties on the same shall be
remitted. (Section 313(e), Tariff Act of 1930, 19 U.S.C. 1313(e)).
Imported salt entered for warehouse may be withdrawn under bond for use
in curing fish. Upon proof that the salt has been so used, the duties
thereon shall be remitted. In no case shall the quantity of salt
withdrawn exceed the reasonable requirements of the case. Withdrawal
shall be made on Customs Form 7501. Each withdrawal shall contain the
statement prescribed for withdrawals in Sec. 144.32 of this chapter.
When the withdrawal is made by a person other than the importer of
record, a bond on Customs Form 301, containing the bond conditions set
forth in Sec. 113.62 of this chapter for the production of proof of
proper use shall be filed. Upon acceptance of the bond, a withdrawal
permit shall be issued on Customs Form 7501.
[T.D. 89-1, 53 FR 51251, Dec. 21, 1988, as amended by T.D. 95-81, 60 FR
52295, Oct. 6, 1995]
Sec. 10.81 Use in any port.
(a) Salt withdrawn under bond for use in curing fish on the shores
of navigable waters may be used for such purpose at any port, but the
evidence of use in such cases shall be submitted through the director of
the port where the salt was used.
(b) If desired, salt to be used in curing fish on shore at another
port than that in which it is warehoused in bond may be withdrawn under
a transportation entry and shipped in bond to the other port at which it
is to be used, where it may be entered on Customs Form 7501 which shall
show withdrawal of the salt for use in curing fish. Thereupon, and upon
the filing of a bond on Customs Form 301, containing the bond conditions
set forth in Sec. 113.62 of this chapter, such salt may be used without
being sent to a bonded warehouse or public store. In such a case the
proof of use shall be filed at the latter port.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 84-213, 49 FR 41166,
Oct. 19, 1984; T.D. 87-75, 52 FR 20067, May 29, 1987; T.D. 95-81, 60 FR
52295, Oct. 6, 1995]
Sec. 10.82 [Reserved]
Sec. 10.83 Bond; cancellation; extension.
(a) If it shall appear to the satisfaction of the port director
holding the bond referred to in Sec. 10.80, that the entire quantity of
salt covered by the bond has been duly accounted for, either by having
been used in curing fish or by the payment of duty, the port director
may cancel the charges against the bond. The port director may require
additional evidence in corroboration of the proof of use produced.
(b) On application of the person making the withdrawal, the period
of the bond may be extended 1 year so as to allow the salt to be used
during the time of extension in curing fish with the same privileges as
if used during the original period.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 87-75, 52 FR 20067, May
29, 1987]
Automotive Products
Sec. 10.84 Automotive vehicles and articles for use as original
equipment in the manufacture of automotive vehicles.
(a)(1) Certain motor vehicles and motor vehicle equipment are
eligible for duty-free entry as proclaimed by the President under the
Automotive Products Trade Act of 1965. The articles designated for such
duty-free treatment are defined in General Note 3(c)(iii), HTSUS (19
U.S.C. 1202). Specifically, such articles are those designated [as
``Free (B)''] in the ``Special'' subcolumn in Chapter 87, HTSUS,
[[Page 145]]
and must qualify as ``Canadian articles'' as defined in General Note
3(c)(iii)(A)(1), HTSUS. To claim exemption from duty under the
Automotive Products Trade Act of 1965, an importer must establish, to
the satisfaction of the appropriate Customs officer, that the article in
question qualifies as a ``Canadian article'' for purposes of General
Note 3(c)(iii)A)(1), HTSUS. The Customs officer may accept as
satisfactory evidence a certificate executed by the exporter as set
forth in paragraph (b) of this section, subject to any verification he
may deem necessary. Alternatively, the Customs officer may determine
that under the circumstances of the importation a certificate is
unnecessary.
(2) Under the United States-Canada Free-Trade Agreement and
implementing legislation (Pub. L. 100-449, 102 Stat. 1851) a
manufacturer of motor vehicles may elect to average, over its 12-month
financial year, its calculation of the value-content requirement for
vehicles in establishing its eligibility for tariff preference.
Requirements for averaging are set forth in Sec. 10.310 and 10.311.
(b)(1) When all materials used at any stage in the production of the
imported article are wholly obtained or produced in Canada or the United
States, or both, a certificate in the following form may be accepted as
evidence that the commodity is a ``Canadian article'':
All materials contained in the product covered by the ----------
(Describe the invoice, bill of lading, or other document or statement
identifying the shipment) annexed or appended to this certificate of
Canadian origin at the time it was subscribed were wholly obtained or
produced in Canada or the United States, or both. No materials other
than those which were wholly obtained or produced in Canada or the
United States, or both, were incorporated into this product or any of
its components at any stage of production or in the production of any
intermediate product used at any stage in the chain of production in
Canada or the United States, or both.
(2) When any material used at any stage in the production of an
imported article or any of its components is not wholly obtained or
produced in Canada or the United States, or both, a certificate in the
following form may be accepted as evidence that the commodity is
nevertheless a ``Canadian article'':
The product covered by the ---------- (Describe the invoice, bill of
lading, or other document or statement identifying the shipment) annexed
or appended to this certificate of Canadian origin at the time it was
subscribed is an originating good so as to be a Canadian article. There
were used in its production in Canada ---------- (Description sufficient
for tariff classification of the materials, and number of units) of
third country materials of which the price paid was ---------- per unit
of quantity, plus ---------- which represents all costs incurred in
transporting the materials to the location of the producer and the
duties, taxes, and brokerage fees on the materials, if such costs were
not included in the price paid.
(3) If such Customs officer is satisfied that the revenue will be
protected adequately thereby, he may accept in lieu of the certificate
specified in paragraph (b)(2) of this section a certificate in the
following form when the merchandise covered thereby has been produced
with third country material but is an originating good under a specific
rule of origin for the merchandise:
The product covered by the ---------- (Describe the invoice, bill of
lading, or other document or statement identifying the shipment) annexed
or appended to this certificate of Canadian origin at the time it was
subscribed is an originating good so as to be a Canadian article. There
were or may have been used in its production in Canada or the United
States, or both, materials of a third country.
It is impractical to ascertain the exact number of units of third
country material, if any, used in its production or the price paid (and
other costs required to be included in the price paid) of such materials
but to the best of (my) (our) (its) knowledge the materials are
described (sufficient for tariff classification purposes) as follows: --
--------.
(4) The certificates described in paragraphs (b)(2) and (b)(3) of
this section shall not be accepted if the statements therein make it
evident that the importation is not a ``Canadian article'' within the
meaning of General Note 3(c), HTSUS.
(5) If more than one kind of article is covered by a certificate
provided for in paragraph (b) (1), (2), or (3) of this section, the
information required by the certificate shall be shown with respect to
each kind. When more than one kind
[[Page 146]]
of material, other than originating material, is used in the production
of an article covered by such a certificate, the certificate shall state
the number of units, a description sufficient for tariff classification
purposes, the price paid, and, if not included in the price paid, the
costs incurred in transporting the materials to the location of the
producer and duties, taxes and brokerage fees paid in Canada and/or the
United States on the material, per unit of each kind of materials.
(6) A certificate conforming to paragraph (b) (1), (2), or (3) of
this section shall be accepted as evidence of the facts alleged therein
only if:
(i) There is annexed thereto a copy of the commercial invoice or
bill of lading covering the articles or other documentary evidence which
identifies the article to which the certificate pertains,
(ii) The certificate is signed by the manufacturer or producer of
the article to which it pertains, or by the person who exported the
articles from Canada, and
(iii) It clearly appears that such copy or other documentary
evidence was annexed to the certificate when it was signed.
(c) In lieu of the certification in paragraph (b) (1), (2), or (3)
of this section, a manufacturer of motor vehicles who claims a
preference under the United States-Canada Free-Trade Agreement and
elects to average pursuant to Sec. 10.310(a), shall be subject to the
requirements of Sec. Sec. 10.301 to 10.311 of this part.
(d) When an importer makes an entry, or withdrawal from warehouse,
for consumption of articles for use as ``original motor-vehicle
equipment'' as that term is defined in General Note 3(c)(iii), HTSUS, he
shall file in connection therewith his declaration that the articles are
being imported for use as original equipment in the manufacture in the
United States of the kinds of motor vehicles specified in the General
Note and furnish the name and address of the motor vehicle manufacturer.
A copy of the written order, contract, or letter of intent shall be
attached to the importer's declaration except that if the port director
is satisfied that a copy of the written order, contract, or letter of
intent will be made available by the importer or ultimate consignee for
inspection by customs officials upon request during a period of 3 years
from the date of such entry or withdrawal from warehouse, the production
of such documents will not be required. Proof of use need not be
furnished.
(e) If, after a Canadian article has been accorded the status of
original motor-vehicle equipment, it is decided to divert the article
from its intended use in the manufacture in the United States of motor
vehicles, the importer or other person deciding to divert the article
from such intended use shall give notice in writing of the decision to
the director of the port where entry was made or where the offices of
the importer are located and either make arrangements for its
destruction or exportation under Customs supervision or pay duties in
accordance with General Note 3(c)(iii)(B)(2), HTSUS. If such article is
not destroyed or exported under Customs supervision or the duties paid,
the article, or its value, shall be subject to forfeiture.
[T.D. 89-3, 53 FR 51765, Dec. 23, 1988, as amended by T.D. 92-8, 57 FR
2453, Jan. 22, 1992; T.D. 93-66, 58 FR 44130, Aug. 19, 1993]
Master Records, And Metal Matrices
Sec. 10.90 Master records and metal matrices.
(a) Consumption entries covering importations under subheading
8524.99.20, HTSUS, shall be filed at a port in the Customs district in
which the factory where the articles will be used is located.
(b) The invoice filed with the entry shall contain or be supported
by a detailed statement of the cost of production, in the country where
made, of each master record or metal matrix covered thereby.
(c) A bond on Customs Form 301, containing the bond conditions set
forth in Sec. 113.62 of this chapter shall be filed for importations
under this section.
(d) Entries already filed and future entries shall be liquidated in
due course without the assessment of duty, but liability on bonds given
with the entries shall be discontinued with respect to any article
covered thereby
[[Page 147]]
only upon payment of liquidated damages in an amount equal to the duties
which would have accrued had the master records or metal matrices been
imported for use otherwise than in the manufacture of sound records for
export purposes, or upon satisfactory proof that the master records or
metal matrices obtained therefrom have been exported or destroyed under
Customs supervision, and that all sound records made with the use of
such articles have been exported.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 84-213, 49 FR 41166,
Oct. 19, 1984; T.D. 87-75, 52 FR 20067, May 29, 1987; T.D. 89-1, 53 FR
51251, Dec. 21, 1988; T.D. 90-78, 55 FR 40166, Oct. 2, 1990; T.D. 97-82,
62 FR 51769, Oct. 3, 1997]
Prototypes
Sec. 10.91 Prototypes used exclusively for product development and
testing.
(a) Duty-free entry; declaration of use; extension of liquidation--
(1) Entry or withdrawal for consumption. Articles defined as
``prototypes'' and meeting the other requirements prescribed in
paragraph (b) of this section may be entered or withdrawn from warehouse
for consumption, duty-free, under subheading 9817.85.01, Harmonized
Tariff Schedule of the United States (HTSUS), on CBP Form 7501 or an
electronic equivalent. A separate entry or withdrawal must be made for a
qualifying prototype article each time the article is imported/
reimported to the United States.
(2) Importer declaration. (i) Entry accepted as declaration. Entry
or withdrawal from warehouse for consumption under HTSUS subheading
9817.85.01 may be accepted by the port director as an effective
declaration that the articles will be used solely for the purposes
stated in the subheading.
(ii) Proof (declaration) of actual use. If it is believed the
circumstances so warrant, the port director may request the submission
of proof of actual use, executed and dated by the importer. The title of
the party executing the proof of actual use must be set forth. If proof
of actual use is requested, the importer must provide it within three
years after the date the article is entered or withdrawn from warehouse
for consumption. Liquidation of the related entry may be extended until
the requested proof or declaration of actual use is received or until
the three-year period from the date of entry allowed for the receipt of
such proof has expired. While requested proof of use must be given to
CBP within three years of the date of entry, the prototype may continue
to be used thereafter for the purposes enumerated in HTSUS subheading
9817.85.01. If requested proof of use is not timely received, the entry
will be liquidated as dutiable under the tariff provision that would
otherwise apply to the imported article. While there is no particular
form for this declaration, it may either be submitted in writing, or
electronically as authorized by CBP, and must include the following:
(A) A description of the use that is being and/or that has been made
of the articles set forth in sufficient detail so as to enable the port
director to determine whether the articles have been entitled to entry
as claimed;
(B) A statement that the articles have not and are not to be put to
any other use after the articles have been entered or withdrawn from
warehouse for consumption and prior to the completion of their use under
HTSUS 9817.85.01 (also see paragraphs (c) and (d) of this section
concerning the disposition(s) to which the articles may be put following
their use under HTSUS subheading 9817.85.01); and
(C) A statement that the articles or any parts of the articles have
not been and are not intended to be sold, or incorporated into other
products that are sold, after the articles have been entered or
withdrawn from warehouse for consumption and prior to the completion of
their use as provided in HTSUS subheading 9817.85.01 (see paragraph
(b)(2)(ii) of this section).
(b) Articles classifiable as prototypes--(1) Prototypes defined. In
accordance with U.S. Note 6(a) to subchapter XVII of chapter 98, HTSUS,
applicable to subheading 9817.85.01, the term ``prototypes'' means
originals or models of articles pertaining to any industry that:
(i) Are either in the preproduction, production or postproduction
stage and are to be used exclusively for development, testing, product
evaluation, or quality control purposes (not including
[[Page 148]]
automobile racing for purse, prize or commercial competition); and
(ii) In the case of originals or models of articles that are either
in the production or postproduction stage, are associated with a design
change from current production (including a refinement, advancement,
improvement, development or quality control in either the product itself
or the means of producing the product).
(2) Additional requirements. In accordance with U.S. Note 6(b) and
(c) to subchapter XVII of chapter 98, HTSUS, applicable to subheading
9817.85.01, the following additional restrictions apply to articles that
may be classified as prototypes:
(i) Importations limited. Prototypes may be imported pursuant to
this section only in limited noncommercial quantities in accordance with
industry practice.
(ii) Sale prohibited after entry and prior to use. Prototypes or
parts of prototypes may not be sold, or be incorporated into other
products that are sold into the commerce of the United States, after the
prototypes have been entered or withdrawn from warehouse for consumption
under HTSUS subheading 9817.85.01, except that, after having been used
for the purposes for which they were entered or withdrawn from warehouse
under HTSUS subheading 9817.85.01, such prototypes or any part(s) of the
prototypes may be sold as scrap, waste, or for recycling, as prescribed
in paragraph (c) of this section.
(iii) Articles subject to laws of another agency. Articles that are
subject to licensing requirements, or that must comply with laws, rules
or regulations administered by an agency other than CBP before being
imported, may be entered as prototypes pursuant to this section if they
meet all applicable provisions of law and otherwise meet the definition
of prototypes in paragraph (b)(1) of this section.
(iv) Articles excluded from being prototypes. Articles that are in
fact subject at the time of entry to quantitative restrictions,
antidumping orders or countervailing duty orders are excluded from being
classified as prototypes under this section.
(c) Sale of prototype following use--(1) Sale. Prototypes or any
part(s) of prototypes, after having been used for the purposes for which
they were entered or withdrawn under HTSUS subheading 9817.85.01, may
only be sold as scrap, waste, or for recycling. This includes a
prototype or any part thereof that is incorporated into another product,
as scrap, waste, or recycled material. If sold as scrap, waste, or for
recycling, applicable duty must be paid on the prototypes or parts as
provided in paragraph (c)(3) of this section, at the rate of duty in
effect for such scrap, waste, or recycled materials at the time the
prototypes were entered or withdrawn for consumption.
(2) Notice of sale required. If, after a prototype has been used for
the purposes contemplated in HTSUS subheading 9817.85.01, the prototype
or any part(s) of the prototype (including a prototype or any part that
is incorporated into another product) is sold as scrap, waste, or for
recycling, the importer must provide notice of such sale to the port
director where the entry or withdrawal of the prototype was made. A
notice, in the manner authorized in paragraph (c)(3) of this section,
must be submitted in connection with the sale, whether or not duty is
payable. The notice should not be submitted prior to the submission of
proof of actual use, should such proof of actual use be requested by the
port director (see paragraph (a)(2)(ii) of this section).
(3) Form and content of notice; tender of duty. While no particular
form is required for the notice of sale, a consumption entry (CBP Form
7501), appropriately modified, or an electronic equivalent as authorized
by CBP, may be used for this purpose. The notice may be a blanket notice
covering all those sales described in paragraph (c)(2) of this section
that occur over a quarterly (3-month) calendar period. Such notice must
be filed within 10 business days of the end of the related quarterly
period in which the sale(s) occurred. If an article sold is dutiable,
the payment of any duty due must be forwarded together with the notice
(see paragraph (c)(1) of this section). If the notice is filed
electronically, payment of any duty owed will be handled through the
Automated Clearinghouse
[[Page 149]]
(see Sec. 24.25 of this chapter). The notice of sale must be executed by
the importer, or other person having knowledge of the facts surrounding
the sale, and must include the following:
(i) The identity of the prototype; the consumption entry number
under which it was imported; a copy of the declaration of actual use, if
proof of actual use was requested under paragraph (a)(2)(ii) of this
section; and a detailed description of the condition of the prototype
following use for the intended permissible purposes, including any
damage, degradation or deterioration to the article resulting from such
use and/or otherwise resulting to the article from any other cause prior
to its sale for scrap, waste, or recycling;
(ii) The name and address of the party to whom the article was sold,
and (if known) the use to which the party intends to put the article;
(iii) The HTSUS subheading number for scrap, waste, or recycled
material, as applicable, claimed in connection with the sale of the
prototype, together with the corresponding rate of duty in effect at the
time the prototype was originally imported for consumption;
(iv) The value of the prototype article (if dutiable and the duty
owed is based upon value) (see paragraph (e)(2) of this section); and
(v) The title of the party executing the declaration and the date of
execution.
(d) Prototypes not sold following use. As to those prototypes or
parts of prototypes that, after having been used as prescribed under
HTSUS subheading 9817.85.01, are disposed of otherwise than by sale (see
paragraph (c)(1) of this section), there is no requirement that the
importer notify CBP of any such alternative disposition. Nor are there
any dutiable consequences that ensue from any disposition of the
merchandise after the merchandise's use under HTSUS subheading
9817.85.01 other than sale to the extent authorized under paragraph
(c)(1) of this section.
(e) Recordkeeping; retention and production--(1) Recordkeeping. The
importer must be prepared to submit to the CBP officer, if requested,
any information, including any supporting documents, reports and
records, as was necessary for the preparation of the declaration of use,
if the declaration of use was requested under paragraph (a)(2)(ii) of
this section, and the notice of sale, if applicable under paragraph
(c)(3) of this section. The notices, together with any related
supporting evidence, may be subject to such verification as the port
director reasonably deems necessary. Supporting documentary evidence
must be made available to the CBP officer, upon request, for a period of
five years (see Sec. 163.4(a) of this chapter) from the date of filing
in complete and proper form, the declaration of use, if requested, and,
if applicable, the notice of sale. The supporting records must be made
available to the CBP officer upon request in accordance with Sec. 163.6
of this chapter.
(i) Documents supporting the proof (declaration) of actual use must:
(A) Establish that the identity and description of the prototype
article is the same article that the consumption entry was made for
under subheading 9817.85.01, HTSUS; and
(B) Describe the circumstances of the use of the article; the
operations, testing, review, manipulation, experimentation, and/or other
exercises that are being and/or that have been conducted in connection
with the prototype; and the location, such as the plant or production
facility, where these activities occurred, sufficient to demonstrate
that the purposes enumerated in HTSUS subheading 9817.85.01 are taking
and/or have actually taken place.
(ii) Documents supporting the notice of sale must establish that:
(A) The identity of the prototype sold is the same article for which
a consumption entry was made under subheading 9817.85.01 HTSUS when it
was imported, and that the article was in the condition described in the
notice of sale;
(B) The article was sold to the party identified in the notice of
sale;
(C) The HTSUS subheading number for scrap, waste, or recycled
material, as applicable, claimed in connection with the sale of the
prototype is accurate;
(D) The date that the prototype was originally imported for
consumption, and the corresponding rate of duty in
[[Page 150]]
effect at the time for the applicable HTSUS subheading; and
(E) The value of the prototype article (if dutiable and the duty
owed is based upon value) (see paragraph (e)(2) of this section) as
claimed in the notice of sale is accurate.
(2) Relevant value for used prototype or parts sold. For purposes of
this section, with respect to any duty owed on prototypes or parts of
prototypes that are sold as scrap, or waste, or for recycling, where the
duty owed is based upon value, the relevant value is the market value of
the prototypes or parts, based upon their character and condition
following use for the purposes prescribed in HTSUS subheading
9817.85.01. The relevant value should take into consideration any
damage, degradation or deterioration to the prototypes or parts
resulting from their use as a prototype and/or otherwise resulting to
the articles from any other cause prior to their sale as scrap, waste,
or for recycling. The market value will generally be measured by the
selling price. Should a prototype or part of a prototype become a
component of another product that is sold as scrap, waste, or recycled
material, the relevant market value would be that portion of the selling
price attributable to the component (prototype or part) as provided in
this paragraph.
(f) Articles admitted under TIB--(1) Duty-free entry available.
Under the procedure presented in paragraph (f)(2) of this section, an
entry of an article made under a temporary importation bond (TIB) solely
for testing, experimental or review purposes under HTSUS subheading
9813.00.30 may be converted into a duty-free entry under HTSUS
subheading 9817.85.01, if the following conditions exist:
(i) The article meets the definition for ``prototypes'' in paragraph
(b) of this section (U.S. Note 6(a) to subchapter XVII, chapter 98,
HTSUS); and
(ii) The TIB entry for the article was in effect and had not been
closed, and the TIB period for the article had not expired, as of
November 9, 2000.
(2) Procedure for converting TIB entry to duty-free entry--(i)
Importer request. The importer must submit a written request, or an
electronic equivalent as authorized by CBP, that a TIB entry made under
HTSUS subheading 9813.00.30, which was in effect and had not been
closed, and for which the TIB period had not expired, as of November 9,
2000, be converted instead into a duty-free consumption entry under
HTSUS subheading 9817.85.01.
(ii) Action by CBP. CBP will convert the TIB entry under HTSUS
subheading 9813.00.30 to a duty-free entry under HTSUS subheading
9817.85.01, provided that the port director is satisfied that the
conditions set forth in paragraphs (f)(1)(i) and (f)(1)(ii) of this
section have been met. When the TIB entry is converted, the bond will be
cancelled and the entry closed. Once the conversion is complete, the
port director will provide a courtesy acknowledgment to this effect to
the importer in writing or electronically.
[CBP Dec. 04-36, 69 FR 63449, Nov. 2, 2004]
Sec. Sec. 10.92-10.97 [Reserved]
Fluxing Material
Sec. 10.98 Copper-bearing fluxing material.
(a) For the purpose of this section, ores usable as a flux or
sulphur reagent, mentioned in the provision for such ores in subheading
2603.00.00, Harmonized Tariff Schedule of the United States, shall
include only ores which contain by weight not over 15 percent copper.
(b) [Reserved]
(c) There shall be filed in connection with the entry of such
copper-bearing ores, either for consumption or warehouse, a declaration
of the importer that the material is to be used for fluxing purposes
only. In the case of a consumption entry, the estimated tax shall be
deposited at the time of entry. Liquidation of entries shall be
suspended pending proof of use for fluxing purposes as hereinafter
provided.
(d) Samples of the material shall be taken in accordance with the
commercial method in effect at the plant if to be used in a bonded
smelting warehouse, or in accordance with Sec. Sec. 151.52 through
151.55 of this chapter if entered for consumption, and the copper
content thereof shall be determined by the Government chemist in
accordance with the assay.
[[Page 151]]
(e) The management of the smelting or converting plant shall file
with the appropriate Customs officer at the port or ports where the
entries are to be liquidated, a statement based on its records of
operation for each quarterly period showing for each furnace or
converter the total quantity of material charged during each month or
part thereof of each quarter, the total quantity of material used for
fluxing purposes, and the quantity of imported ores used for fluxing
purposes for which free entry was claimed under the above-mentioned
provision, together with the copper content of such imported ores
computed in accordance with the Government assay. If the quantity of
ores used for fluxing purposes in any furnace or converter during any
month or part thereof of any quarter is in excess of 25 percent of the
charge of such furnace or converter, the quarterly statement shall be
accompanied by an explanation of the necessity for using such quantity
for fluxing purposes.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 73-175, 38 FR 17445,
July 2, 1973; T.D. 87-75, 52 FR 20067, May 29, 1987; T.D. 89-1, 53 FR
51251, Dec. 21, 1988]
Ethyl Alcohol
Sec. 10.99 Importation of ethyl alcohol for nonbeverage purposes.
(a) If claim is made by an importer other than the United States or
a governmental agency thereof for the classification of ethyl alcohol of
an alcoholic strength by volume of 80 percent volume or higher under
subheading 2207.10.60, Harmonized Tariff Schedules of the United States,
the importer or his agent shall file in connection with the entry a
declaration that the alcohol is to be used for nonbeverage purposes only
and whether the alcohol is to be used for fuel purposes. Customs shall
release the alcohol for transfer, under internal revenue bond, to a
distilled spirits plant upon deposit of estimated duty, if any, and
without the payment of the internal revenue tax upon receipt of a
transfer record for bulk spirits. In addition, a package gauge record
must be submitted to Customs if the alcohol is in packages, as specified
in subpart I of part 251, Bureau of Alcohol, Tobacco and Firearms (BATF)
Regulations (27 CFR part 251, subpart I). The transfer shall be
accomplished in accordance with subpart L of part 251, Bureau of
Alcohol, Tobacco and Firearms Regulations (27 CFR part 251, subpart L).
(b) An appropriate BATF permit shall be filed with Customs in
connection with the withdrawal of ethyl alcohol from Customs custody by
the United States or any governmental agency thereof for its own use for
nonbeverage purposes. Such permit shall be filed before release under
the entry without the deposit of estimated duties, if any, and internal
revenue tax, or before release in accordance with the provisions of
Sec. 141.102(d) of this chapter. (See subpart M of part 251, Bureau of
Alcohol, Tobacco and Firearms Regulations (27 CFR part 251, subpart M)).
(c) The procedures for the withdrawal free of tax on the entry of
ethyl alcohol for nonbeverage purposes from the Virgin Islands are found
in subpart O of part 250, Bureau of Alcohol, Tobacco and Firearms
Regulations (27 CFR part 250, subpart O).
[T.D. 89-65, 54 FR 28413, July 6, 1989]
United States Government Importations
Sec. 10.100 Entry, examination, and tariff status.
Except as otherwise provided for in Sec. Sec. 10.101, 10.102,
10.104, 141.83(d)(8), 141.102(d), or elsewhere in this chapter,
importations made by or for the account of any agency or office of the
United States Government are subject to the usual Customs entry and
examination requirements. In the absence of express exemptions from
duty, such as are contained in subheadings 9808.00.10, 9808.00.20,
9808.00.30, 9808.00.40, 9808.00.50, 9808.00.60, 9808.00.70, or other
subheadings in the Harmonized Tariff Schedule of the United States (19
U.S.C. 1202) providing for free entry, such importations are also
subject to duty.
[T.D. 77-23, 42 FR 2310, Jan. 11, 1977, as amended by T.D. 89-1, 53 FR
51251, Dec. 21, 1988; T.D. 97-82, 62 FR 51769, Oct. 3, 1997]
[[Page 152]]
Sec. 10.101 Immediate delivery.
(a) Shipments entitled to immediate delivery. Shipments consigned to
or for the account of any agency or office of the United States
Government, or to an officer or official of any such agency in his
official capacity, shall be regarded for purposes of these regulations
as shipments the immediate delivery of which is necessary within the
purview of section 448(b), Tariff Act of 1930, as amended (19 U.S.C.
1448(b)).
(b) Immediate delivery applications. The shipments described in the
preceding paragraph may be released upon the filing of immediate
delivery applications on Customs Form 3461 as set forth in subpart A of
part 142 of this chapter. Such applications may be limited to particular
shipments or may cover all shipments imported by the Government agency
making the application. They may be approved for specific periods of
time or for indefinite periods of time, provided in either case they are
supported by carrier's certificates and stipulations as provided for in
paragraph (c) of this section.
(c) Carrier's certificates and stipulations. Before the release of a
shipment under an immediate delivery permit, evidence of the right of
the applicant to make entry for the articles shall be furnished the port
director in accordance with the provisions of Sec. Sec. 141.11 and
141.12 of this chapter.
(d) Bond. No bond shall be required in support of an immediate
delivery application provided for in this section if a stipulation in
the form as set forth below is filed with the port director in
connection with the application:
I, --------, -------- (Title), a duly authorized representative of the__
________________________________________________________________________
(Name of United States Government department or agency) stipulate and
agree on behalf of such department or agency that all applicable
provisions of the Tariff Act of 1930, as amended, and the regulations
thereunder, and all other laws and regulations, relating to the release
and entry of merchandise will be observed and complied with in all
respects.
______________________________________________________________________
(Signature)
(e) Timely entries required. If proper entries for consumption for
importations released under these regulations are not filed within a
reasonable time, appropriate steps shall be taken to insure the prompt
filing of such entries.
[T.D. 77-23, 42 FR 2310, Jan. 11, 1977, as amended by T.D. 87-75, 52 FR
20067, May 29, 1987]
Sec. 10.102 Duty-free entries.
(a) Invoice or declaration. No invoice or other declaration of the
shipper shall be required for shipments expressly exempt from duty as
provided in subheadings 9808.00.10, 9808.00.20, 9808.00.30, 9808.00.40,
9808.00.50, 9808.00.60, 9808.00.70, or other subheadings in the
Harmonized Tariff Schedule of the United States (HTSUS) (19 U.S.C. 1202)
providing for free entry. However, the importing Government agency or
office shall present any invoice, memorandum invoice, or bill pertaining
to the merchandise in its possession or available to it, or, if no such
invoice or bill is available, a pro forma invoice prepared in accordance
with Sec. 141.85 of this chapter, setting forth adequate information for
examination and determination of the dutiable status of the merchandise.
In addition, the port director shall only admit articles free of duty
under subheadings 9808.00.30, 9808.00.40, 9808.00.50, HTSUS (19 U.S.C.
1202), upon the receipt of a certificate executed in the manner and form
described in paragraph (b) of this section.
(b) Certification. One of the following certificates executed by a
duly authorized officer or official of the appropriate Government agency
or office is required for free entry of articles under subheadings
9808.00.30, 9808.00.40, or 9808.00.50, HTSUS (19 U.S.C. 1202). The
certificates may be printed, stamped, or typewritten on the Customs
entry or withdrawal form, Customs Form 7501, or on a separate paper
attached to the entry or withdrawal form filed by the Government agency
or office, provided the certification is clearly and unmistakably
identified with the articles covered by the entry or withdrawal.
(1) Articles for military departments, subheading 9808.00.30, HTSUS.
I certify that the procurement of this material constituted an emergency
purchase of war material abroad by the Department of the (name of
military department), and it is accordingly requested that such material
be admitted free of
[[Page 153]]
duty pursuant to subheading 9808.00.30, HTSUS.
________________________________________________________________________
(Name)
________________________________________________________________________
(Title), who has been designated to execute free-entry certificates for
the above-named department.
________________________________________________________________________
(Grade or Rank) (Organization)
(2) Articles for the Defense Logistics Agency, subheading
9808.00.40, HTSUS. Pursuant to subheading 9808.00.40, HTSUS, I hereby
certify that the above-described materials are strategic and critical
materials procured under the Strategic and Critical Materials Stock
Piling Act (50 U.S.C. 98e).
________________________________________________________________________
(Name)
________________________________________________________________________
(Title), Defense Logistics Agency, who has been duly authorized to
execute the above certificate.
(3) Articles for the Department of Energy, subheading 9808.00.50,
HTSUS. I certify to the Secretary of the Treasury that the above-
described materials are source materials purchased abroad, the
admittance of which is necessary in the interest of the common defense
and security, in accordance with subheading 9808.00.50, HTSUS.
________________________________________________________________________
(Name)
________________________________________________________________________
(Title), who has been authorized to execute free-entry certificates for
the Department of Energy.
(c) Release of shipments. Shipments for which free entry has been or
will be claimed under subheading 9808.00.30, 9808.00.40, 9808.00.50,
HTSUS (19 U.S.C. 1202), shall be released after only such examination as
is necessary to identify them.
(d) Entry in Government name. All materials for which free entry is
claimed under subheading 9808.00.30, 9808.00.40, 9808.00.50, HTSUS (19
U.S.C. 1202), shall be entered, or withdrawn from warehouse, for
consumption in the name of the Government department whose
representative executes the certificate set forth in Sec. 10.102(b)
unless exemption from this requirement is specifically authorized by the
port director.
[T.D. 77-23, 42 FR 2311, Jan. 11, 1977, as amended by T.D. 85-123, 50 FR
29953, July 23, 1985; T.D. 89-1, 53 FR 51251, Dec. 21, 1988; T.D. 93-44,
58 FR 34523, June 28, 1993; T.D. 95-81, 60 FR 52295, Oct. 6, 1995]
Sec. 10.103 American goods returned.
(a) Certificate required. Articles entered, or withdrawn from
warehouse, for consumption in the name of an agency or office of the
United States Government (with the exception of military scrap belonging
to the Department of Defense) may be admitted free of duty under
subheading 9801.00.10, Harmonized Tariff Schedule of the United States
(HTSUS) (19 U.S.C. 1202), upon the filing of a certificate on the
letterhead of the agency or office in the following form in lieu of
other entry documentation:
I hereby certify:
1. That the following articles imported in the --------------------
---- (Name of Carrier) at the port of ------------------------ (Port) on
------------ (Date) consist of returned products which are the growth,
produce, or manufacture of the United States, and have been returned to
the United States without having been advanced in value or improved in
condition by any process of manufacture or other means, and that no
drawback has been or will be claimed on such articles, and that the
articles currently belonging to and are for the further use of --------
---------------- (Agency or Office)
------------------------------------------------------------------------
Bill of lading No. General description of
Number of containers \1\ articles
------------------------------------------------------------------------
------------------------------------------------------------------------
\1\ If shipment arrives in the United States on a commercial carrier.
2. That the shipment does not contain military scrap.
3. That the shipment is entitled to entry under subheading
9801.00.10, Harmonized Tariff Schedule of the United States (HTSUS) free
of duty.
4. That I am a military installation transportation officer having
knowledge of the facts involved in this certificate.
or
I am an officer or official authorized by ---------------- (Agency
or Office) (Whichever is applicable) to execute this certificate.
________________________________________________________________________
(Name)
________________________________________________________________________
[[Page 154]]
(Rank and branch of service or Agency or Office)
(b) Combined certificate when articles are intermingled. When
articles claimed to be free under subheading 9801.00.10 and other
articles claimed to be free under subheadings 9808.00.30, 9808.00.40,
9808.00.50, HTSUS (19 U.S.C. 1202), are intermingled in a single
shipment in a manner which precludes separation for the purpose of
making claims for free entry under the separate categories, all the
articles may be covered by a combined certificate which follows the
requirements of Sec. 10.102(b) and paragraph (a) of this section.
(c) Execution of certificate. The certificate required by paragraph
(a) of this section may be executed by any military installation
transportation officer having knowledge of the facts or by any other
officer or official specifically designated or authorized to execute
such certificates by the importing Government agency or office. If the
merchandise arrived on a commercial carrier, the entry shall be
supported by evidence of the right to make it.
[T.D. 77-23, 42 FR 2311, Jan. 11, 1977, as amended by T.D. 89-1, 53 FR
51251, Dec. 21, 1988]
Sec. 10.104 Temporary importation entries for United States Government
agencies.
The entry of articles brought into the United States temporarily by
an agency or office of the United States Government and claimed to be
exempt from duty under Chapter 98, Subchapter XIII, Heading 9813,
Harmonized Tariff Schedule of the United States (HTSUS), shall be made
on Customs Form 7501. No bond shall be required if the agency or office
files a stipulation in the form set forth in Sec. 141.102(d) of this
chapter. In those cases in which the provisions of Chapter 98,
Subchapter XIII, HTSUS (19 U.S.C. 1202), are not met, however, the port
director will proceed as if a bond had been filed to cover the
particular importation. Articles temporarily imported by a Government
agency or office under this section are entitled to immediate delivery
under the procedures set forth in Sec. 10.101.
[T.D. 77-23, 42 FR 2311, Jan. 11, 1977, as amended by T.D. 89-1, 53 FR
51251, Dec. 21, 1988]
Wheat
Sec. 10.106 [Reserved]
Rescue and Relief Work
Sec. 10.107 Equipment and supplies; admission.
(a) There shall be admitted without entry and without the payment of
duty or any tax imposed upon or by reason of importation of any article
described in section 322(b), Tariff Act of 1930, as amended, subject to
compliance with the following conditions:
(1) Before importation or as soon thereafter as possible, and in
every case before the expiration of 10 days after importation, a report
shall be made to the nearest Customs officer by the person in charge of
sending the article from the foreign country, or by the person for whose
account it was brought into the United States, stating the character,
quantity, destination, and use to be made of the article.
(2) If practicable, the article shall be exported under Customs
supervision. In any other case a report shall be made by the person in
charge of the exportation as soon as possible after exportation to the
Customs officer to whom the arrival was reported, stating the character,
quantity, and circumstances of the exportation.
(b) In the case of each article admitted under paragraph (a) of this
section, the port director shall satisfy himself as to whether the
article was exported within a reasonable time, or that it has been
properly expended or destroyed. If an article is so far destroyed, in
connection with a use contemplated for it by section 322 (b) that it has
only a salvage value, it shall not be required to be exported.
(c) Any article admitted under paragraph (a) of this section which
is used in the United States otherwise than for a purpose contemplated
for it by section 322(b), or which is not exported within 90 days after
its arrival in the United States, or within such longer time as may be
specially authorized by
[[Page 155]]
the port director or Headquarters, U.S. Customs Service, shall be seized
and forfeited to the United States.
[28 FR 14663, Dec. 31, 1963, as amended by T.D. 89-1, 53 FR 51252, Dec.
21, 1988]
Products Exported Under Lease and Reimported
Sec. 10.108 Entry of reimported articles exported under lease.
Free entry shall be accorded under subheading 9801.00.20, Harmonized
Tariff Schedule of the United States (HTSUS), whenever it is established
to the satisfaction of the port director that the article for which free
entry is claimed was duty paid on a previous importation or was
previously entered free of duty pursuant to the Caribbean Basin Economic
Recovery Act or Title V of the Trade Act of 1974, is being reimported
without having been advanced in value or improved in condition by any
process of manufacture or other means, was exported from the United
States under a lease or similar use agreement, and is being reimported
by or for the account of the person who imported it into, and exported
it from, the United States.
[T.D. 94-40, 59 FR 17474, Apr. 13, 1994]
Strategic Materials Obtained by Barter or Exchange
Sec. 10.110 [Reserved]
Late Filing of Free Entry and Reduced Duty Documents
Sec. 10.112 Filing free entry documents or reduced duty documents after
entry.
Whenever a free entry or a reduced duty document, form, or statement
required to be filed in connection with the entry is not filed at the
time of the entry or within the period for which a bond was filed for
its production, but failure to file it was not due to willful negligence
or fraudulent intent, such document, form, or statement may be filed at
any time prior to liquidation of the entry or, if the entry was
liquidated, before the liquidation becomes final. See Sec. 113.43(c) of
this chapter for satisfaction of the bond and cancellation of the bond
charge.
[T.D. 74-227, 39 FR 32015, Sept. 4, 1974]
Instruments and Apparatus for Educational and Scientific Institutions
Sec. 10.114 General provisions.
The consolidated regulations of the Commerce and Treasury
Departments relating to the entry of instruments and apparatus for
educational and scientific institutions are contained in 15 CFR part
301.
[T.D. 82-224, 47 FR 53727, Nov. 29, 1982]
Sec. Sec. 10.115-10.119 [Reserved]
Visual or Auditory Materials
Sec. 10.121 Visual or auditory materials of an educational, scientific,
or cultural character.
(a) Where photographic film and other articles described in
subheading 9817.00.40, Harmonized Tariff Schedule of the United States
(HTSUS), are claimed to be free of duty under subheading 9817.00.40,
HTSUS, there must be filed, in connection with the entry covering such
articles, a document issued by the U.S. Department of State certifying
that it has determined that the articles are visual or auditory
materials of an educational, scientific, or cultural character within
the meaning of the Agreement for Facilitating the International
Circulation of Visual and Auditory Materials of an Educational,
Scientific, and Cultural Character as required by U.S. note 1(a)(i),
Subchapter XVII, chapter 98, HTSUS.
(b) Articles entered under subheading 9817.00.40, HTSUS, will be
released from CBP custody prior to submission of the document required
in paragraph (a) of this section only upon the deposit of estimated
duties with the port director. Liquidation of an entry which has been
released under this procedure will be suspended for a period of 314 days
from the date of entry or until the required document is submitted,
whichever comes first. In the event that documentation is not submitted
before liquidation, the merchandise will be classified and liquidated in
the ordinary
[[Page 156]]
course, without regard to subheading 9817.00.40, HTSUS.
[CBP Dec. 10-33, 75 FR 69585, Nov. 15, 2010; CBP Dec. 12-02, 77 FR
10369, Feb. 22, 2012]
Rate of Duty Dependent Upon Actual Use
Sec. 10.131 Circumstances in which applicable.
The provisions of Sec. Sec. 10.131 through 10.139 are applicable in
those circumstances in which the rate of duty applicable to merchandise
is dependent upon actual use, unless there is a specific provision in
this part which governs the treatment of the merchandise. However,
specific marking or certification requirements, such as those for
bolting cloths in section 10.58, may be applicable to merchandise
subject to the provisions of sections 10.131-10.139.
[T.D. 71-139, 36 FR 10726, June 2, 1971, as amended by T.D. 86-118, 51
FR 22515, June 20, 1986]
Sec. 10.132 [Reserved]
Sec. 10.133 Conditions required to be met.
When the tariff classification of any article is controlled by its
actual use in the United States, three conditions must be met in order
to qualify for free entry or a lower rate of duty unless the language of
the particular subheading of the Harmonized Tariff Schedule of the
United States applicable to the merchandise specifies other conditions.
The conditions are that:
(a) Such use is intended at the time of importation.
(b) The article is so used.
(c) Proof of use is furnished within 3 years after the date the
article is entered or withdrawn from warehouse for consumption.
[T.D. 71-139, 36 FR 10726, June 2, 1971, as amended by T.D. 89-1, 53 FR
51252, Dec. 21, 1988]
Sec. 10.134 Declaration of intent.
A showing of intent by the importer as to the actual use of imported
merchandise shall be made by filing with the entry for consumption or
for warehouse a declaration as to the intended use of the merchandise,
or by entering the proper subheading of an actual use provision of the
Harmonized Tariff Schedule of the United States (HTSUS) and the reduced
or free rate of duty on the entry form. Entry made under an actual use
provision of the HTSUS may be construed as a declaration that the
merchandise is entered to be used for the purpose stated in the HTSUS,
provided the port director is satisfied the merchandise will be so used.
However, the port director shall require a written declaration to be
filed if he is not satisfied that merchandise entered under an actual
use provision will be used for the purposes stated in the HTSUS.
[T.D. 71-139, 36 FR 10726, June 2, 1971, as amended by T.D. 89-1, 53 FR
51252, Dec. 21, 1988]
Sec. 10.135 Deposit of duties.
When the requirement of Sec. 10.134 has been met the merchandise may
be entered or withdrawn from warehouse for consumption without deposit
of duty when proof of use will result in free entry, or with deposit of
duty at the lower rate when proof of use will result in a lower rate of
duty.
[T.D. 71-139, 36 FR 10726, June 2, 1971, as amended by T.D. 84-213, 49
FR 41166, Oct. 19, 1984]
Sec. 10.136 Suspension of liquidation.
Liquidation of an entry covering merchandise for which a declaration
of intent has been made pursuant to Sec. 10.134 and any required deposit
of duties made, shall be suspended until proof of use is furnished or
the 3-year period allowed for production thereof has expired.
[T.D. 71-139, 36 FR 10726, June 2, 1971]
Sec. 10.137 Records of use.
(a) Maintenance by importer. The importer shall maintain accurate
and detailed records showing the use or other disposition of the
imported merchandise. The burden shall be on the importer to keep
records so that the claim of actual use can be readily established.
(b) Retention of records. The importer shall retain records of use
or disposition for a period of 3 years from the date of liquidation of
the entry.
(c) Examination of records. The rec- ords required to be kept by
paragraph
[[Page 157]]
(a) of this section shall be available at all times for examination and
inspection by an authorized Customs officer.
[T.D. 71-139, 36 FR 10726, June 2, 1971]
Sec. 10.138 Proof of use.
Within 3 years from the date of entry or withdrawal from warehouse
for consumption, the importer shall submit in duplicate in support of
his claim for free entry or for a reduced rate of duty a certificate
executed by (1) the superintendent or manager of the manufacturing
plant, or (2) the individual end-user or other person having knowledge
of the actual use of the imported article. The certificate shall include
a description of the processing in sufficient detail to show that the
use contemplated by the law has actually taken place. A blanket
certificate covering all purchases of a given type of merchandise from a
particular importer during a given period, or all such purchases with
specified exceptions, may be accepted for this purpose, provided the
importer shall furnish a statement showing in detail, in such manner as
to be readily identified with each entry, the merchandise which he sold
to such manufacturer or end-user during such period.
[T.D. 71-139, 36 FR 10727, June 2, 1971]
Sec. 10.139 Liquidation.
(a) In general. Upon satisfactory proof of timely use of the
merchandise for the purpose specified by law, the entry shall be
liquidated free of duty or at the lower rate of duty specified by law.
When such proof is not filed within 3 years from the date of entry or
withdrawal from warehouse for consumption, the entry shall be liquidated
dutiable under the appropriate subheading of the Harmonized Tariff
Schedule of the United States.
(b) Exception for blackstrap molasses. An entry covering blackstrap
molasses, as hereinafter defined, may be accepted and liquidated with
duty at the lower rate after the filing of the declaration of intent
required by Sec. 10.134 and the deposit of estimated duties required by
Sec. 10.135 without compliance with Sec. Sec. 10.136, 10.137, and
10.138. Blackstrap molasses is ``final'' molasses practically free from
sugar crystals, containing not over 58 percent total sugars and having a
ratio of
total sugars x 100/Brix
not in excess of 71. In the event of doubt, an ash determination may be
made. An ash content of not less than 7 percent indicates a blackstrap
molasses within the meaning of this paragraph.
[T.D. 71-139, 36 FR 10727, June 2, 1971, as amended by T.D. 89-1, 53 FR
51252, Dec. 21, 1988]
Importations Not Over $200 and Bona Fide Gifts
Sec. 10.151 Importations not over $200.
Subject to the conditions in Sec. 10.153 of this part, the port
director shall pass free of duty and tax any shipment of merchandise, as
defined in Sec. 101.1 of this chapter, imported by one person on one day
having a fair retail value, as evidenced by an oral declaration or the
bill of lading (or other document filed as the entry) or manifest
listing each bill of lading, in the country of shipment not exceeding
$200, unless he has reason to believe that the shipment is one of
several lots covered by a single order or contract and that it was sent
separately for the express purpose of securing free entry therefor or of
avoiding compliance with any pertinent law or regulation. Merchandise
subject to this exemption shall be entered under the informal entry
procedures (see subpart C, part 143, and Sec. Sec. 128.24, 145.31,
148.12, and 148.62, of this chapter).
[T.D. 94-51, 59 FR 30293, June 13, 1994, as amended by T.D. 95-31, 60 FR
18990, Apr. 14, 1995; T.D. 95-31, 60 FR 37875, July 24, 1995; T.D. 97-
82, 62 FR 51769, Oct. 3, 1997]
Sec. 10.152 Bona-fide gifts.
Subject to the conditions in Sec. 10.153 of this part, the port
director shall pass free of duty and tax any article sent as a bona-fide
gift from a person in a foreign country to a person in the United
States, provided that the aggregate fair retail value in the country of
shipment of such articles received by one person on one day does not
exceed $100 or, in the case of articles sent from a person in the Virgin
Islands, Guam, and American Samoa, $200. Articles
[[Page 158]]
subject to this exemption shall be entered under the informal entry
procedures (see subpart C, part 143, and Sec. Sec. 145.32, 148.12,
148.51, and 148.64, of this chapter). An article is ``sent'' for
purposes of this section if it is conveyed in any manner other than on
the person or in the accompanied or unaccompanied baggage of the donor
or donee.
[T.D. 94-51, 59 FR 30293, June 13, 1994]
Sec. 10.153 Conditions for exemption.
Customs officers shall be further guided as follows in determining
whether an article or parcel shall be exempted from duty and tax under
Sec. 10.151 or Sec. 10.152:
(a) A ``bona fide gift'' for purposes of Sec. 10.152 is an article
formerly owned by a donor (may be a commercial firm) who gave it
outright in its entirety to a donee without compensation or promise of
compensation. It does not include articles acquired by purchase, barter,
promissory exchange, or similar transaction, nor does it include
articles said to be ``given'' in conjunction with a purchase, barter,
promissory exchange, or similar transaction, such as a so-called bonus
article.
(b) A parcel addressed to a person in the United States from an
individual in a foreign country which contains a gift should be clearly
marked on the outside to indicate that it contains a gift. Such marking
is not conclusive evidence of a gift nor is the absence of such marking
conclusive evidence that an article is not a gift. Ordinarily an article
not exceeding $100 in fair retail value in the country of shipment sent
from a person in a foreign country to a person in the United States
($200, in the case of an article sent from a person in the Virgin
Islands, Guam, and American Samoa) will be recognizable as a gift from
the nature of the article and obvious facts surrounding the shipment.
(c) A parcel addressed to a person in the United States from a
business firm in a foreign country would ordinarily not contain a gift
from a donor in the foreign country. When such a parcel in fact contains
an article entitled to free entry under Sec. 10.152, the parcel should
be clearly marked to indicate that it contains such a gift and a
statement to this effect should be enclosed in the parcel.
(d) Consolidated shipments addressed to one consignee shall be
treated for purposes of Sec. Sec. 10.151 and 10.152 as one importation.
The foregoing shall not apply to shipments of bona fide gifts
consolidated abroad for shipment to the United States when:
(1) The consolidation for shipment to the United States is in a
cargo van or similar containerization which is consigned to a common
carrier, freight forwarder, freight handler, or other public service
agency for distribution of the gift packages;
(2) The separate gifts not exceeding $100 in fair retail value in
the country of shipment ($200, in the case of articles sent from persons
in the Virgin Islands, Guam, and American Samoa) included in the
consolidated shipment are before shipment individually wrapped and
addressed to the donee in the United States;
(3) Each gift package is marked on the outside to indicate that it
contains a gift not exceeding $100 in fair retail value in the country
of shipment ($200, in the case of packages sent from persons in the
Virgin Islands, Guam, and American Samoa); and
(4) Each gift package is separately listed in the name of the
addressee-donee on a packing list, manifest, bill of lading, or other
shipping document.
(e) No alcoholic beverage, perfume containing alcohol (except where
the aggregate fair retail value in the country of shipment of all
merchandise contained in the shipment does not exceed $5), cigars, or
cigarettes shall be exempted from the payment of duty and tax under
Sec. 10.151 or Sec. 10.152.
(f) The exemptions provided for in Sec. 10.151 or Sec. 10.152 are
not to be allowed in respect of any shipment containing one or more
gifts having an aggregate fair retail value in the country of shipment
in excess of $100 ($200, in the case of articles sent from persons in
the Virgin Islands, Guam, and American Samoa), except as indicated in
paragraph (d) of this section. For example, an article ordinarily
subject to an ad valorem rate of duty but sent as a gift, if the fair
retail value exceeds the $100 (or $200) exemption, would be subject to a
duty based upon its value under the
[[Page 159]]
provisions of section 402 or 402(a), Tariff Act of 1930, as amended (19
U.S.C. 1401a or 1402), even though the dutiable value is less than the
$100 (or $200) exemption.
(g) The exemption referred to in Sec. 10.151 is not to be allowed in
the case of any merchandise of a class or kind provided for in any
absolute or tariff-rate quota, whether the quota is open or closed. In
the case of merchandise of a class or kind provided for in a tariff-rate
quota, the merchandise is subject to the rate of duty in effect on the
date of entry.
[T.D. 73-175, 38 FR 17445, July 2, 1973, as amended by T.D. 75-185, 40
FR 31753, July 29, 1975; T.D. 78-394, 43 FR 49787, Oct. 25, 1978; T.D.
85-123, 50 FR 29953, July 23, 1985; T.D. 94-51, 59 FR 30293, June 13,
1994]
Generalized System of Preferences
Sec. 10.171 General.
(a) Statutory authority. Title V of the Trade Act of 1974 as amended
(19 U.S.C. 2461-2467) authorizes the President to establish a
Generalized System of Preferences (GSP) to provide duty-free treatment
for eligible articles imported directly from designated beneficiary
developing countries. Beneficiary developing countries and articles
eligible for duty-free treatment are designated by the President by
Executive order in accordance with sections 502(a)(1) and 503(a) of the
Trade Act of 1974 as amended (19 U.S.C. 2462(a)(1), 2463(a)).
(b) Country defined. For purposes of Sec. Sec. 10.171 through
10.178, except as otherwise provided in Sec. 10.176(a), the term
``country'' means any foreign country, any overseas dependent territory
or possession of a foreign country, or the Trust Territory of the
Pacific Islands. In the case of an association of countries which is a
free trade area or customs union or which is contributing to
comprehensive regional economic integration among its members through
appropriate means, including but not limited to, the reduction of
duties, the President may by Executive order provide that all members of
such association other than members which are barred from designation
under section 502(b) of the Trade Act of 1974 (19 U.S.C. 2462(b)) shall
be treated as one country for purposes of Sec. Sec. 10.171 through
10.178.
[T.D. 76-2, 40 FR 60047, Dec. 31, 1975, as amended by T.D. 80-271, 45 FR
75641, Nov. 17, 1980; T.D. 00-67, 65 FR 59675, Oct. 5, 2000]
Sec. 10.172 Claim for exemption from duty under the Generalized System
of Preferences.
A claim for an exemption from duty on the ground that the
Generalized System of Preferences applies shall be allowed by the port
director only if he is satisfied that the requirements set forth in this
section and Sec. Sec. 10.173 through 10.178 have been met. If duty-free
treatment is claimed at the time of entry, a written claim shall be
filed on the entry document by placing the symbol ``A'' as a prefix to
the subheading of the Harmonized Tariff Schedule of the United States
for each article for which such treatment is claimed.
[T.D. 76-2, 40 FR 60048, Dec. 31, 1975, as amended by T.D. 77-36, 42 FR
5041, Jan. 27, 1977; T.D. 89-1, 53 FR 51252, Dec. 21, 1988; T.D. 94-47,
59 FR 25569, May 17, 1994; T.D. 99-27, 64 FR 13675, Mar. 22, 1999]
Sec. 10.173 Evidence of country of origin.
(a) Shipments covered by a formal entry--(1) Merchandise not wholly
the growth, product, or manufacture of a beneficiary developing country.
(i) Declaration. In a case involving merchandise covered by a formal
entry which is not wholly the growth, product, or manufacture of a
single beneficiary developing country, the exporter of the merchandise
or other appropriate party having knowledge of the relevant facts shall
be prepared to submit directly to the port director, upon request, a
declaration setting forth all pertinent detailed information concerning
the production or manufacture of the merchandise. When requested by the
port director, the declaration shall be prepared in substantially the
following form:
GSP DECLARATION
I,____________________________________________________________________
(name), hereby declare that the articles described below were produced
or manufactured in ---------------- (country) by means of processing
operations performed in that country as set forth below and were also
subjected to processing operations in the other
[[Page 160]]
country or countries which are members of the same association of
countries as set forth below and incorporate materials produced in the
country named above or in any other country or countries which are
members of the same association of countries as set forth below:
----------------------------------------------------------------------------------------------------------------
Processing operations performed Materials produced in a
on articles beneficiary developing country
--------------------------------- or members of the same
association
Description of -------------------------------
Number and date of invoices articles and Description of Description of
quantity processing Direct costs material,
operations and of processing production Cost or value
country of operations process, and of material
processing country of
production
----------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------
Date____________________________________________________________________
Address_________________________________________________________________
Signature_______________________________________________________________
Title___________________________________________________________________
(ii) Retention of records and submission of declaration. The
information necessary for preparation of the declaration shall be
retained in the files of the party responsible for its preparation and
submission for a period of 5 years. In the event that the port director
requests submission of the declaration during the 5-year period, it
shall be submitted by the appropriate party directly to the port
director within 60 days of the date of the request or such additional
period as the port director may allow for good cause shown. Failure to
submit the declaration in a timely fashion will result in a denial of
duty-free treatment.
(2) Merchandise wholly the growth, product, or manufacture of a
beneficiary developing country. In a case involving merchandise covered
by a formal entry which is wholly the growth, product, or manufacture of
a single beneficiary developing country, a statement to that effect
shall be included on the commercial invoice provided to Customs.
(b) Shipments covered by an informal entry. Although the filing of
the declaration provided for in paragraph (a)(1)(i) of this section will
not be required for a shipment covered by an informal entry, the port
director may require such other evidence of country of origin as deemed
necessary.
(c) Verification of documentation. Any evidence of country of origin
submitted under this section shall be subject to such verification as
the port director deems necessary. In the event that the port director
is prevented from obtaining the necessary verification, the port
director may treat the entry as dutiable.
[T.D. 94-47, 59 FR 25569, May 17, 1994]
Sec. 10.174 Evidence of direct shipment.
(a) Documents constituting evidence of direct shipment. The port
director may require that appropriate shipping papers, invoices, or
other documents be submitted within 60 days of the date of entry as
evidence that the articles were ``imported directly'', as that term is
defined in Sec. 10.175. Any evidence of direct shipment required by the
port director shall be subject to such verification as he deems
necessary.
(b) Waiver of evidence of direct shipment. The port director may
waive the submission of evidence of direct shipment when he is otherwise
satisfied, taking into consideration the kind and value of the
merchandise, that the merchandise clearly qualifies for treatment under
the Generalized System of Preferences.
[T.D. 76-2, 40 FR 60048, Dec. 31, 1975, as amended by T.D. 77-27, 42 FR
3162, Jan. 17, 1977]
Sec. 10.175 Imported directly defined.
Eligible articles shall be imported directly from a beneficiary
developing country to qualify for treatment under the Generalized System
of Preferences. For purposes of Sec. Sec. 10.171 through 10.178 the
words ``imported directly'' mean:
[[Page 161]]
(a) Direct shipment from the beneficiary country to the United
States without passing through the territory of any other country; or
(b) If the shipment is from a beneficiary developing country to the
U.S. through the territory of any other country, the merchandise in the
shipment does not enter into the commerce of any other country while en
route to the U.S., and the invoice, bills of lading, and other shipping
documents show the U.S. as the final destination; or
(c) If shipped from the beneficiary developing country to the United
States through a free trade zone in a beneficiary developing country,
the merchandise shall not enter into the commerce of the country
maintaining the free trade zone, and
(1) The eligible articles must not undergo any operation other than:
(i) Sorting, grading, or testing,
(ii) Packing, unpacking, changes of packing, decanting or repacking
into other containers,
(iii) Affixing marks, labels, or other like distinguishing signs on
articles or their packing, if incidental to operations allowed under
this section, or
(iv) Operations necessary to ensure the preservation of merchandise
in its condition as introduced into the free trade zone.
(2) Merchandise may be purchased and resold, other than at retail,
for export within the free trade zone.
(3) For the purposes of this section, a free trade zone is a
predetermined area or region declared and secured by or under
governmental authority, where certain operations may be performed with
respect to articles, without such articles having entered into the
commerce of the country maintaining the free trade zone; or
(d) If the shipment is from any beneficiary developing country to
the U.S through the territory of any other country and the invoices and
other documents do not show the U.S as the final destination, the
articles in the shipment upon arrival in the U.S. are imported directly
only if they:
(1) Remained under the control of the customs authority of the
intermediate country;
(2) Did not enter into the commerce of the intermediate country
except for the purpose of sale other than at retail, and the port
director is satisfied that the importation results from the original
commercial transaction between the importer and the producer or the
latter's sales agent; and
(3) Were not subjected to operations other than loading and
unloading, and other activities necessary to preserve the articles in
good condition; or
(e)(1) Shipment to the U.S. from a beneficiary developing country
which is a member of an association of countries treated as one country
under section 507(2), Trade Act of 1974, as amended (19 U.S.C. 2467(2)),
through the territory of a former beneficiary developing country whose
designation as a member of the same association for GSP purposes was
terminated by the President pursuant to section 502(d), Trade Act of
1974, as amended (19 U.S.C. 2462(d)), provided the articles in the
shipment did not enter into the commerce of the former beneficiary
developing country except for purposes of performing one or more of the
operations specified in paragraph (c)(1) of this section and except for
purposes of purchase or resale, other than at retail, for export.
(2) The designation of the following countries as members of an
association of countries for GSP purposes has been terminated by the
President pursuant to section 502(d) of the Trade Act of 1974 (19 U.S.C.
2462(d)):
The Bahamas
Brunei Darussalam
Malaysia
Singapore
[T.D. 76-2, 40 FR 60048, Dec. 31, 1975, as amended by T.D. 83-144, 48 FR
29684, June 28, 1983; T.D. 84-237, 49 FR 47992, Dec. 7, 1984; T.D. 86-
107, 51 FR 20816, June 9, 1986; T.D. 92-6, 57 FR 2018, Jan. 17, 1992;
T.D. 94-47, 59 FR 25569, May 17, 1994; T.D. 95-30, 60 FR 18543, Apr. 12,
1995; T.D. 00-67, 65 FR 59675, Oct. 5, 2000]
Sec. 10.176 Country of origin criteria.
(a) Merchandise produced in a beneficiary developing country or any
two or more countries which are members of the same association of
countries--(1) General. Except as otherwise provided in this section,
any article which either is
[[Page 162]]
wholly the growth, product, or manufacture of, or is a new or different
article of commerce that has been grown, produced, or manufactured in, a
beneficiary developing country may qualify for duty-free entry under the
Generalized System of Preferences (GSP). No article will be considered
to have been grown, produced, or manufactured in a beneficiary
developing country by virtue of having merely undergone simple (as
opposed to complex or meaningful) combining or packaging operations or
mere dilution with water or mere dilution with another substance that
does not materially alter the characteristics of the article. Duty-free
entry under the GSP may be accorded to an article only if the sum of the
cost or value of the materials produced in the beneficiary developing
country or any two or more countries that are members of the same
association of countries and are treated as one country under section
507(2) of the Trade Act of 1974, as amended (19 U.S.C. 2467(2)), plus
the direct costs of processing operations performed in the beneficiary
developing country or member countries, is not less than 35 percent of
the appraised value of the article at the time it is entered.
(2) Combining, packaging, and diluting operations. No article which
has undergone only a simple combining or packaging operation or a mere
dilution in a beneficiary developing country within the meaning of
paragraph (a)(1) of this section will be entitled to duty-free treatment
even though the processing operation causes the article to meet the
value requirement set forth in that paragraph. For purposes of this
section:
(i) Simple combining or packaging operations and mere dilution
include, but are not limited to, the following:
(A) The addition of batteries to devices;
(B) Fitting together a small number of components by bolting,
glueing, soldering, etc.;
(C) Blending foreign and beneficiary developing country tobacco;
(D) The addition of substances such as anticaking agents,
preservatives, wetting agents, etc.;
(E) Repacking or packaging components together;
(F) Reconstituting orange juice by adding water to orange juice
concentrate; and
(G) Diluting chemicals with inert ingredients to bring them to
standard degrees of strength;
(ii) Simple combining or packaging operations and mere dilution will
not be taken to include processes such as the following:
(A) The assembly of a large number of discrete components onto a
printed circuit board;
(B) The mixing together of two bulk medicinal substances followed by
the packaging of the mixed product into individual doses for retail
sale;
(C) The addition of water or another substance to a chemical
compound under pressure which results in a reaction creating a new
chemical compound; and
(D) A simple combining or packaging operation or mere dilution
coupled with any other type of processing such as testing or fabrication
(for example, a simple assembly of a small number of components, one of
which was fabricated in the beneficiary developing country where the
assembly took place); and
(iii) The fact that an article has undergone more than a simple
combining or packaging operation or mere dilution is not necessarily
dispositive of the question of whether that processing constitutes a
substantial transformation for purposes of determining the country of
origin of the article.
(b) [Reserved]
(c) Merchandise grown, produced, or manufactured in a beneficiary
developing country. Merchandise which is wholly the growth, product, or
manufacture of a beneficiary developing country, or an association of
countries treated as one country under section 507(2) of the Trade Act
of 1974 (19 U.S.C. 2467(2)) and Sec. 10.171(b), and manufactured
products consisting of materials produced only in such country or
countries, shall normally be presumed to meet the requirements set forth
in this section.
[T.D. 76-2, 40 FR 60048, Dec. 31, 1975, as amended by T.D. 80-271, 45 FR
75641, Nov. 17, 1980; T.D. 00-67, 65 FR 59675, Oct. 5, 2000]
[[Page 163]]
Sec. 10.177 Cost or value of materials produced in the beneficiary
developing country.
(a) ``Produced in the beneficiary developing country'' defined. For
purposes of Sec. Sec. 10.171 through 10.178, the words ``produced in the
beneficiary developing country'' refer to the constituent materials of
which the eligible article is composed which are either:
(1) Wholly the growth, product, or manufacture of the beneficiary
developing country; or
(2) Substantially transformed in the beneficiary developing country
into a new and different article of commerce.
(b) Questionable origin. When the origin of an article either is not
ascertainable or not satisfactorily demonstrated to the port director,
the article shall not be considered to have been produced in the
beneficiary developing country.
(c) Determination of cost or value of materials produced in the
beneficiary developing country. (1) The cost or value of materials
produced in the beneficiary developing country includes:
(i) The manufacturer's actual cost for the materials;
(ii) When not included in the manufacturer's actual cost for the
materials, the freight, insurance, packing, and all other costs incurred
in transporting the materials to the manufacturer's plant;
(iii) The actual cost of waste or spoilage (material list), less the
value of recoverable scrap; and
(iv) Taxes and/or duties imposed on the materials by the beneficiary
developing country, or an association of countries treated as one
country, provided they are not remitted upon exportation.
(2) Where the material is provided to the manufacturer without
charge, or at less than fair market value, its cost or value shall be
determined by computing the sum of:
(i) All expenses incurred in the growth, production, manufacture or
assembly of the material, including general expenses;
(ii) An amount for profit; and
(iii) Freight, insurance, packing, and all other costs incurred in
transporting the materials to the manufacturer's plant.
If the pertinent information needed to compute the cost or value of the
materials is not available, the appraising officer may ascertain or
estimate the value thereof using all reasonable ways and means at his
disposal.
[T.D. 76-2, 40 FR 60049, Dec. 31, 1975, as amended by T.D. 86-118, 51 FR
22515, June 20, 1986]
Sec. 10.178 Direct costs of processing operations performed in the
beneficiary developing country.
(a) Items included in the direct costs of processing operations. As
used in Sec. 10.176, the words ``direct costs of processing operations''
means those costs either directly incurred in, or which can be
reasonably allocated to, the growth, production, manufacture, or
assembly of the specific merchandise under consideration. Such costs
include, but are not limited to:
(1) All actual labor costs involved in the growth, production,
manufacture, or assembly of the specific merchandise, including fringe
benefits, on-the-job training, and the cost of engineering, supervisory,
quality control, and similar personnel;
(2) Dies, molds, tooling, and depreciation on machinery and
equipment which are allocable to the specific merchandise;
(3) Research, development, design, engineering, and blueprint costs
insofar as they are allocable to the specific merchandise; and
(4) Costs of inspecting and testing the specific merchandise.
(b) Items not included in the direct costs of processing operations.
Those items which are not included within the meaning of the words
``direct costs of processing operations'' are those which are not
directly attributable to the merchandise under consideration or are not
``costs'' of manufacturing the product. These include, but are not
limited to:
(1) Profit; and
(2) General expenses of doing business which are either not
allocable to the specific merchandise or are not related to the growth,
production, manufacture, or assembly of the merchandise,
[[Page 164]]
such as administrative salaries, casualty and liability insurance,
advertising, and salesmen's salaries, commissions, or expenses.
[T.D. 76-2, 40 FR 60049, Dec. 31, 1975]
Sec. 10.178a Special duty-free treatment for sub-Saharan African
countries.
(a) General. Section 506A of the Trade Act of 1974 (19 U.S.C. 2466a)
authorizes the President to provide duty-free treatment for certain
articles otherwise excluded from duty-free treatment under the
Generalized System of Preferences (GSP) pursuant to section 503(b)(1)(B)
through (G) of the Trade Act of 1974 (19 U.S.C. 2463(b)(1)(B) through
(G)) and authorizes the President to designate a country listed in
section 107 of the African Growth and Opportunity Act (19 U.S.C. 3706)
as an eligible beneficiary sub-Saharan African country for purposes of
that duty-free treatment.
(b) Eligible articles. The duty-free treatment referred to in
paragraph (a) of this section will apply to any article within any of
the following classes of articles, provided that the article in question
has been designated by the President for that purpose and is the growth,
product, or manufacture of an eligible beneficiary sub-Saharan African
country and meets the requirements specified or referred to in paragraph
(d) of this section:
(1) Watches, except those watches entered after June 30, 1989, that
the President specifically determines, after public notice and comment,
will not cause material injury to watch or watch band, strap, or
bracelet manufacturing and assembly operations in the United States or
the United States insular possessions;
(2) Certain electronic articles;
(3) Certain steel articles;
(4) Footwear, handbags, luggage, flat goods, work gloves, and
leather wearing apparel which were not eligible articles for purposes of
the GSP on January 1, 1995, as the GSP was in effect on that date;
(5) Certain semimanufactured and manufactured glass products; and
(6) Any other articles which the President determines to be import-
sensitive in the context of the GSP.
(c) Claim for duty-free treatment. A claim for the duty-free
treatment referred to in paragraph (a) of this section must be made by
placing on the entry document the symbol ``D'' as a prefix to the
subheading of the Harmonized Tariff Schedule of the United States for
each article for which duty-free treatment is claimed;
(d) Origin and related rules. The provisions of Sec. Sec. 10.171,
10.173, and 10.175 through 10.178 will apply for purposes of duty-free
treatment under this section. However, application of those provisions
in the context of this section will be subject to the following rules:
(1) The term ``beneficiary developing country,'' wherever it
appears, means ``beneficiary sub-Saharan African country;'
(2) In the GSP declaration set forth in Sec. 10.173(a)(1)(i), the
column heading ``Materials produced in a beneficiary developing country
or members of the same association'' should read ``Material produced in
a beneficiary sub-Saharan African country or in the U.S.;''
(3) The provisions of Sec. 10.175(c) will not apply; and
(4) For purposes of determining compliance with the 35 percent value
content requirement set forth in Sec. 10.176(a):
(i) An amount not to exceed 15 percent of the appraised value of the
article at the time it is entered may be attributed to the cost or value
of materials produced in the customs territory of the United States, and
the provisions of Sec. 10.177 will apply for purposes of identifying
materials produced in the customs territory of the United States and the
cost or value of those materials; and
(ii) The cost or value of materials included in the article that are
produced in more than one beneficiary sub-Saharan African country may be
applied without regard to whether those countries are members of the
same association of countries.
(e) Importer requirements. In order to make a claim for duty-free
treatment under this section, the importer:
(1) Must have records that explain how the importer came to the
conclusion that the article qualifies for duty-free treatment;
(2) Must have records that demonstrate that the importer is claiming
[[Page 165]]
that the article qualifies for duty-free treatment because it is the
growth of a beneficiary sub-Saharan African country or because it is the
product of a beneficiary sub-Saharan African country or because it is
the manufacture of a beneficiary sub-Saharan African country. If the
importer is claiming that the article is the growth of a beneficiary
sub-Saharan African country, the importer must have records that
indicate that the product was grown in that country, such as a record of
receipt from a farmer whose crops are grown in that country. If the
importer is claiming that the article is the product of, or the
manufacture of, a beneficiary sub-Saharan African country, the importer
must have records that indicate that the manufacturing or processing
operations reflected in or applied to the article meet the country of
origin rules set forth in Sec. 10.176(a) and paragraph (d) of this
section. A properly completed GSP declaration in the form set forth in
Sec. 10.173(a)(1) is one example of a record that would serve this
purpose;
(3) Must establish and implement internal controls which provide for
the periodic review of the accuracy of the declarations or other records
referred to in paragraph (e)(2) of this section;
(4) Must have shipping papers that show how the article moved from
the beneficiary sub-Saharan African country to the United States. If the
imported article was shipped through a country other than a beneficiary
sub-Saharan African country and the invoices and other documents from
the beneficiary sub-Saharan African country do not show the United
States as the final destination, the importer also must have
documentation that demonstrates that the conditions set forth in
Sec. 10.175(d)(1) through (3) were met;
(5) Must have records that demonstrate the cost or value of the
materials produced in the United States and the cost or value of the
materials produced in a beneficiary sub-Saharan African country or
countries and the direct costs of processing operations incurred in the
beneficiary sub-Saharan African country that were relied upon by the
importer to determine that the article met the 35 percent value content
requirement set forth in Sec. 10.176(a) and paragraph (c) of this
section. A properly completed GSP declaration in the form set forth in
Sec. 10.173(a)(1) is one example of a record that would serve this
purpose; and
(6) Must be prepared to produce the records referred to in
paragraphs (e)(1), (e)(2), (e)(4), and (e)(5) of this section within 30
days of a request from Customs and must be prepared to explain how those
records and the internal controls referred to in paragraph (e)(3) of
this section justify the importer's claim for duty-free treatment.
[T.D. 00-67, 65 FR 59675, Oct. 5, 2000]
Canadian Crude Petroleum
Sec. 10.179 Canadian crude petroleum subject to a commercial exchange
agreement between United States and Canadian refiners.
(a) Crude petroleum (as defined in Chapter 27, Additional U.S. Note
1, Harmonized Tariff Schedule of the United States (19 U.S.C. 1202))
produced in Canada may be admitted free of duty if the entry is
accompanied by a certificate from the importer establishing that:
(1) The petroleum is imported pursuant to a commercial exchange
agreement between United States and Canadian refiners which has been
approved by the Secretary of Energy;
(2) An equivalent amount of domestic or duty-paid foreign crude
petroleum on which the importer has executed a written waiver of
drawback, has been exported to Canada pursuant to the export license and
previously has not been used to effect the duty-free entry of like
Canadian products; and,
(3) An export license has been issued by the Secretary of Commerce
for the petroleum which has been exported to Canada.
(b) The provisions of this section may be applied to:
(1) Liquidated or reliquidated entries if the required certification
is filed with the director of the port where the original entry was made
on or before the 180th day after the date of entry; and
(2) Articles entered, or withdrawn from warehouse, for consumption,
pursuant to a commercial exchange agreement.
[[Page 166]]
(c) Verification of the quantities of crude petroleum exported to or
imported from Canada under such a commercial exchange agreement shall be
made in accordance with import verification provided in Part 151,
Subpart C, Customs Regulations (19 CFR part 151, subpart C).
[T.D. 81-292, 46 FR 58069, Nov. 30, 1981, as amended by T.D. 89-1, 53 FR
51252, Dec. 21, 1988; T.D. 91-82, 56 FR 49845, Oct. 2, 1991]
Certain Fresh, Chilled, or Frozen Beef
Sec. 10.180 Certification.
(a) The foreign official's meat-inspection certificate required by
U.S. Department of Agriculture regulations (9 CFR 327.4) shall be
modified to include the certification below when fresh, chilled, or
frozen beef is to be entered under the provisions of subheadings
0201.20.10, 0201.30.02, 0202.20.02, 0202.20.10, Harmonized Tariff
Schedule of the United States (HTSUS). The certification shall be made,
prior to exportation of the beef, by an official of the government of
the exporting country and filed with Customs with the entry summary or
with the entry when the entry summary is filed at the time of entry. The
requirements of this section shall be in addition to those requirements
contained in 9 CFR 327.4. Appropriate officials of the exporting country
should consult with the U.S. Department of Agriculture as to the beef
grades or standards within their country that satisfy the certification
requirement. Exporters or importers of beef to be entered under the
provisions of subheadings 0201.20.10, 0201.30.02, 0202.20.02,
0202.20.10, HTSUS, should consult with the U.S. Department of
Agriculture prior to exportation in order to insure that the beef will
satisfy the certification requirements. This certification is relevant
only to U.S. Customs tariff classification and is not applicable to
marketing of beef under U.S. Department of Agriculture grading
standards, a matter within U.S. Department of Agriculture's
jurisdiction.
Certification
I hereby certify to the best of my knowledge and belief that the
herein described fresh, chilled, or frozen beef, meets the
specifications prescribed in regulations issued by the U.S. Department
of Agriculture (7 CFR 2853.106 (a) and (b)).
(b) Appropriate officials of the following countries have agreed
with the U.S. Department of Agriculture as to the grades or standards
for fresh, chilled, or frozen beef within their respective countries
which will satisfy the certification requirements of paragraph (a) of
this section: Canada.
[T.D. 82-8, 47 FR 945, Jan. 8, 1982, as amended by T.D. 89-1, 53 FR
51252, Dec. 21, 1988; T.D. 97-82, 62 FR 51769, Oct. 3, 1997]
Watches and Watch Movements From U.S. Insular Possessions
Sec. Sec. 10.181-10.182 [Reserved]
Civil Aircraft
Sec. 10.183 Duty-free entry of civil aircraft, aircraft engines, ground
flight simulators, parts, components, and subassemblies.
(a) Applicability. Except as provided in paragraph (b) of this
section, this section applies to aircraft, aircraft engines, and ground
flight simulators, including their parts, components, and subassemblies,
that qualify as civil aircraft under General Note 6(b) ofthe Harmonized
Tariff Schedule of the United States (HTSUS) by meeting the following
requirements:
(1) The aircraft, aircraft engines, ground flight simulators, or
their parts, components, and subassemblies, are used as original or
replacement equipment in the design, development, testing, evaluation,
manufacture, repair, maintenance, rebuilding, modification, or
conversion of aircraft; and
(2) They are either:
(i) Manufactured or operated pursuant to a certificate issued by the
Administrator of the Federal Aviation Administration (FAA) under 49
U.S.C. 44704 or pursuant to the approval of the airworthiness authority
in the country of exportation, if that approval is recognized by the FAA
as an acceptable substitute for the FAA certificate;
(ii) Covered by an application for such certificate, submitted to
and accepted by the FAA, filed by an existing type and production
certificate holder
[[Page 167]]
pursuant to 49 U.S.C. 44702 and implementing regulations (Federal
Aviation Administration Regulations, title 14, Code of Federal
Regulations); or
(iii) Covered by an application for such approval or certificate
which will be submitted in the future by an existing type and production
certificate holder, pending the completion of design or other technical
requirements stipulated by the FAA (applicable only to the quantities of
parts, components, and subassemblies as are required to meet the
stipulation).
(b) Department of Defense or U.S. Coast Guard use. If purchased for
use by the Department of Defense or the United States Coast Guard,
aircraft, aircraft engines, and ground flight simulators, including
their parts, components, and subassemblies, are subject to this section
only if they are used as original or replacement equipment in the
design, development, testing, evaluation, manufacture, repair,
maintenance, rebuilding, modification, or conversion of aircraft and
meet the requirements of either paragraph (a)(2)(i) or (a)(2)(ii) of
this section.
(c) Claim for admission free of duty. Merchandise qualifying under
paragraph (a) or paragraph (b) of this section is entitled to duty-free
admission in accordance with General Note 6, HTSUS, upon meeting the
requirements of this section. An importer will make a claim for duty-
free admission under this section and General Note 6, HTSUS, by properly
entering qualifying merchandise under a provision for which the rate of
duty ``Free (C)'' appears in the ``Special'' subcolumn of the HTSUS and
by placing the special indicator ``C'' on the entry summary. The fact
that qualifying merchandise has previously been exported with benefit of
drawback does not preclude free entry under this section.
(d) Importer certification. In making a claim for duty-free
admission as provided for under paragraph (c) of this section, the
importer is deemed to certify, in accordance with General Note 6(a)(ii),
HTSUS, that the imported merchandise is, as described in paragraph (a)
or paragraph (b) of this section, a civil aircraft or has been imported
for use in a civil aircraft and will be so used.
(e) Documentation. Each entry summary claiming duty-free admission
for imported merchandise in accordance with paragraph (c) of this
section must be supported by documentation to verify the claim for duty-
free admission, including the written order or contract and other
evidence that the merchandise entered qualifies under General Note 6,
HTSUS, as a civil aircraft, aircraft engine, or ground flight simulator,
or their parts, components, and subassemblies. Evidence that the
merchandise qualifies under the general note includes evidence of
compliance with paragraph (a)(1) of this section concerning use of the
merchandise and evidence of compliance with the airworthiness
certification requirement of paragraph (a)(2)(i), (a)(2)(ii), or
(a)(2)(iii) of this section, including, as appropriate in the
circumstances, an FAA certification; approval of airworthiness by an
airworthiness authority in the country of export and evidence that the
FAA recognizes that approval as an acceptable substitute for an FAA
certification; an application for a certification submitted to and
accepted by the FAA; a type and production certificate issued by the
FAA; and/or evidence that a type and production certificate holder will
submit an application for certification or approval in the future
pending completion of design or other technical requirements stipulated
by the FAA and of estimates of quantities of parts, components, and
subassemblies as are required to meet design and technical requirements
stipulated by the FAA. This documentation need not be filed with the
entry summary but must be maintained in accordance with the general note
and with the recordkeeping provisions of part 163 of this chapter.
Customs may request production of documentation at any time to verify
the claim for duty-free admission. Failure to produce documentation
sufficient to satisfy the port director that the merchandise qualifies
for duty-free admission will result in a denial of duty-free treatment
and may result in such other measures permitted under the regulations as
the port director finds necessary to more closely monitor the importer's
importations of merchandise
[[Page 168]]
claimed to be duty-free under this section. Proof of end use of the
entered merchandise need not be maintained.
(f) Post-entry claim. An importer may file a claim for duty-free
treatment under General Note 6, HTSUS, after filing an entry that made
no such duty-free claim, by filing a written statement with Customs any
time prior to liquidation of the entry or prior to the liquidation
becoming final. When filed, the written statement constitutes the
importer=s claim for duty-free treatment under the general note and its
certification that the entered merchandise is a civil aircraft or has
been imported for use in a civil aircraft and will be so used. In
accordance with General Note 6, HTSUS, any refund resulting from a claim
made under this paragraph will be without interest, notwithstanding the
provision of 19 U.S.C. 1505(c).
(g) Verification. The port director will monitor and periodically
audit selected entries made under this section.
[T.D. 02-31, 67 FR 39289, June 7, 2002]
Subpart B_Caribbean Basin Initiative
Source: Sections 10.191 through 10.197 issued by T.D. 84-237, 49 FR
47993, Dec. 7, 1984, unless otherwise noted.
Sec. 10.191 General.
(a) Statutory authority. Subtitle A, Title II, Pub. L. 98-67,
entitled the Caribbean Basin Economic Recovery Act (19 U.S.C. 2701-2706)
and referred to as the Caribbean Basin Initiative (CBI), authorizes the
President to proclaim duty-free treatment for all eligible articles from
any beneficiary country.
(b) Definitions--(1) Beneficiary country. For purposes of
Sec. 10.191 through Sec. 10.199 and except as otherwise provided in
Sec. 10.195(b), the term ``beneficiary country'' means any country or
territory or successor political entity with respect to which there is
in effect a proclamation by the President designating such country,
territory or successor political entity as a beneficiary country in
accordance with section 212(a)(1)(A) of the Caribbean Basin Economic
Recovery Act (19 U.S.C. 2702(a)(1)(A)). See General Note 7(a),
Harmonized Tariff Schedule of the United States (HTSUS). For purposes of
this paragraph, when the word ``former'' is used in conjunction with the
term ``beneficiary country'', it means a country that ceases to be
designated as a beneficiary country under the CBERA because the country
has become a party to a free trade agreement with the United States. See
General Note 7(b)(i)(C), HTSUS.
(2) Eligible articles. Except as provided herein, for purposes of
Sec. 10.191(a), the term ``eligible articles'' means any merchandise
which is imported directly from a beneficiary country as provided in
Sec. 10.193 and which meets the country of origin criteria set forth in
Sec. 10.195 or in Sec. 10.198b. The following merchandise shall not be
considered eligible articles entitled to duty-free treatment under the
CBI.
(i) Textile and apparel articles which were not eligible articles
for purposes of the CBI on January 1, 1994, as the CBI was in effect on
that date.
(ii) Footwear not designated on August 5, 1983, as eligible articles
for the purpose of the Generalized System of Preferences under Title V,
Trade Act of 1974, as amended (19 U.S.C. 2461 through 2467).
(iii) Tuna, prepared or preserved in any manner, in airtight
containers.
(iv) Petroleum, or any product derived from petroleum, provided for
in headings 2709 and 2710, HTSUS.
(v) Watches and watch parts (including cases, bracelets and straps),
of whatever type including, but not limited to, mechanical, quartz
digital or quartz analog, if such watches or watch parts contain any
material which is the product of any country with respect to which HTSUS
column 2 rates of duty apply.
(vi) Articles to which reduced rates of duty apply under
Sec. 10.198a.
(vii) Sugars, sirups, and molasses, provided for in subheadings
1701.11.00 and 1701.12.00, HTSUS, to the extent that importation and
duty-free treatment of such articles are limited by Additional U.S. Note
4, Chapter 17, HTSUS.
(viii) Articles subject to the provisions of the subheadings of
Subchapter III, from the beginning through 9903.85.21, Chapter 99,
HTSUS, to the
[[Page 169]]
extent that such provisions have not been modified or terminated by the
President pursuant to section 213(e)(5) of the Caribbean Basin Economic
Recovery Act (19 U.S.C. 2703(e)(5)).
(ix) Merchandise for which duty-free treatment under the CBI is
suspended or withdrawn by the President pursuant to sections 213 (c)(2),
(e)(1), or (f)(3) of the Caribbean Basin Economic Recovery Act (19
U.S.C. 2703 (c)(2), (e)(1), or (f)(3)).
(3) Wholly the growth, product, or manufacture of a beneficiary
country. For purposes of Sec. 10.191 through Sec. 10.199, the expression
``wholly the growth, product, or manufacture of a beneficiary country''
refers both to any article which has been entirely grown, produced, or
manufactured in a beneficiary country or two or more beneficiary
countries and to all materials incorporated in an article which have
been entirely grown, produced, or manufactured in any beneficiary
country or two or more beneficary countries, as distinguished from
articles or materials imported into a beneficiary country from a non-
beneficiary country whether or not such articles or materials were
substantially transformed into new or different articles of commerce
after their importation into the beneficiary country.
(4) Entered. For purposes of Sec. 10.191 through Sec. 10.199, the
term ``entered'' means entered, or withdrawn from warehouse for
consumption, in the customs territory of the U.S.
[T.D. 84-237, 49 FR 47993, Dec. 7, 1984, as amended by T.D. 89-1, 53 FR
51252, Dec. 21, 1988; T.D. 00-68, 65 FR 59657, Oct. 5, 2000; T.D. 01-17,
66 FR 9645, Feb. 9, 2001; CBP Dec. 10-29, 75 FR 52450, Aug. 26, 2010]
Sec. 10.192 Claim for exemption from duty under the CBI.
A claim for an exemption from duty on the ground that the CBI
applies shall be allowed by the port director only if he is satisfied
that the requirements set forth in this section and Sec. 10.193 through
Sec. 10.198b have been met. Duty-free treatment may be claimed at the
time of filing the entry summary by placing the symbol ``E'' as a prefix
to the HTSUS subheading number for each article for which such treatment
is claimed on that document.
[T.D. 84-237, 49 FR 47993, Dec. 7, 1984, as amended by T.D. 89-1, 53 FR
51252, Dec. 21, 1988; T.D. 94-47, 59 FR 25570, May 17, 1994; T.D. 00-68,
65 FR 59658, Oct. 5, 2000]
Sec. 10.193 Imported directly.
To qualify for treatment under the CBI, an article shall be imported
directly from a beneficiary country into the customs territory of the
U.S. For purposes of Sec. 10.191 through Sec. 10.198b the words
``imported directly'' mean:
(a) Direct shipment from any beneficiary country to the U.S. without
passing through the territory of any non-beneficiary country; or
(b) If the shipment is from any beneficiary country to the U.S.
through the territory of any non-beneficiary country, the articles in
the shipment do not enter into the commerce of any non-beneficiary
country while en route to the U.S. and the invoices, bills of lading,
and other shipping documents show the U.S. as the final destination; or
(c) If the shipment is from any beneficiary country to the U.S.
through the territory of any non-beneficiary country, and the invoices
and other documents do not show the U.S. as the final destination, the
articles in the shipment upon arrival in the U.S. are imported directly
only if they:
(1) Remained under the control of the customs authority of the
intermediate country;
(2) Did not enter into the commerce of the intermediate country
except for the purpose of sale other than at retail, and the port
director is satisfied that the importation results from the original
commericial transaction between the importer and the producer or the
latter's sales agent; and
(3) Were not subjected to operations other than loading and
unloading, and other activities necessary to preserve the articles in
good condition.
[T.D. 84-237, 49 FR 47993, Dec. 7, 1984, as amended by T.D. 00-68, 65 FR
59658, Oct. 5, 2000]
Sec. 10.194 Evidence of direct shipment.
(a) Documents constituting evidence of direct shipment. The port
director may
[[Page 170]]
require that appropriate shipping papers, invoices, or other documents
be submitted within 60 days of the date of entry as evidence that the
articles were ``imported directly'', as that term is defined in
Sec. 10.193. Any evidence of direct shipment required shall be subject
to such verification as deemed necessary by the port director.
(b) Waiver of evidence of direct shipment. The port director may
waive the submission of evidence of direct shipment when otherwise
satisfied, taking into consideration the kind and value of the
merchandise, that the merchandise was, in fact, imported directly and
that it otherwise clearly qualifies for treatment under the CBI.
Sec. 10.195 Country of origin criteria.
(a) Articles produced in a beneficiary country--(1) General. Except
as provided herein, any article which is either wholly the growth,
product, or manufacture of a beneficiary country or a new or different
article of commerce which has been grown, produced, or manufactured in a
beneficiary country, may qualify for duty-free entry under the CBI. No
article or material shall be considered to have been grown, produced, or
manufactured in a beneficiary country by virtue of having merely
undergone simple (as opposed to complex or meaningful) combining or
packaging operations, or mere dilution with water or mere dilution with
another substance that does not materially alter the characteristics of
the article. Duty-free entry under the CBI may be accorded to an article
only if the sum of the cost or value of the material produced in a
beneficiary country or countries, plus the direct costs of processing
operations performed in a beneficiary country or countries, is not less
than 35 percent of the appraised value of the article at the time it is
entered.
(2) Combining, packaging, and diluting operations. No article which
has undergone only a simple combining or packaging operation or a mere
dilution in a beneficiary country within the meaning of paragraph (a)(1)
of this section shall be entitled to duty-free treatment even though the
processing operation causes the article to meet the value requirement
set forth in that paragraph.
(i) For purposes of this section, simple combining or packaging
operations and mere dilution include, but are not limited to, the
following processes:
(A) The addition of batteries to devices;
(B) Fitting together a small number of components by bolting,
glueing, soldering etc.;
(C) Blending foreign and beneficiary country tobacco;
(D) The addition of substances such as anticaking agents,
preservatives, wetting agents, etc.;
(E) Repacking or packaging components together;
(F) Reconstituting orange juice by adding water to orange juice
concentrate; and
(G) Diluting chemicals with inert ingredients to bring them to
standard degrees of strength.
(ii) For purposes of this section, simple combining or packaging
operations and mere dilution shall not be taken to include processes
such as the following:
(A) The assembly of a large number of discrete components onto a
printed circuit board;
(B) The mixing together of two bulk medicinal substances followed by
the packaging of the mixed product into individual doses for retail
sale;
(C) The addition of water or another substance to a chemical
compound under pressure which results in a reaction creating a new
chemical compound; and
(D) A simple combining or packaging operation or mere dilution
coupled with any other type of processing such as testing or fabrication
(e.g., a simple assembly of a small number of components, one of which
was fabricated in the beneficiary country where the assembly took
place).
The fact that an article or material has undergone more than a simple
combining or packaging operation or mere dilution is not necessarily
dispositive of the question of whether that processing constitutes a
substantial transformation for purposes of determining the country of
origin of the article or material.
(b) Commonwealth of Puerto Rico, U.S. Virgin Islands, and former
beneficiary countries--(1) General. For purposes of determining the
percentage referred to
[[Page 171]]
in paragraph (a) of this section, the term ``beneficiary country''
includes the Commonwealth of Puerto Rico, U.S. Virgin Islands, and any
former beneficiary countries. Any cost or value of materials or direct
costs of processing operations attributable to the U.S. Virgin Islands
or any former beneficiary country must be included in the article prior
to its final exportation from a beneficiary country to the United
States.
(2) Manufacture in the Commonwealth of Puerto Rico after final
exportation. Notwithstanding the provisions of 19 U.S.C. 1311, if an
article from a beneficiary country is entered under bond for processing
or use in manufacturing in the Commonwealth of Puerto Rico, no duty will
be imposed on the withdrawal from warehouse for consumption of the
product of that processing or manufacturing provided that:
(i) The article entered in the warehouse in the Commonwealth of
Puerto Rico was grown, produced, or manufactured in a beneficiary
country within the meaning of paragraph (a) of this section and was
imported directly from a beneficiary country within the meaning of
Sec. 10.193; and
(ii) At the time of its withdrawal from the warehouse, the product
of the processing or manufacturing in the Commonwealth of Puerto Rico
meets the 35 percent value-content requirement prescribed in paragraph
(a) of this section.
(c) Materials produced in the U.S. For purposes of determining the
percentage referred to in paragraph (a) of this section, an amount not
to exceed 15 percent of the appraised value of the article at the time
it is entered may be attributed to the cost or value of materials
produced in the customs territory of the U.S. (other than the
Commonwealth of Puerto Rico). In the case of materials produced in the
customs territory of the U.S., the provisions of Sec. 10.196 shall
apply.
(d) Textile components cut to shape in the U.S. The percentage
referred to in paragraph (c) of this section may be attributed in whole
or in part to the cost or value of a textile component that is cut to
shape (but not to length, width, or both) in the U.S. (including the
Commonwealth of Puerto Rico) from foreign fabric and exported to a
beneficiary country for assembly into an article that is then returned
to the U.S. and entered, or withdrawn from warehouse, for consumption on
or after July 1, 1996. For purposes of this paragraph, the terms
``textile component'' and ``fabric'' have reference only to goods
covered by the definition of ``textile or apparel product'' set forth in
Sec. 102.21(b)(5) of this chapter.
(e) Articles wholly grown, produced, or manufactured in a
beneficiary country. Any article which is wholly the growth, product, or
manufacture of a beneficiary country, including articles produced or
manufactured in a beneficiary country exclusively from materials which
are wholly the growth, product, or manufacture of a beneficiary country
or countries, shall normally be presumed to meet the requirements set
forth in paragraph (a) of this section.
(f) Country of origin marking. The general country of origin marking
requirements that apply to all importations are also applicable to
articles imported under the CBI.
[T.D. 84-237, 49 FR 47993, Dec. 7, 1984; 49 FR 49575, Dec. 20, 1984, as
amended by T.D. 95-69, 60 FR 46197, Sept. 5, 1995; T.D. 95-69, 60 FR
55995, Nov. 6, 1996; T.D. 00-68, 65 FR 59658, Oct. 5, 2000; CBP Dec. 10-
29, 75 FR 52450, Aug. 26, 2010]
Sec. 10.196 Cost or value of materials produced in a beneficiary
country or countries.
(a) ``Materials produced in a beneficiary country or countries''
defined. For purposes of Sec. 10.195, the words ``materials produced in
a beneficiary country or countries'' refer to those materials
incorporated in an article which are either:
(1) Wholly the growth, product, or manufacture of a beneficiary
country or two or more beneficiary countries; or
(2) Subject to the limitations set forth in Sec. 10.195(a),
substantially transformed in any beneficiary country or two or more
beneficiary countries into a new or different article of commerce which
is then used in any beneficiary country in the production or manufacture
of a new or different article which is imported directly into the U.S.
[[Page 172]]
Example 1. A raw, perishable skin of an animal grown in one
beneficiary country is sent to another beneficiary country where it is
tanned to create nonperishable ``crust leather''. The tanned product is
then imported directly into the U.S. Because the material of which the
imported article is composed is wholly the growth, product, or
manufacture of one of more beneficiary countries, the entire cost or
value of that material may be counted toward the 35 percent value
requirement set forth in Sec. 10.195.
Example 2. A raw, perishable skin of an animal grown in a non-
beneficiary country is sent to a beneficiary country where it is tanned
to create nonperishable ``crust leather''. The tanned skin is then
imported directly into the U.S. Although the tanned skin represents a
new or different article of commerce produced in a beneficiary country
within the meaning of Sec. 10.195(a), the cost or value of the raw skin
may not be counted toward the 35 percent value requirement because (1)
the tanned material of which the imported article is composed is not
wholly the growth, product, or manufacture of a beneficiary country and
(2) the tanning operation creates the imported article itself rather
than an intermediate article which is then used in the beneficiary
country in the production or manufacture of an article imported into the
U.S. The tanned skin would be eligible for duty-free treatment only if
the direct costs attributable to the tanning operation represent at
least 35 percent of the appraised value of the imported article.
Example 3. A raw, perishable skin of an animal grown in a non-
beneficiary country is sent to a beneficiary country where it is tanned
to create nonperishable ``crust leather''. The tanned material is then
cut, sewn and assembled with a metal buckle imported from a non-
beneficiary country to create a finished belt which is imported directly
into the U.S. Because the operations performed in the beneficiary
country involved both the substantial transformation of the raw skin
into a new or different article and the use of that intermediate article
in the production or manufacture of a new or different article imported
into the U.S., the cost or value of the tanned material used to make the
imported article may be counted toward the 35 percent value requirement.
The cost or value of the metal buckle imported into the beneficiary
country may not be counted toward the 35 percent value requirement
because the buckle was not substantially transformed in the beneficiary
country into a new or different article prior to its incorporation in
the finished belt.
Example 4. A raw, perishable skin of an animal grown in the U.S.
Virgin Islands is sent to a beneficiary country where it is tanned to
create nonperishable ``crust leather'', which is then imported directly
into the U.S. The tanned skin represents a new or different article of
commerce produced in a beneficiary country within the meaning of
Sec. 10.195(a), and under Sec. 10.195(b), the raw skin from which the
tanned product was made is considered to have been grown in a
beneficiary country for the purpose of applying the 35 percent value
requirement. The tanned material of which the imported article is
composed is considered to be wholly the growth, product, or manufacture
of one or more beneficiary countries with the result that the entire
cost or value of that material may be counted toward the 35 percent
value requirement.
(b) Questionable origin. When the origin of a material either is not
ascertainable or is not satisfactorily demonstrated to the port
director, the material shall not be considered to have been grown,
produced, or manufactured in a beneficiary country.
(c) Determination of cost or value of materials produced in a
beneficiary country. (1) The cost or value of materials produced in a
beneficiary country or countries includes:
(i) The manufacturer's actual cost for the materials;
(ii) When not included in the manufacturer's actual cost for the
materials, the freight, insurance, packing, and all other costs incurred
in transporting the materials to the manufacturer's plant;
(iii) The actual cost of waste or spoilage (material list), less the
value of recoverable scrap; and
(iv) Taxes and/or duties imposed on the materials by any beneficiary
country, provided they are not remitted upon exportation.
(2) Where a material is provided to the manufacturer without charge,
or at less than fair market value, its cost or value shall be determined
by computing the sum of:
(i) All expenses incurred in the growth, production, or manufacture
of the material, including general expenses;
(ii) An amount for profit; and
(iii) Freight, insurance, packing, and all other costs incurred in
transporting the material to the manufacturer's plant.
If the pertinent information needed to compute the cost or value of a
material is not available, the appraising officer may ascertain or
estimate the value
[[Page 173]]
thereof using all reasonable ways and means at his disposal.
Sec. 10.197 Direct costs of processing operations performed in a
beneficiary country or countries.
(a) Items included in the direct costs of processing operations. As
used in Sec. 10.195 and Sec. 10.198, the words ``direct costs of
processing operations'' mean those costs either directly incurred in, or
which can be reasonably allocated to, the growth, production,
manufacture, or assembly of the specific merchandise under
consideration. Such costs include, but are not limited to the following,
to the extent that they are includable in the appraised value of the
imported merchandise:
(1) All actual labor costs involved in the growth, production,
manufacture or assembly of the specific merchandise, including fringe
benefits, on-the-job training, and the cost of engineering, supervisory,
quality control, and similar personnel;
(2) Dies, molds, tooling, and depreciation on machinery and
equipment which are allocable to the specific merchandise;
(3) Research, development, design, engineering, and blueprint costs
insofar as they are allocable to the specific merchandise and;
(4) Costs of inspecting and testing the specific merchandise.
(b) Items not included in the direct costs of processing operations.
Those items which are not included within the meaning of the words
``direct costs of processing operations'' are those which are not
directly attributable to the merchandise under consideration or are not
``costs'' of manufacturing the product. These include, but are not
limited to:
(1) Profit; and
(2) General expenses of doing business which are either not
allocable to the specific merchandise or are not related to the growth,
production, manufacture, or assembly of the merchandise, such as
administrative salaries, casualty and liability insurance, advertising,
and salesmen's salaries, commissions, or expenses.
[T.D. 84-237, 49 FR 47993, Dec. 7, 1984; 49 FR 49575, Dec. 20, 1984]
Sec. 10.198 Evidence of country of origin.
(a) Shipments covered by a formal entry--(1) Articles not wholly the
growth, product, or manufacture of a beneficiary country--(i)
Declaration. In a case involving an article covered by a formal entry
which is not wholly the growth, product, or manufacture of a single
beneficiary country, the exporter or other appropriate party having
knowledge of the relevant facts in the beneficiary country where the
article was produced or last processed shall be prepared to submit
directly to the port director, upon request, a declaration setting forth
all pertinent detailed information concerning the production or
manufacture of the article. When requested by the port director, the
declaration shall be prepared in substantially the following form:
CBI Declaration
I, ----------------------------,
(name), hereby declare that the articles described below (a) were
produced or manufactured in ---------------- (country) by means of
processing operations performed in that country as set forth below and
were also subjected to processing operations in the other beneficiary
country or countries (including the Commonwealth of Puerto Rico and the
U.S. Virgin Islands) as set forth below and (b) incorporate materials
produced in the country named above or in any other beneficiary country
or countries (including the Commonwealth of Puerto Rico and the U.S.
Virgin Islands) or in the customs territory of the United States (other
than the Commonwealth of Puerto Rico) as set forth below:
----------------------------------------------------------------------------------------------------------------
Processing operations performed Material produced in a
on articles beneficiary country or in the
--------------------------------- U.S.
-------------------------------
Description of Description of Description of
Number and date of invoices articles and processing Direct costs material,
quantity operations and of processing production Cost or value
country of operations process, and of material
processing country of
production
----------------------------------------------------------------------------------------------------------------
[[Page 174]]
----------------------------------------------------------------------------------------------------------------
Date____________________________________________________________________
Address_________________________________________________________________
Signature_______________________________________________________________
Title___________________________________________________________________
(ii) Retention of records and submission of declaration. The
information necessary for preparation of the declaration shall be
retained in the files of the party responsible for its preparation and
submission for a period of 5 years. In the event that the port director
requests submission of the declaration during the 5-year period, it
shall be submitted by the appropriate party directly to the port
director within 60 days of the date of the request or such additional
period as the port director may allow for good cause shown. Failure to
submit the declaration in a timely fashion will result in a denial of
duty-free treatment.
(iii) Value added after final exportation. In a case in which value
is added to an article in a bonded warehouse or in a foreign-trade zone
in the Commonwealth of Puerto Rico or in the U.S. after final
exportation of the article from a beneficiary country, in order to
ensure compliance with the value requirement under Sec. 10.195(a), the
declaration provided for in paragraph (a)(1)(i) of this section shall be
filed by the importer or consignee with the entry summary as evidence of
the country of origin. The declaration shall be properly completed by
the party responsible for the addition of such value.
(2) Merchandise wholly the growth, product, or manufacture of a
beneficiary country. In a case involving merchandise covered by a formal
entry which is wholly the growth, product, or manufacture of a single
beneficiary country, a statement to that effect shall be included on the
commercial invoice provided to Customs.
(b) Shipments covered by an informal entry. Although the filing of
the declaration provided for in paragraph (a)(1)(i) of this section will
not be required for a shipment covered by an informal entry, the port
director may require such other evidence of country of origin as deemed
necessary.
(c) Verification of documentation. Any evidence of country of origin
submitted under this section shall be subject to such verification as
the port director deems necessary. In the event that the port director
is prevented from obtaining the necessary verification, the port
director may treat the entry as dutiable.
[T.D. 94-47, 59 FR 25570, May 17, 1994]
Sec. 10.198a Duty reduction for certain leather-related articles.
Except as otherwise provided in Sec. 10.233, reduced rates of duty
as proclaimed by the President will apply to handbags, luggage, flat
goods, work gloves, and leather wearing apparel that were not designated
on August 5, 1983, as eligible articles for purposes of the Generalized
System of Preferences under Title V, Trade Act of 1974, as amended (19
U.S.C. 2461 through 2467), provided that the article in question at the
time it is entered:
(a) Was grown, produced, or manufactured in a beneficiary country
within the meaning of Sec. 10.195;
(b) Meets the 35 percent value-content requirement prescribed in
Sec. 10.195; and
(c) Was imported directly from a beneficiary country within the
meaning of Sec. 10.193.
[T.D. 00-68, 65 FR 59658, Oct. 5, 2000]
Sec. 10.198b Products of Puerto Rico processed in a beneficiary
country.
Except in the case of any article described in Sec. 10.191(b)(2)(i)
through (vi), the duty-free treatment provided for
[[Page 175]]
under the CBI will apply to an article that is the growth, product, or
manufacture of the Commonwealth of Puerto Rico and that is by any means
advanced in value or improved in condition in a beneficiary country,
provided that:
(a) If any materials are added to the article in the beneficiary
country, those materials consist only of materials that are a product of
a beneficiary country or the United States; and
(b) The article is imported directly from the beneficiary country
into the customs territory of the United States within the meaning of
Sec. 10.193.
[T.D. 00-68, 65 FR 59658, Oct. 5, 2000]
Sec. 10.199 Duty-free entry for certain beverages produced in Canada
from Caribbean rum.
(a) General. A spirituous beverage that is imported directly from
the territory of Canada and that is classifiable under subheading
2208.40 or 2208.90, Harmonized Tariff Schedule of the United States
(HTSUS), will be entitled, upon entry or withdrawal from warehouse for
consumption, to duty-free treatment under section 213(a)(6) of the
Caribbean Basin Economic Recovery Act (19 U.S.C. 2703(a)(6)), also known
as the Caribbean Basin Initiative (CBI), if the spirituous beverage has
been produced in the territory of Canada from rum, provided that the
rum:
(1) Is the growth, product, or manufacture either of a beneficiary
country or of the U.S. Virgin Islands;
(2) Was imported directly into the territory of Canada from a
beneficiary country or from the U.S. Virgin Islands; and
(3) Accounts for at least 90 percent of the alcoholic content by
volume of the spirituous beverage.
(b) Claim for exemption from duty under CBI. A claim for an
exemption from duty for a spirituous beverage under section 213(a)(6) of
the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703(a)(6)) may be
made by entering such beverage under subheading 9817.22.05, HTSUS, on
the entry summary document or its electronic equivalent. In order to
claim the exemption, the importer must have the records described in
paragraphs (d), (e), (f) and (g) of this section so that, upon Customs
request, the importer can establish that:
(1) The rum used to produce the beverage is the growth, product or
manufacture either of a beneficiary country or of the U.S. Virgin
Islands;
(2) The rum was shipped directly from a beneficiary country or from
the U.S. Virgin Islands to Canada;
(3) The beverage was produced in Canada;
(4) The rum accounts for at least 90% of the alcohol content of the
beverage; and
(5) The beverage was shipped directly from Canada to the United
States.
(c) Imported directly. For a spirituous beverage imported from
Canada to qualify for duty-free entry under the CBI, the spirituous
beverage must be imported directly into the customs territory of the
United States from Canada; and the rum used in its production must have
been imported directly into the territory of Canada either from a
beneficiary country or from the U.S. Virgin Islands.
(1) ``Imported directly'' into the customs territory of the United
States from Canada means:
(i) Direct shipment from the territory of Canada to the U.S. without
passing through the territory of any other country; or
(ii) If the shipment is from the territory of Canada to the U.S.
through the territory of any other country, the spirituous beverages do
not enter into the commerce of any other country while en route to the
U.S.; or
(iii) If the shipment is from the territory of Canada to the U.S.
through the territory of another country, and the invoices and other
documents do not show the U.S. as the final destination, the spirituous
beverages in the shipment are imported directly only if they:
(A) Remained under the control of the customs authority of the
intermediate country;
(B) Did not enter into the commerce of the intermediate country
except for the purpose of sale other than at retail, and the port
director is satisfied that the importation results from the original
commercial transaction between
[[Page 176]]
the importer and the producer or the latter's sales agent; and
(C) Were not subjected to operations other than loading and
unloading, and other activities necessary to preserve the products in
good condition.
(2) ``Imported directly'' from a beneficiary country or from the
U.S. Virgin Islands into the territory of Canada means:
(i) Direct shipment from a beneficiary country or from the U.S.
Virgin Islands into the territory of Canada without passing through the
territory of any non-beneficiary country; or
(ii) If the shipment is from a beneficiary country or from the U.S.
Virgin Islands into the territory of Canada through the territory of any
non-beneficiary country, the rum does not enter into the commerce of any
non-beneficiary country while en route to Canada; or
(iii) If the shipment is from a beneficiary country or from the U.S.
Virgin Islands into the territory of Canada through the territory of any
non-beneficiary country, the rum in the shipment is imported directly
into the territory of Canada only if it:
(A) Remained under the control of the customs authority of the
intermediate country;
(B) Did not enter into the commerce of the intermediate country
except for the purpose of sale other than at retail; and
(C) Was not subjected to operations in the intermediate country
other than loading and unloading, and other activities necessary to
preserve the product in good condition.
(d) Evidence of direct shipment--(1) Spirituous beverages imported
from Canada. The importer must be prepared to provide to the port
director, if requested, documentary evidence that the spirituous
beverages were imported directly from the territory of Canada, as
described in paragraph (c)(1) of this section. This evidence may include
documents such as a bill of lading, invoice, air waybill, freight
waybill, or cargo manifest. Any evidence of the direct shipment of these
spirituous beverages from Canada into the U.S. may be subject to such
verification as deemed necessary by the port director.
(2) Rum imported into Canada from beneficiary country or U.S. Virgin
Islands. The importer must be prepared to provide to the port director,
if requested, evidence that the rum used in producing the spirituous
beverages was imported directly into the territory of Canada from a
beneficiary country or from the U.S. Virgin Islands, as described in
paragraph (c)(2) of this section. This evidence may include documents
such as a Canadian customs entry, Canadian customs invoice, Canadian
customs manifest, cargo manifest, bill of lading, landing certificate,
airway bill, or freight waybill. Any evidence of the direct shipment of
the rum from a beneficiary country or from the U.S. Virgin Islands into
the territory of Canada for use there in producing the spirituous
beverages may be subject to such verification as deemed necessary by the
port director.
(e) Origin of rum used in production of the spirituous beverage--(1)
Origin criteria. In order for a spirituous beverage covered by this
section to be entitled to duty-free entry under the CBI, the rum used in
producing the spirituous beverage in the territory of Canada must be
wholly the growth, product, or manufacture either of a beneficiary
country under the CBI or of the U.S. Virgin Islands, or must constitute
a new or different article of commerce that was produced or manufactured
in a beneficiary country or in the U.S. Virgin Islands. Such rum will
not be considered to have been grown, produced, or manufactured in a
beneficiary country or in the U.S. Virgin Islands by virtue of having
merely undergone blending, combining or packaging operations, or mere
dilution with water or mere dilution with another substance that does
not materially alter the characteristics of the product.
(2) Evidence of origin of rum--(i) Declaration. The importer must be
prepared to submit directly to the port director, if requested, a
declaration prepared and signed by the person who produced or
manufactured the rum, affirming that the rum is the growth,
[[Page 177]]
product or manufacture of a beneficiary country or of the U.S. Virgin
Islands. While no particular form is prescribed for the declaration, it
must include all pertinent information concerning the processing
operations by which the rum was produced or manufactured, the address of
the producer or manufacturer, the title of the party signing the
declaration, and the date it is signed.
(ii) Records supporting declaration. The supporting records,
including those production records, that are necessary for the
preparation of the declaration must also be available for submission to
the port director if requested. The declaration and any supporting
evidence as to the origin of the rum may be subject to such verification
as deemed necessary by the port director.
(f) Canadian processor declaration; supporting documentation--(1)
Canadian processor declaration. The importer must be prepared to submit
directly to the port director, if requested, a declaration prepared by
the person who produced the spirituous beverage(s) in Canada, setting
forth all pertinent information concerning the production of the
beverages. The declaration will be in substantially the following form:
I, -------- declare that the spirituous beverages here specified are
the products that were produced by me (us), as described below, with the
use of rum that was received by me (us); that the rum used in producing
the beverages was received by me (us) on
-------- (date), from -------- (name and address of owner or
exporter in the beneficiary country or in the U.S. Virgin Islands, as
applicable); and that such rum accounts for at least 90 percent of the
alcoholic content by volume, as shown below, of each spirituous beverage
so produced.
------------------------------------------------------------------------
Alcoholic
content of
Description of products;
Marks and numbers products and of alcoholic
processing content (%)
attributable
to rum \1\
------------------------------------------------------------------------
.................... ..............
.................... ..............
.................... ..............
------------------------------------------------------------------------
\1\ The production records must establish, for each lot of beverage
produced, the quantity of rum the growth, product or manufacture of a
CBI beneficiary country or of the U.S. Virgin Islands under 19 U.S.C.
2703(a)(6) that is used in producing the finished beverage; the
alcoholic content by volume of the finished beverage; and the
alcoholic content by volume of the finished beverage, expressed as a
percentage, that is attributable to the qualifying rum. If rum from
two or more qualifying sources (e.g., rum the growth, product or
manufacture of a CBI beneficiary country or of the U.S. Virgin Islands
and other rum the growth, product or manufacture of another CBI
country) are used in processing the beverage, the alcoholic content
requirement may be met by aggregating the alcoholic content of the
finished beverage that is attributable to rum from each of the
qualifying sources used in processing the finished beverage, as
reflected in the production records.
Date____________________________________________________________________
Address_________________________________________________________________
Signature_______________________________________________________________
Title___________________________________________________________________
(2) Availability of supporting documents. The information, including
any supporting documents and records, necessary for the preparation of
the declaration, as described in paragraph (f)(1) of this section, must
be available for submission to the port director, if requested. The
declaration and any supporting evidence may be subject to such
verification as deemed necessary by the port director. The specific
documentary evidence necessary to support the declaration consists of
those documents and records which satisfactorily establish:
(i) The receipt of the rum by the Canadian processor, including the
date of receipt and the name and address of the party from whom the rum
was received (the owner or exporter in the beneficiary country or the
U.S. Virgin Islands); and
(ii) For each lot of beverage produced and included in the
declaration, the specific identification of the production lot(s)
involved; the quantity of qualifying rum that is used in producing the
finished beverage, including a description of the processing and of the
finished products; the alcoholic content by volume of the finished
beverage; and the alcoholic content by volume of the finished beverage,
expressed as a percentage, that is attributable to the qualifying rum.
(g) Importer system for review of necessary recordkeeping. The
importer will
[[Page 178]]
establish and implement a system of internal controls which demonstrate
that reasonable care was exercised in its claim for duty-free treatment
under the CBI. These controls should include tests to assure the
accuracy and availability of records that establish:
(1) The origin of the rum;
(2) The direct shipment of the rum from a beneficiary country or
from the U.S. Virgin Islands to Canada;
(3) The alcohol content of the finished beverage imported from
Canada; and
(4) The direct shipment of the finished beverage from Canada to the
United States.
(h) Submission of documents to Customs. The importer must be
prepared to submit directly to the port director, if requested, those
documents and/or supporting records as described in paragraphs (d), (e)
and (f) of this section, for a period of 5 years from the date of entry
of the related spirituous beverages under section 213(a)(6) of the
Caribbean Basin Economic Recovery Act (19 U.S.C. 2703(a)(6)), as
provided in Sec. 163.4(a) of this chapter. If requested, the importer
must submit such documents and/or supporting records to the port
director within 60 calendar days of the date of the request or such
additional period as the port director may allow for good cause shown.
[T.D. 02-59, 67 FR 62882, Oct. 9, 2002]
Subpart C_Andean Trade Preference
Source: Sections 10.201 through 10.208 appear at T.D. 98-76, 63 FR
51292, Sept. 25, 1998, unless otherwise noted.
Sec. 10.201 Applicability.
Title II of Pub. L. 102-182 (105 Stat. 1233), entitled the Andean
Trade Preference Act (ATPA) and codified at 19 U.S.C. 3201 through 3206,
authorizes the President to proclaim duty-free treatment for all
eligible articles from any beneficiary country and to designate
countries as beneficiary countries. The provisions of Sec. Sec. 10.202
through 10.207 set forth the legal requirements and procedures that
apply for purposes of obtaining that duty-free treatment for certain
articles from a beneficiary country which are identified for purposes of
that treatment in General Note 11, Harmonized Tariff Schedule of the
United States (HTSUS), and in the ``Special'' rate of duty column of the
HTSUS. Provisions regarding preferential treatment of apparel and other
textile articles under the ATPA are contained in Sec. Sec. 10.241
through 10.248, and provisions regarding preferential treatment of tuna
and certain other non-textile articles under the ATPA are contained in
Sec. Sec. 10.251 through 10.257.
[T.D. 03-16, 68 FR 14486, Mar. 25, 2003; 68 FR 67338, Dec. 1, 2003]
Sec. 10.202 Definitions.
The following definitions apply for purposes of Sec. Sec. 10.201
through 10.207:
(a) Beneficiary country. Except as otherwise provided in
Sec. 10.206(b), the term ``beneficiary country'' refers to any country
or successor political entity with respect to which there is in effect a
proclamation by the President designating such country or successor
political entity as a beneficiary country in accordance with section 203
of the ATPA (19 U.S.C. 3202).
(b) Eligible articles. The term ``eligible'' when used with
reference to an article means merchandise which is imported directly
from a beneficiary country as provided in Sec. 10.204, which meets the
country of origin criteria set forth in Sec. 10.205 and the value-
content requirement set forth in Sec. 10.206, and which, if the
requirements of Sec. 10.207 are met, is therefore entitled to duty-free
treatment under the ATPA. However, the following merchandise shall not
be considered eligible articles entitled to duty-free treatment under
the ATPA:
(1) Textiles and apparel articles which were not eligible articles
for purposes of the ATPA on January 1, 1994, as the ATPA was in effect
on that date, except as otherwise provided in Sec. Sec. 10.241 through
10.248;
(2) Rum and tafia classified in subheading 2208.40, Harmonized
Tariff Schedule of the United States;
(3) Sugars, syrups, and sugar-containing products subject to over-
quota duty rates under applicable tariff-rate quotas; or
(4) Tuna prepared or preserved in any manner in airtight containers,
except
[[Page 179]]
as otherwise provided in Sec. Sec. 10.251 through 10.257.
(c) Entered. The term ``entered'' means entered, or withdrawn from
warehouse for consumption, in the customs territory of the United
States.
(d) Wholly the growth, product, or manufacture of a beneficiary
country. The expression ``wholly the growth, product, or manufacture of
a beneficiary country'' has the same meaning as that set forth in
Sec. 10.191(b)(3) of this part.
[T.D. 98-76, 63 FR 51292, Sept. 25, 1998, as amended by T.D. 03-16, 68
FR 14486, Mar. 25, 2003; 68 FR 67338, Dec. 1, 2003]
Sec. 10.203 Eligibility criteria in general.
An article classifiable under a subheading of the Harmonized Tariff
Schedule of the United States for which a rate of duty of ``Free''
appears in the ``Special'' subcolumn followed by the symbol ``J'' or
``J*'' in parentheses is eligible for duty-free treatment, and will be
accorded such treatment, if each of the following requirements is met:
(a) Imported directly. The article is imported directly from a
beneficiary country as provided in Sec. 10.204.
(b) Country of origin criteria. The article complies with the
country of origin criteria set forth in Sec. 10.205.
(c) Value content requirement. The article complies with the value
content requirement set forth in Sec. 10.206.
(d) Filing of claim and submission of supporting documentation. The
claim for duty-free treatment is filed, and any required documentation
in support of the claim is submitted, in accordance with the procedures
set forth in Sec. 10.207.
Sec. 10.204 Imported directly.
In order to be eligible for duty-free treatment under the ATPA, an
article shall be imported directly from a beneficiary country into the
customs territory of the United States. For purposes of this
requirement, the words ``imported directly'' mean:
(a) Direct shipment from any beneficiary country to the United
States without passing through the territory of any non-beneficiary
country; or
(b) If shipment from any beneficiary country to the United States
was through the territory of a non-beneficiary country, the articles in
the shipment did not enter into the commerce of the non-beneficiary
country while en route to the United States, and the invoices, bills of
lading, and other shipping documents show the United States as the final
destination; or
(c) If shipment from any beneficiary country to the United States
was through the territory of a non-beneficiary country and the invoices
and other documents do not show the United States as the final
destination, then the articles in the shipment, upon arrival in the
United States, are imported directly only if they:
(1) Remained under the control of the customs authority in the
intermediate country;
(2) Did not enter into the commerce of the intermediate country
except for the purpose of sale other than at retail, and the articles
are imported into the United States as a result of the original
commercial transaction between the importer and the producer or the
latter's sales agent; and
(3) Were not subjected to operations in the intermediate country
other than loading and unloading, and other activities necessary to
preserve the articles in good condition.
Sec. 10.205 Country of origin criteria.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an article may be eligible for duty-free treatment under the
ATPA if the article is either:
(1) Wholly the growth, product, or manufacture of a beneficiary
country; or
(2) A new or different article of commerce which has been grown,
produced, or manufactured in a beneficiary country.
(b) Exceptions. No article shall be eligible for duty-free treatment
under the ATPA by virtue of having merely undergone simple (as opposed
to complex or meaningful) combining or packaging operations, or mere
dilution with water or mere dilution with another substance that does
not materially alter the characteristics of the article. The principles
and examples set forth in Sec. 10.195(a)(2) of this part shall apply
equally for purposes of this paragraph.
[[Page 180]]
Sec. 10.206 Value content requirement.
(a) General. An article may be eligible for duty-free treatment
under the ATPA only if the sum of the cost or value of the materials
produced in a beneficiary country or countries, plus the direct costs of
processing operations performed in a beneficiary country or countries,
is not less than 35 percent of the appraised value of the article at the
time it is entered.
(b) Commonwealth of Puerto Rico, U.S. Virgin Islands and CBI
beneficiary countries. For purposes of determining the percentage
referred to in paragraph (a) of this section, the term ``beneficiary
country'' includes the Commonwealth of Puerto Rico, the U.S. Virgin
Islands, and any CBI beneficiary country as defined in Sec. 10.191(b)(1)
of this part. Any cost or value of materials or direct costs of
processing operations attributable to the Virgin Islands or any CBI
beneficiary country must be included in the article prior to its final
exportation to the United States from a beneficiary country as defined
in Sec. 10.202(a).
(c) Materials produced in the United States. For purposes of
determining the percentage referred to in paragraph (a) of this section,
an amount not to exceed 15 percent of the appraised value of the article
at the time it is entered may be attributed to the cost or value of
materials produced in the customs territory of the United States (other
than the Commonwealth of Puerto Rico). The principles set forth in
paragraph (d)(1) of this section shall apply in determining whether a
material is ``produced in the customs territory of the United States''
for purposes of this paragraph.
(d) Cost or value of materials--(1) ``Materials produced in a
beneficiary country or countries'' defined. For purposes of paragraph
(a) of this section, the words materials produced in a beneficiary
country or countries refer to those materials incorporated in an article
which are either:
(i) Wholly the growth, product, or manufacture of a beneficiary
country or two or more beneficiary countries; or
(ii) Substantially transformed in any beneficiary country or two or
more beneficiary countries into a new or different article of commerce
which is then used in any beneficiary country as defined in
Sec. 10.202(a) in the production or manufacture of a new or different
article which is imported directly into the United States. For purposes
of this paragraph (d)(1)(ii), no material shall be considered to be
substantially transformed into a new or different article of commerce by
virtue of having merely undergone simple (as opposed to complex or
meaningful) combining or packaging operations, or mere dilution with
water or mere dilution with another substance that does not materially
alter the characteristics of the article. The examples set forth in
Sec. 10.196(a) of this part, and the principles and examples set forth
in Sec. 10.195(a)(2) of this part, shall apply for purposes of the
corresponding context under paragraph (d)(1) of this section.
(2) Questionable origin. When the origin of a material either is not
ascertainable or is not satisfactorily demonstrated to the appropriate
port director, the material shall not be considered to have been grown,
produced, or manufactured in a beneficiary country or in the customs
territory of the United States.
(3) Determination of cost or value of materials. (i) The cost or
value of materials produced in a beneficiary country or countries or in
the customs territory of the United States includes:
(A) The manufacturer's actual cost for the materials;
(B) When not included in the manufacturer's actual cost for the
materials, the freight, insurance, packing, and all other costs incurred
in transporting the materials to the manufacturer's plant;
(C) The actual cost of waste or spoilage, less the value of
recoverable scrap; and
(D) Taxes and/or duties imposed on the materials by any beneficiary
country or by the United States, provided they are not remitted upon
exportation.
(ii) Where a material is provided to the manufacturer without
charge, or at less than fair market value, its cost or value shall be
determined by computing the sum of:
(A) All expenses incurred in the growth, production, or manufacture
of
[[Page 181]]
the material, including general expenses;
(B) An amount for profit; and
(C) Freight, insurance, packing, and all other costs incurred in
transporting the material to the manufacturer's plant.
(iii) If the pertinent information needed to compute the cost or
value of a material is not available, the appraising officer may
ascertain or estimate the value thereof using all reasonable ways and
means at his disposal.
(e) Direct costs of processing operations--(1) Items included. For
purposes of paragraph (a) of this section, the words direct costs of
processing operations mean those costs either directly incurred in, or
which can be reasonably allocated to, the growth, production,
manufacture, or assembly of the specific merchandise under
consideration. Such costs include, but are not limited to the following,
to the extent that they are includable in the appraised value of the
imported merchandise:
(i) All actual labor costs involved in the growth, production,
manufacture, or assembly of the specific merchandise, including fringe
benefits, on-the-job training, and the cost of engineering, supervisory,
quality control, and similar personnel;
(ii) Dies, molds, tooling, and depreciation on machinery and
equipment which are allocable to the specific merchandise;
(iii) Research, development, design, engineering, and blueprint
costs insofar as they are allocable to the specific merchandise; and
(iv) Costs of inspecting and testing the specific merchandise.
(2) Items not included. For purposes of paragraph (a) of this
section, the words ``direct costs of processing operations'' do not
include items which are not directly attributable to the merchandise
under consideration or are not costs of manufacturing the product. These
include, but are not limited to:
(i) Profit; and
(ii) General expenses of doing business which either are not
allocable to the specific merchandise or are not related to the growth,
production, manufacture, or assembly of the merchandise, such as
administrative salaries, casualty and liability insurance, advertising,
and salesmen's salaries, commissions, or expenses.
(f) Articles wholly the growth, product, or manufacture of a
beneficiary country. Any article which is wholly the growth, product, or
manufacture of a beneficiary country as defined in Sec. 10.202(a), and
any article produced or manufactured in a beneficiary country as defined
in Sec. 10.202(a) exclusively from materials which are wholly the
growth, product, or manufacture of a beneficiary country or countries,
shall normally be presumed to meet the requirement set forth in
paragraph (a) of this section.
Sec. 10.207 Procedures for filing duty-free treatment claim and
submitting supporting documentation.
(a) Filing claim for duty-free treatment. Except as provided in
paragraph (c) of this section, a claim for duty-free treatment under the
ATPA may be made at the time of filing the entry summary by placing the
symbol ``J'' as a prefix to the Harmonized Tariff Schedule of the United
States subheading number applicable to each article for which duty-free
treatment is claimed on that document.
(b) Shipments covered by a formal entry--(1) Articles not wholly the
growth, product, or manufacture of a beneficiary country--(i)
Declaration. In a case involving an article covered by a formal entry
for which duty-free treatment is claimed under the ATPA and which is not
wholly the growth, product, or manufacture of a single beneficiary
country as defined in Sec. 10.202(a), the exporter or other appropriate
party having knowledge of the relevant facts in the beneficiary country
as defined in Sec. 10.202(a) where the article was produced or last
processed shall be prepared to submit directly to the port director,
upon request, a declaration setting forth all pertinent detailed
information concerning the production or manufacture of the article.
When requested by the port director, the declaration shall be prepared
in substantially the following form:
[[Page 182]]
ATPA DECLARATION
I, ------------ (name), hereby declare that the articles described
below (a) were produced or manufactured in ------------ (country) by
means of processing operations performed in that country as set forth
below and were also subjected to processing operations in the other
beneficiary country or countries (including the Commonwealth of Puerto
Rico, the U.S. Virgin Islands, and any CBI beneficiary country) as set
forth below and (b) incorporate materials produced in the country named
above or in any other beneficiary country or countries (including the
Commonwealth of Puerto Rico, the U.S. Virgin Islands, and any CBI
beneficiary country) or in the customs territory of the United States
(other than the Commonwealth of Puerto Rico) as set forth below:
--------------------------------------------------------------------------------------------------------------------------------------------------------
Processing operations performed on articles Material produced in a beneficiary country
----------------------------------------------- or in the U.S.
---------------------------------------------
Number and date of invoices Description of Description of Description of
articles and quantity processing operations Direct costs of material, production Cost or value of
and country of processing operations process, and country material
processing of production
--------------------------------------------------------------------------------------------------------------------------------------------------------
Date____________________________________________________________________
Address_________________________________________________________________
Signature_______________________________________________________________
Title___________________________________________________________________
(ii) Retention of records and submission of declaration. The
information necessary for the preparation of the declaration shall be
retained in the files of the party responsible for its preparation and
submission for a period of 5 years. In the event that the port director
requests submission of the declaration during the 5-year period, it
shall be submitted by the appropriate party directly to the port
director within 60 days of the date of the request or such additional
period as the port director may allow for good cause shown. Failure to
submit the declaration in a timely fashion will result in a denial of
duty-free treatment.
(iii) Value added after final exportation. In a case in which value
is added to an article in the Commonwealth of Puerto Rico or in the
United States after final exportation of the article from a beneficiary
country as defined in Sec. 10.202(a), in order to ensure compliance with
the value requirement under Sec. 10.206(a), the declaration provided for
in paragraph (b)(1)(i) of this section shall be filed by the importer or
consignee with the entry summary. The declaration shall be completed by
the party responsible for the addition of such value.
(2) Articles wholly the growth, product, or manufacture of a
beneficiary country. In a case involving an article covered by a formal
entry for which duty-free treatment is claimed under the ATPA and which
is wholly the growth, product, or manufacture of a single beneficiary
country as defined in Sec. 10.202(a), a statement to that effect shall
be included on the commercial invoice provided to Customs.
(c) Shipments covered by an informal entry. The normal procedure for
filing a claim for duty-free treatment as set forth in paragraph (a) of
this section need not be followed, and the filing of the declaration
provided for in paragraph (b)(1)(i) of this section will not be
required, in a case involving a shipment covered by an informal entry.
However, the port director may require submission of such other evidence
of entitlement to duty-free treatment as deemed necessary.
(d) Evidence of direct importation--(1) Submission. The port
director may require that appropriate shipping papers, invoices, or
other documents be submitted within 60 days of the date of entry as
evidence that the articles were ``imported directly'', as that term is
defined in Sec. 10.204.
(2) Waiver. The port director may waive the submission of evidence
of direct importation when otherwise satisfied, taking into
consideration the kind and value of the merchandise, that the
merchandise was, in fact, imported directly and that it otherwise
clearly qualifies for duty-free treatment under the ATPA.
(e) Verification of documentation. The documentation submitted under
this section to demonstrate compliance with the requirements for duty-
free treatment under the ATPA shall be
[[Page 183]]
subject to such verification as the port director deems necessary. In
the event that the port director is prevented from obtaining the
necessary verification, the port director may treat the entry as fully
dutiable.
Subpart D_Textile and Apparel Articles Under the African Growth and
Opportunity Act
Source: T.D. 00-67, 65 FR 59676, Oct. 5, 2000, unless otherwise
noted.
Sec. 10.211 Applicability.
Title I of Public Law 106-200 (114 Stat. 251), entitled the African
Growth and Opportunity Act (AGOA), authorizes the President to extend
certain trade benefits to designated countries in sub-Saharan Africa.
Section 112 of the AGOA, codified at 19 U.S.C. 3721, provides for the
preferential treatment of certain textile and apparel articles from
beneficiary countries. The provisions of Sec. Sec. 10.211-10.217 of this
part set forth the legal requirements and procedures that apply for
purposes of obtaining preferential treatment pursuant to section 112.
Sec. 10.212 Definitions.
When used in Sec. Sec. 10.211 through 10.217, the following terms
have the meanings indicated:
Apparel articles. ``Apparel articles'' means goods classifiable in
Chapters 61 and 62 and headings 6501, 6502, 6503, and 6504 and
subheadings 6406.99 and 6505.90 of the HTSUS.
Assembled in one or more beneficiary countries. ``Assembled in one
or more beneficiary countries'' when used in the context of a textile or
apparel article has reference to a joining together of two or more
components that occurred in one or more beneficiary countries, whether
or not a prior joining operation was performed on the article or any of
its components in the United States.
Beneficiary country. ``Beneficiary country'' means a country listed
in section 107 of the African Growth and Opportunity Act (19 U.S.C.
3706) which has been the subject of a finding by the President or his
designee, published in the Federal Register, that the country has
satisfied the requirements of section 113 of the African Growth and
Opportunity Act (19 U.S.C. 3722) and which the President has designated
as a beneficiary sub-Saharan African country under section 506A of the
Trade Act of 1974 (19 U.S.C. 2466a).
Cut in one or more beneficiary countries. ``Cut in one or more
beneficiary countries'' when used with reference to apparel articles
means that all fabric components used in the assembly of the article
were cut from fabric in one or more beneficiary countries.
Foreign. ``Foreign'' means of a country other than the United States
or a beneficiary country.
HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the United
States.
Knit-to-shape articles. ``Knit-to-shape,'' when used with reference
to sweaters or other apparel articles, means any apparel article of
which 50 percent or more of the exterior surface area is formed by major
parts that have been knitted or crocheted directly to the shape used in
the apparel article, with no consideration being given to patch pockets,
appliques, or the like. Minor cutting, trimming, or sewing of those
major parts will not affect the determination of whether an apparel
article is ``knit-to-shape.''
Knit-to-shape components. ``Knit-to-shape,'' when used with
reference to textile components, means components that are knitted or
crocheted from a yarn directly to a specific shape containing a self-
start edge. Minor cutting or trimming will not affect the determination
of whether a component is ``knit-to-shape.''
Major parts. ``Major parts'' means integral components of an apparel
article but does not include collars, cuffs, waistbands, plackets,
pockets, linings, paddings, trim, accessories, or similar parts or
components.
NAFTA. ``NAFTA'' means the North American Free Trade Agreement
entered into by the United States, Canada, and Mexico on December 17,
1992.
Originating. ``Originating'' means having the country of origin
determined by application of the provisions of Sec. 102.21 of this
chapter.
[[Page 184]]
Preferential treatment. ``Preferential treatment'' means entry, or
withdrawal from warehouse for consumption, in the customs territory of
the United States free of duty and free of any quantitative limitations
as provided in 19 U.S.C. 3721.
Wholly assembled in. When used with reference to a textile or
apparel article in the context of one or more beneficiary countries or
one or more lesser developed beneficiary countries, the expression
``wholly assembled in'' means that all of the components of the textile
or apparel article (including thread, decorative embellishments,
buttons, zippers, or similar components) were joined together in one or
more beneficiary countries or one or more lesser developed beneficiary
countries.
Wholly formed fabrics. ``Wholly formed,'' when used with reference
to fabric(s), means that all of the production processes, starting with
polymers, fibers, filaments, textile strips, yarns, twine, cordage,
rope, or strips of fabric and ending with a fabric by a weaving,
knitting, needling, tufting, felting, entangling or other process, took
place in the United States or in one or more beneficiary countries.
Wholly formed on seamless knitting machines. ``Wholly formed on
seamless knitting machines,'' when used to describe apparel articles,
has reference to a process that created a knit-to-shape apparel article
by feeding yarn(s) into a knitting machine to result in that article.
When taken from the knitting machine, an apparel article created by this
process either is in its final form or requires only minor cutting or
trimming or the addition of minor components or parts such as patch
pockets, appliques, capping, or elastic strip.
Wholly formed yarns. ``Wholly formed,'' when used with reference to
yarns, means that all of the production processes, starting with the
extrusion of filament, strip, film, or sheet and including slitting a
film or sheet into strip, or the spinning of all fibers into yarn, or
both, and ending with a yarn or plied yarn, took place in a single
country.
[T.D. 00-67, 65 FR 59676, Oct. 5, 2000; 65 FR 67260, Nov. 9, 2000, as
amended by T.D. 03-15, 68 FR 13824, Mar. 21, 2003]
Sec. 10.213 Articles eligible for preferential treatment.
(a) General. The preferential treatment referred to in Sec. 10.211
applies to the following textile and apparel articles that are imported
directly into the customs territory of the United States from a
beneficiary country:
(1) Apparel articles sewn or otherwise assembled in one or more
beneficiary countries from fabrics wholly formed and cut, or from
components knit-to-shape, in the United States, from yarns wholly formed
in the United States, (including fabrics not formed from yarns, if those
fabrics are classifiable under heading 5602 or 5603 of the HTSUS and are
wholly formed and cut in the United States) that are entered under
subheading 9802.00.80 of the HTSUS;
(2) Apparel articles sewn or otherwise assembled in one or more
beneficiary countries from fabrics wholly formed and cut, or from
components knit-to-shape, in the United States, from yarns wholly formed
in the United States, (including fabrics not formed from yarns, if those
fabrics are classifiable under heading 5602 or 5603 of the HTSUS and are
wholly formed and cut in the United States) that are entered under
Chapter 61 or 62 of the HTSUS, if, after that assembly, the articles
would have qualified for entry under subheading 9802.00.80 of the HTSUS
but for the fact that the articles were embroidered or subjected to
stone-washing, enzyme-washing, acid washing, perma-pressing, oven-
baking, bleaching, garment-dyeing, screen printing, or other similar
processes in a beneficiary country;
(3) Apparel articles sewn or otherwise assembled in one or more
beneficiary countries with thread formed in the United States from
fabrics wholly formed in the United States and cut in one or more
beneficiary countries from yarns wholly formed in the United States, or
from components knit-to-shape in the United States from yarns wholly
formed in the United States, or both (including fabrics not formed from
yarns, if those fabrics are classifiable under heading 5602 or 5603 of
the HTSUS and are wholly formed in the United States).
[[Page 185]]
(4) Apparel articles wholly assembled in one or more beneficiary
countries from fabric wholly formed in one or more beneficiary countries
from yarns originating either in the United States or one or more
beneficiary countries (including fabrics not formed from yarns, if those
fabrics are classified under heading 5602 or 5603 of the HTSUS and are
wholly formed in one or more beneficiary countries), or from components
knit-to-shape in one or more beneficiary countries from yarns
originating either in the United States or in one or more beneficiary
countries, or apparel articles wholly formed on seamless knitting
machines in a beneficiary country from yarns originating either in the
United States or in one or more beneficiary countries, subject to the
applicable quantitative limit published in the Federal Register pursuant
to U.S. Note 2, Subchapter XIX, Chapter 98, HTSUS;
(5) Apparel articles wholly assembled, or knit-to-shape and wholly
assembled, or both, in one or more lesser developed beneficiary
countries regardless of the country of origin of the fabric or the yarn
used to make the articles, subject to the applicable quantitative limit
published in the Federal Register pursuant to U.S. Note 2, Subchapter
XIX, Chapter 98, HTSUS;
(6) Sweaters, in chief weight of cashmere, knit-to-shape in one or
more beneficiary countries and classifiable under subheading 6110.10 of
the HTSUS;
(7) Sweaters, containing 50 percent or more by weight of wool
measuring 21.5 microns in diameter or finer, knit-to-shape in one or
more beneficiary countries;
(8) Apparel articles, other than brassieres classifiable under
subheading 6212.10, HTSUS, that are both cut (or knit-to-shape) and sewn
or otherwise assembled in one or more beneficiary countries, from
fabrics or yarn that is not formed in the United States or a beneficiary
country, provided that apparel articles of those fabrics or yarn would
be considered an originating good under General Note 12(t), HTSUS, if
the apparel articles had been imported directly from Canada or Mexico;
(9) Apparel articles that are both cut (or knit-to-shape) and sewn
or otherwise assembled in one or more beneficiary countries from fabrics
or yarn that the President or his designee has designated in the Federal
Register as not available in commercial quantities in the United States;
(10) A handloomed, handmade, or folklore article of a beneficiary
country or countries that is certified as a handloomed, handmade, or
folklore article by the competent authority of the beneficiary country
or countries, provided that the President or his designee has determined
that the article in question will be treated as being a handloomed,
handmade, or folklore article.
(11) Apparel articles sewn or otherwise assembled in one or more
beneficiary countries with thread formed in the United States:
(i) From components cut in the United States and in one or more
beneficiary countries from fabric wholly formed in the United States
from yarns wholly formed in the United States (including fabrics not
formed from yarns, if those fabrics are classifiable under heading 5602
or 5603 of the HTSUS);
(ii) From components knit-to-shape in the United States and one or
more beneficiary countries from yarns wholly formed in the United
States; or
(iii) From any combination of two or more of the cutting or
knitting-to-shape operations described in paragraph (a)(11)(i) or
paragraph (a)(11)(ii) of this section.
(b) Special rules for certain component materials--(1) General. An
article otherwise described under paragraph (a) of this section will not
be ineligible for the preferential treatment referred to in Sec. 10.211
because the article contains:
(i) Findings and trimmings of foreign origin, if the value of those
findings and trimmings does not exceed 25 percent of the cost of the
components of the assembled article. For purposes of this section
``findings and trimmings'' include, but are not limited to, hooks and
eyes, snaps, buttons, ``bow buds,'' decorative lace trim, elastic strips
(but only if they are each less than 1 inch in width and are used in the
production of brassieres), zippers (including zipper tapes), labels, and
sewing thread except in the case of an article described in paragraph
(a)(3) of this section;
[[Page 186]]
(ii) Interlinings of foreign origin, if the value of those
interlinings does not exceed 25 percent of the cost of the components of
the assembled article. For purposes of this section ``interlinings''
include only a chest type plate, a ``hymo'' piece, or ``sleeve header,''
of woven or weft-inserted warp knit construction and of coarse animal
hair or man-made filaments;
(iii) Any combination of findings and trimmings of foreign origin
and interlinings of foreign origin, if the total value of those findings
and trimmings and interlinings does not exceed 25 percent of the cost of
the components of the assembled article; or
(iv) Fibers or yarns not wholly formed in the United States or one
or more beneficiary countries if the total weight of all those fibers
and yarns is not more than 7 percent of the total weight of the article.
(2) ``Cost''and ``value'' defined. The ``cost'' of components and
the ``value'' of findings and trimmings or interlinings referred to in
paragraph (b)(1) of this section means:
(i) The price of the components, findings and trimmings, or
interlinings when last purchased, f.o.b. port of exportation, as set out
in the invoice or other commercial documents, or, if the price is other
than f.o.b. port of exportation:
(A) The price as set out in the invoice or other commercial
documents adjusted to arrive at an f.o.b. port of exportation price; or
(B) If no exportation to a beneficiary country is involved, the
price as set out in the invoice or other commercial documents, less the
freight, insurance, packing and other costs incurred in transporting the
components, findings and trimmings, or interlinings to the place of
production if included in that price; or
(ii) If the price cannot be determined under paragraph (b)(2)(i) of
this section or if Customs finds that price to be unreasonable, all
reasonable expenses incurred in the growth, production, manufacture, or
other processing of the components, findings and trimmings, or
interlinings, including the cost or value of materials and general
expenses, plus a reasonable amount for profit, and the freight,
insurance, packing, and other costs, if any, incurred in transporting
the components, findings and trimmings, or interlinings to the port of
exportation.
(3) Treatment of fibers and yarns as findings or trimmings. If any
fibers or yarns not wholly formed in the United States or one or more
beneficiary countries are used in an article as a finding or trimming
described in paragraph (b)(1)(i) of this section, the fibers or yarns
will be considered to be a finding or trimming for purposes of paragraph
(b)(1) of this section.
(c) Imported directly defined. For purposes of paragraph (a) of this
section, the words ``imported directly'' mean:
(1) Direct shipment from any beneficiary country to the United
States without passing through the territory of any non-beneficiary
country;
(2) If the shipment is from any beneficiary country to the United
States through the territory of any non-beneficiary country, the
articles in the shipment do not enter into the commerce of any non-
beneficiary country while en route to the United States and the
invoices, bills of lading, and other shipping documents show the United
States as the final destination; or
(3) If the shipment is from any beneficiary country to the United
States through the territory of any non-beneficiary country, and the
invoices and other documents do not show the United States as the final
destination, the articles in the shipment upon arrival in the United
States are imported directly only if they:
(i) Remained under the control of the customs authority of the
intermediate country;
(ii) Did not enter into the commerce of the intermediate country
except for the purpose of sale other than at retail, and the port
director is satisfied that the importation results from the original
commercial transaction between the importer and the producer or the
producer's sales agent; and
(iii) Were not subjected to operations other than loading or
unloading, and other activities necessary to preserve the articles in
good condition.
[T.D. 00-67, 65 FR 59676, Oct. 5, 2000; 65 FR 67260, Nov. 9, 2000, as
amended by T.D. 03-15, 68 FR 13824, Mar. 21, 2003]
[[Page 187]]
Sec. 10.214 Certificate of Origin.
(a) General. A Certificate of Origin must be employed to certify
that a textile or apparel article being exported from a beneficiary
country to the United States qualifies for the preferential treatment
referred to in Sec. 10.211. The Certificate of Origin must be prepared
by the exporter in the beneficiary country in the form specified in
paragraph (b) of this section. Where the beneficiary country exporter is
not the producer of the article, that exporter may complete and sign a
Certificate of Origin on the basis of:
(1) Its reasonable reliance on the producer's written representation
that the article qualifies for preferential treatment; or
(2) A completed and signed Certificate of Origin for the article
voluntarily provided to the exporter by the producer.
(b) Form of Certificate. The Certificate of Origin referred to in
paragraph (a) of this section must be in the following format:
[[Page 188]]
[GRAPHIC] [TIFF OMITTED] TR21MR03.001
(c) Preparation of Certificate. The following rules will apply for
purposes of completing the Certificate of Origin set forth in paragraph
(b) of this section:
(1) Blocks 1 through 5 pertain only to the final article exported to
the United States for which preferential treatment may be claimed;
(2) Block 1 should state the legal name and address (including
country) of the exporter;
(3) Block 2 should state the legal name and address (including
country)
[[Page 189]]
of the producer. If there is more than one producer, attach a list
stating the legal name and address (including country) of all additional
producers. If this information is confidential, it is acceptable to
state ``available to Customs upon request'' in block 2. If the producer
and the exporter are the same, state ``same'' in block 2;
(4) Block 3 should state the legal name and address (including
country) of the importer;
(5) In block 4, insert the number and/or letter that identifies the
preference group which applies to the article according to the
description contained in the CFR provision cited on the Certificate for
that group;
(6) Block 5 should provide a full description of each article. The
description should be sufficient to relate it to the invoice description
and to the description of the article in the international Harmonized
System. Include the invoice number as shown on the commercial invoice
or, if the invoice number is not known, include another unique reference
number such as the shipping order number;
(7) Blocks 6 through 10 must be completed only when the block in
question calls for information that is relevant to the preference group
identified in block 4;
(8) Block 6 should state the legal name and address (including
country) of the fabric producer;
(9) Block 7 should state the legal name and address (including
country) of the yarn producer;
(10) Block 8 should state the legal name and address (including
country) of the thread producer;
(11) Block 9 should state the name of the folklore article or should
state that the article is handloomed or handmade;
(12) Block 10 should be completed only when the preference group
identifier ``8'' and/or ``H'' is inserted in block 4 and should state
the name of the fabric or yarn that is in short supply in the NAFTA or
that has been designated as not available in commercial quantities in
the United States;
(13) Block 11 must contain the signature of the exporter or of the
exporter's authorized agent having knowledge of the relevant facts;
(14) Block 15 should reflect the date on which the Certificate was
completed and signed;
(15) Block 16 should be completed if the Certificate is intended to
cover multiple shipments of identical articles as described in block 5
that are imported into the United States during a specified period of up
to one year (see Sec. 10.216(b)(4)(ii)). The ``from'' date is the date
on which the Certificate became applicable to the article covered by the
blanket Certificate (this date may be prior to the date reflected in
block 15). The ``to'' date is the date on which the blanket period
expires;
(16) The telephone and facsimile numbers included in block 17 should
be those at which the person who signed the Certificate may be
contacted; and
(17) The Certificate may be printed and reproduced locally. If more
space is needed to complete the Certificate, attach a continuation
sheet.
[T.D. 00-67, 65 FR 59676, Oct. 5, 2000, as amended by T.D. 03-15, 68 FR
13825, Mar. 21, 2003]
Sec. 10.215 Filing of claim for preferential treatment.
(a) Declaration. In connection with a claim for preferential
treatment for a textile or apparel article described in Sec. 10.213, the
importer must make a written declaration that the article qualifies for
that treatment. The inclusion on the entry summary, or equivalent
documentation, of the subheading within Chapter 98 of the HTSUS under
which the article is classified will constitute the written declaration.
Except in any of the circumstances described in Sec. 10.216(d)(1), the
declaration required under this paragraph must be based on an original
Certificate of Origin that has been completed and properly executed in
accordance with Sec. 10.214, that covers the article being imported, and
that is in the possession of the importer.
(b) Corrected declaration. If, after making the declaration required
under paragraph (a) of this section, the importer has reason to believe
that a Certificate of Origin on which a declaration was based contains
information that is not correct, the importer must within 30 calendar
days after the date
[[Page 190]]
of discovery of the error make a corrected declaration and pay any
duties that may be due. A corrected declaration will be effected by
submission of a letter or other written statement to the Customs port
where the declaration was originally filed.
[T.D. 00-67, 65 FR 59676, Oct. 5, 2000, as amended by T.D. 03-15, 68 FR
13827, Mar. 21, 2003]
Sec. 10.216 Maintenance of records and submission of Certificate by
importer.
(a) Maintenance of records. Each importer claiming preferential
treatment for an article under Sec. 10.215 must maintain in the United
States, in accordance with the provisions of part 163 of this chapter,
all records relating to the importation of the article. Those records
must include the original Certificate of Origin referred to in
Sec. 10.215(a) and any other relevant documents or other records as
specified in Sec. 163.1(a) of this chapter.
(b) Submission of Certificate. An importer who claims preferential
treatment on a textile or apparel article under Sec. 10.215(a) must
provide, at the request of the port director, a copy of the Certificate
of Origin pertaining to the article. A Certificate of Origin submitted
to Customs under this paragraph:
(1) Must be in writing or must be transmitted electronically
pursuant to any electronic data interchange system authorized by Customs
for that purpose;
(2) Must be signed by the exporter or by the exporter's authorized
agent having knowledge of the relevant facts;
(3) Must be completed either in the English language or in the
language of the country from which the article is exported. If the
Certificate is completed in a language other than English, the importer
must provide to Customs upon request a written English translation of
the Certificate; and
(4) May be applicable to:
(i) A single importation of an article into the United States,
including a single shipment that results in the filing of one or more
entries and a series of shipments that results in the filing of one
entry; or
(ii) Multiple importations of identical articles into the United
States that occur within a specified blanket period, not to exceed 12
months, set out in the Certificate by the exporter. For purposes of this
paragraph and Sec. 10.214(c)(15), ``identical articles'' means articles
that are the same in all material respects, including physical
characteristics, quality, and reputation.
(c) Correction and nonacceptance of Certificate. If the port
director determines that a Certificate of Origin is illegible or
defective or has not been completed in accordance with paragraph (b) of
this section, the importer will be given a period of not less than five
working days to submit a corrected Certificate. A Certificate will not
be accepted in connection with subsequent importations during a period
referred to in paragraph (b)(4)(ii) of this section if the port director
determined that a previously imported identical article covered by the
Certificate did not qualify for preferential treatment.
(d) Certificate not required--(1) General. Except as otherwise
provided in paragraph (d)(2) of this section, an importer is not
required to have a Certificate of Origin in his possession for:
(i) An importation of an article for which the port director has in
writing waived the requirement for a Certificate of Origin because the
port director is otherwise satisfied that the article qualifies for
preferential treatment;
(ii) A non-commercial importation of an article; or
(iii) A commercial importation of an article whose value does not
exceed US$2,500, provided that, unless waived by the port director, the
producer, exporter, importer or authorized agent includes on, or
attaches to, the invoice or other document accompanying the shipment the
following signed statement:
I hereby certify that the article covered by this shipment qualifies
for preferential treatment under the AGOA.
Check One:
( ) Producer
( ) Exporter
( ) Importer
( ) Agent
________________________________________________________________________
[[Page 191]]
Name____________________________________________________________________
Title___________________________________________________________________
Address_________________________________________________________________
Signature and Date
(2) Exception. If the port director determines that an importation
described in paragraph (d)(1) of this section forms part of a series of
importations that may reasonably be considered to have been undertaken
or arranged for the purpose of avoiding a Certificate of Origin
requirement under Sec. Sec. 10.214 through 10.216, the port director
will notify the importer in writing that for that importation the
importer must have in his possession a valid Certificate of Origin to
support the claim for preferential treatment. The importer will have 30
calendar days from the date of the written notice to obtain a valid
Certificate of Origin, and a failure to timely obtain the Certificate of
Origin will result in denial of the claim for preferential treatment.
For purposes of this paragraph, a ``series of importations'' means two
or more entries covering articles arriving on the same day from the same
exporter and consigned to the same person.
[T.D. 00-67, 65 FR 59676, Oct. 5, 2000, as amended by T.D. 03-15, 68 FR
13827, Mar. 21, 2003]
Sec. 10.217 Verification and justification of claim for preferential
treatment.
(a) Verification by Customs. A claim for preferential treatment made
under Sec. 10.215, including any statements or other information
contained on a Certificate of Origin submitted to Customs under
Sec. 10.216, will be subject to whatever verification the port director
deems necessary. In the event that the port director for any reason is
prevented from verifying the claim, the port director may deny the claim
for preferential treatment. A verification of a claim for preferential
treatment may involve, but need not be limited to, a review of:
(1) All records required to be made, kept, and made available to
Customs by the importer or any other person under part 163 of this
chapter;
(2) Documentation and other information regarding the country of
origin of an article and its constituent materials, including, but not
limited to, production records, information relating to the place of
production, the number and identification of the types of machinery used
in production, and the number of workers employed in production; and
(3) Evidence to document the use of U.S. materials in the production
of the article in question, such as purchase orders, invoices, bills of
lading and other shipping documents, and customs import and clearance
documents.
(b) Importer requirements. In order to make a claim for preferential
treatment under Sec. 10.215, the importer:
(1) Must have records that explain how the importer came to the
conclusion that the textile or apparel article qualifies for
preferential treatment. Those records must include documents that
support a claim that the article in question qualifies for preferential
treatment because it is specifically described in one of the provisions
under Sec. 10.213(a). If the importer is claiming that the article
incorporates fabric or yarn that originated or was wholly formed in the
United States, the importer must have records that identify the U.S.
producer of the fabric or yarn. A properly completed Certificate of
Origin in the form set forth in Sec. 10.214(b) is a record that would
serve these purposes;
(2) Must establish and implement internal controls which provide for
the periodic review of the accuracy of the Certificate of Origin or
other records referred to in paragraph (b)(1) of this section;
(3) Must have shipping papers that show how the article moved from
the beneficiary country to the United States. If the imported article
was shipped through a country other than a beneficiary country and the
invoices and other documents from the beneficiary country do not show
the United States as the final destination, the importer also must have
documentation that demonstrates that the conditions set forth in
Sec. 10.213(c)(3) (i) through (iii) were met; and
(4) Must be prepared to explain, upon request from Customs, how the
records and internal controls referred to in paragraphs (b)(1) through
(b)(3) of this
[[Page 192]]
section justify the importer's claim for preferential treatment.
[T.D. 00-67, 65 FR 59676, Oct. 5, 2000, as amended by T.D. 03-15, 68 FR
13827, Mar. 21, 2003]
Subpart E_United States-Caribbean Basin Trade Partnership Act
Textile and Apparel Articles Under the United States-Caribbean Basin
Trade Partnership Act
Source: T.D. 00-68, 65 FR 59658, Oct. 5, 2000, unless otherwise
noted.
Sec. 10.221 Applicability.
Title II of Public Law 106-200 (114 Stat. 251), entitled the United
States-Caribbean Basin Trade Partnership Act (CBTPA), amended section
213(b) of the Caribbean Basin Economic Recovery Act (the CBERA, 19
U.S.C. 2701-2707) to authorize the President to extend additional trade
benefits to countries that have been designated as beneficiary countries
under the CBERA. Section 213(b)(2) of the CBERA (19 U.S.C. 2703(b)(2))
provides for the preferential treatment of certain textile and apparel
articles from CBERA beneficiary countries. The provisions of
Sec. Sec. 10.221-10.227 of this part set forth the legal requirements
and procedures that apply for purposes of obtaining preferential
treatment pursuant to CBERA section 213(b)(2).
[T.D. 00-68, 65 FR 59658, Oct. 5, 2000; 65 FR 67262, Nov. 9, 2000]
Sec. 10.222 Definitions.
When used in Sec. Sec. 10.221 through 10.228, the following terms
have the meanings indicated:
Apparel articles. ``Apparel articles'' means goods classifiable in
Chapters 61 and 62 and headings 6501, 6502, 6503, and 6504 and
subheadings 6406.99 and 6505.90 of the HTSUS.
Assembled in one or more CBTPA beneficiary countries. ``Assembled in
one or more CBTPA beneficiary countries'' when used in the context of a
textile or apparel article has reference to a joining together of two or
more components that occurred in one or more CBTPA beneficiary
countries, whether or not a prior joining operation was performed on the
article or any of its components in the United States.
CBERA. ``CBERA'' means the Caribbean Basin Economic Recovery Act, 19
U.S.C. 2701-2707.
CBTPA beneficiary country. ``CBTPA beneficiary country'' means a
``beneficiary country'' as defined in Sec. 10.191(b)(1) for purposes of
the CBERA which the President also has designated as a beneficiary
country for purposes of preferential treatment of textile and apparel
articles under 19 U.S.C. 2703(b)(2) and which has been the subject of a
finding by the President or his designee, published in the Federal
Register, that the beneficiary country has satisfied the requirements of
19 U.S.C. 2703(b)(4)(A)(ii).
Cut in one or more CBTPA beneficiary countries. ``Cut in one or more
CBTPA beneficiary countries'' when used with reference to apparel
articles means that all fabric components used in the assembly of the
article were cut from fabric in one or more CBTPA beneficiary countries.
Foreign. ``Foreign'' means of a country other than the United States
or a CBTPA beneficiary country.
HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the United
States.
Knit-to-shape. The term ``knit-to-shape'' applies to any apparel
article of which 50 percent or more of the exterior surface area is
formed by major parts that have been knitted or crocheted directly to
the shape used in the apparel article, with no consideration being given
to patch pockets, appliques, or the like. Minor cutting, trimming, or
sewing of those major parts will not affect the determination of whether
an apparel article is ``knit-to-shape.''
Luggage. ``Luggage'' means travel goods (such as trunks, hand
trunks, lockers, valises, satchels, suitcases, wardrobe cases, overnight
bags, pullman bags, gladstone bags, traveling bags, knapsacks, kitbags,
haversacks, duffle bags, and like articles designed to contain clothing
or other personal effects during travel) and brief cases, portfolios,
school bags, photographic equipment bags, golf bags, camera
[[Page 193]]
cases, binocular cases, gun cases, occupational luggage cases (for
example, physicians' cases, sample cases), and like containers and cases
designed to be carried with the person. The term ``luggage'' does not
include handbags (that is, pocketbooks, purses, shoulder bags, clutch
bags, and all similar articles, by whatever name known, customarily
carried by women or girls). The term ``luggage'' also does not include
flat goods (that is, small flatware designed to be carried on the
person, such as banknote cases, bill cases, billfolds, bill purses, bill
rolls, card cases, change cases, cigarette cases, coin purses, coin
holders, compacts, currency cases, key cases, letter cases, license
cases, money cases, pass cases, passport cases, powder cases, spectacle
cases, stamp cases, vanity cases, tobacco pouches, and similar
articles).
Made in one or more CBTPA beneficiary countries. ``Made in one or
more CBTPA beneficiary countries'' when used with reference to non-
underwear t-shirts means cut in one or more CBTPA beneficiary countries
and wholly assembled in one or more CBTPA beneficiary countries.
Major parts. ``Major parts'' means integral components of an apparel
article but does not include collars, cuffs, waistbands, plackets,
pockets, linings, paddings, trim, accessories, or similar parts or
components.
NAFTA. ``NAFTA'' means the North American Free Trade Agreement
entered into by the United States, Canada, and Mexico on December 17,
1992.
Preferential treatment. ``Preferential treatment'' means entry, or
withdrawal from warehouse for consumption, in the customs territory of
the United States free of duty and free of any quantitative
restrictions, limitations, or consultation levels as provided in 19
U.S.C. 2703(b)(2).
Wholly assembled in one or more CBTPA beneficiary countries.
``Wholly assembled in one or more CBTPA beneficiary countries'' when
used in the context of a textile or apparel article has reference to a
joining together of all components (including thread, decorative
embellishments, buttons, zippers, or similar components) that occurred
only in one or more CBTPA beneficiary countries.
Wholly formed. ``Wholly formed,'' when used with reference to yarns,
means that all of the production processes, starting with the extrusion
of filament, strip, film, or sheet and including slitting a film or
sheet into strip or the spinning of all fibers into yarn or both and
ending with a yarn or plied yarn, took place in a single country, and,
when used with reference to fabric(s), means that all of the production
processes, starting with polymers, fibers, filaments, textile strips,
yarns, twine, cordage, rope, or strips of fabric and ending with a
fabric by a weaving, knitting, needling, tufting, felting, entangling or
other process, took place in a single country.
[T.D. 00-68, 65 FR 59658, Oct. 5, 2000; 65 FR 67262, Nov. 9, 2000; T.D.
01-74, 66 FR 50537, Oct. 4, 2001, as amended by T.D. 03-12, 68 FR 13831,
Mar. 21, 2003]
Sec. 10.223 Articles eligible for preferential treatment.
(a) General. The preferential treatment referred to in Sec. 10.221
applies to the following textile and apparel articles that are imported
directly into the customs territory of the United States from a CBTPA
beneficiary country:
(1) Apparel articles sewn or otherwise assembled in one or more
CBTPA beneficiary countries from fabrics wholly formed and cut, or from
components knit-to-shape, in the United States, from yarns wholly formed
in the United States (including fabrics not formed from yarns, if those
fabrics are classifiable under heading 5602 or 5603 of the HTSUS and are
wholly formed and cut in the United States) that are entered under
subheading 9802.00.80 of the HTSUS, and provided that any other
processing involving the article conforms to the rules set forth in
paragraph (b) of this section;
(2) Apparel articles sewn or otherwise assembled in one or more
CBTPA beneficiary countries from fabrics wholly formed and cut, or from
components knit-to-shape, in the United States, from yarns wholly formed
in the United States (including fabrics not formed from yarns, if those
fabrics are classifiable under heading 5602 or 5603 of the HTSUS and are
wholly formed and cut in the United States) that are entered under
Chapter 61 or 62 of the
[[Page 194]]
HTSUS, if, after that assembly, the articles would have qualified for
entry under subheading 9802.00.80 of the HTSUS but for the fact that the
articles were embroidered or subjected to stone-washing, enzyme-washing,
acid washing, perma-pressing, oven-baking, bleaching, garment-dyeing,
screen printing, or other similar processes in a CBTPA beneficiary
country, and provided that any other processing involving the article
conforms to the rules set forth in paragraph (b) of this section;
(3) Apparel articles sewn or otherwise assembled in one or more
CBTPA beneficiary countries with thread formed in the United States from
fabrics wholly formed in the United States and cut in one or more CBTPA
beneficiary countries from yarns wholly formed in the United States, or
from components knit-to-shape in the United States from yarns wholly
formed in the United States, or both (including fabrics not formed from
yarns, if those fabrics are classifiable under heading 5602 or 5603 of
the HTSUS and are wholly formed in the United States), and provided that
any other processing involving the article conforms to the rules set
forth in paragraph (b) of this section;
(4) Apparel articles (other than socks provided for in heading 6115
of the HTSUS) knit to shape in a CBTPA beneficiary country from yarns
wholly formed in the United States, and knitted or crocheted apparel
articles (other than non-underwear t-shirts classifiable under
subheadings 6109.10.00 and 6109.90.10 of the HTSUS and described in
paragraph (a)(5) of this section) cut and wholly assembled in one or
more CBTPA beneficiary countries from fabrics formed in one or more
CBTPA beneficiary countries or in one or more CBTPA beneficiary
countries and the United States from yarns wholly formed in the United
States (including fabrics not formed from yarns, if those fabrics are
classifiable under heading 5602 or 5603 of the HTSUS and are formed in
one or more CBTPA beneficiary countries);
(5) Non-underwear t-shirts, classifiable under subheadings
6109.10.00 and 6109.90.10 of the HTSUS, made in one or more CBTPA
beneficiary countries from fabric formed in one or more CBTPA
beneficiary countries from yarns wholly formed in the United States;
(6) Brassieres classifiable under subheading 6212.10 of the HTSUS,
if both cut and sewn or otherwise assembled in the United States, or in
one or more CBTPA beneficiary countries, or in both, other than articles
entered as articles described in paragraphs (a)(1) through (a)(5),
paragraphs (a)(7) through (a)(9), or paragraph (a)(12), and provided
that any applicable additional requirements set forth in Sec. 10.228 are
met;
(7) Apparel articles, other than articles described in paragraph
(a)(6) of this section, that are both cut (or knit-to-shape) and sewn or
otherwise assembled in one or more CBTPA beneficiary countries, from
fabrics or yarn that is not formed in the United States or in one or
more CBTPA beneficiary countries, to the extent that apparel articles of
those fabrics or yarn would be eligible for preferential treatment,
without regard to the source of the fabrics or yarn, under Annex 401 of
the NAFTA;
(8) Apparel articles that are both cut (or knit-to-shape) and sewn
or otherwise assembled in one or more CBTPA beneficiary countries from
fabrics or yarn that the President or his designee has designated in the
Federal Register as not available in commercial quantities in the United
States;
(9) A handloomed, handmade, or folklore textile or apparel article
of a CBTPA beneficiary country that the President or his designee and
representatives of the CBTPA beneficiary country mutually agree is a
handloomed, handmade, or folklore article and that is certified as a
handloomed, handmade, or folklore article by the competent authority of
the CBTPA beneficiary country;
(10) Textile luggage assembled in a CBTPA beneficiary country from
fabric wholly formed and cut in the United States, from yarns wholly
formed in the United States, that is entered under subheading 9802.00.80
of the HTSUS;
(11) Textile luggage assembled in a CBTPA beneficiary country from
fabric cut in a CBTPA beneficiary country
[[Page 195]]
from fabric wholly formed in the United States from yarns wholly formed
in the United States;
(12) Knitted or crocheted apparel articles cut and assembled in one
or more CBTPA beneficiary countries from fabrics wholly formed in the
United States from yarns wholly formed in the United States, or from
components knit-to-shape in the United States from yarns wholly formed
in the United States, or both (including fabrics not formed from yarns,
if those fabrics are classifiable under heading 5602 or 5603 of the
HTSUS and are formed wholly in the United States), provided that the
assembly is with thread formed in the United States, and provided that
any other processing involving the article conforms to the rules set
forth in paragraph (b) of this section; and
(13) Apparel articles sewn or otherwise assembled in one or more
CBTPA beneficiary countries with thread formed in the United States:
(i) From components cut in the United States and in one or more
CBTPA beneficiary countries from fabric wholly formed in the United
States from yarns wholly formed in the United States (including fabrics
not formed from yarns, if those fabrics are classifiable under heading
5602 or 5603 of the HTSUS);
(ii) From components knit-to-shape in the United States and one or
more CBTPA beneficiary countries from yarns wholly formed in the United
States; or
(iii) From any combination of two or more of the cutting or
knitting-to-shape operations described in paragraph (a)(13)(i) or
paragraph (a)(13)(ii) of this section; and
(iv) Provided that any processing not described in this paragraph
(a)(13) conforms to the rules set forth in paragraph (b) of this
section.
(b) Dyeing, printing, finishing and other operations--(1) Dyeing,
printing and finishing operations. Dyeing, printing, and finishing
operations may be performed on any yarn, fabric, or knit-to-shape or
other component used in the production of any article described under
paragraph (a) of this section without affecting the eligibility of the
article for preferential treatment, provided that the operation is
performed in the United States or in a CBTPA beneficiary country and not
in any other country and subject to the following additional conditions:
(i) In the case of an article described in paragraph (a)(1), (a)(2),
(a)(3), (a)(12), or (a)(13) of this section that is entered on or after
September 1, 2002, and that contains a knitted or crocheted or woven
fabric, or a knitted or crocheted or woven fabric component produced
from fabric, that was wholly formed in the United States from yarns
wholly formed in the United States, any dyeing, printing, or finishing
of that knitted or crocheted or woven fabric or component must have been
carried out in the United States; and
(ii) In the case of assembled luggage described in paragraph (a)(10)
of this section, an operation may be performed in a CBTPA beneficiary
country only if that operation is incidental to the assembly process
within the meaning of Sec. 10.16.
(2) Other operations. An article described under paragraph (a) of
this section that is otherwise eligible for preferential treatment will
not be disqualified from receiving that treatment by virtue of having
undergone one or more operations such as embroidering, stone-washing,
enzyme-washing, acid washing, perma-pressing, oven-baking, bleaching,
garment-dyeing or screen printing, provided that the operation is
performed in the United States or in a CBTPA beneficiary country and not
in any other country. However, in the case of assembled luggage
described in paragraph (a)(10) of this section, an operation may be
performed in a CBTPA beneficiary country without affecting the
eligibility of the article for preferential treatment only if it is
incidental to the assembly process within the meaning of Sec. 10.16.
(c) Special rules for certain component materials--(1) Foreign
findings, trimmings, interlinings, fibers and yarns--(i) General. An
article otherwise described under paragraph (a) of this section will not
be ineligible for the preferential treatment referred to in Sec. 10.221
because the article contains:
(A) Findings and trimmings of foreign origin, if the value of those
findings and trimmings does not exceed 25
[[Page 196]]
percent of the cost of the components of the assembled article. For
purposes of this section ``findings and trimmings'' include, but are not
limited to, hooks and eyes, snaps, buttons, ``bow buds,'' decorative
lace trim, elastic strips (but only if they are each less than 1 inch in
width and are used in the production of brassieres), zippers (including
zipper tapes), labels, and sewing thread except in the case of an
article described in paragraph (a)(3) or (a)(12) of this section;
(B) Interlinings of foreign origin, if the value of those
interlinings does not exceed 25 percent of the cost of the components of
the assembled article. For purposes of this section ``interlinings''
include only a chest type plate, a ``hymo'' piece, or ``sleeve header,''
of woven or weft-inserted warp knit construction and of coarse animal
hair or man-made filaments;
(C) Any combination of findings and trimmings of foreign origin and
interlinings of foreign origin, if the total value of those findings and
trimmings and interlinings does not exceed 25 percent of the cost of the
components of the assembled article; or
(D) Fibers or yarns not wholly formed in the United States or in one
or more CBTPA beneficiary countries if the total weight of all those
fibers and yarns is not more than 7 percent of the total weight of the
article, except in the case of any apparel article described in
paragraph (a)(1) through (a)(5) or (a)(12) of this section containing
elastomeric yarns which will be eligible for preferential treatment only
if those yarns are wholly formed in the United States.
(ii) ``Cost'' and ``value'' defined. The ``cost'' of components and
the ``value'' of findings and trimmings or interlinings referred to in
paragraph (c)(1)(i) of this section means:
(A) The price of the components, findings and trimmings, or
interlinings when last purchased, f.o.b. port of exportation, as set out
in the invoice or other commercial documents, or, if the price is other
than f.o.b. port of exportation:
(1) The price as set out in the invoice or other commercial
documents adjusted to arrive at an f.o.b. port of exportation price; or
(2) If no exportation to a CBTPA beneficiary country is involved,
the price as set out in the invoice or other commercial documents, less
the freight, insurance, packing, and other costs incurred in
transporting the components, findings and trimmings, or interlinings to
the place of production if included in that price; or
(B) If the price cannot be determined under paragraph (c)(1)(ii)(A)
of this section or if Customs finds that price to be unreasonable, all
reasonable expenses incurred in the growth, production, manufacture, or
other processing of the components, findings and trimmings, or
interlinings, including the cost or value of materials and general
expenses, plus a reasonable amount for profit, and the freight,
insurance, packing, and other costs, if any, incurred in transporting
the components, findings and trimmings, or interlinings to the port of
exportation.
(iii) Treatment of fibers and yarns as findings or trimmings. If any
fibers or yarns not wholly formed in the United States or one or more
beneficiary countries are used in an article as a finding or trimming
described in paragraph (c)(1)(i)(A) of this section, the fibers or yarns
will be considered to be a finding or trimming for purposes of paragraph
(c)(1)(i) of this section.
(2) Special rule for nylon filament yarn. An article otherwise
described under paragraph (a)(1), (a)(2), (a)(3) or (a)(12) of this
section will not be ineligible for the preferential treatment referred
to in Sec. 10.221 because the article contains nylon filament yarn
(other than elastomeric yarn) that is classifiable under subheading
5402.10.30, 5402.10.60, 5402.31.30, 5402.31.60, 5402.32.30, 5402.32.60,
5402.41.10, 5402.41.90, 5402.51.00, or 5402.61.00 of the HTSUS duty-free
from Canada, Mexico or Israel.
(3) Dyed, printed, or finished thread. An article otherwise
described under paragraph (a) of this section will not be ineligible for
the preferential treatment referred to in Sec. 10.221 because the thread
used to assemble the article is dyed, printed, or finished in one or
more CBTPA beneficiary countries.
(d) Imported directly defined. For purposes of paragraph (a) of this
section, the words ``imported directly'' mean:
[[Page 197]]
(1) Direct shipment from any CBTPA beneficiary country to the United
States without passing through the territory of any country that is not
a CBTPA beneficiary country;
(2) If the shipment is from any CBTPA beneficiary country to the
United States through the territory of any country that is not a CBTPA
beneficiary country, the articles in the shipment do not enter into the
commerce of any country that is not a CBTPA beneficiary country while en
route to the United States and the invoices, bills of lading, and other
shipping documents show the United States as the final destination; or
(3) If the shipment is from any CBTPA beneficiary country to the
United States through the territory of any country that is not a CBTPA
beneficiary country, and the invoices and other documents do not show
the United States as the final destination, the articles in the shipment
upon arrival in the United States are imported directly only if they:
(i) Remained under the control of the customs authority of the
intermediate country;
(ii) Did not enter into the commerce of the intermediate country
except for the purpose of sale other than at retail, and the port
director is satisfied that the importation results from the original
commercial transaction between the importer and the producer or the
producer's sales agent; and
(iii) Were not subjected to operations other than loading or
unloading, and other activities necessary to preserve the articles in
good condition.
[T.D. 00-68, 65 FR 59658, Oct. 5, 2000; 65 FR 67262, Nov. 9, 2000, as
amended by T.D. 01-74, 66 FR 50537, Oct. 4, 2001; T.D. 03-12, 68 FR
13832, Mar. 21, 2003]
Sec. 10.224 Certificate of Origin.
(a) General. A Certificate of Origin must be employed to certify
that a textile or apparel article being exported from a CBTPA
beneficiary country to the United States qualifies for the preferential
treatment referred to in Sec. 10.221. The Certificate of Origin must be
prepared by the exporter in the CBTPA beneficiary country in the form
specified in paragraph (b) of this section. Where the CBTPA beneficiary
country exporter is not the producer of the article, that exporter may
complete and sign a Certificate of Origin on the basis of:
(1) Its reasonable reliance on the producer's written representation
that the article qualifies for preferential treatment; or
(2) A completed and signed Certificate of Origin for the article
voluntarily provided to the exporter by the producer.
(b) Form of Certificate. The Certificate of Origin referred to in
paragraph (a) of this section must be in the following format:
[[Page 198]]
[GRAPHIC] [TIFF OMITTED] TR21MR03.002
(c) Preparation of Certificate. The following rules will apply for
purposes of completing the Certificate of Origin set forth in paragraph
(b) of this section:
(1) Blocks 1 through 5 pertain only to the final article exported to
the United States for which preferential treatment may be claimed;
(2) Block 1 should state the legal name and address (including
country) of the exporter;
[[Page 199]]
(3) Block 2 should state the legal name and address (including
country) of the producer. If there is more than one producer, attach a
list stating the legal name and address (including country) of all
additional producers. If this information is confidential, it is
acceptable to state ``available to Customs upon request'' in block 2. If
the producer and the exporter are the same, state ``same'' in block 2;
(4) Block 3 should state the legal name and address (including
country) of the importer;
(5) In block 4, insert the letter that designates the preference
group which applies to the article according to the description
contained in the CFR provision cited on the Certificate for that group;
(6) Block 5 should provide a full description of each article. The
description should be sufficient to relate it to the invoice description
and to the description of the article in the international Harmonized
System. Include the invoice number as shown on the commercial invoice
or, if the invoice number is not known, include another unique reference
number such as the shipping order number;
(7) Blocks 6 through 10 must be completed only when the block in
question calls for information that is relevant to the preference group
identified in block 4;
(8) Block 6 should state the legal name and address (including
country) of the fabric producer;
(9) Block 7 should state the legal name and address (including
country) of the yarn producer;
(10) Block 8 should state the legal name and address (including
country) of the thread producer;
(11) Block 9 should state the name of the folklore article or should
state that the article is handloomed or handmade of handloomed fabric;
(12) Block 10 should be completed if the article described in block
5 incorporates a fabric or yarn described in preference group G and
should state the name of the fabric or yarn that has been considered as
being in short supply in the NAFTA or that has been designated as not
available in commercial quantities in the United States;
(13) Block 11 must contain the signature of the exporter or of the
exporter's authorized agent having knowledge of the relevant facts;
(14) Block 15 should reflect the date on which the Certificate was
completed and signed;
(15) Block 16 should be completed if the Certificate is intended to
cover multiple shipments of identical articles as described in block 5
that are imported into the United States during a specified period of up
to one year (see Sec. 10.226(b)(4)(ii)). The ``from'' date is the date
on which the Certificate became applicable to the article covered by the
blanket Certificate (this date may be prior to the date reflected in
block 15). The ``to'' date is the date on which the blanket period
expires; and
(16) The Certificate may be printed and reproduced locally. If more
space is needed to complete the Certificate, attach a continuation
sheet.
[T.D. 00-68, 65 FR 59658, Oct. 5, 2000; 65 FR 67263, Nov. 9, 2000, as
amended by T.D. 03-12, 68 FR 13833, Mar. 21, 2003]
Sec. 10.225 Filing of claim for preferential treatment.
(a) Declaration. In connection with a claim for preferential
treatment for a textile or apparel article described in Sec. 10.223, the
importer must make a written declaration that the article qualifies for
that treatment. The inclusion on the entry summary, or equivalent
documentation, of the subheading within Chapter 98 of the HTSUS under
which the article is classified will constitute the written declaration.
Except in any of the circumstances described in Sec. 10.226(d)(1), the
declaration required under this paragraph must be based on a Certificate
of Origin that has been completed and properly executed in accordance
with Sec. 10.224 and that covers the article being imported.
(b) Corrected declaration. If, after making the declaration required
under paragraph (a) of this section, the importer has reason to believe
that a Certificate of Origin on which a declaration was based contains
information that is not correct, the importer must within 30 calendar
days after the date of discovery of the error make a corrected
declaration and pay any duties
[[Page 200]]
that may be due. A corrected declaration will be effected by submission
of a letter or other written statement to the Customs port where the
declaration was originally filed.
[T.D. 00-68, 65 FR 59658, Oct. 5, 2000; 65 FR 67263, Nov. 9, 2000, as
amended by T.D. 03-12, 68 FR 13835, Mar. 21, 2003]
Sec. 10.226 Maintenance of records and submission of Certificate by
importer.
(a) Maintenance of records. Each importer claiming preferential
treatment for an article under Sec. 10.225 must maintain in the United
States, in accordance with the provisions of part 163 of this chapter,
all records relating to the importation of the article. Those records
must include the original Certificate of Origin referred to in
Sec. 10.225(a) and any other relevant documents or other records as
specified in Sec. 163.1(a) of this chapter.
(b) Submission of Certificate. An importer who claims preferential
treatment on a textile or apparel article under Sec. 10.225(a) must
provide, at the request of the port director, a copy of the Certificate
of Origin pertaining to the article. A Certificate of Origin submitted
to Customs under this paragraph:
(1) Must be in writing or must be transmitted electronically
pursuant to any electronic data interchange system authorized by Customs
for that purpose;
(2) Must be signed by the exporter or by the exporter's authorized
agent having knowledge of the relevant facts;
(3) Must be completed either in the English language or in the
language of the country from which the article is exported. If the
Certificate is completed in a language other than English, the importer
must provide to Customs upon request a written English translation of
the Certificate; and
(4) May be applicable to:
(i) A single importation of an article into the United States,
including a single shipment that results in the filing of one or more
entries and a series of shipments that results in the filing of one
entry; or
(ii) Multiple importations of identical articles into the United
States that occur within a specified blanket period, not to exceed 12
months, set out in the Certificate by the exporter. For purposes of this
paragraph and Sec. 10.224(c)(15), ``identical articles'' means articles
that are the same in all material respects, including physical
characteristics, quality, and reputation.
(c) Correction and nonacceptance of Certificate. If the port
director determines that a Certificate of Origin is illegible or
defective or has not been completed in accordance with paragraph (b) of
this section, the importer will be given a period of not less than five
working days to submit a corrected Certificate. A Certificate will not
be accepted in connection with subsequent importations during a period
referred to in paragraph (b)(4)(ii) of this section if the port director
determined that a previously imported identical article covered by the
Certificate did not qualify for preferential treatment.
(d) Certificate not required--(1) General. Except as otherwise
provided in paragraph (d)(2) of this section, an importer is not
required to have a Certificate of Origin in his possession for:
(i) An importation of an article for which the port director has in
writing waived the requirement for a Certificate of Origin because the
port director is otherwise satisfied that the article qualifies for
preferential treatment;
(ii) A non-commercial importation of an article; or
(iii) A commercial importation of an article whose value does not
exceed US $2,500, provided that, unless waived by the port director, the
producer, exporter, importer or authorized agent includes on, or
attaches to, the invoice or other document accompanying the shipment the
following signed statement:
I hereby certify that the article covered by this shipment qualifies
for preferential treatment under the CBTPA.
Check One:
( ) Producer
( ) Exporter
( ) Importer
( ) Agent
Name____________________________________________________________________
[[Page 201]]
Title___________________________________________________________________
Address_________________________________________________________________
Signature and Date______________________________________________________
(2) Exception. If the port director determines that an importation
described in paragraph (d)(1) of this section forms part of a series of
importations that may reasonably be considered to have been undertaken
or arranged for the purpose of avoiding a Certificate of Origin
requirement under Sec. Sec. 10.224 through 10.226, the port director
will notify the importer in writing that for that importation the
importer must have in his possession a valid Certificate of Origin to
support the claim for preferential treatment. The importer will have 30
calendar days from the date of the written notice to obtain a valid
Certificate of Origin, and a failure to timely obtain the Certificate of
Origin will result in denial of the claim for preferential treatment.
For purposes of this paragraph, a ``series of importations'' means two
or more entries covering articles arriving on the same day from the same
exporter and consigned to the same person.
[T.D. 00-68, 65 FR 59658, Oct. 5, 2000, as amended by T.D. 03-12, 68 FR
13835, Mar. 21, 2003]
Sec. 10.227 Verification and justification of claim for preferential
treatment.
(a) Verification by Customs. A claim for preferential treatment made
under Sec. 10.225, including any statements or other information
contained on a Certificate of Origin submitted to Customs under
Sec. 10.226, will be subject to whatever verification the port director
deems necessary. In the event that the port director for any reason is
prevented from verifying the claim, the port director may deny the claim
for preferential treatment. A verification of a claim for preferential
treatment may involve, but need not be limited to, a review of:
(1) All records required to be made, kept, and made available to
Customs by the importer or any other person under part 163 of this
chapter;
(2) Documentation and other information regarding the country of
origin of an article and its constituent materials, including, but not
limited to, production records, information relating to the place of
production, the number and identification of the types of machinery used
in production, and the number of workers employed in production; and
(3) Evidence to document the use of U.S. materials in the production
of the article in question, such as purchase orders, invoices, bills of
lading and other shipping documents, and customs import and clearance
documents.
(b) Importer requirements. In order to make a claim for preferential
treatment under Sec. 10.225, the importer:
(1) Must have records that explain how the importer came to the
conclusion that the textile or apparel article qualifies for
preferential treatment. Those records must include documents that
support a claim that the article in question qualifies for preferential
treatment because it is specifically described in one of the provisions
under Sec. 10.223(a). If the importer is claiming that the article
incorporates fabric or yarn that was wholly formed in the United States,
the importer must have records that identify the U.S. producer of the
fabric or yarn. A properly completed Certificate of Origin in the form
set forth in Sec. 10.224(b) is a record that would serve these purposes;
(2) Must establish and implement internal controls which provide for
the periodic review of the accuracy of the Certificates of Origin or
other records referred to in paragraph (b)(1) of this section;
(3) Must have shipping papers that show how the article moved from
the CBTPA beneficiary country to the United States. If the imported
article was shipped through a country other than a CBTPA beneficiary
country and the invoices and other documents from the CBTPA beneficiary
country do not show the United States as the final destination, the
importer also must have documentation that demonstrates that the
conditions set forth in Sec. 10.223(d)(3)(i) through (iii) were met; and
(4) Must be prepared to explain, upon request from Customs, how the
records and internal controls referred to in paragraphs (b)(1) through
(b)(3) of this
[[Page 202]]
section justify the importer's claim for preferential treatment.
[T.D. 00-68, 65 FR 59658, Oct. 5, 2000, as amended by T.D. 03-12, 68 FR
13835, Mar. 21, 2003]
Sec. 10.228 Additional requirements for preferential treatment of
brassieres.
(a) Definitions. When used in this section, the following terms have
the meanings indicated:
(1) Producer. ``Producer'' means an individual, corporation,
partnership, association, or other entity or group that exercises
direct, daily operational control over the production process in a CBTPA
beneficiary country.
(2) Entity controlling production. ``Entity controlling production''
means an individual, corporation, partnership, association, or other
entity or group that is not a producer and that controls the production
process in a CBTPA beneficiary country through a contractual
relationship or other indirect means.
(3) Fabrics formed in the United States. ``Fabrics formed in the
United States'' means fabrics that were produced by a weaving, knitting,
needling, tufting, felting, entangling or other fabric-making process
performed in the United States.
(4) Cost. ``Cost'' when used with reference to fabrics formed in the
United States means:
(i) The price of the fabrics when last purchased, f.o.b. port of
exportation, as set out in the invoice or other commercial documents,
or, if the price is other than f.o.b. port of exportation:
(A) The price as set out in the invoice or other commercial
documents adjusted to arrive at an f.o.b. port of exportation price; or
(B) If no exportation to a CBTPA beneficiary country is involved,
the price as set out in the invoice or other commercial documents, less
the freight, insurance, packing, and other costs incurred in
transporting the fabrics to the place of production if included in that
price; or
(ii) If the price cannot be determined under paragraph (a)(4)(i) of
this section or if CBP finds that price to be unreasonable, all
reasonable expenses incurred in the growth, production, manufacture, or
other processing of the fabrics, including the cost or value of
materials (which includes the cost of non-recoverable scrap generated in
forming the fabrics) and general expenses, plus a reasonable amount for
profit, and the freight, insurance, packing, and other costs, if any,
incurred in transporting the fabrics to the port of exportation.
(5) Declared customs value. ``Declared customs value'' when used
with reference to fabric contained in an article means the sum of:
(i) The cost of fabrics formed in the United States that the
producer or entity controlling production can verify; and
(ii) The cost of all other fabric contained in the article,
exclusive of all findings and trimmings, determined as follows:
(A) In the case of fabric purchased by the producer or entity
controlling production, the f.o.b. port of exportation price of the
fabric as set out in the invoice or other commercial documents, or, if
the price is other than f.o.b. port of exportation:
(1) The price as set out in the invoice or other commercial
documents adjusted to arrive at an f.o.b. port of exportation price,
plus expenses for embroidering and dyeing, printing, and finishing
operations applied to the fabric if not included in that price; or
(2) If no exportation to a CBTPA beneficiary country is involved,
the price as set out in the invoice or other commercial documents, plus
expenses for embroidering and dyeing, printing, and finishing operations
applied to the fabric if not included in that price, but less the
freight, insurance, packing, and other costs incurred in transporting
the fabric to the place of production if included in that price;
(B) In the case of fabric for which the cost cannot be determined
under paragraph (a)(5)(ii)(A) of this section or if CBP finds that cost
to be unreasonable, all reasonable expenses incurred in the growth,
production, or manufacture of the fabric, including the cost or value of
materials (which includes the cost of non-recoverable scrap generated in
the growth, production, or manufacture of the fabric), general expenses
and embroidering and dyeing, printing, and
[[Page 203]]
finishing expenses, plus a reasonable amount for profit, and the
freight, insurance, packing, and other costs, if any, incurred in
transporting the fabric to the port of exportation;
(C) In the case of fabric components purchased by the producer or
entity controlling production, the f.o.b. port of exportation price of
those fabric components as set out in the invoice or other commercial
documents, less the cost or value of any non-textile materials, and less
expenses for cutting or other processing to create the fabric components
other than knitting to shape, that the producer or entity controlling
production can verify, or, if the price is other than f.o.b. port of
exportation:
(1) The price as set out in the invoice or other commercial
documents adjusted to arrive at an f.o.b. port of exportation price,
less the cost or value of any non-textile materials, and less expenses
for cutting or other processing to create the fabric components other
than knitting to shape, that the producer or entity controlling
production can verify; or
(2) If no exportation to a CBTPA beneficiary country is involved,
the price as set out in the invoice or other commercial documents, less
the cost or value of any non-textile materials, and less expenses for
cutting or other processing to create the fabric components other than
knitting to shape, that the producer or entity controlling production
can verify, and less the freight, insurance, packing, and other costs
incurred in transporting the fabric components to the place of
production if included in that price; and
(D) In the case of fabric components for which a fabric cost cannot
be determined under paragraph (a)(5)(ii)(C) of this section or if CBP
finds that cost to be unreasonable: all reasonable expenses incurred in
the growth, production, or manufacture of the fabric components,
including the cost or value of materials (which does not include the
cost of recoverable scrap generated in the growth, production, or
manufacture of the fabric components) and general expenses, but
excluding the cost or value of any non-textile materials, and excluding
expenses for cutting or other processing to create the fabric components
other than knitting to shape, that the producer or entity controlling
production can verify, plus a reasonable amount for profit, and the
freight, insurance, packing, and other costs, if any, incurred in
transporting the fabric components to the port of exportation.
(6) Year. ``Year'' means a 12-month period beginning on October 1
and ending on September 30 but does not include any 12-month period that
began prior to October 1, 2000.
(7) Entered. ``Entered'' means entered, or withdrawn from warehouse
for consumption, in the customs territory of the United States.
(b) Limitations on preferential treatment--(1) General. During the
year that begins on October 1, 2002, and during any subsequent year,
articles of a producer or an entity controlling production that conform
to the production standards set forth in Sec. 10.223(a)(6) will be
eligible for preferential treatment only if:
(i) The aggregate cost of fabrics (exclusive of all findings and
trimmings) formed in the United States that were used in the production
of all of those articles of that producer or that entity controlling
production that are entered as articles described in Sec. 10.223(a)(6)
during the immediately preceding year was at least 75 percent of the
aggregate declared customs value of the fabric (exclusive of all
findings and trimmings) contained in all of those articles of that
producer or that entity controlling production that are entered as
articles described in Sec. 10.223(a)(6) during that year; or
(ii) In a case in which the 75 percent requirement set forth in
paragraph (b)(1)(i) of this section was not met during a year and
therefore those articles of that producer or that entity controlling
production were not eligible for preferential treatment during the
following year, the aggregate cost of fabrics (exclusive of all findings
and trimmings) formed in the United States that were used in the
production of all of those articles of that producer or that entity
controlling production that conform to the production standards set
forth in Sec. 10.223(a)(6) and that were entered during the immediately
preceding year was at least 85
[[Page 204]]
percent of the aggregate declared customs value of the fabric (exclusive
of all findings and trimmings) contained in all of those articles of
that producer or that entity controlling production that conform to the
production standards set forth in Sec. 10.223(a)(6) and that were
entered during that year; and
(iii) In conjunction with the filing of the claim for preferential
treatment under Sec. 10.225, the importer records on the entry summary
or warehouse withdrawal for consumption (CBP Form 7501, column 34), or
its electronic equivalent, the distinct and unique identifier assigned
by CBP to the applicable documentation prescribed under paragraph (c) of
this section.
(2) Rules of application--(i) General. For purposes of paragraphs
(b)(1)(i) and (b)(1)(ii) of this section and for purposes of preparing
and filing the documentation prescribed in paragraph (c) of this
section, the following rules will apply:
(A) The articles in question must have been produced in the manner
specified in Sec. 10.223(a)(6) and the articles in question must be
entered within the same year;
(B) Articles that are exported to countries other than the United
States and are never entered are not to be considered in determining
compliance with the 75 or 85 percent standard specified in paragraph
(b)(1)(i) or paragraph (b)(1)(ii) of this section;
(C) Articles that are entered under an HTSUS subheading other than
the HTSUS subheading which pertains to articles described in
Sec. 10.223(a)(6) are not to be considered in determining compliance
with the 75 percent standard specified in paragraph (b)(1)(i) of this
section;
(D) For purposes of determining compliance with the 85 percent
standard specified in paragraph (b)(1)(ii) of this section, all articles
that conform to the production standards set forth in Sec. 10.223(a)(6)
must be considered, regardless of the HTSUS subheading under which they
were entered;
(E) Fabric components and fabrics that constitute findings or
trimmings are not to be considered in determining compliance with the 75
or 85 percent standard specified in paragraph (b)(1)(i) or paragraph
(b)(1)(ii) of this section;
(F) Beginning October 1, 2002, in order for articles to be eligible
for preferential treatment in a given year, a producer of, or entity
controlling production of, those articles must have met the 75 percent
standard specified in paragraph (b)(1)(i) of this section during the
immediately preceding year. If articles of a producer or entity
controlling production fail to meet the 75 percent standard specified in
paragraph (b)(1)(i) of this section during a year, articles of that
producer or entity controlling production:
(1) Will not be eligible for preferential treatment during the
following year;
(2) Will remain ineligible for preferential treatment until the year
that follows a year in which articles of that producer or entity
controlling production met the 85 percent standard specified in
paragraph (b)(1)(ii) of this section; and
(3) After the 85 percent standard specified in paragraph (b)(1)(ii)
of this section has been met, will again be subject to the 75 percent
standard specified in paragraph (b)(1)(i) of this section during the
following year for purposes of determining eligibility for preferential
treatment in the next year.
(G) A new producer or new entity controlling production, that is, a
producer or entity controlling production which did not produce or
control production of articles that were entered as articles described
in Sec. 10.223(a)(6) during the immediately preceding year, must first
establish compliance with the 85 percent standard specified in paragraph
(b)(1)(ii) of this section as a prerequisite to preparation of the
declaration of compliance referred to in paragraph (c) of this section;
(H) A declaration of compliance prepared by a producer or by an
entity controlling production must cover all production of that producer
or all production that the entity controls for the year in question;
(I) A producer is not required to prepare a declaration of
compliance if all of its production is covered by a declaration of
compliance prepared by an entity controlling production;
[[Page 205]]
(J) In the case of a producer, the 75 or 85 percent standard
specified in paragraph (b)(1)(i) or paragraph (b)(1)(ii) of this section
and the declaration of compliance procedure under paragraph (c) of this
section apply to all articles of that producer for the year in question,
even if some but not all of that production is also covered by a
declaration of compliance prepared by an entity controlling production;
(K) The U.S. importer does not have to be the producer or the entity
controlling production who prepared the declaration of compliance; and
(L) The exclusion references regarding findings and trimmings in
paragraph (b)(1)(i) and paragraph (b)(1)(ii) of this section apply to
all findings and trimmings, whether or not they are of foreign origin.
(ii) Examples. The following examples will illustrate application of
the principles set forth in paragraph (b)(2)(i) of this section.
Example 1. A CBTPA beneficiary country producer of articles that
meet the production standards specified in Sec. 10.223(a)(6) in the
first year sends 50 percent of that production to CBTPA region markets
and the other 50 percent to the U.S. market; the cost of the fabrics
formed in the United States equals 100 percent of the value of all of
the fabric in the articles sent to the CBTPA region and 60 percent of
the value of all of the fabric in the articles sent to the United
States. Although the cost of fabrics formed in the United States is more
than 75 percent of the value of all of the fabric used in all of the
articles produced, this producer could not prepare a valid declaration
of compliance because the articles sent to the United States did not
meet the minimum 75 percent standard.
Example 2. A producer sends to the United States in the first year
three shipments of articles that meet the description in
Sec. 10.223(a)(6); one of those shipments is entered under the HTSUS
subheading that covers articles described in Sec. 10.223(a)(6), the
second shipment is entered under the HTSUS subheading that covers
articles described in Sec. 10.223(a)(12), and the third shipment is
entered under subheading 9802.00.80, HTSUS. In determining whether the
minimum 75 percent standard has been met in the first year for purposes
of entry of articles under the HTSUS subheading that covers articles
described in Sec. 10.223(a)(6) during the following (that is, second)
year, consideration must be restricted to the articles in the first
shipment and therefore must not include the articles in the second and
third shipments.
Example 3. A producer in the second year begins production of
articles that conform to the production standards specified in
Sec. 10.223(a)(6); some of those articles are entered in that year under
HTSUS subheading 6212.10 and others under HTSUS subheading 9802.00.80
but none are entered in that year under the HTSUS subheading which
pertains to articles described in Sec. 10.223(a)(6) because the 75
percent standard had not been met in the preceding (that is, first)
year. In this case the 85 percent standard applies, and all of the
articles that were entered under the various HTSUS provisions in the
second year must be taken into account in determining whether that 85
percent standard has been met. If the 85 percent was met in the
aggregate for all of the articles entered in the second year, in the
next (that is, third) year articles of that producer may receive
preferential treatment under the HTSUS subheading which pertains to
articles described in Sec. 10.223(a)(6).
Example 4. An entity controlling production of articles that meet
the description in Sec. 10.223(a)(6) buys for the U.S., Canadian and
Mexican markets; the articles in each case are first sent to the United
States where they are entered for consumption and then placed in a
commercial warehouse from which they are shipped to various stores in
the United States, Canada and Mexico. Notwithstanding the fact that some
of the articles ultimately ended up in Canada or Mexico, a declaration
of compliance prepared by the entity controlling production must cover
all of the articles rather than only those that remained in the United
States because all of those articles had been entered for consumption.
Example 5. Fabric is cut and sewn in the United States with other
U.S. materials to form cups which are joined together to form brassiere
front subassemblies in the United States, and those front subassemblies
are then placed in a warehouse in the United States where they are held
until the following year; during that following year all of the front
subassemblies are shipped to a CBTPA beneficiary country where they are
assembled with elastic strips and labels produced in an Asian country
and other fabrics, components or materials produced in the CBTPA
beneficiary country to form articles that meet the production standards
specified in Sec. 10.223(a)(6) and that are then shipped to the United
States and entered during that same year. In determining whether the
entered articles meet the minimum 75 or 85 percent standard, the fabric
in the elastic strips and labels is to be disregarded entirely because
the strips and labels constitute findings or trimmings for purposes of
this section, and all of the fabric in the front subassemblies is
countable because it was all formed in the United States and used in the
[[Page 206]]
production of articles that were entered in the same year.
Example 6. A CBTPA beneficiary country producer's entire production
of articles that meet the description in Sec. 10.223(a)(6) is sent to a
U.S. importer in two separate shipments, one in February and the other
in June of the same calendar year; the articles shipped in February do
not meet the minimum 75 percent standard, the articles shipped in June
exceed the 85 percent standard, and the articles in the two shipments,
taken together, do meet the 75 percent standard; the articles covered by
the February shipment are entered for consumption on March 1 of that
calendar year, and the articles covered by the June shipment are placed
in a CBP bonded warehouse upon arrival and are subsequently withdrawn
from warehouse for consumption on November 1 of that calendar year. The
CBTPA beneficiary country producer may not prepare a valid declaration
of compliance covering the articles in the first shipment because those
articles did not meet the minimum 75 percent standard and because those
articles cannot be included with the articles of the second shipment on
the same declaration of compliance since they were entered in a
different year. However, the CBTPA beneficiary country producer may
prepare a valid declaration of compliance covering the articles in the
second shipment because those articles did meet the requisite 85 percent
standard which would apply for purposes of entry of articles in the
following year.
Example 7. A producer in the second year begins production of
articles exclusively for the U.S. market that meet the production
standards specified in Sec. 10.223(a)(6), but the entered articles do
not meet the requisite 85 percent standard until the third year; the
entered articles fail to meet the 75 percent standard in the fourth
year; and the entered articles do not attain the 85 percent standard
until the sixth year. The producer's articles may not receive
preferential treatment during the second year because there was no
production (and thus there were no entered articles) in the immediately
preceding (that is, first) year on which to assess compliance with the
75 percent standard. The producer's articles also may not receive
preferential treatment during the third year because the 85 percent
standard was not met in the immediately preceding (that is, second)
year. However, the producer's articles are eligible for preferential
treatment during the fourth year based on compliance with the 85 percent
standard in the immediately preceding (that is, third) year. The
producer's articles may not receive preferential treatment during the
fifth year because the 75 percent standard was not met in the
immediately preceding (that is, fourth) year. The producer's articles
may not receive preferential treatment during the sixth year because the
85 percent standard has become applicable and was not met in the
immediately preceding (that is, fifth) year. The producer's articles are
eligible for preferential treatment during the seventh year because the
85 percent standard was met in the immediately preceding (that is,
sixth) year, and during that seventh year the 75 percent standard is
applicable for purposes of determining whether the producer's articles
are eligible for preferential treatment in the following (that is,
eighth) year.
Example 8. An entity controlling production (Entity A) uses five
CBTPA beneficiary country producers (Producers 1-5), all of which
produce only articles that meet the description in Sec. 10.223(a)(6);
Producers 1-4 send all of their production to the United States and
Producer 5 sends 10 percent of its production to the United States and
the rest to Europe; Producers 1-3 and Producer 5 produce only pursuant
to contracts with Entity A, but Producer 4 also operates independently
of Entity A by producing for several U.S. importers, one of which is an
entity controlling production (Entity B) that also controls all of the
production of articles of one other producer (Producer 6) which sends
all of its production to the United States. A declaration of compliance
prepared by Entity A must cover all of the articles of Producers 1-3 and
the 10 percent of articles of Producer 5 that are sent to the United
States and that portion of the articles of Producer 4 that are produced
pursuant to the contract with Entity A, because Entity A controls the
production of those articles. There is no need for Producers 1-3 and
Producer 5 to prepare a declaration of compliance because they have no
production that is not covered by a declaration of compliance prepared
by an entity controlling production. A declaration of compliance
prepared by Producer 4 would cover all of its production, that is,
articles produced for Entity A, articles produced for Entity B, and
articles produced independently for other U.S. importers; a declaration
of compliance prepared by Entity B must cover that portion of the
production of Producer 4 that it controls as well as all of the
production of Producer 6 because Entity B also controls all of the
production of Producer 6. Producer 6 would not prepare a declaration of
compliance because all of its production is covered by the declaration
of compliance prepared by Entity B.
(c) Documentation--(1) Initial declaration of compliance. In order
for an importer to comply with the requirement set forth in paragraph
(b)(1)(iii) of this section, the producer or the entity controlling
production must have filed with CBP, in accordance with paragraph (c)(4)
of this section, a declaration of compliance with the applicable
[[Page 207]]
75 or 85 percent requirement prescribed in paragraph (b)(1)(i) or
(b)(1)(ii) of this section. After filing of the declaration of
compliance has been completed, CBP will advise the producer or the
entity controlling production of the distinct and unique identifier
assigned to that declaration. The producer or the entity controlling
production will then be responsible for advising each appropriate U.S.
importer of that distinct and unique identifier for purposes of
recording that identifier on the entry summary or warehouse withdrawal.
In order to provide sufficient time for advising the U.S. importer of
that distinct and unique identifier prior to the arrival of the articles
in the United States, the producer or the entity controlling production
should file the declaration of compliance with CBP at least 10 calendar
days prior to the date of the first shipment of the articles to the
United States.
(2) Amended declaration of compliance. If the information on the
declaration of compliance referred to in paragraph (c)(1) of this
section is based on an estimate because final year-end information was
not available at that time and the final data differs from the estimate,
or if the producer or the entity controlling production has reason to
believe for any other reason that the declaration of compliance that was
filed contained erroneous information, within 30 calendar days after the
final year-end information becomes available or within 30 calendar days
after the date of discovery of the error:
(i) The producer or the entity controlling production must file with
the CBP office identified in paragraph (c)(4) of this section an amended
declaration of compliance containing that final year-end information or
other corrected information; or
(ii) If that final year-end information or other corrected
information demonstrates noncompliance with the applicable 75 or 85
percent requirement, the producer or the entity controlling production
must in writing advise both the CBP office identified in paragraph
(c)(4) of this section and each appropriate U.S. importer of that fact.
(3) Form and preparation of declaration of compliance--(i) Form. The
declaration of compliance referred to in paragraph (c)(1) of this
section may be printed and reproduced locally and must be in the
following format:
Caribbean Basin Trade Partnership Act Declaration of Compliance for
Brassieres
[19 CFR 10.223(a)(6) and 10.228]
1. Year beginning date: October 1, Official U.S. Customs and Border
------.
Year ending date: September 30, -- Protection Use Only
----.
Assigned number: ----------
Assignment date: ----------
2. Identity of preparer (producer or entity controlling production):
Full name and address: Telephone number: ----------
Facsimile number: ----------
Importer identification number: ----
------
3. If the preparer is an entity controlling production, provide the
following for each producer:
Full name and address: Telephone number: ----------
Facsimile number: ----------
4. Aggregate cost of fabrics (exclusive of all findings and trimmings)
formed in the United States that were used in the production of
brassieres that were entered during the year: ----------
5. Aggregate declared customs value of the fabric (exclusive of all
findings and trimmings) contained in brassieres that were entered
during the year: ----------
6. I declare that the aggregate cost of fabric (exclusive of all
findings and trimmings) formed in the United States was at least 75
percent (or 85 percent, if applicable under 19 CFR 10.228(b)(1)(ii)) of
the aggregate declared customs value of the fabric contained in
brassieres entered during the year.
7. Authorized signature: 8. Name and title (print or type):
------------------
Date:
------------------------------------------------------------------------
(ii) Preparation. The following rules will apply for purposes of
completing the declaration of compliance set forth in paragraph
(c)(3)(i) of this section:
(A) In block 1, fill in the year commencing October 1 and ending
September 30 of the calendar year during which the applicable 75 or 85
percent standard specified in paragraph (b)(1)(i) or paragraph
(b)(1)(ii) of this section was met;
[[Page 208]]
(B) Block 2 should state the legal name and address (including
country) of the preparer and should also include the preparer's importer
identification number (see Sec. 24.5 of this chapter), if the preparer
has one;
(C) Block 3 should state the legal name and address (including
country) of the CBTPA beneficiary country producer if that producer is
not already identified in block 2. If there is more than one producer,
attach a list stating the legal name and address (including country) of
all additional producers;
(D) Blocks 4 and 5 apply only to articles that were entered during
the year identified in block 1; and
(E) In block 7, the signature must be that of an authorized officer,
employee, agent or other person having knowledge of the relevant facts
and the date must be the date on which the declaration of compliance was
completed and signed.
(4) Filing of declaration of compliance. The declaration of
compliance referred to in paragraph (c)(1) of this section:
(i) Must be completed either in the English language or in the
language of the country in which the articles covered by the declaration
were produced. If the declaration is completed in a language other than
English, the producer or the entity controlling production must provide
to CBP upon request a written English translation of the declaration;
and
(ii) Must be filed with the New York Strategic Trade Center, Customs
and Border Protection, 1 Penn Plaza, New York, New York 10119.
(d) Verification of declaration of compliance--(1) Verification
procedure. A declaration of compliance filed under this section will be
subject to whatever verification CBP deems necessary. In the event that
CBP for any reason is prevented from verifying the statements made on a
declaration of compliance, CBP may deny any claim for preferential
treatment made under Sec. 10.225 that is based on that declaration. A
verification of a declaration of compliance may involve, but need not be
limited to, a review of:
(i) All records required to be made, kept, and made available to CBP
by the importer, the producer, the entity controlling production, or any
other person under part 163 of this chapter;
(ii) Documentation and other information regarding all articles that
meet the production standards specified in Sec. 10.223(a)(6) that were
exported to the United States and that were entered during the year in
question, whether or not a claim for preferential treatment was made
under Sec. 10.225. Those records and other information include, but are
not limited to, work orders and other production records, purchase
orders, invoices, bills of lading and other shipping documents;
(iii) Evidence to document the cost of fabrics formed in the United
States that were used in the production of the articles in question,
such as purchase orders, invoices, bills of lading and other shipping
documents, and customs import and clearance documents, work orders and
other production records, and inventory control records;
(iv) Evidence to document the cost or value of all fabric other than
fabrics formed in the United States that were used in the production of
the articles in question, such as purchase orders, invoices, bills of
lading and other shipping documents, and customs import and clearance
documents, work orders and other production records, and inventory
control records; and
(v) Accounting books and documents to verify the records and
information referred to in paragraphs (d)(1)(ii) through (d)(1)(iv) of
this section. The verification of purchase orders, invoices and bills of
lading will be accomplished through the review of a distinct audit
trail. The audit trail documents must consist of a cash disbursement or
purchase journal or equivalent records to establish the purchase of the
fabric. The headings in each of these journals or other records must
contain the date, vendor name, and amount paid for the fabric. The
verification of production records and work orders will be accomplished
through analysis of the inventory records of the producer or entity
controlling production. The inventory records must reflect the
production of the finished article which must be referenced to the
original purchase order or lot number covering the fabric used in
production. In the inventory production records, the inventory
[[Page 209]]
should show the opening balance of the inventory plus the purchases made
during the accounting period and the inventory closing balance.
(2) Notice of determination. If, based on a verification of a
declaration of compliance filed under this section, CBP determines that
the applicable 75 or 85 percent standard specified in paragraph
(b)(1)(i) or paragraph (b)(1)(ii) of this section was not met, CBP will
publish a notice of that determination in the Federal Register.
[CBP Dec. 04-40, 69 FR 69518, Nov. 30, 2004]
Non-Textile Articles Under the United States-Caribbean Basin Trade
Partnership Act
Source: T.D. 00-68, 65 FR 59663, Oct. 5, 2000, unless otherwise
noted.
Sec. 10.231 Applicability.
Title II of Public Law 106-200 (114 Stat. 251), entitled the United
States-Caribbean Basin Trade Partnership Act (CBTPA), amended section
213(b) of the Caribbean Basin Economic Recovery Act (the CBERA, 19
U.S.C. 2701-2707) to authorize the President to extend additional trade
benefits to countries that have been designated as beneficiary countries
under the CBERA. Section 213(b)(3) of the CBERA (19 U.S.C. 2703(b)(3))
provides for special preferential tariff treatment of certain non-
textile articles that are otherwise excluded from duty-free treatment
under the CBERA. The provisions of Sec. Sec. 10.231-10.237 of this part
set forth the legal requirements and procedures that apply for purposes
of obtaining preferential tariff treatment pursuant to CBERA section
213(b)(3).
[T.D. 00-68, 65 FR 59663, Oct. 5, 2000; 65 FR 67263, Nov. 9, 2000]
Sec. 10.232 Definitions.
When used in Sec. Sec. 10.231 through 10.237, the following terms
have the meanings indicated:
CBERA. ``CBERA'' means the Caribbean Basin Economic Recovery Act, 19
U.S.C. 2701-2707.
CBTPA beneficiary country. ``CBTPA beneficiary country'' means a
``beneficiary country'' as defined in Sec. 10.191(b)(1) for purposes of
the CBERA which the President also has designated as a beneficiary
country for purposes of preferential duty treatment of articles under 19
U.S.C. 2703(b)(3) and which has been the subject of a finding by the
President or his designee, published in the Federal Register, that the
beneficiary country has satisfied the requirements of 19 U.S.C.
2703(b)(4)(A)(ii).
CBTPA originating good. ``CBTPA originating good'' means a good that
meets the rules of origin for a good as set forth in General Note 12,
HTSUS, and in the appendix to part 181 of this chapter and as applied
under Sec. 10.233(b).
HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the United
States.
NAFTA. ``NAFTA'' means the North American Free Trade Agreement
entered into by the United States, Canada, and Mexico on December 17,
1992.
Preferential tariff treatment. ``Preferential tariff treatment''
when used with reference to an imported article means entry, or
withdrawal from warehouse for consumption, in the customs territory of
the United States with duty and other tariff treatment that is identical
to the tariff treatment that would be accorded at that time under Annex
302.2 of the NAFTA to an imported article described in the same 8-digit
subheading of the HTSUS that is a good of Mexico.
[T.D. 00-68, 65 FR 59663, Oct. 5, 2000; 65 FR 67264, Nov. 9, 2000]
Sec. 10.233 Articles eligible for preferential tariff treatment.
(a) General. The preferential tariff treatment referred to in
Sec. 10.231 applies to any of the following articles, provided that the
article in question is a CBTPA originating good, is imported directly
into the customs territory of the United States from a CBTPA beneficiary
country, and is not accorded duty-free treatment under U.S. Note 2(b),
Subchapter II, Chapter 98, HTSUS (see Sec. 10.26):
(1) Footwear not designated on August 5, 1983, as eligible articles
for the purpose of the Generalized System of Preferences under Title V,
Trade Act of 1974, as amended (19 U.S.C. 2461 through 2467);
(2) Tuna, prepared or preserved in any manner, in airtight
containers;
[[Page 210]]
(3) Petroleum, or any product derived from petroleum, provided for
in headings 2709 and 2710 of the HTSUS;
(4) Watches and watch parts (including cases, bracelets, and
straps), of whatever type including, but not limited to, mechanical,
quartz digital or quartz analog, if those watches or watch parts contain
any material which is the product of any country with respect to which
HTSUS column 2 rates of duty apply; and
(5) Articles to which reduced rates of duty apply under
Sec. 10.198a, except as otherwise provided in paragraph (c) of this
section.
(b) Application of NAFTA rules of origin. In determining whether an
article is a CBTPA originating good for purposes of paragraph (a) of
this section, application of the provisions of General Note 12 of the
HTSUS and the appendix to part 181 of this chapter will be subject to
the following rules:
(1) No country other than the United States and a CBTPA beneficiary
country may be treated as being a party to the NAFTA;
(2) Any reference to trade between the United States and Mexico will
be deemed to refer to trade between the United States and a CBTPA
beneficiary country;
(3) Any reference to a party will be deemed to refer to a CBTPA
beneficiary country or the United States; and
(4) Any reference to parties will be deemed to refer to any
combination of CBTPA beneficiary countries or to the United States and
one or more CBTPA beneficiary countries (or any combination involving
the United States and CBTPA beneficiary countries).
(c) Duty reductions for leather-related articles. If, after it is
determined that an article described in paragraph (a)(5) of this section
qualifies as a CBTPA originating good and is eligible for preferential
tariff treatment under this section, it is determined that the article
in question also would otherwise qualify for a reduced rate of duty
under Sec. 10.198a and that reduced rate of duty is lower than the rate
of duty that would apply under this section, that lower rate of duty
will apply to the article for purposes of preferential tariff treatment
under this section.
(d) Imported directly defined. For purposes of paragraph (a) of this
section, the words ``imported directly'' mean:
(1) Direct shipment from any CBTPA beneficiary country to the United
States without passing through the territory of any country that is not
a CBTPA beneficiary country;
(2) If the shipment is from any CBTPA beneficiary country to the
United States through the territory of any country that is not a CBTPA
beneficiary country, the articles in the shipment do not enter into the
commerce of any country that is not a CBTPA beneficiary country while en
route to the United States and the invoices, bills of lading, and other
shipping documents show the United States as the final destination; or
(3) If the shipment is from any CBTPA beneficiary country to the
United States through the territory of any country that is not a CBTPA
beneficiary country, and the invoices and other documents do not show
the United States as the final destination, the articles in the shipment
upon arrival in the United States are imported directly only if they:
(i) Remained under the control of the customs authority of the
intermediate country;
(ii) Did not enter into the commerce of the intermediate country
except for the purpose of sale other than at retail, and the port
director is satisfied that the importation results from the original
commercial transaction between the importer and the producer or the
producer's sales agent; and
(iii) Were not subjected to operations other than loading or
unloading, and other activities necessary to preserve the articles in
good condition.
Sec. 10.234 Certificate of Origin.
A Certificate of Origin as specified in Sec. 10.236 must be employed
to certify that an article described in Sec. 10.233(a)(1) through (5)
being exported from a CBTPA beneficiary country to the United States
qualifies for the preferential tariff treatment referred to in
Sec. 10.231. The Certificate of Origin must be prepared by the exporter
in the CBTPA beneficiary country. Where the CBTPA beneficiary country
exporter is
[[Page 211]]
not the producer of the article, that exporter may complete and sign a
Certificate of Origin on the basis of:
(a) Its reasonable reliance on the producer's written representation
that the article qualifies for preferential tariff treatment; or
(b) A completed and signed Certificate of Origin for the article
voluntarily provided to the exporter by the producer.
Sec. 10.235 Filing of claim for preferential tariff treatment.
(a) Declaration. In connection with a claim for preferential tariff
treatment for an article described in Sec. 10.233(a)(1) through (5), the
importer must make a written declaration that the article qualifies for
that treatment. The written declaration should be made by including on
the entry summary, or equivalent documentation, the symbol ``R'' as a
prefix to the subheading of the HTSUS under which the article in
question is classified. Except in any of the circumstances described in
Sec. 10.236(d)(1), the declaration required under this paragraph must be
based on a complete and properly executed original Certificate of Origin
that covers the article being imported and that is in the possession of
the importer.
(b) Corrected declaration. If, after making the declaration required
under paragraph (a) of this section, the importer has reason to believe
that a Certificate of Origin on which a declaration was based contains
information that is not correct, the importer must within 30 calendar
days after the date of discovery of the error make a corrected
declaration and pay any duties that may be due. A corrected declaration
will be effected by submission of a letter or other written statement to
the Customs port where the declaration was originally filed.
Sec. 10.236 Maintenance of records and submission of Certificate by
importer.
(a) Maintenance of records. Each importer claiming preferential
tariff treatment for an article under Sec. 10.235 must maintain in the
United States, in accordance with the provisions of part 163 of this
chapter, all records relating to the importation of the article. Those
records must include the original Certificate of Origin referred to in
Sec. 10.235(a) and any other relevant documents or other records as
specified in Sec. 163.1(a) of this chapter.
(b) Submission of Certificate. An importer who claims preferential
tariff treatment on an article under Sec. 10.235(a) must provide, at the
request of the port director, a copy of the Certificate of Origin
pertaining to the article. A Certificate of Origin submitted to CBP
under this paragraph:
(1) Must be on CBP Form 450, including privately-printed copies of
that Form, or, as an alternative to CBP Form 450, in an approved
computerized format or other medium or format as is approved by the
Office of International Trade, U.S. Customs and Border Protection,
Washington, DC 20229. An alternative format must contain the same
information and certification set forth on CBP Form 450;
(2) Must be signed by the exporter or by the exporter's authorized
agent having knowledge of the relevant facts;
(3) Must be completed either in the English language or in the
language of the country from which the article is exported. If the
Certificate is completed in a language other than English, the importer
must provide to Customs upon request a written English translation of
the Certificate; and
(4) May be applicable to:
(i) A single importation of an article into the United States,
including a single shipment that results in the filing of one or more
entries and a series of shipments that results in the filing of one
entry; or
(ii) Multiple importations of identical articles into the United
States that occur within a specified period, not to exceed 12 months,
set out in the Certificate by the exporter.
(c) Correction and nonacceptance of Certificate. If the port
director determines that a Certificate of Origin is illegible or
defective or has not been completed in accordance with paragraph (b) of
this section, the importer will be given a period of not less than five
working days to submit a corrected Certificate. A Certificate will not
be accepted in connection with subsequent importations during a period
[[Page 212]]
referred to in paragraph (b)(4)(ii) of this section if the port director
determined that a previously imported identical article covered by the
Certificate did not qualify for preferential treatment.
(d) Certificate not required--(1) General. Except as otherwise
provided in paragraph (d)(2) of this section, an importer is not
required to have a Certificate of Origin in his possession for:
(i) An importation of an article for which the port director has in
writing waived the requirement for a Certificate of Origin because the
port director is otherwise satisfied that the article qualifies for
preferential tariff treatment;
(ii) A non-commercial importation of an article; or
(iii) A commercial importation of an article whose value does not
exceed US$2,500, provided that, unless waived by the port director, the
producer, exporter, importer or authorized agent includes on, or
attaches to, the invoice or other document accompanying the shipment the
following signed statement:
I hereby certify that the article covered by this shipment qualifies
for preferential tariff treatment under the CBTPA.
Check One:
( ) Producer
( ) Exporter
( ) Importer
( ) Agent
Name____________________________________________________________________
Title___________________________________________________________________
Address_________________________________________________________________
Signature and Date______________________________________________________
(2) Exception. If the port director determines that an importation
described in paragraph (d)(1) of this section forms part of a series of
importations that may reasonably be considered to have been undertaken
or arranged for the purpose of avoiding a Certificate of Origin
requirement under Sec. Sec. 10.234 through 10.236, the port director
will notify the importer in writing that for that importation the
importer must have in his possession a valid Certificate of Origin to
support the claim for preferential tariff treatment. The importer will
have 30 calendar days from the date of the written notice to obtain a
valid Certificate of Origin, and a failure to timely obtain the
Certificate of Origin will result in denial of the claim for
preferential tariff treatment. For purposes of this paragraph, a
``series of importations'' means two or more entries covering articles
arriving on the same day from the same exporter and consigned to the
same person.
Sec. 10.237 Verification and justification of claim for preferential
tariff treatment.
(a) Verification by Customs. A claim for preferential tariff
treatment made under Sec. 10.235, including any statements or other
information contained on a Certificate of Origin submitted to Customs
under Sec. 10.236, will be subject to whatever verification the port
director deems necessary. In the event that the port director for any
reason is prevented from verifying the claim, the port director may deny
the claim for preferential tariff treatment. A verification of a claim
for preferential tariff treatment may involve, but need not be limited
to, a review of:
(1) All records required to be made, kept, and made available to
Customs by the importer or any other person under part 163 of this
chapter;
(2) Documentation and other information in a CBTPA beneficiary
country regarding the country of origin of an article and its
constituent materials, including, but not limited to, production
records, information relating to the place of production, the number and
identification of the types of machinery used in production, and the
number of workers employed in production; and
(3) Evidence in a CBTPA beneficiary country to document the use of
U.S. materials in the production of the article in question, such as
purchase orders, invoices, bills of lading and other shipping documents,
and customs import and clearance documents.
(b) Importer requirements. In order to make a claim for preferential
tariff treatment under Sec. 10.235, the importer:
(1) Must have records that explain how the importer came to the
conclusion that the article qualifies for preferential tariff treatment.
Those records must include documents that
[[Page 213]]
support a claim that the article in question qualifies for preferential
tariff treatment because it meets the applicable rule of origin set
forth in General Note 12, HTSUS, and in the appendix to part 181 of this
chapter. A properly completed Certificate of Origin in the form
prescribed in Sec. 10.236(b) is a record that would serve this purpose;
(2) Must establish and implement internal controls which provide for
the periodic review of the accuracy of the Certificate of Origin or
other records referred to in paragraph (b)(1) of this section;
(3) Must have shipping papers that show how the article moved from
the CBTPA beneficiary country to the United States. If the imported
article was shipped through a country other than a CBTPA beneficiary
country and the invoices and other documents from the CBTPA beneficiary
country do not show the United States as the final destination, the
importer also must have documentation that demonstrates that the
conditions set forth in Sec. 10.233(d)(3)(i) through (iii) were met; and
(4) Must be prepared to explain, upon request from Customs, how the
records and internal controls referred to in paragraphs (b)(1) through
(b)(3) of this section justify the importer's claim for preferential
tariff treatment.
Subpart F_Andean Trade Promotion and Drug Eradication Act
Apparel and Other Textile Articles Under the Andean Trade Promotion and
Drug Eradication Act
Source: Sections 10.241 through 10.248 issued by CBP Dec. 06-21, 71
FR 44574, Aug. 7, 2006, unless otherwise noted.
Sec. 10.241 Applicability.
Title XXXI of Public Law 107-210 (116 Stat. 933), entitled the
Andean Trade Promotion and Drug Eradication Act (ATPDEA), amended
sections 202, 203, 204, and 208 of the Andean Trade Preference Act (the
ATPA, 19 U.S.C. 3201-3206) to authorize the President to extend
additional trade benefits to countries that are designated as
beneficiary countries under the ATPA. Section 204(b)(3) of the ATPA (19
U.S.C. 3203(b)(3)) provides for the preferential treatment of certain
apparel and other textile articles from those ATPA beneficiary countries
which the President designates as ATPDEA beneficiary countries. The
provisions of Sec. Sec. 10.241 through 10.248 of this part set forth the
legal requirements and procedures that apply for purposes of obtaining
preferential treatment pursuant to ATPA section 204(b)(3) and Subchapter
XXI, Chapter 98, HTSUS.
Sec. 10.242 Definitions.
When used in Sec. Sec. 10.241 through 10.248, the following terms
have the meanings indicated:
Apparel articles. ``Apparel articles'' means goods classifiable in
Chapters 61 and 62 and headings 6501, 6502, 6503, and 6504 and
subheadings 6406.99.15 and 6505.90 of the HTSUS.
Assembled or sewn or otherwise assembled in one or more ATPDEA
beneficiary countries. ``Assembled'' and ``sewn or otherwise assembled''
when used in the context of production of an apparel or other textile
article in one or more ATPDEA beneficiary countries has reference to a
joining together of two or more components that occurred in one or more
ATPDEA beneficiary countries, whether or not a prior joining operation
was performed on the article or any of its components in the United
States.
ATPA. ``ATPA'' means the Andean Trade Preference Act, 19 U.S.C.
3201-3206.
ATPDEA beneficiary country. ``ATPDEA beneficiary country'' means a
``beneficiary country'' as defined in Sec. 10.202(a) for purposes of the
ATPA which the President also has designated as a beneficiary country
for purposes of preferential treatment of apparel and other textile
articles under 19 U.S.C. 3203(b)(3) and which has been the subject of a
determination by the President or his designee, published in the Federal
Register, that the beneficiary country has satisfied the requirements of
19 U.S.C. 3203(b)(5)(A)(ii).
Chief value. ``Chief value'' when used with reference to llama,
alpaca, and vicu[ntilde]a means that the value of those materials
exceeds the value of any
[[Page 214]]
other single textile material in the fabric or component under
consideration, with the value in each case determined by application of
the principles set forth in Sec. 10.243(c)(1)(ii).
Cut in one or more ATPDEA beneficiary countries. ``Cut'' when used
in the context of production of textile luggage in one or more ATPDEA
beneficiary countries means that all fabric components used in the
assembly of the article were cut from fabric in one or more ATPDEA
beneficiary countries, or were cut from fabric in the United States and
used in a partial assembly operation in the United States prior to
cutting of fabric and assembly of the article in one or more ATPDEA
beneficiary countries, or both.
Foreign origin. ``Foreign origin'' means, in the case of a finding
or trimming of non-textile materials, that the finding or trimming is a
product of a country other than the United States or a ATPDEA
beneficiary country and, in the case of a finding, trimming, or
interlining of textile materials, that the finding, trimming, or
interlining does not meet all of the U.S. and ATPDEA beneficiary country
production requirements for yarns, fabrics, and/or components specified
under Sec. 10.243(a) for the article in which it is incorporated.
HTSUS. ``HTSUS''means the Harmonized Tariff Schedule of the United
States.
Knit-to-Shape Components. ``Knit-to-shape,'' when used with
reference to textile components, means components that are knitted or
crocheted from a yarn directly to a specific shape, that is, the shape
or form of the component as it is used in the apparel article,
containing at least one self-start edge. Minor cutting or trimming will
not affect the determination of whether a component is ``knit-to-
shape.''
Luggage. ``Luggage'' means travel goods (such as trunks, hand
trunks, lockers, valises, satchels, suitcases, wardrobe cases, overnight
bags, pullman bags, gladstone bags, traveling bags, knapsacks, kitbags,
haversacks, duffle bags, and like articles designed to contain clothing
or other personal effects during travel) and brief cases, portfolios,
school bags, photographic equipment bags, golf bags, camera cases,
binocular cases, gun cases, occupational luggage cases (for example,
physicians' cases, sample cases), and like containers and cases designed
to be carried with the person. The term ``luggage'' does not include
handbags (that is, pocketbooks, purses, shoulder bags, clutch bags, and
all similar articles, by whatever name known, customarily carried by
women or girls). The term ``luggage'' also does not include flat goods
(that is, small flatware designed to be carried on the person, such as
banknote cases, bill cases, billfolds, bill purses, bill rolls, card
cases, change cases, cigarette cases, coin purses, coin holders,
compacts, currency cases, key cases, letter cases, license cases, money
cases, pass cases, passport cases, powder cases, spectacle cases, stamp
cases, vanity cases, tobacco pouches, and similar articles).
NAFTA. ``NAFTA'' means the North American Free Trade Agreement
entered into by the United States, Canada, and Mexico on December 17,
1992.
Preferential treatment. ``Preferential treatment'' means entry, or
withdrawal from warehouse for consumption, in the customs territory of
the United States free of duty and free of any quantitative
restrictions, limitations, or consultation levels as provided in 19
U.S.C. 3203(b)(3).
Self-start edge. ``Self-start edge'' when used with reference to
knit-to-shape components means a finished edge which is finished as the
component comes off the knitting machine. Several components with
finished edges may be linked by yarn or thread as they are produced from
the knitting machine.
Wholly formed fabric components. ``Wholly formed,'' when used with
reference to fabric components, means that all of the production
processes, starting with the production of wholly formed fabric and
ending with a component that is ready for incorporation into an apparel
article, took place in a single country.
Wholly formed fabrics. ``Wholly formed,'' when used with reference
to fabric(s), means that all of the production processes, starting with
polymers, fibers, filaments, textile strips, yarns, twine, cordage,
rope, or strips of fabric and ending with a fabric by a weaving,
[[Page 215]]
knitting, needling, tufting, felting, entangling or other process, took
place in a single country.
Wholly formed yarns. ``Wholly formed,'' when used with reference to
yarns, means that all of the production processes, starting with the
extrusion of filament, strip, film, or sheet and including drawing to
fully orient a filament or slitting a film or sheet into strip, or the
spinning of all fibers into yarn, or both, and ending with a yarn or
plied yarn, took place in the United States or in one or more ATPDEA
beneficiary countries.
Sec. 10.243 Articles eligible for preferential treatment.
(a) General. Subject to paragraphs (b) and (c) of this section,
preferential treatment applies to the following apparel and other
textile articles that are imported directly into the customs territory
of the United States from an ATPDEA beneficiary country:
(1) Apparel articles sewn or otherwise assembled in one or more
ATPDEA beneficiary countries, or in the United States, or in both,
exclusively from any one of the following:
(i) Fabrics or fabric components wholly formed, or components knit-
to-shape, in the United States, from yarns wholly formed in the United
States or in one or more ATPDEA beneficiary countries (including fabrics
not formed from yarns, if those fabrics are classifiable under heading
5602 or 5603 of the HTSUS and are formed in the United States), provided
that, if the apparel article is assembled from knitted or crocheted or
woven wholly formed fabrics or from knitted or crocheted or woven wholly
formed fabric components produced from fabric, all dyeing, printing, and
finishing of that knitted or crocheted or woven fabric or component was
carried out in the United States;
(ii) Fabrics or fabric components formed, or components knit-to-
shape, in one or more ATPDEA beneficiary countries from yarns wholly
formed in one or more ATPDEA beneficiary countries, if those fabrics
(including fabrics not formed from yarns, if those fabrics are
classifiable under heading 5602 or 5603 of the HTSUS and are formed in
one or more ATPDEA beneficiary countries) or components are in chief
value of llama, alpaca, and/or vicu[ntilde]a;
(iii) Fabrics or yarns, provided that apparel articles (except
articles classifiable under subheading 6212.10 of the HTSUS) of those
fabrics or yarns would be considered an originating good under General
Note 12(t), HTSUS, if the apparel articles had been imported directly
from Canada or Mexico; or
(iv) Fabrics or yarns that the President or his designee has
designated in the Federal Register as fabrics or yarns that cannot be
supplied by the domestic industry in commercial quantities in a timely
manner;
(2) Apparel articles sewn or otherwise assembled in one or more
ATPDEA beneficiary countries, or in the United States, or in both,
exclusively from a combination of fabrics, fabric components, knit-to-
shape components or yarns described in two or more of paragraphs
(a)(1)(i) through (a)(1)(iv) of this section;
(3) A handloomed, handmade, or folklore apparel or other textile
article of an ATPDEA beneficiary country that the President or his
designee and representatives of the ATPDEA beneficiary country mutually
agree is a handloomed, handmade, or folklore article and that is
certified as a handloomed, handmade, or folklore article by the
competent authority of the ATPDEA beneficiary country;
(4) Brassieres classifiable under subheading 6212.10 of the HTSUS,
if both cut and sewn or otherwise assembled in the United States, or in
one or more ATPDEA beneficiary countries, or in both, other than
articles entered as articles described in paragraphs (a)(1) through
(a)(3) and (a)(7) of this section, and provided that any applicable
additional requirements set forth in Sec. 10.248 are met;
(5) Textile luggage assembled in an ATPDEA beneficiary country from
fabric wholly formed and cut in the United States, from yarns wholly
formed in the United States, that is entered under subheading 9802.00.80
of the HTSUS;
(6) Textile luggage assembled in one or more ATPDEA beneficiary
countries from fabric cut in one or more ATPDEA beneficiary countries
from fabric wholly formed in the United
[[Page 216]]
States from yarns wholly formed in the United States; and
(7) Apparel articles sewn or otherwise assembled in one or more
ATPDEA beneficiary countries from fabrics or from fabric components
formed, or from components knit-to-shape, in one or more ATPDEA
beneficiary countries from yarns wholly formed in the United States or
in one or more ATPDEA beneficiary countries (including fabrics not
formed from yarns, if those fabrics are classifiable under heading 5602
or 5603 of the HTSUS and are formed in one or more ATPDEA beneficiary
countries), including apparel articles sewn or otherwise assembled in
part but not exclusively from any of the fabrics, fabric components
formed, or components knit-to-shape described in paragraph (a)(1) of
this section.
(b) Dyeing, printing, finishing and other operations--(1) Dyeing,
printing and finishing operations. Dyeing, printing, and finishing
operations may be performed on any yarn, fabric, or knit-to-shape or
other component used in the production of any article described under
paragraph (a) of this section without affecting the eligibility of the
article for preferential treatment, provided that the operation is
performed in the United States or in an ATPDEA beneficiary country and
not in any other country and subject to the following additional
conditions:
(i) In the case of an article described in paragraph (a)(1), (a)(2),
or (a)(7) of this section that contains a knitted or crocheted or woven
fabric, or a knitted or crocheted or woven fabric component produced
from fabric, that was wholly formed in the United States from yarns
wholly formed in the United States or in one or more ATPDEA beneficiary
countries, as described in paragraph (a)(1)(i) of this section, any
dyeing, printing, or finishing of that knitted or crocheted or woven
fabric or component must have been carried out in the United States; and
(ii) In the case of assembled luggage described in paragraph (a)(5)
of this section, an operation may be performed in an ATPDEA beneficiary
country only if that operation is incidental to the assembly process
within the meaning of Sec. 10.16.
(2) Other operations. An article described under paragraph (a) of
this section that is otherwise eligible for preferential treatment will
not be disqualified from receiving that treatment by virtue of having
undergone one or more operations such as embroidering, stone-washing,
enzyme-washing, acid washing, perma-pressing, oven-baking, bleaching,
garment-dyeing or screen printing, provided that the operation is
performed in the United States or in an ATPDEA beneficiary country and
not in any other country. However, in the case of assembled luggage
described in paragraph (a)(5) of this section, an operation may be
performed in an ATPDEA beneficiary country without affecting the
eligibility of the article for preferential treatment only if it is
incidental to the assembly process within the meaning of Sec. 10.16.
(c) Special rules for certain component materials--(1) Foreign
findings, trimmings, interlinings, and yarns--(i) General. An article
otherwise described under paragraph (a) of this section will not be
ineligible for the preferential treatment referred to in Sec. 10.241
because the article contains:
(A) Findings and trimmings of foreign origin, if the value of those
findings and trimmings does not exceed 25 percent of the cost of the
components of the assembled article. For purposes of this section
``findings and trimmings'' include, but are not limited to, sewing
thread, hooks and eyes, snaps, buttons, ``bow buds,'' decorative lace
trim, elastic strips, zippers (including zipper tapes), and labels;
(B) Interlinings of foreign origin, if the value of those
interlinings does not exceed 25 percent of the cost of the components of
the assembled article. For purposes of this section ``interlinings''
include only a chest type plate, a ``hymo'' piece, or ``sleeve header,''
of woven or weft-inserted warp knit construction and of coarse animal
hair or man-made filaments;
(C) Any combination of findings and trimmings of foreign origin and
interlinings of foreign origin, if the total value of those findings and
trimmings
[[Page 217]]
and interlinings does not exceed 25 percent of the cost of the
components of the assembled article; or
(D) Yarns not wholly formed in the United States or in one or more
ATPDEA beneficiary countries if the total weight of all those yarns is
not more than 7 percent of the total weight of the article.
(ii) ``Cost'' and ``value'' defined. The ``cost'' of components and
the ``value'' of findings and trimmings or interlinings referred to in
paragraph (c)(1)(i) of this section means:
(A) The ex-factory price of the components, findings and trimmings,
or interlinings as set out in the invoice or other commercial documents,
or, if the price is other than ex-factory, the price as set out in the
invoice or other commercial documents adjusted to arrive at an ex-
factory price; or
(B) If the price cannot be determined under paragraph (c)(1)(ii)(A)
of this section or if CBP finds that price to be unreasonable, all
reasonable expenses incurred in the growth, production, manufacture, or
other processing of the components, findings and trimmings, or
interlinings, including the cost or value of materials and general
expenses, plus a reasonable amount for profit.
(iii) Treatment of yarns as findings or trimmings. If any yarns not
wholly formed in the United States or one or more ATPDEA beneficiary
countries are used in an article as a finding or trimming described in
paragraph (c)(1)(i)(A) of this section, the yarns will be considered to
be a finding or trimming for purposes of paragraph (c)(1)(i) of this
section.
(2) Special rule for nylon filament yarn. An article otherwise
described under paragraph (a)(1)(i) through (iii), (a)(2), or (a)(7) of
this section will not be ineligible for the preferential treatment
referred to in Sec. 10.241 because the article contains nylon filament
yarn (other than elastomeric yarn) that is classifiable in subheading
5402.10.30, 5402.10.60, 5402.31.30, 5402.31.60, 5402.32.30, 5402.32.60,
5402.41.10, 5402.41.90, 5402.51.00, or 5402.61.00 of the HTSUS and that
is entered free of duty from Canada, Mexico, or Israel.
(d) Imported directly defined. For purposes of paragraph (a) of this
section, the words ``imported directly'' mean:
(1) Direct shipment from any ATPDEA beneficiary country to the
United States without passing through the territory of any country that
is not an ATPDEA beneficiary country;
(2) If the shipment is from any ATPDEA beneficiary country to the
United States through the territory of any country that is not an ATPDEA
beneficiary country, the articles in the shipment do not enter into the
commerce of any country that is not an ATPDEA beneficiary country while
en route to the United States and the invoices, bills of lading, and
other shipping documents show the United States as the final
destination; or
(3) If the shipment is from any ATPDEA beneficiary country to the
United States through the territory of any country that is not an ATPDEA
beneficiary country, and the invoices and other documents do not show
the United States as the final destination, the articles in the shipment
upon arrival in the United States are imported directly only if they:
(i) Remained under the control of the customs authority of the
intermediate country;
(ii) Did not enter into the commerce of the intermediate country
except for the purpose of sale other than at retail, and the port
director is satisfied that the importation results from the original
commercial transaction between the importer and the producer or the
producer's sales agent; and
(iii) Were not subjected to operations other than loading or
unloading, and other activities necessary to preserve the articles in
good condition.
Sec. 10.244 Certificate of Origin.
(a) General. A Certificate of Origin must be employed to certify
that an apparel or other textile article being exported from an ATPDEA
beneficiary country to the United States qualifies for the preferential
treatment referred to in Sec. 10.241. The Certificate of Origin must be
prepared in the ATPDEA beneficiary country by the producer or exporter
or by the producer's or exporter's authorized agent in the format
[[Page 218]]
specified in paragraph (b) of this section. If the person preparing the
Certificate of Origin is not the producer of the article, the person may
complete and sign a Certificate of Origin on the basis of:
(1) The person's reasonable reliance on the producer's written
representation that the article qualifies for preferential treatment; or
(2) A completed and signed Certificate of Origin for the article
voluntarily provided to the person by the producer.
(b) Form of Certificate. The Certificate of Origin referred to in
paragraph (a) of this section must be in the following format:
Andean Trade Promotion and Drug Eradication Act Textile Certificate of
Origin
------------------------------------------------------------------------
------------------------------------------------------------------------
1. Exporter Name & Address:
------------------------------------------------------------------------
2. Producer Name & Address:
------------------------------------------------------------------------
3. Importer Name & Address:
------------------------------------------------------------------------
4. Description of Article:
------------------------------------------------------------------------
5. Preference Group:
------------------------------------------------------------------------
Group............. Each Description Below Is 19 CFR
Only a Summary of the
Cited CFR Provision.
------------------------------------------------------------------------
A................. Apparel assembled from U.S. 10.243(a)(1)(i).
formed, dyed, printed and
finished fabrics or fabric
components, or U.S. formed
knit-to-shape components
from U.S. or Andean yarns.
B................. Apparel assembled from 10.243(a)(1)(ii).
Andean chief value llama,
alpaca or vicu[ntilde]a
fabrics, fabric
components, or knit-to-
shape components, from
Andean yarns.
C................. Apparel assembled from 10.243(a)(1)(iii).
fabrics or yarns
considered as being in
short supply in the NAFTA.
D................. Apparel assembled from 10.243(a)(1)(iv).
fabrics or yarns
designated as not
available in commercial
quantities in the United
States.
E................. Apparel assembled from a 10.243(a)(2).
combination of two or more
yarns, fabrics, fabric
components, or knit-to-
shape components described
in preference groups A
though D.
F................. Handloomed, handmade, or 10.243(a)(3).
folklore textile and
apparel goods.
G................. Brassieres assembled in the 10.243(a)(4).
U.S. and/or one or more
Andean beneficiary
countries.
H................. Textile luggage assembled 10.243(a)(5)&(6).
from U.S. formed fabrics
from U.S. yarns.
I................. Apparel assembled from 10.243(a)(7).
Andean formed fabrics,
fabric components, or knit-
to-shape components from
U.S. or Andean yarns,
whether or not also
assembled, in part, from
yarns, fabrics and fabric
components described in
preference groups A
through D.
------------------------------------------------------------------------
6. U.S./Andean Fabric Producer Name & Address:
------------------------------------------------------------------------
7. U.S./Andean Yarn Producer Name & Address:
------------------------------------------------------------------------
8. Handloomed, Handmade, or Folklore Article:
------------------------------------------------------------------------
9. Name of Short Supply Fabric or Yarn:
------------------------------------------------------------------------
I certify that the information on this document is complete and accurate
and I assume the responsibility for proving such representations. I
understand that I am liable for any false statements or material
omissions made on or in connection with this document. I agree to
maintain, and present upon request, documentation necessary to support
this certificate.
------------------------------------------------------------------------
10. Authorized Signature:
------------------------------------------------------------------------
[[Page 219]]
11. Company:
------------------------------------------------------------------------
12. Name: (Print or Type)
------------------------------------------------------------------------
13. Title:
------------------------------------------------------------------------
14. Date: (DD/MM/YY)
------------------------------------------------------------------------
15. Blanket Period:
From:
To:
------------------------------------------------------------------------
16. Telephone:
Facsimile:
------------------------------------------------------------------------
(c) Preparation of Certificate. The following rules will apply for
purposes of completing the Certificate of Origin set forth in paragraph
(b) of this section:
(1) Blocks 1 through 5 pertain only to the final article exported to
the United States for which preferential treatment may be claimed;
(2) Block 1 should state the legal name and address (including
country) of the exporter;
(3) Block 2 should state the legal name and address (including
country) of the producer. If there is more than one producer, attach a
list stating the legal name and address (including country) of all
additional producers. If this information is confidential, it is
acceptable to state ``available to Customs and Border Protection (CBP)
upon request'' in block 2. If the producer and the exporter are the
same, state ``same'' in block 2;
(4) Block 3 should state the legal name and address (including
country) of the importer;
(5) Block 4 should provide a full description of each article. The
description should be sufficient to relate it to the invoice description
and to the description of the article in the international Harmonized
System. Include the invoice number as shown on the commercial invoice
or, if the invoice number is not known, include another unique reference
number such as the shipping order number;
(6) In block 5, insert the letter that designates the preference
group which applies to the article according to the description
contained in the CFR provision cited on the Certificate for that group;
(7) Blocks 6 through 9 must be completed only when the block in
question calls for information that is relevant to the preference group
identified in block 5;
(8) Block 6 should state the legal name and address (including
country) of the fabric producer;
(9) Block 7 should state the legal name and address (including
country) of the yarn producer;
(10) Block 8 should state the name of the folklore article or should
state that the article is handloomed or handmade of handloomed fabric;
(11) Block 9 should be completed if the article described in block 4
incorporates a fabric or yarn described in preference group C or D and
should state the name of the fabric or yarn that has been considered as
being in short supply in the NAFTA or that has been designated as not
available in commercial quantities in the United States. Block 9 also
should be completed if preference group E or I applies to the article
described in block 4 and the article incorporates a fabric or yarn
described in preference group C or D;
(12) Block 10 must contain the signature of the producer or exporter
or the producer's or exporter's authorized agent having knowledge of the
relevant facts;
(13) Block 14 should reflect the date on which the Certificate was
completed and signed;
(14) Block 15 should be completed if the Certificate is intended to
cover
[[Page 220]]
multiple shipments of identical articles as described in block 4 that
are imported into the United States during a specified period of up to
one year (see Sec. 10.246(b)(4)(ii)). The ``from'' date is the date on
which the Certificate became applicable to the article covered by the
blanket Certificate (this date may be prior to the date reflected in
block 14). The ``to'' date is the date on which the blanket period
expires; and
(15) The Certificate may be printed and reproduced locally. If more
space is needed to complete the Certificate, attach a continuation
sheet.
Sec. 10.245 Filing of claim for preferential treatment.
(a) Declaration. In connection with a claim for preferential
treatment for an apparel or other textile article described in
Sec. 10.243, the importer must make a written declaration that the
article qualifies for that treatment. The inclusion on the entry
summary, or equivalent documentation, of the subheading within Chapter
98 of the HTSUS under which the article is classified will constitute
the written declaration. Except in any of the circumstances described in
Sec. 10.246(d)(1), the declaration required under this paragraph must be
based on a Certificate of Origin that has been completed and properly
executed in accordance with Sec. 10.244, that covers the article being
imported, and that is in the possession of the importer.
(b) Corrected declaration. If, after making the declaration required
under paragraph (a) of this section, the importer has reason to believe
that a Certificate of Origin on which a declaration was based contains
information that is not correct, the importer must within 30 calendar
days after the date of discovery of the error make a corrected
declaration and pay any duties that may be due. A corrected declaration
will be effected by submission of a letter or other written statement to
the CBP port where the declaration was originally filed.
Sec. 10.246 Maintenance of records and submission of Certificate by
importer.
(a) Maintenance of records. Each importer claiming preferential
treatment for an article under Sec. 10.245 must maintain in the United
States, in accordance with the provisions of part 163 of this chapter,
all records relating to the importation of the article. Those records
must include a copy of the Certificate of Origin referred to in
Sec. 10.245(a) and any other relevant documents or other records as
specified in Sec. 163.1(a) of this chapter.
(b) Submission of Certificate. An importer who claims preferential
treatment on an apparel or other textile article under Sec. 10.245(a)
must provide, at the request of the port director, a copy of the
Certificate of Origin pertaining to the article. A Certificate of Origin
submitted to CBP under this paragraph:
(1) Must be in writing or must be transmitted electronically through
any electronic data interchange system authorized by CBP for that
purpose;
(2) If in writing, must be signed by the producer or exporter or the
producer's or exporter's authorized agent having knowledge of the
relevant facts;
(3) Must be completed either in the English language or in the
language of the country from which the article is exported. If the
Certificate is completed in a language other than English, the importer
must provide to CBP upon request a written English translation of the
Certificate; and
(4) May be applicable to:
(i) A single importation of an article into the United States,
including a single shipment that results in the filing of one or more
entries and a series of shipments that results in the filing of one
entry; or
(ii) Multiple importations of identical articles into the United
States that occur within a specified blanket period, not to exceed 12
months, set out in the Certificate by the exporter. For purposes of this
paragraph and Sec. 10.244(c)(14), ``identical articles'' means articles
that are the same in all material respects, including physical
characteristics, quality, and reputation.
(c) Correction and nonacceptance of Certificate. If the port
director determines that a Certificate of Origin is illegible or
defective or has not been completed in accordance with paragraph (b) of
this section, the importer
[[Page 221]]
will be given a period of not less than five working days to submit a
corrected Certificate. A Certificate will not be accepted in connection
with subsequent importations during a period referred to in paragraph
(b)(4)(ii) of this section if the port director determined that a
previously imported identical article covered by the Certificate did not
qualify for preferential treatment.
(d) Certificate not required--(1) General. Except as otherwise
provided in paragraph (d)(2) of this section, an importer is not
required to have a Certificate of Origin in his possession for:
(i) An importation of an article for which the port director has in
writing waived the requirement for a Certificate of Origin because the
port director is otherwise satisfied that the article qualifies for
preferential treatment;
(ii) A non-commercial importation of an article; or
(iii) A commercial importation of an article whose value does not
exceed US$2,500, provided that, unless waived by the port director, the
producer, exporter, importer or authorized agent includes on, or
attaches to, the invoice or other document accompanying the shipment the
following signed statement:
I hereby certify that the article covered by this shipment qualifies
for preferential treatment under the ATPDEA.
Check One:
( ) Producer
( ) Exporter
( ) Importer
( ) Agent
Name____________________________________________________________________
Title___________________________________________________________________
Address_________________________________________________________________
Signature and Date______________________________________________________
(2) Exception. If the port director determines that an importation
described in paragraph (d)(1) of this section forms part of a series of
importations that may reasonably be considered to have been undertaken
or arranged for the purpose of avoiding a Certificate of Origin
requirement under Sec. Sec. 10.244 through 10.246, the port director
will notify the importer in writing that for that importation the
importer must have in his possession a valid Certificate of Origin to
support the claim for preferential treatment. The importer will have 30
calendar days from the date of the written notice to obtain a valid
Certificate of Origin, and a failure to timely obtain the Certificate of
Origin will result in denial of the claim for preferential treatment.
For purposes of this paragraph, a ``series of importations'' means two
or more entries covering articles arriving on the same day from the same
exporter and consigned to the same person.
Sec. 10.247 Verification and justification of claim for preferential
treatment.
(a) Verification by CBP. A claim for preferential treatment made
under Sec. 10.245, including any statements or other information
contained on a Certificate of Origin submitted to CBP under Sec. 10.246,
will be subject to whatever verification the port director deems
necessary. In the event that the port director for any reason is
prevented from verifying the claim, the port director may deny the claim
for preferential treatment. A verification of a claim for preferential
treatment may involve, but need not be limited to, a review of:
(1) All records required to be made, kept, and made available to CBP
by the importer or any other person under part 163 of this chapter;
(2) Documentation and other information regarding the country of
origin of an article and its constituent materials, including, but not
limited to, production records, information relating to the place of
production, the number and identification of the types of machinery used
in production, and the number of workers employed in production; and
(3) Evidence to document the use of U.S. or ATPDEA beneficiary
country materials in the production of the article in question, such as
purchase orders, invoices, bills of lading and other shipping documents,
and customs import and clearance documents.
(b) Importer requirements. In order to make a claim for preferential
treatment under Sec. 10.245, the importer:
[[Page 222]]
(1) Must have records that explain how the importer came to the
conclusion that the apparel or other textile article qualifies for
preferential treatment. Those records must include documents that
support a claim that the article in question qualifies for preferential
treatment because it is specifically described in one of the provisions
under Sec. 10.243(a). If the importer is claiming that the article
incorporates fabric or yarn that was wholly formed in the United States
or in an ATPDEA beneficiary country, the importer must have records that
identify the producer of the fabric or yarn. A properly completed
Certificate of Origin in the form set forth in Sec. 10.244(b) is a
record that would serve these purposes;
(2) Must establish and implement internal controls which provide for
the periodic review of the accuracy of the Certificates of Origin or
other records referred to in paragraph (b)(1) of this section;
(3) Must have shipping papers that show how the article moved from
the ATPDEA beneficiary country to the United States. If the imported
article was shipped through a country other than an ATPDEA beneficiary
country and the invoices and other documents from the ATPDEA beneficiary
country do not show the United States as the final destination, the
importer also must have documentation that demonstrates that the
conditions set forth in Sec. 10.243(d)(3)(i) through (iii) were met; and
(4) Must be prepared to explain, upon request from CBP, how the
records and internal controls referred to in paragraphs (b)(1) through
(b)(3) of this section justify the importer's claim for preferential
treatment.
Sec. 10.248 Additional requirements for preferential treatment of
brassieres.
(a) Definitions. When used in this section, the following terms have
the meanings indicated:
(1) Producer. ``Producer'' means an individual, corporation,
partnership, association, or other entity or group that exercises
direct, daily operational control over the production process in an
ATPDEA beneficiary country.
(2) Entity controlling production. ``Entity controlling production''
means an individual, corporation, partnership, association, or other
entity or group that is not a producer and that controls the production
process in an ATPDEA beneficiary country through a contractual
relationship or other indirect means.
(3) Fabrics formed in the United States. ``Fabrics formed in the
United States'' means fabrics that were produced by a weaving, knitting,
needling, tufting, felting, entangling or other fabric-making process
performed in the United States.
(4) Cost. ``Cost'' when used with reference to fabrics formed in the
United States means:
(i) The price of the fabrics when last purchased, f.o.b. port of
exportation, as set out in the invoice or other commercial documents,
or, if the price is other than f.o.b. port of exportation:
(A) The price as set out in the invoice or other commercial
documents adjusted to arrive at an f.o.b. port of exportation price; or
(B) If no exportation to an ATPDEA beneficiary country is involved,
the price as set out in the invoice or other commercial documents, less
the freight, insurance, packing, and other costs incurred in
transporting the fabrics to the place of production if included in that
price; or
(ii) If the price cannot be determined under paragraph (a)(4)(i) of
this section or if CBP finds that price to be unreasonable, all
reasonable expenses incurred in the growth, production, manufacture, or
other processing of the fabrics, including the cost or value of
materials (which includes the cost of non-recoverable scrap generated in
forming the fabrics) and general expenses, plus a reasonable amount for
profit, and the freight, insurance, packing, and other costs, if any,
incurred in transporting the fabrics to the port of exportation.
(5) Declared customs value. ``Declared customs value'' when used
with reference to fabric contained in an article means the sum of:
(i) The cost of fabrics formed in the United States that the
producer or entity controlling production can verify; and
[[Page 223]]
(ii) The cost of all other fabric contained in the article,
exclusive of all findings and trimmings, determined as follows:
(A) In the case of fabric purchased by the producer or entity
controlling production, the f.o.b. port of exportation price of the
fabric as set out in the invoice or other commercial documents, or, if
the price is other than f.o.b. port of exportation:
(1) The price as set out in the invoice or other commercial
documents adjusted to arrive at an f.o.b. port of exportation price,
plus expenses for embroidering and dyeing, printing, and finishing
operations applied to the fabric if not included in that price; or
(2) If no exportation to an ATPDEA beneficiary country is involved,
the price as set out in the invoice or other commercial documents, plus
expenses for embroidering and dyeing, printing, and finishing operations
applied to the fabric if not included in that price, but less the
freight, insurance, packing, and other costs incurred in transporting
the fabric to the place of production if included in that price;
(B) In the case of fabric for which the cost cannot be determined
under paragraph (a)(5)(ii)(A) of this section or if CBP finds that cost
to be unreasonable, all reasonable expenses incurred in the growth,
production, or manufacture of the fabric, including the cost or value of
materials (which includes the cost of non-recoverable scrap generated in
the growth, production, or manufacture of the fabric), general expenses
and embroidering and dyeing, printing, and finishing expenses, plus a
reasonable amount for profit, and the freight, insurance, packing, and
other costs, if any, incurred in transporting the fabric to the port of
exportation;
(C) In the case of fabric components purchased by the producer or
entity controlling production, the f.o.b. port of exportation price of
those fabric components as set out in the invoice or other commercial
documents, less the cost or value of any non-textile materials, and less
expenses for cutting or other processing to create the fabric components
other than knitting to shape, that the producer or entity controlling
production can verify, or, if the price is other than f.o.b. port of
exportation:
(1) The price as set out in the invoice or other commercial
documents adjusted to arrive at an f.o.b. port of exportation price,
less the cost or value of any non-textile materials, and less expenses
for cutting or other processing to create the fabric components other
than knitting to shape, that the producer or entity controlling
production can verify; or
(2) If no exportation to an ATPDEA beneficiary country is involved,
the price as set out in the invoice or other commercial documents, less
the cost or value of any non-textile materials, and less expenses for
cutting or other processing to create the fabric components other than
knitting to shape, that the producer or entity controlling production
can verify, and less the freight, insurance, packing, and other costs
incurred in transporting the fabric components to the place of
production if included in that price; and
(D) In the case of fabric components for which a fabric cost cannot
be determined under paragraph (a)(5)(ii)(C) of this section or if CBP
finds that cost to be unreasonable: All reasonable expenses incurred in
the growth, production, or manufacture of the fabric components,
including the cost or value of materials (which does not include the
cost of recoverable scrap generated in the growth, production, or
manufacture of the fabric components) and general expenses, but
excluding the cost or value of any non-textile materials, and excluding
expenses for cutting or other processing to create the fabric components
other than knitting to shape, that the producer or entity controlling
production can verify, plus a reasonable amount for profit, and the
freight, insurance, packing, and other costs, if any, incurred in
transporting the fabric components to the port of exportation.
(6) Year. ``Year'' means a 12-month period beginning on October 1
and ending on September 30 but does not include any 12-month period that
began prior to October 1, 2002.
(7) Entered. ``Entered'' means entered, or withdrawn from warehouse
for consumption, in the customs territory of the United States.
[[Page 224]]
(b) Limitations on preferential treatment--(1) General. During the
year that begins on October 1, 2003, and during any subsequent year,
articles of a producer or an entity controlling production that conform
to the production standards set forth in Sec. 10.243(a)(4) will be
eligible for preferential treatment only if:
(i) The aggregate cost of fabrics (exclusive of all findings and
trimmings) formed in the United States that were used in the production
of all of those articles of that producer or that entity controlling
production that are entered as articles described in Sec. 10.243(a)(4)
during the immediately preceding year was at least 75 percent of the
aggregate declared customs value of the fabric (exclusive of all
findings and trimmings) contained in all of those articles of that
producer or that entity controlling production that are entered as
articles described in Sec. 10.243(a)(4) during that year; or
(ii) In a case in which the 75 percent requirement set forth in
paragraph (b)(1)(i) of this section was not met during a year and
therefore those articles of that producer or that entity controlling
production were not eligible for preferential treatment during the
following year, the aggregate cost of fabrics (exclusive of all findings
and trimmings) formed in the United States that were used in the
production of all of those articles of that producer or that entity
controlling production that conform to the production standards set
forth in Sec. 10.243(a)(4) and that were entered during the immediately
preceding year was at least 85 percent of the aggregate declared customs
value of the fabric (exclusive of all findings and trimmings) contained
in all of those articles of that producer or that entity controlling
production that conform to the production standards set forth in
Sec. 10.243(a)(4) and that were entered during that year; and
(iii) In conjunction with the filing of the claim for preferential
treatment under Sec. 10.245, the importer records on the entry summary
or warehouse withdrawal for consumption (CBP Form 7501, column 34), or
its electronic equivalent, the distinct and unique identifier assigned
by CBP to the applicable documentation prescribed under paragraph (c) of
this section.
(2) Rules of application--(i) General. For purposes of paragraphs
(b)(1)(i) and (b)(1)(ii) of this section and for purposes of preparing
and filing the documentation prescribed in paragraph (c) of this
section, the following rules will apply:
(A) The articles in question must have been produced in the manner
specified in Sec. 10.243(a)(4) and the articles in question must be
entered within the same year;
(B) Articles that are exported to countries other than the United
States and are never entered are not to be considered in determining
compliance with the 75 or 85 percent standard specified in paragraph
(b)(1)(i) or paragraph (b)(1)(ii) of this section;
(C) Articles that are entered under an HTSUS subheading other than
the HTSUS subheading which pertains to articles described in
Sec. 10.243(a)(4) are not to be considered in determining compliance
with the 75 percent standard specified in paragraph (b)(1)(i) of this
section;
(D) For purposes of determining compliance with the 85 percent
standard specified in paragraph (b)(1)(ii) of this section, all articles
that conform to the production standards set forth in Sec. 10.243(a)(4)
must be considered, regardless of the HTSUS subheading under which they
were entered;
(E) Fabric components and fabrics that constitute findings or
trimmings are not to be considered in determining compliance with the 75
or 85 percent standard specified in paragraph (b)(1)(i) or paragraph
(b)(1)(ii) of this section;
(F) Beginning October 1, 2003, in order for articles to be eligible
for preferential treatment in a given year, a producer of, or entity
controlling production of, those articles must have met the 75 percent
standard specified in paragraph (b)(1)(i) of this section during the
immediately preceding year. If articles of a producer or entity
controlling production fail to meet the 75 percent standard specified in
paragraph (b)(1)(i) of this section during a year, articles of that
producer or entity controlling production:
[[Page 225]]
(1) Will not be eligible for preferential treatment during the
following year;
(2) Will remain ineligible for preferential treatment until the year
that follows a year in which articles of that producer or entity
controlling production met the 85 percent standard specified in
paragraph (b)(1)(ii) of this section; and
(3) After the 85 percent standard specified in paragraph (b)(1)(ii)
of this section has been met, will again be subject to the 75 percent
standard specified in paragraph (b)(1)(i) of this section during the
following year for purposes of determining eligibility for preferential
treatment in the next year.
(G) A new producer or new entity controlling production, that is, a
producer or entity controlling production who did not produce or control
production of articles that were entered as articles described in
Sec. 10.243(a)(4) during the immediately preceding year, must first
establish compliance with the 85 percent standard specified in paragraph
(b)(1)(ii) of this section as a prerequisite to preparation of the
declaration of compliance referred to in paragraph (c) of this section;
(H) A declaration of compliance prepared by a producer or by an
entity controlling production must cover all production of that producer
or all production that the entity controls for the year in question;
(I) A producer would not prepare a declaration of compliance if all
of its production is covered by a declaration of compliance prepared by
an entity controlling production;
(J) In the case of a producer, the 75 or 85 percent standard
specified in paragraph (b)(1)(i) or paragraph (b)(1)(ii) of this section
and the declaration of compliance procedure under paragraph (c) of this
section apply to all articles of that producer for the year in question,
even if some but not all of that production is also covered by a
declaration of compliance prepared by an entity controlling production;
(K) The U.S. importer does not have to be the producer or the entity
controlling production who prepared the declaration of compliance; and
(L) The exclusion references regarding findings and trimmings in
paragraph (b)(1)(i) and paragraph (b)(1)(ii) of this section apply to
all findings and trimmings, whether or not they are of foreign origin.
(ii) Examples. The following examples will illustrate application of
the principles set forth in paragraph (b)(2)(i) of this section.
Example 1. An ATPDEA beneficiary country producer of articles that
meet the production standards specified in Sec. 10.243(a)(4) in the
first year sends 50 percent of that production to ATPDEA region markets
and the other 50 percent to the U.S. market; the cost of the fabrics
formed in the United States equals 100 percent of the value of all of
the fabric in the articles sent to the ATPDEA region and 60 percent of
the value of all of the fabric in the articles sent to the United
States. Although the cost of fabrics formed in the United States is more
than 75 percent of the value of all of the fabric used in all of the
articles produced, this producer could not prepare a valid declaration
of compliance because the articles sent to the United States did not
meet the minimum 75 percent standard.
Example 2. A producer sends to the United States in the first year
three shipments of articles that meet the description in
Sec. 10.243(a)(4); one of those shipments is entered under the HTSUS
subheading that covers articles described in Sec. 10.243(a)(4), the
second shipment is entered under the HTSUS subheading that covers
articles described in Sec. 10.243(a)(7), and the third shipment is
entered under subheading 9802.00.80, HTSUS. In determining whether the
minimum 75 percent standard has been met in the first year for purposes
of entry of articles under the HTSUS subheading that covers articles
described in Sec. 10.243(a)(4) during the following (that is, second)
year, consideration must be restricted to the articles in the first
shipment and therefore must not include the articles in the second and
third shipments.
Example 3. A producer in the second year begins production of
articles that conform to the production standards specified in
Sec. 10.243(a)(4); some of those articles are entered in that year under
HTSUS subheading 6212.10 and others under HTSUS subheading 9802.00.80
but none are entered in that year under the HTSUS subheading which
pertains to articles described in Sec. 10.243(a)(4) because the 75
percent standard had not been met in the preceding (that is, first)
year. In this case the 85 percent standard applies, and all of the
articles that were entered under the various HTSUS provisions in the
second year must be taken into account in determining whether that 85
percent standard has been
[[Page 226]]
met. If the 85 percent was met in the aggregate for all of the articles
entered in the second year, in the next (that is, third) year articles
of that producer may receive preferential treatment under the HTSUS
subheading which pertains to articles described in Sec. 10.243(a)(4).
Example 4. An entity controlling production of articles that meet
the description in Sec. 10.243(a)(4) buys for the U.S., Canadian and
Mexican markets; the articles in each case are first sent to the United
States where they are entered for consumption and then placed in a
commercial warehouse from which they are shipped to various stores in
the United States, Canada and Mexico. Notwithstanding the fact that some
of the articles ultimately ended up in Canada or Mexico, a declaration
of compliance prepared by the entity controlling production must cover
all of the articles rather than only those that remained in the United
States because all of those articles had been entered for consumption.
Example 5. Fabric is cut and sewn in the United States with other
U.S. materials to form cups which are joined together to form brassiere
front subassemblies in the United States, and those front subassemblies
are then placed in a warehouse in the United States where they are held
until the following year; during that following year all of the front
subassemblies are shipped to an ATPDEA beneficiary country where they
are assembled with elastic strips for use as brassiere straps and labels
produced in an Asian country and other fabrics, components or materials
produced in the ATPDEA beneficiary country to form articles that meet
the production standards specified in Sec. 10.243(a)(4) and that are
then shipped to the United States and entered during that same year. In
determining whether the entered articles meet the minimum 75 or 85
percent standard, the fabric in the labels is to be disregarded entirely
because the labels constitute findings or trimmings for purposes of this
section, and all of the fabric in the front subassemblies is countable
because it was all formed in the United States and used in the
production of articles that were entered in the same year.
Example 6. An ATPDEA beneficiary country producer's entire
production of articles that meet the description in Sec. 10.243(a)(4) is
sent to a U.S. importer in two separate shipments, one in February and
the other in June of the same calendar year; the articles shipped in
February do not meet the minimum 75 percent standard, the articles
shipped in June exceed the 85 percent standard, and the articles in the
two shipments, taken together, do meet the 75 percent standard; the
articles covered by the February shipment are entered for consumption on
March 1 of that calendar year, and the articles covered by the June
shipment are placed in a CBP bonded warehouse upon arrival and are
subsequently withdrawn from warehouse for consumption on November 1 of
that calendar year. The ATPDEA beneficiary country producer may not
prepare a valid declaration of compliance covering the articles in the
first shipment because those articles did not meet the minimum 75
percent standard and because those articles cannot be included with the
articles of the second shipment on the same declaration of compliance
since they were entered in a different year. However, the ATPDEA
beneficiary country producer may prepare a valid declaration of
compliance covering the articles in the second shipment because those
articles did meet the requisite 85 percent standard which would apply
for purposes of entry of articles in the following year.
Example 7. A producer in the second year begins production of
articles exclusively for the U.S. market that meet the production
standards specified in Sec. 10.243(a)(4), but the entered articles do
not meet the requisite 85 percent standard until the third year. The
producer's articles may not receive preferential treatment during the
second year because there was no production (and thus there were no
entered articles) in the immediately preceding (that is, first) year on
which to assess compliance with the 75 percent standard. The producer's
articles also may not receive preferential treatment during the third
year because the 85 percent standard was not met in the immediately
preceding (that is, second) year. However, the producer's articles are
eligible for preferential treatment during the fourth year based on
compliance with the 85 percent standard in the immediately preceding
(that is, third) year.
Example 8. An entity controlling production (Entity A) uses five
ATPDEA beneficiary country producers (Producers 1-5), all of which
produce only articles that meet the description in Sec. 10.243(a)(4);
Producers 1-4 send all of their production to the United States and
Producer 5 sends 10 percent of its production to the United States and
the rest to Europe; Producers 1-3 and Producer 5 produce only pursuant
to contracts with Entity A, but Producer 4 also operates independently
of Entity A by producing for several U.S. importers, one of which is an
entity controlling production (Entity B) that also controls all of the
production of articles of one other producer (Producer 6) which sends
all of its production to the United States. A declaration of compliance
prepared by Entity A must cover all of the articles of Producers 1-3 and
the 10 percent of articles of Producer 5 that are sent to the United
States and that portion of the articles of Producer 4 that are produced
pursuant to the contract with Entity A, because Entity A controls the
production of those articles. There is no need for Producers 1-3 and
Producer 5 to prepare
[[Page 227]]
a declaration of compliance because they have no production that is not
covered by a declaration of compliance prepared by an entity controlling
production. A declaration of compliance prepared by Producer 4 would
cover all of its production, that is, articles produced for Entity A,
articles produced for Entity B, and articles produced independently for
other U.S. importers; a declaration of compliance prepared by Entity B
must cover that portion of the production of Producer 4 that it controls
as well as all of the production of Producer 6 because Entity B also
controls all of the production of Producer 6. Producer 6 would not
prepare a declaration of compliance because all of its production is
covered by the declaration of compliance prepared by Entity B.
(c) Documentation--(1) Initial declaration of compliance. In order
for an importer to comply with the requirement set forth in paragraph
(b)(1)(iii) of this section, the producer or the entity controlling
production must have filed with CBP, in accordance with paragraph (c)(4)
of this section, a declaration of compliance with the applicable 75 or
85 percent requirement prescribed in paragraph (b)(1)(i) or (b)(1)(ii)
of this section. After filing of the declaration of compliance has been
completed, CBP will advise the producer or the entity controlling
production of the distinct and unique identifier assigned to that
declaration. The producer or the entity controlling production will then
be responsible for advising each appropriate U.S. importer of that
distinct and unique identifier for purposes of recording that identifier
on the entry summary or warehouse withdrawal. In order to provide
sufficient time for advising the U.S. importer of that distinct and
unique identifier prior to the arrival of the articles in the United
States, the producer or the entity controlling production should file
the declaration of compliance with CBP at least 10 calendar days prior
to the date of the first shipment of the articles to the United States.
(2) Amended declaration of compliance. If the information on the
declaration of compliance referred to in paragraph (c)(1) of this
section is based on an estimate because final year-end information was
not available at that time and the final data differs from the estimate,
or if the producer or the entity controlling production has reason to
believe for any other reason that the declaration of compliance that was
filed contained erroneous information, within 30 calendar days after the
final year-end information becomes available or within 30 calendar days
after the date of discovery of the error:
(i) The producer or the entity controlling production must file with
the CBP office identified in paragraph (c)(4) of this section an amended
declaration of compliance containing that final year-end information or
other corrected information; or
(ii) If that final year-end information or other corrected
information demonstrates noncompliance with the applicable 75 or 85
percent requirement, the producer or the entity controlling production
must in writing advise both the CBP office identified in paragraph
(c)(4) of this section and each appropriate U.S. importer of that fact.
(3) Form and preparation of declaration of compliance--(i) Form. The
declaration of compliance referred to in paragraph (c)(1) of this
section may be printed and reproduced locally and must be in the
following format:
Andean Trade Promotion and Drug Eradication Act Declaration of
Compliance for Brassieres
[19 CFR 10.243(a)(4) and 10.248]
------------------------------------------------------------------------
------------------------------------------------------------------------
1. Year beginning date: October 1, Official U.S. CBP Use Only
_________
Year ending date: September 30, Assigned number:
___________ ------------------------
Assignment date:----------------
--------
------------------------------------------------------------------------
2. Identity of preparer (producer or
entity controlling production):
Full name and address: Telephone number: --------------
----------
Facsimile number: --------------
----------
[[Page 228]]
Importer identification
number:------------
------------------------------------------------------------------------
3. If the preparer is an entity controlling production, provide the
following for each producer:
------------------------------------------------------------------------
Full name and address: ___________ Telephone number: --------------
----------
Facsimile number: --------------
----------
------------------------------------------------------------------------
4. Aggregate cost of fabrics (exclusive of all findings and trimmings)
formed in the United States that were used in the production of
brassieres that were entered during the year:
------------------------
------------------------------------------------------------------------
5. Aggregate declared customs value of the fabric (exclusive of all
findings and trimmings) contained in brassieres that were entered
during the year:
------------------------
------------------------------------------------------------------------
6. I declare that the aggregate cost of fabric (exclusive of all
findings and trimmings) formed in the United States was at least 75
percent (or 85 percent, if applicable under 19 CFR 10.248(b)(1)(ii)) of
the aggregate declared customs value of the fabric contained in
brassieres entered during the year.
------------------------------------------------------------------------
7. Authorized signature:---------------- 8. Name and title (print or
-------- type):------------------------
------------------------------------------------------------------------
Date:
------------------------------------------------------------------------
(ii) Preparation. The following rules will apply for purposes of
completing the declaration of compliance set forth in paragraph
(c)(3)(i) of this section:
(A) In block 1, fill in the year commencing October 1 and ending
September 30 of the calendar year during which the applicable 75 or 85
percent standard specified in paragraph (b)(1)(i) or paragraph
(b)(1)(ii) of this section was met;
(B) Block 2 should state the legal name and address (including
country) of the preparer and should also include the preparer's importer
identification number (see Sec. 24.5 of this chapter), if the preparer
has one;
(C) Block 3 should state the legal name and address (including
country) of the ATPDEA beneficiary country producer if that producer is
not already identified in block 2. If there is more than one producer,
attach a list stating the legal name and address (including country) of
all additional producers;
(D) Blocks 4 and 5 apply only to articles that were entered during
the year identified in block 1; and
(E) In block 7, the signature must be that of an authorized officer,
employee, agent or other person having knowledge of the relevant facts
and the date must be the date on which the declaration of compliance was
completed and signed.
(4) Filing of declaration of compliance. The declaration of
compliance referred to in paragraph (c)(1) of this section:
(i) Must be completed either in the English language or in the
language of the country in which the articles covered by the declaration
were produced. If the declaration is completed in a language other than
English, the producer or the entity controlling production must provide
to CBP upon request a written English translation of the declaration;
and
(ii) Must be filed with the New York Strategic Trade Center, Customs
and Border Protection, 1 Penn Plaza, New York, New York 10119.
(d) Verification of declaration of compliance--(1) Verification
procedure. A declaration of compliance filed under this section will be
subject to whatever verification CBP deems necessary. In the event that
CBP for any reason is prevented from verifying the statements made on a
declaration of compliance, CBP may deny any claim for preferential
treatment made under Sec. 10.245 that is based on that declaration. A
verification of a declaration of
[[Page 229]]
compliance may involve, but need not be limited to, a review of:
(i) All records required to be made, kept, and made available to CBP
by the importer, the producer, the entity controlling production, or any
other person under part 163 of this chapter;
(ii) Documentation and other information regarding all articles that
meet the production standards specified in Sec. 10.243(a)(4) that were
exported to the United States and that were entered during the year in
question, whether or not a claim for preferential treatment was made
under Sec. 10.245. Those records and other information include, but are
not limited to, work orders and other production records, purchase
orders, invoices, bills of lading and other shipping documents;
(iii) Evidence to document the cost of fabrics formed in the United
States that were used in the production of the articles in question,
such as purchase orders, invoices, bills of lading and other shipping
documents, and customs import and clearance documents, work orders and
other production records, and inventory control records;
(iv) Evidence to document the cost or value of all fabric other than
fabrics formed in the United States that were used in the production of
the articles in question, such as purchase orders, invoices, bills of
lading and other shipping documents, and customs import and clearance
documents, work orders and other production records, and inventory
control records; and
(v) Accounting books and documents to verify the records and
information referred to in paragraphs (d)(1)(ii) through (d)(1)(iv) of
this section. The verification of purchase orders, invoices and bills of
lading will be accomplished through the review of a distinct audit
trail. The audit trail documents must consist of a cash disbursement or
purchase journal or equivalent records to establish the purchase of the
fabric. The headings in each of these journals or other records must
contain the date, vendor name, and amount paid for the fabric. The
verification of production records and work orders will be accomplished
through analysis of the inventory records of the producer or entity
controlling production. The inventory records must reflect the
production of the finished article which must be referenced to the
original purchase order or lot number covering the fabric used in
production. In the inventory production records, the inventory should
show the opening balance of the inventory plus the purchases made during
the accounting period and the inventory closing balance.
(2) Notice of determination. If, based on a verification of a
declaration of compliance filed under this section, CBP determines that
the applicable 75 or 85 percent standard specified in paragraph
(b)(1)(i) or paragraph (b)(1)(ii) of this section was not met, CBP will
publish a notice of that determination in the Federal Register.
Extension of ATPA Benefits to Tuna and Certain Other Non-Textile
Articles
Source: Sections 10.251 through 10.257 issued by T.D. 03-16, 68 FR
14497, Mar. 25, 2003; 68 FR 67349, Dec. 1, 2003, unless otherwise noted.
Sec. 10.251 Applicability.
Title XXXI of Public Law 107-210 (116 Stat. 933), entitled the
Andean Trade Promotion and Drug Eradication Act (ATPDEA), amended
sections 202, 203, 204, and 208 of the Andean Trade Preference Act (the
ATPA, 19 U.S.C. 3201-3206) to authorize the President to extend
additional trade benefits to ATPA beneficiary countries that have been
designated as ATPDEA beneficiary countries. Sections 204(b)(1) and
(b)(4) of the ATPA (19 U.S.C. 3203(b)(1) and (b)(4)) provide for the
preferential treatment of certain non-textile articles that were not
entitled to duty-free treatment under the ATPA prior to enactment of the
ATPDEA. The provisions of Sec. Sec. 10.251-10.257 of this part set forth
the legal requirements and procedures that apply for purposes of
obtaining preferential treatment pursuant to ATPA sections 204(b)(1) and
(b)(4).
Sec. 10.252 Definitions.
When used in Sec. Sec. 10.251 through 10.257, the following terms
have the meanings indicated:
ATPA. ``ATPA'' means the Andean Trade Preference Act, 19 U.S.C.
3201-3206.
[[Page 230]]
ATPDEA beneficiary country. ``ATPDEA beneficiary country'' means a
``beneficiary country'' as defined in Sec. 10.202(a) for purposes of the
ATPA which the President also has designated as a beneficiary country
for purposes of preferential treatment of products under 19 U.S.C.
3203(b)(1) and (b)(4) and which has been the subject of a finding by the
President or his designee, published in the Federal Register, that the
beneficiary country has satisfied the requirements of 19 U.S.C.
3203(b)(5)(A)(ii).
ATPDEA beneficiary country vessel. ``ATPDEA beneficiary country
vessel'' means a vessel:
(a) Which is registered or recorded in an ATPDEA beneficiary
country;
(b) Which sails under the flag of an ATPDEA beneficiary country;
(c) Which is at least 75 percent owned by nationals of an ATPDEA
beneficiary country or by a company having its principal place of
business in an ATPDEA beneficiary country, of which the manager or
managers, chairman of the board of directors or of the supervisory
board, and the majority of the members of those boards are nationals of
an ATPDEA beneficiary country and of which, in the case of a company, at
least 50 percent of the capital is owned by an ATPDEA beneficiary
country or by public bodies or nationals of an ATPDEA beneficiary
country;
(d) Of which the master and officers are nationals of an ATPDEA
beneficiary country; and
(e) Of which at least 75 percent of the crew are nationals of an
ATPDEA beneficiary country.
HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the United
States.
Preferential treatment. ``Preferential treatment'' means entry, or
withdrawal from warehouse for consumption, in the customs territory of
the United States free of duty and free of any quantitative restrictions
in the case of tuna described in Sec. 10.253(a)(1) and free of duty in
the case of any article described in Sec. 10.253(a)(2).
United States vessel. ``United States vessel'' means either: a
vessel having a certificate of documentation with a fishery endorsement
under chapter 121 of title 46 of the United States Code; or a vessel
that is documented under the laws of the United States and for which a
license has been issued pursuant to section 9 of the South Pacific Tuna
Act of 1988.
[T.D. 03-16, 68 FR 14497, Mar. 25, 2003; 68 FR 67349, Dec. 1, 2003, as
amended by CBP Dec. 06-21, 71 FR 44583, Aug. 7, 2006]
Sec. 10.253 Articles eligible for preferential treatment.
(a) General. Preferential treatment applies to any of the following
articles, provided that the article in question is imported directly
into the customs territory of the United States from an ATPDEA
beneficiary country within the meaning of paragraph (b) of this section:
(1) Tuna that is harvested by United States vessels or ATPDEA
beneficiary country vessels, that is prepared or preserved in any
manner, in an ATPDEA beneficiary country, in foil or other flexible
airtight containers weighing with their contents not more than 6.8
kilograms each; and
(2) Any of the following articles that the President has determined
are not import-sensitive in the context of imports from ATPDEA
beneficiary countries, provided that the article in question meets the
country of origin and value content requirements set forth in paragraphs
(c) and (d) of this section:
(i) Footwear not designated on December 4, 1991, as eligible
articles for the purpose of the Generalized System of Preferences (GSP)
under Title V, Trade Act of 1974, as amended (19 U.S.C. 2461 through
2467);
(ii) Petroleum, or any product derived from petroleum, provided for
in headings 2709 and 2710 of the HTSUS;
(iii) Watches and watch parts (including cases, bracelets, and
straps), of whatever type including, but not limited to, mechanical,
quartz digital or quartz analog, if those watches or watch parts contain
any material which is the product of any country with respect to which
HTSUS column 2 rates of duty apply; and
(iv) Handbags, luggage, flat goods, work gloves, and leather wearing
apparel that were not designated on August 5, 1983, as eligible articles
for purposes of the GSP.
[[Page 231]]
(b) Imported directly defined. For purposes of paragraph (a) of this
section, the words ``imported directly'' mean:
(1) Direct shipment from any ATPDEA beneficiary country to the
United States without passing through the territory of any country that
is not an ATPDEA beneficiary country;
(2) If the shipment is from any ATPDEA beneficiary country to the
United States through the territory of any country that is not an ATPDEA
beneficiary country, the articles in the shipment do not enter into the
commerce of any country that is not an ATPDEA beneficiary country while
en route to the United States and the invoices, bills of lading, and
other shipping documents show the United States as the final
destination; or
(3) If the shipment is from any ATPDEA beneficiary country to the
United States through the territory of any country that is not an ATPDEA
beneficiary country, and the invoices and other documents do not show
the United States as the final destination, the articles in the shipment
upon arrival in the United States are imported directly only if they:
(i) Remained under the control of the customs authority of the
intermediate country;
(ii) Did not enter into the commerce of the intermediate country
except for the purpose of sale other than at retail, and the port
director is satisfied that the importation results from the original
commercial transaction between the importer and the producer or the
producer's sales agent; and
(iii) Were not subjected to operations other than loading or
unloading, and other activities necessary to preserve the articles in
good condition.
(c) Country of origin criteria--(1) General. Except as otherwise
provided in paragraph (c)(2) of this section, an article described in
paragraph (a)(2) of this section may be eligible for preferential
treatment if the article is either:
(i) Wholly the growth, product, or manufacture of an ATPDEA
beneficiary country; or
(ii) A new or different article of commerce which has been grown,
produced, or manufactured in an ATPDEA beneficiary country.
(2) Exceptions. No article will be eligible for preferential
treatment by virtue of having merely undergone simple (as opposed to
complex or meaningful) combining or packaging operations, or mere
dilution with water or mere dilution with another substance that does
not materially alter the characteristics of the article. The principles
and examples set forth in Sec. 10.195(a)(2) will apply equally for
purposes of this paragraph.
(d) Value content requirement--(1) General. An article may be
eligible for preferential treatment only if the sum of the cost or value
of the materials produced in an ATPDEA beneficiary country or countries,
plus the direct costs of processing operations performed in an ATPDEA
beneficiary country or countries, is not less than 35 percent of the
appraised value of the article at the time it is entered.
(2) Commonwealth of Puerto Rico, U.S. Virgin Islands and CBI
beneficiary countries. For the specific purpose of determining the
percentage referred to in paragraph (d)(1) of this section, the term
``ATPDEA beneficiary country'' includes the Commonwealth of Puerto Rico,
the U.S. Virgin Islands, and any CBI beneficiary country as defined in
Sec. 10.191(b)(1). Any cost or value of materials or direct costs of
processing operations attributable to the Virgin Islands or any CBI
beneficiary country must be included in the article prior to its final
exportation to the United States from an ATPDEA beneficiary country as
defined in Sec. 10.252.
(3) Materials produced in the United States. For purposes of
determining the percentage referred to in paragraph (d)(1) of this
section, an amount not to exceed 15 percent of the appraised value of
the article at the time it is entered may be attributed to the cost or
value of materials produced in the customs territory of the United
States (other than the Commonwealth of Puerto Rico). The principles set
forth in paragraph (d)(4)(i) of this section will apply in determining
whether a material is ``produced in the customs territory of the United
States'' for purposes of this paragraph.
(4) Cost or value of materials--(i) ``Materials produced in an
ATPDEA beneficiary country or countries'' defined. For
[[Page 232]]
purposes of paragraph (d)(1) of this section, the words ``materials
produced in an ATPDEA beneficiary country or countries'' refer to those
materials incorporated in an article which are either:
(A) Wholly the growth, product, or manufacture of an ATPDEA
beneficiary country or two or more ATPDEA beneficiary countries; or
(B) Substantially transformed in any ATPDEA beneficiary country or
two or more ATPDEA beneficiary countries into a new or different article
of commerce which is then used in any ATPDEA beneficiary country as
defined in Sec. 10.252 in the production or manufacture of a new or
different article which is imported directly into the United States. For
purposes of this paragraph (d)(4)(i)(B), no material will be considered
to be substantially transformed into a new or different article of
commerce by virtue of having merely undergone simple (as opposed to
complex or meaningful) combining or packaging operations, or mere
dilution with water or mere dilution with another substance that does
not materially alter the characteristics of the article. The examples
set forth in Sec. 10.196(a), and the principles and examples set forth
in Sec. 10.195(a)(2), will apply for purposes of the corresponding
context under paragraph (d)(4)(i) of this section.
(ii) Failure to establish origin. If the importer fails to maintain
adequate records to establish the origin of a material, that material
may not be considered to have been grown, produced, or manufactured in
an ATPDEA beneficiary country or in the customs territory of the United
States for purposes of determining the percentage referred to in
paragraph (d)(1) of this section.
(iii) Determination of cost or value of materials. (A) The cost or
value of materials produced in an ATPDEA beneficiary country or
countries or in the customs territory of the United States includes:
(1) The manufacturer's actual cost for the materials;
(2) When not included in the manufacturer's actual cost for the
materials, the freight, insurance, packing, and all other costs incurred
in transporting the materials to the manufacturer's plant;
(3) The actual cost of waste or spoilage, less the value of
recoverable scrap; and
(4) Taxes and/or duties imposed on the materials by any ATPDEA
beneficiary country or by the United States, provided they are not
remitted upon exportation.
(B) Where a material is provided to the manufacturer without charge,
or at less than fair market value, its cost or value will be determined
by computing the sum of:
(1) All expenses incurred in the growth, production, or manufacture
of the material, including general expenses;
(2) An amount for profit; and
(3) Freight, insurance, packing, and all other costs incurred in
transporting the material to the manufacturer's plant.
(5) Direct costs of processing operations--(i) Items included. For
purposes of paragraph (d)(1) of this section, the words ``direct costs
of processing operations'' mean those costs either directly incurred in,
or which can be reasonably allocated to, the growth, production,
manufacture, or assembly of the specific merchandise under
consideration. Those costs include, but are not limited to the
following, to the extent that they are includable in the appraised value
of the imported merchandise:
(A) All actual labor costs involved in the growth, production,
manufacture, or assembly of the specific merchandise, including fringe
benefits, on-the-job training, and the cost of engineering, supervisory,
quality control, and similar personnel;
(B) Dies, molds, tooling, and depreciation on machinery and
equipment which are allocable to the specific merchandise;
(C) Research, development, design, engineering, and blueprint costs
insofar as they are allocable to the specific merchandise; and
(D) Costs of inspecting and testing the specific merchandise.
(ii) Items not included. For purposes of paragraph (d)(1) of this
section, the words ``direct costs of processing operations'' do not
include items which are
[[Page 233]]
not directly attributable to the merchandise under consideration or are
not costs of manufacturing the product. These include, but are not
limited to:
(A) Profit; and
(B) General expenses of doing business which either are not
allocable to the specific merchandise or are not related to the growth,
production, manufacture, or assembly of the merchandise, such as
administrative salaries, casualty and liability insurance, advertising,
and salesmen's salaries, commissions, or expenses.
(6) Articles wholly the growth, product, or manufacture of an ATPDEA
beneficiary country. Any article which is wholly the growth, product, or
manufacture of an ATPDEA beneficiary country as defined in Sec. 10.252,
and any article produced or manufactured in an ATPDEA beneficiary
country as defined in Sec. 10.252 exclusively from materials which are
wholly the growth, product, or manufacture of an ATPDEA beneficiary
country or countries, will normally be presumed to meet the requirement
set forth in paragraph (d)(1) of this section.
Sec. 10.254 Certificate of Origin.
A Certificate of Origin as specified in Sec. 10.256 must be employed
to certify that an article described in Sec. 10.253(a) being exported
from an ATPDEA beneficiary country to the United States qualifies for
the preferential treatment referred to in Sec. 10.251. The Certificate
of Origin must be prepared in the ATPDEA beneficiary country by the
producer or exporter or by the producer's or exporter's authorized
agent. If the person preparing the Certificate of Origin is not the
producer of the article, the person may complete and sign a Certificate
on the basis of:
(a) The person's reasonable reliance on the producer's written
representation that the article qualifies for preferential treatment; or
(b) A completed and signed Certificate of Origin for the article
voluntarily provided to the person by the producer.
[CBP Dec. 06-21, 71 FR 44583, Aug. 7, 2006]
Sec. 10.255 Filing of claim for preferential treatment.
(a) Declaration. In connection with a claim for preferential
treatment for an article described in Sec. 10.253(a), the importer must
make a written declaration that the article qualifies for that
treatment. The written declaration should be made by including on the
entry summary, or equivalent documentation, the symbol ``J+'' as a
prefix to the subheading of the HTSUS in which the article in question
is classified. Except in any of the circumstances described in
Sec. 10.256(d)(1), the declaration required under this paragraph must be
based on a complete and properly executed original Certificate of Origin
that covers the article being imported and that is in the possession of
the importer.
(b) Corrected declaration. If, after making the declaration required
under paragraph (a) of this section, the importer has reason to believe
that a Certificate of Origin on which a declaration was based contains
information that is not correct, the importer must within 30 calendar
days after the date of discovery of the error make a corrected
declaration and pay any duties that may be due. A corrected declaration
will be effected by submission of a letter or other written statement to
the Customs port where the declaration was originally filed.
Sec. 10.256 Maintenance of records and submission of Certificate by
importer.
(a) Maintenance of records. Each importer claiming preferential
treatment for an article under Sec. 10.255 must maintain in the United
States, in accordance with the provisions of part 163 of this chapter,
all records relating to the importation of the article. Those records
must include the original Certificate of Origin referred to in
Sec. 10.255(a) and any other relevant documents or other records as
specified in Sec. 163.1(a) of this chapter.
(b) Submission of Certificate. An importer who claims preferential
treatment on an article under Sec. 10.255(a) must provide, at the
request of the port director, a copy of the Certificate of
[[Page 234]]
Origin pertaining to the article. A Certificate of Origin submitted to
Customs under this paragraph:
(1) Must be on CBP Form 449, including privately-printed copies of
that Form, or, as an alternative to CBP Form 449, in an approved
computerized format or other medium or format as is approved by the
Office of International Trade, U.S. Customs and Border Protection,
Washington, DC 20229. An alternative format must contain the same
information and certification set forth on CBP Form 449;
(2) Must be signed by the producer or exporter or by the producer's
or exporter's authorized agent having knowledge of the relevant facts;
(3) Must be completed either in the English language or in the
language of the country from which the article is exported. If the
Certificate is completed in a language other than English, the importer
must provide to Customs upon request a written English translation of
the Certificate; and
(4) May be applicable to:
(i) A single importation of an article into the United States,
including a single shipment that results in the filing of one or more
entries and a series of shipments that results in the filing of one
entry; or
(ii) Multiple importations of identical articles into the United
States that occur within a specified blanket period, not to exceed 12
months, set out in the Certificate by the exporter. For purposes of this
paragraph, ``identical articles'' means articles that are the same in
all material respects, including physical characteristics, quality, and
reputation.
(c) Correction and nonacceptance of Certificate. If the port
director determines that a Certificate of Origin is illegible or
defective or has not been completed in accordance with paragraph (b) of
this section, the importer will be given a period of not less than five
working days to submit a corrected Certificate. A Certificate will not
be accepted in connection with subsequent importations during a period
referred to in paragraph (b)(4)(ii) of this section if the port director
determined that a previously imported identical article covered by the
Certificate did not qualify for preferential treatment.
(d) Certificate not required--(1) General. Except as otherwise
provided in paragraph (d)(2) of this section, an importer is not
required to have a Certificate of Origin in his possession for:
(i) An importation of an article for which the port director has in
writing waived the requirement for a Certificate of Origin because the
port director is otherwise satisfied that the article qualifies for
preferential treatment;
(ii) A non-commercial importation of an article; or
(iii) A commercial importation of an article whose value does not
exceed US$2,500, provided that, unless waived by the port director, the
producer, exporter, importer or authorized agent includes on, or
attaches to, the invoice or other document accompanying the shipment the
following signed statement:
I hereby certify that the article covered by this shipment qualifies
for preferential tariff treatment under the ATPDEA.
Check One:
( ) Producer
( ) Exporter
( ) Importer
( ) Agent
----------------------------------
Name
----------------------------------
Title
----------------------------------
Address
----------------------------------
Signature and Date
(2) Exception. If the port director determines that an importation
described in paragraph (d)(1) of this section forms part of a series of
importations that may reasonably be considered to have been undertaken
or arranged for the purpose of avoiding a Certificate of Origin
requirement under Sec. Sec. 10.254 through 10.256, the port director
will notify the importer in writing that for that importation the
importer must have in his possession a valid Certificate of Origin to
support the claim for preferential treatment. The importer will have 30
calendar days from the date of the written notice to obtain a valid
Certificate of Origin, and a failure to timely obtain the Certificate of
Origin will result in denial of the claim
[[Page 235]]
for preferential treatment. For purposes of this paragraph, a ``series
of importations'' means two or more entries covering articles arriving
on the same day from the same exporter and consigned to the same person.
[T.D. 03-16, 68 FR 14497, Mar. 25, 2003; 68 FR 67349, Dec. 1, 2003, as
amended by CBP Dec. 06-21, 71 FR 44583, Aug. 7, 2006]
Sec. 10.257 Verification and justification of claim for preferential
treatment.
(a) Verification by Customs. A claim for preferential treatment made
under Sec. 10.255, including any statements or other information
contained on a Certificate of Origin submitted to Customs under
Sec. 10.256, will be subject to whatever verification the port director
deems necessary. In the event that the port director for any reason is
prevented from verifying the claim, the port director may deny the claim
for preferential treatment. A verification of a claim for preferential
treatment may involve, but need not be limited to, a review of:
(1) All records required to be made, kept, and made available to
Customs by the importer or any other person under part 163 of this
chapter;
(2) Documentation and other information regarding the country of
origin of an article and its constituent materials, including, but not
limited to, production records, information relating to the place of
production, the number and identification of the types of machinery used
in production, and the number of workers employed in production; and
(3) Evidence to document the use of U.S. or ATPDEA beneficiary
country materials in the production of the article in question, such as
purchase orders, invoices, bills of lading and other shipping documents,
and customs import and clearance documents.
(b) Importer requirements. In order to make a claim for preferential
treatment under Sec. 10.255, the importer:
(1) Must have records that explain how the importer came to the
conclusion that the article qualifies for preferential treatment. Those
records must include documents that support a claim that the article in
question qualifies for preferential treatment because it meets the
country of origin and value content requirements set forth in
Sec. 10.253(c) and (d). A properly completed Certificate of Origin in
the form prescribed in Sec. 10.254(b) is a record that would serve this
purpose;
(2) Must establish and implement internal controls which provide for
the periodic review of the accuracy of the Certificate of Origin or
other records referred to in paragraph (b)(1) of this section;
(3) Must have shipping papers that show how the article moved from
the ATPDEA beneficiary country to the United States. If the imported
article was shipped through a country other than an ATPDEA beneficiary
country and the invoices and other documents from the ATPDEA beneficiary
country do not show the United States as the final destination, the
importer also must have documentation that demonstrates that the
conditions set forth in Sec. 10.253(b)(3)(i) through (iii) were met; and
(4) Must be prepared to explain, upon request from Customs, how the
records and internal controls referred to in paragraphs (b)(1) through
(b)(3) of this section justify the importer's claim for preferential
treatment.
Subpart G_United States-Canada Free Trade Agreement
Source: Sections 10.301 through 10.311 issued by T.D. 89-3, 53 FR
51766, Dec. 23, 1988, unless otherwise noted.
Sec. 10.301 Scope and applicability.
The provisions of Sec. Sec. 10.302 through 10.311 of this part
relate to the procedures for obtaining duty preferences on imported
goods under the United States-Canada Free-Trade Agreement (the
Agreement) entered into on January 2, 1988, and the United States-Canada
Free-Trade Agreement Implementation Act of 1988 (102 Stat. 1851). The
United States and Canada agreed to suspend operation of the Agreement
with effect from January 1, 1994, to coincide with the entry into force
of the North American Free Trade Agreement (see part 181 of this
chapter) and, accordingly, the provisions of Sec. Sec. 10.302 through
10.311 of this part apply only to goods imported from Canada that
[[Page 236]]
were entered for consumption, or withdrawn from warehouse for
consumption, during the period January 1, 1989, through December 31,
1993. In situations involving goods subject to bilateral restrictions or
prohibitions, or country of origin marking, other criteria for
determining origin may be applicable pursuant to Article 407 of the
Agreement.
[T.D. 96-35, 61 FR 19835, May 3, 1996]
Sec. 10.302 Eligibility criteria in general.
Subject to the more specific explanations of the criteria in
Sec. Sec. 10.303 and 10.305 of this part, goods classifiable under an
HTSUS heading or subheading for which the symbol ``CA'' appears in the
``special'' column are eligible for a preference if:
(a) Originating goods. The goods originate in Canada or the United
States, or both, and
(b) Direct shipment required. Except as provided in Sec. 10.306(b),
are directly shipped to the United States from Canada.
Sec. 10.303 Originating goods.
(a) General. For purposes of eligibility for a preference under the
Agreement, goods may be regarded as originating goods if:
(1) Wholly of Canadian or United States origin. The goods are wholly
obtained or produced in the Territory of Canada or the United States, or
both, as set forth in General Note 3(c), HTSUS;
(2) Transformed with a change in classification. The goods have been
transformed by a processing which results in a change in classification
and, if required, a sufficient value-content, as set forth in General
Note 3(c), HTSUS; or
(3) Transformed without a change in classification. An assembly of
goods, other than goods of chapters 61 to 63 of the HTSUS, which does
not result in a change in classification because the goods were imported
in an unassembled or disassembled form and classified as the goods,
unassembled or disassembled, pursuant to General Rule of Interpretation
2(a), HTSUS, or because the tariff subheading for the goods provides for
both the goods themselves and their parts, shall nonetheless be treated
as originating goods if:
(i) The value of originating materials and the direct cost of
assembling in Canada or the United States, or both, as defined in
Sec. 10.305 constitute not less than 50 percent of the value of the
goods when exported to the United States;
(ii) The assembled goods are not subsequently processed or further
assembled in a third country; and
(iii) The goods satisfy the requirement in Sec. 10.306.
(b) Originating materials. For purposes of this section and
Sec. 10.305, the term ``materials'' means goods, other than those
included as part of the direct cost of processing or assembling, used or
consumed in the production of other goods, and the term ``orginating''
when used with reference to such materials means that the materials
satisfy one of the criteria for originating goods set forth in paragraph
(a) of this section.
(c) Change in classification. For purposes of paragraph (a) of this
section, the expression ``change in classification'' means a change of
classification within the Harmonized Commodity Description and Coding
System (Harmonized System) as published and amended from time to time by
the Customs Cooperation Council.
(d) Articles of feather. The goods are eligible to be treated as
originating in Canada pursuant to General Note 3(c)(vii)(R)(12)(ee),
HTSUS.
[T.D. 92-8, 57 FR 2453, Jan. 22, 1992]
Sec. 10.304 Exclusions.
(a) Changes based on simple processing. No goods shall be considered
originating for purposes of eligibility under the Agreement if they have
merely undergone simple packaging or simple combining operations, or
have undergone mere dilution with water or with another substance that
does not materially alter the characteristics of the goods.
(b) Other excluded processing. No goods shall be considered to be
originating merely by virtue of having undergone any process or work in
which the facts clearly justify the presumption that the sole object was
to circumvent the provisions of Chapter 3 of the Agreement.
[[Page 237]]
Sec. 10.305 Value content requirement.
(a) Direct cost of processing or assembling--(1) Definition. For
purposes of applying a specific rule of origin under the Agreement which
requires a value content determination, the terms ``direct cost of
processing'' and ``direct cost of assembling'' mean the costs directly
incurred in, or that can be reasonably allocated to, the production of
goods, including:
(i) The cost of all labor, including benefits and on-the-job
training, labor provided in connection with supervision, quality
control, shipping, receiving, storage, packaging, management at the
location of the process or assembly, and other like labor, whether
provided by employees or independent contractors;
(ii) The cost of inspecting and testing the goods;
(iii) The cost of energy, fuel, dies, molds, tooling, and the
depreciation and maintenance of machinery and equipment, without regard
to whether they originate within the territory of the United States or
Canada;
(iv) Development, design, and engineering costs;
(v) Rent, mortgage interest, depreciation on buildings, property
insurance premiums, maintenance, taxes and the cost of utilities for
real property used in the production of the goods; and
(vi) Royalty, licensing, or other like payments for the right to the
goods.
(2) Exclusions from direct costs of processing or assembling.
Excluded from the direct costs of processing or assembling are:
(i) Costs relating to the general expense of doing business, such as
the cost of providing executive, financial, sales, advertising,
marketing, accounting and legal services, and insurance;
(ii) Brokerage charges relating to the importation and exportation
of goods;
(iii) Costs for telephone, mail, and other means of communication;
(iv) Packing costs for exporting the goods;
(v) Royalty payments related to a licensing agreement to distribute
or sell the goods;
(vi) Rent, mortgage interest, depreciation on buildings, property
insurance premiums, maintenance, taxes, and the cost of utilities for
real property used by personnel charged with administrative functions;
and
(vii) Profit on the goods.
(3) Interpretation--(i) Indirect materials. Under the definition of
``materials'' set forth in Sec. 10.303(b), certain types of materials
are treated as direct costs of processing or assembling under paragraph
(a) of this section. This applies principally to materials used or
consumed indirectly in the production of exported goods, where no
portion of those materials is physically incorporated in the exported
goods. In addition to the items specified in paragraph (a)(1)(iii) of
this section, such materials include items such as gloves and safety
glasses worn by production workers, tape used in painting processes, and
tools, materials and spare parts used in the repair and maintenance of
machinery and equipment used in the production of the exported goods.
Such materials are to be distinguished from waste and spoilage specified
in paragraph (b)(1)(ii)(C) of this section, which relate to materials
that are physically incorporated in the exported goods.
(ii) Directly incurred. In order for costs incurred by a production
facility to be treated as direct costs of processing or assembling,
those costs must be directly incurred in the production of the exported
goods and not merely associated with the production facility as
peripheral costs necessary to operate the facility. In addition to the
exclusions set forth in paragraph (a)(2) of this section, such
peripheral costs include labor costs for nurses tending to employees,
for accounting personnel involved in physical inventory taking, for
personnel responsible for purchasing or requisitioning materials to be
used or consumed in the production process, and for second level
supervisors and above who are not directly involved in the production
process.
(iii) Labor costs. Under paragraph (a)(1)(i) of this section, labor
costs includable as direct costs of processing or assembling are limited
to labor provided by the producer's employees or by independent
contractors. Thus, for example, where processing operations are
performed on components in the United States and those components are
sold to a manufacturer in Canada
[[Page 238]]
where they are incorporated in goods exported to the United States, the
cost of those processing operations in the United States cannot be
separately counted as a direct cost of processing attributable to the
finished goods exported to the United States.
(iv) Interest expense. Bona fide interest payments on debt of any
form, secured or unsecured, undertaken on arm's length terms in the
ordinary course of business to finance the acquisition of fixed assets
such as real property, a plant, and/or equipment used in the production
of goods in the territory of Canada or the U.S. are includable in the
direct cost of processing or direct cost of assembling. Interest will be
treated as a direct cost of processing or assembling, but only that
portion of the interest which is related to a fixed asset directly used
in the production of the goods exported; thus, where an entire
production facility is covered by a mortgage and incorporates both
production and administrative or other general expense space, an
appropriate allocation must be made in order to ensure that only that
portion of the interest allocated to the production area is counted
toward the value-content requirement. Interest expenses attributable to
general and administrative costs or expenses, including interest on
funds borrowed to meet the payroll of personnel directly involved in the
production of goods, are not considered direct costs of processing or
assembly.
(b) Value of originating materials--(1) Definition. The term ``value
of materials originating in the United States or Canada or both'' means
the aggregate of:
(i) The price paid by the producer of exported goods for materials
originating in either the United States or Canada, or both, or for
materials imported from a third country used or consumed in the
production of such originating materials; and
(ii) When not included in that price, the following costs related
thereto:
(A) Freight, insurance, packing and all other costs incurred in
transporting any of the materials referred to in paragraph (b)(1)(i) of
this section to the location of the producer;
(B) Duties, taxes and brokerage fees on such materials paid in the
United States, or Canada, or both;
(C) The cost of waste or spoilage resulting from the use or
consumption of such materials, less the value of renewable scrap or by-
product; and
(D) The value of goods and services relating to such materials
determined in accordance with subparagraph 1(b) of Article 8 of the
Agreement on Implementation of Article VII of the General Agreement on
Tariffs and Trade.
(2) Directly attributable. Whenever a value-content determination is
required by the rules of the Agreement and whenever originating
materials and materials obtained or produced in a third country are used
or consumed together in the production of goods in the United States or
Canada, the value of originating materials may be treated as such only
to the extent that the value is directly attributable to the goods under
consideration.
(3) Interpretation. (i) Price paid. As provided in paragraph (b)(1)
of this section, the ``price paid'' for materials by the producer of
exported goods forms the basis for determining the value of such
materials when incorporated in the exported goods. The actual price paid
for such materials will determine the value of those materials for
purposes of the value-content requirement, even though a relationship
between the producer and the seller of the materials may have influenced
the price, except where the price did not include items specified in
paragraph (b)(1)(ii) of this section that relate to the materials. The
following examples will illustrate these principles. Notwithstanding
these examples, the totality of the facts must be examined in each case
to determine whether Sec. 10.304(b) is applicable.
Example 1. Non-originating materials are sold by Company X (a
foreign corporation located outside the United States or Canada) to
Company Y (a Canadian corporation) for $100; Company X also sold
identical materials to Company Z (a U.S. corporation) for $200 which was
the price Company Z had paid to Company X for similar materials prior to
implementation of the Agreement; and those non-originating materials
sold by Company X to Company Y are then incorporated by Company Y into
goods exported to the United States. In this case the $100 price paid
[[Page 239]]
by Company Y to Company X constitutes the value of those materials for
purposes of the value-content requirement.
Example 2. Company X purchased materials for $100, added a four
percent mark-up to the price paid to defray purchasing expenses, and
then sold the marked-up materials to Company Y (a Canadian corporation)
which incorporated the materials in goods exported to the United States.
In this case the $104 price paid by Company Y to Company X constitutes
the value of the materials for purposes of the value-content
requirement.
Example 3. Company X (a foreign corporation located outside the
United States) sold non-originating materials to Company Y (a U.S.
corporation) for $200, and Company Y then sold those materials for $100
to Company Z (a Canadian corporation) which incorporated the materials
in goods which were imported into the United States by Company P (the
U.S. parent company of Company Y). In this case, in accordance with
paragraph (b)(1)(ii)(D) of this section, $100 would be added to the
price paid by Company Z for purposes of the value-content requirement
because the materials were sold at a reduced cost within the meaning of
subparagraph 1(b) of Article 8 of the Agreement on Implementation of
Article VII of the General Agreement on Tariffs and Trade.
(ii) Originating materials for which no price paid. In cases
involving a vertically integrated producer (that is, an entity which
produces goods for export from materials which that producer has also
made) a ``price paid'' for such originating materials normally does not
exist. Even in the absence of a ``price paid'', such a vertically
integrated producer may still claim the materials as originating
materials for purposes of qualifying the finished goods exported to the
United States as goods originating in Canada. However, under paragraph
(b)(1)(i) of this section the value of those materials for purposes of
applying the value-content requirement is limited to the price paid for
those materials imported from the third country plus any costs added
thereto under paragraph (b)(1)(ii) of this section. The following
examples will illustrate these principles.
Example 1. If an automobile producer in the United States or Canada
fabricates body panels wholly from third country steel coil, those body
panels can qualify as originating materials without having to satisfy a
value-content requirement because steel coil is classified in chapter 72
of the Harmonized System and body panels are classified in chapter 87
and the change in classification rules in chapter 87 do not incorporate
a value-content requirement in this context. Thus, the producer can
claim the body panels fabricated from the third country steel as
originating materials for purposes of the value-content requirement
applicable to the finished automobile which will be exported to the
United States. The value of those originating materials is the price
paid for the steel coil imported from the third country and used or
consumed in the production of the body panels.
Example 2. An automobile exporter in Canada purchases and imports
body panels fabricated in a third country in order to join them with
vertically (locally) fabricated body panels to form an automobile body.
If the body qualifies as an originating material, the exporter has two
options. Under the first option, the exporter can claim the body as
originating material, in which case the value of originating material is
the price paid for the foreign body panels. Under the second option, the
exporter may elect not to claim the body as originating material; but,
rather, the exporter may claim as originating material any domestic
steel coil used in producing the vertically (locally) fabricated body
panels, in which case the value of originating material is the price
paid for the domestic steel coil.
(c) Value of goods when exported. The term ``value of the goods when
exported to the United States'' means the aggregate of:
(1) The price paid by the producer for all materials, whether or not
the materials originate in the United States, or Canada, or both, and,
when not included in the price paid for the materials, the following
costs related thereto:
(i) Freight, insurance, packing, and all other costs incurred in
transporting all materials to the location of the producer;
(ii) Duties, taxes, and brokerage fees on all materials paid in the
United States, or Canada, or both;
(iii) The cost of waste or spoilage resulting from the use or
consumption of such materials, less the value of renewable scrap or by-
product; and
(iv) The value of goods and services relating to all materials
determined in accordance with subparagraph 1(b) of Article 8 of the
Agreement on Implementation of Article VII of the General Agreement on
Tariffs Trade; and
[[Page 240]]
(2) The direct cost of processing or the direct cost of assembling
the goods.
[T.D. 92-8, 57 FR 2453, Jan. 22, 1992; 57 FR 4793, Feb. 7, 1992, as
amended by T.D. 92-98, 57 FR 46504, Oct. 9, 1992]
Sec. 10.306 Direct shipment to the United States.
Goods shall be considered as directly shipped to the United States
from Canada for the purpose of eligibility for preferences under the
Agreement only under the following circumstances:
(a) Through shipment. The goods have been shipped directly from
Canada to the United States without passage through the territory of any
third country; or
(b) Shipment through a third country. The goods were shipped through
the territory of a third country but:
(1) The goods did not enter the commerce of any third country;
(2) The goods did not undergo any operation other than unloading,
reloading, or any operation necessary to transport them to the United
States or to preserve them in good condition; and
(3) All shipping and export documents show the United States as the
final destination.
Sec. 10.307 Documentation.
(a) Claims for a preference. A preference in accordance with the
Agreement may be claimed by including on the entry summary, or
equivalent documentation, the symbol ``CA'' as a prefix to the
subheading of the HTSUS under which each eligible good is classified.
(b) Failure to claim a preference. Failure to make a timely claim
for a preference under the Agreement will result in liquidation at the
rate which would otherwise be applicable.
(c) Documentation showing origin. A claim for a preference under the
Agreement shall be based on the Exporter's Certificate of Origin,
properly completed and signed by the person who exports or knowingly
causes the goods to be exported from Canada. The Exporter's Certificate
of Origin must be available at the time the preference is claimed and
shall be presented to the port director upon request.
(d) Exporter's Certificate of Origin--(1) General. The Exporter's
Certificate of Origin shall be prepared on Customs Form 353. In lieu of
the Customs Form 353, the exporter may use an approved computerized
format or such other format as is approved by the Headquarters, U.S.
Customs Service, Office of Trade Operations, Washington, DC 20229.
Alternative formats must contain the same information and certification
set forth on Customs Form 353.
(2) Blanket certifications. A blanket Exporter's Certificate of
Origin, not to exceed a period of 12 months, issued for goods claimed as
originating goods under the Agreement, can only be used if the
certifying exporter is able to verify that the goods in each shipment to
be covered by the blanket certification actually qualify for treatment
under the Agreement. A blanket certification does not allow an exporter
to average its costs over the blanket certification period in order to
establish that the exported goods meet the criteria for originating
goods under the Agreement. Under Sec. 10.308, the exporter must retain
supporting records that will permit a review of the eligibility of the
goods in each shipment covered by a blanket certification.
(e) Exceptions to documentation requirements. Exceptions to the
foregoing documentation requirements may be authorized at the discretion
of the port director in the following circumstances:
(1) Exception for informal entries. As set forth in paragraphs
(e)(1) (i) and (ii) of this section, an Exporter's Certificate of Origin
may be waived in connection with an entry entitled to informal entry
procedures as authorized in Sec. Sec. 143.21 and 143.22 of this chapter
if:
(i) Commercial goods which qualify for informal entry. The invoice,
or an appropriate Customs release document, for commercial goods which
qualify both for informal entry and a preference must include the
following statement, on the invoice or appropriate Customs document:
I hereby certify that the goods described herein are eligible for a
preference based upon the rules of origin enumerated in the United
States-Canada Free-Trade Agreement.
Check One:
[[Page 241]]
( ) Manufacturer
( ) Supplier
( ) Exporter
Signature_______________________________________________________________
Title___________________________________________________________________
Date:___________________________________________________________________
(ii) Noncommercial goods which qualify for informal entry. The
importation of goods from Canada by a person for noncommercial use may
be exempt from documentation requirements if the goods are legally
marked ``Made in Canada'', or it can otherwise be shown that they are
originating goods under the Agreement and there is no evidence to the
contrary.
(2) Waiver of evidence of direct shipment. The port director may
waive the submission of evidence of direct shipment when otherwise
satisfied, taking into consideration the kind and value of the goods,
that the goods were, in fact, imported directly from Canada, and that
they otherwise qualify for a preference in accordance with the
Agreement.
[T.D. 89-3, 53 FR 51766, Dec. 23, 1988, as amended by T.D. 92-8, 57 FR
2455, Jan. 22, 1992]
Sec. 10.308 Records retention.
(a) Importer. The importer of record shall retain the exporter's
certificate of origin required by Sec. 10.307(d) for a period of 5 years
and it must be made available upon request by the appropriate Customs
official.
(b) Exporter. Any person who exports, or who knowlingly causes to be
exported, any merchandise to Canada shall make, keep, and render for
examination and inspection, such records (including certifications of
origin or copies thereof), which pertain to such exportation for a
period of 5 years from the date of exportation. In the event that the
appropriate Customs official requests submission of the records, they
shall be submitted directly to the requesting official.
Sec. 10.309 Verification of documentation.
Any evidence of country of origin or of direct shipment submitted in
support of a preference under the Agreement shall be subject to such
verification as the appropriate Customs official may deem necessary. If
the U.S. importer or U.S. exporter or their agent does not provide the
information requested by the appropriate Customs officer, the port
director may refuse to grant the claim for preference, in addition to
other available sanctions.
Sec. 10.310 Election to average for motor vehicles.
(a) Election. In determining whether a motor vehicle is originating
for purposes of the preferences under the Agreement or a Canadian
article under the Automotive Products Trade Act of 1965 (APTA), a
manufacturer may elect to average, over its 12-month financial year, its
calculation of the value-content requirement for vehicles of the same
class or sister vehicles which are assembled in the same plant as
provided for in the Agreement. A manufacturer must declare its election
to average before the importation of any vehicles produced within the
identified 12-month period. The election to average is subject to the
conditions and requirements set forth in Sec. Sec. 10.310 and 10.311.
(b) Effect of election. An election to average shall be binding at
the time of the first entry of vehicles for which the election has been
made and shall remain binding for the plant for the entire period
covered by the election. If a manufacturer's annual report, required by
Sec. 10.311, does not verify the claim that the vehicles are originating
goods under the Agreement or Canadian articles under APTA, or if a
manufacturer otherwise fails to comply with the reporting requirements,
entries of the vehicles identified in the averaging declaration will be
subject to liquidation in accordance with the rate of duty which would
otherwise apply.
(c) Election in lieu of certificate of origin. In lieu of the
Exporter's Certificate of Origin required in Sec. 10.307(c), an importer
of vehicles covered by an election to average under this section may
have its claim for preference based on a copy of the declaration of
election.
[T.D. 89-3, 53 FR 51766, Dec. 23, 1988, as amended by T.D. 92-8, 57 FR
2455, Jan. 22, 1992]
[[Page 242]]
Sec. 10.311 Documentation for election to average for motor vehicles.
A manufacturer who elects to average for motor vehicles shall submit
a declaration of election to average, quarterly reports, and an annual
report in the form and manner as follows:
(a) Declaration of election. A declaration of election to average,
signed by an authorized company official, shall be submitted by the
manufacturer to the U.S. Customs and Border Protection, Office of
International Trade, Regulatory Audit, Detroit, Michigan 48226-2568 on
CBP Form 355, Declaration of Election to Average.
(b) Quarterly Report. A quarterly report shall be submitted to the
Office of International Trade, Regulatory Audit, at the above address,
on CBP Form 356, Vehicle Cost Report (Quarterly), within 30 days after
the end of each quarter. In lieu of the CBP Form 356, the manufacturer
may submit the information required on the form in an approved
computerized format or such other format as is approved by the U.S.
Customs and Border Protection, Office of International Trade, Regulatory
Audit, Detroit, Michigan 48226-2568. Alternative formats must contain
the same information set forth on the CBP Form 356. Negative quarterly
reports are required.
(c) Annual Report. An annual report shall be submitted to the U.S.
Customs and Border Protection, Office of International Trade, Regulatory
Audit, Detroit, Michigan 48226-2568, on CBP Form 357, Vehicle Cost
Report (Annual), within 90 days of the end of the financial year
identified in the Election to Average, CBP Form 355. In lieu of the CBP
Form 357, Vehicle Cost Report (Annual), the manufacturer may submit the
information required on the form in an approved computerized format or
such other format as is approved by the U.S. Customs and Border
Protection, Office of International Trade, Regulatory Audit, Detroit,
Michigan 48226-2568. Alternative formats must contain the same
information set forth on CBP Form 357.
Subpart H_United States-Chile Free Trade Agreement
Source: CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, unless otherwise
noted.
General Provisions
Sec. 10.401 Scope.
This subpart implements the duty preference and related customs
provisions applicable to imported goods under the United States-Chile
Free Trade Agreement (the US-CFTA) signed on June 6, 2003, and under the
United States-Chile Free Trade Agreement Implementation Act (the Act;
117 Stat. 909). Except as otherwise specified in this subpart, the
procedures and other requirements set forth in this subpart are in
addition to the customs procedures and requirements of general
application contained elsewhere in this chapter. Additional provisions
implementing certain aspects of the US-CFTA and the Act are contained in
parts 12, 24, 162, and 163 of this chapter.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76131, Dec. 20, 2006]
Sec. 10.402 General definitions.
As used in this subpart, the following terms will have the meanings
indicated unless either the context in which they are used requires a
different meaning or a different definition is prescribed for a
particular section of this subpart:
(a) Certification. ``Certification'' means, either when used by
itself or in the expression ``certification of origin'', the
certification established under article 4.13 of the US-CFTA, that a good
qualifies as an originating good under the US-CFTA;
(b) Claim of origin. ``Claim of origin'' means a claim that a
textile or apparel good is an originating good or a good of a Party;
(c) Claim for preferential tariff treatment. ``Claim for
preferential tariff treatment'' means a claim that a good is entitled to
the duty rate applicable under the US-CFTA and to an exemption from the
merchandise processing fee;
(d) Customs authority. ``Customs authority'' means the competent
authority that is responsible under the law of
[[Page 243]]
a Party for the administration of customs laws and regulations;
(e) Customs Valuation Agreement. ``Customs Valuation Agreement''
means the Agreement on Implementation of Article VII of the General
Agreement on Tariffs and Trade 1994, which is part of the WTO Agreement;
(f) Days. ``Days'' means calendar days;
(g) Customs duty. ``Customs duty'' includes any customs or import
duty and a charge of any kind imposed in connection with the importation
of a good, including any form of surtax or surcharge in connection with
such importation, but, for purposes of implementing the US-CFTA, does
not include any:
(1) Charge equivalent to an internal tax imposed consistently with
Article III:2 of the GATT 1994; in respect of like, directly
competitive, or substitutable goods of the Party, or in respect of goods
from which the imported good has been manufactured or produced in whole
or in part;
(2) Antidumping or countervailing duty; and
(3) Fee or other charge in connection with importation commensurate
with the cost of services rendered;
(h) Enterprise. ``Enterprise'' means any entity constituted or
organized under applicable law, whether or not for profit, and whether
privately-owned or governmentally-owned, including any corporation,
trust, partnership, sole proprietorship, joint venture, or other
association;
(i) GATT 1994. ``GATT 1994'' means the General Agreement on Tariffs
and Trade 1994, which is part of the WTO Agreement;
(j) Goods. ``Goods'' means domestic products as these are understood
in the GATT 1994 or such goods as the Parties may agree, and includes
originating goods of that Party. A good of a Party may include materials
of other countries;
(k) Harmonized System. ``Harmonized System (HS)'' means the
Harmonized Commodity Description and Coding System, including its
General Rules of Interpretation, Section Notes, and Chapter Notes, as
adopted and implemented by the Parties in their respective tariff laws;
(l) Heading. ``Heading'' means the first four digits in the tariff
classification number under the Harmonized System;
(m) HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the
United States as promulgated by the U.S. International Trade Commission;
(n) Identical goods. ``Identical goods'' means goods that are the
same in all respects relevant to the particular rule of origin that
qualifies the goods as originating;
(o) Indirect material. ``Indirect material'' means a good used in
the production, testing, or inspection of a good in the territory of the
United States or Chile but not physically incorporated into the good, or
a good used in the maintenance of buildings or the operation of
equipment associated with the production of a good in the territory of
the United States or Chile, including--
(1) Fuel and energy;
(2) Tools, dies, and molds;
(3) Spare parts and materials used in the maintenance of equipment
and buildings;
(4) Lubricants, greases, compounding materials, and other materials
used in production or used to operate equipment and buildings;
(5) Gloves, glasses, footwear, clothing, safety equipment, and
supplies;
(6) Equipment, devices, and supplies used for testing or inspecting
the goods;
(7) Catalysts and solvents; and
(8) Any other goods that are not incorporated into the good but
whose use in the production of the good can reasonably be demonstrated
to be a part of that production;
(p) Originating. ``Originating'' means qualifying under the rules of
origin set out in Chapter Four (Rules of Origin and Origin Procedures)
of the US-CFTA;
(q) Party. ``Party'' means the United States or the Republic of
Chile;
(r) Person. ``Person'' means a natural person or an enterprise;
(s) Preferential tariff treatment. ``Preferential tariff treatment''
means the duty rate applicable to an originating good under the US-CFTA,
and an exemption from the merchandise processing fee.
[[Page 244]]
(t) Subheading. ``Subheading'' means the first six digits in the
tariff classification number under the Harmonized System;
(u) Tariff preference level. ``Tariff preference level'' means a
quantitative limit for certain non-originating textiles and textile
apparel goods that may be entitled to preferential tariff treatment as
if such goods were originating based on the goods meeting the production
requirements set forth in Sec. 10.421 of this subpart.
(v) Textile or apparel good. ``Textile or apparel good'' means a
good listed in the Annex to the Agreement on Textiles and Clothing
(commonly referred to as ATC), which is part of the WTO Agreement;
(w) Territory. ``Territory'' means:
(1) With respect to Chile, the land, maritime and air space under
its sovereignty, and the exclusive economic zone and the continental
shelf within which it exercises sovereign rights and jurisdiction in
accordance with international law and its domestic law; and
(2) With respect to the United States,
(i) The customs territory of the United States, which includes the
50 states, the District of Columbia, and Puerto Rico,
(ii) The foreign trade zones located in the United States and Puerto
Rico, and
(iii) Any areas beyond the territorial seas of the United States
within which, in accordance with international law and its domestic law,
the United States may exercise rights with respect to the seabed and
subsoil and their natural resources;
(x) WTO Agreement. ``WTO Agreement'' means the Marrakesh Agreement
Establishing the World Trade Organization of April 15, 1994.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76131, Dec. 20, 2006]
Import Requirements
Sec. 10.410 Filing of claim for preferential tariff treatment upon
importation.
(a) Declaration. In connection with a claim for preferential tariff
treatment for an originating good under the US-CFTA, including an
exemption from the merchandise processing fee, the U.S. importer must
make a written declaration that the good qualifies for such treatment.
The written declaration is made by including on the entry summary, or
equivalent documentation, the symbol ``CL'' as a prefix to the
subheading of the HTSUS under which each qualifying good is classified,
or by the method specified for equivalent reporting via electronic
interchange.
(b) Corrected declaration. If, after making the declaration required
under paragraph (a) of this section, the U.S. importer has reason to
believe that the declaration or the certification or other information
on which the declaration was based contains information that is not
correct, the importer must, within 30 calendar days after the date of
discovery of the error, make a corrected declaration and pay any duties
that may be due. A corrected declaration will be effected by submission
of a letter or other statement either in writing or via an authorized
electronic data interchange system to the CBP office where the original
declaration was filed specifying the correction (see Sec. Sec. 10.482
and 10.483 of this subpart).
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76131, Dec. 20, 2006]
Sec. 10.411 Certification of origin or other information.
(a) Contents. An importer who claims preferential tariff treatment
on a good must submit, at the request of the port director, a
certification of origin or other information demonstrating that the good
qualifies as originating. A certification or other information submitted
to CBP under this paragraph:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must include the following information:
(i) The legal name, address, telephone and e-mail address of the
importer of record of the good (if known);
(ii) The legal name, address, telephone and e-mail address of the
exporter of the good (if different from the producer);
[[Page 245]]
(iii) The legal name, address, telephone and e-mail address of the
producer of the good (if known);
(iv) A description of the good for which preferential tariff
treatment is claimed, which must be sufficiently detailed to relate it
to the invoice and the HS nomenclature;
(v) The HTSUS tariff classification, to six or more digits, as
necessary for the specific change in tariff classification rule for the
good set forth in General Note 26(n), HTSUS;
(vi) The preference criterion as set forth in paragraph (f) of this
section.
(b) Statement. A certification submitted to CBP under paragraph (a)
of this section must include a statement, in substantially the following
form:
``I Certify that:
The information on this document is true and accurate and I assume
the responsibility for proving such representations. I understand that I
am liable for any false statements or material omissions made on or in
connection with this document;
I agree to maintain, and present upon request, documentation
necessary to support this certification, and to inform, in writing, all
persons to whom the certification was given of any changes that could
affect the accuracy or validity of this certification; and
The goods originated in the territory of one or more of the parties,
and comply with the origin requirements specified for those goods in the
United States-Chile Free Trade Agreement; there has been no further
production or any other operation outside the territories of the
parties, other than unloading, reloading, or any other operation
necessary to preserve it in good condition or to transport the good to
the United States; and
This document consists of ---- pages, including all attachments.''
(c) Responsible official or agent. A certification submitted under
paragraph (a) of this section must be signed and dated by a responsible
official of the importer; exporter; or producer; or by the importer's,
exporter's, or producer's authorized agent having knowledge of the
relevant facts. The certification must include the legal name and
address of the responsible official or authorized agent signing the
certification, and should include that person's telephone and e-mail
address, if available. If the person making the certification is not the
producer of the good, or the producer's authorized agent, the person may
sign the certification of origin based on:
(1) A certification that the good qualifies as originating issued by
the producer; or
(2) Knowledge of the exporter or importer that the good qualifies as
an originating good.
(d) Language. The certification or other information submitted under
paragraph (a) of this section must be completed either in the English or
Spanish language. If the certification or other information is completed
in Spanish, the importer must also provide to the port director, upon
request, a written English translation of the certification or other
information.
(e) Applicability of certification. A certification may be
applicable to:
(1) A single importation of a good into the United States, including
a single shipment that results in the filing of one or more entries and
a series of shipments that results in the filing of one entry; or
(2) Multiple importations of identical goods into the United States
that occur within a specified blanket period, not exceeding 12 months.
In the case of multiple shipments of identical goods, the certification
must specify the blanket period in ``mm/dd/yyyy to mm/dd/yyyy'' format.
(f) Preference criteria. The preference criterion to be included on
the certification or other information as required in paragraph
(a)(2)(vi) of this section is as follows:
(1) Preference criterion ``A'', refers to a good that is wholly
obtained or produced entirely in the territory of Chile or of the United
States, or both (see General Note 26(b)(i), HTSUS);
(2) Preference criterion ``B'', refers to a good that is produced
entirely in the territory of Chile or the United States, or both (see
General Note 26(b)(ii), HTSUS), and
(i) Each of the non-originating materials used in the production of
the good undergoes an applicable change in tariff classification
specified in General Note 26(n), HTSUS, or
(ii) The good otherwise satisfies any applicable regional value
content or other requirements specified in General Note 26(n), HTSUS;
[[Page 246]]
(3) Preference criterion ``C'' refers to a good that is produced
entirely in the territory of Chile or the United States, or both,
exclusively from originating materials (see General Note 26(b)(iii),
HTSUS).
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76132, Dec. 20, 2006; CBP Dec. 10-29, 75 FR 52450, Aug. 26,
2010]
Sec. 10.412 Importer obligations.
(a) General. An importer who makes a declaration under
Sec. 10.410(a) of this subpart is responsible for the truthfulness of
the declaration and of all the information and data contained in the
certification or other information submitted to CBP under Sec. 10.411(a)
of this subpart, for submitting any supporting documents requested by
CBP, and for the truthfulness of the information contained in those
documents. CBP will allow for the direct submission by the exporter or
producer of business confidential or other sensitive information,
including cost and sourcing information.
(b) Compliance. In order to make a claim for preferential treatment
under Sec. 10.410 of this subpart, the importer:
(1) Must have records that explain how the importer came to the
conclusion that the good qualifies for preferential tariff treatment.
Those records must include documents that support a claim that the
article in question qualifies for preferential tariff treatment because
it meets the applicable rules of origin set forth in General Note 26,
HTSUS, and in this subpart. Those records may include a properly
completed certification or other information as set forth in Sec. 10.411
of this subpart; and
(2) May be required to demonstrate that the conditions set forth in
Sec. 10.463 of this subpart were met if the imported article was shipped
through an intermediate country.
(c) Information provided by exporter or producer. The fact that the
importer has issued a certification based on information provided by the
exporter or producer will not relieve the importer of the responsibility
referred to in paragraph (a) of this section. A U.S. importer who
voluntarily makes a corrected declaration will not be subject to
penalties for having made an incorrect declaration (see Sec. 10.481 of
this subpart).
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76132, Dec. 20, 2006]
Sec. 10.413 Validity of certification.
A certification that is completed, signed and dated in accordance
with the requirements listed in Sec. 10.411 of this subpart will be
accepted by CBP as valid for four years from the date on which the
certification was signed. If the port director determines that a
certification is illegible or defective or has not been completed in
accordance with Sec. 10.411 of this subpart, the importer will be given
a period of not less than five business days to submit a corrected
certification.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76132, Dec. 20, 2006]
Sec. 10.414 Certification or other information not required.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an importer will not be required to submit a certification or
other information demonstrating that the good qualifies as originating
under Sec. 10.411(a) of this subpart for:
(1) A non-commercial importation of a good; or
(2) A commercial importation of a good whose value does not exceed
U.S. $2,500, or the equivalent amount in Chilean currency.
(b) Exception. If the port director determines that an importation
described in paragraph (a) of this section may reasonably be considered
to have been carried out or planned for the purpose of evading
compliance with the rules and procedures governing claims for preference
under the US-CFTA, the port director will notify the importer in writing
that for that importation the importer must submit to CBP a valid
certification or other information demonstrating that the good qualifies
as originating. The importer must submit such a certification or other
information within 30 calendar days from the date of the written notice.
Failure to timely submit the certification or other information will
result in denial
[[Page 247]]
of the claim for preferential tariff treatment.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76132, Dec. 20, 2006]
Sec. 10.415 Maintenance of records.
(a) General. An importer claiming preferential tariff treatment for
a good imported into the United States must maintain, for five years
after the date of importation of the good, a certification (or a copy
thereof) or other information demonstrating that the good qualifies as
originating, and any records and documents that the importer has
relating to the origin of the good, including records and documents
associated with:
(1) The purchase of, cost of, value of, and payment for, the good;
(2) Where appropriate, the purchase of, cost of, value of, and
payment for, all materials, including recovered goods and indirect
materials, used in the production of the good; and,
(3) Where appropriate, the production of the good in the form in
which the good was exported.
(b) Method of maintenance. The records referred to in paragraph (a)
of this section must be maintained by importers as provided in
Sec. 163.5 of this chapter.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76133, Dec. 20, 2006]
Sec. 10.416 Effect of noncompliance; failure to provide documentation
regarding transshipment.
(a) Effect of noncompliance. If the importer fails to comply with
any requirement under this subpart, including submission of a
certification of origin or other information demonstrating that the good
qualifies as originating under Sec. 10.411(a) of this subpart or
submission of a corrected certification under Sec. 10.413 of this
subpart, the port director may deny preferential tariff treatment to the
imported good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential tariff treatment to an originating good if the good is
shipped through or transshipped in a country other than Chile or the
United States, and the importer of the good does not provide, at the
request of the port director, copies of documents demonstrating to the
satisfaction of the port director that the requirements set forth in
Sec. 10.463 of this subpart were met.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76133, Dec. 20, 2006]
Tariff Preference Level
Sec. 10.420 Filing of claim for tariff preference level.
A cotton or man-made fiber fabric or apparel good described in
Sec. 10.421 of this subpart that does not qualify as an originating good
under Sec. 10.451 of this subpart may nevertheless be entitled to
preferential tariff treatment under the US-CFTA under an applicable
tariff preference level (TPL). To make a TPL claim, the importer must
include on the entry summary, or equivalent documentation, the
applicable subheading in Chapter 99 of the HTSUS (9911.99.20 for a good
described in Sec. 10.421(a) or (b) of this subpart or 9911.99.40 for a
good described in Sec. 10.421(c) of this subpart) immediately above the
applicable subheading in Chapter 52 through 62 of the HTSUS under which
each non-originating cotton or man-made fiber fabric or apparel good is
classified.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76133, Dec. 20, 2006]
Sec. 10.421 Goods eligible for tariff preference claims.
The following goods are eligible for a TPL claim filed under
Sec. 10.420 of this subpart:
(a) Woven fabrics. Certain woven fabrics of Chapters 52, 54 and 55
of the HTSUS (Headings 5208 to 5212; 5407 and 5408; 5512 to 5516) that
meet the applicable conditions for preferential tariff treatment under
the US-CFTA other than the condition that they are originating goods, if
they are wholly formed in the U.S. or Chile regardless of the origin of
the yarn used to produce these fabrics.
(b) Cotton or man-made fabric goods. Certain cotton or man-made
fabric
[[Page 248]]
goods of Chapters 58 and 60 of the HTSUS that meet the applicable
conditions for preferential tariff treatment under the US-CFTA other
than the condition that they are originating goods if they are wholly
formed in the U.S. or Chile regardless of the origin of the fibers used
to produce the spun yarn or the yarn used to produce the fabrics. \1\
---------------------------------------------------------------------------
\1\ The relevant HTSUS subheadings for fabric goods in Chapters 58
or 60 eligible under HTSUS 9911.99.20 are as follows: 5801.21, 5801.22,
5801.23, 5801.24, 5801.25, 5801.26, 5801.31, 5801.32, 5801.33, 5801.34,
5801.35, 5801.36, 5802.11, 5802.19, 5802.20.0020, 5802.30.0030, 5803.10,
5803.90.30, 5804.10.10, 5804.21, 5804.29.10, 5804.30.0020, 5805.00.30,
5805.00.4010, 5806.10.10, 5806.10.24, 5806.10.28, 5806.20, 5806.31,
5806.32, 5807.10.05, 5807.10.2010, 5807.10.2020, 5807.90.05,
5807.90.2010, 5807.90.2020, 5808.10.40, 5808.10.70, 5808.90.0010,
5809.00, 5810.10, 5810.91, 5810.92, 5811.00.20, 5811.00.30, 6001.10,
6001.21, 6001.22, 6001.91, 6001.92, 6002.40, 6002.90, 6003.20, 6003.30,
6003.40, 6004.10, 6004.90, 6005.21, 6005.22, 6005.23, 6005.24, 6005.31,
6005.32, 6005.33, 6005.34, 6005.41, 6005.42, 6005.43, 6005.44, 6006.21,
6006.22, 6006.23, 6006.24, 6006.31, 6006.32, 6006.33, 6006.34, 6006.41,
6006.42, 6006.43, 6006.44.
---------------------------------------------------------------------------
(c) Cotton or man-made apparel goods. Cotton or man-made apparel
goods in Chapters 61 and 62 of the HTSUS that are both cut (or knit-to-
shape) and sewn or otherwise assembled in the U.S. or Chile regardless
of the origin of the fabric or yarn, provided that they meet the
applicable conditions for preferential tariff treatment under the US-
CFTA, other than the condition that they are originating goods.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76133, Dec. 20, 2006]
Sec. 10.422 Submission of certificate of eligibility.
(a) Contents. An importer who claims preferential tariff treatment
on a non-originating cotton or man-made fiber fabric or apparel good
must submit, at the request of the port director, a certificate of
eligibility containing information demonstrating that the good satisfies
the requirements for entry under the applicable TPL, as set forth in
Sec. 10.421 of this subpart. A certificate of eligibility submitted to
CBP under this section:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must include the following information:
(i) The legal name, address, telephone and e-mail address of the
importer of record of the good;
(ii) The legal name and address of the responsible official or
authorized agent of the importer signing the certificate (if different
from the importer of record), and that person's telephone and e-mail
address, if available;
(iii) The legal name, address, telephone and e-mail address of the
exporter of the good (if different from the producer);
(iv) The legal name, address, telephone and e-mail address of the
producer of the good (if known);
(v) A description of the good, which must be sufficiently detailed
to relate it to the invoice and the HS nomenclature;
(vi) The HTSUS tariff classification of the good, to six or more
digits, as well as the applicable subheading in Chapter 99 of the HTSUS
(9911.99.20 or 9911.99.40);
(vii) For a single shipment, the commercial invoice number;
(viii) For multiple shipments of identical goods, the blanket period
in ``mm/dd/yyyy to mm/dd/yyyy'' format (12-month maximum); and
(3) Must include a statement, in substantially the following form:
``I Certify that:
The information on this document is true and accurate and I assume
the responsibility for proving such representations. I understand that I
am liable for any false statements or material omissions made on or in
connection with this document;
I agree to maintain and present upon request, documentation
necessary to support this certificate, and to inform, in writing, all
persons to whom the certificate was given of any changes that could
affect the accuracy or validity of this certificate; and
The goods were produced in the territory of one or more of the
parties, and comply with the preference requirements specified for those
goods in the United States-Chile Free Trade Agreement and Chapter 99,
subchapter XI of the HTSUS. There has been no further production or any
other operation outside the territories of the parties, other
[[Page 249]]
than unloading, reloading, or any other operation necessary to preserve
it in good condition or to transport the good to the United States; and
This document consists of ---- pages, including all attachments.''
(b) Responsible official or agent. The certificate of eligibility
required to be submitted under this section must be signed and dated by
a responsible official of the importer or by the importer's authorized
agent having knowledge of the relevant facts.
(c) Language. The certificate of eligibility must be completed
either in the English or Spanish language. If the certificate is
completed in Spanish, the importer must also provide to the port
director, upon request, a written English translation of the
certificate;
(d) Applicability of certificate of eligibility. A certificate of
eligibility may be applicable to:
(1) A single importation of a good into the United States, including
a single shipment that results in the filing of one or more entries and
a series of shipments that results in the filing of one entry; or
(2) Multiple importations of identical goods into the United States
that occur within a specified blanket period, not exceeding 12 months,
set out in the certificate.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76133, Dec. 20, 2006]
Sec. 10.423 Certificate of eligibility not required.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an importer will not be required to submit a certificate of
eligibility for:
(1) A non-commercial importation of a good; or
(2) A commercial importation of a good whose value does not exceed
U.S. $2,500, or the equivalent amount in Chilean currency.
(b) Exception. If the port director determines that an importation
described in paragraph (a) of this section may reasonably be considered
to have been carried out or planned for the purpose of evading
compliance with the rules and procedures governing TPL claims for
preference under the US-CFTA, the port director will notify the importer
in writing that for that importation the importer must submit to CBP a
valid certificate of eligibility. The importer must submit such a
certificate within 30 calendar days from the date of the written notice.
Failure to timely submit the certificate will result in denial of the
claim for preferential tariff treatment.
Sec. 10.424 Effect of noncompliance; failure to provide documentation
regarding transshipment of non-originating cotton or man-made
fiber fabric or apparel goods.
(a) Effect of noncompliance. If the importer fails to comply with
any requirement under this subpart, including submission of a
certificate of eligibility under Sec. 10.422 of this subpart, the port
director may deny preferential tariff treatment to the imported good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential tariff treatment to a good for which a TPL claim is made if
the good is shipped through or transshipped in a country other than
Chile or the United States, and the importer of the good does not
provide, at the request of the port director, copies of documents
demonstrating to the satisfaction of the port director that the
requirements set forth in Sec. 10.425 of this subpart were met.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76133, Dec. 20, 2006]
Sec. 10.425 Transit and transshipment of non-originating cotton or man-
made fiber fabric or apparel goods.
(a) General. A good will not be considered eligible for preferential
tariff treatment under an applicable TPL by reason of having undergone
production that occurs entirely in the territory of Chile, the United
States, or both, that would enable the good to qualify for preferential
tariff treatment if subsequent to that production the good undergoes
further production or any other operation outside the territories of
Chile and the United States, other than unloading, reloading, or any
other
[[Page 250]]
process necessary to preserve the good in good condition or to transport
the good to the territory of Chile or the United States.
(b) Documentary evidence. An importer making a claim for
preferential tariff treatment may be required to demonstrate, to CBP's
satisfaction, that no further production or subsequent operation, other
than permitted under paragraph (a) of this section, occurred outside the
territories of Chile or the United States. An importer may demonstrate
compliance with this section by submitting documentary evidence. Such
evidence may include, but is not limited to, bills of lading, packing
lists, commercial invoices, and customs entry and exit documents.
Export Requirements
Sec. 10.430 Export requirements.
(a) Submission of certification to CBP. An exporter or producer in
the United States that signs a certification of origin for a good
exported from the United States to Chile must provide a copy of the
certification (or such other medium or format approved by the Chile
customs authority for that purpose) to CBP upon request.
(b) Notification of errors in certification. An exporter or producer
in the United States who has completed and signed a certification of
origin, and who has reason to believe that the certification contains or
is based on information that is not correct, must immediately after the
date of discovery of the error notify in writing all persons to whom the
certification was given by the exporter or producer of any change that
could affect the accuracy or validity of the certification.
(c) Maintenance of records--(1) General. An exporter or producer in
the United States that signs a certification of origin for a good
exported from the United States to Chile must maintain in the United
States, for a period of at least five years after the date the
certification was signed, all records and supporting documents relating
to the origin of a good for which the certification was issued,
including records and documents associated with:
(i) The purchase of, cost of, value of, and payment for, the good;
(ii) Where appropriate, the purchase of, cost of, value of, and
payment for, all materials, including recovered goods and indirect
materials, used in the production of the good; and
(iii) Where appropriate, the production of the good in the form in
which the good was exported.
(2) Method of maintenance. The records referred to in paragraph (c)
of this section must be maintained in accordance with the Generally
Accepted Accounting Principles applied in the country of production and
in the case of exporters or producers in the United States must be
maintained in the same manner as provided in Sec. 163.5 of this chapter.
(3) Availability of records. For purposes of determining compliance
with the provisions of this part, the exporter's or producer's records
required to be maintained under this section must be stored and made
available for examination and inspection by the port director or other
appropriate CBP officer in the same manner as provided in part 163 of
this chapter.
Sec. 10.431 Failure to comply with requirements.
The port director may apply such measures as the circumstances may
warrant where an exporter or a producer in the United States fails to
comply with any requirement of this part. Such measures may include the
imposition of penalties pursuant to 19 U.S.C. 1508(g) for failure to
retain records required to be maintained under Sec. 10.430.
Post-Importation Duty Refund Claims
Sec. 10.440 Right to make post-importation claim and refund duties.
Notwithstanding any other available remedy, where a good would have
qualified as an originating good when it was imported into the United
States but no claim for preferential tariff treatment was made, the
importer of that good may file a claim for a refund of any excess duties
at any time within one year after the date of importation of the good in
accordance with the procedures set forth in Sec. 10.441 of this subpart.
Subject to the provisions of
[[Page 251]]
Sec. 10.416 of this subpart, CBP may refund any excess duties by
liquidation or reliquidation of the entry covering the good in
accordance with Sec. 10.442(c) of this part.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76133, Dec. 20, 2006]
Sec. 10.441 Filing procedures.
(a) Place of filing. A post-importation claim for a refund under
Sec. 10.440 of this subpart must be filed with the director of the port
at which the entry covering the good was filed.
(b) Contents of claim. A post-importation claim for a refund must be
filed by presentation of the following:
(1) A written declaration stating that the good qualified as an
originating good at the time of importation and setting forth the number
and date of the entry or entries covering the good;
(2) Subject to Sec. 10.413 of this subpart, a copy of a
certification of origin or other information demonstrating that the good
qualifies for preferential tariff treatment;
(3) A written statement indicating whether or not the importer of
the good provided a copy of the entry summary or equivalent
documentation to any other person. If such documentation was so
provided, the statement must identify each recipient by name, CBP
identification number and address and must specify the date on which the
documentation was provided; and
(4) A written statement indicating whether or not any person has
filed a protest relating to the good under any provision of law; and if
any such protest has been filed, the statement must identify the protest
by number and date.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76133, Dec. 20, 2006]
Sec. 10.442 CBP processing procedures.
(a) Status determination. After receipt of a post-importation claim
under Sec. 10.441 of this subpart, the port director will determine
whether the entry covering the good has been liquidated and, if
liquidation has taken place, whether the liquidation has become final.
(b) Pending protest or judicial review. If the port director
determines that any protest relating to the good has not been finally
decided, the port director will suspend action on the claim for refund
filed under this subpart until the decision on the protest becomes
final. If a summons involving the tariff classification or dutiability
of the good is filed in the Court of International Trade, the port
director will suspend action on the claim for refund filed under this
subpart until judicial review has been completed.
(c) Allowance of claim--(1) Unliquidated entry. If the port director
determines that a claim for a refund filed under this subpart should be
allowed and the entry covering the good has not been liquidated, the
port director will take into account the claim for refund under this
subpart in connection with the liquidation of the entry.
(2) Liquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be allowed and the entry
covering the good has been liquidated, whether or not the liquidation
has become final, the entry must be reliquidated in order to effect a
refund of duties pursuant to this subpart. If the entry is otherwise to
be reliquidated based on administrative review of a protest or as a
result of judicial review, the port director will reliquidate the entry
taking into account the claim for refund under this subpart.
(d) Denial of claim--(1) General. The port director may deny a claim
for a refund filed under Sec. 10.441 of this subpart if the claim was
not filed timely, if the importer has not complied with the requirements
of Sec. 10.441 of this subpart, if the certification submitted under
Sec. 10.441(b)(2) of this subpart cannot be accepted as valid (see
Sec. 10.413 of this subpart), or if, following an origin verification
under Sec. 10.470 of this subpart, the port director determines either
that the imported good did not qualify as an originating good at the
time of importation or that a basis exists upon which preferential
tariff treatment may be denied under Sec. 10.470 of this subpart.
(2) Unliquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be
[[Page 252]]
denied and the entry covering the good has not been liquidated, the port
director will deny the claim in connection with the liquidation of the
entry, and notice of the denial and the reason for the denial will be
provided to the importer in writing or via an authorized electronic data
interchange system.
(3) Liquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has been liquidated, whether or not the liquidation
has become final, the claim may be denied without reliquidation of the
entry. If the entry is otherwise to be reliquidated based on
administrative review of a protest or as a result of judicial review,
such reliquidation may include denial of the claim filed under this
subpart. In either case, the port director will give the importer notice
of the denial and the reason for the denial in writing or via an
authorized electronic data interchange system.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76133, Dec. 20, 2006; CBP Dec. 10-29, 75 FR 52450, Aug. 26,
2010]
Rules of Origin
Sec. 10.450 Definitions.
For purposes of Sec. Sec. 10.450 through 10.463 of this subpart:
(a) Adjusted value. ``Adjusted value'' means the value determined in
accordance with Articles 1 through 8, Article 15, and the corresponding
interpretative notes of the Customs Valuation Agreement, adjusted, if
necessary, to exclude any costs, charges, or expenses incurred for
transportation, insurance, and related services incident to the
international shipment of the merchandise from the country of
exportation to the place of importation and the value of packing
materials and containers for shipment as defined in Sec. 10.450(m) of
this subpart;
(b) Exporter. ``Exporter'' means a person who exports goods from the
territory of a Party;
(c) Fungible goods or materials. ``Fungible goods or materials''
means goods or materials that are interchangeable for commercial
purposes and whose properties are essentially identical;
(d) Generally Accepted Accounting Principles. ``Generally Accepted
Accounting Principles'' means the principles, rules, and procedures,
including both broad and specific guidelines, that define the accounting
practices accepted in the territory of a Party;
(e) Good. ``Good'' means any merchandise, product, article, or
material;
(f) Goods wholly obtained or produced entirely in the territory of
one or both of the Parties. ``Goods wholly obtained or produced entirely
in the territory of one or both of the Parties'' means:
(1) Mineral goods extracted in the territory of one or both of the
Parties;
(2) Vegetable goods, as such goods are defined in the Harmonized
System, harvested in the territory of one or both of the Parties;
(3) Live animals born and raised in the territory of one or both of
the Parties;
(4) Goods obtained from hunting, trapping, or fishing in the
territory of one or both of the Parties;
(5) Goods (fish, shellfish, and other marine life) taken from the
sea by vessels registered or recorded with a Party and flying its flag;
(6) Goods produced on board factory ships from the goods referred to
in paragraph (f)(5) provided such factory ships are registered or
recorded with that Party and fly its flag;
(7) Goods taken by a Party or a person of a Party from the seabed or
beneath the seabed outside territorial waters, provided that a Party has
rights to exploit such seabed;
(8) Goods taken from outer space, provided they are obtained by a
Party or a person of a Party and not processed in the territory of a
non-Party;
(9) Waste and scrap derived from:
(i) Production in the territory of one or both of the Parties, or
(ii) Used goods collected in the territory of one or both of the
Parties, provided such goods are fit only for the recovery of raw
materials;
(10) Recovered goods derived in the territory of a Party from used
goods, and utilized in the Party's territory in the production of
remanufactured goods; and
[[Page 253]]
(11) Goods produced in the territory of one or both of the Parties
exclusively from goods referred to in paragraphs (f)(1) through (f)(10)
of this section, or from their derivatives, at any stage of production;
(g) Importer. ``Importer'' means a person who imports goods into the
territory of a Party;
(h) Issued. ``Issued'' means prepared by and, where required under a
Party's domestic law or regulation, signed by the importer, exporter, or
producer of the good;
(i) Location of the producer. ``Location of the producer'' means
site of production of a good;
(j) Material. ``Material'' means a good that is used in the
production of another good, including a part, ingredient, or indirect
material;
(k) Non-originating good. ``Non-originating good'' means a good that
does not qualify as originating under this subpart;
(l) Non-originating material. ``Non-originating material'' means a
material that does not qualify as originating under this subpart;
(m) Packing materials and containers for shipment. ``Packing
materials and containers for shipment'' means the goods used to protect
a good during its transportation to the United States, and does not
include the packaging materials and containers in which a good is
packaged for retail sale;
(n) Producer. ``Producer'' means a person who engages in the
production of a good in the territory of a Party;
(o) Production. ``Production'' means growing, mining, harvesting,
fishing, raising, trapping, hunting, manufacturing, processing,
assembling, or disassembling a good;
(p) Recovered goods. ``Recovered goods'' means materials in the form
of individual parts that are the result of:
(1) The complete disassembly of used goods into individual parts;
and
(2) The cleaning, inspecting, testing, or other processing of those
parts as necessary for improvement to sound working condition by one or
more of the following processes: welding, flame spraying, surface
machining, knurling, plating, sleeving, and rewinding in order for such
parts to be assembled with other parts, including other recovered parts
in the production of a remanufactured good of Annex 4.18, US-CFTA;
(q) Remanufactured goods. ``Remanufactured goods'' means industrial
goods assembled in the territory of a Party, listed in Annex 4.18, US-
CFTA, that:
(1) Are entirely or partially comprised of recovered goods;
(2) Have the same life expectancy and meet the same performance
standards as new goods; and
(3) Enjoy the same factory warranty as such new goods; and
(r) Self-produced material. ``Self-produced material'' means a
material that is produced by the producer of a good and used in the
production of that good; and
(s) Value. ``Value'' means the value of a good or material for
purposes of calculating customs duties or for purposes of applying this
subpart.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76133, Dec. 20, 2006]
Sec. 10.451 Originating goods.
A good imported into the customs territory of the United States will
be considered an originating good under the US-CFTA only if:
(a) The good is wholly obtained or produced entirely in the
territory of Chile or of the United States, or both; or
(b) The good is produced entirely in the territory of Chile or of
the United States, or both, satisfies all other applicable requirements
of this subpart, and
(1) Each of the non-originating materials used in the production of
the good undergoes an applicable change in tariff classification
specified in General Note 26(n), HTSUS, and
(2) The good otherwise satisfies any applicable regional value
content or other requirements specified in General Note 26(n), HTSUS; or
(c) The good is produced entirely in the territory of Chile or the
United States, or both, exclusively from originating materials.
Sec. 10.452 Exclusions.
A good will not be considered to be an originating good and a
material will not be considered to be an originating
[[Page 254]]
material by virtue of having undergone:
(a) Simple combining or packaging operations; or
(b) Mere dilution with water or with another substance that does not
materially alter the characteristics of the good or material.
Sec. 10.453 Treatment of textile and apparel sets.
Notwithstanding the specific rules specified in General Note 26(n),
HTSUS, textile and apparel goods classifiable as goods put up in sets
for retail sale as provided for in General Rule of Interpretation 3,
HTSUS, will not be regarded as originating goods unless each of the
goods in the set is an originating good or the non-originating goods in
the set do not exceed 10 percent of the adjusted value of the set.
Sec. 10.454 Regional value content.
Where General Note 26, subdivision (n), HTSUS, sets forth a rule
that specifies a regional value content test for a good, the regional
value content of such good may be calculated, at the choice of the
person claiming the tariff treatment authorized by this note for such
good, on the basis of the build-down method or the build-up method
described in this section, unless otherwise specified in the note.
(a) Build-down method. For the build-down method, the regional value
content must be calculated on the basis of the formula RVC = ((AV-VNM)/
AV) x 100, where RVC is the regional value content, expressed as a
percentage; AV is the adjusted value; and VNM is the value of non-
originating materials used by the producer in the production of the
good; or
(b) Build-up method. For the build-up method, the regional value
content must be calculated on the basis of the formula RVC = (VOM/AV) x
100, where RVC is the regional value content, expressed as a percentage;
AV is the adjusted value; and VOM is the value of originating materials
used by the producer in the production of the good.
Sec. 10.455 Value of materials.
(a) Calculating the regional value content. For purposes of
calculating the regional value content of a good under General Note
26(n), HTSUS, and for purposes of applying the de minimis (see
Sec. 10.459) provisions of subdivision (e) of the note, the value of a
material is:
(1) In the case of a material imported by the producer of the good,
the adjusted value of the material with respect to that importation;
(2) In the case of a material acquired in the territory where the
good is produced, except for a material to which paragraph (a)(3) of
this section applies, the producer's price actually paid or payable for
the material;
(3) In the case of a material provided to the producer without
charge, or at a price reflecting a discount or similar reduction, the
sum of--
(i) All expenses incurred in the growth, production or manufacture
of the material, including general expenses, and
(ii) A reasonable amount for profit; or
(4) In the case of a material that is self-produced, the sum of--
(i) All expenses incurred in the production of the material,
including general expenses, and
(ii) A reasonable amount for profit.
(b) Permissible additions to, and deductions from, the value of
materials. The value of materials may be adjusted as follows:
(1) For originating materials, the following expenses, if not
included under paragraph (a) of this section, may be added to the value
of the originating material:
(i) The costs of freight, insurance, packing and all other costs
incurred in transporting the material to the location of the producer;
(ii) Duties, taxes and customs brokerage fees on the material paid
in the territory of Chile or of the United States, or both, other than
duties and taxes that are waived, refunded, refundable or otherwise
recoverable, including credit against duty or tax paid or payable; and
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or by-product; and
(2) For non-originating materials, if included under paragraph (a)
of this section, the following expenses may be
[[Page 255]]
deducted from the value of the non-originating material:
(i) The costs of freight, insurance, packing and all other costs
incurred in transporting the material to the location of the producer;
(ii) Duties, taxes and customs brokerage fees on the material paid
in the territory of Chile or of the United States, or both, other than
duties and taxes that are waived, refunded, refundable or otherwise
recoverable, including credit against duty or tax paid or payable;
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or by-products; and
(iv) The cost of originating materials used in the production of the
non-originating material in the territory of Chile or of the United
States.
(c) Accounting method. Any cost or value referenced in General Note
26(n), HTSUS, and this subpart, must be recorded and maintained in
accordance with the generally accepted accounting principles applicable
in the territory of the Party in which the good is produced (whether
Chile or the United States).
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76133, Dec. 20, 2006]
Sec. 10.456 Accessories, spare parts or tools.
Accessories, spare parts or tools that form part of the good's
standard accessories, spare parts or tools and are delivered with the
good will be treated as a material used in the production of the good,
if--
(a) The accessories, spare parts or tools are classified with and
not invoiced separately from the good; and
(b) The quantities and value of the accessories, spare parts or
tools are customary for the good.
Sec. 10.457 Fungible goods and materials.
(a) A person claiming preferential tariff treatment under the US-
CFTA for a good may claim that a fungible good or material is
originating either based on the physical segregation of each fungible
good or material or by using an inventory management method. For
purposes of this subpart, the term ``inventory management method''
means--
(1) Averaging,
(2) ``Last-in, first-out,''
(3) ``First-in, first-out,'' or
(4) Any other method that is recognized in the generally accepted
accounting principles of the Party in which the production is performed
(whether Chile or the United States) or otherwise accepted by that
Party.
(b) A person selecting an inventory management method under
paragraph (a) of this section for particular fungible goods or materials
must continue to use that method for those fungible goods or materials
throughout the fiscal year of that person.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76134, Dec. 20, 2006]
Sec. 10.458 Accumulation.
(a) Originating goods or materials of Chile or the United States
that are incorporated into a good in the territory of the other Party
will be considered to originate in the territory of the other Party for
purposes of determining the eligibility of the goods or materials for
preferential tariff treatment under the US-CFTA.
(b) A good that is produced in the territory of Chile, the United
States, or both, by one or more producers, will be considered as an
originating good if the good satisfies the applicable requirements of
Sec. 10.451 and General Note 26, HTSUS.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76134, Dec. 20, 2006]
Sec. 10.459 De minimis.
(a) Except as provided in paragraphs (b) and (c) of this section, a
good that does not undergo a change in tariff classification pursuant to
General Note 26(n), HTSUS, will nonetheless be considered to be an
originating good if--
(1) The value of all non-originating materials that are used in the
production of the good and do not undergo the applicable change in
tariff classification does not exceed 10 percent of the adjusted value
of the good;
(2) The value of such non-originating materials is included in
calculating the
[[Page 256]]
value of non-originating materials for any applicable regional value-
content requirement under this note; and
(3) The good meets all other applicable requirements of General Note
26(n), HTSUS.
(b) Paragraph (a) of this section does not apply to:
(1) A non-originating material provided for in Chapter 4 of the
Harmonized System, or a non-originating dairy preparation containing
over 10 percent by weight of milk solids provided for in subheadings
1901.90 or 2106.90 of the Harmonized System, that is used in the
production of a good provided for in Chapter 4 of the Harmonized System;
(2) A non-originating material provided for in Chapter 4 of the
Harmonized System, or non-originating dairy preparations containing over
10 percent by weight of milk solids provided for in subheading 1901.90
of the Harmonized System, that are used in the production of the
following goods: infant preparations containing over 10 percent in
weight of milk solids provided for in subheading 1901.10 of the
Harmonized System; mixes and doughs, containing over 25 percent by
weight of butterfat, not put up for retail sale, provided for in
subheading 1901.20 of the Harmonized System; dairy preparations
containing over 10 percent by weight of milk solids provided for in
subheadings 1901.90 or 2106.90 of the Harmonized System; goods provided
for in heading 2105 of the Harmonized System; beverages containing milk
provided for in subheading 2202.90 of the Harmonized System; or animal
feeds containing over 10 percent by weight of milk solids provided for
in subheading 2309.90 of the Harmonized System;
(3) A non-originating material provided for in heading 0805 of the
Harmonized System or subheadings 2009.11 through 2009.30 of the
Harmonized System that is used in the production of a good provided for
in subheadings 2009.11 through 2009.30 of the Harmonized System, or in
fruit or vegetable juice of any single fruit or vegetable, fortified
with minerals or vitamins, concentrated or unconcentrated, provided for
in subheadings 2106.90 or 2202.90 of the Harmonized System;
(4) A non-originating material provided for in Chapter 15 of the
Harmonized System that is used in the production of a good provided for
in headings 1501 through 1508, 1512, 1514, or 1515 of the Harmonized
System;
(5) A non-originating material provided for in heading 1701 of the
Harmonized System that is used in the production of a good provided for
in headings 1701 through 1703 of the Harmonized System;
(6) A non-originating material provided for in Chapter 17 or in
heading 1805 of the Harmonized System that is used in the production of
a good provided for in subheading 1806.10 of the Harmonized System;
(7) A non-originating material provided for in headings 2203 through
2208 of the Harmonized System that is used in the production of a good
provided for in heading 2207 or 2208 of the Harmonized System; and
(8) A non-originating material used in the production of a good
provided for in Chapters 1 through 21 of the Harmonized System unless
the non-originating material is provided for in a different subheading
than the good for which origin is being determined under this section.
(c) A textile or apparel good provided for in Chapters 50 through 63
of the Harmonized System that is not an originating good because certain
fibers or yarns used in the production of the component of the good that
determines the tariff classification of the good do not undergo an
applicable change in tariff classification set out in General Note
26(n), HTSUS, shall nonetheless be considered to be an originating good
if the total weight of all such fibers or yarns in that component is not
more than seven percent of the total weight of that component. A good
containing elastomeric yarns in the component of the good that
determines the tariff classification of the good shall be considered to
be an originating good only if such yarns are wholly formed in the
territory of a Party. For purposes of this paragraph, if a good is a
fiber, yarn or fabric, the component of the good that determines the
tariff classification of the good is all of the fibers in the yarn,
fabric or group of fibers.
[[Page 257]]
Sec. 10.460 Indirect materials.
An indirect material, as defined in Sec. 10.402(o), will be
considered to be an originating material without regard to where it is
produced.
Example. Chilean Producer C produces good C using non-originating
material A. Producer C imports non-originating rubber gloves for use by
workers in the production of good C. Good C is subject to a tariff shift
requirement. As provided in Sec. 10.451(b)(1) and General Note 26(n),
each of the non-originating materials in good C must undergo the
specified change in tariff classification in order for good C to be
considered originating. Although non-originating material A must undergo
the applicable tariff shift in order for good C to be considered
originating, the rubber gloves do not because they are indirect
materials and are considered originating without regard to where they
are produced.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76134, Dec. 20, 2006]
Sec. 10.461 Retail packaging materials and containers.
Packaging materials and containers in which a good is packaged for
retail sale, if classified with the good for which preferential tariff
treatment under the US-CFTA is claimed, will be disregarded in
determining whether all non-originating materials used in the production
of the good undergo the applicable change in tariff classification set
out in General Note 26(n), HTSUS. If the good is subject to a regional
value content requirement, the value of such packaging materials and
containers will be taken into account as originating or non-originating
materials, as the case may be, in calculating the regional value content
of the good.
Example 1. Chilean Producer A of good C imports 100 non-originating
blister packages to be used as retail packaging for good C. As provided
in Sec. 10.455(a)(1), the value of the blister packages is their
adjusted value, which in this case is $10. Good C has a regional value
content requirement. The United States importer of good C decides to use
the build-down method, RVC = ((AV-VNM)/AV) x 100 (see Sec. 10.454(a) of
this subpart), in determining whether good C satisfies the regional
value content requirement. In applying this method, the non-originating
blister packages are taken into account as non-originating. As such,
their $10 adjusted value is included in the VNM, value of non-
originating materials, of good C.
Example 2. Same facts as in Example 1, but the blister packages are
originating. In this case, the adjusted value of the originating blister
packages would not be included as part of the VNM of good C under the
build-down method. However, if the United States importer had used the
build-up method, RVC = (VOM/AV) x 100 (see Sec. 10.454(b)), the adjusted
value of the blister packaging would be included as part of the VOM,
value of originating material.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76134, Dec. 20, 2006]
Sec. 10.462 Packing materials and containers for shipment.
(a) Packing materials and containers for shipment, as defined in
Sec. 10.450(m), are to be disregarded in determining whether the non-
originating materials used in the production of the good undergo an
applicable change in tariff classification set out in General Note
26(n), HTSUS. Accordingly, such materials and containers do not have to
undergo the applicable change in tariff classification even if they are
non-originating.
(b) Packing materials and containers for shipment, as defined in
Sec. 10.450(m), are to be disregarded in determining the regional value
content of a good imported into the United States. Accordingly, in
applying either the build-down or build-up method for determining the
regional value content of the good imported into the United States, the
value of such packing materials and containers for shipment (whether
originating or non-originating) is disregarded and not included in AV,
adjusted value, VNM, value of non-originating materials, or VOM, value
of originating materials.
Example. Chilean Producer A produces good C. Producer A ships good C
to the United States in a shipping container which it purchased from
Company B in Chile. The shipping container is originating. The value of
the shipping container determined under section Sec. 10.455(a)(2) is $3.
Good C is subject to a regional value content requirement. The
transaction value of good C is $100, which includes the $3 shipping
container. The U.S. importer decides to use the build-up method,
[[Page 258]]
RVC = (VOM/AV) x 100 (see Sec. 10.454(b)), in determining whether good C
satisfies the regional value content requirement. In determining the AV,
adjusted value, of good C imported into the U.S., paragraph (b) of this
section requires a $3 deduction for the value of the shipping container.
Therefore, the AV is $97 ($100-$3). In addition, the value of the
shipping container is disregarded and not included in the VOM, value of
originating materials.
Sec. 10.463 Transit and transshipment.
(a) General. A good will not be considered an originating good by
reason of having undergone production that occurs entirely in the
territory of Chile, the United States, or both, that would enable the
good to qualify as an originating good if subsequent to that production
the good undergoes further production or any other operation outside the
territories of Chile and the United States, other than unloading,
reloading, or any other process necessary to preserve the good in good
condition or to transport the good to the territory of Chile or the
United States.
(b) Documentary evidence. An importer making a claim that a good is
originating may be required to demonstrate, to CBP's satisfaction, that
no further production or subsequent operation, other than permitted
under paragraph (a) of this section, occurred outside the territories of
Chile or the United States. An importer may demonstrate compliance with
this section by submitting documentary evidence. Such evidence may
include, but is not limited to, bills of lading, packing lists,
commercial invoices, and customs entry and exit documents.
Origin Verifications and Determinations
Sec. 10.470 Verification and justification of claim for preferential
treatment.
(a) Verification. A claim for preferential tariff treatment made
under Sec. 10.410 or Sec. 10.442 of this subpart, including any
statements or other information submitted to CBP in support of the
claim, will be subject to such verification as the port director deems
necessary. In the event that the port director is provided with
insufficient information to verify or substantiate the claim, the port
director may deny the claim for preferential tariff treatment. A
verification of a claim for preferential treatment may involve, but is
not limited to, a review of:
(1) All records required to be made, kept, and made available to CBP
by the importer or any other person under part 163 of this chapter;
(2) Documentation and other information regarding the country of
origin of an article and its constituent materials, including, but not
limited to, production records, supporting accounting and financial
records, information relating to the place of production, the number and
identification of the types of machinery used in production, and the
number of workers employed in production; and
(3) Evidence that documents the use of U.S. or Chilean materials in
the production of the article subject to the verification, such as
purchase orders, invoices, bills of lading and other shipping documents,
customs import and clearance documents, and bills of material and
inventory records.
(b) Applicable accounting principles. When conducting a verification
of origin to which Generally Accepted Accounting Principles may be
relevant, CBP will apply and accept the Generally Accepted Accounting
Principles applicable in the country of production.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76134, Dec. 20, 2006; CBP Dec. 10-29, 75 FR 52450, Aug. 26,
2010]
Sec. 10.471 Special rule for verifications in Chile of U.S. imports of
textile and apparel products.
(a) Procedures to determine whether a claim of origin is accurate.
For the purpose of determining that a claim of origin for a textile or
apparel good is accurate, CBP may request that the government of Chile
conduct a verification, regardless of whether a claim is made for
preferential tariff treatment. While a verification under this paragraph
is being conducted, CBP may take appropriate action, as directed by The
Committee for the Implementation of Textile Agreements (CITA), which may
include suspending the application of preferential treatment to the
textile or apparel good for
[[Page 259]]
which a claim of origin has been made. If CBP is unable to make the
determination described in this paragraph within 12 months after a
request for a verification, CBP may take appropriate action with respect
to the textile and apparel good subject to the verification, and with
respect to similar goods exported or produced by the entity that
exported or produced the good, if directed by CITA.
(b) Procedures to determine compliance with applicable customs laws
and regulations of the U.S. For purposes of enabling CBP to determine
that an exporter or producer is complying with applicable customs laws,
regulations, and procedures in cases in which CBP has a reasonable
suspicion that a Chilean exporter or producer is engaging in unlawful
activity relating to trade in textile and apparel goods, CBP may request
that the government of Chile conduct a verification, regardless of
whether a claim is made for preferential tariff treatment. A
``reasonable suspicion'' for the purpose of this paragraph will be based
on relevant factual information, including information of the type set
forth in Article 5.5 of the US-CFTA, that indicates circumvention of
applicable laws, regulations or procedures regarding trade in textile
and apparel goods. CBP may undertake or assist in a verification under
this paragraph by conducting visits in Chile, along with the competent
authorities of Chile, to the premises of an exporter, producer or any
other enterprise involved in the movement of textile or apparel goods
from Chile to the United States. While a verification under this
paragraph is being conducted, CBP may take appropriate action, as
directed by CITA, which may include suspending the application of
preferential tariff treatment to the textile and apparel goods exported
or produced by the Chilean entity where the reasonable suspicion of
unlawful activity relates to those goods. If CBP is unable to make the
determination described in this paragraph within 12 months after a
request for a verification, CBP may take appropriate action with respect
to any textile or apparel goods exported or produced by the entity
subject to the verification, if directed by CITA.
(c) Assistance by CBP to Chilean authorities. CBP may undertake or
assist in a verification under this section by conducting visits in
Chile, along with the competent authorities of Chile, to the premises of
an exporter, producer or any other enterprise involved in the movement
of textile or apparel goods from Chile to the United States.
(d) Treatment of documents and information provided to CBP. Any
production, trade and transit documents and other information necessary
to conduct a verification under this section, provided to CBP by the
government of Chile consistent with the laws, regulations, and
procedures of Chile, will be considered confidential as provided for in
Article 5.6 of the US-CFTA.
(e) Notification to Chile. Prior to commencing appropriate action
under paragraph (a) or (b) of this section, CBP will notify the
government of Chile. CBP may continue to take appropriate action under
paragraph (a) or (b) of this section until it receives information
sufficient to enable it to make the determination described in
paragraphs (a) and (b) of this section.
(f) Retention of authority by CBP. If CBP requests a verification
before Chile fully implements its obligations under Article 3.21 of the
US-CFTA, the verification will be conducted principally by CBP,
including through means described in paragraphs (a) and (b) of this
section. CBP retains the authority to exercise its rights under
paragraphs (a) and (b) of this section.
Sec. 10.472 Verification in the United States of textile and apparel
goods.
(a) Procedures to determine whether a claim of origin is accurate.
CBP will endeavor, at the request of the government of Chile, to conduct
a verification for the purpose of determining that a claim of origin for
a textile or apparel good is accurate. A verification will be conducted
under this paragraph regardless of whether a claim is made for
preferential tariff treatment. If the government of Chile is unable to
make the determination described in this paragraph within 12 months
after a request for a verification, Chile may take appropriate action
with respect to the textile and apparel good subject to the
[[Page 260]]
verification, and with respect to similar goods exported or produced by
the entity that exported or produced the good.
(b) Procedures to determine compliance with applicable customs laws
and regulations of Chile. CBP will endeavor to conduct a verification at
the request of the government of Chile for purposes of enabling Chile to
determine that the U.S. exporter or producer is complying with
applicable customs laws, regulations, and procedures, if Chile has a
reasonable suspicion that a U.S. exporter or producer is engaging in
unlawful activity relating to trade in textile and apparel goods. A
verification will be conducted under this paragraph regardless of
whether a claim is made for preferential tariff treatment. A
``reasonable suspicion'' for the purpose of this paragraph will be based
on relevant factual information, including information of the type set
forth in Article 5.5 of the US-CFTA, that indicates circumvention of
applicable laws, regulations or procedures regarding trade in textile
and apparel goods. If the government of Chile is unable to make the
determination described in this paragraph within 12 months after a
request for a verification, it may take action as permitted under its
laws with respect to any textile or apparel goods exported or produced
by the entity subject to the verification.
(c) Visits by CBP. CBP may conduct visits to the premises of a U.S.
exporter or producer or any other enterprise involved in the movement of
textile or apparel goods from the United States to Chile in order to
undertake or assist in a verification pursuant to paragraphs (a) and (b)
of this section.
(d) Initiation of verification by CBP. CBP may conduct, on its own
initiative, a verification for the purpose of determining that a claim
of origin for a textile or apparel good is accurate.
(e) Treatment of documents and information. CBP will endeavor to
provide to the government of Chile, consistent with U.S. laws,
regulations, and procedures, production, trade, and transit documents
and other information necessary to conduct a verification under
paragraphs (a) and (b) of this section. Such information will be
considered confidential as provided for in Article 5.6 of the US-CFTA.
Sec. 10.473 Issuance of negative origin determinations.
If CBP determines, as a result of an origin verification initiated
under this subpart, that the good which is the subject of the
verification does not qualify as an originating good, it will issue a
determination in writing or via an authorized electronic data
interchange system to the importer that sets forth the following:
(a) A description of the good that was the subject of the
verification together with the identifying numbers and dates of the
export and import documents pertaining to the good;
(b) A statement setting forth the findings of fact made in
connection with the verification and upon which the determination is
based;
(c) With specific reference to the rules applicable to originating
goods as set forth in General Note 26, HTSUS, and in Sec. Sec. 10.450
through 10.463 of this subpart, the legal basis for the determination;
and
(d) A notice of intent to deny preferential tariff treatment on the
good which is the subject of the determination.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76134, Dec. 20, 2006]
Sec. 10.474 Repeated false or unsupported preference claims.
Where verification or other information reveals indications of a
pattern of conduct by an importer of false or unsupported
representations that a good imported into the United States qualifies as
originating, CBP may deny subsequent claims for preferential tariff
treatment on identical goods imported by that person until compliance
with the rules applicable to originating goods as set forth in General
Note 26, HTSUS is established to the satisfaction of CBP.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76134, Dec. 20, 2006]
[[Page 261]]
Penalties
Sec. 10.480 General.
Except as otherwise provided in this subpart, all criminal, civil or
administrative penalties which may be imposed on U.S. importers,
exporters and producers for violations of the customs and related laws
and regulations will also apply to U.S. importers, exporters and
producers for violations of the laws and regulations relating to the US-
CFTA.
Sec. 10.481 Corrected declaration by importers.
A U.S. importer who makes a corrected declaration under
Sec. 10.410(b) will not be subject to civil or administrative penalties
for having made an incorrect declaration, provided that the corrected
declaration was voluntarily made.
Sec. 10.482 Corrected certifications of origin by exporters or
producers.
Civil or administrative penalties provided for under the U.S.
customs laws and regulations will not be imposed on an exporter or
producer in the United States who voluntarily provides written
notification pursuant to Sec. 10.430(b) with respect to the making of an
incorrect certification.
Sec. 10.483 Framework for correcting declarations and certifications.
(a) ``Voluntarily'' defined. For purposes of this subpart, the
making of a corrected declaration or the providing of written
notification of an incorrect certification will be deemed to have been
done voluntarily if:
(1) Done before the commencement of a formal investigation; or
(2) Done before any of the events specified in Sec. 162.74(i) of
this chapter have occurred; or
(3) Done within 30 calendar days after either the U.S. importer,
exporter or producer had reason to believe that the declaration or
certification was not correct; and is
(4) Accompanied by a written statement setting forth the information
specified in paragraph (c) of this section; and
(5) In the case of a corrected declaration, accompanied or followed
by a tender of any actual loss of duties and merchandise processing
fees, if applicable, in accordance with paragraph (e) of this section.
(b) Cases involving fraud. Notwithstanding paragraph (a) of this
section, a person who acted fraudulently in making an incorrect
declaration or certification may not make a voluntary correction. For
purposes of this paragraph, the term ``fraud'' will have the meaning set
forth in paragraph (B)(3) of appendix B to part 171 of this chapter.
(c) Statement. For purposes of this subpart, each corrected
declaration or notification of an incorrect certification must be
accompanied by a statement, submitted in writing or via an authorized
electronic data interchange system, which:
(1) Identifies the class or kind of good to which the incorrect
declaration or certification relates;
(2) In the case of a corrected declaration, identifies each affected
import transaction, including each port of importation and the
approximate date of each importation, and in the case of a notification
of an incorrect certification, identifies each affected exportation
transaction, including each port of exportation and the approximate date
of each exportation. A U.S. producer who provides written notification
that certain information in a certification of origin is incorrect and
who is unable to identify the specific export transactions under this
paragraph must provide as much information concerning those transactions
as the producer, by the exercise of good faith and due diligence, is
able to obtain;
(3) Specifies the nature of the incorrect statements or omissions
regarding the declaration or certification; and
(4) Sets forth, to the best of the person's knowledge, the true and
accurate information or data which should have been covered by or
provided in the declaration or certification, and states that the person
will provide any additional pertinent information or data which is
unknown at the time of making the corrected declaration or certification
within 30 calendar days or within any extension of that 30-day period as
CBP may permit in order for the
[[Page 262]]
person to obtain the information or data.
(d) Substantial compliance. For purposes of this section, a person
will be deemed to have voluntarily corrected a declaration or
certification even though that person provides corrected information in
a manner which does not conform to the requirements of the written
statement specified in paragraph (c) of this section, provided that:
(1) CBP is satisfied that the information was provided before the
commencement of a formal investigation; and
(2) The information provided includes, orally or in writing,
substantially the same information as that specified in paragraph (c) of
this section.
(e) Tender of actual loss of duties. A U.S. importer who makes a
corrected declaration must tender any actual loss of duties at the time
of making the corrected declaration, or within 30 calendar days
thereafter, or within any extension of that 30-day period as CBP may
allow in order for the importer to obtain the information or data
necessary to calculate the duties owed.
(f) Applicability of prior disclosure provisions. Where a person
fails to meet the requirements of this section because the correction of
the declaration or the written notification of an incorrect
certification is not considered to be done voluntarily as provided in
this section, that person may nevertheless qualify for prior disclosure
treatment under 19 U.S.C. 1592(c)(4) and Sec. 162.74 of this chapter.
[CBP Dec. 05-07, 70 FR 10873, Mar. 7, 2005, as amended by CBP Dec. 06-
39, 71 FR 76134, Dec. 20, 2006]
Goods Returned After Repair or Alteration
Sec. 10.490 Goods re-entered after repair or alteration in Chile.
(a) General. This section sets forth the rules which apply for
purposes of obtaining duty-free treatment on goods returned after repair
or alteration in Chile as provided for in subheadings 9802.00.40 and
9802.00.50, HTSUS. Goods returned after having been repaired or altered
in Chile, whether or not pursuant to a warranty, are eligible for duty-
free treatment, provided that the requirements of this section are met.
For purposes of this section, ``repairs or alterations'' means
restoration, addition, renovation, re-dyeing, cleaning, re-sterilizing,
or other treatment which does not destroy the essential characteristics
of, or create a new or commercially different good from, the good
exported from the United States.
(b) Goods not eligible for treatment. The duty-free treatment
referred to in paragraph (a) of this section will not apply to goods
which, in their condition as exported from the United States to Chile,
are incomplete for their intended use and for which the processing
operation performed in Chile constitutes an operation that is performed
as a matter of course in the preparation or manufacture of finished
goods.
(c) Documentation. The provisions of Sec. 10.8(a), (b), and (c) of
this part, relating to the documentary requirements for goods entered
under subheading 9802.00.40 or 9802.00.50, HTSUS, will apply in
connection with the entry of goods which are returned from Chile after
having been exported for repairs or alterations and which are claimed to
be duty free.
Subpart I_United States-Singapore Free Trade Agreement
Source: CBP Dec. 07-28, 72 FR 31995, June 11, 2007, unless otherwise
noted.
General Provisions
Sec. 10.501 Scope.
This subpart implements the duty preference and related customs
provisions applicable to imported goods under the United States-
Singapore Free Trade Agreement (the SFTA) signed on May 6, 2003, and
under the United States-Singapore Free Trade Agreement Implementation
Act (the Act; 117 Stat. 948). Except as otherwise specified in this
subpart, the procedures and other requirements set forth in this subpart
are in addition to the customs procedures and requirements of general
application contained elsewhere in this chapter. Additional provisions
implementing certain aspects
[[Page 263]]
of the SFTA and the Act are contained in parts 24, 162, and 163 of this
chapter.
Sec. 10.502 General definitions.
As used in this subpart, the following terms will have the meanings
indicated unless either the context in which they are used requires a
different meaning or a different definition is prescribed for a
particular section of this subpart:
(a) Claim for preferential tariff treatment. ``Claim for
preferential tariff treatment'' means a claim that a good is entitled to
the duty rate applicable under the SFTA to an originating good or other
good specified in the SFTA, and to an exemption from the merchandise
processing fee;
(b) Customs duty. ``Customs duty'' includes any customs or import
duty and a charge of any kind imposed in connection with the importation
of a good, including any form of surtax or surcharge in connection with
such importation, but, for purposes of implementing the SFTA, does not
include any:
(1) Charge equivalent to an internal tax imposed consistently with
Article III:2 of GATT 1994 in respect of the like domestic good or in
respect of goods from which the imported good has been manufactured or
produced in whole or in part;
(2) Antidumping or countervailing duty that is applied pursuant to a
Party's domestic law;
(3) Fee or other charge in connection with importation commensurate
with the cost of services rendered; or
(4) Duty imposed pursuant to Article 5 of the WTO Agreement on
Agriculture.
(c) Customs Valuation Agreement. ``Customs Valuation Agreement''
means the Agreement on Implementation of Article VII of the General
Agreement on Tariffs and Trade 1994, which is part of the WTO Agreement;
(d) Days. ``Days'' means calendar days;
(e) Enterprise. ``Enterprise'' means an entity constituted or
organized under applicable law, whether or not for profit, and whether
privately-owned or governmentally-owned, including any corporation,
trust, partnership, sole proprietorship, joint venture, or other
association;
(f) GATT 1994. ``GATT 1994'' means the General Agreement on Tariffs
and Trade 1994, which is part of the WTO Agreement;
(g) Harmonized System. ``Harmonized System (HS)'' means the
Harmonized Commodity Description and Coding System, including its
General Rules of Interpretation, Section Notes, and Chapter Notes, as
adopted and implemented by the Parties in their respective tariff laws;
(h) Heading. ``Heading'' means the first four digits in the tariff
classification number under the Harmonized System;
(i) HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the
United States as promulgated by the U.S. International Trade Commission;
(j) Indirect material. ``Indirect material'' means a good used in
the production, testing, or inspection of a good in the territory of the
United States or Singapore but not physically incorporated into the
good, or a good used in the maintenance of buildings or the operation of
equipment associated with the production of a good in the territory of
the United States or Singapore, including:
(1) Fuel and energy;
(2) Tools, dies, and molds;
(3) Spare parts and materials used in the maintenance of equipment
and buildings;
(4) Lubricants, greases, compounding materials, and other materials
used in production or used to operate equipment and buildings;
(5) Gloves, glasses, footwear, clothing, safety equipment, and
supplies;
(6) Equipment, devices, and supplies used for testing or inspecting
the good;
(7) Catalysts and solvents; and
(8) Any other goods that are not incorporated into the good but
whose use in the production of the good can reasonably be demonstrated
to be a part of that production;
(k) Originating. ``Originating'' means qualifying for preferential
tariff treatment under the rules of origin set out in SFTA Chapter Three
(Rules of Origin) and General Note 25, HTSUS;
(l) Party. ``Party'' means the United States or the Republic of
Singapore;
(m) Person. ``Person'' means a natural person or an enterprise;
[[Page 264]]
(n) Preferential tariff treatment. ``Preferential tariff treatment''
means the duty rate applicable under the SFTA to an originating good,
and an exemption from the merchandise processing fee;
(o) Subheading. ``Subheading'' means the first six digits in the
tariff classification number under the Harmonized System;
(p) Tariff preference level. ``Tariff preference level'' means a
quantitative limit for certain non-originating textiles and textile
apparel goods that may be entitled to preferential tariff treatment
based on the goods meeting the production requirements set forth in
Sec. 10.521 of this subpart;
(q) Textile or apparel good. ``Textile or apparel good'' means a
good listed in the Annex to the Agreement on Textiles and Clothing
(commonly referred to as ``the ATC''), which is part of the WTO
Agreement;
(r) Territory. ``Territory'' means:
(1) With respect to Singapore, its land territory, internal waters
and territorial sea as well as the maritime zones beyond the territorial
sea, including the seabed and subsoil over which the Republic of
Singapore exercises sovereign rights or jurisdiction under its national
laws and international law for the purpose of exploration and
exploitation of the natural resources of such areas; and
(2) With respect to the United States;
(i) The customs territory of the United States, which includes the
50 states, the District of Columbia, and Puerto Rico;
(ii) The foreign trade zones located in the United States and Puerto
Rico; and
(iii) Any areas beyond the territorial seas of the United States
within which, in accordance with international law and its domestic law,
the United States may exercise rights with respect to the seabed and
subsoil and their natural resources; and
(s) WTO Agreement. ``WTO Agreement'' means the Marrakesh Agreement
Establishing the World Trade Organization of April 15, 1994.
Import Requirements
Sec. 10.510 Filing of claim for preferential tariff treatment upon
importation.
(a) Claim. An importer may make a claim for SFTA preferential tariff
treatment, including an exemption from the merchandise processing fee,
based on the importer's knowledge or information in the importer's
possession that the good qualifies as an originating good. For goods
that qualify as originating goods under the Integrated Sourcing
Initiative (see subdivisions (b)(ii) and (m) of General Note 25, HTSUS,
and Sec. 10.532 of this subpart), the claim is made by including on the
entry summary, or equivalent documentation, the tariff item 9999.00.84,
HTSUS, or by the method specified for equivalent reporting via an
authorized electronic data interchange system. For all other qualifying
goods, the claim is made by including on the entry summary, or
equivalent documentation, the letters ``SG'' as a prefix to the
subheading of the HTSUS under which each qualifying good is classified,
or by the method specified for equivalent reporting via an authorized
electronic data interchange system.
(b) Corrected claim. If, after making the claim required under
paragraph (a) of this section, the importer becomes aware that the claim
is invalid, the importer must promptly correct the claim and pay any
duties that may be due. The importer must submit a statement either in
writing or via an authorized electronic data interchange system to the
CBP office where the original claim was filed specifying the correction
(see Sec. Sec. 10.561 and 10.562 of this subpart).
Sec. 10.511 Supporting statement.
(a) Contents. An importer who makes a claim under Sec. 10.510(a) of
this subpart must submit, at the request of the port director, a
statement setting forth the reasons that the good qualifies as an
originating good, including pertinent cost and manufacturing data. A
statement submitted to CBP under this paragraph:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must include the following information:
(i) The legal name, address, telephone, and e-mail address (if any)
of the importer of record of the good;
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(ii) The legal name, address, telephone, and e-mail address (if any)
of the responsible official or authorized agent of the importer signing
the supporting statement (if different from the information required by
paragraph (a)(2)(i) of this section);
(iii) The legal name, address, telephone, and e-mail address (if
any) of the exporter of the good (if different from the producer);
(iv) The legal name, address, telephone, and e-mail address (if any)
of the producer of the good (if known);
(v) A description of the good for which preferential tariff
treatment is claimed, which must be sufficiently detailed to relate it
to the invoice and the HS nomenclature;
(vi) The HTSUS tariff classification, to six or more digits, as
necessary for the specific change in tariff classification rule for the
good set forth in General Note 25(o), HTSUS;
(vii) The applicable rule of origin set forth in General Note 25,
HTSUS, under which the good qualifies as an originating good; and
(3) Must include a statement, in substantially the following form:
I certify that:
The information on this document is true and accurate and I assume
the responsibility for proving such representations. I understand that I
am liable for any false statements or material omissions made on or in
connection with this document;
I agree to maintain and present upon request, documentation
necessary to support these representations;
The goods originated or are considered to have originated in the
territory of one or more of the Parties, and comply with the origin
requirements specified for those goods in the United States-Singapore
Free Trade Agreement; there has been no further production or any other
operation outside the territories of the parties, other than unloading,
reloading, or any other operation necessary to preserve the goods in
good condition or to transport the goods to the United States; and
This document consists of ------ pages, including all attachments.''
(b) Responsible official or agent. The supporting statement required
to be submitted under paragraph (a) of this section must be signed and
dated by a responsible official of the importer or by the importer's
authorized agent having knowledge of the relevant facts.
(c) Language. The supporting statement required to be submitted
under paragraph (a) of this section must be completed in the English
language.
(d) Applicability of supporting statement. The supporting statement
required to be submitted under paragraph (a) of this section may be
applicable to:
(1) A single importation of a good into the United States, including
a single shipment that results in the filing of one or more entries and
a series of shipments that results in the filing of one entry; or
(2) Multiple importations of identical goods into the United States
that occur within a specified blanket period, not exceeding 12 months,
set out in the statement. For purposes of this paragraph, ``identical
goods'' means goods that are the same in all respects relevant to the
particular rule of origin that qualifies the goods as originating.
Sec. 10.512 Importer obligations.
(a) General. An importer who makes a claim under Sec. 10.510(a) of
this subpart is responsible for the truthfulness of the claim and of all
the information and data contained in the supporting statement provided
for in Sec. 10.511 of this subpart, for submitting any supporting
documents requested by CBP, and for the truthfulness of the information
contained in those documents. However, an importer will not be subject
to civil or administrative penalties under 19 U.S.C. 1592 for making an
invalid claim for preferential tariff treatment or submitting an
incorrect supporting statement, provided that the importer promptly and
voluntarily corrects the claim or supporting statement and pays any duty
owing (see Sec. Sec. 10.561 and 10.562 of this subpart). In instances in
which CBP requests the submission of supporting documents, CBP will
allow for the direct submission by the exporter or producer of business
confidential or other sensitive information, including cost and sourcing
information.
(b) Compliance. In order to make a claim for preferential tariff
treatment under Sec. 10.510(a) of this subpart, the importer:
[[Page 266]]
(1) Must have records that explain how the importer came to the
conclusion that the good qualifies for preferential tariff treatment.
Those records must include documents that support a claim that the
article in question qualifies for preferential tariff treatment because
it meets the applicable rules of origin set forth in General Note 25,
HTSUS, and in this subpart. Those records may include a properly
completed importer's supporting statement as set forth in Sec. 10.511 of
this subpart; and
(2) May be required to present evidence that the conditions set
forth in Sec. 10.542 of this subpart were met if the imported article
was shipped through an intermediate country.
(c) Information provided by exporter or producer. The fact that the
importer has made a claim or supporting statement based on information
provided by an exporter or producer will not relieve the importer of the
responsibility referred to in the first sentence of paragraph (a) of
this section.
Sec. 10.513 Supporting statement not required.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an importer will not be required to submit a supporting
statement under Sec. 10.511 of this subpart for:
(1) A non-commercial importation of a good; or
(2) A commercial importation for which the value of the goods does
not exceed U.S. $2,500.
(b) Exception. If the port director determines that an importation
described in paragraph (a) of this section may reasonably be considered
to have been carried out or planned for the purpose of evading
compliance with the rules and procedures governing claims for preference
under the SFTA, the port director will notify the importer that for that
importation the importer must submit to CBP a supporting statement. The
importer must submit such a statement within 30 days from the date of
the notice. Failure to timely submit the supporting statement will
result in denial of the claim for preferential treatment.
Sec. 10.514 Maintenance of records.
(a) General. An importer claiming preferential tariff treatment for
a good imported into the United States under Sec. 10.510(a) of this
subpart must maintain, for five years after the date of importation of
the good, any records and documents that the importer has relating to
the origin of the good, including records and documents associated with:
(1) The purchase of, cost of, value of, and payment for, the good;
(2) Where appropriate, the purchase of, cost of, value of, and
payment for, all materials, including recovered goods and indirect
materials, used in the production of the good; and
(3) Where appropriate, the production of the good in the form in
which the good was exported.
(b) Applicability of other recordkeeping requirements. The records
and documents referred to in paragraph (a) of this section are in
addition to any other records that the importer is required to prepare,
maintain, or make available to CBP under part 163 of this chapter.
(c) Method of maintenance. The records and documents referred to in
paragraph (a) of this section must be maintained by importers as
provided in Sec. 163.5 of this chapter.
Sec. 10.515 Effect of noncompliance; failure to provide documentation
regarding third country transportation.
(a) Effect of noncompliance. If the importer fails to comply with
any requirement under this subpart, including submission of a complete
supporting statement under Sec. 10.511 of this subpart, when requested,
the port director may deny preferential treatment to the imported good.
(b) Failure to provide documentation regarding third country
transportation. Where the requirements for preferential treatment set
forth elsewhere in this subpart are met, the port director nevertheless
may deny preferential treatment to an originating good if the good is
shipped through or transshipped in a country other than Singapore or the
United States, and the importer of the good does not provide, at
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the request of the port director, evidence demonstrating to the
satisfaction of the port director that the conditions set forth in
Sec. 10.542 of this subpart were met.
Tariff Preference Level
Sec. 10.520 Filing of claim for tariff preference level.
A cotton or man-made fiber apparel good described in Sec. 10.521 of
this subpart that does not qualify as an originating good under
Sec. 10.531 of this subpart may nevertheless be entitled to preferential
tariff treatment under the SFTA under an applicable tariff preference
level (TPL). To make a TPL claim, the importer must include on the entry
summary, or equivalent documentation, the applicable tariff item in
Chapter 99 of the HTSUS (9910.61.01 through 9910.61.89) and the
applicable subheading in Chapter 61 or 62 of the HTSUS under which each
non-originating cotton or man-made fiber apparel good is classified. For
TPL goods, the letters ``SG'' must be inserted as a prefix to the
applicable HTSUS 9910 tariff item when the entry is filed. The importer
must also submit a certificate of eligibility as set forth in
Sec. 10.522 of this subpart.
Sec. 10.521 Goods eligible for tariff preference level claims.
Goods eligible for a TPL claim consist of cotton or man-made fiber
apparel goods provided for in Chapters 61 and 62 of the HTSUS that are
both cut (or knit-to-shape) and sewn or otherwise assembled in Singapore
from fabric or yarn produced or obtained outside the territory of
Singapore or the United States, and that meet the applicable conditions
for preferential tariff treatment under the SFTA, other than the
condition that they are originating goods. The preferential tariff
treatment is limited to the quantities specified in U.S. Note 13,
Subchapter X, Chapter 99, HTSUS.
Sec. 10.522 Submission of certificate of eligibility.
An importer who claims preferential tariff treatment on a non-
originating cotton or man-made fiber apparel good must submit a
certificate of eligibility issued by the Government of Singapore,
demonstrating that the good is eligible for entry under the applicable
TPL, as set forth in Sec. 10.521 of this subpart.
Rules of Origin
Sec. 10.530 Definitions.
For purposes of Sec. Sec. 10.530 through 10.542:
(a) Adjusted value. ``Adjusted value'' means the value determined in
accordance with Articles 1 through 8, Article 15, and the corresponding
interpretative notes of the Customs Valuation Agreement, adjusted, if
necessary, to exclude:
(1) Any costs, charges, or expenses incurred for transportation,
insurance and related services incident to the international shipment of
the merchandise from the country of exportation to the place of
importation; and
(2) The value of packing materials and containers for shipment as
defined in paragraph (j) of this section;
(b) Exporter. ``Exporter'' means a person who exports goods from the
territory of a Party;
(c) Fungible goods or materials. ``Fungible goods or materials''
means goods or materials, as the case may be, that are interchangeable
for commercial purposes and the properties of which are essentially
identical;
(d) Generally Accepted Accounting Principles. ``Generally Accepted
Accounting principles'' means the recognized consensus or substantial
authoritative support in the territory of a Party, with respect to the
recording of revenues, expenses, costs, assets, and liabilities, the
disclosure of information, and the preparation of financial statements.
These standards may encompass broad guidelines of general application as
well as detailed standards, practices, and procedures;
(e) Good. ``Good'' means any merchandise, product, article, or
material;
(f) Goods wholly obtained or produced entirely in the territory of
one or both of the Parties. ``Goods wholly obtained or produced entirely
in the territory of one or both of the Parties'' means:
(1) Mineral goods extracted in the territory of one or both of the
Parties;
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(2) Vegetable goods, as such goods are defined in the Harmonized
System, harvested in the territory of one or both of the Parties;
(3) Live animals born and raised in the territory of one or both of
the Parties;
(4) Goods obtained from hunting, trapping, fishing, or aquaculture
conducted in the territory of one or both of the Parties;
(5) Goods (fish, shellfish and other marine life) taken from the sea
by vessels registered or recorded with a Party and flying its flag;
(6) Goods produced exclusively from products referred to in
subparagraph (f)(5) of this section on board factory ships registered or
recorded with a Party and flying its flag;
(7) Goods taken by a Party or a person of a Party from the seabed or
beneath the seabed outside territorial waters, provided that a Party has
rights to exploit such seabed;
(8) Goods taken from outer space, provided they are obtained by a
Party or a person of a Party and not processed in the territory of a
non-Party;
(9) Waste and scrap derived from:
(i) Production in the territory of one or both of the Parties; or
(ii) Used goods collected in the territory of one or both of the
Parties, provided such goods are fit only for the recovery of raw
materials;
(10) Recovered goods derived in the territory of one or both of the
Parties from used goods; or
(11) Goods produced in one or both of the Parties exclusively from
goods referred to in paragraphs (f)(1) through (f)(9) of this section or
from the derivatives of such goods;
(g) Material. ``Material'' means a good that is used in the
production of another good;
(h) Non-originating good. ``Non-originating good'' means a good that
does not qualify as originating under General Note 25, HTSUS;
(i) Non-originating material. ``Non-originating material'' means a
material that does not qualify as originating under General Note 25,
HTSUS;
(j) Packing materials and containers for shipment. ``Packing
materials and containers for shipment'' means the goods used to protect
a good during its transportation to the United States, and does not
include the packaging materials and containers in which a good is
packaged for retail sale;
(k) Producer. ``Producer'' means a person who grows, raises, mines,
harvests, fishes, traps, hunts, manufactures, processes, assembles or
disassembles a good;
(l) Production. ``Production'' means growing, mining, harvesting,
fishing, raising, trapping, hunting, manufacturing, processing,
assembling, or disassembling a good;
(m) Recovered goods. ``Recovered goods'' means materials in the form
of individual parts that are the result of:
(1) The complete disassembly of used goods into individual parts;
and
(2) The cleaning, inspecting, testing, or other processing of those
parts as necessary for improvement to sound working condition by one or
more of the following processes: Welding, flame spraying, surface
machining, knurling, plating, sleeving, and rewinding, in order for such
parts to be assembled with other parts, including other recovered parts,
in the production of a remanufactured good as defined in paragraph (o)
of this section;
(n) Relationship. ``Relationship'' means whether the buyer and
seller are related parties in accordance with Article 15.4 of the
Customs Valuation Agreement;
(o) Remanufactured good. ``Remanufactured good'' means an industrial
good assembled in the territory of Singapore or the United States that
is enumerated in Annex 3C, SFTA, and:
(1) Is entirely or partially comprised of recovered goods;
(2) Has the same life expectancy and meets the same performance
standards as a new good; and
(3) Enjoys the same factory warranty as such a new good;
(p) Self-produced material. ``Self-produced material'' means a good,
such as a part or ingredient, produced by the producer and used by the
producer in the production of another good; and
(q) Value. ``Value'' means the value of a good or material for
purposes of calculating customs duties or for purposes of applying this
subpart.
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Sec. 10.531 Originating goods.
Except as provided in Sec. 10.543 of this subpart, a good imported
into the customs territory of the United States will be considered an
originating good under the SFTA only if:
(a) The good is wholly obtained or produced entirely in the
territory of one or both of the Parties;
(b) The good is transformed in one or both of the Parties so that:
(1) Each non-originating material undergoes an applicable change in
tariff classification specified in General Note 25(o), HTSUS, as a
result of production occurring entirely in the territory of one or both
of the Parties; and
(2) The good otherwise satisfies any applicable regional value
content or other requirements specified in General Note 25(o), HTSUS; or
(c) The good, in its condition as imported into the United States,
is enumerated as an Integrated Sourcing Initiative good in General Note
25(m), HTSUS, and is imported from the territory of Singapore.
Sec. 10.532 Integrated Sourcing Initiative.
(a) For purposes of General Note 25(b)(ii), HTSUS, a good is
eligible for treatment as an originating good under the Integrated
Sourcing Initiative if:
(1) The good, in its condition as imported, is both classified in a
tariff provision enumerated in the first column of General Note 25(m),
HTSUS, and described opposite that tariff provision in the list of
information technology articles set forth in the second column of
General Note 25(m), HTSUS;
(2) The good, regardless of its origin, is imported into the
territory of the United States from the territory of Singapore. If a
product of a non-Party, the good must have been imported into Singapore
prior to its importation into the territory of the United States; and
(3) The good satisfies the conditions and requirements of
Sec. 10.542 relating to third country transportation.
(b) A good enumerated in General Note 25(m), HTSUS, that is used in
the production of another good in Singapore will not be considered an
originating material for purposes of determining the eligibility for
preferential tariff treatment of such other good unless:
(1) The good enumerated in General Note 25(m), HTSUS, satisfies an
applicable rule of origin set out in General Note 25(o), HTSUS; or
(2) The good enumerated in General Note 25(m), HTSUS, is imported
into the territory of Singapore from the territory of the United States
prior to being used in the production of a good in Singapore.
Sec. 10.533 De minimis.
(a) Except as provided in paragraphs (b) and (c) of this section, a
good that does not undergo a change in tariff classification pursuant to
General Note 25(o), HTSUS, will nonetheless be considered to be an
originating good if:
(1) The value of all non-originating materials used in the
production of the good that do not undergo the applicable change in
tariff classification does not exceed 10 percent of the adjusted value
of the good;
(2) The value of the non-originating materials described in
paragraph (a)(1) of this section is included in calculating the value of
non-originating materials for any applicable regional value content
requirement for the good under General Note 25(o), HTSUS; and
(3) The good meets all other applicable requirements of General Note
25, HTSUS.
(b) Paragraph (a) does not apply to:
(1) A non-originating material provided for in Chapter 4, HTSUS, or
in subheading 1901.90, HTSUS, that is used in the production of a good
provided for in Chapter 4, HTSUS;
(2) A non-originating material provided for in Chapter 4, HTSUS, or
in subheading 1901.90, HTSUS, that is used in the production of a good
provided for in one of the following HTSUS provisions: Subheading
1901.10, 1901.20 or 1901.90; heading 2105; or subheading 2106.90,
2202.90 or 2309.90;
(3) A non-originating material provided for in heading 0805, HTSUS,
or subheadings 2009.11 through 2009.39, HTSUS, that is used in the
production of a good provided for in subheadings 2009.11 through
2009.39, HTSUS, or in subheading 2106.90 or 2202.90, HTSUS;
(4) A non-originating material provided for in Chapter 15, HTSUS,
that is
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used in the production of a good provided for in headings 1501 through
1508, 1512, 1514 or 1515, HTSUS;
(5) A non-originating material provided for in heading 1701, HTSUS,
that is used in the production of a good provided for in headings 1701
through 1703, HTSUS;
(6) A non-originating material provided for in Chapter 17, HTSUS, or
heading 1805, HTSUS, that is used in the production of a good provided
for in subheading 1806.10, HTSUS;
(7) A non-originating material provided for in headings 2203 through
2208, HTSUS, that is used in the production of a good provided for in
heading 2207 or 2208, HTSUS; and
(8) A non-originating material used in the production of a good
provided for in Chapters 1 through 21, HTSUS, unless the non-originating
material is provided for in a different subheading than the good for
which origin is being determined.
(c) A textile or apparel good provided for in Chapters 50 through
63, HTSUS, that is not an originating good because certain fibers or
yarns used in the production of the component of the good that
determines the tariff classification of the good do not undergo an
applicable change in tariff classification set out in General Note
25(o), HTSUS, will nevertheless be considered to be an originating good
if the total weight of all such fibers or yarns in that component is not
more than 7 percent of the total weight of that component.
Notwithstanding the preceding sentence, a textile or apparel good
containing elastomeric yarns in the component of the good that
determines the tariff classification of the good will be considered an
originating good only if such yarns are wholly formed in the territory
of a Party.
Sec. 10.534 Accumulation.
(a) Originating materials of Singapore or the United States that are
used in the production of a good in the territory of the other party
will be considered to originate in the territory of the other party.
(b) A good that is produced in the territory of one or both of the
Parties by one or more producers, will be considered an originating good
if the good satisfies:
(1) The applicable requirements of Sec. 10.531 of this subpart and
General Note 25, HTSUS; or
(2) The provisions of Sec. 10.532 of this subpart.
Sec. 10.535 Regional value content.
(a) General. Where General Note 25(o), HTSUS, sets forth a rule that
specifies a regional value content test for a good, the regional value
content of such good must be calculated, at the choice of the person
claiming the preferential tariff treatment for such good, on the basis
of the build-down method or the build-up method described in paragraphs
(b) and (c) of this section, unless otherwise specified in General Note
25(o), HTSUS.
(b) Build-down method. Under the build-down method, the regional
value content must be calculated on the basis of the formula RVC = ((AV
-VNM)/AV) x 100, where RVC is the regional value content, expressed as a
percentage; AV is the adjusted value; and VNM is the value of non-
originating materials that are acquired and used by the producer in the
production of the good.
(c) Build-up method. Under the build-up method, the regional value
content must be calculated on the basis of the formula RVC = (VOM /AV) x
100, where RVC is the regional value content, expressed as a percentage;
AV is the adjusted value; and VOM is the value of originating materials
that are acquired or self-produced and used by the producer in the
production of the good.
Sec. 10.536 Value of materials.
(a) Calculating the value of materials. Except as provided in
Sec. 10.541, for purposes of calculating the regional value content of a
good under General Note 25(o), HTSUS, and for purposes of applying the
de minimis (see Sec. 10.533 of this subpart) provisions of General Note
25(o), HTSUS, the value of a material is:
(1) In the case of a material imported by the producer of the good,
the adjusted value of the material;
(2) In the case of a material acquired by the producer in the
territory where
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the good is produced, except for a material to which paragraph (a)(3) of
this section applies, the adjusted value of the material with reasonable
modifications to the provisions of the Customs Valuation Agreement so as
to permit their application to the domestic acquisition by the producer.
Such reasonable modifications include, but are not limited to, treating
a domestic purchase by the producer as if it were a sale for export to
the country of importation; or
Example 1. The producer in Singapore purchases material x from an
unrelated seller in Singapore for $100. Under the provisions of Article
1 of the Customs Valuation Agreement, transaction value is the price
actually paid or payable for the goods when sold for export to the
country of importation adjusted in accordance with the provisions of
Article 8. In order to apply Article 1 to this domestic purchase by the
producer, such purchase is treated as if it were a sale for export to
the country of importation. Therefore, for purposes of determining the
adjusted value of material x, Article 1 transaction value is the price
actually paid or payable for the goods when sold to the producer in
Singapore ($100), adjusted in accordance with the provisions of Article
8. In this example, it is irrelevant whether material x was initially
imported into Singapore by the seller (or by anyone else). So long as
the producer acquired material x in Singapore, it is intended that the
value of material x will be determined on the basis of the price
actually paid or payable by the producer adjusted in accordance with the
provisions of Article 8.
Example 2. Same facts as in Example 1, except the sale between the
seller and the producer is subject to certain restrictions that preclude
the application of Article 1. Under Article 2 of the Customs Valuation
Agreement, the value is the transaction value of identical goods sold
for export to the same country of importation and exported at or about
the same time as the goods being valued. In order to permit the
application of Article 2 to the domestic acquisition by the producer, it
should be modified so that the value is the transaction value of
identical goods sold within Singapore at or about the same time the
goods were sold to the producer in Singapore. Thus, if the seller of
material x also sold an identical material to another buyer in Singapore
without restrictions, that other sale would be used to determine the
adjusted value of material x.
(3) In the case of a self-produced material, or in a case in which
the relationship between the producer of the good and the seller of the
material influenced the price actually paid or payable for the material,
including a material obtained without charge, the sum of:
(i) All expenses incurred in the production of the material,
including general expenses; and
(ii) A reasonable amount for profit.
(b) Permissible additions to, and deductions from, the value of
materials--(1) Additions to originating materials. For originating
materials, the following expenses, if not included under paragraph (a)
of this section, may be added to the value of the originating material:
(i) The costs of freight, insurance, packing, and all other costs
incurred in transporting the material to the location of the producer;
(ii) Duties, taxes, and customs brokerage fees on the material paid
in the territory of one or both of the Parties, other than duties and
taxes that are waived, refunded, refundable or otherwise recoverable,
including credit against duty or tax paid or payable; and
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or by-product; and
(2) Deductions from non-originating materials. For non-originating
materials, if included under paragraph (a) of this section, the
following expenses may be deducted from the value of the non-originating
material:
(i) The costs of freight, insurance, packing, and all other costs
incurred in transporting the material to the location of the producer;
(ii) Duties, taxes, and customs brokerage fees on the material paid
in one or both of the Parties, other than duties and taxes that are
waived, refunded, refundable or otherwise recoverable, including credit
against duty or tax paid or payable;
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or by-products;
(iv) The cost of processing incurred in the territory of Singapore
or the United States in the production of the non-originating material;
and
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(v) The cost of originating materials used in the production of the
non-originating material in the territory of Singapore or the United
States.
(c) Accounting method. Any cost or value referenced in General Note
25, HTSUS and this subpart, must be recorded and maintained in
accordance with the Generally Accepted Accounting Principles applicable
in the territory of the country in which the good is produced (whether
Singapore or the United States).
Sec. 10.537 Accessories, spare parts, or tools.
Accessories, spare parts, or tools that are delivered with a good
and that form part of the good's standard accessories, spare parts, or
tools will be treated as originating goods if the good is an originating
good, and will be disregarded in determining whether all the non-
originating materials used in the production of the good undergo an
applicable change in tariff classification specified in General Note
25(o), HTSUS, provided that:
(a) The accessories, spare parts, or tools are not invoiced
separately from the good;
(b) The quantities and value of the accessories, spare parts, or
tools are customary for the good; and
(c) If the good is subject to a regional value content requirement,
the value of the accessories, spare parts, or tools will be taken into
account as originating or non-originating materials, as the case may be,
in calculating the regional value content of the good under Sec. 10.535
of this subpart.
Sec. 10.538 Fungible goods and materials.
(a) A person claiming preferential treatment under the SFTA for a
good may claim that a fungible good or material is originating either
based on the physical segregation of each fungible good or material or
by using an inventory management method. For purposes of this subpart,
the term ``inventory management method'' means:
(1) Averaging;
(2) ``Last-in, first-out;''
(3) ``First-in, first-out;'' or
(4) Any other method that is recognized in the Generally Accepted
Accounting Principles of the Party in which the production is performed
or otherwise accepted by that country.
(b) A person selecting an inventory management method under
paragraph (a) of this section for particular fungible goods or materials
must continue to use that method for those fungible goods or materials
throughout the fiscal year of that person.
Sec. 10.539 Retail packaging materials and containers.
Packaging materials and containers in which a good is packaged for
retail sale, if classified with the good for which preferential
treatment under the SFTA is claimed, will be disregarded in determining
whether all non-originating materials used in the production of the good
undergo the applicable change in tariff classification set out in
General Note 25(o), HTSUS. If the good is subject to a regional value
content requirement, the value of such packaging materials and
containers will be taken into account as originating or non-originating
materials, as the case may be, in calculating the regional value content
of the good.
Example 1. Singaporean Producer A of good C imports 100 non-
originating blister packages to be used as retail packaging for good C.
As provided in Sec. 10.536(a)(1) of this subpart, the value of the
blister packages is their adjusted value, which in this case is $10.
Good C has a regional value content requirement. The United States
importer of good C decides to use the build-down method, RVC=((AV-VNM)/
AV) x 100 (see Sec. 10.535(b) of this subpart), in determining whether
good C satisfies the regional value content requirement. In applying
this method, the non-originating blister packages are taken into account
as non-originating. As such, their $10 adjusted value is included in the
VNM, value of non-originating materials, of good C.
Example 2. Same facts as in Example 1, but the blister packages are
originating. In this case, the adjusted value of the originating blister
packages would not be included as part of the VNM of good C under the
build-down method. However, if the U.S. importer had used the build-up
method, RVC=(VOM/AV) x 100 (see Sec. 10.535(c) of this subpart), the
adjusted value of the blister packaging would be included as part of the
VOM, value of originating material.
Sec. 10.540 Packing materials and containers for shipment.
(a) Packing materials and containers for shipment, as defined in
Sec. 10.530(j) of
[[Page 273]]
this subpart, are to be disregarded in determining whether the non-
originating materials used in the production of the good undergo an
applicable change in tariff classification set out in General Note
25(o), HTSUS. Accordingly, such materials and containers are not
required to undergo the applicable change in tariff classification even
if they are non-originating.
(b) Packing materials and containers for shipment, as defined in
Sec. 10.530(j) of this subpart, are to be disregarded in determining the
regional value content of a good imported into the United States.
Accordingly, in applying either the build-down or build-up method for
determining the regional value content of the good imported into the
United States, the value of such packing materials and containers for
shipment (whether originating or non-originating) is disregarded and not
included in AV, adjusted value, VNM, value of non-originating materials,
or VOM, value of originating materials.
Example. Singaporean Producer A produces good C. Producer A ships
good C to the U.S. in a shipping container which it purchased from
Company B in Singapore. The shipping container is originating. The value
of the shipping container determined under section Sec. 10.536(a)(2) of
this subpart is $3. Good C is subject to a regional value content
requirement. The transaction value of good C is $100, which includes the
$3 shipping container. The United States importer decides to use the
build-up method, RVC=(VOM/AV) x 100 (see Sec. 10.535(c) of this
subpart), in determining whether good C satisfies the regional value
content requirement. In determining the AV, adjusted value, of good C
imported into the U.S., paragraph (b) of this section requires a $3
deduction for the value of the shipping container. Therefore, the AV is
$97 ($100-$3). In addition, the value of the shipping container is
disregarded and not included in the VOM, value of originating materials.
Sec. 10.541 Indirect materials.
An indirect material, as defined in Sec. 10.502(j) of this subpart,
will be considered to be an originating material without regard to where
it is produced, and its value will be the cost registered in the
accounting records of the producer of the good.
Example. Singaporean Producer C produces good C using non-
originating material A. Producer C imports non-originating rubber gloves
for use by workers in the production of good C. Good C is subject to a
tariff shift requirement. As provided in Sec. 10.531(b)(1) of this
subpart and General Note 25(o), each of the non-originating materials in
good C must undergo the specified change in tariff classification in
order for good C to be considered originating. Although non-originating
material A must undergo the applicable tariff shift in order for good C
to be considered originating, the rubber gloves do not because they are
indirect materials and are considered originating without regard to
where they are produced.
Sec. 10.542 Third country transportation.
(a) General. A good will not be considered an originating good by
reason of having undergone production that would enable the good to
qualify as an originating good if subsequent to that production the good
undergoes further production or any other operation outside the
territories of the Parties, other than unloading, reloading, or any
other process necessary to preserve the good in good condition or to
transport the good to the territory of a Party.
(b) Documentary evidence. An importer making a claim that a good is
originating may be required to demonstrate, to CBP's satisfaction, that
no further production or subsequent operation, other than permitted
under paragraph (a) of this section, occurred outside the territories of
the Parties. An importer may demonstrate compliance with this section by
submitting documentary evidence. Such evidence may include, but is not
limited to, bills of lading, airway bills, packing lists, commercial
invoices, receiving and inventory records, and customs entry and exit
documents.
Sec. 10.543 Certain apparel goods made from fabric or yarn not
available in commercial quantities.
Notwithstanding the provisions of Sec. 10.531 of this subpart, a
textile apparel article of Chapter 61 or 62, HTSUS, will be considered
an originating good under the SFTA if it is both cut (or knit to shape)
and sewn or otherwise assembled in one or both of the Parties from
fabric or yarn, regardless of origin, designated by the Committee for
the Implementation of Textile Agreements (``CITA'') as not available in
commercial quantities in a timely
[[Page 274]]
manner in the United States. Such designations by CITA, identifying
apparel goods made from such fabric or yarn as eligible for entry under
subheading 9819.11.24 or 9820.11.27, HTSUS, must have been made by
notices published in the Federal Register no later than November 15,
2002. \1\ For purposes of this section, any reference in these notices
to fabric or yarn formed in the United States will be interpreted as
also including fabric or yarn formed in Singapore.
---------------------------------------------------------------------------
\1\ These designations are set forth in notices published in the
Federal Register on September 25, 2001 (66 FR 49005), November 19, 2001
(66 FR 57942), April 10, 2002 (67 FR 17412), May 28, 2002 (67 FR 36858),
and September 5, 2002 (67 FR 56806).
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Origin Verifications and Determinations
Sec. 10.550 Verification and justification of claim for preferential
treatment.
(a) Verification. A claim for preferential treatment made under
Sec. 10.510(a) of this subpart, including any statements or other
information submitted to CBP in support of the claim, will be subject to
such verification as the port director deems necessary. In the event
that the port director is provided with insufficient information to
verify or substantiate the claim, the port director may deny the claim
for preferential treatment. A verification of a claim for preferential
tariff treatment may be conducted by means of one or more of the
following:
(1) Requests for information from the importer;
(2) Written requests for information to the exporter or producer;
(3) Requests for the importer to arrange for the exporter or
producer to provide information directly to CBP;
(4) Visits to the premises of the exporter or producer in Singapore,
in accordance with procedures that the Parties adopt pertaining to
verification; and
(5) Such other procedures as the Parties may agree.
(b) Applicable accounting principles. When conducting a verification
of origin to which Generally Accepted Accounting Principles may be
relevant, CBP will apply and accept the Generally Accepted Accounting
Principles applicable in the country of production.
Sec. 10.551 Issuance of negative origin determinations.
If, as a result of an origin verification initiated under
Sec. 10.550 of this subpart, CBP denies a claim for preferential
treatment made under Sec. 10.510(a) of this subpart, it will issue a
determination in writing or via an authorized electronic data
interchange system to the importer that sets forth the following:
(a) A description of the good that was the subject of the
verification together with the identifying numbers and dates of the
import documents pertaining to the good;
(b) A statement setting forth the findings of fact made in
connection with the verification and upon which the determination is
based; and
(c) With specific reference to the rules applicable to originating
goods as set forth in General Note 25, HTSUS, and in Sec. Sec. 10.530
through 10.543 of this subpart, the legal basis for the determination.
Sec. 10.552 Information sharing by CBP regarding textile and apparel
goods produced in the United States.
(a) Documents or information in the possession of U.S. enterprises.
Upon written request from the Government of Singapore containing a brief
statement of the matter at issue and the cooperation requested, CBP will
promptly request from a U.S. enterprise and provide to the Government of
Singapore, to the extent available, all correspondence, reports, bills
of lading, invoices, order confirmations, and other documents or
information relevant to circumvention that the Government of Singapore
considers may have taken place.
(b) Circumvention defined. For purposes of this section and
Sec. 10.554 of this subpart, ``circumvention'' means providing a false
claim or false information for the purpose of, or with the effect of,
violating or evading existing customs, country of origin labeling, or
trade laws of the Party into which the textile or apparel goods are
imported, if such action results in the avoidance
[[Page 275]]
of tariffs, quotas, embargoes, prohibitions, restrictions, trade
remedies, including antidumping or countervailing duties, or safeguard
measures, or in obtaining preferential tariff treatment. Examples of
circumvention include: Illegal transshipment; rerouting; fraud; false
claims concerning country of origin, fiber content, quantities,
description, or classification; falsification of documents; and
smuggling.
Sec. 10.553 Textile and apparel site visits.
(a) Visits to enterprises of Singapore. U.S. officials may undertake
to conduct site visits to enterprises in the territory of Singapore.
U.S. officials will conduct such visits together with responsible
officials of the Government of Singapore and in accordance with the laws
of Singapore.
(b) Denial of permission to visit. If the responsible officials of
an enterprise of Singapore that is proposed to be visited do not consent
to the site visit, CBP will, if directed by The Committee for the
Implementation of Textile Agreements (CITA), exclude from the territory
of the United States textile or apparel goods produced or exported by
the enterprise until CITA determines that the enterprise's production
of, and capability to produce, such goods is consistent with statements
by the enterprise that textile or apparel goods it produces or has
produced are originating goods or products of Singapore.
Sec. 10.554 Exclusion of textile or apparel goods for intentional
circumvention.
(a) General. If CITA finds that an enterprise of Singapore has
knowingly or willfully engaged in circumvention, CBP will, if directed
by CITA, exclude from the customs territory of the United States textile
or apparel goods produced or exported by that enterprise for a period no
longer than the applicable period described in paragraph (b) of this
section.
(b) Time periods. An exclusion from entry imposed under paragraph
(a) of this section will begin on the date a finding of knowing or
willful circumvention is made by CITA and will remain in effect for the
following applicable time period:
(1) With respect to a first finding, the applicable period is six
months;
(2) With respect to a second finding, the applicable period is two
years; or
(3) With respect to a third or subsequent finding, the applicable
period is two years. If, at the time of a third or subsequent finding,
an exclusion of goods with respect to an enterprise is in effect as a
result of a previous finding, the two-year period applicable to the
third or subsequent finding will begin on the day after the day on which
the previous exclusion period terminates.
Penalties
Sec. 10.560 General.
Except as otherwise provided in this subpart, all criminal, civil or
administrative penalties which may be imposed on U.S. importers for
violations of the customs and related laws and regulations will also
apply to U.S. importers for violations of the laws and regulations
relating to the SFTA.
Sec. 10.561 Corrected claim or supporting statement.
An importer who makes a corrected claim under Sec. 10.510(b) will
not be subject to civil or administrative penalties under 19 U.S.C. 1592
for having made an incorrect claim or supporting statement, provided
that the corrected claim is promptly and voluntarily made.
Sec. 10.562 Framework for correcting claims or supporting statements.
(a) ``Promptly and voluntarily'' defined. Except as provided for in
paragraph (b) of this section, for purposes of this subpart, the making
of a corrected claim or supporting statement will be deemed to have been
done promptly and voluntarily if:
(1)(i) Done within one year following the date on which the importer
made the incorrect claim; or
(ii) Done later than one year following the date on which the
importer made the incorrect claim, provided that the corrected claim is
made:
(A) Before the commencement of a formal investigation, within the
meaning of Sec. 162.74(g) of this chapter; or
[[Page 276]]
(B) Before any of the events specified in Sec. 162.74(i) of this
chapter has occurred; or
(C) Within 30 days after the importer initially becomes aware that
the incorrect claim is not valid; and
(2) Accompanied by a statement setting forth the information
specified in paragraph (c) of this section; and
(3) Accompanied or followed by a tender of any actual loss of duties
and merchandise processing fees, if applicable, in accordance with
paragraph (e) of this section.
(b) Exception in cases involving fraud or subsequent incorrect
claims--(1) Fraud. An importer who acted fraudulently in making an
incorrect claim may not make a voluntary correction of that claim. For
purposes of this paragraph, the term ``fraud'' will have the meaning set
forth in paragraph (C)(3) of appendix B to part 171 of this chapter.
(2) Subsequent incorrect claims. An importer who makes one or more
incorrect claims after becoming aware that a claim involving the same
merchandise and circumstances is invalid may not make a voluntary
correction of the subsequent claims pursuant to paragraph (a)(1)(ii)(C)
of this section.
(c) Statement. For purposes of this subpart, each corrected claim
must be accompanied by a statement, submitted in writing or via an
authorized electronic data interchange system, which:
(1) Identifies the class or kind of good to which the incorrect
claim relates;
(2) Identifies each affected import transaction, including each port
of importation and the approximate date of each importation.
(3) Specifies the nature of the incorrect statements or omissions
regarding the claim; and
(4) Sets forth, to the best of the person's knowledge, the true and
accurate information or data which should have been covered by or
provided in the claim, and states that the person will provide any
additional information or data which is unknown at the time of making
the corrected claim within 30 days or within any extension of that 30-
day period as CBP may permit in order for the person to obtain the
information or data.
(d) Substantial compliance. For purposes of this section, a person
will be deemed to have submitted the statement described in paragraph
(c) of this section even though that person provided corrected
information in a manner which does not conform to the requirements of
the statement specified in paragraph (c) of this section, provided that
the information submitted includes, orally or otherwise, substantially
the same information as that specified in paragraph (c) of this section.
(e) Tender of actual loss of duties. A U.S. importer who makes a
corrected claim must tender any actual loss of duties at the time of
making the corrected claim, or within 30 days thereafter, or within any
extension of that 30-day period as CBP may allow in order for the
importer to obtain the information or data necessary to calculate the
duties owed.
(f) Applicability of prior disclosure provisions. Where a person
fails to meet the requirements of this section, that person may
nevertheless qualify for prior disclosure treatment under 19 U.S.C.
1592(c)(4) and 162.74 of this chapter.
Goods Returned After Repair or Alteration
Sec. 10.570 Goods re-entered after repair or alteration in Singapore.
(a) General. This section sets forth the rules which apply for
purposes of obtaining duty-free treatment on goods returned after repair
or alteration in Singapore as provided for in subheadings 9802.00.40 and
9802.00.50, HTSUS. Goods returned after having been repaired or altered
in Singapore, whether or not pursuant to a warranty, are eligible for
duty-free treatment, provided that the requirements of this section are
met. For purposes of this section, ``repairs or alterations'' means
restoration, addition, renovation, re-dyeing, cleaning, re-sterilizing,
or other treatment which does not destroy the essential characteristics
of, or create a new or commercially different good from, the good
exported from the United States.
(b) Goods not eligible for duty-free treatment after repair or
alteration. The
[[Page 277]]
duty-free treatment referred to in paragraph (a) of this section will
not apply to goods which, in their condition as exported from the United
States to Singapore, are incomplete for their intended use and for which
the processing operation performed in Singapore constitutes an operation
that is performed as a matter of course in the preparation or
manufacture of finished goods.
(c) Documentation. The provisions of paragraphs (a), (b), and (c) of
Sec. 10.8 of this part, relating to the documentary requirements for
goods entered under subheading 9802.00.40 or 9802.00.50, HTSUS, will
apply in connection with the entry of goods which are returned from
Singapore after having been exported for repairs or alterations and
which are claimed to be duty free.
Subpart J_Dominican Republic_Central America_United States Free Trade
Agreement
Source: CBP Dec. 08-22, 73 FR 33678, June 13, 2008, unless otherwise
noted.
General Provisions
Sec. 10.581 Scope.
This subpart implements the duty preference and related customs
provisions applicable to imported and exported goods under the Dominican
Republic--Central America--United States Free Trade Agreement (the
CAFTA-DR) signed on August 5, 2004, and under the Dominican Republic--
Central America--United States Free Trade Agreement Implementation Act
(the Act; Pub. L. 109-53, 119 Stat. 462 (19 U.S.C. 4001 et seq.), as
amended by section 1634 of the Pension Protection Act of 2006 (Pub. L.
109-280, 120 Stat. 1167). Except as otherwise specified in this subpart,
the procedures and other requirements set forth in this subpart are in
addition to the customs procedures and requirements of general
application contained elsewhere in this chapter. Additional provisions
implementing certain aspects of the CAFTA-DR and the Act are contained
in parts 24, 162, and 163 of this chapter.
Sec. 10.582 General definitions.
As used in this subpart, the following terms will have the meanings
indicated unless either the context in which they are used requires a
different meaning or a different definition is prescribed for a
particular section of this subpart:
(a) Claim for preferential tariff treatment. ``Claim for
preferential tariff treatment'' means a claim that a good is entitled to
the duty rate applicable under the CAFTA-DR to an originating good or
other good specified in the CAFTA-DR, and to an exemption from the
merchandise processing fee;
(b) Claim of origin. ``Claim of origin'' means a claim that a
textile or apparel good is an originating good or a good of a Party;
(c) Customs authority. ``Customs authority'' means the competent
governmental unit that is responsible under the law of a Party for the
administration of customs laws and regulations;
(d) Customs duty. ``Customs duty'' includes any customs or import
duty and a charge of any kind imposed in connection with the importation
of a good, including any form of surtax or surcharge in connection with
such importation, but, for purposes of implementing the CAFTA-DR, does
not include any:
(1) Charge equivalent to an internal tax imposed consistently with
Article III:2 of GATT 1994 in respect of like, directly competitive, or
substitutable goods of the Party, or in respect of goods from which the
imported good has been manufactured or produced in whole or in part;
(2) Antidumping or countervailing duty that is applied pursuant to a
Party's domestic law; or
(3) Fee or other charge in connection with importation commensurate
with the cost of services rendered;
(e) Customs Valuation Agreement. ``Customs Valuation Agreement''
means the Agreement on Implementation of Article VII of the General
Agreement on Tariffs and Trade 1994, which is part of the WTO Agreement;
(f) Days. ``Days'' means calendar days;
(g) Enterprise. ``Enterprise'' means any entity constituted or
organized under applicable law, whether or not for profit, and whether
privately owned
[[Page 278]]
or governmentally owned, including any corporation, trust, partnership,
sole proprietorship, joint venture, or other association;
(h) GATT 1994. ``GATT 1994'' means the General Agreement on Tariffs
and Trade 1994, which is part of the WTO Agreement;
(i) Harmonized System. ``Harmonized System'' means the Harmonized
Commodity Description and Coding System, including its General Rules of
Interpretation, Section Notes, and Chapter Notes, as adopted and
implemented by the Parties in their respective tariff laws;
(j) Heading. ``Heading'' means the first four digits in the tariff
classification number under the Harmonized System;
(k) HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the
United States as promulgated by the U.S. International Trade Commission;
(l) Identical goods. ``Identical goods'' means goods that are
produced in the same country and are the same in all respects, including
physical characteristics, quality, and reputation, but excluding minor
differences in appearance.
(m) Indirect material. ``Indirect material'' means a good used in
the production, testing, or inspection of a good in the territory of one
or more of the Parties but not physically incorporated into the good, or
a good used in the maintenance of buildings or the operation of
equipment associated with the production of a good in the territory of
one or more of the Parties, including:
(1) Fuel and energy;
(2) Tools, dies, and molds;
(3) Spare parts and materials used in the maintenance of equipment
or buildings;
(4) Lubricants, greases, compounding materials, and other materials
used in production or used to operate equipment or buildings;
(5) Gloves, glasses, footwear, clothing, safety equipment, and
supplies;
(6) Equipment, devices, and supplies used for testing or inspecting
the good;
(7) Catalysts and solvents; and
(8) Any other goods that are not incorporated into the good but the
use of which in the production of the good can reasonably be
demonstrated to be a part of that production;
(n) Originating. ``Originating'' means qualifying for preferential
tariff treatment under the rules of origin set out in CAFTA-DR Chapter
Four (Rules of Origin and Origin Procedures) and General Note 29, HTSUS;
(o) Party. ``Party'' means:
(1) The United States; and
(2) Costa Rica, the Dominican Republic, El Salvador, Guatemala,
Honduras, or Nicaragua, for such time as the CAFTA-DR is in force
between the United States and that country;
(p) Person. ``Person'' means a natural person or an enterprise;
(q) Preferential tariff treatment. ``Preferential tariff treatment''
means the duty rate applicable under the CAFTA-DR to an originating good
or other good specified in the CAFTA-DR, and an exemption from the
merchandise processing fee;
(r) Subheading. ``Subheading'' means the first six digits in the
tariff classification number under the Harmonized System;
(s) Tariff preference level. ``Tariff preference level'' means a
quantitative limit for certain non-originating apparel goods that may be
entitled to preferential tariff treatment based on the goods meeting the
requirements set forth in Sec. Sec. 10.606 through 10.610 of this
subpart.
(t) Textile or apparel good. ``Textile or apparel good'' means a
good listed in the Annex to the Agreement on Textiles and Clothing
(commonly referred to as ``the ATC''), which is part of the WTO
Agreement, except for those goods listed in Annex 3.29 of the CAFTA-DR;
(u) Territory. ``Territory'' means:
(1) With respect to each Party other than the United States, the
land, maritime, and air space under its sovereignty and the exclusive
economic zone and the continental shelf within which it exercises
sovereign rights and jurisdiction in accordance with international law
and its domestic law;
(2) With respect to the United States:
(i) The customs territory of the United States, which includes the
50 states, the District of Columbia, and Puerto Rico;
[[Page 279]]
(ii) The foreign trade zones located in the United States and Puerto
Rico; and
(iii) Any areas beyond the territorial seas of the United States
within which, in accordance with international law and its domestic law,
the United States may exercise rights with respect to the seabed and
subsoil and their natural resources;
(v) WTO. ``WTO'' means the World Trade Organization; and
(w) WTO Agreement. ``WTO Agreement'' means the Marrakesh Agreement
Establishing the World Trade Organization of April 15, 1994.
[CBP Dec. 08-22, 73 FR 33678, June 13, 2008, as amended by CBP Dec. 10-
26, 75 FR 50698, Aug. 17, 2010]
Import Requirements
Sec. 10.583 Filing of claim for preferential tariff treatment upon
importation.
(a) Basis of claim. An importer may make a claim for CAFTA-DR
preferential tariff treatment, including an exemption from the
merchandise processing fee, based on:
(1) A certification, as specified in Sec. 10.584 of this subpart,
that is prepared by the importer, exporter, or producer of the good; or
(2) The importer's knowledge that the good qualifies as an
originating good, including reasonable reliance on information in the
importer's possession that the good is an originating good.
(b) Making a claim. The claim is made by including on the entry
summary, or equivalent documentation, the letter ``P'' or ``P+'' as a
prefix to the subheading of the HTSUS under which each qualifying good
is classified, or by the method specified for equivalent reporting via
an authorized electronic data interchange system.
(c) Corrected claim. If, after making the claim specified in
paragraph (b) of this section, the importer has reason to believe that
the claim is based on inaccurate information or is otherwise invalid,
the importer must, within 30 calendar days after the date of discovery
of the error, correct the claim and pay any duties that may be due. The
importer must submit a statement either in writing or via an authorized
electronic data interchange system to the CBP office where the original
claim was filed specifying the correction (see Sec. Sec. 10.621 and
10.623 of this subpart).
[CBP Dec. 08-22, 73 FR 33678, June 13, 2008, as amended by CBP Dec. 10-
26, 75 FR 50699, Aug. 17, 2010]
Sec. 10.584 Certification.
(a) General. An importer who makes a claim under Sec. 10.583(b) of
this subpart based on a certification of the importer, exporter, or
producer that the good qualifies as originating must submit, at the
request of the port director, a copy of the certification. The
certification:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must be in the possession of the importer at the time the claim
for preferential tariff treatment is made if the certification forms the
basis for the claim;
(3) Must include the following information:
(i) The legal name, address, telephone, and e-mail address (if any)
of the importer of record of the good, the exporter of the good (if
different from the producer), and the producer of the good;
(ii) The legal name, address, telephone, and e-mail address (if any)
of the responsible official or authorized agent of the importer,
exporter, or producer signing the certification (if different from the
information required by paragraph (a)(3)(i) of this section);
(iii) A description of the good for which preferential tariff
treatment is claimed, which must be sufficiently detailed to relate it
to the invoice and the HS nomenclature;
(iv) The HTSUS tariff classification, to six or more digits, as
necessary for the specific change in tariff classification rule for the
good set forth in General Note 29(n), HTSUS; and
(v) The applicable rule of origin set forth in General Note 29,
HTSUS, under which the good qualifies as an originating good; and
(4) Must include a statement, in substantially the following form:
``I certify that:
[[Page 280]]
The information on this document is true and accurate and I assume
the responsibility for proving such representations. I understand that I
am liable for any false statements or material omissions made on or in
connection with this document;
I agree to maintain and present upon request, documentation
necessary to support these representations;
The goods originated or are considered to have originated in the
territory of one or more of the Parties, and comply with the origin
requirements specified for those goods in the Dominican Republic--
Central America--United States Free Trade Agreement; there has been no
further production or any other operation outside the territories of the
Parties, other than unloading, reloading, or any other operation
necessary to preserve the goods in good condition or to transport the
goods to the United States; the goods remained under the control of
customs authorities while in the territory of a non-Party; and
This document consists of ---- pages, including all attachments.''
(b) Responsible official or agent. The certification provided for in
paragraph (a) of this section must be signed and dated by a responsible
official of the importer, exporter, or producer, or by the importer's,
exporter's, or producer's authorized agent having knowledge of the
relevant facts.
(c) Language. The certification provided for in paragraph (a) of
this section must be completed in either the English language or the
language of the exporting Party. In the latter case, the port director
may require the importer to submit an English translation of the
certification.
(d) Certification by the exporter or producer. A certification may
be prepared by the exporter or producer of the good on the basis of:
(1) The exporter's or producer's knowledge that the good is
originating; or
(2) In the case of an exporter, reasonable reliance on the
producer's certification that the good is originating.
(e) Applicability of certification. The certification provided for
in paragraph (a) of this section may be applicable to:
(1) A single shipment of a good into the United States; or
(2) Multiple shipments of identical goods into the United States
that occur within a specified blanket period, not exceeding 12 months,
set out in the certification.
(f) Validity of certification. A certification that is properly
completed, signed, and dated in accordance with the requirements of this
section will be accepted as valid for four years following the date on
which it was signed.
Sec. 10.585 Importer obligations.
(a) General. An importer who makes a claim for preferential tariff
treatment under Sec. 10.583(b) of this subpart:
(1) Will be deemed to have certified that the good is eligible for
preferential tariff treatment under the CAFTA-DR;
(2) Is responsible for the truthfulness of the claim and of all the
information and data contained in the certification provided for in
Sec. 10.584 of this subpart;
(3) Is responsible for submitting any supporting documents requested
by CBP, and for the truthfulness of the information contained in those
documents. When a certification prepared by an exporter or producer
forms the basis of a claim for preferential tariff treatment, and CBP
requests the submission of supporting documents, the importer will
provide to CBP, or arrange for the direct submission by the exporter or
producer, all information relied on by the exporter or producer in
preparing the certification.
(b) Information provided by exporter or producer. The fact that the
importer has made a claim or submitted a certification based on
information provided by an exporter or producer will not relieve the
importer of the responsibility referred to in paragraph (a) of this
section.
(c) Exemption from penalties. An importer will not be subject to
civil or administrative penalties under 19 U.S.C. 1592 for making an
incorrect claim for preferential tariff treatment or submitting an
incorrect certification, provided that the importer promptly and
voluntarily corrects the claim or certification and pays any duty owing
(see Sec. Sec. 10.621 and 10.623 of this subpart).
Sec. 10.586 Certification not required.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an importer will not be required to submit a copy of a
certification under Sec. 10.584 of this subpart for:
[[Page 281]]
(1) A non-commercial importation of a good; or
(2) A commercial importation for which the value of the originating
goods does not exceed U.S. $2,500.
(b) Exception. If the port director determines that an importation
described in paragraph (a) of this section is part of a series of
importations carried out or planned for the purpose of evading
compliance with the certification requirements of Sec. 10.584 of this
subpart, the port director will notify the importer that for that
importation the importer must submit to CBP a copy of the certification.
The importer must submit such a copy within 30 days from the date of the
notice. Failure to timely submit a copy of the certification will result
in denial of the claim for preferential tariff treatment.
Sec. 10.587 Maintenance of records.
(a) General. An importer claiming preferential tariff treatment for
a good imported into the United States under Sec. 10.583(b) of this
subpart must maintain, for a minimum of five years after the date of
importation of the good, all records and documents that the importer has
demonstrating that the good qualifies for preferential tariff treatment
under the CAFTA-DR. These records are in addition to any other records
that the importer is required to prepare, maintain, or make available to
CBP under part 163 of this chapter.
(b) Method of maintenance. The records and documents referred to in
paragraph (a) of this section must be maintained by importers as
provided in Sec. 163.5 of this chapter.
Sec. 10.588 Effect of noncompliance; failure to provide documentation
regarding transshipment.
(a) General. If the importer fails to comply with any requirement
under this subpart, including submission of a complete certification
prepared in accordance with Sec. 10.584 of this subpart, when requested,
the port director may deny preferential tariff treatment to the imported
good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential tariff treatment to an originating good if the good is
shipped through or transshipped in a country other than a Party to the
CAFTA-DR, and the importer of the good does not provide, at the request
of the port director, evidence demonstrating to the satisfaction of the
port director that the conditions set forth in Sec. 10.604(a) of this
subpart were met.
Export Requirements
Sec. 10.589 Certification for goods exported to a Party.
(a) Submission of certification to CBP. Any person who completes and
issues a certification for a good exported from the United States to a
Party must provide a copy of the certification (or such other medium or
format approved by the Party's customs authority for that purpose) to
CBP upon request.
(b) Notification of errors in certification. Any person who
completes and issues a certification for a good exported from the United
States to a Party and who has reason to believe that the certification
contains or is based on incorrect information must promptly notify every
person to whom the certification was provided of any change that could
affect the accuracy or validity of the certification. Notification of an
incorrect certification must also be given either in writing or via an
authorized electronic data interchange system to CBP specifying the
correction (see Sec. Sec. 10.622 and 10.623 of this subpart).
(c) Maintenance of records--(1) General. Any person who completes
and issues a certification for a good exported from the United States to
a Party must maintain, for a period of at least five years after the
date the certification was signed, all records and supporting documents
relating to the origin of a good for which the certification was issued,
including the certification or copies thereof and records and documents
associated with:
(i) The purchase, cost, and value of, and payment for, the good;
(ii) The purchase, cost, and value of, and payment for, all
materials, including indirect materials, used in the production of the
good; and
[[Page 282]]
(iii) The production of the good in the form in which the good was
exported.
(2) Method of maintenance. The records referred to in paragraph (c)
of this section must be maintained as provided in Sec. 163.5 of this
chapter.
(3) Availability of records. For purposes of determining compliance
with the provisions of this part, the records required to be maintained
under this section must be stored and made available for examination and
inspection by the port director or other appropriate CBP officer in the
same manner as provided in part 163 of this chapter.
Post-Importation Duty Refund Claims
Sec. 10.590 Right to make post-importation claim and refund duties.
Notwithstanding any other available remedy, where a good would have
qualified as an originating good when it was imported into the United
States but no claim for preferential tariff treatment was made, the
importer of that good may file a claim for a refund of any excess duties
at any time within one year after the date of importation of the good in
accordance with the procedures set forth in Sec. 10.591 of this subpart.
Subject to the provisions of Sec. 10.588 of this subpart, CBP may refund
any excess duties by liquidation or reliquidation of the entry covering
the good in accordance with Sec. 10.592(c) of this subpart.
Sec. 10.591 Filing procedures.
(a) Place of filing. A post-importation claim for a refund must be
filed with the director of the port at which the entry covering the good
was filed.
(b) Contents of claim. A post-importation claim for a refund must be
filed by presentation of the following:
(1) A written declaration stating that the good qualified as an
originating good at the time of importation and setting forth the number
and date of the entry or entries covering the good;
(2) A copy of a certification prepared in accordance with
Sec. 10.584 of this subpart if a certification forms the basis for the
claim, or other information demonstrating that the good qualifies for
preferential tariff treatment;
(3) A written statement indicating whether the importer of the good
provided a copy of the entry summary or equivalent documentation to any
other person. If such documentation was so provided, the statement must
identify each recipient by name, CBP identification number, and address
and must specify the date on which the documentation was provided; and
(4) A written statement indicating whether or not any person has
filed a protest relating to the good under any provision of law; and if
any such protest has been filed, the statement must identify the protest
by number and date.
Sec. 10.592 CBP processing procedures.
(a) Status determination. After receipt of a post-importation claim
under Sec. 10.591 of this subpart, the port director will determine
whether the entry covering the good has been liquidated and, if
liquidation has taken place, whether the liquidation has become final.
(b) Pending protest or judicial review. If the port director
determines that any protest relating to the good has not been finally
decided, the port director will suspend action on the claim filed under
Sec. 10.591 of this subpart until the decision on the protest becomes
final. If a summons involving the tariff classification or dutiability
of the good is filed in the Court of International Trade, the port
director will suspend action on the claim filed under Sec. 10.591 of
this subpart until judicial review has been completed.
(c) Allowance of claim--(1) Unliquidated entry. If the port director
determines that a claim for a refund filed under Sec. 10.591 of this
subpart should be allowed and the entry covering the good has not been
liquidated, the port director will take into account the claim for
refund in connection with the liquidation of the entry.
(2) Liquidated entry. If the port director determines that a claim
for a refund filed under Sec. 10.591 of this subpart should be allowed
and the entry covering the good has been liquidated, whether or not the
liquidation has become final, the entry must be reliquidated in order to
effect a refund of duties under this section. If the entry
[[Page 283]]
is otherwise to be reliquidated based on administrative review of a
protest or as a result of judicial review, the port director will
reliquidate the entry taking into account the claim for refund under
Sec. 10.591 of this subpart.
(d) Denial of claim--(1) General. The port director may deny a claim
for a refund filed under Sec. 10.591 of this subpart if the claim was
not filed timely, if the importer has not complied with the requirements
of Sec. Sec. 10.588 and 10.591 of this subpart, or if, following an
origin verification under Sec. 10.616 of this subpart, the port director
determines either that the imported good did not qualify as an
originating good at the time of importation or that a basis exists upon
which preferential tariff treatment may be denied under Sec. 10.616 of
this subpart.
(2) Unliquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has not been liquidated, the port director will deny
the claim in connection with the liquidation of the entry, and notice of
the denial and the reason for the denial will be provided to the
importer in writing or via an authorized electronic data interchange
system.
(3) Liquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has been liquidated, whether or not the liquidation
has become final, the claim may be denied without reliquidation of the
entry. If the entry is otherwise to be reliquidated based on
administrative review of a protest or as a result of judicial review,
such reliquidation may include denial of the claim filed under this
subpart. In either case, the port director will provide notice of the
denial and the reason for the denial to the importer in writing or via
an authorized electronic data interchange system.
[CBP Dec. 08-22, 73 FR 33678, June 13, 2008, as amended by CBP Dec. 10-
26, 75 FR 50699, Aug. 17, 2010]
Rules of Origin
Sec. 10.593 Definitions.
For purposes of Sec. Sec. 10.593 through 10.605:
(a) Adjusted value. ``Adjusted value'' means the value determined in
accordance with Articles 1 through 8, Article 15, and the corresponding
interpretative notes of the Customs Valuation Agreement, adjusted, if
necessary, to exclude:
(1) Any costs, charges, or expenses incurred for transportation,
insurance and related services incident to the international shipment of
the good from the country of exportation to the place of importation;
and
(2) The value of packing materials and containers for shipment as
defined in paragraph (m) of this section;
(b) Class of motor vehicles. ``Class of motor vehicles'' means any
one of the following categories of motor vehicles:
(1) Motor vehicles provided for in subheading 8701.20, 8704.10,
8704.22, 8704.23, 8704.32, or 8704.90, or heading 8705 or 8706, HTSUS,
or motor vehicles for the transport of 16 or more persons provided for
in subheading 8702.10 or 8702.90, HTSUS;
(2) Motor vehicles provided for in subheading 8701.10 or any of
subheadings 8701.30 through 8701.90, HTSUS;
(3) Motor vehicles for the transport of 15 or fewer persons provided
for in subheading 8702.10 or 8702.90, HTSUS, or motor vehicles provided
for in subheading 8704.21 or 8704.31, HTSUS; or
(4) Motor vehicles provided for in subheadings 8703.21 through
8703.90, HTSUS;
(c) Exporter. ``Exporter'' means a person who exports goods from the
territory of a Party;
(d) Fungible good or material. ``Fungible good or material'' means a
good or material, as the case may be, that is interchangeable with
another good or material for commercial purposes and the properties of
which are essentially identical to such other good or material;
(e) Generally Accepted Accounting Principles. ``Generally Accepted
Accounting Principles'' means the recognized consensus or substantial
authoritative support in the territory of a Party, with respect to the
recording of revenues, expenses, costs, assets, and liabilities, the
disclosure of information, and the preparation of financial
[[Page 284]]
statements. These principles may encompass broad guidelines of general
application as well as detailed standards, practices, and procedures;
(f) Good. ``Good'' means any merchandise, product, article, or
material;
(g) Goods wholly obtained or produced entirely in the territory of
one or more of the Parties. ``Goods wholly obtained or produced entirely
in the territory of one or more of the Parties'' means:
(1) Plants and plant products harvested or gathered in the territory
of one or more of the Parties;
(2) Live animals born and raised in the territory of one or more of
the Parties;
(3) Goods obtained in the territory of one or more of the Parties
from live animals;
(4) Goods obtained from hunting, trapping, fishing, or aquaculture
conducted in the territory of one or more of the Parties;
(5) Minerals and other natural resources not included in paragraphs
(g)(1) through (g)(4) of this section that are extracted or taken in the
territory of one or more of the Parties;
(6) Fish, shellfish, and other marine life taken from the sea,
seabed, or subsoil outside the territory of one or more of the Parties
by vessels registered or recorded with a Party and flying its flag;
(7) Goods produced on board factory ships from the goods referred to
in paragraph (g)(6) of this section, if such factory ships are
registered or recorded with a Party and flying its flag;
(8) Goods taken by a Party or a person of a Party from the seabed or
subsoil outside territorial waters, if a Party has rights to exploit
such seabed or subsoil;
(9) Goods taken from outer space, provided they are obtained by a
Party or a person of a Party and not processed in the territory of a
non-Party;
(10) Waste and scrap derived from:
(i) Manufacturing or processing operations in the territory of one
or more of the Parties; or
(ii) Used goods collected in the territory of one or more of the
Parties, if such goods are fit only for the recovery of raw materials;
(11) Recovered goods derived in the territory of one or more of the
Parties from used goods, and used in the territory of a Party in the
production of remanufactured goods; and
(12) Goods produced in the territory of one or more of the Parties
exclusively from goods referred to in any of paragraphs (g)(1) through
(g)(10) of this section, or from the derivatives of such goods, at any
stage of production;
(h) Material. ``Material'' means a good that is used in the
production of another good, including a part or an ingredient;
(i) Model line. ``Model line'' means a group of motor vehicles
having the same platform or model name;
(j) Net cost. ``Net cost'' means total cost minus sales promotion,
marketing, and after-sales service costs, royalties, shipping and
packing costs, and non-allowable interest costs that are included in the
total cost;
(k) Non-allowable interest costs. ``Non-allowable interest costs''
means interest costs incurred by a producer that exceed 700 basis points
above the applicable official interest rates for comparable maturities
of the Party in which the producer is located;
(l) Non-originating good or non-originating material. ``Non-
originating good'' or ``non-originating material'' means a good or
material, as the case may be, that does not qualify as originating under
General Note 29, HTSUS, or this subpart;
(m) Packing materials and containers for shipment. ``Packing
materials and containers for shipment'' means the goods used to protect
a good during its transportation to the United States, and does not
include the packaging materials and containers in which a good is
packaged for retail sale;
(n) Producer. ``Producer'' means a person who engages in the
production of a good in the territory of a Party;
(o) Production. ``Production'' means growing, mining, harvesting,
fishing, raising, trapping, hunting, manufacturing, processing,
assembling, or disassembling a good;
(p) Reasonably allocate. ``Reasonably allocate'' means to apportion
in a manner that would be appropriate under Generally Accepted
Accounting Principles;
[[Page 285]]
(q) Recovered goods. ``Recovered goods'' means materials in the form
of individual parts that are the result of:
(1) The disassembly of used goods into individual parts; and
(2) The cleaning, inspecting, testing, or other processing that is
necessary to improve such individual parts to sound working condition;
(r) Remanufactured good. ``Remanufactured good'' means a good that
is classified in Chapter 84, 85, or 87, or heading 9026, 9031, or 9032,
HTSUS, other than a good classified in heading 8418 or 8516, HTSUS, and
that:
(1) Is entirely or partially comprised of recovered goods; and
(2) Has a similar life expectancy and enjoys a factory warranty
similar to a new good that is classified in one of the enumerated HTSUS
chapters or headings;
(s) Royalties. ``Royalties'' means payments of any kind, including
payments under technical assistance agreements or similar agreements,
made as consideration for the use of, or right to use, any copyright,
literary, artistic, or scientific work, patent, trademark, design,
model, plan, secret formula or process, excluding those payments under
technical assistance agreements or similar agreements that can be
related to specific services such as:
(1) Personnel training, without regard to where performed; and
(2) If performed in the territory of one or more of the Parties,
engineering, tooling, die-setting, software design and similar computer
services;
(t) Sales promotion, marketing, and after-sales service costs.
``Sales promotion, marketing, and after-sales service costs'' means the
following costs related to sales promotion, marketing, and after-sales
service:
(1) Sales and marketing promotion; media advertising; advertising
and market research; promotional and demonstration materials; exhibits;
sales conferences, trade shows and conventions; banners; marketing
displays; free samples; sales, marketing and after-sales service
literature (product brochures, catalogs, technical literature, price
lists, service manuals, sales aid information); establishment and
protection of logos and trademarks; sponsorships; wholesale and retail
restocking charges; entertainment;
(2) Sales and marketing incentives; consumer, retailer or wholesaler
rebates; merchandise incentives;
(3) Salaries and wages, sales commissions, bonuses, benefits (for
example, medical, insurance, pension), traveling and living expenses,
membership and professional fees, for sales promotion, marketing and
after-sales service personnel;
(4) Recruiting and training of sales promotion, marketing and after-
sales service personnel, and after-sales training of customers'
employees, where such costs are identified separately for sales
promotion, marketing and after-sales service of goods on the financial
statements or cost accounts of the producer;
(5) Product liability insurance;
(6) Office supplies for sales promotion, marketing and after-sales
service of goods, where such costs are identified separately for sales
promotion, marketing and after-sales service of goods on the financial
statements or cost accounts of the producer;
(7) Telephone, mail and other communications, where such costs are
identified separately for sales promotion, marketing and after-sales
service of goods on the financial statements or cost accounts of the
producer;
(8) Rent and depreciation of sales promotion, marketing and after-
sales service offices and distribution centers;
(9) Property insurance premiums, taxes, cost of utilities, and
repair and maintenance of sales promotion, marketing and after-sales
service offices and distribution centers, where such costs are
identified separately for sales promotion, marketing and after-sales
service of goods on the financial statements or cost accounts of the
producer; and
(10) Payments by the producer to other persons for warranty repairs;
(u) Self-produced material. ``Self-produced material'' means an
originating material that is produced by a producer of a good and used
in the production of that good;
(v) Shipping and packing costs. ``Shipping and packing costs'' means
the costs incurred in packing a good for shipment and shipping the good
from
[[Page 286]]
the point of direct shipment to the buyer, excluding the costs of
preparing and packaging the good for retail sale;
(w) Total cost. ``Total cost'' means all product costs, period
costs, and other costs for a good incurred in the territory of one or
more of the Parties. Product costs are costs that are associated with
the production of a good and include the value of materials, direct
labor costs, and direct overhead. Period costs are costs, other than
product costs, that are expensed in the period in which they are
incurred, such as selling expenses and general and administrative
expenses. Other costs are all costs recorded on the books of the
producer that are not product costs or period costs, such as interest.
Total cost does not include profits that are earned by the producer,
regardless of whether they are retained by the producer or paid out to
other persons as dividends, or taxes paid on those profits, including
capital gains taxes;
(x) Used. ``Used'' means used or consumed in the production of
goods; and
(y) Value. ``Value'' means the value of a good or material for
purposes of calculating customs duties or for purposes of applying this
subpart.
[CBP Dec. 08-22, 73 FR 33678, June 13, 2008, as amended by CBP Dec. 10-
26, 75 FR 50699, Aug. 17, 2010]
Sec. 10.594 Originating goods.
Except as otherwise provided in this subpart and General Note 29(m),
HTSUS, a good imported into the customs territory of the United States
will be considered an originating good under the CAFTA-DR only if:
(a) The good is wholly obtained or produced entirely in the
territory of one or more of the Parties;
(b) The good is produced entirely in the territory of one or more of
the Parties and:
(1) Each non-originating material used in the production of the good
undergoes an applicable change in tariff classification specified in
General Note 29(n), HTSUS, and the good satisfies all other applicable
requirements of General Note 29, HTSUS; or
(2) The good otherwise satisfies any applicable regional value
content or other requirements specified in General Note 29(n), HTSUS,
and satisfies all other applicable requirements of General Note 29,
HTSUS; or
(c) The good is produced entirely in the territory of one or more of
the Parties exclusively from originating materials.
Sec. 10.595 Regional value content.
(a) General. Except for goods to which paragraph (d) of this section
applies, where General Note 29(n), HTSUS, sets forth a rule that
specifies a regional value content test for a good, the regional value
content of such good must be calculated by the importer, exporter, or
producer of the good on the basis of the build-down method described in
paragraph (b) of this section or the build-up method described in
paragraph (c) of this section.
(b) Build-down method. Under the build-down method, the regional
value content must be calculated on the basis of the formula RVC = ((AV-
VNM)/AV) x 100, where RVC is the regional value content, expressed as a
percentage; AV is the adjusted value of the good; and VNM is the value
of non-originating materials that are acquired and used by the producer
in the production of the good, but does not include the value of a
material that is self-produced.
(c) Build-up method. Under the build-up method, the regional value
content must be calculated on the basis of the formula RVC = (VOM/AV) x
100, where RVC is the regional value content, expressed as a percentage;
AV is the adjusted value of the good; and VOM is the value of
originating materials that are acquired or self-produced and used by the
producer in the production of the good.
(d) Special rule for certain automotive goods--(1) General. Where
General Note 29(n), HTSUS, sets forth a rule that specifies a regional
value content test for an automotive good provided for in any of
subheadings 8407.31 through 8407.34, subheading 8408.20, heading 8409,
or headings 8701 through 8708, HTSUS, the regional value content of such
good may be calculated by the importer, exporter, or producer of the
good on the basis of the net cost method described in paragraph (d)(2)
of this section.
[[Page 287]]
(2) Net cost method. Under the net cost method, the regional value
content is calculated on the basis of the formula RVC = ((NC-VNM)/NC) x
100, where RVC is the regional value content, expressed as a percentage;
NC is the net cost of the good; and VNM is the value of non-originating
materials that are acquired and used by the producer in the production
of the good, but does not include the value of a material that is self-
produced. Consistent with the provisions regarding allocation of costs
set out in Generally Accepted Accounting Principles, the net cost of the
good must be determined by:
(i) Calculating the total cost incurred with respect to all goods
produced by the producer of the automotive good, subtracting any sales
promotion, marketing and after-sales service costs, royalties, shipping
and packing costs, and non-allowable interest costs that are included in
the total cost of all such goods, and then reasonably allocating the
resulting net cost of those goods to the automotive good;
(ii) Calculating the total cost incurred with respect to all goods
produced by the producer of the automotive good, reasonably allocating
the total cost to the automotive good, and then subtracting any sales
promotion, marketing and after-sales service costs, royalties, shipping
and packing costs, and non-allowable interest costs that are included in
the portion of the total cost allocated to the automotive good; or
(iii) Reasonably allocating each cost that forms part of the total
costs incurred with respect to the automotive good so that the aggregate
of these costs does not include any sales promotion, marketing and
after-sales service costs, royalties, shipping and packing costs, or
non-allowable interest costs.
(3) Motor vehicles--(i) General. For purposes of calculating the
regional value content under the net cost method for an automotive good
that is a motor vehicle provided for in any of headings 8701 through
8705, an importer, exporter, or producer may average the amounts
calculated under the formula set forth in paragraph (d)(2) of this
section over the producer's fiscal year using any one of the categories
described in paragraph (d)(3)(ii) of this section either on the basis of
all motor vehicles in the category or those motor vehicles in the
category that are exported to the territory of one or more Parties.
(ii) Categories. The categories referred to in paragraph (d)(3)(i)
of this section are as follows:
(A) The same model line of motor vehicles, in the same class of
vehicles, produced in the same plant in the territory of a Party, as the
motor vehicle for which the regional value content is being calculated;
(B) The same class of motor vehicles, and produced in the same plant
in the territory of a Party, as the motor vehicle for which the regional
value content is being calculated; and
(C) The same model line of motor vehicles produced in the territory
of a Party as the motor vehicle for which the regional value content is
being calculated.
(4) Other automotive goods--(i) General. For purposes of calculating
the regional value content under the net cost method for automotive
goods provided for in any of subheadings 8407.31 through 8407.34,
subheading 8408.20, heading 8409, 8706, 8707, or 8708, HTSUS, that are
produced in the same plant, an importer, exporter, or producer may:
(A) Average the amounts calculated under the formula set forth in
paragraph (d)(2) of this section over any of the following: The fiscal
year, or any quarter or month, of the motor vehicle producer to whom the
automotive good is sold, or the fiscal year, or any quarter or month, of
the producer of the automotive good, provided the goods were produced
during the fiscal year, quarter, or month that is the basis for the
calculation;
(B) Determine the average referred to in paragraph (d)(4)(i) of this
section separately for such goods sold to one or more motor vehicle
producers; or
(C) Make a separate determination under paragraph (d)(4)(i) or
(d)(4)(ii) for automotive goods that are exported to the territory of
one or more Parties.
(ii) Duration of use. A person selecting an averaging period of one
month or quarter under paragraph (d)(4)(i)(A) of this section must
continue to use
[[Page 288]]
that method for that category of automotive goods throughout the fiscal
year.
[CBP Dec. 08-22, 73 FR 33678, June 13, 2008, as amended by CBP Dec. 10-
26, 75 FR 50699, Aug. 17, 2010]
Sec. 10.596 Value of materials.
(a) Calculating the value of materials. Except as provided in
Sec. 10.603, for purposes of calculating the regional value content of a
good under General Note 29(n), HTSUS, and for purposes of applying the
de minimis (see Sec. 10.598 of this subpart) provisions of General Note
29(n), HTSUS, the value of a material is:
(1) In the case of a material imported by the producer of the good,
the adjusted value of the material;
(2) In the case of a material acquired by the producer in the
territory where the good is produced, the value, determined in
accordance with Articles 1 through 8, Article 15, and the corresponding
interpretative notes of the Customs Valuation Agreement, of the material
with reasonable modifications to the provisions of the Customs Valuation
Agreement as may be required due to the absence of an importation by the
producer (including, but not limited to, treating a domestic purchase by
the producer as if it were a sale for export to the country of
importation); or
(3) In the case of a self-produced material, the sum of:
(i) All expenses incurred in the production of the material,
including general expenses; and
(ii) An amount for profit equivalent to the profit added in the
normal course of trade.
(b) Examples. The following examples illustrate application of the
principles set forth in paragraph (a)(2) of this section:
Example 1. A producer in El Salvador purchases material x from an
unrelated seller in El Salvador for $100. Under the provisions of
Article 1 of the Customs Valuation Agreement, transaction value is the
price actually paid or payable for the goods when sold for export to the
country of importation adjusted in accordance with the provisions of
Article 8. In order to apply Article 1 to this domestic purchase by the
producer, such purchase is treated as if it were a sale for export to
the country of importation. Therefore, for purposes of determining the
adjusted value of material x, Article 1 transaction value is the price
actually paid or payable for the goods when sold to the producer in El
Salvador ($100), adjusted in accordance with the provisions of Article
8. In this example, it is irrelevant whether material x was initially
imported into El Salvador by the seller (or by anyone else). So long as
the producer acquired material x in El Salvador, it is intended that the
value of material x will be determined on the basis of the price
actually paid or payable by the producer adjusted in accordance with the
provisions of Article 8.
Example 2. Same facts as in Example 1, except that the sale between
the seller and the producer is subject to certain restrictions that
preclude the application of Article 1. Under Article 2 of the Customs
Valuation Agreement, the value is the transaction value of identical
goods sold for export to the same country of importation and exported at
or about the same time as the goods being valued. In order to permit the
application of Article 2 to the domestic acquisition by the producer, it
should be modified so that the value is the transaction value of
identical goods sold within El Salvador at or about the same time the
goods were sold to the producer in El Salvador. Thus, if the seller of
material x also sold an identical material to another buyer in El
Salvador without restrictions, that other sale would be used to
determine the adjusted value of material x.
(c) Permissible additions to, and deductions from, the value of
materials--(1) Additions to originating materials. For originating
materials, the following expenses, if not included under paragraph (a)
of this section, may be added to the value of the originating material:
(i) The costs of freight, insurance, packing, and all other costs
incurred in transporting the material within or between the territory of
one or more of the Parties to the location of the producer;
(ii) Duties, taxes, and customs brokerage fees on the material paid
in the territory of one or more of the Parties, other than duties and
taxes that are waived, refunded, refundable, or otherwise recoverable,
including credit against duty or tax paid or payable; and
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or byproducts.
(2) Deductions from non-originating materials. For non-originating
materials, if included under paragraph (a) of this
[[Page 289]]
section, the following expenses may be deducted from the value of the
non-originating material:
(i) The costs of freight, insurance, packing, and all other costs
incurred in transporting the material within or between the territory of
one or more of the Parties to the location of the producer;
(ii) Duties, taxes, and customs brokerage fees on the material paid
in the territory of one or more of the Parties, other than duties and
taxes that are waived, refunded, refundable, or otherwise recoverable,
including credit against duty or tax paid or payable;
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or by-products; and
(iv) The cost of originating materials used in the production of the
non-originating material in the territory of one or more of the Parties.
(d) Accounting method. Any cost or value referenced in General Note
29, HTSUS, and this subpart, must be recorded and maintained in
accordance with the Generally Accepted Accounting Principles applicable
in the territory of the Party in which the good is produced.
Sec. 10.597 Accumulation.
(a) Originating materials from the territory of one or more of the
Parties that are used in the production of a good in the territory of
another Party will be considered to originate in the territory of that
other Party.
(b) A good that is produced in the territory of one or more of the
Parties by one or more producers is an originating good if the good
satisfies the requirements of Sec. 10.594 of this subpart and all other
applicable requirements of General Note 29, HTSUS.
Sec. 10.598 De minimis.
(a) General. Except as provided in paragraphs (b) and (c) of this
section, a good that does not undergo a change in tariff classification
pursuant to General Note 29(n), HTSUS, is an originating good if:
(1) The value of all non-originating materials used in the
production of the good that do not undergo the applicable change in
tariff classification does not exceed 10 percent of the adjusted value
of the good;
(2) The value of the non-originating materials described in
paragraph (a)(1) of this section is included in the value of non-
originating materials for any applicable regional value content
requirement for the good under General Note 29(n), HTSUS; and
(3) The good meets all other applicable requirements of General Note
29, HTSUS.
(b) Exceptions. Paragraph (a) does not apply to:
(1) A non-originating material provided for in Chapter 4, HTSUS, or
a non-originating dairy preparation containing over 10 percent by weight
of milk solids provided for in subheading 1901.90 or 2106.90, HTSUS,
that is used in the production of a good provided for in Chapter 4,
HTSUS;
(2) A non-originating material provided for in Chapter 4, HTSUS, or
a non-originating dairy preparation containing over 10 percent by weight
of milk solids provided for in subheading 1901.90, HTSUS, that is used
in the production of the following goods:
(i) Infant preparations containing over 10 percent by weight of milk
solids provided for in subheading 1901.10, HTSUS;
(ii) Mixes and doughs, containing over 25 percent by weight of
butterfat, not put up for retail sale, provided for in subheading
1901.20, HTSUS;
(iii) Dairy preparations containing over 10 percent by weight of
milk solids provided for in subheading 1901.90 or 2106.90, HTSUS;
(iv) Goods provided for in heading 2105, HTSUS;
(v) Beverages containing milk provided for in subheading 2202.90,
HTSUS; and
(vi) Animal feeds containing over 10 percent by weight of milk
solids provided for in subheading 2309.90, HTSUS; and
(3) A non-originating material provided for in heading 0805, HTSUS,
or any of subheadings 2009.11 through 2009.39, HTSUS, that is used in
the production of a good provided for in any of subheadings 2009.11
through 2009.39, HTSUS, or in fruit or vegetable juice of any single
fruit or vegetable, fortified
[[Page 290]]
with minerals or vitamins, concentrated or unconcentrated, provided for
in subheading 2106.90 or 2202.90, HTSUS;
(4) A non-originating material provided for in heading 0901 or 2101,
HTSUS, that is used in the production of a good provided for in heading
0901 or 2101, HTSUS;
(5) A non-originating material provided for in heading 1006, HTSUS,
that is used in the production of a good provided for in heading 1102 or
1103, HTSUS, or subheading 1904.90, HTSUS;
(6) A non-originating material provided for in Chapter 15, HTSUS,
that is used in the production of a good provided for in Chapter 15,
HTSUS;
(7) A non-originating material provided for in heading 1701, HTSUS,
that is used in the production of a good provided for in any of headings
1701 through 1703, HTSUS;
(8) A non-originating material provided for in Chapter 17, HTSUS,
that is used in the production of a good provided for in subheading
1806.10, HTSUS; and
(9) Except as provided in paragraphs (b)(1) through (b)(8) of this
section and General Note 29(n), HTSUS, a non-originating material used
in the production of a good provided for in any of Chapters 1 through
24, HTSUS, unless the non-originating material is provided for in a
different subheading than the good for which origin is being determined
under this subpart.
(c) Textile and apparel goods--(1) General. Except as provided in
paragraph (c)(2) of this section, a textile or apparel good that is not
an originating good because certain fibers or yarns used in the
production of the component of the good that determines the tariff
classification of the good do not undergo an applicable change in tariff
classification set out in General Note 29(n), HTSUS, will nevertheless
be considered to be an originating good if:
(i) The total weight of all such fibers or yarns in that component
is not more than 10 percent of the total weight of that component; or
(ii) The yarns are nylon filament yarns (other than elastomeric
yarns) that are provided for in subheading 5402.11.30, 5402.11.60,
5402.31.30, 5402.31.60, 5402.32.30, 5402.32.60, 5402.45.10, 5402.45.90,
5402.51.00, or 5402.61.00, HTSUS, and that are products of Canada,
Mexico, or Israel.
(2) Exception for goods containing elastomeric yarns. A textile or
apparel good containing elastomeric yarns (excluding latex) in the
component of the good that determines the tariff classification of the
good will be considered an originating good only if such yarns are
wholly formed in the territory of a Party. For purposes of this
paragraph, ``wholly formed'' means that all the production processes and
finishing operations, starting with the extrusion of filaments, strips,
film, or sheet, and including slitting a film or sheet into strip, or
the spinning of all fibers into yarn, or both, and ending with a
finished yarn or plied yarn, took place in the territory of a Party.
(3) Yarn, fabric, or fiber. For purposes of paragraph (c) of this
section, in the case of a textile or apparel good that is a yarn,
fabric, or fiber, the term ``component of the good that determines the
tariff classification of the good'' means all of the fibers in the good.
[CBP Dec. 08-22, 73 FR 33678, June 13, 2008, as amended by CBP Dec. 10-
26, 75 FR 50699, Aug. 17, 2010]
Sec. 10.599 Fungible goods and materials.
(a) General. A person claiming that a fungible good or material is
an originating good may base the claim either on the physical
segregation of the fungible good or material or by using an inventory
management method with respect to the fungible good or material. For
purposes of this section, the term ``inventory management method''
means:
(1) Averaging;
(2) ``Last-in, first-out;''
(3) ``First-in, first-out;'' or
(4) Any other method that is recognized in the Generally Accepted
Accounting Principles of the Party in which the production is performed
or otherwise accepted by that country.
(b) Duration of use. A person selecting an inventory management
method under paragraph (a) of this section for a particular fungible
good or material must continue to use that method for that fungible good
or material throughout the fiscal year of that person.
[[Page 291]]
Sec. 10.600 Accessories, spare parts, or tools.
(a) General. Accessories, spare parts, or tools that are delivered
with a good and that form part of the good's standard accessories, spare
parts, or tools will be treated as originating goods if the good is an
originating good, and will be disregarded in determining whether all the
non-originating materials used in the production of the good undergo an
applicable change in tariff classification specified in General Note
29(n), HTSUS, provided that:
(1) The accessories, spare parts, or tools are classified with, and
not invoiced separately from, the good, regardless of whether they
appear specified or separately identified in the invoice for the good;
and
(2) The quantities and value of the accessories, spare parts, or
tools are customary for the good.
(a) Regional value content. If the good is subject to a regional
value content requirement, the value of the accessories, spare parts, or
tools is taken into account as originating or non-originating materials,
as the case may be, in calculating the regional value content of the
good under Sec. 10.595 of this subpart.
Sec. 10.601 Retail packaging materials and containers.
(a) Effect on tariff shift rule. Packaging materials and containers
in which a good is packaged for retail sale, if classified with the good
for which preferential tariff treatment under the CAFTA-DR is claimed,
will be disregarded in determining whether all non-originating materials
used in the production of the good undergo the applicable change in
tariff classification set out in General Note 29(n), HTSUS.
(b) Effect on regional value content calculation. If the good is
subject to a regional value content requirement, the value of such
packaging materials and containers will be taken into account as
originating or non-originating materials, as the case may be, in
calculating the regional value content of the good.
Example 1. Guatemalan Producer A of good C imports 100 non-
originating blister packages to be used as retail packaging for good C.
As provided in Sec. 10.596(a)(1) of this subpart, the value of the
blister packages is their adjusted value, which in this case is $10.
Good C has a regional value content requirement. The United States
importer of good C decides to use the build-down method, RVC = ((AV-
VNM)/AV) x 100 (see Sec. 10.595(b) of this subpart), in determining
whether good C satisfies the regional value content requirement. In
applying this method, the non-originating blister packages are taken
into account as non-originating. As such, their $10 adjusted value is
included in the VNM, value of non-originating materials, of good C.
Example 2. Same facts as in Example 1, except that the blister
packages are originating. In this case, the adjusted value of the
originating blister packages would not be included as part of the VNM of
good C under the build-down method. However, if the U.S. importer had
used the build-up method, RVC = (VOM/AV) x100 (see Sec. 10.595(c) of
this subpart), the adjusted value of the blister packaging would be
included as part of the VOM, value of originating material.
Sec. 10.602 Packing materials and containers for shipment.
(a) Effect on tariff shift rule. Packing materials and containers
for shipment, as defined in Sec. 10.593(m) of this subpart, are to be
disregarded in determining whether the non-originating materials used in
the production of the good undergo an applicable change in tariff
classification set out in General Note 29(n), HTSUS. Accordingly, such
materials and containers are not required to undergo the applicable
change in tariff classification even if they are non-originating.
(b) Effect on regional value content calculation. Packing materials
and containers for shipment, as defined in Sec. 10.593(m) of this
subpart, are to be disregarded in determining the regional value content
of a good imported into the United States. Accordingly, in applying the
build-down, build-up, or net cost method for determining the regional
value content of a good imported into the United States, the value of
such packing materials and containers for shipment (whether originating
or non-originating) is disregarded and not included in AV, adjusted
value, VNM, value of non-originating materials, VOM, value of
originating materials, or NC, net cost of a good.
Example. Producer A of the Dominican Republic produces good C.
Producer A ships good C to the United States in a shipping
[[Page 292]]
container that it purchased from Company B in the Dominican Republic.
The shipping container is originating. The value of the shipping
container determined under section Sec. 10.596(a)(2) of this subpart is
$3. Good C is subject to a regional value content requirement. The
transaction value of good C is $100, which includes the $3 shipping
container. The United States importer decides to use the build-up
method, RVC = (VOM/AV) x 100 (see Sec. 10.595(c) of this subpart), in
determining whether good C satisfies the regional value content
requirement. In determining the AV, adjusted value, of good C imported
into the U.S., paragraph (b) of this section and the definition of AV
require a $3 deduction for the value of the shipping container.
Therefore, the AV is $97 ($100-$3). In addition, the value of the
shipping container is disregarded and not included in the VOM, value of
originating materials.
Sec. 10.603 Indirect materials.
An indirect material, as defined in Sec. 10.582(m) of this subpart,
will be considered to be an originating material without regard to where
it is produced.
Example. Honduran Producer C produces good C using non-originating
material A. Producer C imports non-originating rubber gloves for use by
workers in the production of good C. Good C is subject to a tariff shift
requirement. As provided in Sec. 10.594(b)(1) of this subpart and
General Note 29(n), each of the non-originating materials in good C must
undergo the specified change in tariff classification in order for good
C to be considered originating. Although non-originating material A must
undergo the applicable tariff shift in order for good C to be considered
originating, the rubber gloves do not because they are indirect
materials and are considered originating without regard to where they
are produced.
Sec. 10.604 Transit and transshipment.
(a) General. A good that has undergone production necessary to
qualify as an originating good under Sec. 10.594 of this subpart will
not be considered an originating good if, subsequent to that production,
the good:
(1) Undergoes further production or any other operation outside the
territories of the Parties, other than unloading, reloading, or any
other operation necessary to preserve the good in good condition or to
transport the good to the territory of a Party; or
(2) Does not remain under the control of customs authorities in the
territory of a non-Party.
(b) Documentary evidence. An importer making a claim that a good is
originating may be required to demonstrate, to CBP's satisfaction, that
the conditions and requirements set forth in paragraph (a) of this
section were met. An importer may demonstrate compliance with this
section by submitting documentary evidence. Such evidence may include,
but is not limited to, bills of lading, airway bills, packing lists,
commercial invoices, receiving and inventory records, and customs entry
and exit documents.
Sec. 10.605 Goods classifiable as goods put up in sets.
Notwithstanding the specific rules set forth in General Note 29(n),
HTSUS, goods classifiable as goods put up in sets for retail sale as
provided for in General Rule of Interpretation 3, HTSUS, will not be
considered to be originating goods unless:
(a) Each of the goods in the set is an originating good; or
(b) The total value of the non-originating goods in the set does not
exceed;
(1) In the case of textile or apparel goods, 10 percent of the
adjusted value of the set; or
(2) In the case of a good other than a textile or apparel good, 15
percent of the adjusted value of the set.
Tariff Preference Level
Sec. 10.606 Filing of claim for tariff preference level.
Apparel goods of a Party described in Sec. 10.607 of this subpart
that do not qualify as originating goods under Sec. 10.594 of this
subpart may nevertheless be entitled to preferential tariff treatment
under the CAFTA-DR under an applicable tariff preference level (TPL). To
make a TPL claim, the importer must include on the entry summary, or
equivalent documentation, the applicable subheading in Chapter 98 or 99
of the HTSUS immediately above the applicable subheading in Chapter 61
or 62 of the HTSUS under which each non-originating apparel good is
classified. The applicable Chapter 98 and 99 subheadings are:
(a) Subheading 9822.05.11 or 9822.05.13 for goods described in
Sec. 10.607(a);
[[Page 293]]
(b) Subheading 9915.61.01 for goods described in Sec. 10.607(b) and
(c);
(c) Subheading 9915.62.05 for goods described in Sec. 10.607(d);
(d) Subheading 9915.62.15 for goods described in Sec. 10.607(e); and
(e) Subheading 9915.61.03 or 9915.61.04 for goods described in
Sec. 10.607(f);
[CBP Dec. 10-26, 75 FR 50699, Aug. 17, 2010]
Sec. 10.607 Goods eligible for tariff preference level claims.
The following goods are eligible for a TPL claim filed under
Sec. 10.606 of this subpart:
(a) Cumulation for certain woven apparel goods of a Party. In
accordance with General Note 29(d)(vii), HTSUS, for purposes of
determining whether a good of Chapter 62, HTSUS, is an originating good,
materials used in the production of the good produced in the territory
of Mexico that would have been considered originating if produced in the
territory of a Party, will be considered as having been produced in the
territory of a Party. The applicable product-specific and chapter rules
for Chapter 62, HTSUS, set forth in General Note 29, HTSUS, must be
satisfied. The preferential tariff treatment is limited to the
quantities specified in U.S. Note 21(b), Subchapter XXII, Chapter 98,
HTSUS, except that the following goods made from wool fabric are not
subject to these limits: men's and boys' and women's and girls' suits,
trousers, suit-type jackets and blazers and vests and women's and girls'
skirts, provided that such goods are not made of carded wool fabric or
made from wool yarn having an average fiber diameter of not over 18.5
microns. Subheading 9822.05.11, HTSUS, applies to the goods described
above that are subject to quantitative limits while subheading
9822.05.13, HTSUS, applies to the goods described above that are not
subject to such limits;
(b) Cotton or man-made fiber apparel goods of Nicaragua. Cotton or
man-made fiber apparel goods described in U.S. Note 15(b), Subchapter
XV, Chapter 99, HTSUS, that are both cut (or knit-to-shape) and sewn or
otherwise assembled in the territory of Nicaragua, and that meet the
applicable conditions for preferential tariff treatment under the CAFTA-
DR, other than the condition that they are originating goods. The
preferential tariff treatment is limited to the quantities specified in
U.S. Note 15(c), Subchapter XV, Chapter 99, HTSUS;
(c) Men's wool sport coats of Nicaragua. Men's sport coats described
in U.S. Note 15(b), Subchapter XV, Chapter 99, HTSUS, provided that the
component that determines the tariff classification of the good is of
carded wool fabric of subheading 5111.11.70, 5111.19.60, or 5111.90.90,
HTSUS, the goods are both cut (or knit-to-shape) and sewn or otherwise
assembled in the territory of Nicaragua, and the goods meet the
applicable conditions for preferential tariff treatment under the CAFTA-
DR, other than the condition that they are originating goods. The
preferential tariff treatment is limited to the quantities specified in
U.S. Note 15(c), Subchapter XV, Chapter 99, HTSUS;
(d) Apparel goods of Costa Rica, not knitted or crocheted. Apparel
goods described in U.S. Note 16(b), Subchapter XV, Chapter 99, HTSUS,
not knitted or crocheted, containing 36 percent or more by weight of
wool or subject to wool restraints, provided that the goods are both cut
and sewn or otherwise assembled in the territory of Costa Rica, meet the
applicable conditions for preferential tariff treatment under the CAFTA-
DR, other than the condition that they are originating goods, and comply
with the requirements set forth in chapter rules 1, 3, 4, and 5 for
Chapter 62 of General Note 29, HTSUS. The preferential tariff treatment
is limited to the quantities specified in U.S. Note 16(a), Subchapter
XV, Chapter 99, HTSUS.;
(e) Apparel goods of Costa Rica made from wool fabric. Apparel goods
described in U.S. Note 16(d), Subchapter XV, Chapter 99, HTSUS, made
from fabric of wool (except fabric of carded wool or fabric made from
wool yarn having an average fiber diameter of less than or equal to 18.5
microns), provided that the goods are both cut and sewn or otherwise
assembled in the territory of Costa Rica, and meet the applicable
conditions for preferential tariff treatment under the CAFTA-DR, other
than the condition that they are
[[Page 294]]
originating goods. The preferential tariff treatment is limited to the
quantities specified in U.S. Note 16(c), Subchapter XV, Chapter 99,
HTSUS; and
(f) Mastectomy swimsuits of Costa Rica. Women's knitted or crocheted
swimwear, classified in subheading 6112.41.00 (of synthetic fibers) or
6112.49.00, HTSUS (of other textile fibers), specially designed to
accommodate post-mastectomy breast prostheses, containing two full size
interior pockets with side openings, two preformed cups, a supporting
elastic band below the breast and vertical center stitching to separate
the two pockets, provided that the goods are both cut (or knit-to-shape)
and sewn or otherwise assembled in the territory of Costa Rica, and meet
the applicable conditions for preferential tariff treatment under the
CAFTA-DR, other than the condition that they are originating goods.
Subheading 9915.61.03, HTSUS, applies to the swimsuits described above
classified in subheading 6112.41.00, HTSUS, while subheading 9915.61.04,
HTSUS, applies to the swimsuits described above classified in subheading
6112.49.00, HTSUS. The preferential tariff treatment is limited to the
quantities specified in U.S. Note 17(a), Subchapter XV, Chapter 99,
HTSUS.
[CBP Dec. 10-26, 75 FR 50699, Aug. 17, 2010]
Sec. 10.608 Submission of certificate of eligibility for certain
apparel goods of Nicaragua.
An importer who claims preferential tariff treatment on a non-
originating apparel good of Nicaragua specified in paragraphs (b) and
(c) of Sec. 10.607 of this subpart must submit a certificate of
eligibility issued by an authorized official of the Government of
Nicaragua, demonstrating that the good is eligible for entry under the
applicable TPL. The certificate of eligibility must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose.
[CBP Dec. 08-22, 73 FR 33678, June 13, 2008, as amended by CBP Dec. 10-
26, 75 FR 50700, Aug. 17, 2010]
Sec. 10.609 Transshipment of non-originating cotton or man-made fiber
apparel goods.
(a) General. A good will not be considered eligible for preferential
tariff treatment under an applicable TPL by reason of having undergone
production that would enable the good to qualify for preferential tariff
treatment if subsequent to that production the good:
(1) Undergoes production or any other operation outside the
territories of the Parties, other than unloading, reloading, or any
other operation necessary to preserve the good in good condition or to
transport the good to the territory of a Party; or
(2) Does not remain under the control of customs authorities in the
territory of a non-Party.
(b) Documentary evidence. An importer making a claim for
preferential tariff treatment under an applicable TPL may be required to
demonstrate, to CBP's satisfaction, that the requirements set forth in
paragraph (a) of this section were met. An importer may demonstrate
compliance with these requirements by submitting documentary evidence.
Such evidence may include, but is not limited to, bills of lading,
airway bills, packing lists, commercial invoices, receiving and
inventory records, and customs entry and exit documents.
Sec. 10.610 Effect of noncompliance; failure to provide documentation
regarding transshipment of non-originating cotton or man-made
fiber apparel goods.
(a) Effect of noncompliance. If an importer of a good for which a
TPL claim is made fails to comply with any applicable requirement under
this subpart, the port director may deny preferential tariff treatment
to the imported good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential tariff treatment to a good for which a TPL claim is made if
the good is shipped through or transshipped in a country other than a
Party, and the importer of the good does not provide, at the request of
the port director, evidence
[[Page 295]]
demonstrating to the satisfaction of the port director that the
requirements set forth in Sec. 10.609(a) of this subpart were met.
Origin Verifications and Determinations
Sec. 10.616 Verification and justification of claim for preferential
tariff treatment.
(a) Verification. A claim for preferential tariff treatment made
under Sec. 10.583(b) or Sec. 10.591 of this subpart, including any
statements or other information submitted to CBP in support of the
claim, will be subject to such verification as the port director deems
necessary. In the event that the port director is provided with
insufficient information to verify or substantiate the claim, or the
exporter or producer fails to consent to a verification visit, the port
director may deny the claim for preferential treatment. A verification
of a claim for preferential tariff treatment under CAFTA-DR for goods
imported into the United States may be conducted by means of one or more
of the following:
(1) Written requests for information from the importer, exporter, or
producer;
(2) Written questionnaires to the importer, exporter, or producer;
(3) Visits to the premises of the exporter or producer in the
territory of the Party in which the good is produced, to review the
records of the type referred to in Sec. 10.589(c)(1) of this subpart or
to observe the facilities used in the production of the good, in
accordance with the framework that the Parties develop for conducting
verifications; and
(4) Such other procedures to which the United States and the
exporting Party may agree.
(b) Applicable accounting principles. When conducting a verification
of origin to which Generally Accepted Accounting Principles may be
relevant, CBP will apply and accept the Generally Accepted Accounting
Principles applicable in the country of production.
[CBP Dec. 08-22, 73 FR 33678, June 13, 2008, as amended by CBP Dec. 10-
26, 75 FR 50700, Aug. 17, 2010]
Sec. 10.617 Special rule for verifications in a Party of U.S. imports
of textile and apparel goods.
(a) Procedures to determine whether a claim of origin is accurate--
(1) General. For the purpose of determining that a claim of origin for a
textile or apparel good is accurate, CBP may request that the government
of a Party conduct a verification, regardless of whether a claim is made
for preferential tariff treatment.
(2) Actions during a verification. While a verification under this
paragraph is being conducted, CBP may take appropriate action, which may
include:
(i) Suspending the application of preferential tariff treatment to
the textile or apparel good for which a claim for preferential tariff
treatment has been made, if CBP determines there is insufficient
information to support the claim;
(ii) Denying the application of preferential tariff treatment to the
textile or apparel good for which a claim for preferential tariff
treatment has been made that is the subject of a verification if CBP
determines that an enterprise has provided incorrect information to
support the claim;
(iii) Detention of any textile or apparel good exported or produced
by the enterprise subject to the verification if CBP determines there is
insufficient information to determine the country of origin of any such
good; and
(iv) Denying entry to any textile or apparel good exported or
produced by the enterprise subject to the verification if CBP determines
that the enterprise has provided incorrect information as to the country
of origin of any such good.
(3) Actions following a verification. On completion of a
verification under this paragraph, CBP may take appropriate action,
which may include:
(i) Denying the application of preferential tariff treatment to the
textile or apparel good for which a claim for preferential tariff
treatment has been made that is the subject of a verification if CBP
determines there is insufficient information, or that the enterprise has
provided incorrect information, to support the claim; and
(ii) Denying entry to any textile or apparel good exported or
produced by
[[Page 296]]
the enterprise subject to the verification if CBP determines there is
insufficient information to determine, or that the enterprise has
provided incorrect information as to, the country of origin of any such
good.
(b) Procedures to determine compliance with applicable customs laws
and regulations of the U.S.--(1) General. For purposes of enabling CBP
to determine that an exporter or producer is complying with applicable
customs laws, regulations, and procedures regarding trade in textile and
apparel goods, CBP may request that the government of a Party conduct a
verification.
(2) Actions during a verification. While a verification under this
paragraph is being conducted, CBP may take appropriate action, which may
include:
(i) Suspending the application of preferential tariff treatment to
any textile or apparel good exported or produced by the enterprise
subject to the verification if CBP determines there is insufficient
information to support a claim for preferential tariff treatment with
respect to any such good;
(ii) Denying the application of preferential tariff treatment to any
textile or apparel good exported or produced by the enterprise subject
to the verification if CBP determines that the enterprise has provided
incorrect information to support a claim for preferential tariff
treatment with respect to any such good;
(iii) Detention of any textile or apparel good exported or produced
by the enterprise subject to the verification if CBP determines there is
insufficient information to determine the country of origin of any such
good; and
(iv) Denying entry to any textile or apparel good exported or
produced by the enterprise subject to the verification if CBP determines
that the enterprise has provided incorrect information as to the country
of origin of any such good.
(3) Actions following a verification. On completion of a
verification under this paragraph, CBP may take appropriate action,
which may include:
(i) Denying the application of preferential tariff treatment to any
textile or apparel good exported or produced by the enterprise subject
to the verification if CBP determines there is insufficient information,
or that the enterprise has provided incorrect information, to support a
claim for preferential tariff treatment with respect to any such good;
and
(ii) Denying entry to any textile or apparel good exported or
produced by the enterprise subject to the verification if CBP determines
there is insufficient information to determine, or that the enterprise
has provided incorrect information as to, the country of origin of any
such good.
(c) Denial of permission to conduct a verification. If an enterprise
does not consent to a verification under this section, CBP may deny
preferential tariff treatment to the type of goods of the enterprise
that would have been the subject of the verification.
(d) Assistance by U.S. officials in conducting a verification
abroad. U.S. officials may undertake or assist in a verification under
this section by conducting visits in the territory of a Party, along
with the competent authorities of the Party, to the premises of an
exporter, producer or any other enterprise involved in the movement of
textile or apparel goods from a Party to the United States.
(e) Continuation of appropriate action. CBP may continue to take
appropriate action under paragraph (a) or (b) of this section until it
receives information sufficient to enable it to make the determination
described in paragraphs (a) and (b) of this section.
[CBP Dec. 08-22, 73 FR 33678, June 13, 2008, as amended by CBP Dec. 10-
26, 75 FR 50700, Aug. 17, 2010]
Sec. 10.618 Issuance of negative origin determinations.
If, as a result of an origin verification initiated under this
subpart, CBP determines that a claim for preferential tariff treatment
made under Sec. 10.583(b) of this subpart should be denied, it will
issue a determination in writing or via an authorized electronic data
interchange system to the importer that sets forth the following:
(a) A description of the good that was the subject of the
verification together with the identifying numbers and dates of the
import documents pertaining to the good;
[[Page 297]]
(b) A statement setting forth the findings of fact made in
connection with the verification and upon which the determination is
based; and
(c) With specific reference to the rules applicable to originating
goods as set forth in General Note 29, HTSUS, and in Sec. Sec. 10.593
through 10.605 of this subpart, the legal basis for the determination.
Sec. 10.619 Repeated false or unsupported preference claims.
Where verification or other information reveals a pattern of conduct
by an importer, exporter, or producer of false or unsupported
representations that goods qualify under the CAFTA-DR rules of origin
set forth in General Note 29, HTSUS, CBP may suspend preferential tariff
treatment under the CAFTA-DR to entries of identical goods covered by
subsequent representations by that importer, exporter, or producer until
CBP determines that representations of that person are in conformity
with General Note 29, HTSUS.
Penalties
Sec. 10.620 General.
Except as otherwise provided in this subpart, all criminal, civil,
or administrative penalties which may be imposed on U.S. importers,
exporters, and producers for violations of the customs and related laws
and regulations will also apply to U.S. importers, exporters, and
producers for violations of the laws and regulations relating to the
CAFTA-DR.
Sec. 10.621 Corrected claim or certification by importers.
An importer who makes a corrected claim under Sec. 10.583(c) of this
subpart will not be subject to civil or administrative penalties under
19 U.S.C. 1592 for having made an incorrect claim or having submitted an
incorrect certification, provided that the corrected claim is promptly
and voluntarily made.
Sec. 10.622 Corrected certification by U.S. exporters or producers.
Civil or administrative penalties provided for under 19 U.S.C. 1592
will not be imposed on an exporter or producer in the United States who
promptly and voluntarily provides written notification pursuant to
Sec. 10.589(b) with respect to the making of an incorrect certification.
Sec. 10.623 Framework for correcting claims or certifications.
(a) ``Promptly and voluntarily'' defined. Except as provided for in
paragraph (b) of this section, for purposes of this subpart, the making
of a corrected claim or certification by an importer or the providing of
written notification of an incorrect certification by an exporter or
producer in the United States will be deemed to have been done promptly
and voluntarily if:
(1)(i) Done before the commencement of a formal investigation,
within the meaning of Sec. 162.74(g) of this chapter; or
(ii) Done before any of the events specified in Sec. 162.74(i) of
this chapter have occurred; or
(iii) Done within 30 days after the importer, exporter, or producer
initially becomes aware that the claim or certification is incorrect;
and
(2) Accompanied by a statement setting forth the information
specified in paragraph (c) of this section; and
(3) In the case of a corrected claim or certification by an
importer, accompanied or followed by a tender of any actual loss of
duties and merchandise processing fees, if applicable, in accordance
with paragraph (d) of this section.
(b) Exception in cases involving fraud or subsequent incorrect
claims--(1) Fraud. Notwithstanding paragraph (a) of this section, a
person who acted fraudulently in making an incorrect claim or
certification may not make a voluntary correction of that claim or
certification. For purposes of this paragraph, the term ``fraud'' will
have the meaning set forth in paragraph (C)(3) of appendix B to part 171
of this chapter.
(2) Subsequent incorrect claims. An importer who makes one or more
incorrect claims after becoming aware that a claim involving the same
merchandise and circumstances is invalid may not make a voluntary
correction of the subsequent claims pursuant to paragraph (a) of this
section.
[[Page 298]]
(c) Statement. For purposes of this subpart, each corrected claim or
certification must be accompanied by a statement, submitted in writing
or via an authorized electronic data interchange system, which:
(1) Identifies the class or kind of good to which the incorrect
claim or certification relates;
(2) In the case of a corrected claim or certification by an
importer, identifies each affected import transaction, including each
port of importation and the approximate date of each importation;
(3) Specifies the nature of the incorrect statements or omissions
regarding the claim or certification; and
(4) Sets forth, to the best of the person's knowledge, the true and
accurate information or data which should have been covered by or
provided in the claim or certification, and states that the person will
provide any additional information or data which are unknown at the time
of making the corrected claim or certification within 30 days or within
any extension of that 30-day period as CBP may permit in order for the
person to obtain the information or data.
(d) Tender of actual loss of duties. A U.S. importer who makes a
corrected claim must tender any actual loss of duties at the time of
making the corrected claim, or within 30 days thereafter, or within any
extension of that 30-day period as CBP may allow in order for the
importer to obtain the information or data necessary to calculate the
duties owed.
Goods Returned After Repair or Alteration
Sec. 10.624 Goods re-entered after repair or alteration in a Party.
(a) General. This section sets forth the rules which apply for
purposes of obtaining duty-free treatment on goods returned after repair
or alteration in a Party as provided for in subheadings 9802.00.40 and
9802.00.50, HTSUS. Goods returned after having been repaired or altered
in a Party, whether or not pursuant to a warranty, are eligible for
duty-free treatment, provided that the requirements of this section are
met. For purposes of this section, ``repairs or alterations'' means
restoration, addition, renovation, re-dyeing, cleaning, re-sterilizing,
or other treatment that does not destroy the essential characteristics
of, or create a new or commercially different good from, the good
exported from the United States.
(b) Goods not eligible for duty-free treatment after repair or
alteration. The duty-free treatment referred to in paragraph (a) of this
section will not apply to goods which, in their condition as exported
from the United States to a Party, are incomplete for their intended use
and for which the processing operation performed in the Party
constitutes an operation that is performed as a matter of course in the
preparation or manufacture of finished goods.
(c) Documentation. The provisions of paragraphs (a), (b), and (c) of
Sec. 10.8 of this part, relating to the documentary requirements for
goods entered under subheading 9802.00.40 or 9802.00.50, HTSUS, will
apply in connection with the entry of goods which are returned from a
Party after having been exported for repairs or alterations and which
are claimed to be duty free.
Retroactive Preferential Tariff Treatment for Textile and Apparel Goods
Sec. 10.625 Refunds of excess customs duties.
(a) Applicability. Section 205 of the Dominican Republic--Central
America--United States Free Trade Agreement Implementation Act, as
amended by section 1634(d) of the Pension Protection Act of 2006,
provides for the retroactive application of the Agreement and payment of
refunds for any excess duties paid with respect to entries of textile
and apparel goods of eligible CAFTA-DR countries that meet certain
conditions and requirements. Those conditions and requirements are set
forth in paragraphs (b) and (c) of this section.
(b) General. Notwithstanding 19 U.S.C. 1514 or any other provision
of law, and subject to paragraph (c) of this section, a textile or
apparel good of an eligible CAFTA-DR country that
[[Page 299]]
was entered or withdrawn from warehouse for consumption on or after
January 1, 2004, and before January 1, 2009, will be liquidated or
reliquidated at the applicable rate of duty for that good set out in the
Schedule of the United States to Annex 3.3 of the Agreement, and CBP
will refund any excess customs duties paid with respect to such entry,
with interest accrued from the date of entry, provided:
(1) The good would have qualified as an originating good under
section 203 of the Act if the good had been entered after the date of
entry into force of the Agreement for that country; and
(2) Customs duties in excess of the applicable rate of duty for that
good set out in the Schedule of the United States to Annex 3.3 of the
Agreement were paid.
(c) Request for liquidation or reliquidation. Liquidation or
reliquidation may be made under paragraph (b) of this section with
respect to an entry of a textile or apparel good of an eligible CAFTA-DR
country only if a request for liquidation or reliquidation is filed with
the CBP port where the entry was originally filed by April 1, 2009, and
the request contains sufficient information to enable CBP:
(1) To locate the entry or to reconstruct the entry if it cannot be
located; and
(2) To determine that the good satisfies the conditions set forth in
paragraph (b) of this section.
(d) Eligible CAFTA-DR country defined. For purposes of this section,
the term ``eligible CAFTA-DR country'' means a country that the United
States Trade Representative has determined, by notice published in the
Federal Register, to be an eligible country for purposes of section 205
of the Act.
[CBP Dec. 08-22, 73 FR 33678, June 13, 2008, as amended by CBP Dec. 10-
26, 75 FR 50700, Aug. 17, 2010]
Subpart K_United States-Jordan Free Trade Agreement
Source: CBP Dec. 07-50, 72 FR 35156, June 27, 2007, unless otherwise
noted.
General Provisions
Sec. 10.701 Scope.
This subpart implements the duty preference and related customs
provisions applicable to imported goods under the United States-Jordan
Free Trade Agreement (the US-JFTA) signed on October 24, 2000, and under
the United States-Jordan Free Trade Area Implementation Act (the Act;
115 Stat. 243). Except as otherwise specified in this subpart, the
procedures and other requirements set forth in this subpart are in
addition to the customs procedures and requirements of general
application contained elsewhere in this chapter. Additional provisions
implementing certain aspects of the US-JFTA are contained in part 163 of
this chapter.
Sec. 10.702 Definitions.
The following definitions apply for purposes of Sec. Sec. 10.701
through 10.712:
(a) Claim for preferential tariff treatment. ``Claim for
preferential tariff treatment'' means a claim that a good is entitled to
the duty rate applicable under the US-JFTA;
(b) Customs authority. ``Customs authority'' means the competent
authority that is responsible under the law of a country for the
administration of customs laws and regulations;
(c) Customs territory of the United States. ``Customs territory of
the United States'' means the 50 states, the District of Columbia, and
Puerto Rico;
(d) Days. ``Days'' means calendar days unless otherwise specified;
(e) Entered. ``Entered'' means entered, or withdrawn from warehouse
for consumption, in the customs territory of the United States;
(f) Good. ``Good'' means any merchandise, product, article, or
material;
(g) Harmonized System. ``Harmonized System'' means the Harmonized
Commodity Description and Coding System, including its General Rules of
Interpretation, Section Notes, and Chapter Notes, as adopted and
implemented by the Parties in their respective tariff laws;
(h) Heading. ``Heading'' means the first four digits in the tariff
classification number under the Harmonized System;
[[Page 300]]
(i) HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the
United States as promulgated by the U.S. International Trade Commission;
(j) Material. ``Material'' means a good that is used in the
production of another good;
(k) New or different article of commerce. ``New or different article
of commerce'' means a good that has been substantially transformed into
a new and different article of commerce having a new name, character, or
use distinct from the good or material from which it was so transformed;
(l) Party. ``Party'' means the United States or the Hashemite
Kingdom of Jordan;
(m) Preferential tariff treatment. ``Preferential tariff treatment''
means the duty rate applicable under the US-JFTA;
(n) Subheading. ``Subheading'' means the first six digits in the
tariff classification number under the Harmonized System;
(o) Territory. ``Territory'' means:
(1) With respect to Jordan, the land, maritime and air space under
its sovereignty, and the exclusive economic zone within which it
exercises sovereign rights and jurisdiction in accordance with
international law and its domestic law; and
(2) With respect to the United States,
(i) The customs territory of the United States, which includes the
50 states, the District of Columbia, and Puerto Rico,
(ii) The foreign trade zones located in the United States and Puerto
Rico, and
(iii) Any areas beyond the territorial seas of the United States
within which, in accordance with international law and its domestic law,
the United States may exercise rights with respect to the seabed and
subsoil and their natural resources;
(p) Textile or apparel good. ``Textile or apparel good'' means a
good listed in the Annex to the Agreement on Textiles and Clothing
(commonly referred to as ``the ATC''), which is part of the WTO
Agreement;
(q) WTO Agreement. ``WTO Agreement'' means the Marrakesh Agreement
Establishing the World Trade Organization of April 15, 1994;
(r) Wholly the growth, product, or manufacture of Jordan. ``Wholly
the growth, product, or manufacture of Jordan'' refers both to any good
which has been entirely grown, produced, or manufactured in Jordan and
to all materials incorporated in a good which have been entirely grown,
produced, or manufactured in Jordan, as distinguished from goods or
materials imported into Jordan from another country, whether or not such
goods or materials were substantially transformed into new or different
articles of commerce after their importation into Jordan.
Import Requirements
Sec. 10.703 Filing of claim for preferential tariff treatment.
An importer may make a claim for US-JFTA preferential tariff
treatment by including on the entry summary, or equivalent
documentation, the symbol ``JO'' as a prefix to the subheading of the
HTSUS under which each qualifying good is classified, or by the method
specified for equivalent reporting via an authorized electronic data
interchange system.
Sec. 10.704 Declaration.
(a) Contents. An importer who claims preferential tariff treatment
for a good under the US-JFTA must submit, at the request of the port
director, a declaration setting forth all pertinent information
concerning the production or manufacture of the good. A declaration
submitted to CBP under this paragraph:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must include the following information:
(i) The legal name, address, telephone, and e-mail address (if any)
of the importer of record of the good;
(ii) The legal name, address, telephone, and e-mail address (if any)
of the responsible official or authorized agent of the importer signing
the declaration (if different from the information required by paragraph
(a)(2)(i) of this section);
[[Page 301]]
(iii) The legal name, address, telephone and e-mail address (if any)
of the exporter of the good (if different from the producer);
(iv) The legal name, address, telephone and e-mail address (if any)
of the producer of the good (if known);
(v) A description of the good, quantity, numbers, and marks of
packages, invoice numbers, and bills of lading;
(vi) A description of the operations performed in the production of
the good in Jordan and identification of the direct costs of processing
operations;
(vii) A description of any materials used in the production of the
good that are wholly the growth, product, or manufacture of Jordan or
the United States, and a statement as to the cost or value of such
materials;
(viii) A description of the operations performed on, and a statement
as to the origin and cost or value of, any foreign materials used in the
good that are claimed to have been sufficiently processed in Jordan so
as to be materials produced in Jordan; and
(ix) A description of the origin and cost or value of any foreign
materials used in the good that have not been substantially transformed
in Jordan.
(3) Must include a statement, in substantially the following form:
``I certify that:
The information on this document is true and accurate and I assume
the responsibility for proving such representations. I understand that I
am liable for any false statements or material omissions made on or in
connection with this document;
I agree to maintain, and present upon request, documentation
necessary to support these representations;
The goods comply with all the requirements for preferential tariff
treatment specified for those goods in the United States-Jordan Free
Trade Agreement; and
This document consists of ---- pages, including all attachments.''
(b) Responsible official or agent. The declaration must be signed
and dated by a responsible official of the importer or by the importer's
authorized agent having knowledge of the relevant facts.
(c) Language. The declaration must be completed in the English
language.
(d) Applicability of declaration. The declaration may be applicable
to:
(1) A single importation of a good into the United States, including
a single shipment that results in the filing of one or more entries and
a series of shipments that results in the filing of one entry; or
(2) Multiple importations of identical goods into the United States
that occur within a specified blanket period, not exceeding 12 months,
set out in the declaration. For purposes of this paragraph, ``identical
goods'' means goods that are the same in all respects relevant to the
production that qualifies the goods for preferential tariff treatment.
Sec. 10.705 Importer obligations.
(a) General. An importer who makes a claim for preferential tariff
treatment under Sec. 10.703 of this subpart:
(1) Will be deemed to have certified that the good is eligible for
preferential tariff treatment under the US-JFTA:
(2) Is responsible for the truthfulness of the information and data
contained in the declaration provided for in Sec. 10.704 of this
subpart;
(3) Is responsible for submitting any supporting documents requested
by CBP and for the truthfulness of the information contained in those
documents. CBP will allow for the direct submission by the exporter or
producer of business confidential or other sensitive information,
including cost and sourcing information.
(b) Information provided by exporter or producer. The fact that the
importer has made a claim for preferential tariff treatment or prepared
a declaration based on information provided by an exporter or producer
will not relieve the importer of the responsibility referred to in
paragraph (a) of this section.
Sec. 10.706 Declaration not required.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an importer will not be required to submit a declaration under
Sec. 10.704 of this subpart for:
(1) A non-commercial importation of a good; or
(2) A commercial importation for which the value of the goods does
not exceed U.S. $2,500.
[[Page 302]]
(b) Exception. If the port director determines that an importation
described in paragraph (a) of this section may reasonably be considered
to have been carried out or planned for the purpose of evading
compliance with the rules and procedures governing claims for preference
under the US-JFTA, the port director will notify the importer that for
that importation the importer must submit to CBP a declaration. The
importer must submit such a declaration within 30 days from the date of
the notice. Failure to timely submit the declaration will result in
denial of the claim for preferential tariff treatment.
Sec. 10.707 Maintenance of records.
(a) General. An importer claiming preferential tariff treatment for
a good under Sec. 10.703 of this subpart must maintain, for five years
after the date of the claim for preferential tariff treatment, all
records and documents necessary for the preparation of the declaration.
(b) Applicability of other recordkeeping requirements. The records
and documents referred to in paragraph (a) of this section are in
addition to any other records required to be made, kept, and made
available to CBP under part 163 of this chapter.
(c) Method of maintenance. The records and documents referred to in
paragraph (a) of this section must be maintained by importers as
provided in Sec. 163.5 of this chapter.
Sec. 10.708 Effect of noncompliance; failure to provide documentation
regarding third-country transportation.
(a) Effect of noncompliance. If the importer fails to comply with
any requirement under this subpart, including submission of a complete
declaration under Sec. 10.704 of this subpart, when requested, the port
director may deny preferential tariff treatment to the imported good.
(b) Failure to provide documentation regarding third country
transportation. Where the requirements for preferential tariff treatment
set forth elsewhere in this subpart are met, the port director
nevertheless may deny preferential treatment to a good if the good is
shipped through or transshipped in a country other than Jordan or the
United States, and the importer of the good does not provide, at the
request of the port director, evidence demonstrating to the satisfaction
of the port director that the good was ``imported directly'', as that
term is defined in Sec. 10.711(a) of this subpart.
Rules of Origin
Sec. 10.709 Country of origin criteria.
(a) General. Except as otherwise provided in paragraph (b) of this
section, a good imported directly from Jordan into the customs territory
of the United States will be eligible for preferential tariff treatment
under the US-JFTA only if:
(1) The good is either:
(i) Wholly the growth, product, or manufacture of Jordan; or
(ii) A new or different article of commerce that has been grown,
produced, or manufactured in Jordan; and
(2) With respect to a good described in paragraph (a)(1)(ii) of this
section, the good satisfies the value-content requirement specified in
Sec. 10.710 of this subpart.
(b) Exceptions--(1) Combining, packaging, and diluting operations.
No good will be considered to meet the requirements of paragraph (a)(1)
of this section by virtue of having merely undergone simple combining or
packaging operations, or mere dilution with water or mere dilution with
another substance that does not materially alter the characteristics of
the good. The principles and examples set forth in Sec. 10.195(a)(2) of
this part will apply equally for purposes of this paragraph.
(2) Certain juices. A good will not be considered to meet the
requirements of paragraph (a)(1) of this section if the good:
(i) Is imported into Jordan, and, at the time of importation, would
be classified in heading 0805, HTSUS; and
(ii) Is processed in Jordan into a good classified in any of
subheadings 2009.11 through 2009.30, HTSUS.
(c) Textile and apparel goods. For purposes of determining whether a
textile or apparel good meets the requirements of paragraph (a)(1) of
this section, the provisions of Sec. 102.21 of this chapter will apply.
[[Page 303]]
Sec. 10.710 Value-content requirement.
(a) General. A good described in Sec. 10.709(a)(1)(ii) may be
eligible for preferential tariff treatment under the US-JFTA only if the
sum of the cost or value of the materials produced in Jordan, plus the
direct costs of processing operations performed in Jordan, is not less
than 35 percent of the appraised value of the good at the time it is
entered.
(b) Materials produced in the United States. For purposes of
determining the percentage referred to paragraph (a) of this section, an
amount not to exceed 15 percent of the appraised value of the good at
the time it is entered may be attributed to the cost or value of
materials produced in the customs territory of the United States. A
material is ``produced in the customs territory of the United States''
for purposes of this paragraph if it is either:
(1) Wholly the growth, product, or manufacture of the United States;
or
(2) Subject to the exceptions specified in Sec. 10.709(b) of this
subpart, substantially transformed in the United States into a new and
different article of commerce that has a new name, character, or use,
which is then used in Jordan in the production or manufacture of a new
or different article of commerce that is imported into the United
States. Except where the context otherwise requires, the examples set
forth in Sec. 10.196(a) of this part will apply for purposes of this
paragraph.
(c) Cost or value of materials--(1) Materials produced in Jordan
defined. For purposes of paragraph (a) of this section, the words
``materials produced in Jordan'' refer to those materials incorporated
into a good that are either:
(i) Wholly the growth, product, or manufacture of Jordan; or
(ii) Subject to the exceptions specified in Sec. 10.709(b) of this
subpart, substantially transformed in Jordan into a new and different
article of commerce that has a new name, character, or use, which is
then used in Jordan in the production or manufacture of a new or
different article of commerce that is imported into the United States.
Except where the context otherwise requires, the examples set forth in
Sec. 10.196(a) of this part will apply for purposes of this paragraph.
(2) Determination of cost or value of materials. (i) Except as
provided in paragraph (c)(2)(ii) of this section, the cost or value of
materials produced in Jordan or in the United States includes:
(A) The manufacturer's actual cost for the materials;
(B) When not included in the manufacturer's actual cost for the
materials, the freight, insurance, packing, and all other costs incurred
in transporting the materials to the manufacturer's plant;
(C) The actual cost of waste or spoilage, less the value of
recoverable scrap; and
(D) Taxes and/or duties imposed on the materials by a Party,
provided they are not remitted upon exportation.
(ii) Where a material is provided to the manufacturer without
charge, or at less than fair market value, its cost or value will be
determined by computing the sum of:
(A) All expenses incurred in the growth, production, or manufacture
of the material, including general expenses;
(B) An amount for profit; and
(C) Freight, insurance, packing, and all other costs incurred in
transporting the material to the manufacturer's plant.
(iii) If the pertinent information needed to compute the cost or
value of a material is not available, the port director may ascertain or
estimate the value thereof using all reasonable ways and means at his or
her disposal.
(d) Direct costs of processing operations--(1) Items included. For
purposes of paragraph (a) of this section, the words ``direct costs of
processing operations'' mean those costs either directly incurred in, or
which can be reasonably allocated to, the growth, production,
manufacture, or assembly of the specific goods under consideration. Such
costs include, but are not limited to the following, to the extent that
they are includable in the appraised value of the imported goods:
(i) All actual labor costs involved in the growth, production,
manufacture, or assembly of the specific goods, including fringe
benefits, on-the-job training, and the cost of engineering,
[[Page 304]]
supervisory, quality control, and similar personnel;
(ii) Dies, molds, tooling, and depreciation on machinery and
equipment which are allocable to the specific goods;
(iii) Research, development, design, engineering, and blueprint
costs insofar as they are allocable to the specific goods; and
(iv) Costs of inspecting and testing the specific goods.
(2) Items not included. For purposes of paragraph (a) of this
section, the words ``direct costs of processing operations'' do not
include items that are not directly attributable to the goods under
consideration or are not costs of manufacturing the product. These
include, but are not limited to:
(i) Profit; and
(ii) General expenses of doing business that either are not
allocable to the specific goods or are not related to the growth,
production, manufacture, or assembly of the goods, such as
administrative salaries, casualty and liability insurance, advertising,
and salesmen's salaries, commissions, or expenses.
Sec. 10.711 Imported directly.
(a) General. To be eligible for preferential tariff treatment under
the US-JFTA, a good must be imported directly from Jordan into the
customs territory of the United States. For purposes of this
requirement, the words ``imported directly'' mean:
(1) Direct shipment from Jordan to the United States without passing
through the territory of any intermediate country;
(2) If shipment is from Jordan to the United States through the
territory of an intermediate country, the goods in the shipment do not
enter into the commerce of the intermediate country and the invoices,
bills of lading, and other shipping documents show the United States as
the final destination; or
(3) If shipment is through an intermediate country and the invoices
and other documents do not show the United States as the final
destination, the goods in the shipment are imported directly only if
they:
(i) Remained under the control of the customs authority in the
intermediate country;
(ii) Did not enter into the commerce of the intermediate country
except for the purpose of a sale other than at retail, provided that the
goods are imported as a result of the original commercial transaction
between the importer and the producer or the producer's sales agent; and
(iii) Have not been subjected to operations other than loading and
unloading, and other activities necessary to preserve the goods in good
condition.
(b) Documentary evidence. An importer making a claim for
preferential tariff treatment under the US-JFTA may be required to
demonstrate, to CBP's satisfaction, that the goods were ``imported
directly'' as that term is defined in paragraph (a) of this section. An
importer may demonstrate compliance with this section by submitting
documentary evidence. Such evidence may include, but is not limited to,
bills of lading, airway bills, packing lists, commercial invoices,
receiving and inventory records, and customs entry and exit documents.
Origin Verifications
Sec. 10.712 Verification of claim for preferential tariff treatment.
A claim for preferential tariff treatment made under Sec. 10.703 of
this subpart, including any statements or other information submitted to
CBP in support of the claim, will be subject to such verification as the
port director deems necessary. In the event that the port director for
any reason is prevented from verifying the claim, or is provided with
insufficient information to verify or substantiate the claim, the port
director may deny the claim for preferential tariff treatment.
Subpart L [Reserved]
Subpart M_United States-Morocco Free Trade Agreement
Source: CBP Dec. 07-51, 72 FR 35651, June 29, 2007, unless otherwise
noted.
[[Page 305]]
General Provisions
Sec. 10.761 Scope.
This subpart implements the duty preference and related customs
provisions applicable to imported goods under the United States-Morocco
Free Trade Agreement (the MFTA) signed on June 15, 2004, and under the
United States-Morocco Free Trade Agreement Implementation Act (the Act;
118 Stat. 1103). Except as otherwise specified in this subpart, the
procedures and other requirements set forth in this subpart are in
addition to the customs procedures and requirements of general
application contained elsewhere in this chapter. Additional provisions
implementing certain aspects of the MFTA and the Act are contained in
Parts 102, 162, and 163 of this chapter.
[CBP Dec. 07-51, 72 FR 35651, June 29, 2007, as amended at CBP Dec. 08-
29, 73 FR 45354, Aug. 5, 2008]
Sec. 10.762 General definitions.
As used in this subpart, the following terms will have the meanings
indicated unless either the context in which they are used requires a
different meaning or a different definition is prescribed for a
particular section of this subpart:
(a) Claim of origin. ``Claim of origin'' means a claim that a good
is an originating good;
(b) Claim for preferential tariff treatment. ``Claim for
preferential tariff treatment'' means a claim that a good is entitled to
the duty rate applicable under the MFTA to an originating good;
(c) Customs Valuation Agreement. ``Customs Valuation Agreement''
means the Agreement on Implementation of Article VII of the General
Agreement on Tariffs and Trade 1994, which is part of the WTO Agreement;
(d) Customs duty. ``Customs duty'' includes any customs or import
duty and a charge of any kind imposed in connection with the importation
of a good, including any form of surtax or surcharge in connection with
such importation, but does not include any:
(1) Charge equivalent to an internal tax imposed consistently with
Article III:2 of the GATT 1994 in respect of like, directly competitive,
or substitutable goods of the Party or in respect of goods from which
the imported good has been manufactured or produced in whole or in part;
(2) Antidumping or countervailing duty; and
(3) Fee or other charge in connection with importation commensurate
with the cost of services rendered;
(e) Days. ``Days'' means calendar days.
(f) Enterprise. ``Enterprise'' means any entity constituted or
organized under applicable law, whether or not for profit, and whether
privately-owned or governmentally-owned, including any corporation,
trust, partnership, sole proprietorship, joint venture, or other
association;
(g) Foreign material. ``Foreign material'' means a material other
than a material produced in the territory of one or both of the Parties;
(h) GATT 1994. ``GATT 1994'' means the General Agreement on Tariffs
and Trade 1994, which is part of the WTO Agreement;
(i) Good. ``Good'' means any merchandise, product, article, or
material;
(j) Harmonized System. ``Harmonized System (HS)'' means the
Harmonized Commodity Description and Coding System, including its
General Rules of Interpretation, Section Notes, and Chapter Notes, as
adopted and implemented by the Parties in their respective tariff laws;
(k) Heading. ``Heading'' means the first four digits in the tariff
classification number under the Harmonized System;
(l) HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the
United States as promulgated by the U.S. International Trade Commission;
(m) Originating. ``Originating'' means a good qualifying under the
rules of origin set forth in General Note 27, HTSUS, and MFTA Chapter
Four (Textiles and apparel) or Chapter Five (Rules of Origin);
(n) Party. ``Party'' means the United States or the Kingdom of
Morocco;
(o) Person. ``Person'' means a natural person or an enterprise;
(p) Preferential tariff treatment. ``Preferential tariff treatment''
means the duty rate applicable under the MFTA to an originating good;
[[Page 306]]
(q) Subheading. ``Subheading'' means the first six digits in the
tariff classification number under the Harmonized System;
(r) Textile or apparel good. ``Textile or apparel good'' means a
good listed in the Annex to the Agreement on Textiles and Clothing
(commonly referred to as ATC), which is part of the WTO Agreement;
(s) Territory. ``Territory'' means:
(1) With respect to Morocco, the land, maritime and air space under
its sovereignty, and the exclusive economic zone and the continental
shelf within which it exercises sovereign rights and jurisdiction in
accordance with international law and its domestic law; and
(2) With respect to the United States,
(i) The customs territory of the United States, which includes the
50 states, the District of Columbia, and Puerto Rico,
(ii) The foreign trade zones located in the United States and Puerto
Rico, and
(iii) Any areas beyond the territorial seas of the United States
within which, in accordance with international law and its domestic law,
the United States may exercise rights with respect to the seabed and
subsoil and their natural resources;
(t) WTO Agreement. ``WTO Agreement'' means the Marrakesh Agreement
Establishing the World Trade Organization of April 15, 1994.
Import Requirements
Sec. 10.763 Filing of claim for preferential tariff treatment upon
importation.
An importer may make a claim for MFTA preferential tariff treatment
for an originating good by including on the entry summary, or equivalent
documentation, the symbol ``MA'' as a prefix to the subheading of the
HTSUS under which each qualifying good is classified, or by the method
specified for equivalent reporting via an authorized electronic data
interchange system.
Sec. 10.764 Declaration.
(a) Contents. An importer who claims preferential tariff treatment
for a good under the MFTA must submit to CBP, at the request of the port
director, a declaration setting forth all pertinent information
concerning the growth, production, or manufacture of the good. A
declaration submitted to CBP under this paragraph:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must include the following information:
(i) The legal name, address, telephone, and e-mail address (if any)
of the importer of record of the good;
(ii) The legal name, address, telephone, and e-mail address (if any)
of the responsible official or authorized agent of the importer signing
the declaration (if different from the information required by paragraph
(a)(2)(i) of this section);
(iii) The legal name, address, telephone, and e-mail address (if
any) of the exporter of the good (if different from the producer);
(iv) The legal name, address, telephone, and e-mail address (if any)
of the producer of the good (if known);
(v) A description of the good, which must be sufficiently detailed
to relate it to the invoice and HS nomenclature, including quantity,
numbers, invoice numbers, and bills of lading;
(vi) A description of the operations performed in the growth,
production, or manufacture of the good in the territory of one or both
of the Parties and, where applicable, identification of the direct costs
of processing operations;
(vii) A description of any materials used in the growth, production,
or manufacture of the good that are wholly the growth, product, or
manufacture of one or both of the Parties, and a statement as to the
value of such materials;
(viii) A description of the operations performed on, and a statement
as to the origin and value of, any materials used in the article that
are claimed to have been sufficiently processed in the territory of one
or both of the Parties so as to be materials produced in one or both of
the Parties, or are claimed to have undergone an applicable change in
tariff classification specified in General Note 27(h), HTSUS; and
[[Page 307]]
(ix) A description of the origin and value of any foreign materials
used in the good that have not been substantially transformed in the
territory of one or both of the Parties, or have not undergone an
applicable change in tariff classification specified in General Note
27(h), HTSUS;
(3) Must include a statement, in substantially the following form:
``I certify that:
The information on this document is true and accurate and I assume
the responsibility for proving such representations. I understand that I
am liable for any false statements or material omissions made on or in
connection with this document;
I agree to maintain and present upon request, documentation
necessary to support these representations;
The goods comply with all the requirements for preferential tariff
treatment specified for those goods in the United States-Morocco Free
Trade Agreement; and
This document consists of ----pages, including all attachments.''
(b) Responsible official or agent. The declaration must be signed
and dated by a responsible official of the importer or by the importer's
authorized agent having knowledge of the relevant facts.
(c) Language. The declaration must be completed in the English
language.
(d) Applicability of declaration. The declaration may be applicable
to:
(1) A single importation of a good into the United States, including
a single shipment that results in the filing of one or more entries and
a series of shipments that results in the filing of one entry; or
(2) Multiple importations of identical goods into the United States
that occur within a specified blanket period, not exceeding 12 months,
set out in the declaration. For purposes of this paragraph, ``identical
goods'' means goods that are the same in all respects relevant to the
production that qualifies the goods for preferential tariff treatment.
Sec. 10.765 Importer obligations.
(a) General. An importer who makes a claim for preferential tariff
treatment under Sec. 10.763 of this subpart:
(1) Will be deemed to have certified that the good is eligible for
preferential tariff treatment under the MFTA;
(2) Is responsible for the truthfulness of the information and data
contained in the declaration provided for in Sec. 10.764 of this
subpart; and
(3) Is responsible for submitting any supporting documents requested
by CBP and for the truthfulness of the information contained in those
documents. CBP will allow for the direct submission by the exporter or
producer of business confidential or other sensitive information,
including cost and sourcing information.
(b) Information provided by exporter or producer. The fact that the
importer has made a claim for preferential tariff treatment or prepared
a declaration based on information provided by an exporter or producer
will not relieve the importer of the responsibility referred to in
paragraph (a) of this section.
Sec. 10.766 Declaration not required.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an importer will not be required to submit a declaration under
Sec. 10.764 of this subpart for:
(1) A non-commercial importation of a good; or
(2) A commercial importation for which the value of the originating
goods does not exceed U.S. $2,500.
(b) Exception. If the port director determines that an importation
described in paragraph (a) of this section may reasonably be considered
to have been carried out or planned for the purpose of evading
compliance with the rules and procedures governing claims for preference
under the MFTA, the port director will notify the importer that for that
importation the importer must submit to CBP a declaration. The importer
must submit such a declaration within 30 days from the date of the
notice. Failure to timely submit the declaration will result in denial
of the claim for preferential tariff treatment.
Sec. 10.767 Maintenance of records.
(a) General. An importer claiming preferential tariff treatment for
a good under Sec. 10.763 of this subpart must maintain, for five years
after the date of the claim for preferential tariff
[[Page 308]]
treatment, all records and documents necessary for the preparation of
the declaration.
(b) Applicability of other recordkeeping requirements. The records
and documents referred to in paragraph (a) of this section are in
addition to any other records required to be made, kept, and made
available to CBP under part 163 of this chapter.
(c) Method of maintenance. The records and documents referred to in
paragraph (a) of this section must be maintained by importers as
provided in Sec. 163.5 of this chapter.
Sec. 10.768 Effect of noncompliance; failure to provide documentation
regarding transshipment.
(a) General. If the importer fails to comply with any requirement
under this subpart, including submission of a complete declaration under
Sec. 10.764 of this subpart, when requested, the port director may deny
preferential tariff treatment to the imported good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential treatment to a good if the good is shipped through or
transshipped in the territory of a country other than a Party, and the
importer of the good does not provide, at the request of the port
director, evidence demonstrating to the satisfaction of the port
director that the good was imported directly from the territory of a
Party into the territory of the other Party (see Sec. 10.777 of this
subpart).
Rules of Origin
Sec. 10.769 Definitions.
For purposes of Sec. Sec. 10.769 through 10.777:
(a) Exporter. ``Exporter'' means a person who exports goods from the
territory of a Party;
(b) Generally Accepted Accounting Principles. ``Generally Accepted
Accounting Principles'' means the recognized consensus or substantial
authoritative support in the territory of a Party, with respect to the
recording of revenues, expenses, costs, assets, and liabilities, the
disclosure of information, and the preparation of financial statements.
These standards may encompass broad guidelines of general application as
well as detailed standards, practices, and procedures;
(c) Good. ``Good'' means any merchandise, product, article, or
material;
(d) Goods wholly the growth, product, or manufacture of one or both
of the Parties. ``Goods wholly the growth, product, or manufacture of
one or both of the Parties'' means:
(1) Mineral goods extracted in the territory of one or both of the
Parties;
(2) Vegetable goods, as such goods are defined in the HTSUS,
harvested in the territory of one or both of the Parties;
(3) Live animals born and raised in the territory of one or both of
the Parties;
(4) Goods obtained from live animals raised in the territory of one
or both of the Parties;
(5) Goods obtained from hunting, trapping, or fishing in the
territory of one or both of the parties;
(6) Goods (fish, shellfish, and other marine life) taken from the
sea by vessels registered or recorded with a Party and flying its flag;
(7) Goods produced from goods referred to in paragraph (d)(5) on
board factory ships registered or recorded with that Party and flying
its flag;
(8) Goods taken by a Party or a person of a Party from the seabed or
beneath the seabed outside territorial waters, provided that a Party has
rights to exploit such seabed;
(9) Goods taken from outer space, provided they are obtained by a
Party or a person of a Party and not processed in the territory of a
non-Party;
(10) Waste and scrap derived from:
(i) Production or manufacture in the territory of one or both of the
Parties, or
(ii) Used goods collected in the territory of one or both of the
Parties, provided such goods are fit only for the recovery of raw
materials;
(11) Recovered goods derived in the territory of a Party from used
goods, and utilized in the territory of that Party in the production of
remanufactured goods; and
[[Page 309]]
(12) Goods produced in the territory of one or both of the Parties
exclusively from goods referred to in paragraphs (d)(1) through (d)(10)
of this section, or from their derivatives, at any stage of production;
(e) Importer. Importer means a person who imports goods into the
territory of a Party;
(f) Indirect material. ``Indirect material'' means a good used in
the growth, production, manufacture, testing, or inspection of a good
but not physically incorporated into the good, or a good used in the
maintenance of buildings or the operation of equipment associated with
the growth, production, or manufacture of a good, including:
(1) Fuel and energy;
(2) Tools, dies, and molds;
(3) Spare parts and materials used in the maintenance of equipment
and buildings;
(4) Lubricants, greases, compounding materials, and other materials
used in the growth, production, or manufacture of a good or used to
operate equipment and buildings;
(5) Gloves, glasses, footwear, clothing, safety equipment, and
supplies;
(6) Equipment, devices, and supplies used for testing or inspecting
the good;
(7) Catalysts and solvents; and
(8) Any other goods that are not incorporated into the good but the
use of which in the growth, production, or manufacture of the good can
reasonably be demonstrated to be a part of that growth, production, or
manufacture;
(g) Material. ``Material'' means a good, including a part or
ingredient, that is used in the growth, production, or manufacture of
another good that is a new or different article of commerce that has
been grown, produced, or manufactured in one or both of the Parties;
(h) Material produced in the territory of one or both of the
Parties. ``Material produced in the territory of one or both of the
Parties'' means a good that is either wholly the growth, product, or
manufacture of one or both of the Parties, or a new or different article
of commerce that has been grown, produced, or manufactured in the
territory of one or both of the Parties;
(i) New or different article of commerce. A ``new or different
article of commerce'' exists when the country of origin of a good which
is produced in a Party from foreign materials is determined to be that
country under the provisions of Sec. Sec. 102.1 through 102.21 of this
chapter;
(j) Non-originating material. ``Non-originating material'' means a
material that does not qualify as originating under this subpart or
General Note 27, HTSUS;
(k) Packing materials and containers for shipment. ``Packing
materials and containers for shipment'' means the goods used to protect
a good during its transportation to the United States, and does not
include the packaging materials and containers in which a good is
packaged for retail sale;
(l) Recovered goods. ``Recovered goods'' means materials in the form
of individual parts that result from:
(1) The complete disassembly of used goods into individual parts;
and
(2) The cleaning, inspecting, testing, or other processing of those
parts as necessary for improvement to sound working condition;
(m) Remanufactured good. ``Remanufactured good'' means an industrial
good that is assembled in the territory of a Party and that:
(1) Is entirely or partially comprised of recovered goods;
(2) Has a similar life expectancy to, and meets the similar
performance standards as, a like good that is new; and
(3) Enjoys the factory warranty similar to that of a like good that
is new;
(n) Simple combining or packaging operations. ``Simple combining or
packaging operations'' means operations such as adding batteries to
electronic devices, fitting together a small number of components by
bolting, gluing, or soldering, or packing or repacking components
together;
[CBP Dec. 07-51, 72 FR 35651, June 29, 2007, as amended at CBP Dec. 08-
29, 73 FR 45354, Aug. 5, 2008]
Sec. 10.770 Originating goods.
(a) General. A good will be considered an originating good under the
MFTA when imported directly from the territory of a Party into the
territory of the other Party only if:
[[Page 310]]
(1) The good is wholly the growth, product, or manufacture of one or
both of the Parties;
(2) The good is a new or different article of commerce, as defined
in Sec. 10.769(i) of this subpart, that has been grown, produced, or
manufactured in the territory of one or both of the Parties, is provided
for in a heading or subheading of the HTSUS that is not covered by the
product-specific rules set forth in General Note 27(h), HTSUS, and meets
the value-content requirement specified in paragraph (b) of this
section; or
(3) The good is provided for in a heading or subheading of the HTSUS
covered by the product-specific rules set forth in General Note 27(h),
HTSUS, and:
(i)(A) Each of the non-originating materials used in the production
of the good undergoes an applicable change in tariff classification
specified in General Note 27(h), HTSUS, as a result of production
occurring entirely in the territory of one or both of the Parties; or
(B) The good otherwise satisfies the requirements specified in
General Note 27(h), HTSUS; and
(ii) The good meets any other requirements specified in General Note
27, HTSUS.
(b) Value-content requirement. A good described in paragraph (a)(2)
of this section will be considered an originating good under the MFTA
only if the sum of the value of materials produced in one or both of the
Parties, plus the direct costs of processing operations (see Sec. 10.774
of this subpart) performed in one or both of the Parties, is not less
than 35 percent of the appraised value of the good at the time the good
is entered into the territory of the United States.
(c) Combining, packaging, and diluting operations. For purposes of
this subpart, a good will not be considered a new or different article
of commerce by virtue of having undergone simple combining or packaging
operations, or mere dilution with water or another substance that does
not materially alter the characteristics of the good. The principles and
examples set forth in Sec. 10.195(a)(2) of this part will apply equally
for purposes of this paragraph.
[CBP Dec. 07-51, 72 FR 35651, June 29, 2007, as amended at CBP Dec. 08-
29, 73 FR 45354, Aug. 5, 2008]
Sec. 10.771 Textile or apparel goods.
(a) De minimis. Except as provided in paragraph (a)(1) of this
section, a textile or apparel good that is not an originating good under
the MFTA because certain fibers or yarns used in the production of the
component of the good that determines the tariff classification of the
good do not undergo an applicable change in tariff classification set
out in General Note 27(h), HTSUS, will be considered to be an
originating good if the total weight of all such fibers is not more than
seven percent of the total weight of that component.
(1) Exception. A textile or apparel good containing elastomeric
yarns in the component of the good that determines the tariff
classification of the good will be considered to be an originating good
only if such yarns are wholly formed in the territory of a Party.
(2) Yarn, fabric, or group of fibers. For purposes of paragraph (a)
of this section, in the case of a textile or apparel good that is a
yarn, fabric, or group of fibers, the term ``component of the good that
determines the tariff classification of the good'' means all of the
fibers in the yarn, fabric, or group of fibers.
(b) Textile or apparel goods put up in sets. Notwithstanding the
specific rules specified in General Note 27(h), HTSUS, textile or
apparel goods classifiable as goods put up in sets for retail sale as
provided for in General Rule of Interpretation 3, HTSUS, will not be
considered to be originating goods under the MFTA unless each of the
goods in the set is an originating good or the total value of the non-
originating goods in the set does not exceed ten percent of the
appraised value of the set.
Sec. 10.772 Accumulation.
(a) An originating good or material produced in the territory of one
or both of the Parties that is incorporated into a good in the territory
of the other Party will be considered to originate in the territory of
the other Party.
[[Page 311]]
(b) A good that is grown, produced, or manufactured in the territory
of one or both of the Parties by one or more producers is an originating
good if the good satisfies the requirements of Sec. 10.770 of this
subpart and all other applicable requirements of General Note 27, HTSUS.
Sec. 10.773 Value of materials.
(a) General. For purposes of Sec. 10.770(b) of this subpart and,
except as provided in paragraph (b) of this section, the value of a
material produced in the territory of one or both of the Parties
includes the following:
(1) The price actually paid or payable for the material by the
producer of the good;
(2) The freight, insurance, packing and all other costs incurred in
transporting the material to the producer's plant, if such costs are not
included in the price referred to in paragraph (a)(1) of this section;
(3) The cost of waste or spoilage resulting from the use of the
material in the growth, production, or manufacture of the good, less the
value of recoverable scrap; and
(4) Taxes or customs duties imposed on the material by one or both
of the Parties, if the taxes or customs duties are not remitted upon
exportation from the territory of a Party.
(b) Exception. If the relationship between the producer of a good
and the seller of a material influenced the price actually paid or
payable for the material, or if there is no price actually paid or
payable by the producer for the material, the value of the material
produced in the territory of one or both of the Parties, includes the
following:
(1) All expenses incurred in the growth, production, or manufacture
of the material, including general expenses;
(2) A reasonable amount for profit; and
(3) The freight, insurance, packing, and all other costs incurred in
transporting the material to the producer's plant.
Sec. 10.774 Direct costs of processing operations.
(a) Items included. For purposes of Sec. 10.770(b) of this subpart,
the words ``direct costs of processing operations'', with respect to a
good, mean those costs either directly incurred in, or that can be
reasonably allocated to, the growth, production, or manufacture of the
good in the territory of one or both of the Parties. Such costs include,
to the extent they are includable in the appraised value of the good
when imported into a Party, the following:
(1) All actual labor costs involved in the growth, production, or
manufacture of the specific good, including fringe benefits, on-the-job
training, and the costs of engineering, supervisory, quality control,
and similar personnel;
(2) Tools, dies, molds, and other indirect materials, and
depreciation on machinery and equipment that are allocable to the
specific good;
(3) Research, development, design, engineering, and blueprint costs,
to the extent that they are allocable to the specific good;
(4) Costs of inspecting and testing the specific good; and
(5) Costs of packaging the specific good for export to the territory
of the other Party.
(b) Items not included. For purposes of Sec. 10.770(b) of this
subpart, the words ``direct costs of processing operations'' do not
include items that are not directly attributable to the good or are not
costs of growth, production, or manufacture of the good. These include,
but are not limited to:
(1) Profit; and
(2) General expenses of doing business that are either not allocable
to the good or are not related to the growth, production, or manufacture
of the good, such as administrative salaries, casualty and liability
insurance, advertising, and salesmen's salaries, commissions, or
expenses.
Sec. 10.775 Packaging and packing materials and containers for retail
sale and for shipment.
Packaging materials and containers in which a good is packaged for
retail sale and packing materials and containers for shipment are to be
disregarded in determining whether a good qualifies as an originating
good under Sec. 10.770 of this subpart and General Note 27, HTSUS,
except to the extent that the value of such packaging
[[Page 312]]
and packing materials and containers may be included in meeting the
value-content requirement specified in Sec. 10.770(b) of this subpart.
Sec. 10.776 Indirect materials.
Indirect materials are to be disregarded in determining whether a
good qualifies as an originating good under Sec. 10.770 of this subpart
and General Note 27, HTSUS, except that the cost of such indirect
materials may be included in meeting the value-content requirement
specified in Sec. 10.770(b) of this subpart.
Sec. 10.777 Imported directly.
(a) General. To qualify as an originating good under the MFTA, a
good must be imported directly from the territory of a Party into the
territory of the other Party. For purposes of this subpart, the words
``imported directly'' mean:
(1) Direct shipment from the territory of a Party into the territory
of the other Party without passing through the territory of a non-Party;
or
(2) If the shipment passed through the territory of a non-Party, the
good, upon arrival in the territory of a Party, will be considered to be
``imported directly'' only if the good did not undergo production,
manufacturing, or any other operation outside the territories of the
Parties, other than unloading, reloading, or any other operation
necessary to preserve the good in good condition or to transport the
good to the territory of a Party. Operations that may be performed
outside the territories of the Parties include inspection, removal of
dust that accumulates during shipment, ventilation, spreading out or
drying, chilling, replacing salt, sulfur dioxide, or aqueous solutions,
replacing damaged packing materials and containers, and removal of units
of the good that are spoiled or damaged and present a danger to the
remaining units of the good, or to transport the good to the territory
of a Party.
(b) Documentary evidence. An importer making a claim for
preferential tariff treatment under the MFTA for an originating good may
be required to demonstrate, to CBP's satisfaction, that the good was
``imported directly'' from the territory of a Party into the territory
of the other Party, as that term is defined in paragraph (a) of this
section. An importer may demonstrate compliance with this section by
submitting documentary evidence. Such evidence may include, but is not
limited to, bills of lading, airway bills, packing lists, commercial
invoices, receiving and inventory records, and customs entry and exit
documents.
Tariff Preference Level
Sec. 10.778 Filing of claim for tariff preference level.
A fabric or apparel good described in Sec. 10.779 of this subpart
that does not qualify as an originating good under Sec. 10.770 of this
subpart may nevertheless be entitled to preferential tariff treatment
under the MFTA under an applicable tariff preference level (TPL). To
make a TPL claim, the importer must include on the entry summary, or
equivalent documentation, the applicable subheading in Chapter 99 of the
HTSUS (9912.99.20) immediately above the applicable subheading in
Chapters 51 through 62 of the HTSUS under which each non-originating
fabric or apparel good is classified.
Sec. 10.779 Goods eligible for tariff preference claims.
The following goods are eligible for a TPL claim filed under
Sec. 10.778 of this subpart:
(a) Fabric goods. Fabric goods provided for in Chapters 51, 52, 54,
55, 58, and 60 of the HTSUS that are wholly formed in Morocco,
regardless of the origin of the fiber or yarn used to produce the goods,
provided that they meet the applicable conditions for preferential
tariff treatment under the MFTA, other than the condition that they are
originating; and
(b) Apparel goods. Apparel goods provided for in Chapters 61 and 62
of the HTSUS that are cut or knit to shape, or both, and sewn or
otherwise assembled in Morocco, regardless of the origin of the fabric
or yarn used to produce the goods, provided that they meet the
applicable conditions for preferential tariff treatment under the MFTA,
other than the condition that they are originating goods.
[[Page 313]]
Sec. 10.780 Transshipment of non-originating fabric or apparel goods.
(a) General. To qualify for preferential tariff treatment under an
applicable TPL, a good must be imported directly from the territory of a
Party into the territory of the other Party. For purposes of this
subpart, the words ``imported directly'' mean:
(1) Direct shipment from the territory of a Party into the territory
of the other Party without passing through the territory of a non-Party;
or
(2) If the shipment passed through the territory of a non-Party, the
good, upon arrival in the territory of a Party, will be considered to be
``imported directly'' only if the good did not undergo production,
manufacturing, or any other operation outside the territories of the
Parties, other than unloading, reloading, or any other operation
necessary to preserve it in good condition or to transport the good to
the territory of a Party. Operations that may be performed outside the
territories of the Parties include inspection, removal of dust that
accumulates during shipment, ventilation, spreading out or drying,
chilling, replacing salt, sulfur dioxide, or other aqueous solutions,
replacing damaged packing materials and containers, and removal of units
of the good that are spoiled or damaged and present a danger to the
remaining units of the good, or to transport the good to the territory
of a Party.
(b) Documentary evidence. An importer making a claim for
preferential tariff treatment under an applicable TPL may be required to
demonstrate, to CBP's satisfaction, that the good was ``imported
directly'' from the territory of a Party into the territory of the other
Party, as that term is defined in paragraph (a) of this section. An
importer may demonstrate compliance with this section by submitting
documentary evidence. Such evidence may include, but is not limited to,
bills of lading, airway bills, packing lists, commercial invoices,
receiving and inventory records, and customs entry and exit documents.
Sec. 10.781 Effect of noncompliance; failure to provide documentation
regarding transshipment of non-originating fabric or apparel
goods.
(a) Effect of noncompliance. If an importer of a good for which a
TPL claim is made fails to comply with any applicable requirement under
this subpart, the port director may deny preferential tariff treatment
to the imported good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential tariff treatment to a good for which a TPL claim is made if
the good is shipped through or transshipped in a country other than a
Party, and the importer of the good does not provide, at the request of
the port director, evidence demonstrating to the satisfaction of the
port director that the requirements set forth in Sec. 10.780 of this
subpart were met.
Origin Verifications and Determinations
Sec. 10.784 Verification and justification of claim for preferential
treatment.
(a) Verification. A claim for preferential treatment made under
Sec. 10.763 of this subpart, including any declaration or other
information submitted to CBP in support of the claim, will be subject to
such verification as the port director deems necessary. In the event
that the port director is provided with insufficient information to
verify or substantiate the claim, the port director may deny the claim
for preferential treatment.
(b) Applicable accounting principles. When conducting a verification
of origin to which Generally Accepted Accounting Principles may be
relevant, CBP will apply and accept the Generally Accepted Accounting
Principles applicable in the country of production.
Sec. 10.785 Issuance of negative origin determinations.
If, as a result of an origin verification initiated under this
subpart, CBP determines that a claim for preferential tariff treatment
made
[[Page 314]]
under Sec. 10.763 of this subpart should be denied, it will issue a
determination in writing or via an authorized electronic data
interchange system to the importer that sets forth the following:
(a) A description of the good that was the subject of the
verification together with the identifying numbers and dates of the
export and import documents pertaining to the good;
(b) A statement setting forth the findings of fact made in
connection with the verification and upon which the determination is
based; and
(c) With specific reference to the rules applicable to originating
goods as set forth in General Note 27, HTSUS, and in Sec. Sec. 10.769
through 10.777 of this subpart, the legal basis for the determination.
[CBP Dec. 07-51, 72 FR 35651, June 29, 2007. Redesignated at CBP Dec.
08-29, 73 FR 45354, Aug. 5, 2008]
Penalties
Sec. 10.786 Violations relating to the MFTA.
All criminal, civil, or administrative penalties which may be
imposed on U.S. importers for violations of the customs and related laws
and regulations will also apply to U.S. importers for violations of the
laws and regulations relating to the MFTA.
[CBP Dec. 07-51, 72 FR 35651, June 29, 2007. Redesignated at CBP Dec.
08-29, 73 FR 45354, Aug. 5, 2008]
Goods Returned After Repair or Alteration
Sec. 10.787 Goods re-entered after repair or alteration in Morocco.
(a) General. This section sets forth the rules that apply for
purposes of obtaining duty-free treatment on goods returned after repair
or alteration in Morocco as provided for in subheadings 9802.00.40 and
9802.00.50, HTSUS. Goods returned after having been repaired or altered
in Morocco, whether or not pursuant to a warranty, are eligible for
duty-free treatment, provided that the requirements of this section are
met. For purposes of this section, ``repairs or alterations'' means
restoration, addition, renovation, re-dyeing, cleaning, re-sterilizing,
or other treatment which does not destroy the essential characteristics
of, or create a new or commercially different good from, the good
exported from the United States.
(b) Goods not eligible for treatment. The duty-free treatment
referred to in paragraph (a) of this section will not apply to goods
which, in their condition as exported from the United States to Morocco,
are incomplete for their intended use and for which the processing
operation performed in Morocco constitutes an operation that is
performed as a matter of course in the preparation or manufacture of
finished goods.
(c) Documentation. The provisions of Sec. 10.8(a), (b), and (c) of
this part, relating to the documentary requirements for goods entered
under subheading 9802.00.40 or 9802.00.50, HTSUS, will apply in
connection with the entry of goods which are returned from Morocco after
having been exported for repairs or alterations and which are claimed to
be duty free.
[CBP Dec. 07-51, 72 FR 35651, June 29, 2007. Redesignated at CBP Dec.
08-29, 73 FR 45354, Aug. 5, 2008]
Subpart N_United States-Bahrain Free Trade Agreement
Source: CBP Dec. 07-81, 72 FR 58515, Oct. 16, 2007, unless otherwise
noted.
General Provisions
Sec. 10.801 Scope.
This subpart implements the duty preference and related customs
provisions applicable to imported goods under the United States-Bahrain
Free Trade Agreement (the BFTA) signed on September 14, 2004, and under
the United States-Bahrain Free Trade Agreement Implementation Act (the
Act; 119 Stat. 3581). Except as otherwise specified in this subpart, the
procedures and other requirements set forth in this subpart are in
addition to the customs procedures and requirements of general
application contained elsewhere in this chapter. Additional provisions
implementing certain aspects of the BFTA and the Act are contained in
parts 24, 102, 162, and 163 of this chapter.
[[Page 315]]
Sec. 10.802 General definitions.
As used in this subpart, the following terms will have the meanings
indicated unless either the context in which they are used requires a
different meaning or a different definition is prescribed for a
particular section of this subpart:
(a) Claim of origin. ``Claim of origin'' means a claim that a good
is an originating good or a good of a Party;
(b) Claim for preferential tariff treatment. ``Claim for
preferential tariff treatment'' means a claim that a good is entitled to
the duty rate applicable under the BFTA to an originating good or other
good specified in the BFTA, and to an exemption from the merchandise
processing fee;
(c) Customs Valuation Agreement. ``Customs Valuation Agreement''
means the Agreement on Implementation of Article VII of the General
Agreement on Tariffs and Trade 1994, which is part of the WTO Agreement;
(d) Customs duty. ``Customs duty'' includes any customs or import
duty and a charge of any kind imposed in connection with the importation
of a good, including any form of surtax or surcharge in connection with
such importation, but does not include any:
(1) Charge equivalent to an internal tax imposed consistently with
Article III:2 of the GATT 1994; in respect of like, directly
competitive, or substitutable goods of the Party, or in respect of goods
from which the imported good has been manufactured or produced in whole
or in part;
(2) Antidumping or countervailing duty; and
(3) Fee or other charge in connection with importation commensurate
with the cost of services rendered;
(e) Days. ``Days'' means calendar days;
(f) Enterprise. ``Enterprise'' means any entity constituted or
organized under applicable law, whether or not for profit, and whether
privately-owned or governmentally-owned, including any corporation,
trust, partnership, sole proprietorship, joint venture, or other
association;
(g) Foreign material. ``Foreign material'' means a material other
than a material produced in the territory of one or both of the Parties;
(h) GATT 1994. ``GATT 1994'' means the General Agreement on Tariffs
and Trade 1994, which is part of the WTO Agreement;
(i) Good. ``Good'' means any merchandise, product, article, or
material;
(j) Harmonized System. ``Harmonized System (HS)'' means the
Harmonized Commodity Description and Coding System, including its
General Rules of Interpretation, Section Notes, and Chapter Notes, as
adopted and implemented by the Parties in their respective tariff laws;
(k) Heading. ``Heading'' means the first four digits in the tariff
classification number under the Harmonized System;
(l) HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the
United States as promulgated by the U.S. International Trade Commission;
(m) Originating. ``Originating'' means a good qualifying under the
rules of origin set forth in General Note 30, HTSUS, and BFTA Chapter
Three (Textiles and apparel) or Chapter Four (Rules of Origin);
(n) Party. ``Party'' means the United States or the Kingdom of
Bahrain;
(o) Person. ``Person'' means a natural person or an enterprise;
(p) Preferential tariff treatment. ``Preferential tariff treatment''
means the duty rate applicable under the BFTA to an originating good and
an exemption from the merchandise processing fee;
(q) Subheading. ``Subheading'' means the first six digits in the
tariff classification number under the Harmonized System;
(r) Textile or apparel good. ``Textile or apparel good'' means a
good listed in the Annex to the Agreement on Textiles and Clothing
(commonly referred to as ``the ATC''), which is part of the WTO
Agreement;
(s) Territory. ``Territory'' means:
(1) With respect to Bahrain, the territory of Bahrain as well as the
maritime areas, seabed, and subsoil over which Bahrain exercises, in
accordance with international law, sovereignty, sovereign rights, and
jurisdiction; and
(2) With respect to the United States,
(i) The customs territory of the United States, which includes the
50
[[Page 316]]
states, the District of Columbia, and Puerto Rico,
(ii) The foreign trade zones located in the United States and Puerto
Rico, and
(iii) Any areas beyond the territorial seas of the United States
within which, in accordance with international law and its domestic law,
the United States may exercise rights with respect to the seabed and
subsoil and their natural resources; and
(t) WTO Agreement. ``WTO Agreement'' means the Marrakesh Agreement
Establishing the World Trade Organization of April 15, 1994.
Import Requirements
Sec. 10.803 Filing of claim for preferential tariff treatment upon
importation.
An importer may make a claim for BFTA preferential tariff treatment
for an originating good by including on the entry summary, or equivalent
documentation, the symbol ``BH'' as a prefix to the subheading of the
HTSUS under which each qualifying good is classified, or by the method
specified for equivalent reporting via an authorized electronic data
interchange system.
Sec. 10.804 Declaration.
(a) Contents. An importer who claims preferential tariff treatment
for a good under the BFTA must submit to CBP, at the request of the port
director, a declaration setting forth all pertinent information
concerning the growth, production, or manufacture of the good. A
declaration submitted to CBP under this paragraph:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must include the following information:
(i) The legal name, address, telephone, and e-mail address (if any)
of the importer of record of the good;
(ii) The legal name, address, telephone, and e-mail address (if any)
of the responsible official or authorized agent of the importer signing
the declaration (if different from the information required by paragraph
(a)(2)(i) of this section);
(iii) The legal name, address, telephone and e-mail address (if any)
of the exporter of the good (if different from the producer);
(iv) The legal name, address, telephone and e-mail address (if any)
of the producer of the good (if known);
(v) A description of the good, which must be sufficiently detailed
to relate it to the invoice and HS nomenclature, including quantity,
numbers, invoice numbers, and bills of lading;
(vi) A description of the operations performed in the growth,
production, or manufacture of the good in the territory of one or both
of the Parties and, where applicable, identification of the direct costs
of processing operations;
(vii) A description of any materials used in the growth, production,
or manufacture of the good that are wholly the growth, product, or
manufacture of one or both of the Parties, and a statement as to the
value of such materials;
(viii) A description of the operations performed on, and a statement
as to the origin and value of, any materials used in the article that
are claimed to have been sufficiently processed in the territory of one
or both of the Parties so as to be materials produced in one or both of
the Parties, or are claimed to have undergone an applicable change in
tariff classification specified in General Note 30(h), HTSUS; and
(ix) A description of the origin and value of any foreign materials
used in the good that have not been substantially transformed in the
territory of one or both of the Parties, or have not undergone an
applicable change in tariff classification specified in General Note
30(h), HTSUS;
(3) Must include a statement, in substantially the following form:
``I certify that:
The information on this document is true and accurate and I assume
the responsibility for proving such representations. I understand that I
am liable for any false statements or material omissions made on or in
connection with this document;
I agree to maintain and present upon request, documentation
necessary to support these representations;
[[Page 317]]
The goods comply with all the requirements for preferential tariff
treatment specified for those goods in the United States-Bahrain Free
Trade Agreement; and
This document consists of ------ pages, including all attachments.''
(b) Responsible official or agent. The declaration must be signed
and dated by a responsible official of the importer or by the importer's
authorized agent having knowledge of the relevant facts.
(c) Language. The declaration must be completed in the English
language.
(d) Applicability of declaration. The declaration may be applicable
to:
(1) A single importation of a good into the United States, including
a single shipment that results in the filing of one or more entries and
a series of shipments that results in the filing of one entry; or
(2) Multiple importations of identical goods into the United States
that occur within a specified blanket period, not exceeding 12 months,
set out in the declaration. For purposes of this paragraph, ``identical
goods'' means goods that are the same in all respects relevant to the
production that qualifies the goods for preferential tariff treatment.
[CBP Dec. 07-81, 72 FR 58515, Oct. 16, 2007, as amended at CBP 08-28, 73
FR 42681, July 23, 2008]
Sec. 10.805 Importer obligations.
(a) General. An importer who makes a claim for preferential tariff
treatment under Sec. 10.803 of this subpart:
(1) Will be deemed to have certified that the good is eligible for
preferential tariff treatment under the BFTA:
(2) Is responsible for the truthfulness of the information and data
contained in the declaration provided for in Sec. 10.804 of this
subpart; and
(3) Is responsible for submitting any supporting documents requested
by CBP and for the truthfulness of the information contained in those
documents. CBP will allow for the direct submission by the exporter or
producer of business confidential or other sensitive information,
including cost and sourcing information.
(b) Information provided by exporter or producer. The fact that the
importer has made a claim for preferential tariff treatment or prepared
a declaration based on information provided by an exporter or producer
will not relieve the importer of the responsibility referred to in
paragraph (a) of this section.
Sec. 10.806 Declaration not required.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an importer will not be required to submit a declaration under
Sec. 10.804 of this subpart for:
(1) A non-commercial importation of a good; or
(2) A commercial importation for which the value of the originating
goods does not exceed U.S. $2,500.
(b) Exception. If the port director determines that an importation
described in paragraph (a) of this section may reasonably be considered
to have been carried out or planned for the purpose of evading
compliance with the rules and procedures governing claims for preference
under the BFTA, the port director will notify the importer that for that
importation the importer must submit to CBP a declaration. The importer
must submit such a declaration within 30 days from the date of the
notice. Failure to timely submit the declaration will result in denial
of the claim for preferential tariff treatment.
Sec. 10.807 Maintenance of records.
(a) General. An importer claiming preferential tariff treatment for
a good under Sec. 10.803 of this subpart must maintain, for five years
after the date of the claim for preferential tariff treatment, all
records and documents necessary for the preparation of the declaration.
(b) Applicability of other recordkeeping requirements. The records
and documents referred to in paragraph (a) of this section are in
addition to any other records required to be made, kept, and made
available to CBP under part 163 of this chapter.
(c) Method of maintenance. The records and documents referred to in
paragraph (a) of this section must be maintained by importers as
provided in Sec. 163.5 of this chapter.
[[Page 318]]
Sec. 10.808 Effect of noncompliance; failure to provide documentation
regarding transshipment.
(a) General. If the importer fails to comply with any requirement
under this subpart, including submission of a complete declaration under
Sec. 10.804 of this subpart, when requested, the port director may deny
preferential tariff treatment to the imported good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential treatment to a good if the good is shipped through or
transshipped in the territory of a country other than a Party, and the
importer of the good does not provide, at the request of the port
director, evidence demonstrating to the satisfaction of the port
director that the good was imported directly from the territory of a
Party into the territory of the other Party (see Sec. 10.817 of this
subpart).
Rules of Origin
Sec. 10.809 Definitions.
For purposes of Sec. Sec. 10.809 through 10.817:
(a) Exporter. ``Exporter'' means a person who exports goods from the
territory of a Party;
(b) Generally Accepted Accounting Principles. ``Generally Accepted
Accounting Principles'' means the recognized consensus or substantial
authoritative support in the territory of a Party, with respect to the
recording of revenues, expenses, costs, assets, and liabilities, the
disclosure of information, and the preparation of financial statements.
These standards may encompass broad guidelines of general application as
well as detailed standards, practices, and procedures;
(c) Good. ``Good'' means any merchandise, product, article, or
material;
(d) Goods wholly the growth, product, or manufacture of one or both
of the Parties. ``Goods wholly the growth, product, or manufacture of
one or both of the Parties'' means:
(1) Mineral goods extracted in the territory of one or both of the
Parties;
(2) Vegetable goods, as such goods are defined in the HTSUS,
harvested in the territory of one or both of the Parties;
(3) Live animals born and raised in the territory of one or both of
the Parties;
(4) Goods obtained from live animals raised in the territory of one
or both of the Parties;
(5) Goods obtained from hunting, trapping, or fishing in the
territory of one or both of the parties;
(6) Goods (fish, shellfish, and other marine life) taken from the
sea by vessels registered or recorded with a party and flying its flag;
(7) Goods produced from goods referred to in paragraph (d)(6) of
this section on board factory ships registered or recorded with that
Party and flying its flag;
(8) Goods taken by a Party or a person of a Party from the seabed or
beneath the seabed outside territorial waters, provided that a Party has
rights to exploit such seabed;
(9) Goods taken from outer space, provided they are obtained by a
Party or a person of a Party and not processed in the territory of a
non-Party;
(10) Waste and scrap derived from:
(i) Production or manufacture in the territory of one or both of the
Parties, or
(ii) Used goods collected in the territory of one or both of the
Parties, provided such goods are fit only for the recovery of raw
materials;
(11) Recovered goods derived in the territory of a Party from used
goods, and utilized in the territory of that Party in the production of
remanufactured goods; and
(12) Goods produced in the territory of one or both of the Parties
exclusively from goods referred to in paragraphs (d)(1) through (d)(10)
of this section, or from their derivatives, at any stage of production;
(e) Importer. Importer means a person who imports goods into the
territory of a Party;
(f) Indirect material. ``Indirect material'' means a good used in
the growth, production, manufacture, testing, or inspection of a good
but not physically incorporated into the good, or a good used in the
maintenance of buildings or the operation of equipment associated
[[Page 319]]
with the growth, production, or manufacture of a good, including:
(1) Fuel and energy;
(2) Tools, dies, and molds;
(3) Spare parts and materials used in the maintenance of equipment
and buildings;
(4) Lubricants, greases, compounding materials, and other materials
used in the growth, production, or manufacture of a good or used to
operate equipment and buildings;
(5) Gloves, glasses, footwear, clothing, safety equipment, and
supplies;
(6) Equipment, devices, and supplies used for testing or inspecting
the good;
(7) Catalysts and solvents; and
(8) Any other goods that are not incorporated into the good but the
use of which in the growth, production, or manufacture of the good can
reasonably be demonstrated to be a part of that growth, production, or
manufacture;
(g) Material. ``Material'' means a good, including a part or
ingredient, that is used in the growth, production, or manufacture of
another good that is a new or different article of commerce that has
been grown, produced, or manufactured in one or both of the Parties;
(h) Material produced in the territory of one or both of the
Parties. ``Material produced in the territory of one or both of the
Parties'' means a good that is either wholly the growth, product, or
manufacture of one or both of the Parties, or a new or different article
of commerce that has been grown, produced, or manufactured in the
territory of one or both of the Parties;
(i) New or different article of commerce. A ``new or different
article of commerce'' exists when the country of origin of a good which
is produced in a Party from foreign materials is determined to be that
country under the provisions of Sec. Sec. 102.1 through 102.21 of this
chapter;
(j) Non-originating material. ``Non-originating material'' means a
material that does not qualify as originating under this subpart or
General Note 30, HTSUS;
(k) Packing materials and containers for shipment. ``Packing
materials and containers for shipment'' means the goods used to protect
a good during its transportation to the United States, and does not
include the packaging materials and containers in which a good is
packaged for retail sale;
(l) Recovered goods. ``Recovered goods'' means materials in the form
of individual parts that result from:
(1) The complete disassembly of used goods into individual parts;
and
(2) The cleaning, inspecting, testing, or other processing of those
parts as necessary for improvement to sound working condition;
(m) Remanufactured good. ``Remanufactured good'' means an industrial
good that is assembled in the territory of a Party and that:
(1) Is entirely or partially comprised of recovered goods;
(2) Has a similar life expectancy to, and meets the same performance
standards as, a like good that is new; and
(3) Enjoys the factory warranty similar to that of a like good that
is new;
(n) Simple combining or packaging operations. ``Simple combining or
packaging operations'' means operations such as adding batteries to
electronic devices, fitting together a small number of components by
bolting, gluing, or soldering, and repacking and packaging components
together.
[CBP Dec. 07-81, 72 FR 58515, Oct. 16, 2007, as amended at CBP Dec. 10-
29, 75 FR 52450, Aug. 26, 2010]
Sec. 10.810 Originating goods.
(a) General. A good will be considered an originating good under the
BFTA when imported directly from the territory of a Party into the
territory of the other Party only if:
(1) The good is wholly the growth, product, or manufacture of one or
both of the Parties;
(2) The good is a new or different article of commerce, as defined
in Sec. 10.809(i) of this subpart, that has been grown, produced, or
manufactured in the territory of one or both of the Parties, is provided
for in a heading or subheading of the HTSUS that is not covered by the
product-specific rules set forth in General Note 30(h), HTSUS, and meets
the value-content requirement specified in paragraph (b) of this
section; or
(3) The good is provided for in a heading or subheading of the HTSUS
covered by the product-specific rules set
[[Page 320]]
forth in General Note 30(h), HTSUS, and:
(i)(A) Each of the non-originating materials used in the production
of the good undergoes an applicable change in tariff classification
specified in General Note 30(h), HTSUS, as a result of production
occurring entirely in the territory of one or both of the Parties; or
(B) The good otherwise satisfies the requirements specified in
General Note 30(h), HTSUS; and
(ii) The good meets any other requirements specified in General Note
30, HTSUS.
(b) Value-content requirement. A good described in paragraph (a)(2)
of this section will be considered an originating good under the BFTA
only if the sum of the value of materials produced in one or both of the
Parties, plus the direct costs of processing operations performed in one
or both of the Parties, is not less than 35 percent of the appraised
value of the good at the time the good is entered into the territory of
the United States.
(c) Combining, packaging, and diluting operations. For purposes of
this subpart, a good will not be considered a new or different article
of commerce by virtue of having undergone simple combining or packaging
operations, or mere dilution with water or another substance that does
not materially alter the characteristics of the good. The principles and
examples set forth in Sec. 10.195(a)(2) of this part will apply equally
for purposes of this paragraph.
Sec. 10.811 Textile or apparel goods.
(a) De minimis--(1) General. Except as provided in paragraph (a)(2)
of this section, a textile or apparel good that is not an originating
good under the BFTA because certain fibers or yarns used in the
production of the component of the good that determines the tariff
classification of the good do not undergo an applicable change in tariff
classification set out in General Note 30(h), HTSUS, will be considered
to be an originating good if the total weight of all such fibers or
yarns is not more than seven percent of the total weight of that
component.
(2) Exception. A textile or apparel good containing elastomeric
yarns in the component of the good that determines the tariff
classification of the good will be considered to be an originating good
only if such yarns are wholly formed in the territory of a Party.
(b) Textile or apparel goods put up in sets. Notwithstanding the
specific rules specified in General Note 30(h), HTSUS, textile or
apparel goods classifiable as goods put up in sets for retail sale as
provided for in General Rule of Interpretation 3, HTSUS, will not be
considered to be originating goods under the BFTA unless each of the
goods in the set is an originating good or the total value of the non-
originating goods in the set does not exceed ten percent of the
appraised value of the set.
[CBP Dec. 07-81, 72 FR 58515, Oct. 16, 2007, as amended at CBP Dec. 10-
29, 75 FR 52450, Aug. 26, 2010]
Sec. 10.812 Accumulation.
(a) An originating good or material produced in the territory of one
or both of the Parties that is incorporated into a good in the territory
of the other Party will be considered to originate in the territory of
the other Party.
(b) A good that is grown, produced, or manufactured in the territory
of one or both of the Parties by one or more producers is an originating
good if the good satisfies the requirements of Sec. 10.810 of this
subpart and all other applicable requirements of General Note 30, HTSUS.
Sec. 10.813 Value of materials.
(a) General. For purposes of Sec. 10.810(b) of this subpart and,
except as provided in paragraph (b) of this section, the value of a
material produced in the territory of one or both of the Parties
includes the following:
(1) The price actually paid or payable for the material by the
producer of the good;
(2) The freight, insurance, packing and all other costs incurred in
transporting the material to the producer's plant, if such costs are not
included in the price referred to in paragraph (a)(1) of this section;
(3) The cost of waste or spoilage resulting from the use of the
material in
[[Page 321]]
the growth, production, or manufacture of the good, less the value of
recoverable scrap; and
(4) Taxes or customs duties imposed on the material by one or both
of the Parties, if the taxes or customs duties are not remitted upon
exportation from the territory of a Party.
(b) Exception. If the relationship between the producer of a good
and the seller of a material influenced the price actually paid or
payable for the material, or if there is no price actually paid or
payable by the producer for the material, the value of the material
produced in the territory of one or both of the Parties includes the
following:
(1) All expenses incurred in the growth, production, or manufacture
of the material, including general expenses;
(2) A reasonable amount for profit; and
(3) The freight, insurance, packing, and all other costs incurred in
transporting the material to the producer's plant.
Sec. 10.814 Direct costs of processing operations.
(a) Items included. For purposes of Sec. 10.810(b) of this subpart,
the words ``direct costs of processing operations'', with respect to a
good, mean those costs either directly incurred in, or that can be
reasonably allocated to, the growth, production, or manufacture of the
good in the territory of one or both of the Parties. Such costs include,
to the extent they are includable in the appraised value of the good
when imported into a Party, the following:
(1) All actual labor costs involved in the growth, production, or
manufacture of the specific good, including fringe benefits, on-the-job
training, and the costs of engineering, supervisory, quality control,
and similar personnel;
(2) Tools, dies, molds, and other indirect materials, and
depreciation on machinery and equipment that are allocable to the
specific good;
(3) Research, development, design, engineering, and blueprint costs,
to the extent that they are allocable to the specific good;
(4) Costs of inspecting and testing the specific good; and
(5) Costs of packaging the specific good for export to the territory
of the other Party.
(b) Items not included. For purposes of Sec. 10.810(b) of this
subpart, the words ``direct costs of processing operations'' do not
include items that are not directly attributable to the good or are not
costs of growth, production, or manufacture of the good. These include,
but are not limited to:
(1) Profit; and
(2) General expenses of doing business that are either not allocable
to the good or are not related to the growth, production, or manufacture
of the good, such as administrative salaries, casualty and liability
insurance, advertising, and salesmen's salaries, commissions, or
expenses.
Sec. 10.815 Packaging and packing materials and containers for retail
sale and for shipment.
Packaging materials and containers in which a good is packaged for
retail sale and packing materials and containers for shipment are to be
disregarded in determining whether a good qualifies as an originating
good under Sec. 10.810 of this subpart and General Note 30, HTSUS,
except to the extent that the value of such packaging and packing
materials and containers may be included in meeting the value-content
requirement specified in Sec. 10.810(b) of this subpart.
Sec. 10.816 Indirect materials.
Indirect materials are to be disregarded in determining whether a
good qualifies as an originating good under Sec. 10.810 of this subpart
and General Note 30, HTSUS, except that the cost of such indirect
materials may be included in meeting the value-content requirement
specified in Sec. 10.810(b) of this subpart.
Sec. 10.817 Imported directly.
(a) General. To qualify as an originating good under the BFTA, a
good must be imported directly from the territory of a Party into the
territory of the other Party. For purposes of this subpart, the words
``imported directly'' mean:
(1) Direct shipment from the territory of a Party into the territory
of the
[[Page 322]]
other Party without passing through the territory of a non-Party; or
(2) If the shipment passed through the territory of a non-Party, the
good, upon arrival in the territory of a Party, will be considered to be
``imported directly'' only if the good did not undergo production,
manufacturing, or any other operation outside the territories of the
Parties, other than unloading, reloading, or any other operation
necessary to preserve the good in good condition or to transport the
good to the territory of a Party. Operations that may be performed
outside the territories of the Parties include inspection, removal of
dust that accumulates during shipment, ventilation, spreading out or
drying, chilling, replacing salt, sulfur dioxide, or aqueous solutions,
replacing damaged packing materials and containers, and removal of units
of the good that are spoiled or damaged and present a danger to the
remaining units of the good, or to transport the good to the territory
of a Party.
(b) Documentary evidence. An importer making a claim for
preferential tariff treatment under the BFTA for an originating good may
be required to demonstrate, to CBP's satisfaction, that the good was
``imported directly'' from the territory of a Party into the territory
of the other Party, as that term is defined in paragraph (a) of this
section. An importer may demonstrate compliance with this section by
submitting documentary evidence. Such evidence may include, but is not
limited to, bills of lading, airway bills, packing lists, commercial
invoices, receiving and inventory records, and customs entry and exit
documents.
[CBP Dec. 07-81, 72 FR 58515, Oct. 16, 2007, as amended at CBP Dec. 09-
17, 74 FR 23951, May 22, 2009]
Tariff Preference Level
Sec. 10.818 Filing of claim for tariff preference level.
A fabric, apparel, or made-up good described in Sec. 10.819 of this
subpart that does not qualify as an originating good under Sec. 10.810
of this subpart may nevertheless be entitled to preferential tariff
treatment under the BFTA under an applicable tariff preference level
(TPL). To make a TPL claim, the importer must include on the entry
summary, or equivalent documentation, the applicable subheading in
Chapter 99 of the HTSUS (9914.99.20) immediately above the applicable
subheading in Chapter 52 through Chapter 63 of the HTSUS under which
each non-originating fabric or apparel good is classified.
Sec. 10.819 Goods eligible for tariff preference claims.
The following goods are eligible for a TPL claim filed under
Sec. 10.818 of this subpart (subject to the quantitative limitations set
forth in U.S. Note 13, Subchapter XIV, Chapter 99, HTSUS):
(a) Cotton or man-made fiber fabric goods provided for in Chapters
52, 54, 55, 58, and 60 of the HTSUS that are wholly formed in the
territory of Bahrain from yarn produced or obtained outside the
territory of Bahrain or the United States;
(b) Cotton or man-made fiber fabric goods provided for in
subheadings 5801.21, 5801.22, 5801.23, 5801.24, 5801.25, 5801.26,
5801.31, 5801.32, 5801.33, 5801.34, 5801.35, 5801.36, 5802.11, 5802.19,
5802.20, 5802.30, 5803.10, 5803.90.30, 5804.10.10, 5804.21, 5804.29.10,
5804.30, 5805.00.30, 5805.00.40, 5806.10.10, 5806.10.24, 5806.10.28,
5806.20, 5806.31, 5806.32, 5807.10.05, 5807.10.20, 5807.90.05,
5807.90.20, 5808.10.40, 5808.10.70, 5808.90, 5809.00, 5810.10, 5810.91,
5810.92, 5811.00.20, 5811.00.30, 6001.10, 6001.21, 6001.22, 6001.91,
6001.92, 6002.40, 6002.90, 6003.20, 6003.30, 6003.40, 6004.10, 6004.90,
6005.21, 6005.22, 6005.23, 6005.24, 6005.31, 6005.32, 6005.33, 6005.34,
6005.41, 6005.42, 6005.43, 6005.44, 6006.21, 6006.22, 6006.23, 6006.24,
6006.31, 6006.32, 6006.33, 6006.34, 6006.41, 6006.42, 6006.43, and
6006.44 of the HTSUS that are wholly formed in the territory of Bahrain
from yarn spun in the territory of Bahrain or the United States from
fiber produced or obtained outside the territory of Bahrain or the
United States;
(c) Cotton or man-made fiber apparel goods provided for in Chapters
61 or 62 of the HTSUS that are cut or knit to shape, or both, and sewn
or otherwise assembled in the territory of Bahrain from fabric or yarn
produced or obtained outside the territory of Bahrain or the United
States; and
[[Page 323]]
(d) Cotton or man-made fiber made-up goods provided for in Chapter
63 of the HTSUS that are cut or knit to shape, or both, and sewn or
otherwise assembled in the territory of Bahrain from fabric wholly
formed in Bahrain or the United States from yarn produced or obtained
outside the territory of Bahrain or the United States.
Sec. 10.820 Certificate of eligibility.
Upon request, an importer claiming preferential tariff treatment on
a non-originating cotton or man-made fiber good specified in Sec. 10.819
of this subpart must submit to CBP a certificate of eligibility. The
certificate of eligibility must be completed and signed by an authorized
official of the Government of Bahrain and must be in the possession of
the importer at the time the preferential tariff treatment is claimed.
Sec. 10.821 Declaration.
(a) General. An importer who claims preferential tariff treatment on
a non-originating cotton or man-made fiber good specified in Sec. 10.819
of this subpart must submit, at the request of the port director, a
declaration supporting such a claim for preferential tariff treatment
that sets forth all pertinent information concerning the production of
the good, including:
(1) A description of the good, quantity, invoice numbers, and bills
of lading;
(2) A description of the operations performed in the production of
the good in the territory of one or both of the Parties;
(3) A reference to the specific provision in Sec. 10.819 of this
subpart that forms the basis for the claim for preferential tariff
treatment; and
(4) A statement as to any fiber, yarn, or fabric of a non-Party and
the origin of such materials used in the production of the good.
(b) Retention of records. An importer must retain all documents
relied upon to prepare the declaration for a period of five years.
Sec. 10.822 Transshipment of non-originating fabric or apparel goods.
(a) General. To qualify for preferential tariff treatment under an
applicable TPL, a good must be imported directly from the territory of a
Party into the territory of the other Party. For purposes of this
subpart, the words ``imported directly'' mean:
(1) Direct shipment from the territory of a Party into the territory
of the other Party without passing through the territory of a non-Party;
or
(2) If the shipment passed through the territory of a non-Party, the
good, upon arrival in the territory of a Party, will be considered to be
``imported directly'' only if the good did not undergo production,
manufacturing, or any other operation outside the territories of the
Parties, other than unloading, reloading, or any other operation
necessary to preserve the good in good condition or to transport the
good to the territory of a Party. Operations that may be performed
outside the territories of the Parties include inspection, removal of
dust that accumulates during shipment, ventilation, spreading out or
drying, chilling, replacing salt, sulfur dioxide, or aqueous solutions,
replacing damaged packing materials and containers, and removal of units
of the good that are spoiled or damaged and present a danger to the
remaining units of the good, or to transport the good to the territory
of a Party.
(b) Documentary evidence. An importer making a claim for
preferential tariff treatment under an applicable TPL may be required to
demonstrate, to CBP's satisfaction, that the good was ``imported
directly'' from the territory of a Party into the territory of the other
Party, as that term is defined in paragraph (a) of this section. An
importer may demonstrate compliance with this section by submitting
documentary evidence. Such evidence may include, but is not limited to,
bills of lading, airway bills, packing lists, commercial invoices,
receiving and inventory records, and customs entry and exit documents.
[CBP Dec. 07-81, 72 FR 58515, Oct. 16, 2007, as amended at CBP 08-28, 73
FR 42681, July 23, 2008; CBP Dec. 09-17, 74 FR 23951, May 22, 2009]
[[Page 324]]
Sec. 10.823 Effect of non-compliance; failure to provide documentation
regarding transshipment of non-originating fabric or apparel
goods.
(a) General. If an importer of a good for which a TPL claim is made
fails to comply with any applicable requirement under this subpart, the
port director may deny preferential tariff treatment to the imported
good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential tariff treatment to a good for which a TPL claim is made if
the good is shipped through or transshipped in a country other than a
Party, and the importer of the good does not provide, at the request of
the port director, evidence demonstrating to the satisfaction of the
port director that the requirements set forth in Sec. 10.822 of this
subpart were met.
Origin Verifications and Determinations
Sec. 10.824 Verification and justification of claim for preferential
treatment.
(a) Verification. A claim for preferential treatment made under
Sec. 10.803 of this subpart, including any declaration or other
information submitted to CBP in support of the claim, will be subject to
such verification as the port director deems necessary. In the event
that the port director is provided with insufficient information to
verify or substantiate the claim, the port director may deny the claim
for preferential treatment.
(b) Applicable accounting principles. When conducting a verification
of origin to which Generally Accepted Accounting Principles may be
relevant, CBP will apply and accept the Generally Accepted Accounting
Principles applicable in the country of production.
Sec. 10.825 Issuance of negative origin determinations.
If, as a result of an origin verification initiated under this
subpart, CBP determines that a claim for preferential tariff treatment
made under Sec. 10.803 of this subpart should be denied, it will issue a
determination in writing or via an authorized electronic data
interchange system to the importer that sets forth the following:
(a) A description of the good that was the subject of the
verification together with the identifying numbers and dates of the
export and import documents pertaining to the good;
(b) A statement setting forth the findings of fact made in
connection with the verification and upon which the determination is
based; and
(c) With specific reference to the rules applicable to originating
goods as set forth in General Note 30, HTSUS, and in Sec. Sec. 10.809
through 10.817 of this subpart, the legal basis for the determination.
Penalties
Sec. 10.826 Violations relating to the BFTA.
All criminal, civil, or administrative penalties which may be
imposed on U.S. importers for violations of the customs and related laws
and regulations will also apply to U.S. importers for violations of the
laws and regulations relating to the BFTA.
Goods Returned After Repair or Alteration
Sec. 10.827 Goods re-entered after repair or alteration in Bahrain.
(a) General. This section sets forth the rules that apply for
purposes of obtaining duty-free treatment on goods returned after repair
or alteration in Bahrain as provided for in subheadings 9802.00.40 and
9802.00.50, HTSUS. Goods returned after having been repaired or altered
in Bahrain, whether or not pursuant to a warranty, are eligible for
duty-free treatment, provided that the requirements of this section are
met. For purposes of this section, ``repairs or alterations'' means
restoration, addition, renovation, re-dyeing, cleaning, re-sterilizing,
or other treatment which does not destroy the essential characteristics
of, or create a new or commercially different good from, the good
exported from the United States.
(b) Goods not eligible for treatment. The duty-free treatment
referred to in paragraph (a) of this section will not
[[Page 325]]
apply to goods which, in their condition as exported from the United
States to Bahrain, are incomplete for their intended use and for which
the processing operation performed in Bahrain constitutes an operation
that is performed as a matter of course in the preparation or
manufacture of finished goods.
(c) Documentation. The provisions of paragraphs (a), (b), and (c) of
Sec. 10.8 of this part, relating to the documentary requirements for
goods entered under subheading 9802.00.40 or 9802.00.50, HTSUS, will
apply in connection with the entry of goods which are returned from
Bahrain after having been exported for repairs or alterations and which
are claimed to be duty free.
Subpart O_Haitian Hemispheric Opportunity through Partnership
Encouragement Act of 2006
Source: CBP Dec. 07-43, 72 FR 34369, June 22, 2007, unless otherwise
noted.
Sec. 10.841 Applicability.
Title V of Public Law 109-432, entitled the Haitian Hemispheric
Opportunity through Partnership Encouragement Act of 2006 (HOPE I Act),
amended the Caribbean Basin Economic Recovery Act (the CBERA, 19 U.S.C.
2701-2707) by adding a new section 213A (19 U.S.C. 2703A) to authorize
the President to extend additional trade benefits to Haiti. part I,
Subtitle D, Title XV of Public Law 110-234, entitled the Haitian
Hemispheric Opportunity through Partnership Encouragement Act of 2008
(HOPE II Act) amended certain provisions within section 213A. Section
213A of the CBERA provides for the duty-free treatment of certain
apparel articles and certain wiring sets from Haiti. The provisions of
this subpart set forth the legal requirements and procedures that apply
for purposes of obtaining duty-free treatment pursuant to CBERA section
213A.
[CBP Dec. 08-24, 73 FR 56725, Sept. 30, 2008]
Sec. 10.842 Definitions.
As used in this subpart, the following terms have the meanings
indicated unless either the context in which they are used requires a
different meaning or a different definition is prescribed for a
particular section of this subpart:
(a) Apparel articles. ``Apparel articles'' means goods classifiable
in Chapters 61 and 62 and headings 6501, 6502, 6503, and 6504 and
subheadings 6406.99.15 and 6505.90 of the HTSUS;
(b) Applicable one-year period. ``Applicable one-year period'' means
each of the following one-year periods:
(1) Initial applicable one-year period. ``Initial applicable one-
year period'' means the period beginning on December 20, 2006, and
ending on December 19, 2007;
(2) Second applicable one-year period. ``Second applicable one-year
period'' means the period beginning on December 20, 2007, and ending on
December 19, 2008;
(3) Third applicable one-year period. ``Third applicable one-year
period'' means the period beginning on December 20, 2008, and ending on
December 19, 2009;
(4) Fourth applicable one-year period. ``Fourth applicable one-year
period'' means the period beginning on December 20, 2009, and ending on
December 19, 2010; and
(5) Fifth applicable one-year period. ``Fifth applicable one-year
period'' means the period beginning on December 20, 2010, and ending on
December 19, 2011;
(c) Customs territory of the United States. ``Customs territory of
the United States'' means the 50 states, the District of Columbia, and
Puerto Rico;
(d) Declared customs value. ``Declared customs value'' means the
appraised value of an imported article determined in accordance with
section 402 of the Tariff Act of 1930, as amended (19 U.S.C. 1401a);
(e) Enter; entry. ``Enter'' and ``entry'' refer to the entry, or
withdrawal from warehouse for consumption, in the customs territory of
the United States;
(f) Entity controlling production. ``Entity controlling production''
means an individual, corporation, partnership, association, or other
entity or group that is not a producer and that controls the production
process in Haiti through a contractual relationship or other indirect
means;
[[Page 326]]
(g) Fabric component. ``Fabric component'' means a component cut
from fabric to the shape or form of the component as it is used in the
apparel article;
(h) Foreign material. ``Foreign material'' means a material not
produced in Haiti or any eligible country described in Sec. 10.844(c);
(i) HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the
United States;
(j) Knit-to-shape articles. ``Knit-to-shape,'' when used with
reference to apparel articles, means any apparel article of which 50
percent or more of the exterior surface area is formed by major parts
that have been knitted or crocheted directly to the shape used in the
apparel article, with no consideration being given to patch pockets,
appliques, or the like. Minor cutting, trimming, or sewing of those
major parts will not affect the determination of whether an apparel
article is ``knit-to-shape'';
(k) Knit-to-shape components. ``Knit-to-shape,'' when used with
reference to textile components, means components that are knitted or
crocheted from a yarn directly to a specific shape, that is, the shape
or form of the component as it is used in the apparel article,
containing at least one self-start edge. Minor cutting or trimming will
not affect the determination of whether a component is ``knit-to-
shape'';
(l) Major parts. ``Major parts'' means integral components of an
apparel article but does not include collars, cuffs, waistbands,
plackets, pockets, linings, paddings, trim, accessories, or similar
parts or components;
(m) Producer. ``Producer'' means an individual, corporation,
partnership, association, or other entity or group that exercises
direct, daily operational control over the production process in Haiti;
(n) Self-start edge. ``Self-start edge,'' when used with reference
to knit-to-shape components, means a finished edge which is finished as
the component comes off the knitting machine. Several components with
finished edges may be linked by yarn or thread as they are produced from
the knitting machine;
(o) Subheading. ``Subheading'' means the first six digits in the
tariff classification number under the HTSUS;
(p) Wholly assembled in Haiti. ``Wholly assembled in Haiti'' means
that all components, of which there must be at least two, pre-existed in
essentially the same condition as found in the finished good and were
combined to form the finished good in Haiti. Minor attachments and minor
embellishments (for example, appliqu[eacute]s, beads, spangles,
embroidery, and buttons) not appreciably affecting the identity of the
good, and minor subassemblies (for example, collars, cuffs, plackets,
and pockets), will not affect the determination of whether a good is
``wholly assembled in Haiti''.
(q) Wholly the growth, product, or manufacture. ``Wholly the growth,
product, or manufacture,'' when used with reference to Haiti or one or
more eligible countries described in Sec. 10.844(c) of this subpart,
refers both to any article which has been entirely grown, produced, or
manufactured in Haiti or one or more eligible countries described in
Sec. 10.844(c) of this subpart and to all materials incorporated in an
article which have been entirely grown, produced, or manufactured in
Haiti or one or more eligible countries described in Sec. 10.844(c) of
this subpart.
[CBP Dec. 07-43, 72 FR 34369, June 22, 2007, as amended at CBP Dec. 08-
24, 73 FR 56725, Sept. 30, 2008]
Sec. 10.843 Articles eligible for duty-free treatment.
The duty-free treatment referred to in Sec. 10.841 of this subpart
applies to the articles described in paragraphs (a) through (j) of this
section that are imported directly from Haiti or the Dominican Republic
into the customs territory of the United States and to the articles
described in paragraph (k) of this section that are imported directly
from Haiti into the customs territory of the United States.
(a) Certain apparel articles. Apparel articles of a producer or
entity controlling production that are wholly assembled or knit-to-shape
in Haiti from any combination of fabrics, fabric components, components
knit-to-shape, and yarns, subject to the applicable quantitative limits
set forth in U.S. Note
[[Page 327]]
6(g), Subchapter XX, Chapter 98, HTSUS, and provided that the applicable
value-content requirement set forth in Sec. 10.844(a) of this subpart is
met through the use of:
(1) The individual entry method (see Sec. 10.844(a)(1) of this
subpart); or
(2) The annual aggregation method (see Sec. 10.844(a)(2) of this
subpart).
(b) Certain woven apparel articles. Apparel articles classifiable in
Chapter 62 of the HTSUS that are wholly assembled or knit-to-shape in
Haiti from any combination of fabrics, fabric components, components
knit-to-shape, and yarns, without regard to the source of the fabric,
fabric components, components knit-to-shape, or yarns from which the
article is made, subject to the applicable quantitative limits set forth
in U.S. Note 6(h), Subchapter XX, Chapter 98, HTSUS.
(c) Brassieres. Apparel articles classifiable in subheading 6212.10
of the HTSUS that are wholly assembled or knit-to-shape in Haiti from
any combination of fabrics, fabric components, components knit-to-shape,
or yarns, without regard to the source of the fabric, fabric components,
components knit-to-shape, or yarns from which the article is made.
(d) Certain knit apparel articles--(1) General. Apparel articles
classifiable in Chapter 61 of the HTSUS (other than those described in
paragraph (d)(2) of this section) that are wholly assembled or knit-to-
shape in Haiti from any combination of fabrics, fabric components,
components, components knit-to-shape, or yarns, without regard to the
source of the fabric, fabric components, components knit-to-shape, or
yarns from which the article is made, subject to the applicable
quantitative limits set forth in U.S. Note 6(j), Subchapter XX, Chapter
98, HTSUS.
(2) Exclusions. Duty-free treatment for the articles described in
paragraph (d)(1) of this section will not apply to the following:
(i) The following apparel articles of cotton, for men or boys, that
are classifiable in subheading 6109.10.00 of the HTSUS:
(A) All white T-shirts, with short hemmed sleeves and hemmed bottom,
with crew or round neckline or with V-neck and with a mitered seam at
the center of the V, and without pockets, trim, or embroidery;
(B) All white singlets, without pockets, trim, or embroidery; and
(C) Other T-shirts, but not including thermal undershirts;
(ii) T-shirts for men or boys that are classifiable in subheading
6109.90.10 of the HTSUS;
(iii) The following apparel articles of cotton, for men or boys,
that are classifiable in subheading 6110.20.20 of the HTSUS:
(A) Sweatshirts; and
(B) Pullovers, other than sweaters, vests, or garments imported as
part of playsuits; or
(iv) Sweatshirts for men or boys, of man-made fibers and containing
less than 65 percent by weight of man-made fibers, that are classifiable
in subheading 6110.30.30 of the HTSUS.
(e) Other apparel articles. Any of the following apparel articles
that is wholly assembled or knit-to-shape in Haiti from any combination
of fabrics, fabric components, components knit-to-shape, or yarns,
without regard to the source of the fabric, fabric components,
components knit-to-shape, or yarns from which the article is made:
(1) Any apparel article that is of a type listed in chapter rule 3,
4, or 5 for chapter 61 of the HTSUS (as such chapter rules are contained
in section A of the Annex to Presidential Proclamation 8213 of December
20, 2007) as being excluded from the scope of such chapter rule, when
such chapter rule is applied to determine whether an apparel article is
an originating good for purposes of General Note 29(n), HTSUS, except
that, for purposes of this provision, reference in such chapter rules to
subheading 6104.12.00 of the HTSUS is deemed to refer to subheading
6104.19.60 of the HTSUS; or
(2) Any apparel article (other than articles to which paragraph (c)
of this section applies (brassieres)) that is of a type listed in
chapter rule 3(a), 4(a), or 5(a) for chapter 62 of the HTSUS, as such
chapter rules are contained in paragraph 9 of section A of the Annex to
Presidential Proclamation 8213 of December 20, 2007.
(f) Luggage and similar items. Articles classifiable in subheading
4202.12, 4202.22, 4202.32, or 4202.92 of the HTSUS
[[Page 328]]
that are wholly assembled in Haiti, without regard to the source of the
fabric, components, or materials from which the article is made.
(g) Headgear. Articles classifiable in heading 6501, 6502, or 6504,
or subheading 6505.90 of the HTSUS that are wholly assembled, knit-to-
shape, or formed in Haiti from any combination of fabrics, fabric
components, components knit-to-shape, or yarns, without regard to the
source of the fabric, fabric components, components knit-to-shape, or
yarns from which the article is made.
(h) Certain sleepwear. Any of the following apparel articles that is
wholly assembled or knit-to-shape in Haiti from any combination of
fabrics, fabric components, components knit-to-shape, or yarns, without
regard to the source of the fabric, fabric components, components knit-
to-shape, or yarns from which the article is made:
(1) Pajama bottoms and other sleepwear for women and girls, of
cotton, that are classifiable in subheading 6208.91.30, HTSUS, or of
man-made fibers, that are classifiable in subheading 6208.92.00, HTSUS;
or
(2) Pajama bottoms and other sleepwear for girls, of other textile
materials, that are classifiable in subheading 6208.99.20, HTSUS.
(i) Earned import allowance rule. Apparel articles wholly assembled
or knit-to-shape in Haiti from any combination of fabrics, fabric
components, components knit-to-shape, or yarns, without regard to the
source of the fabric, fabric components, components knit-to-shape, or
yarns from which the articles are made, if such apparel articles are
accompanied by an earned import allowance certificate issued by the
Department of Commerce that reflects the amount of credits equal to the
total square meter equivalents of such apparel articles, in accordance
with the earned import allowance program established by the Secretary of
Commerce pursuant to 19 U.S.C. 2703A(b)(4)(B).
(j) Apparel articles of short supply materials. Apparel articles
that are wholly assembled or knit-to-shape in Haiti from any combination
of fabrics, fabric components, components knit-to-shape, or yarns,
without regard to the source of the fabrics, fabric components,
components knit-to-shape, or yarns from which the article is made, if
the fabrics, fabric components, components knit-to-shape, or yarns
comprising the component that determines the tariff classification of
the article are of any of the following:
(1) Fabrics or yarns, to the extent that apparel articles of such
fabrics or yarns would be eligible for preferential treatment, without
regard to the source of the fabrics or yarns, under Annex 401 of the
North American Free Trade Agreement (NAFTA); or
(2) Fabrics or yarns, to the extent that such fabrics or yarns are
designated as not being available in commercial quantities for purposes
of:
(i) Section 213(b)(2)(A)(v) of the CBERA (19 U.S.C.
2703(b)(2)(A)(v));
(ii) Section 112(b)(5) of the African Growth and Opportunity Act (19
U.S.C. 3721(b)(5));
(iii) Section 204(b)(3)(B)(i)(III) or 204(b)(3)(B)(ii) of the Andean
Trade Preference Act (19 U.S.C. 3203(b)(3)(B)(i)(II) or
3203(b)(3)(B)(ii)); or
(iv) Any other provision, relating to determining whether a textile
or apparel article is an originating good eligible for preferential
treatment, of a law that implements a free trade agreement entered into
by the United States that is in effect at the time the claim for
preferential tariff treatment is made under Sec. 10.847 of this subpart.
(k) Wiring sets. Any article classifiable in subheading 8544.30.00
of the HTSUS, as in effect on December 20, 2006, that is the product or
manufacture of Haiti, provided the article satisfies the value-content
requirement set forth in Sec. 10.844(b) of this subpart. For purposes of
this paragraph, the term ``product or manufacture of Haiti'' refers to
an article that is either:
(1) Wholly the growth, product, or manufacture of Haiti; or
(2) A new or different article of commerce that has been grown,
produced, or manufactured in Haiti.
[CBP Dec. 07-43, 72 FR 34369, June 22, 2007, as amended at CBP Dec. 08-
24, 73 FR 56725, Sept. 30, 2008]
Sec. 10.844 Value-content requirement.
(a) Certain apparel articles--(1) General. Except as provided in
paragraph
[[Page 329]]
(a)(2) of this section, apparel articles described in Sec. 10.843(a) of
this subpart will be eligible for duty-free treatment only if, for each
entry of such articles in the applicable one-year period for which a
duty-free claim is made for such articles under Sec. 10.847(a) of this
subpart, the sum of the cost or value of the materials produced in Haiti
or one or more eligible countries described in paragraph (c) of this
section, or any combination thereof, plus the direct costs of processing
operations performed in Haiti or one or more eligible countries
described in paragraph (c) of this section, or any combination thereof,
is not less than (as applicable):
(i) 50 percent or more of the declared customs value of the articles
entered during the initial applicable one-year period, the second
applicable one-year period, and the third applicable one-year period;
(ii) 55 percent or more of the declared customs value of the
articles entered during the fourth applicable one-year period; and
(iii) 60 percent or more of the declared customs value of the
articles entered during the fifth applicable one-year period.
(2) Annual aggregation--(i) Initial applicable one-year period. In
the initial applicable one-year period, the applicable value-content
requirement set forth in paragraph (a)(1) of this section may also be
met for apparel articles of a producer or an entity controlling
production that are entered during the initial applicable one-year
period and for which duty-free treatment is claimed under Sec. 10.847(a)
of this subpart by aggregating the cost or value of materials and the
direct costs of processing operations, as those terms are used in
paragraph (a)(1) of this section, with respect to all apparel articles
of that producer or entity controlling production that are wholly
assembled or knit-to-shape in Haiti and are entered during the initial
applicable one-year period (except as provided in paragraph (a)(2)(iii)
of this section).
(ii) Other applicable one-year periods. In each of the second,
third, fourth, and fifth applicable one-year periods, the applicable
value-content requirement set forth in paragraph (a)(1) of this section
may also be met for apparel articles of a producer or an entity
controlling production that are entered during the applicable one-year
period and for which duty-free treatment is claimed under Sec. 10.847(a)
of this subpart by aggregating the cost or value of materials and the
direct costs of processing, as those terms are used in paragraph (a)(1)
of this section, with respect to all apparel articles of that producer
or entity controlling production that are wholly assembled or knit-to-
shape in Haiti and are entered during the preceding applicable one-year
period (except as provided in paragraph (a)(2)(iii) of this section).
(iii) Exclusions from annual aggregation calculation. The entry of
an apparel article that is wholly assembled or knit-to-shape in Haiti
and is receiving preferential tariff treatment under any provision of
law other than section 213A(b)(1) of the CBERA (19 U.S.C. 2703A(b)(1))
or is subject to the ``General'' subcolumn of column 1 of the HTSUS will
only be included in an annual aggregation under paragraph (a)(2)(i) or
(a)(2)(ii) of this section if the producer or entity controlling
production elects, at the time the annual aggregation calculation is
made, to include such entry in the aggregation.
Example. A Haitian producer elects to use the annual aggregation
method in the initial applicable one-year period, and also elects to
include in the aggregation calculation an entry of apparel articles
receiving preferential tariff treatment under another preference
program. The producer ships to the United States four shipments during
the initial applicable one-year period and all are entered during that
period. The first shipment of apparel (qualifying for and receiving
preference under the Caribbean Basin Trade Partnership Act (CBTPA)) has
an appraised value of $100,000 and meets a value-content percentage
(under Sec. 10.844(a) of this section) of 80%. The second shipment of
apparel is wholly assembled in Haiti, has an appraised value of
$100,000, and meets a value-content percentage of 40%. The third
shipment is wholly assembled in Haiti, has an appraised value of
$50,000, and meets a value-content percentage of 0%. The last shipment
is wholly assembled in Haiti, has an appraised value of $20,000, and
meets a value-content requirement of 80%. Taken together, the four
shipments have an appraised value of $270,000 and meet a value-content
percentage of 50.4%. The apparel articles shipped to the United States
in the last three shipments would qualify for duty-free treatment under
section
[[Page 330]]
213A(b)(1) of the CBERA and Sec. 10.843(a) of this subpart as the
applicable value-content requirement for the initial applicable one-year
period (50 %) is satisfied. This conclusion assumes that: The CBTPA-
eligible apparel articles in the first shipment (that were included in
the annual aggregation calculation at the election of the producer) were
wholly assembled or knit-to-shape in Haiti, as required in
Sec. 10.844(a)(2)(iii) of this section; and the articles in the last
three shipments that were wholly assembled in Haiti satisfy all other
applicable requirements set forth in this subpart.
(3) Election to use the annual aggregation method for an applicable
one-year period. A producer or entity controlling production may elect
to use the individual entry or annual aggregation method in any
applicable one-year period and then elect to use the other method during
the subsequent applicable one-year period, provided that all applicable
requirements are met during the applicable one-year period preceding the
period in which the switch is made. If a producer or entity controlling
production using the individual entry method in an applicable one-year
period elects to use the annual aggregation method during the subsequent
applicable one-year period, the declaration of compliance described in
Sec. 10.848 of this subpart must be submitted to CBP within 30 days
following the end of the applicable one-year period in which the
individual entry method was used.
(4) Failure to meet applicable requirements--(i) Initial applicable
one-year period. Except as provided in paragraph (a)(4)(iii) of this
section, if CBP determines that apparel articles of a producer or entity
controlling production that are entered as articles described in
Sec. 10.843(a) of this subpart during the initial applicable one-year
period have not met the requirements of Sec. 10.843(a) of this subpart
or the applicable value-content requirement set forth in paragraph
(a)(1) of this section, then:
(A) All apparel articles of the producer or entity controlling
production for which duty-free treatment is claimed under Sec. 10.847(a)
of this subpart that are entered under the annual aggregation method
during that initial applicable one-year period will be denied duty-free
treatment;
(B) Those apparel articles of the producer or entity controlling
production for which duty-free treatment is claimed under Sec. 10.847(a)
of this subpart that are entered on an individual entry basis and that
fail to meet the requirements of Sec. 10.843(a)(1) of this subpart or
the applicable value-content requirement set forth in paragraph (a)(1)
of this section during that initial applicable one-year period will be
denied duty-free treatment. However, apparel articles of the producer or
entity controlling production for which duty-free treatment is claimed
under Sec. 10.847(a) of this subpart that are entered on an individual
entry basis prior to an election being made by the producer or entity
controlling production to use the annual aggregation method will be
considered to have met the applicable value-content requirement if that
requirement is met through application of the individual entry method;
and
(C) All apparel articles of the producer or entity controlling
production for which duty-free treatment is claimed under Sec. 10.847(a)
of this subpart, whether entered on an individual entry or annual
aggregation basis, will be not be eligible for duty-free treatment
during the succeeding applicable one-year periods until the increased
percentage in the value-content requirement specified in paragraph
(a)(4)(iii) of this section has been met by all the apparel articles of
that producer or entity controlling production that are wholly assembled
or knit-to-shape in Haiti and are entered during the immediately
preceding applicable one-year period, unless the articles qualify for
tariff benefits pursuant to the provisions of Sec. 10.845 of this
subpart.
(ii) Other applicable one-year periods. Except as provided in
paragraph (a)(4)(iii) of this section, if CBP determines that apparel
articles of a producer or entity controlling production that are entered
as articles described in Sec. 10.843(a) of this subpart during any
applicable one-year period following the initial applicable one-year
period have not met the requirements of Sec. 10.843(a) or the applicable
value-content requirement set forth in paragraph (a) of this section,
then:
[[Page 331]]
(A) Those apparel articles of the producer or entity controlling
production for which duty-free treatment is claimed under Sec. 10.847(a)
of this subpart that are entered on an individual entry basis and that
fail to meet the requirements of Sec. 10.843(a)(1) or the applicable
value-content requirement set forth in paragraph (a)(1) of this subpart
during that applicable one-year period will be denied duty-free
treatment; and
(B) All apparel articles of the producer or entity controlling
production for which duty-free treatment is claimed under Sec. 10.847(a)
of this subpart, whether entered on an individual entry or annual
aggregation basis, will not be eligible for duty-free treatment during
the succeeding applicable one-year periods until the increased
percentage in the value-content requirement specified in paragraph
(a)(4)(iii) of this section has been met by all the apparel articles of
that producer or entity controlling production that are wholly assembled
or knit-to-shape in Haiti and are entered during the immediately
preceding applicable one-year period, unless the articles qualify for
tariff benefits pursuant to the provisions of Sec. 10.845 of this
subpart.
(iii) Entity controlling production of apparel articles of a
producer also producing for its own account. Where an entity controlling
production controls the production of apparel articles, as described in
Sec. 10.843(a) of this subpart, of a producer that also produces for its
own account, the failure of apparel articles of that producer to meet
the requirements of Sec. 10.843(a) of this subpart or the applicable
value-content requirement set forth in paragraph (a) of this section in
an applicable one-year period, either under the annual aggregation
method or the individual entry method, will not affect the eligibility
for duty-free treatment under Sec. 10.843(a) of this subpart of those
apparel articles of that producer which are part of a claim for such
treatment made on behalf of the entity controlling production.
Example. Importer D, an entity controlling production, purchases
apparel articles that meet the description in Sec. 10.843(a) of this
subpart from Haitian Producers A, B, and C and enters those articles
during the initial applicable one-year period. Importer D elects to use
the annual aggregation method during that period. The three producers
also produce apparel for other U.S. importers and each producer elects
to use the annual aggregation method. The apparel articles purchased by
Importer D from the three producers and entered during the initial
applicable one-year period meet a value-content percentage of 51.7%.
However, the value-content percentage met by all the apparel that is
wholly assembled in Haiti by Producer C and entered (including the
apparel imported by Importer D) during the initial applicable one-year
period is 49%. As all of the articles, in the aggregate, purchased by
Importer D from the three producers and entered during the initial
applicable one-year period satisfy the applicable value-content
requirement (50%), all of these articles are entitled to duty-free
treatment under section 213A(b)(1) of the CBERA and Sec. 10.843(a) of
this subpart, assuming all other applicable requirements are met. The
failure of Producer C to meet the 50% value-content requirement with
respect to all of the articles that it wholly assembled in Haiti and
entered during the initial applicable one-year period will not prevent
duty-free status being claimed for the articles purchased by Importer D
from Producer C. Therefore, the consequences of Producer C's failure to
meet the 50% value-content requirement include the denial of
preferential tariff treatment for all articles that are wholly assembled
in Haiti by Producer C and entered during the initial applicable one-
year period, except for those articles sold by Producer C to Importer D.
An additional consequence of Producer C's failure to meet the value-
content requirement in the initial applicable one-year period is that
articles wholly assembled in Haiti by Producer C and entered during
succeeding applicable one-year periods will be ineligible for duty-free
treatment until the appropriate increased value-content requirement has
been met (see Sec. 10.844(a)(4)(i)(C) of this subpart), except to the
extent the articles qualify for preference under Sec. 10.845 of this
subpart.
(iv) Increased percentage. For apparel articles of a producer or
entity controlling production to meet the increased percentage referred
to in paragraphs (a)(4)(i)(C) and (a)(4)(ii)(B) of this section, the sum
of the cost or value of the materials produced in Haiti or one or more
eligible countries described in paragraph (c) of this section, or any
combination thereof, plus the direct costs of processing operations
performed in Haiti or one or more eligible countries described in
paragraph (c) of this section, or any combination thereof, must not be
less than the applicable percentage under paragraph (a)(1) of
[[Page 332]]
this section, plus 10 percent, of the aggregate declared customs value
of all apparel articles of that producer or entity controlling
production that are wholly assembled or knit-to-shape in Haiti and are
entered during the immediately preceding applicable one-year period.
Once the increased value-content percentage has been met for the
articles of a producer or entity controlling production that are entered
during an applicable one-year period, the articles of that producer or
entity controlling production that are entered during the next
succeeding applicable one-year period will be subject to the applicable
value-content percentage specified in paragraph (a)(1) of this section.
(v) Articles of a new producer or entity controlling production.
Apparel articles of a new producer or entity controlling production
electing to use the annual aggregation method for purposes of meeting
the applicable value-content requirement must first meet the increased
value-content percentage specified in paragraph (a)(4)(iv) of this
section as a prerequisite to receiving duty-free treatment during a
succeeding applicable one-year period. Apparel articles of a new
producer or entity controlling production electing to use the individual
entry method are not subject to the requirement of first meeting the
increased value-content percentage as a prerequisite to receiving duty-
free treatment during the first year of participation or in any
succeeding applicable one-year period. For purposes of this paragraph, a
``new producer or entity controlling production'' is a producer or
entity controlling production that did not produce or control production
of articles that were entered as articles pursuant to Sec. 10.843(a) of
this subpart during the immediately preceding applicable one-year
period.
Example 1. A Haitian producer begins production of apparel articles
that meet the description in Sec. 10.843(a) of this subpart during the
second applicable one-year period and elects to use the annual
aggregation method for each applicable one-year period. The producer's
articles entered during the second applicable one-year period meet a
value-content percentage of 55%; articles entered during the third
applicable one-year period meet a value-content percentage of 65%; and
articles entered during the fourth applicable one-year period meet a
value-content percentage of 55%. The producer's articles may not receive
duty-free treatment during the second applicable one-year period because
there was no production (and thus no entered articles) during the
immediately preceding period (the initial applicable one-year period) on
which to assess compliance with the applicable value-content
requirement. The producer's articles also may not receive duty-free
treatment during the third applicable one-year period because the
increased value-content percentage requirement (50% plus 10% = 60%) was
not met in the immediately preceding period (the second applicable one-
year period). However, the producer's articles are eligible for duty-
free treatment during the fourth applicable one-year period based on
compliance with the 60% value-content percentage requirement in the
immediately preceding period (the third applicable one-year period). The
producer's articles also are eligible for duty-free treatment during the
fifth applicable one-year period based on compliance with the 55% value-
content percentage requirement in the immediately preceding period (the
fourth applicable one-year period).
Example 2. Same facts as in example 1, except that the producer
elects to use the individual entry method for purposes of meeting the
applicable value-content requirement for each applicable one-year
period. The producer's articles entered during the second applicable
one-year period are eligible for duty-free treatment because these
articles meet the requisite 50% value-content requirement. The
producer's articles also may receive duty-free treatment during the
third, fourth, and fifth applicable one-year periods based on compliance
with the applicable value-content requirements for each of those periods
set forth in paragraph (a)(1) of this section.
(vi) Notification of compliance with the increased percentage--(A)
General. If apparel articles of a producer or entity controlling
production are required to meet the increased value-content percentage
described in paragraph (a)(4)(iv) of this section, either because of
failure to meet the requirements of Sec. 10.843(a) or the applicable
value-content requirement set forth in paragraph (a) of this section in
an applicable one-year period, or because the producer or entity
controlling production is a new producer or entity controlling
production, as defined in paragraph (a)(4)(v) of this section, that
elects to use the annual aggregation method, the importer of such
articles must notify CBP that the increased percentage has been met in
an applicable one-year
[[Page 333]]
period by submitting to CBP the declaration of compliance described in
Sec. 10.848 of this subpart within 30 days following the end of the
applicable one-year period. An importer that is required to submit a
declaration of compliance under this paragraph must submit such a
declaration for each importer of record identification number used by
that importer. A declaration of compliance required under this paragraph
must be sent to the address set forth in Sec. 10.848(a) of this subpart.
(B) Contents. A declaration of compliance required under paragraph
(a)(4)(v)(A) of this section must include, in addition to the
information specified in Sec. 10.848(c) of this subpart, a statement as
to whether the increased value-content percentage was required because
the apparel articles failed to meet the production standards or the
applicable value-content requirement or because the producer or entity
controlling production was a new producer or entity controlling
production that elected to use the annual aggregation method.
(C) Effect of noncompliance. If an importer fails to submit to CBP
the declaration of compliance required under paragraph (a)(4)(v)(A) of
this section within 30 days following the end of the applicable one-year
period during which the increased value-content percentage was met for
apparel articles of a producer or entity controlling production, CBP may
deny duty-free treatment to all apparel articles, as described in
Sec. 10.843(a) of this subpart, of that producer or entity controlling
production that are entered by that importer during the next succeeding
applicable one-year period. Additionally, the timely submission of a
declaration of compliance is a prerequisite for a producer or entity
controlling production to request retroactive application of duty-free
treatment under Sec. 10.845 of this subpart for apparel articles that
meet the increased value-content percentage during an applicable one-
year period. However, the submission of a declaration of compliance is
not a substitute for filing a request for liquidation or reliquidation
of an entry for which retroactive duty-free treatment is sought under
Sec. 10.845 of this subpart.
(5) Inclusion of the cost of fabrics or yarns not available in
commercial quantities in value-content requirement. For purposes of
meeting the applicable value-content requirement set forth in paragraph
(a) of this section, either in regard to individual entries or entries
entered in the aggregate, the following costs may be included:
(i) The cost of fabrics or yarns to the extent that apparel articles
of such fabrics or yarns would be eligible for preferential treatment,
without regard to the source of the fabrics or yarns, under Annex 401 of
the NAFTA; and
(ii) The cost of fabrics or yarns (without regard to their source)
that are designated as not being available in commercial quantities for
purposes of:
(A) Section 213(b)(2)(A)(v) of the CBERA (19 U.S.C.
2703(b)(2)(A)(v));
(B) Section 112(b)(5) of the African Growth and Opportunity Act (19
U.S.C. 3721(b)(5));
(C) Section 204(b)(3)(B)(i)(III) or 204(b)(3)(B)(ii) of the Andean
Trade Preference Act (19 U.S.C. 3203(b)(3)(B)(i)(III) or
3203(b)(3)(B)(ii)); or
(D) Any other provision, relating to determining whether a textile
or apparel article is an originating good eligible for preferential
treatment, of a law that implements a free trade agreement that enters
into force with respect to the United States.
(b) Wiring sets. An article described in Sec. 10.843(d) of this
subpart will be eligible for duty-free treatment during the five-year
period ending on December 19, 2011, only if the sum of the cost or value
of the materials produced in Haiti or one or more eligible countries
described in paragraph (c) of this section, or any combination thereof,
plus the direct costs of processing operations performed in Haiti or the
United States, or both, is not less than 50 percent of the declared
customs value of the article.
(c) Eligible countries described. As used in this section, the term
``eligible countries'' includes:
(1) The United States;
(2) Israel, Canada, Mexico, Jordan, Singapore, Chile, Australia,
Morocco, Bahrain, El Salvador, Honduras, Nicaragua, Guatemala, Dominican
Republic, and any other country that is a
[[Page 334]]
party to a free trade agreement with the United States that is in effect
on December 20, 2006, or that enters into force thereafter; and
(3) The designated beneficiary countries listed in General Notes 11
(Andean Trade Preference Act), 16 (African Growth and Opportunity Act),
and 17 (Caribbean Basin Trade Partnership Act) of the HTSUS.
(d) Cost or value of materials--(1) Materials produced in Haiti or
one or more eligible countries described in paragraph (c) of this
section defined--(i) Certain apparel articles. As used in paragraph (a)
of this section, the words ``materials produced in Haiti or one or more
eligible countries described in paragraph (c) of this section'' refer to
those materials incorporated into an article that are either:
(A) Wholly obtained or produced, within the meaning of Sec. 102.1(g)
of this chapter, in Haiti or one or more eligible countries described in
paragraph (c) of this section; or
(B) Determined to originate in Haiti or one or more eligible
countries described in paragraph (c) of this section by application of
the provisions of Sec. 102.21 of this chapter.
(ii) Wiring sets. As used in paragraph (b) of this section, the
words ``materials produced in Haiti or one or more eligible countries
described in paragraph (c) of this section'' refer to those materials
incorporated into an article that are either:
(A) Wholly the growth, product, or manufacture of Haiti or one or
more eligible countries described in paragraph (c) of this section; or
(B) Substantially transformed in Haiti or one or more eligible
countries described in paragraph (c) of this section into a new or
different article of commerce which is then used in Haiti in the
production of a new or different article of commerce that is imported
into the United States.
(2) Determination of cost or value of materials--(i) Costs included.
(A) For purposes of paragraphs (a) and (b) of this section, and subject
to paragraphs (d)(2)(i)(B) and (d)(2)(ii) of this section, the cost or
value of materials produced in Haiti or one or more eligible countries
described in paragraph (c) of this section includes:
(1) The manufacturer's actual cost for the materials;
(2) When not included in the manufacturer's actual cost for the
materials, the freight, insurance, packing, and all other costs incurred
in transporting the materials to the manufacturer's plant;
(3) The actual cost of waste or spoilage, less the value of
recoverable scrap; and
(4) Taxes and/or duties imposed on the materials by Haiti or one or
more eligible countries described in paragraph (c) of this section,
provided they are not remitted upon exportation.
(B) Where a material is provided to the manufacturer without charge,
or at less than fair market value, its cost or value will be determined
by computing the sum of:
(1) All expenses incurred in the growth, production, or manufacture
of the material, including general expenses;
(2) An amount for profit; and
(3) Freight, insurance, packing, and all other costs incurred in
transporting the material to the manufacturer's plant.
(ii) Costs deducted in regard to certain apparel articles. For
purposes of paragraph (a) of this section, in calculating the cost or
value of materials produced in Haiti or one or more eligible countries
described in paragraph (c) of this section, either in regard to
individual entries or entries entered in the aggregate, deductions are
to be made for the cost or value of:
(A) Any foreign materials used in the production of the apparel
articles in Haiti; and
(B) Any foreign materials used in the production of the materials
produced in Haiti or one or more eligible countries described in
paragraph (c) of this section.
(e) Direct costs of processing operations--(1) Items included. As
used in paragraphs (a) and (b) of this section, the words ``direct costs
of processing operations'' mean those costs either directly incurred in,
or which can be reasonably allocated to, the growth, production,
manufacture, or assembly of the specific articles under consideration.
Such costs include, but are not limited to the following, to the extent
[[Page 335]]
that they are includable in the appraised value of the imported
articles:
(i) All actual labor costs involved in the growth, production,
manufacture, or assembly of the specific articles, including fringe
benefits, on-the-job training, and the cost of engineering, supervisory,
quality control, and similar personnel;
(ii) Dies, molds, tooling, and depreciation on machinery and
equipment which are allocable to the specific articles;
(iii) Research, development, design, engineering, and blueprint
costs insofar as they are allocable to the specific articles; and
(iv) Costs of inspecting and testing the specific articles.
(2) Items not included. The words ``direct costs of processing
operations'' do not include items that are not directly attributable to
the articles under consideration or are not costs of manufacturing the
product. These include, but are not limited to:
(i) Profit; and
(ii) General expenses of doing business that either are not
allocable to the specific articles or are not related to the growth,
production, manufacture, or assembly of the articles, such as
administrative salaries, casualty and liability insurance, advertising,
and salesmen's salaries, commissions, or expenses.
[CBP Dec. 07-43, 72 FR 34369, June 22, 2007, as amended at CBP Dec. 08-
24, 73 FR 56728, Sept. 30, 2008]
Sec. 10.845 Retroactive application of duty-free treatment for certain
apparel articles.
(a) General. Notwithstanding 19 U.S.C. 1514 or any other provision
of law, if apparel articles, as described in Sec. 10.843(a) of this
subpart, of a producer or entity controlling production are ineligible
for duty-free treatment in an applicable one-year period because the
apparel articles of the producer or entity controlling production did
not meet the requirements of Sec. 10.843(a) of this subpart or the
applicable value-content requirement set forth in Sec. 10.844(a) of this
subpart, and the apparel articles of the producer or entity controlling
production satisfy the increased value-content percentage set forth in
Sec. 10.844(a)(4)(iii) of this subpart in that same applicable one-year
period, the entry of any such articles made during that applicable one-
year period will be liquidated or reliquidated free of duty, and CBP
will refund any customs duties paid with respect to such entry, with
interest accrued from the date of entry, provided that the conditions
and requirements set forth in paragraph (b) of this section are met.
(b) Conditions and requirements. The conditions and requirements
referred to in paragraph (a) of this section are as follows:
(1) The articles in such entry would have received duty-free
treatment if they had satisfied the requirements of Sec. 10.843(a) and
the applicable value-content requirement set forth in Sec. 10.844(a) of
this subpart;
(2) A declaration of compliance with the increased value-content
percentage is submitted to CBP within 30 days following the end of the
applicable one-year period during which the increased percentage is met
(see Sec. 10.844(a)(4)(v) of this subpart); and
(3) A request for liquidation or reliquidation with respect to such
entry is filed with CBP before the 90th day after CBP determines and
notifies the importer that the apparel articles of the producer or
entity controlling production satisfy the increased value-content
percentage set forth in Sec. 10.844(a)(4)(iii) of this subpart during
that applicable one-year period.
Example. A Haitian producer of articles that meet the description in
Sec. 10.843(a) of this subpart begins exporting those articles to the
United States during the initial applicable one-year period and elects
to use the annual aggregation method for purposes of meeting the
applicable value-content requirement. The articles entered during that
initial period meet a value-content percentage of 48%, while articles
entered during the second applicable one-year period meet a value-
content percentage of 62%. The producer's articles may not receive duty-
free treatment during the initial applicable one-year period because the
requisite 50% value-content requirement was not met. The producer's
articles also are ineligible for duty-free treatment during the second
applicable one-year period because the 50% value-content requirement was
not met in the immediately preceding period (the initial applicable one-
year period). However, because the producer's articles entered during
the second
[[Page 336]]
applicable one-year period satisfy the increased value-content
percentage requirement (60%), the importer(s) of these articles may file
a request for and receive a refund of the duties paid with respect to
the articles entered during that period, assuming compliance with the
conditions and requirements set forth in Sec. 10.847 of this subpart. In
addition, the producer's articles entered during the third applicable
one-year period are eligible for duty-free treatment based on compliance
with the increased value-content percentage in the second applicable
one-year period.
Sec. 10.846 Imported directly.
(a) General. To be eligible for duty-free treatment under this
subpart, an article must be imported directly from Haiti into the
customs territory of the United States. For purposes of this
requirement, the words ``imported directly'' mean:
(1) Direct shipment from Haiti to the United States without passing
through the territory of any intermediate country;
(2) If shipment is from Haiti to the United States through the
territory of an intermediate country, the articles in the shipment do
not enter into the commerce of the intermediate country and the
invoices, bills of lading, and other shipping documents show the United
States as the final destination; or
(3) If shipment is through an intermediate country and the invoices
and other documents do not show the United States as the final
destination, the articles in the shipment are imported directly only if
they:
(i) Remained under the control of the customs authority in the
intermediate country;
(ii) Did not enter into the commerce of the intermediate country
except for the purpose of a sale other than at retail, provided that the
articles are imported as a result of the original commercial transaction
between the importer and the producer or the producer's sales agent; and
(iii) Have not been subjected to operations other than loading and
unloading, and other activities necessary to preserve the articles in
good condition.
(b) Documentary evidence. An importer making a claim for duty-free
treatment under Sec. 10.847 of this subpart may be required to
demonstrate, to CBP's satisfaction, that the articles were ``imported
directly'' as that term is defined in paragraph (a) of this section. An
importer may demonstrate compliance with this section by submitting
documentary evidence. Such evidence may include, but is not limited to,
bills of lading, airway bills, packing lists, commercial invoices,
receiving and inventory records, and customs entry and exit documents.
Sec. 10.847 Filing of claim for duty-free treatment.
(a) General. An importer may make a claim for duty-free treatment
for an article described in Sec. 10.843 of this subpart by including on
the entry summary, or equivalent documentation, the applicable
subheading within Subchapter XX of Chapter 98 of the HTSUS under which
the article is classified, or by the method specified for equivalent
reporting via an authorized electronic data interchange system. The
applicable subheadings within Subchapter XX, Chapter 98, HTSUS, are as
follows:
(1) Subheading 9820.61.25 for apparel articles described in
Sec. 10.843(a) of this subpart for which the individual entry method is
used for purposes of meeting the applicable value-content requirement
set forth in Sec. 10.844(a) of this subpart;
(2) Subheading 9820.61.30 for apparel articles described in
Sec. 10.843(a) of this subpart for which the annual aggregation method
is used for purposes of meeting the applicable value-content requirement
set forth in Sec. 10.844(a) of this subpart;
(3) Subheading 9820.62.05 for apparel articles described in
Sec. 10.843(b) of this subpart;
(4) Subheading 9820.62.12 for brassieres described in Sec. 10.843(c)
of this subpart;
(5) Subheading 9820.61.35 for apparel articles described in
Sec. 10.843(d) of this subpart;
(6) Subheading 9820.61.40 for apparel articles described in
Sec. 10.843(e) of this subpart;
(7) Subheading 9820.42.05 for articles described in Sec. 10.843(f)
of this subpart;
(8) Subheading 9820.65.05 for articles described in Sec. 10.843(g)
of this subpart;
(9) Subheading 9820.62.20 for articles described in Sec. 10.843(h)
of this subpart;
[[Page 337]]
(10) Subheading 9820.62.25 for articles described in Sec. 10.843(i)
of this subpart;
(11) Subheading 9820.62.30 for articles described in Sec. 10.843(j)
of this subpart; and
(12) Subheading 9820.85.44 for wiring sets described in
Sec. 10.843(k) of this subpart.
(b) Restriction on claims submitted under subheading 9820.61.30,
HTSUS. An importer may make a claim for duty-free treatment under
subheading 9820.61.30, HTSUS, for apparel articles described in
Sec. 10.843(a) of this subpart for which the annual aggregation method
is used, only if the importer has a copy of a certification by the
producer or entity controlling production setting forth its election to
use the annual aggregation method for its articles (see
Sec. 10.848(c)(3) of this subpart). In the absence of receipt of such
certification from the producer or entity controlling production, an
importer of articles described in Sec. 10.843(a) of this subpart for
which duty-free treatment is sought under this subpart must enter the
articles under subheading 9820.61.25, HTSUS.
(c) Corrected claim. If, after making a claim for duty-free
treatment under paragraph (a) of this section, the importer has reason
to believe that the claim is incorrect, the importer must promptly make
a corrected claim and pay any duties that may be due. A corrected claim
will be effected by submission of a letter or other written statement to
the CBP port where the claim was originally filed.
[CBP Dec. 07-43, 72 FR 34369, June 22, 2007, as amended at CBP Dec. 08-
24, 73 FR 56728, Sept. 30, 2008]
Sec. 10.848 Declaration of compliance.
(a) General. Each importer claiming duty-free treatment for apparel
articles, as described in Sec. 10.843(a) of this subpart, of a producer
or entity controlling production that uses the annual aggregation method
to satisfy the applicable value-content requirement set forth in
Sec. 10.844(a) of this subpart with respect to the entries filed by the
importer during an applicable one-year period must prepare and submit to
CBP a declaration of compliance with the applicable value-content
requirement within 30 days following the end of the applicable one-year
period. An importer that is required to submit a declaration of
compliance under this paragraph must submit such a declaration for each
importer of record identification number used by that importer. The
declaration of compliance must be sent to: Office of International
Trade, 1300 Pennsylvania Avenue, NW., Washington, DC 20229.
(b) Effect of noncompliance--(1) Initial applicable one-year period.
If an importer fails to submit to CBP the declaration of compliance
required under paragraph (a) of this section within 30 days following
the end of the initial applicable one-year period, CBP may deny duty-
free treatment to all entries of apparel articles, as described in
Sec. 10.843(a), of that producer or entity controlling production that
were filed by that importer during the initial applicable one-year
period and that are entered by that importer during the next succeeding
applicable one-year period.
(2) Other applicable one-year periods. If an importer fails to
submit to CBP the declaration of compliance required by paragraph (a) of
this section within 30 days following the end of any applicable one-year
period (other than the initial applicable one-year period), CBP may deny
duty-free treatment to all entries of apparel articles, as described in
Sec. 10.843(a) of this subpart, of that producer or entity controlling
production that are entered by that importer during the next succeeding
applicable one-year period.
(c) Contents. A declaration of compliance submitted to CBP under
paragraph (a) of this section:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must include the following information:
(i) The applicable one-year period during which the aggregation
method was used (year beginning December 20, 20--, year ending December
19, 20--);
(ii) The legal name, address, telephone, fax number, e-mail address
(if any), and identification number of the importer of record, and the
legal name,
[[Page 338]]
telephone, and e-mail address (if any) of the point of contact;
(iii) With respect to each entry for which duty-free treatment is
claimed for apparel articles described in Sec. 10.843(a) of this subpart
and for which the aggregation method is used, the entry number, line
number(s), port of entry, and line value;
(iv) If the producer or entity controlling production elects to
include in the aggregation calculation entries of brassieres receiving
duty-free treatment under Sec. 10.843(c) of this subpart and entries of
apparel articles that are wholly assembled or knit-to-shape in Haiti and
that are receiving preferential tariff treatment under any provision of
law other than section 213A of the CBERA or are subject to the rate of
duty in the ``General'' subcolumn of column 1 of the HTSUS (see
Sec. 10.844(a)(2)(iii)(B) and (C) of this subpart), the entry number,
line number(s), port of entry, line value, name and address of the
producer(s), and, if applicable, name and address of the entity
controlling production;
(v) The value-content percentage that was met during the applicable
one-year period with respect to each producer or entity controlling
production;
(vi) The name and title of the person who prepared the declaration
of compliance. The declaration must be prepared and signed by a
responsible official of the importer or by the importer's authorized
agent having knowledge of the relevant facts;
(vii) Signature of the person who prepared the declaration of
compliance; and
(viii) Date the declaration of compliance was prepared and signed;
and
(3) Must include as an attachment to the declaration a copy of a
certification from each producer or entity controlling production
setting forth its election to use the annual aggregation method, a
description of the classes or kinds of apparel articles involved, and
the name and address of each producer or entity controlling production.
Sec. 10.849 Importer obligations.
(a) General. An importer who makes a claim for duty-free treatment
under Sec. 10.847 of this subpart for an article described in
Sec. 10.843 of this subpart:
(1) Will be deemed to have certified that the article is eligible
for duty-free treatment under this subpart;
(2) Is responsible for the truthfulness of the statements and
information contained in the declaration of compliance, if that document
is required to be submitted to CBP pursuant to Sec. Sec. 10.844(a)(4)(v)
or 10.848(a) of this subpart; and
(3) Is responsible for submitting any supporting documents requested
by CBP and for the truthfulness of the information contained in those
documents. When requested, CBP may arrange for the direct submission by
the exporter, producer, or entity controlling production of business
confidential or other sensitive information, including cost and sourcing
information.
(b) Information provided by exporter, producer, or entity
controlling production. The fact that the importer has made a claim for
duty-free treatment or prepared a declaration of compliance based on
information provided by an exporter, producer, or entity controlling
production will not relieve the importer of the responsibility referred
to in paragraph (a) of this section.
Sec. 10.850 Verification of claim for duty-free treatment.
(a) General. A claim for duty-free treatment made under Sec. 10.847
of this subpart, including any declaration of compliance or other
information submitted to CBP in support of the claim, will be subject to
whatever verification CBP deems necessary. In the event that CBP is
provided with insufficient information to verify or substantiate the
claim, including the statements and information contained in a
declaration of compliance (if required under Sec. 10.844(a)(4)(v) or
Sec. 10.848(a) of this subpart), CBP may deny the claim for duty-free
treatment.
(b) Documentation and information subject to verification. A
verification of a claim for duty-free treatment under Sec. 10.847 of
this subpart may involve, but need not be limited to, a review of:
(1) All records required to be made, kept, and made available to CBP
by the
[[Page 339]]
importer, the producer, the entity controlling production, or any other
person under part 163 of this chapter; and
(2) The documentation and information set forth in paragraphs
(b)(2)(i) through (b)(2)(v) of this section, when requested by CBP. This
documentation and information may be made available to CBP by the
importer or the importer may arrange to have the documentation and
information made available to CBP directly by the exporter, producer, or
entity controlling production:
(i) Documentation and other information regarding all apparel
articles that meet the requirements specified in Sec. 10.843(a) of this
subpart that were exported to the United States and that were entered
during the applicable one-year period, whether or not a claim for duty-
free treatment was made under Sec. 10.847 of this subpart. Those records
and other information include, but are not limited to, work orders and
other production records, purchase orders, invoices, bills of lading and
other shipping documents;
(ii) Records to document the cost of all yarn, fabric, fabric
components, and knit-to-shape components that were used in the
production of the articles in question, such as purchase orders,
invoices, bills of lading and other shipping documents, and customs
import and clearance documents, work orders and other production
records, and inventory control records;
(iii) Records to document the direct costs of processing operations
performed in Haiti or one or more eligible countries described in
Sec. 10.844(c) of this subpart, such as direct labor and fringe
expenses, machinery and tooling costs, factory expenses, and testing and
inspection expenses that were incurred in production;
(iv) Affidavits or statements of origin that certify who
manufactured the yarn, fabric, fabric components and knit-to-shape
components. The affidavit or statement of origin should include a
product description, name and address of the producer, and the date the
articles were produced. An affidavit for fabric components should state
whether or not subassembly operations occurred; and
(v) Summary accounting and financial records which relate to the
source records provided for in paragraphs (b)(2)(i) through (b)(2)(iii)
of this section.
Subpart P_United States-Oman Free Trade Agreement
Source: CBP Dec. 11-01, 76 FR 701, Jan. 6, 2011, unless otherwise
noted.
General Provisions
Sec. 10.861 Scope.
This subpart implements the duty preference and related customs
provisions applicable to imported goods under the United States-Oman
Free Trade Agreement (the OFTA) signed on January 19, 2006, and under
the United States-Oman Free Trade Agreement Implementation Act (the Act;
120 Stat. 1191). Except as otherwise specified in this subpart, the
procedures and other requirements set forth in this subpart are in
addition to the customs procedures and requirements of general
application contained elsewhere in this chapter. Additional provisions
implementing certain aspects of the OFTA and the Act are contained in
Parts 24, 162, and 163 of this chapter.
Sec. 10.862 General definitions.
As used in this subpart, the following terms will have the meanings
indicated unless either the context in which they are used requires a
different meaning or a different definition is prescribed for a
particular section of this subpart:
(a) Claim for preferential tariff treatment. ``Claim for
preferential tariff treatment'' means a claim that a good is entitled to
the duty rate applicable under the OFTA to an originating good or other
good specified in the OFTA, and to an exemption from the merchandise
processing fee;
(b) Customs duty. ``Customs duty'' includes any customs or import
duty and a charge of any kind imposed in connection with the importation
of a good, including any form of surtax or surcharge in connection with
such importation, but does not include any:
(1) Charge equivalent to an internal tax imposed consistently with
Article III:2 of the GATT 1994, in respect of
[[Page 340]]
like, directly competitive, or substitutable goods of the Party, or in
respect of goods from which the imported good has been manufactured or
produced in whole or in part;
(2) Antidumping or countervailing duty; and
(3) Fee or other charge in connection with importation;
(c) Days. ``Days'' means calendar days;
(d) Enterprise. ``Enterprise'' means any entity constituted or
organized under applicable law, whether or not for profit, and whether
privately-owned or governmentally-owned or controlled, including any
corporation, trust, partnership, sole proprietorship, joint venture,
association, or similar organization;
(e) Foreign material. ``Foreign material'' means a material other
than a material produced in the territory of one or both of the Parties;
(f) GATT 1994. ``GATT 1994'' means the General Agreement on Tariffs
and Trade 1994, which is part of the WTO Agreement;
(g) Good. ``Good'' means any merchandise, product, article, or
material;
(h) Harmonized System. ``Harmonized System (HS)'' means the
Harmonized Commodity Description and Coding System, including its
General Rules of Interpretation, Section Notes, and Chapter Notes, as
adopted and implemented by the Parties in their respective tariff laws;
(i) Heading. ``Heading'' means the first four digits in the tariff
classification number under the Harmonized System;
(j) HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the
United States as promulgated by the U.S. International Trade Commission;
(k) Originating. ``Originating'' means a good qualifying under the
rules of origin set forth in General Note 31, HTSUS, and OFTA Chapter
Three (Textiles and apparel) or Chapter Four (Rules of Origin);
(l) Party. ``Party'' means the United States or the Sultanate of
Oman;
(m) Person. ``Person'' means a natural person or an enterprise;
(n) Preferential tariff treatment. ``Preferential tariff treatment''
means the duty rate applicable under the OFTA to an originating good and
an exemption from the merchandise processing fee;
(o) Subheading. ``Subheading'' means the first six digits in the
tariff classification number under the Harmonized System;
(p) Textile or apparel good. ``Textile or apparel good'' means a
good listed in the Annex to the Agreement on Textiles and Clothing
(commonly referred to as ``the ATC''), which is part of the WTO
Agreement;
(q) Territory. ``Territory'' means:
(1) With respect to Oman, all the lands of Oman within its
geographical boundaries, the internal waters, maritime areas including
the territorial sea, and airspace under its sovereignty, and the
exclusive economic zone and continental shelf where Oman exercises
sovereign rights and jurisdiction in accordance with its domestic law
and international law, including the United Nations Convention on the
Law of the Sea; and
(2) With respect to the United States,
(i) The customs territory of the United States, which includes the
50 states, the District of Columbia, and Puerto Rico,
(ii) The foreign trade zones located in the United States and Puerto
Rico, and
(iii) Any areas beyond the territorial seas of the United States
within which, in accordance with international law and its domestic law,
the United States may exercise rights with respect to the seabed and
subsoil and their natural resources; and
(r) WTO Agreement. ``WTO Agreement'' means the Marrakesh Agreement
Establishing the World Trade Organization of April 15, 1994.
Import Requirements
Sec. 10.863 Filing of claim for preferential tariff treatment upon
importation.
An importer may make a claim for OFTA preferential tariff treatment
for an originating good by including on the entry summary, or equivalent
documentation, the symbol ``OM'' as a prefix to the subheading of the
HTSUS under which each qualifying good is classified, or by the method
specified
[[Page 341]]
for equivalent reporting via an authorized electronic data interchange
system.
Sec. 10.864 Declaration.
(a) Contents. An importer who claims preferential tariff treatment
for a good under the OFTA must submit to CBP, at the request of the port
director, a declaration setting forth all pertinent information
concerning the growth, production, or manufacture of the good. A
declaration submitted to CBP under this paragraph:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must include the following information:
(i) The legal name, address, telephone, and e-mail address (if any)
of the importer of record of the good;
(ii) The legal name, address, telephone, and e-mail address (if any)
of the responsible official or authorized agent of the importer signing
the declaration (if different from the information required by paragraph
(a)(2)(i) of this section);
(iii) The legal name, address, telephone and e-mail address (if any)
of the exporter of the good (if different from the producer);
(iv) The legal name, address, telephone and e-mail address (if any)
of the producer of the good (if known);
(v) A description of the good, which must be sufficiently detailed
to relate it to the invoice and HS nomenclature, including quantity,
numbers, invoice numbers, and bills of lading;
(vi) A description of the operations performed in the growth,
production, or manufacture of the good in territory of one or both of
the Parties and, where applicable, identification of the direct costs of
processing operations;
(vii) A description of any materials used in the growth, production,
or manufacture of the good that are wholly the growth, product, or
manufacture of one or both of the Parties, and a statement as to the
value of such materials;
(viii) A description of the operations performed on, and a statement
as to the origin and value of, any materials used in the article that
are claimed to have been sufficiently processed in the territory of one
or both of the Parties so as to be materials produced in one or both of
the Parties, or are claimed to have undergone an applicable change in
tariff classification specified in General Note 31(h), HTSUS; and
(ix) A description of the origin and value of any foreign materials
used in the good that have not been substantially transformed in the
territory of one or both of the Parties, or have not undergone an
applicable change in tariff classification specified in General Note
31(h), HTSUS;
(3) Must include a statement, in substantially the following form:
``I certify that:
The information on this document is true and accurate and I assume
the responsibility for proving such representations. I understand that I
am liable for any false statements or material omissions made on or in
connection with this document;
I agree to maintain and present upon request, documentation
necessary to support these representations;
The goods comply with all the requirements for preferential tariff
treatment specified for those goods in the United States-Oman Free Trade
Agreement; and
This document consists of ------ pages, including all attachments.''
(b) Responsible official or agent. The declaration must be signed
and dated by a responsible official of the importer or by the importer's
authorized agent having knowledge of the relevant facts.
(c) Language. The declaration must be completed in the English
language.
(d) Applicability of declaration. The declaration may be applicable
to:
(1) A single importation of a good into the United States, including
a single shipment that results in the filing of one or more entries and
a series of shipments that results in the filing of one entry; or
(2) Multiple importations of identical goods into the United States
that occur within a specified blanket period, not exceeding 12 months,
set out in the declaration. For purposes of this paragraph, ``identical
goods'' means goods that are the same in all respects relevant to the
production that qualifies the goods for preferential tariff treatment.
[[Page 342]]
Sec. 10.865 Importer obligations.
(a) General. An importer who makes a claim for preferential tariff
treatment under Sec. 10.863 of this subpart:
(1) Will be deemed to have certified that the good is eligible for
preferential tariff treatment under the OFTA;
(2) Is responsible for the truthfulness of the information and data
contained in the declaration provided for in Sec. 10.864 of this
subpart; and
(3) Is responsible for submitting any supporting documents requested
by CBP and for the truthfulness of the information contained in those
documents. CBP will allow for the direct submission by the exporter or
producer of business confidential or other sensitive information,
including cost and sourcing information.
(b) Information provided by exporter or producer. The fact that the
importer has made a claim for preferential tariff treatment or prepared
a declaration based on information provided by an exporter or producer
will not relieve the importer of the responsibility referred to in
paragraph (a) of this section.
Sec. 10.866 Declaration not required.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an importer will not be required to submit a declaration under
Sec. 10.864 of this subpart for:
(1) A non-commercial importation of a good; or
(2) A commercial importation for which the value of the originating
goods does not exceed U.S. $2,500.
(b) Exception. If the port director determines that an importation
described in paragraph (a) of this section may reasonably be considered
to have been carried out or planned for the purpose of evading
compliance with the rules and procedures governing claims for preference
under the OFTA, the port director will notify the importer that for that
importation the importer must submit to CBP a declaration. The importer
must submit such a declaration within 30 days from the date of the
notice. Failure to timely submit the declaration will result in denial
of the claim for preferential tariff treatment.
Sec. 10.867 Maintenance of records.
(a) General. An importer claiming preferential tariff treatment for
a good under Sec. 10.863 of this subpart must maintain, for five years
after the date of the claim for preferential tariff treatment, all
records and documents necessary for the preparation of the declaration.
(b) Applicability of other recordkeeping requirements. The records
and documents referred to in paragraph (a) of this section are in
addition to any other records required to be made, kept, and made
available to CBP under Part 163 of this chapter.
(c) Method of maintenance. The records and documents referred to in
paragraph (a) of this section must be maintained by importers as
provided in Sec. 163.5 of this chapter.
Sec. 10.868 Effect of noncompliance; failure to provide documentation
regarding transshipment.
(a) General. If the importer fails to comply with any requirement
under this subpart, including submission of a complete declaration under
Sec. 10.864 of this subpart, when requested, the port director may deny
preferential tariff treatment to the imported good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential treatment to a good if the good is shipped through or
transshipped in the territory of a country other than a Party, and the
importer of the good does not provide, at the request of the port
director, evidence demonstrating to the satisfaction of the port
director that the good was imported directly from the territory of a
Party into the territory of the other Party (see Sec. 10.880 of this
subpart).
Post-Importation Duty Refund Claims
Sec. 10.869 Right to make post-importation claim and refund duties.
Notwithstanding any other available remedy, where a good would have
qualified as an originating good when it was imported into the United
States
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but no claim for preferential treatment was made, the importer of that
good may file a claim for a refund of any excess duties at any time
within one year after the date of importation of the good in accordance
with the procedures set forth in Sec. 10.870 of this subpart. Subject to
the provisions of Sec. 10.868 of this subpart, CBP may refund any excess
duties by liquidation or reliquidation of the entry covering the good in
accordance with Sec. 10.871(c) of this part.
Sec. 10.870 Filing procedures.
(a) Place of filing. A post-importation claim for a refund under
Sec. 10.869 of this subpart must be filed with the director of the port
at which the entry covering the good was filed.
(b) Contents of claim. A post-importation claim for a refund must be
filed by presentation of the following:
(1) A written declaration stating that the good qualified as an
originating good at the time of importation and setting forth the number
and date of the entry or entries covering the good;
(2) A written statement indicating whether or not the importer of
the good provided a copy of the entry summary or equivalent
documentation to any other person. If such documentation was provided,
the statement must identify each recipient by name, CBP identification
number and address and must specify the date on which the documentation
was provided; and
(3) A written statement indicating whether or not any person has
filed a protest relating to the good under any provision of law; and if
any such protest has been filed, the statement must identify the protest
by number and date.
Sec. 10.871 CBP processing procedures.
(a) Status determination. After receipt of a post-importation claim
under Sec. 10.870 of this subpart, the port director will determine
whether the entry covering the good has been liquidated and, if
liquidation has taken place, whether the liquidation has become final.
(b) Pending protest or judicial review. If the port director
determines that any protest relating to the good has not been finally
decided, the port director will suspend action on the claim for refund
filed under this subpart until the decision on the protest becomes
final. If a summons involving the tariff classification or dutiability
of the good is filed in the Court of International Trade, the port
director will suspend action on the claim for refund filed under this
subpart until judicial review has been completed.
(c) Allowance of claim. (1) Unliquidated entry. If the port director
determines that a claim for a refund filed under this subpart should be
allowed and the entry covering the good has not been liquidated, the
port director will take into account the claim for a refund under this
subpart in connection with the liquidation of the entry.
(2) Liquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be allowed and the entry
covering the good has been liquidated, whether or not the liquidation
has become final, the entry must be reliquidated in order to effect a
refund of duties pursuant to this subpart. If the entry is otherwise to
be reliquidated based on administrative review of a protest or as a
result of judicial review, the port director will reliquidate the entry
taking into account the claim for refund under this subpart.
(d) Denial of claim. (1) General. The port director may deny a claim
for a refund filed under Sec. 10.870 of this subpart if the claim was
not filed timely, if the importer has not complied with the requirements
of Sec. 10.868 and Sec. 10.870 of this subpart, or if, following an
origin verification under Sec. 10.887 of this subpart, the port director
determines either that the imported good did not qualify as an
originating good at the time of importation or that a basis exists upon
which preferential tariff treatment may be denied under Sec. 10.887 of
this subpart.
(2) Unliquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has not been liquidated, the port director will deny
the claim in connection with the liquidation of the entry, and notice of
the denial and the reason for the denial will be provided to the
importer in writing or via an authorized electronic data interchange
system.
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(3) Liquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has been liquidated, whether or not the liquidation
has become final, the claim may be denied without reliquidation of the
entry. If the entry is otherwise to be reliquidated based on
administrative review of a protest or as a result of judicial review,
such reliquidation may include denial of the claim filed under this
subpart. In either case, the port director will give the importer notice
of the denial and the reason for the denial in writing or via an
authorized electronic data interchange system.
Rules of Origin
Sec. 10.872 Definitions.
For purposes of Sec. Sec. 10.872 through 10.880:
(a) Exporter. ``Exporter'' means a person who exports goods from the
territory of a Party;
(b) Generally Accepted Accounting Principles. ``Generally Accepted
Accounting Principles'' means the recognized consensus or substantial
authoritative support in the territory of a Party, with respect to the
recording of revenues, expenses, costs, assets, and liabilities, the
disclosure of information, and the preparation of financial statements.
These standards may encompass broad guidelines of general application as
well as detailed standards, practices, and procedures;
(c) Good. ``Good'' means any merchandise, product, article, or
material;
(d) Goods wholly the growth, product, or manufacture of one or both
of the Parties. ``Goods wholly the growth, product, or manufacture of
one or both of the Parties'' means:
(1) Mineral goods extracted in the territory of one or both of the
Parties;
(2) Vegetable goods, as such goods are defined in the HTSUS,
harvested in the territory of one or both of the Parties;
(3) Live animals born and raised in the territory of one or both of
the Parties;
(4) Goods obtained from live animals raised in the territory of one
or both of the Parties;
(5) Goods obtained from hunting, trapping, or fishing in the
territory of one or both of the Parties;
(6) Goods (fish, shellfish, and other marine life) taken from the
sea by vessels registered or recorded with a Party and flying its flag;
(7) Goods produced from goods referred to in paragraph (d)(6) of
this section on board factory ships registered or recorded with that
Party and flying its flag;
(8) Goods taken by a Party or a person of a Party from the seabed or
beneath the seabed outside territorial waters, provided that a Party has
rights to exploit such seabed;
(9) Goods taken from outer space, provided they are obtained by a
Party or a person of a Party and not processed in the territory of a
non-Party;
(10) Waste and scrap derived from:
(i) Production or manufacture in the territory of one or both of the
Parties, or
(ii) Used goods collected in the territory of one or both of the
Parties, provided such goods are fit only for the recovery of raw
materials;
(11) Recovered goods derived in the territory of a Party from used
goods, and utilized in the territory of that Party in the production of
remanufactured goods; and
(12) Goods produced in the territory of one or both of the Parties
exclusively from goods referred to in paragraphs (d)(1) through (d)(10)
of this section, or from their derivatives, at any stage of production;
(e) Importer. ``Importer'' means a person who imports goods into the
territory of a Party;
(f) Indirect material. ``Indirect material'' means a good used in
the growth, production, manufacture, testing, or inspection of a good
but not physically incorporated into the good, or a good used in the
maintenance of buildings or the operation of equipment associated with
the growth, production, or manufacture of a good, including:
(1) Fuel and energy;
(2) Tools, dies, and molds;
(3) Spare parts and materials used in the maintenance of equipment
and buildings;
(4) Lubricants, greases, compounding materials, and other materials
used in
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the growth, production, or manufacture of a good or used to operate
equipment and buildings;
(5) Gloves, glasses, footwear, clothing, safety equipment, and
supplies;
(6) Equipment, devices, and supplies used for testing or inspecting
the good;
(7) Catalysts and solvents; and
(8) Any other goods that are not incorporated into the good but the
use of which in the growth, production, or manufacture of the good can
reasonably be demonstrated to be a part of that growth, production, or
manufacture;
(g) Material. ``Material'' means a good, including a part or
ingredient, that is used in the growth, production, or manufacture of
another good that is a new or different article of commerce that has
been grown, produced, or manufactured in one or both of the Parties;
(h) Material produced in the territory of one or both of the
Parties. ``Material produced in the territory of one or both of the
Parties'' means a good that is either wholly the growth, product, or
manufacture of one or both of the Parties, or a new or different article
of commerce that has been grown, produced, or manufactured in the
territory of one or both of the Parties;
(i) New or different article of commerce. ``New or different article
of commerce'' means, except as provided in Sec. 10.873(c) of this
subpart, a good that:
(1) Has been substantially transformed from a good or material that
is not wholly the growth, product, or manufacture of one of both of the
Parties; and
(2) Has a new name, character, or use distinct from the good or
material from which it was transformed;
(j) Non-originating material. ``Non-originating material'' means a
material that does not qualify as originating under this subpart or
General Note 31, HTSUS;
(k) Packing materials and containers for shipment. ``Packing
materials and containers for shipment'' means the goods used to protect
a good during its transportation to the United States, and does not
include the packaging materials and containers in which a good is
packaged for retail sale;
(l) Recovered goods. ``Recovered goods'' means materials in the form
of individual parts that result from:
(1) The disassembly of used goods into individual parts; and
(2) The cleaning, inspecting, testing, or other processing of those
parts as necessary for improvement to sound working condition;
(m) Remanufactured good. ``Remanufactured good'' means an industrial
good that is assembled in the territory of a Party and that:
(1) Is entirely or partially comprised of recovered goods;
(2) Has a similar life expectancy to a like good that is new; and
(3) Enjoys the factory warranty similar to that of a like good that
is new;
(n) Simple combining or packaging operations. ``Simple combining or
packaging operations'' means operations such as adding batteries to
electronic devices, fitting together a small number of components by
bolting, gluing, or soldering, and repacking or packaging components
together; and
(o) Substantially transformed. ``Substantially transformed'' means,
with respect to a good or material, changed as the result of a
manufacturing or processing operation so that the good loses its
separate identity in the manufacturing or processing operation and:
(1) The good or material is converted from a good that has multiple
uses into a good or material that has limited uses;
(2) The physical properties of the good or material are changed to a
significant extent; or
(3) The operation undergone by the good or material is complex by
reason of the number of different processes and materials involved and
the time and level of skill required to perform those processes.
Sec. 10.873 Originating goods.
(a) General. A good will be considered an originating good under the
OFTA when imported directly from the territory of a Party into the
territory of the other Party only if:
(1) The good is wholly the growth, product, or manufacture of one or
both of the Parties;
(2) The good is a new or different article of commerce, as defined
in
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Sec. 10.872(i) of this subpart, that has been grown, produced, or
manufactured in the territory of one or both of the Parties, is provided
for in a heading or subheading of the HTSUS that is not covered by the
product-specific rules set forth in General Note 31(h), HTSUS, and meets
the value-content requirement specified in paragraph (b) of this
section; or
(3) The good is provided for in a heading or subheading of the HTSUS
covered by the product-specific rules set forth in General Note 31(h),
HTSUS, and:
(i)(A) Each of the non-originating materials used in the production
of the good undergoes an applicable change in tariff classification
specified in General Note 31(h), HTSUS, as a result of production
occurring entirely in the territory of one or both of the Parties; or
(B) The good otherwise satisfies the requirements specified in
General Note 31(h), HTSUS; and
(ii) The good meets any other requirements specified in General Note
31, HTSUS.
(b) Value-content requirement. A good described in paragraph (a)(2)
of this section will be considered an originating good under the OFTA
only if the sum of the value of materials produced in one or both of the
Parties, plus the direct costs of processing operations performed in one
or both of the Parties, is not less than 35 percent of the appraised
value of the good at the time the good is entered into the territory of
the United States.
(c) Combining, packaging, and diluting operations. For purposes of
this subpart, a good will not be considered a new or different article
of commerce by virtue of having undergone simple combining or packaging
operations, or mere dilution with water or another substance that does
not materially alter the characteristics of the good. The principles and
examples set forth in Sec. 10.195(a)(2) of this part will apply equally
for purposes of this paragraph.
Sec. 10.874 Textile or apparel goods.
(a) De minimis--(1) General. Except as provided in paragraph (a)(2)
of this section, a textile or apparel good that is not an originating
good under the OFTA because certain fibers or yarns used in the
production of the component of the good that determines the tariff
classification of the good do not undergo an applicable change in tariff
classification set out in General Note 31(h), HTSUS, will be considered
to be an originating good if the total weight of all such fibers or
yarns is not more than seven percent of the total weight of that
component.
(2) Exception. A textile or apparel good containing elastomeric
yarns in the component of the good that determines the tariff
classification of the good will be considered to be an originating good
only if such yarns are wholly formed in the territory of a Party.
(b) Textile or apparel goods put up in sets. Notwithstanding the
specific rules specified in General Note 31(h), HTSUS, textile or
apparel goods classifiable as goods put up in sets for retail sale as
provided for in General Rule of Interpretation 3, HTSUS, will not be
considered to be originating goods under the OFTA unless each of the
goods in the set is an originating good or the total value of the non-
originating goods in the set does not exceed ten percent of the
appraised value of the set.
Sec. 10.875 Accumulation.
(a) An originating good or material produced in the territory of one
or both of the Parties that is incorporated into a good in the territory
of the other Party will be considered to originate in the territory of
the other Party.
(b) A good that is grown, produced, or manufactured in the territory
of one or both of the Parties by one or more producers is an originating
good if the good satisfies the requirements of Sec. 10.873 of this
subpart and all other applicable requirements of General Note 31, HTSUS.
Sec. 10.876 Value of materials.
(a) General. For purposes of Sec. 10.873(b) of this subpart and,
except as provided in paragraph (b) of this section, the value of a
material produced in the territory of one or both of the Parties
includes the following:
(1) The price actually paid or payable for the material by the
producer of the good;
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(2) The freight, insurance, packing and all other costs incurred in
transporting the material to the producer's plant, if such costs are not
included in the price referred to in paragraph (a)(1) of this section;
(3) The cost of waste or spoilage resulting from the use of the
material in the growth, production, or manufacture of the good, less the
value of recoverable scrap; and
(4) Taxes or customs duties imposed on the material by one or both
of the Parties, if the taxes or customs duties are not remitted upon
exportation from the territory of a Party.
(b) Exception. If the relationship between the producer of a good
and the seller of a material influenced the price actually paid or
payable for the material, or if there is no price actually paid or
payable by the producer for the material, the value of the material
produced in the territory of one or both of the Parties includes the
following:
(1) All expenses incurred in the growth, production, or manufacture
of the material, including general expenses;
(2) A reasonable amount for profit; and
(3) The freight, insurance, packing, and all other costs incurred in
transporting the material to the producer's plant.
Sec. 10.877 Direct costs of processing operations.
(a) Items included. For purposes of Sec. 10.873(b) of this subpart,
the words ``direct costs of processing operations'', with respect to a
good, mean those costs either directly incurred in, or that can be
reasonably allocated to, the growth, production, or manufacture of the
good in the territory of one or both of the Parties. Such costs include,
to the extent they are includable in the appraised value of the good
when imported into a Party, the following:
(1) All actual labor costs involved in the growth, production, or
manufacture of the specific good, including fringe benefits, on-the-job
training, and the costs of engineering, supervisory, quality control,
and similar personnel;
(2) Tools, dies, molds, and other indirect materials, and
depreciation on machinery and equipment that are allocable to the
specific good;
(3) Research, development, design, engineering, and blueprint costs,
to the extent that they are allocable to the specific good;
(4) Costs of inspecting and testing the specific good; and
(5) Costs of packaging the specific good for export to the territory
of the other Party.
(b) Items not included. For purposes of Sec. 10.873(b) of this
subpart, the words ``direct costs of processing operations'' do not
include items that are not directly attributable to the good or are not
costs of growth, production, or manufacture of the good. These include,
but are not limited to:
(1) Profit; and
(2) General expenses of doing business that are either not allocable
to the good or are not related to the growth, production, or manufacture
of the good, such as administrative salaries, casualty and liability
insurance, advertising, and salesmen's salaries, commissions, or
expenses.
Sec. 10.878 Packaging and packing materials and containers for retail
sale and for shipment.
Packaging materials and containers in which a good is packaged for
retail sale and packing materials and containers for shipment are to be
disregarded in determining whether a good qualifies as an originating
good under Sec. 10.873 of this subpart and General Note 31, HTSUS,
except that the value of such packaging and packing materials and
containers may be included in meeting the value-content requirement
specified in Sec. 10.873(b) of this subpart.
Sec. 10.879 Indirect materials.
Indirect materials are to be disregarded in determining whether a
good qualifies as an originating good under Sec. 10.873 of this subpart
and General Note 31, HTSUS, except that the cost of such indirect
materials may be included in meeting the value-content requirement
specified in Sec. 10.873(b) of this subpart.
[[Page 348]]
Sec. 10.880 Imported directly.
(a) General. To qualify as an originating good under the OFTA, a
good must be imported directly from the territory of a Party into the
territory of the other Party. For purposes of this subpart, the words
``imported directly'' mean:
(1) Direct shipment from the territory of a Party into the territory
of the other Party without passing through the territory of a non-Party;
or
(2) If the shipment passed through the territory of a non-Party, the
good, upon arrival in the territory of a Party, will be considered to be
``imported directly'' only if the good did not undergo production,
manufacturing, or any other operation outside the territories of the
Parties, other than unloading, reloading, or any other operation
necessary to preserve the good in good condition or to transport the
good to the territory of a Party. Operations that may be performed
outside the territories of the Parties include inspection, removal of
dust that accumulates during shipment, ventilation, spreading out or
drying, chilling, replacing salt, sulfur dioxide, or aqueous solutions,
replacing damaged packing materials and containers, and removal of units
of the good that are spoiled or damaged and present a danger to the
remaining units of the good, or to transport the good to the territory
of a Party.
(b) Documentary evidence. An importer making a claim for
preferential tariff treatment under the OFTA for an originating good may
be required to demonstrate, to CBP's satisfaction, that the good was
``imported directly'' from the territory of a Party into the territory
of the other Party, as that term is defined in paragraph (a) of this
section. An importer may demonstrate compliance with this section by
submitting documentary evidence. Such evidence may include, but is not
limited to, bills of lading, airway bills, packing lists, commercial
invoices, receiving and inventory records, and customs entry and exit
documents.
Tariff Preference Level
Sec. 10.881 Filing of claim for tariff preference level.
A cotton or man-made fiber apparel good described in Sec. 10.882 of
this subpart that does not qualify as an originating good under
Sec. 10.873 of this subpart may nevertheless be entitled to preferential
tariff treatment under the OFTA under an applicable tariff preference
level (TPL). To make a TPL claim, the importer must include on the entry
summary, or equivalent documentation, the applicable subheading in
Chapter 99 of the HTSUS (9916.99.20) immediately above the applicable
subheading in Chapter 61 or Chapter 62 of the HTSUS under which each
non-originating cotton or man-made fiber apparel good is classified.
Sec. 10.882 Goods eligible for tariff preference claims.
Cotton or man-made fiber apparel goods provided for in Chapters 61
or 62 of the HTSUS that are cut or knit to shape, or both, and sewn or
otherwise assembled in the territory of Oman from fabric or yarn
produced or obtained outside the territory of Oman or the United States
are eligible for a TPL claim filed under Sec. 10.881 of this subpart
(subject to the quantitative limitations set forth in U.S. Note 13,
Subchapter XVI, Chapter 99, HTSUS).
Sec. 10.883 [Reserved]
Sec. 10.884 Declaration.
(a) General. An importer who claims preferential tariff treatment on
a non-originating cotton or man-made fiber good specified in Sec. 10.882
of this subpart must submit, at the request of the port director, a
declaration supporting such a claim for preferential tariff treatment
that sets forth all pertinent information concerning the production of
the good, including:
(1) A description of the good, quantity, invoice numbers, and bills
of lading;
(2) A description of the operations performed in the production of
the good in the territory of one or both of the Parties;
(3) A statement as to any yarn or fabric of a non-Party and the
origin of
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such materials used in the production of the good.
(b) Retention of records. An importer must retain all documents
relied upon to prepare the declaration for a period of five years.
Sec. 10.885 Transshipment of non-originating apparel goods.
(a) General. To qualify for preferential tariff treatment under an
applicable TPL, a good must be imported directly from the territory of a
Party into the territory of the other Party. For purposes of this
subpart, the words ``imported directly'' mean:
(1) Direct shipment from the territory of a Party into the territory
of the other Party without passing through the territory of a non-Party;
or
(2) If the shipment passed through the territory of a non-Party, the
good, upon arrival in the territory of a Party, will be considered to be
``imported directly'' only if the good did not undergo production,
manufacturing, or any other operation outside the territories of the
Parties, other than unloading, reloading, or any other operation
necessary to preserve the good in good condition or to transport the
good to the territory of a Party. Operations that may be performed
outside the territories of the Parties include inspection, removal of
dust that accumulates during shipment, ventilation, spreading out or
drying, chilling, replacing salt, sulfur dioxide, or aqueous solutions,
replacing damaged packing materials and containers, and removal of units
of the good that are spoiled or damaged and present a danger to the
remaining units of the good, or to transport the good to the territory
of a Party.
(b) Documentary evidence. An importer making a claim for
preferential tariff treatment under an applicable TPL may be required to
demonstrate, to CBP's satisfaction, that the good was ``imported
directly'' from the territory of a Party into the territory of the other
Party, as that term is defined in paragraph (a) of this section. An
importer may demonstrate compliance with this section by submitting
documentary evidence. Such evidence may include, but is not limited to,
bills of lading, airway bills, packing lists, commercial invoices,
receiving and inventory records, and customs entry and exit documents.
Sec. 10.886 Effect of non-compliance; failure to provide documentation
regarding transshipment of non-originating apparel goods.
(a) General. If an importer of a good for which a TPL claim is made
fails to comply with any applicable requirement under this subpart, the
port director may deny preferential tariff treatment to the imported
good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential tariff treatment to a good for which a TPL claim is made if
the good is shipped through or transshipped in a country other than a
Party, and the importer of the good does not provide, at the request of
the port director, evidence demonstrating to the satisfaction of the
port director that the requirements set forth in Sec. 10.885 of this
subpart were met.
Origin Verifications and Determinations
Sec. 10.887 Verification and justification of claim for preferential
treatment.
(a) Verification. A claim for preferential treatment made under
Sec. 10.863 or Sec. 10.870 of this subpart, including any declaration or
other information submitted to CBP in support of the claim, will be
subject to such verification as the port director deems necessary. In
the event that the port director is provided with insufficient
information to verify or substantiate the claim, the port director may
deny the claim for preferential treatment.
(b) Applicable accounting principles. When conducting a verification
of origin to which Generally Accepted Accounting Principles may be
relevant, CBP will apply and accept the Generally Accepted Accounting
Principles applicable in the country of production.
[[Page 350]]
Sec. 10.888 Issuance of negative origin determinations.
If, as a result of an origin verification initiated under this
subpart, CBP determines that a claim for preferential tariff treatment
made under Sec. 10.863 of this subpart should be denied, it will issue a
determination in writing or via an authorized electronic data
interchange system to the importer that sets forth the following:
(a) A description of the good that was the subject of the
verification together with the identifying numbers and dates of the
export and import documents pertaining to the good;
(b) A statement setting forth the findings of fact made in
connection with the verification and upon which the determination is
based; and
(c) With specific reference to the rules applicable to originating
goods as set forth in General Note 31, HTSUS, and in Sec. Sec. 10.863
through 10.886 of this subpart, the legal basis for the determination.
Penalties
Sec. 10.889 Violations relating to the OFTA.
All criminal, civil, or administrative penalties which may be
imposed upon importers or other parties for violations of the U.S.
customs or related laws or regulations will also apply to importations
subject to the OFTA.
Goods Returned After Repair or Alteration
Sec. 10.890 Goods re-entered after repair or alteration in Oman.
(a) General. This section sets forth the rules that apply for
purposes of obtaining duty-free treatment on goods returned after repair
or alteration in Oman as provided for in subheadings 9802.00.40 and
9802.00.50, HTSUS. Goods returned after having been repaired or altered
in Oman, whether or not pursuant to a warranty, are eligible for duty-
free treatment, provided that the requirements of this section are met.
For purposes of this section, ``repairs or alterations'' means
restoration, renovation, cleaning, re-sterilizing, or other treatment
which does not destroy the essential characteristics of, or create a new
or commercially different good from, the good exported from the United
States.
(b) Goods not eligible for treatment. The duty-free treatment
referred to in paragraph (a) of this section will not apply to goods
which, in their condition as exported from the United States to Oman,
are incomplete for their intended use and for which the processing
operation performed in Oman constitutes an operation that is performed
as a matter of course in the preparation or manufacture of finished
goods.
(c) Documentation. The provisions of paragraphs (a), (b), and (c) of
Sec. 10.8 of this part, relating to the documentary requirements for
goods entered under subheading 9802.00.40 or 9802.00.50, HTSUS, will
apply in connection with the entry of goods which are returned from Oman
after having been exported for repairs or alterations and which are
claimed to be duty free.
Subpart Q_United States-Peru Trade Promotion Agreement
Source: 76 FR 68072, Nov. 3, 2011, unless otherwise noted.
General Provisions
Sec. 10.901 Scope.
This subpart implements the duty preference and related customs
provisions applicable to imported and exported goods under the United
States-Peru Trade Promotion Agreement (the PTPA) signed on April 12,
2006, and under the United States-Peru Trade Promotion Agreement
Implementation Act (the Act; Pub. L. 110-138, 121 Stat. 1455 (19 U.S.C.
3805 note). Except as otherwise specified in this subpart, the
procedures and other requirements set forth in this subpart are in
addition to the customs procedures and requirements of general
application contained elsewhere in this chapter. Additional provisions
implementing certain aspects of the PTPA and the Act are contained in
Parts 24, 162, and 163 of this chapter.
Sec. 10.902 General definitions.
As used in this subpart, the following terms will have the meanings
indicated
[[Page 351]]
unless either the context in which they are used requires a different
meaning or a different definition is prescribed for a particular section
of this subpart:
(a) Claim for preferential tariff treatment. ``Claim for
preferential tariff treatment'' means a claim that a good is entitled to
the duty rate applicable under the PTPA to an originating good and to an
exemption from the merchandise processing fee;
(b) Claim of origin. ``Claim of origin'' means a claim that a
textile or apparel good is an originating good or satisfies the non-
preferential rules of origin of a Party;
(c) Customs authority. ``Customs authority'' means the competent
authority that is responsible under the law of a Party for the
administration of customs laws and regulations;
(d) Customs duty. ``Customs duty'' includes any customs or import
duty and a charge of any kind imposed in connection with the importation
of a good, including any form of surtax or surcharge in connection with
such importation, but, for purposes of implementing the PTPA, does not
include any:
(1) Charge equivalent to an internal tax imposed consistently with
Article III:2 of GATT 1994 in respect of like, directly competitive, or
substitutable goods of the Party, or in respect of goods from which the
imported good has been manufactured or produced in whole or in part;
(2) Antidumping or countervailing duty that is applied pursuant to a
Party's domestic law; or
(3) Fee or other charge in connection with importation;
(e) Customs Valuation Agreement. ``Customs Valuation Agreement''
means the Agreement on Implementation of Article VII of the General
Agreement on Tariffs and Trade 1994, which is part of the WTO Agreement;
(f) Days. ``Days'' means calendar days;
(g) Enterprise. ``Enterprise'' means any entity constituted or
organized under applicable law, whether or not for profit, and whether
privately-owned or governmentally-owned, including any corporation,
trust, partnership, sole proprietorship, joint venture, or other
association;
(h) GATT 1994. ``GATT 1994'' means the General Agreement on Tariffs
and Trade 1994, which is part of the WTO Agreement;
(i) Harmonized System. ``Harmonized System'' means the Harmonized
Commodity Description and Coding System, including its General Rules of
Interpretation, Section Notes, and Chapter Notes, as adopted and
implemented by the Parties in their respective tariff laws;
(j) Heading. ``Heading'' means the first four digits in the tariff
classification number under the Harmonized System;
(k) HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the
United States as promulgated by the U.S. International Trade Commission;
(l) Identical goods. ``Identical goods'' means goods that are the
same in all respects relevant to the rule of origin that qualifies the
goods as originating goods;
(m) Indirect material. ``Indirect material'' means a good used in
the production, testing, or inspection of another good in the territory
of one or both of the Parties but not physically incorporated into that
other good, or a good used in the maintenance of buildings or the
operation of equipment associated with the production of another good in
the territory of one or both of the Parties, including:
(1) Fuel and energy;
(2) Tools, dies, and molds;
(3) Spare parts and materials used in the maintenance of equipment
or buildings;
(4) Lubricants, greases, compounding materials, and other materials
used in production or used to operate equipment or buildings;
(5) Gloves, glasses, footwear, clothing, safety equipment, and
supplies;
(6) Equipment, devices, and supplies used for testing or inspecting
the good; (7) Catalysts and solvents; and
(8) Any other goods that are not incorporated into the other good
but the use of which in the production of the other good can reasonably
be demonstrated to be a part of that production;
(n) Originating. ``Originating'' means qualifying for preferential
tariff treatment under the rules of origin set out
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in Chapter Four and Article 3.3 of the PTPA, and General Note 32, HTSUS;
(o) Party. ``Party'' means the United States or Peru;
(p) Person. ``Person'' means a natural person or an enterprise;
(q) Preferential tariff treatment. ``Preferential tariff treatment''
means the duty rate applicable under the PTPA to an originating good,
and an exemption from the merchandise processing fee;
(r) Subheading. ``Subheading'' means the first six digits in the
tariff classification number under the Harmonized System;
(s) Textile or apparel good. ``Textile or apparel good'' means a
good listed in the Annex to the Agreement on Textiles and Clothing
(commonly referred to as ``the ATC''), which is part of the WTO
Agreement, except for those goods listed in Annex 3-C of the PTPA;
(t) Territory. ``Territory'' means:
(1) With respect to Peru, the continental territory, the islands,
the maritime areas and the air space above them, in which Peru exercises
sovereignty and jurisdiction or sovereign rights in accordance with its
domestic law and international law;
(2) With respect to the United States:
(i) The customs territory of the United States, which includes the
50 states, the District of Columbia, and Puerto Rico;
(ii) The foreign trade zones located in the United States and Puerto
Rico; and
(iii) Any areas beyond the territorial seas of the United States
within which, in accordance with international law and its domestic law,
the United States may exercise rights with respect to the seabed and
subsoil and their natural resources;
(u) WTO. ``WTO'' means the World Trade Organization; and
(v) WTO Agreement. ``WTO Agreement'' means the Marrakesh Agreement
Establishing the World Trade Organization of April 15, 1994.
Import Requirements
Sec. 10.903 Filing of claim for preferential tariff treatment upon
importation.
(a) Basis of claim. An importer may make a claim for PTPA
preferential tariff treatment, including an exemption from the
merchandise processing fee, based on:
(1) A certification, as specified in Sec. 10.904 of this subpart,
that is prepared by the importer, exporter, or producer of the good; or
(2) The importer's knowledge that the good is an originating good,
including reasonable reliance on information in the importer's
possession that the good is an originating good.
(b) Making a claim. The claim is made by including on the entry
summary, or equivalent documentation, the letters ``PE'' as a prefix to
the subheading of the HTSUS under which each qualifying good is
classified, or by the method specified for equivalent reporting via an
authorized electronic data interchange system.
(c) Corrected claim. If, after making the claim specified in
paragraph (b) of this section, the importer has reason to believe that
the claim is based on inaccurate information or is otherwise invalid,
the importer must, within 30 calendar days after the date of discovery
of the error, correct the claim and pay any duties that may be due. The
importer must submit a statement either in writing or via an authorized
electronic data interchange system to the CBP office where the original
claim was filed specifying the correction (see Sec. Sec. 10.931 and
10.933 of this subpart).
Sec. 10.904 Certification.
(a) General. An importer who makes a claim under Sec. 10.903(b) of
this subpart based on a certification by the importer, exporter, or
producer that the good is originating must submit, at the request of the
port director, a copy of the certification. The certification:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must be in the possession of the importer at the time the claim
for preferential tariff treatment is made if the certification forms the
basis for the claim;
(3) Must include the following information:
(i) The legal name, address, telephone, and email address (if any)
of the
[[Page 353]]
importer of record of the good, the exporter of the good (if different
from the producer), and the producer of the good;
(ii) The legal name, address, telephone, and email address (if any)
of the responsible official or authorized agent of the importer,
exporter, or producer signing the certification (if different from the
information required by paragraph (a)(3)(i) of this section);
(iii) A description of the good for which preferential tariff
treatment is claimed, which must be sufficiently detailed to relate it
to the invoice and the HS nomenclature;
(iv) The HTSUS tariff classification, to six or more digits, as
necessary for the specific change in tariff classification rule for the
good set forth in General Note 32(n), HTSUS; and
(v) The applicable rule of origin set forth in General Note 32,
HTSUS, under which the good qualifies as an originating good; and
(4) Must include a statement, in substantially the following form:
I certify that:
The information on this document is true and accurate and I assume
the responsibility for proving such representations. I understand that I
am liable for any false statements or material omissions made on or in
connection with this document;
I agree to maintain and present upon request, documentation
necessary to support these representations;
The goods comply with all requirements for preferential tariff
treatment specified for those goods in the United States-Peru Trade
Promotion Agreement; and
This document consists of -------- pages, including all attachments.
(b) Responsible official or agent. The certification provided for in
paragraph (a) of this section must be signed and dated by a responsible
official of the importer, exporter, or producer, or by the importer's,
exporter's, or producer's authorized agent having knowledge of the
relevant facts.
(c) Language. The certification provided for in paragraph (a) of
this section must be completed in either the English or Spanish
language. In the latter case, the port director may require the importer
to submit an English translation of the certification.
(d) Certification by the exporter or producer. A certification may
be prepared by the exporter or producer of the good on the basis of:
(1) The exporter's or producer's knowledge that the good is
originating; or
(2) In the case of an exporter, reasonable reliance on the
producer's certification that the good is originating.
(e) Applicability of certification. The certification provided for
in paragraph (a) of this section may be applicable to:
(1) A single shipment of a good into the United States; or
(2) Multiple shipments of identical goods into the United States
that occur within a specified blanket period, not exceeding 12 months,
set out in the certification.
(f) Validity of certification. A certification that is properly
completed, signed, and dated in accordance with the requirements of this
section will be accepted as valid for four years following the date on
which it was signed.
Sec. 10.905 Importer obligations.
(a) General. An importer who makes a claim for preferential tariff
treatment under Sec. 10.903(b) of this subpart:
(1) Will be deemed to have certified that the good is eligible for
preferential tariff treatment under the PTPA;
(2) Is responsible for the truthfulness of the claim and of all the
information and data contained in the certification provided for in
Sec. 10.904 of this subpart;
(3) Is responsible for submitting any supporting documents requested
by CBP, and for the truthfulness of the information contained in those
documents. When a certification prepared by an exporter or producer
forms the basis of a claim for preferential tariff treatment, and CBP
requests the submission of supporting documents, the importer will
provide to CBP, or arrange for the direct submission by the exporter or
producer of, all information relied on by the exporter or producer in
preparing the certification.
(b) Information provided by exporter or producer. The fact that the
importer has made a claim or submitted a certification based on
information provided by an exporter or producer will
[[Page 354]]
not relieve the importer of the responsibility referred to in paragraph
(a) of this section.
(c) Exemption from penalties. An importer will not be subject to
civil or administrative penalties under 19 U.S.C. 1592 for making an
incorrect claim for preferential tariff treatment or submitting an
incorrect certification, provided that the importer promptly and
voluntarily corrects the claim or certification and pays any duty owing
(see Sec. Sec. 10.931 and 10.933 of this subpart).
Sec. 10.906 Certification not required.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an importer will not be required to submit a copy of a
certification under Sec. 10.904 of this subpart for:
(1) A non-commercial importation of a good; or
(2) A commercial importation for which the value of the originating
goods does not exceed U.S. $2,500.
(b) Exception. If the port director determines that an importation
described in paragraph (a) of this section is part of a series of
importations carried out or planned for the purpose of evading
compliance with the certification requirements of Sec. 10.904 of this
subpart, the port director will notify the importer that for that
importation the importer must submit to CBP a copy of the certification.
The importer must submit such a copy within 30 days from the date of the
notice. Failure to timely submit a copy of the certification will result
in denial of the claim for preferential tariff treatment.
Sec. 10.907 Maintenance of records.
(a) General. An importer claiming preferential tariff treatment for
a good imported into the United States under Sec. 10.903(b) of this
subpart must maintain, for a minimum of five years after the date of
importation of the good, all records and documents that the importer has
demonstrating that the good qualifies for preferential tariff treatment
under the PTPA. These records are in addition to any other records that
the importer is required to prepare, maintain, or make available to CBP
under Part 163 of this chapter.
(b) Method of maintenance. The records and documents referred to in
paragraph (a) of this section must be maintained by importers as
provided in Sec. 163.5 of this chapter.
Sec. 10.908 Effect of noncompliance; failure to provide documentation
regarding transshipment.
(a) General. If the importer fails to comply with any requirement
under this subpart, including submission of a complete certification
prepared in accordance with Sec. 10.904 of this subpart, when requested,
the port director may deny preferential tariff treatment to the imported
good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential tariff treatment to an originating good if the good is
shipped through or transshipped in a country other than a Party to the
PTPA, and the importer of the good does not provide, at the request of
the port director, evidence demonstrating to the satisfaction of the
port director that the conditions set forth in Sec. 10.925(a) of this
subpart were met.
Export Requirements
Sec. 10.909 Certification for goods exported to Peru.
(a) Submission of certification to CBP. Any person who completes and
issues a certification for a good exported from the United States to
Peru must provide a copy of the certification (or such other medium or
format approved by the Peru customs authority for that purpose) to CBP
upon request.
(b) Notification of errors in certification. Any person who
completes and issues a certification for a good exported from the United
States to Peru and who has reason to believe that the certification
contains or is based on incorrect information must promptly notify every
person to whom the certification was provided of any change that could
affect the accuracy or validity of the certification. Notification of an
incorrect certification must also be given either in writing or via an
authorized electronic data interchange system to CBP specifying the
correction (see Sec. Sec. 10.932 and 10.933 of this subpart).
[[Page 355]]
(c) Maintenance of records--(1) General. Any person who completes
and issues a certification for a good exported from the United States to
Peru must maintain, for a period of at least five years after the date
the certification was signed, all records and supporting documents
relating to the origin of a good for which the certification was issued,
including the certification or copies thereof and records and documents
associated with:
(i) The purchase, cost, and value of, and payment for, the good;
(ii) The purchase, cost, and value of, and payment for, all
materials, including indirect materials, used in the production of the
good; and
(iii) The production of the good in the form in which the good was
exported.
(2) Method of maintenance. The records referred to in paragraph (c)
of this section must be maintained as provided in Sec. 163.5 of this
chapter.
(3) Availability of records. For purposes of determining compliance
with the provisions of this part, the records required to be maintained
under this section must be stored and made available for examination and
inspection by the port director or other appropriate CBP officer in the
same manner as provided in Part 163 of this chapter.
Post-Importation Duty Refund Claims
Sec. 10.910 Right to make post-importation claim and refund duties.
Notwithstanding any other available remedy, where a good would have
qualified as an originating good when it was imported into the United
States but no claim for preferential tariff treatment was made, the
importer of that good may file a claim for a refund of any excess duties
at any time within one year after the date of importation of the good in
accordance with the procedures set forth in Sec. 10.911 of this subpart.
Subject to the provisions of Sec. 10.908 of this subpart, CBP may refund
any excess duties by liquidation or reliquidation of the entry covering
the good in accordance with Sec. 10.912(c) of this subpart.
Sec. 10.911 Filing procedures.
(a) Place of filing. A post-importation claim for a refund must be
filed with the director of the port at which the entry covering the good
was filed.
(b) Contents of claim. A post-importation claim for a refund must be
filed by presentation of the following:
(1) A written declaration stating that the good was an originating
good at the time of importation and setting forth the number and date of
the entry or entries covering the good;
(2) A copy of a certification prepared in accordance with
Sec. 10.904 of this subpart if a certification forms the basis for the
claim, or other information demonstrating that the good qualifies for
preferential tariff treatment;
(3) A written statement indicating whether the importer of the good
provided a copy of the entry summary or equivalent documentation to any
other person. If such documentation was so provided, the statement must
identify each recipient by name, CBP identification number, and address
and must specify the date on which the documentation was provided; and
(4) A written statement indicating whether or not any person has
filed a protest relating to the good under any provision of law; and if
any such protest has been filed, the statement must identify the protest
by number and date.
Sec. 10.912 CBP processing procedures.
(a) Status determination. After receipt of a post-importation claim
under Sec. 10.911 of this subpart, the port director will determine
whether the entry covering the good has been liquidated and, if
liquidation has taken place, whether the liquidation has become final.
(b) Pending protest or judicial review. If the port director
determines that any protest relating to the good has not been finally
decided, the port director will suspend action on the claim filed under
Sec. 10.911 of this subpart until the decision on the protest becomes
final. If a summons involving the tariff classification or dutiability
of the good is filed in the Court of International Trade, the port
director will suspend action on the claim filed under Sec. 10.911
[[Page 356]]
of this subpart until judicial review has been completed.
(c) Allowance of claim--(1) Unliquidated entry. If the port director
determines that a claim for a refund filed under Sec. 10.911 of this
subpart should be allowed and the entry covering the good has not been
liquidated, the port director will take into account the claim for
refund in connection with the liquidation of the entry.
(2) Liquidated entry. If the port director determines that a claim
for a refund filed under Sec. 10.911 of this subpart should be allowed
and the entry covering the good has been liquidated, whether or not the
liquidation has become final, the entry must be reliquidated in order to
effect a refund of duties under this section. If the entry is otherwise
to be reliquidated based on administrative review of a protest or as a
result of judicial review, the port director will reliquidate the entry
taking into account the claim for refund under Sec. 10.911 of this
subpart.
(d) Denial of claim--(1) General. The port director may deny a claim
for a refund filed under Sec. 10.911 of this subpart if the claim was
not filed timely, if the importer has not complied with the requirements
of Sec. 10.908 and 10.911 of this subpart, or if, following an origin
verification under Sec. 10.926 of this subpart, the port director
determines either that the imported good was not an originating good at
the time of importation or that a basis exists upon which preferential
tariff treatment may be denied under Sec. 10.926 of this subpart.
(2) Unliquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has not been liquidated, the port director will deny
the claim in connection with the liquidation of the entry, and notice of
the denial and the reason for the denial will be provided to the
importer in writing or via an authorized electronic data interchange
system.
(3) Liquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has been liquidated, whether or not the liquidation
has become final, the claim may be denied without reliquidation of the
entry. If the entry is otherwise to be reliquidated based on
administrative review of a protest or as a result of judicial review,
such reliquidation may include denial of the claim filed under this
subpart. In either case, the port director will provide notice of the
denial and the reason for the denial to the importer in writing or via
an authorized electronic data interchange system.
Rules of Origin
Sec. 10.913 Definitions.
For purposes of Sec. Sec. 10.913 through 10.925:
(a) Adjusted value. ``Adjusted value'' means the value determined in
accordance with Articles 1 through 8, Article 15, and the corresponding
interpretative notes of the Customs Valuation Agreement, adjusted, if
necessary, to exclude:
(1) Any costs, charges, or expenses incurred for transportation,
insurance and related services incident to the international shipment of
the good from the country of exportation to the place of importation;
and
(2) The value of packing materials and containers for shipment as
defined in paragraph (m) of this section;
(b) Class of motor vehicles. ``Class of motor vehicles'' means any
one of the following categories of motor vehicles:
(1) Motor vehicles provided for in subheading 8701.20, 8704.10,
8704.22, 8704.23, 8704.32, or 8704.90, or heading 8705 or 8706, HTSUS,
or motor vehicles for the transport of 16 or more persons provided for
in subheading 8702.10 or 8702.90, HTSUS;
(2) Motor vehicles provided for in subheading 8701.10 or any of
subheadings 8701.30 through 8701.90, HTSUS;
(3) Motor vehicles for the transport of 15 or fewer persons provided
for in subheading 8702.10 or 8702.90, HTSUS, or motor vehicles provided
for in subheading 8704.21 or 8704.31, HTSUS; or
(4) Motor vehicles provided for in subheadings 8703.21 through
8703.90, HTSUS;
(c) Exporter. ``Exporter'' means a person who exports goods from the
territory of a Party;
(d) Fungible good or material. ``Fungible good or material'' means a
good or material, as the case may be, that is
[[Page 357]]
interchangeable with another good or material for commercial purposes
and the properties of which are essentially identical to such other good
or material;
(e) Generally Accepted Accounting Principles. ``Generally Accepted
Accounting Principles'' means the recognized consensus or substantial
authoritative support in the territory of a Party, with respect to the
recording of revenues, expenses, costs, assets, and liabilities, the
disclosure of information, and the preparation of financial statements.
These principles may encompass broad guidelines of general application
as well as detailed standards, practices, and procedures;
(f) Good. ``Good'' means any merchandise, product, article, or
material;
(g) Goods wholly obtained or produced entirely in the territory of
one or more of the Parties. ``Goods wholly obtained or produced entirely
in the territory of one or both of the Parties'' means:
(1) Plants and plant products harvested or gathered in the territory
of one or both of the Parties;
(2) Live animals born and raised in the territory of one or more of
the Parties;
(3) Goods obtained in the territory of one or both of the Parties
from live animals;
(4) Goods obtained from hunting, trapping, fishing, or aquaculture
conducted in the territory of one or both of the Parties;
(5) Minerals and other natural resources not included in paragraphs
(g)(1) through (g)(4) of this section that are extracted or taken in the
territory of one or both of the Parties;
(6) Fish, shellfish, and other marine life taken from the sea,
seabed, or subsoil outside the territory of the Parties by:
(i) Vessels registered or recorded with Peru and flying its flag; or
(ii) Vessels documented under the laws of the United States;
(7) Goods produced on board factory ships from the goods referred to
in aragraph (g)(6) of this section, if such factory ships are:
(i) Registered or recorded with Peru and fly its flag; or
(i) Documented under the laws of the United States;
(8) Goods taken by a Party or a person of a Party from the seabed or
subsoil outside territorial waters, if a Party has rights to exploit
such seabed or subsoil;
(9) Goods taken from outer space, provided they are obtained by a
Party or a person of a Party and not processed in the territory of a
non-Party;
(10) Waste and scrap derived from:
(i) Manufacturing or processing operations in the territory of one
or both of the Parties; or
(ii) Used goods collected in the territory of one or both of the
Parties, if such goods are fit only for the recovery of raw materials;
(11) Recovered goods derived in the territory of one or both of the
Parties from used goods, and used in the territory of one or both of the
Parties in the production of remanufactured goods; and
(12) Goods produced in the territory of one or both of the Parties
exclusively from goods referred to in any of paragraphs (g)(1) through
(g)(10) of this section, or from the derivatives of such goods, at any
stage of production;
(h) Material. ``Material'' means a good that is used in the
production of another good, including a part or an ingredient;
(i) Model line. ``Model line'' means a group of motor vehicles
having the same platform or model name;
(j) Net cost. ``Net cost'' means total cost minus sales promotion,
marketing, and after-sales service costs, royalties, shipping and
packing costs, and non-allowable interest costs that are included in the
total cost;
(k) Non-allowable interest costs. ``Non-allowable interest costs''
means interest costs incurred by a producer that exceed 700 basis points
above the applicable official interest rate for comparable maturities of
the Party in which the producer is located;
(l) Non-originating good or non-originating material. ``Non-
originating good'' or ``non-originating material'' means a good or
material, as the case may be, that does not qualify as originating under
General Note 32, HTSUS, or this subpart;
(m) Packing materials and containers for shipment. ``Packing
materials and containers for shipment'' means the
[[Page 358]]
goods used to protect a good during its transportation to the United
States, and does not include the packaging materials and containers in
which a good is packaged for retail sale;
(n) Producer. ``Producer'' means a person who engages in the
production of a good in the territory of a Party;
(o) Production. ``Production'' means growing, mining, harvesting,
fishing, raising, trapping, hunting, manufacturing, processing,
assembling, or disassembling a good;
(p) Reasonably allocate. ``Reasonably allocate'' means to apportion
in a manner that would be appropriate under Generally Accepted
Accounting Principles;
(q) Recovered goods. ``Recovered goods'' means materials in the form
of individual parts that are the result of:
(1) The disassembly of used goods into individual parts; and
(2) The cleaning, inspecting, testing, or other processing that is
necessary to improve such individual parts to sound working condition;
(r) Remanufactured good. ``Remanufactured good'' means an industrial
good assembled in the territory of one or both of the Parties that is
classified in Chapter 84, 85, 87, or 90 or heading 9402, HTSUS, other
than a good classified in heading 8418 or 8516, HTSUS, and that:
(1) Is entirely or partially comprised of recovered goods; and
(2) Has a similar life expectancy and enjoys a factory warranty
similar to a new good that is classified in one of the enumerated HTSUS
chapters or headings;
(s) Royalties. ``Royalties'' means payments of any kind, including
payments under technical assistance agreements or similar agreements,
made as consideration for the use of, or right to use, any copyright,
literary, artistic, or scientific work, patent, trademark, design,
model, plan, secret formula or process, excluding those payments under
technical assistance agreements or similar agreements that can be
related to specific services such as:
(1) Personnel training, without regard to where performed; and
(2) If performed in the territory of one or both of the Parties,
engineering, tooling, die-setting, software design and similar computer
services;
(t) Sales promotion, marketing, and after-sales service costs.
``Sales promotion, marketing, and after-sales service costs'' means the
following costs related to sales promotion, marketing, and after-sales
service:
(1) Sales and marketing promotion; media advertising; advertising
and market research; promotional and demonstration materials; exhibits;
sales conferences, trade shows and conventions; banners; marketing
displays; free samples; sales, marketing, and after-sales service
literature (product brochures, catalogs, technical literature, price
lists, service manuals, sales aid information); establishment and
protection of logos and trademarks; sponsorships; wholesale and retail
restocking charges; entertainment;
(2) Sales and marketing incentives; consumer, retailer or wholesaler
rebates; merchandise incentives;
(3) Salaries and wages, sales commissions, bonuses, benefits (for
example, medical, insurance, pension), traveling and living expenses,
membership and professional fees, for sales promotion, marketing, and
after-sales service personnel;
(4) Recruiting and training of sales promotion, marketing, and
after-sales service personnel, and after-sales training of customers'
employees, where such costs are identified separately for sales
promotion, marketing, and after-sales service of goods on the financial
statements or cost accounts of the producer;
(5) Product liability insurance;
(6) Office supplies for sales promotion, marketing, and after-sales
service of goods, where such costs are identified separately for sales
promotion, marketing, and after-sales service of goods on the financial
statements or cost accounts of the producer;
(7) Telephone, mail and other communications, where such costs are
identified separately for sales promotion, marketing, and after-sales
service of goods on the financial statements or cost accounts of the
producer;
(8) Rent and depreciation of sales promotion, marketing, and after-
sales service offices and distribution centers;
[[Page 359]]
(9) Property insurance premiums, taxes, cost of utilities, and
repair and maintenance of sales promotion, marketing, and after-sales
service offices and distribution centers, where such costs are
identified separately for sales promotion, marketing, and after-sales
service of goods on the financial statements or cost accounts of the
producer; and
(10) Payments by the producer to other persons for warranty repairs;
(u) Self-produced material. ``Self-produced material'' means an
originating material that is produced by a producer of a good and used
in the production of that good;
(v) Shipping and packing costs. ``Shipping and packing costs'' means
the costs incurred in packing a good for shipment and shipping the good
from the point of direct shipment to the buyer, excluding the costs of
preparing and packaging the good for retail sale;
(w) Total cost. ``Total cost'' means all product costs, period
costs, and other costs for a good incurred in the territory of one or
both of the Parties. Product costs are costs that are associated with
the production of a good and include the value of materials, direct
labor costs, and direct overhead. Period costs are costs, other than
product costs, that are expensed in the period in which they are
incurred, such as selling expenses and general and administrative
expenses. Other costs are all costs recorded on the books of the
producer that are not product costs or period costs, such as interest.
Total cost does not include profits that are earned by the producer,
regardless of whether they are retained by the producer or paid out to
other persons as dividends, or taxes paid on those profits, including
capital gains taxes;
(x) Used. ``Used'' means utilized or consumed in the production of
goods; and
(y) Value. ``Value'' means the value of a good or material for
purposes of calculating customs duties or for purposes of applying this
subpart.
Sec. 10.914 Originating goods.
Except as otherwise provided in this subpart and General Note 32(m),
HTSUS, a good imported into the customs territory of the United States
will be considered an originating good under the PTPA only if:
(a) The good is wholly obtained or produced entirely in the
territory of one or both of the Parties;
(b) The good is produced entirely in the territory of one or both of
the Parties and:
(1) Each non-originating material used in the production of the good
undergoes an applicable change in tariff classification specified in
General Note 32(n), HTSUS, and the good satisfies all other applicable
requirements of General Note 32, HTSUS; or
(2) The good otherwise satisfies any applicable regional value
content or other requirements specified in General Note 32(n), HTSUS,
and satisfies all other applicable requirements of General Note 32,
HTSUS; or
(c) The good is produced entirely in the territory of one or both of
the Parties exclusively from originating materials.
Sec. 10.915 Regional value content.
(a) General. Except for goods to which paragraph (d) of this section
applies, where General Note 32(n), HTSUS, sets forth a rule that
specifies a regional value content test for a good, the regional value
content of such good must be calculated by the importer, exporter, or
producer of the good on the basis of the build-down method described in
paragraph (b) of this section or the build-up method described in
paragraph (c) of this section.
(b) Build-down method. Under the build-down method, the regional
value content must be calculated on the basis of the formula RVC = ((AV-
VNM)/AV) x 100, where RVC is the regional value content, expressed as a
percentage; AV is the adjusted value of the good; and VNM is the value
of non-originating materials that are acquired and used by the producer
in the production of the good, but does not include the value of a
material that is self-produced.
(c) Build-up method. Under the build-up method, the regional value
content must be calculated on the basis of the formula RVC = (VOM/AV) x
100, where RVC is the regional value content, expressed as a percentage;
AV is the adjusted value of the good; and VOM is
[[Page 360]]
the value of originating materials that are acquired or self-produced
and used by the producer in the production of the good.
(d) Special rule for certain automotive goods.
(1) General. Where General Note 32(n), HTSUS, sets forth a rule that
specifies a regional value content test for an automotive good provided
for in any of subheadings 8407.31 through 8407.34, subheading 8408.20,
heading 8409, or any of headings 8701 through 8708, HTSUS, the regional
value content of such good must be calculated by the importer, exporter,
or producer of the good on the basis of the net cost method described in
paragraph (d)(2) of this section.
(2) Net cost method. Under the net cost method, the regional value
content is calculated on the basis of the formula RVC = ((NC-VNM)/NC) x
100, where RVC is the regional value content, expressed as a percentage;
NC is the net cost of the good; and VNM is the value of non-originating
materials that are acquired and used by the producer in the production
of the good, but does not include the value of a material that is self-
produced. Consistent with the provisions regarding allocation of costs
set out in Generally Accepted Accounting Principles, the net cost of the
good must be determined by:
(i) Calculating the total cost incurred with respect to all goods
produced by the producer of the automotive good, subtracting any sales
promotion, marketing, and after-sales service costs, royalties, shipping
and packing costs, and non-allowable interest costs that are included in
the total cost of all such goods, and then reasonably allocating the
resulting net cost of those goods to the automotive good;
(ii) Calculating the total cost incurred with respect to all goods
produced by the producer of the automotive good, reasonably allocating
the total cost to the automotive good, and then subtracting any sales
promotion, marketing, and after-sales service costs, royalties, shipping
and packing costs, and non-allowable interest costs that are included in
the portion of the total cost allocated to the automotive good; or
(iii) Reasonably allocating each cost that forms part of the total
costs incurred with respect to the automotive good so that the aggregate
of these costs does not include any sales promotion, marketing, and
after-sales service costs, royalties, shipping and packing costs, or
non-allowable interest costs.
(3) Motor vehicles.
(i) General. For purposes of calculating the regional value content
under the net cost method for an automotive good that is a motor vehicle
provided for in any of headings 8701 through 8705, an importer,
exporter, or producer may average the amounts calculated under the
formula set forth in paragraph (d)(2) of this section over the
producer's fiscal year using any one of the categories described in
paragraph (d)(3)(ii) of this section either on the basis of all motor
vehicles in the category or those motor vehicles in the category that
are exported to the territory of one or both Parties.
(ii) Categories. The categories referred to in paragraph (d)(3)(i)
of this section are as follows:
(A) The same model line of motor vehicles, in the same class of
vehicles, produced in the same plant in the territory of a Party, as the
motor vehicle for which the regional value content is being calculated;
(B) The same class of motor vehicles, and produced in the same plant
in the territory of a Party, as the motor vehicle for which the regional
value content is being calculated; and
(C) The same model line of motor vehicles produced in the territory
of a Party as the motor vehicle for which the regional value content is
being calculated.
(4) Other automotive goods. (i) General. For purposes of calculating
the regional value content under the net cost method for automotive
goods provided for in any of subheadings 8407.31 through 8407.34,
subheading 8408.20, heading 8409, 8706, 8707, or 8708, HTSUS, that are
produced in the same plant, an importer, exporter, or producer may:
(A) Average the amounts calculated under the formula set forth in
paragraph (d)(2) of this section over any of the following: The fiscal
year, or any quarter or month, of the motor vehicle producer to whom the
automotive good
[[Page 361]]
is sold, or the fiscal year, or any quarter or month, of the producer of
the automotive good, provided the goods were produced during the fiscal
year, quarter, or month that is the basis for the calculation;
(B) Determine the average referred to in paragraph (d)(4)(i)(A) of
this section separately for such goods sold to one or more motor vehicle
producers; or
(C) Make a separate determination under paragraph (d)(4)(i)(A) or
(d)(4)(i)(B) of this section for automotive goods that are exported to
the territory of Peru or the United States.
(ii) Duration of use. A person selecting an averaging period of one
month or quarter under paragraph (d)(4)(i)(A) of this section must
continue to use that method for that category of automotive goods
throughout the fiscal year.
Sec. 10.916 Value of materials.
(a) Calculating the value of materials. Except as provided in
Sec. 10.924, for purposes of calculating the regional value content of a
good under General Note 32(n), HTSUS, and for purposes of applying the
de minimis (see Sec. 10.918 of this subpart) provisions of General Note
32(n), HTSUS, the value of a material is:
(1) In the case of a material imported by the producer of the good,
the adjusted value of the material;
(2) In the case of a material acquired by the producer in the
territory where the good is produced, the value, determined in
accordance with Articles 1 through 8, Article 15, and the corresponding
interpretative notes of the Customs Valuation Agreement, of the material
with reasonable modifications to the provisions of the Customs Valuation
Agreement as may be required due to the absence of an importation by the
producer (including, but not limited to, treating a domestic purchase by
the producer as if it were a sale for export to the country of
importation); or
(3) In the case of a self-produced material, the sum of:
(i) All expenses incurred in the production of the material,
including general expenses; and
(ii) An amount for profit equivalent to the profit added in the
normal course of trade.
(b) Examples. The following examples illustrate application of the
principles set forth in paragraph (a)(2) of this section:
Example 1. A producer in Peru purchases material x from an unrelated
seller in Peru for $100. Under the provisions of Article 1 of the
Customs Valuation Agreement, transaction value is the price actually
paid or payable for the goods when sold for export to the country of
importation adjusted in accordance with the provisions of Article 8. In
order to apply Article 1 to this domestic purchase by the producer, such
purchase is treated as if it were a sale for export to the country of
importation. Therefore, for purposes of determining the adjusted value
of material x, Article 1 transaction value is the price actually paid or
payable for the goods when sold to the producer in Peru ($100), adjusted
in accordance with the provisions of Article 8. In this example, it is
irrelevant whether material x was initially imported into Peru by the
seller (or by anyone else). So long as the producer acquired material x
in Peru, it is intended that the value of material x will be determined
on the basis of the price actually paid or payable by the producer
adjusted in accordance with the provisions of Article 8.
Example 2. Same facts as in Example 1, except that the sale between
the seller and the producer is subject to certain restrictions that
preclude the application of Article 1. Under Article 2 of the Customs
Valuation Agreement, the value is the transaction value of identical
goods sold for export to the same country of importation and exported at
or about the same time as the goods being valued. In order to permit the
application of Article 2 to the domestic acquisition by the producer, it
should be modified so that the value is the transaction value of
identical goods sold within Peru at or about the same time the goods
were sold to the producer in Peru. Thus, if the seller of material x
also sold an identical material to another buyer in Peru without
restrictions, that other sale would be used to determine the adjusted
value of material x.
(c) Permissible additions to, and deductions from, the value of
materials.
(1) Additions to originating materials. For originating materials,
the following expenses, if not included under paragraph (a) of this
section, may be added to the value of the originating material:
(i) The costs of freight, insurance, packing, and all other costs
incurred in
[[Page 362]]
transporting the material within or between the territory of one or both
of the Parties to the location of the producer;
(ii) Duties, taxes, and customs brokerage fees on the material paid
in the territory of one or both of the Parties, other than duties and
taxes that are waived, refunded, refundable, or otherwise recoverable,
including credit against duty or tax paid or payable; and
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or byproducts.
(2) Deductions from non-originating materials. For non-originating
materials, if included under paragraph (a) of this section, the
following expenses may be deducted from the value of the non-originating
material:
(i) The costs of freight, insurance, packing, and all other costs
incurred in transporting the material within or between the territory of
one or both of the Parties to the location of the producer;
(ii) Duties, taxes, and customs brokerage fees on the material paid
in the territory of one or both of the Parties, other than duties and
taxes that are waived, refunded, refundable, or otherwise recoverable,
including credit against duty or tax paid or payable;
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or by-products; and
(iv) The cost of originating materials used in the production of the
non-originating material in the territory of one or both of the Parties.
(d) Accounting method. Any cost or value referenced in General Note
32, HTSUS, and this subpart, must be recorded and maintained in
accordance with the Generally Accepted Accounting Principles applicable
in the territory of the Party in which the good is produced.
Sec. 10.917 Accumulation.
(a) Originating materials from the territory of a Party that are
used in the production of a good in the territory of another Party will
be considered to originate in the territory of that other Party.
(b) A good that is produced in the territory of one or both of the
Parties by one or more producers is an originating good if the good
satisfies the requirements of Sec. 10.914 of this subpart and all other
applicable requirements of General Note 32, HTSUS.
Sec. 10.918 De minimis.
(a) General. Except as provided in paragraphs (b) and (c) of this
section, a good that does not undergo a change in tariff classification
pursuant to General Note 32(n), HTSUS, is an originating good if:
(1) The value of all non-originating materials used in the
production of the good that do not undergo the applicable change in
tariff classification does not exceed 10 percent of the adjusted value
of the good;
(2) The value of the non-originating materials described in
paragraph (a)(1) of this section is included in the value of non-
originating materials for any applicable regional value content
requirement for the good under General Note 32(n), HTSUS; and
(3) The good meets all other applicable requirements of General Note
32, HTSUS.
(b) Exceptions. Paragraph (a) of this section does not apply to:
(1) A non-originating material provided for in Chapter 4, HTSUS, or
a non-originating dairy preparation containing over 10 percent by weight
of milk solids provided for in subheading 1901.90 or 2106.90, HTSUS,
that is used in the production of a good provided for in Chapter 4,
HTSUS;
(2) A non-originating material provided for in Chapter 4, HTSUS, or
a non-originating dairy preparation containing over 10 percent by weight
of milk solids provided for in subheading 1901.90, HTSUS, that is used
in the production of the following goods:
(i) Infant preparations containing over 10 percent by weight of milk
solids provided for in subheading 1901.10, HTSUS;
(ii) Mixes and doughs, containing over 25 percent by weight of
butterfat, not put up for retail sale, provided for in subheading
1901.20, HTSUS;
[[Page 363]]
(iii) Dairy preparations containing over 10 percent by weight of
milk solids provided for in subheading 1901.90 or 2106.90, HTSUS;
(iv) Goods provided for in heading 2105, HTSUS;
(v) Beverages containing milk provided for in subheading 2202.90,
HTSUS; and
(vi) Animal feeds containing over 10 percent by weight of milk
solids provided for in subheading 2309.90, HTSUS; and
(3) A non-originating material provided for in heading 0805, HTSUS,
or any of subheadings 2009.11 through 2009.39, HTSUS, that is used in
the production of a good provided for in any of subheadings 2009.11
through 2009.39, HTSUS, or in fruit or vegetable juice of any single
fruit or vegetable, fortified with minerals or vitamins, concentrated or
unconcentrated, provided for in subheading 2106.90 or 2202.90, HTSUS;
(4) A non-originating material provided for in heading 0901 or 2101,
HTSUS, that is used in the production of a good provided for in heading
0901 or 2101, HTSUS;
(5) A non-originating material provided for in Chapter 15, HTSUS,
that is used in the production of a good provided for in Chapter 15,
HTSUS;
(6) A non-originating material provided for in heading 1701, HTSUS,
that is used in the production of a good provided for in any of headings
1701 through 1703, HTSUS;
(7) A non-originating material provided for in Chapter 17, HTSUS,
that is used in the production of a good provided for in subheading
1806.10, HTSUS; and
(8) Except as provided in paragraphs (b)(1) through (b)(7) of this
section and General Note 32(n), HTSUS, a non-originating material used
in the production of a good provided for in any of Chapters 1 through
24, HTSUS, unless the non-originating material is provided for in a
different subheading than the good for which origin is being determined
under this subpart.
(c) Textile and apparel goods--(1) General. Except as provided in
paragraph (c)(2) of this section, a textile or apparel good that is not
an originating good because certain fibers or yarns used in the
production of the component of the good that determines the tariff
classification of the good do not undergo an applicable change in tariff
classification set out in General Note 32(n), HTSUS, will nevertheless
be considered to be an originating good if:
(i) The total weight of all such fibers or yarns in that component
is not more than 10 percent of the total weight of that component; or
(ii) The yarns are nylon filament yarns (other than elastomeric
yarns) that are provided for in subheading 5402.11.30, 5402.11.60,
5402.19.30, 5402.19.60, 5402.31.30, 5402.31.60, 5402.32.30, 5402.32.60,
5402.45.10, 5402.45.90, 5402.51.00, or 5402.61.00, HTSUS, and that are
products of Canada, Mexico, or Israel.
(2) Exception for goods containing elastomeric yarns. A textile or
apparel good containing elastomeric yarns (excluding latex) in the
component of the good that determines the tariff classification of the
good will be considered an originating good only if such yarns are
wholly formed in the territory of one or both of the Parties. For
purposes of this paragraph, ``wholly formed'' means that all the
production processes and finishing operations, starting with the
extrusion of filaments, strips, film, or sheet, and including slitting a
film or sheet into strip, or the spinning of all fibers into yarn, or
both, and ending with a finished yarn or plied yarn, took place in the
territory of one or both of the Parties.
(3) Yarn, fabric, or fiber. For purposes of paragraph (c) of this
section, in the case of a textile or apparel good that is a yarn,
fabric, or fiber, the term ``component of the good that determines the
tariff classification of the good'' means all of the fibers in the good.
[76 FR 68072, Nov. 3, 2011, as amended at 77 FR 64032, Oct. 18, 2012]
Sec. 10.919 Fungible goods and materials.
(a) General. A person claiming that a fungible good or material is
an originating good may base the claim either on the physical
segregation of the fungible good or material or by using an inventory
management method with respect to the fungible good or material. For
purposes of this section, the term ``inventory management method''
means:
[[Page 364]]
(1) Averaging;
(2) ``Last-in, first-out;''
(3) ``First-in, first-out;'' or
(4) Any other method that is recognized in the Generally Accepted
Accounting Principles of the Party in which the production is performed
or otherwise accepted by that country.
(b) Duration of use. A person selecting an inventory management
method under paragraph (a) of this section for a particular fungible
good or material must continue to use that method for that fungible good
or material throughout the fiscal year of that person.
Sec. 10.920 Accessories, spare parts, or tools.
(a) General. Accessories, spare parts, or tools that are delivered
with a good and that form part of the good's standard accessories, spare
parts, or tools will be treated as originating goods if the good is an
originating good, and will be disregarded in determining whether all the
non-originating materials used in the production of the good undergo an
applicable change in tariff classification specified in General Note
32(n), HTSUS, provided that:
(1) The accessories, spare parts, or tools are classified with, and
not invoiced separately from, the good, regardless of whether they are
specified or separately identified in the invoice for the good; and
(2) The quantities and value of the accessories, spare parts, or
tools are customary for the good.
(b) Regional value content. If the good is subject to a regional
value content requirement, the value of the accessories, spare parts, or
tools is taken into account as originating or non-originating materials,
as the case may be, in calculating the regional value content of the
good under Sec. 10.915 of this subpart.
Sec. 10.921 Goods classifiable as goods put up in sets.
Notwithstanding the specific rules set forth in General Note 32(n),
HTSUS, goods classifiable as goods put up in sets for retail sale as
provided for in General Rule of Interpretation 3, HTSUS, will not be
considered to be originating goods unless:
(a) Each of the goods in the set is an originating good; or
(b) The total value of the non-originating goods in the set does not
exceed;
(1) In the case of textile or apparel goods, 10 percent of the
adjusted value of the set; or
(2) In the case of a good other than a textile or apparel good, 15
percent of the adjusted value of the set.
Sec. 10.922 Retail packaging materials and containers.
(a) Effect on tariff shift rule. Packaging materials and containers
in which a good is packaged for retail sale, if classified with the good
for which preferential tariff treatment under the PTPA is claimed, will
be disregarded in determining whether all non-originating materials used
in the production of the good undergo the applicable change in tariff
classification set out in General Note 32(n), HTSUS.
(b) Effect on regional value content calculation. If the good is
subject to a regional value content requirement, the value of such
packaging materials and containers will be taken into account as
originating or non-originating materials, as the case may be, in
calculating the regional value content of the good.
Example 1. Peruvian Producer A of good C imports 100 non-originating
blister packages to be used as retail packaging for good C. As provided
in Sec. 10.916(a)(1) of this subpart, the value of the blister packages
is their adjusted value, which in this case is $10. Good C has a
regional value content requirement. The United States importer of good C
decides to use the build-down method, RVC = ((AV - VNM)/AV) x 100 (see
Sec. 10.915(b) of this subpart), in determining whether good C satisfies
the regional value content requirement. In applying this method, the
non-originating blister packages are taken into account as non-
originating. As such, their $10 adjusted value is included in the VNM,
value of non-originating materials, of good C.
Example 2. Same facts as in Example 1, except that the blister
packages are originating. In this case, the adjusted value of the
originating blister packages would not be included as part of the VNM of
good C under the build-down method. However, if the U.S. importer had
used the build-up method, RVC = (VOM/AV) x 100 (see Sec. 10.915(c) of
this subpart), the adjusted value of the blister packaging would be
included as part of the VOM, value of originating materials.
[[Page 365]]
Sec. 10.923 Packing materials and containers for shipment.
(a) Effect on tariff shift rule. Packing materials and containers
for shipment, as defined in Sec. 10.913(m) of this subpart, are to be
disregarded in determining whether the non-originating materials used in
the production of the good undergo an applicable change in tariff
classification set out in General Note 32(n), HTSUS. Accordingly, such
materials and containers are not required to undergo the applicable
change in tariff classification even if they are non-originating.
(b) Effect on regional value content calculation. Packing materials
and containers for shipment, as defined in Sec. 10.913(m) of this
subpart, are to be disregarded in determining the regional value content
of a good imported into the United States. Accordingly, in applying the
build-down, build-up, or net cost method for determining the regional
value content of a good imported into the United States, the value of
such packing materials and containers for shipment (whether originating
or non-originating) is disregarded and not included in AV, adjusted
value, VNM, value of non-originating materials, VOM, value of
originating materials, or NC, net cost of a good.
Example. Peruvian producer A produces good C. Producer A ships good
C to the United States in a shipping container that it purchased from
Company B in Peru. The shipping container is originating. The value of
the shipping container determined under section Sec. 10.916(a)(2) of
this subpart is $3. Good C is subject to a regional value content
requirement. The transaction value of good C is $100, which includes the
$3 shipping container. The U.S. importer decides to use the build-up
method, RVC = (VOM/AV) x 100 (see Sec. 10.915(c) of this subpart), in
determining whether good C satisfies the regional value content
requirement. In determining the AV, adjusted value, of good C imported
into the U.S., paragraph (b) of this section and the definition of AV
require a $3 deduction for the value of the shipping container.
Therefore, the AV is $97 ($100 - $3). In addition, the value of the
shipping container is disregarded and not included in the VOM, value of
originating materials.
Sec. 10.924 Indirect materials.
An indirect material, as defined in Sec. 10.902(m) of this subpart,
will be considered to be an originating material without regard to where
it is produced.
Example. Peruvian Producer A produces good C using non-originating
material B. Producer A imports non-originating rubber gloves for use by
workers in the production of good C. Good C is subject to a tariff shift
requirement. As provided in Sec. 10.914(b)(1) of this subpart and
General Note 32(n), each of the non-originating materials in good C must
undergo the specified change in tariff classification in order for good
C to be considered originating. Although non-originating material B must
undergo the applicable tariff shift in order for good C to be considered
originating, the rubber gloves do not because they are indirect
materials and are considered originating without regard to where they
are produced.
Sec. 10.925 Transit and transshipment.
(a) General. A good that has undergone production necessary to
qualify as an originating good under Sec. 10.914 of this subpart will
not be considered an originating good if, subsequent to that production,
the good:
(1) Undergoes further production or any other operation outside the
territories of the Parties, other than unloading, reloading, or any
other operation necessary to preserve the good in good condition or to
transport the good to the territory of a Party; or
(2) Does not remain under the control of customs authorities in the
territory of a non-Party.
(b) Documentary evidence. An importer making a claim that a good is
originating may be required to demonstrate, to CBP's satisfaction, that
the conditions and requirements set forth in paragraph (a) of this
section were met. An importer may demonstrate compliance with this
section by submitting documentary evidence. Such evidence may include,
but is not limited to, bills of lading, airway bills, packing lists,
commercial invoices, receiving and inventory records, and customs entry
and exit documents.
Origin Verifications and Determinations
Sec. 10.926 Verification and justification of claim for preferential
tariff treatment.
(a) Verification. A claim for preferential tariff treatment made
under
[[Page 366]]
Sec. 10.903(b) or Sec. 10.911 of this subpart, including any statements
or other information submitted to CBP in support of the claim, will be
subject to such verification as the port director deems necessary. In
the event that the port director is provided with insufficient
information to verify or substantiate the claim, or the exporter or
producer fails to consent to a verification visit, the port director may
deny the claim for preferential treatment. A verification of a claim for
preferential tariff treatment under PTPA for goods imported into the
United States may be conducted by means of one or more of the following:
(1) Written requests for information from the importer, exporter, or
producer;
(2) Written questionnaires to the importer, exporter, or producer;
(3) Visits to the premises of the exporter or producer in the
territory of Peru, to review the records of the type referred to in
Sec. 10.909(c)(1) of this subpart or to observe the facilities used in
the production of the good, in accordance with the framework that the
Parties develop for conducting verifications; and
(4) Such other procedures to which the Parties may agree.
(b) Applicable accounting principles. When conducting a verification
of origin to which Generally Accepted Accounting Principles may be
relevant, CBP will apply and accept the Generally Accepted Accounting
Principles applicable in the country of production.
Sec. 10.927 Special rule for verifications in Peru of U.S. imports of
textile and apparel goods.
(a) Procedures to determine whether a claim of origin is accurate--
(1) General. For the purpose of determining that a claim of origin for a
textile or apparel good is accurate, CBP may request that the Government
of Peru conduct a verification, regardless of whether a claim is made
for preferential tariff treatment.
(2) Actions during a verification. While a verification under this
paragraph is being conducted, CBP may take appropriate action, which may
include:
(i) Suspending the application of preferential tariff treatment to
the textile or apparel good for which a claim for preferential tariff
treatment has been made, if CBP determines there is insufficient
information to support the claim;
(ii) Denying the application of preferential tariff treatment to the
textile or apparel good for which a claim for preferential tariff
treatment has been made that is the subject of a verification if CBP
determines that an enterprise has provided incorrect information to
support the claim;
(iii) Detention of any textile or apparel good exported or produced
by the enterprise subject to the verification if CBP determines there is
insufficient information to determine the country of origin of any such
good; and
(iv) Denying entry to any textile or apparel good exported or
produced by the enterprise subject to the verification if CBP determines
that the enterprise has provided incorrect information as to the country
of origin of any such good.
(3) Actions following a verification. On completion of a
verification under this paragraph, CBP may take appropriate action,
which may include:
(i) Denying the application of preferential tariff treatment to the
textile or apparel good for which a claim for preferential tariff
treatment has been made that is the subject of a verification if CBP
determines there is insufficient information, or that the enterprise has
provided incorrect information, to support the claim; and
(ii) Denying entry to any textile or apparel good exported or
produced by the enterprise subject to the verification if CBP determines
there is insufficient information to determine, or that the enterprise
has provided incorrect information as to, the country of origin of any
such good.
(b) Procedures to determine compliance with applicable customs laws
and regulations of the United States--(1) General. For purposes of
enabling CBP to determine that an exporter or producer is complying with
applicable customs laws, regulations, and procedures regarding trade in
textile and apparel goods, CBP may request that the government of Peru
conduct a verification.
[[Page 367]]
(2) Actions during a verification. While a verification under this
paragraph is being conducted, CBP may take appropriate action, which may
include:
(i) Suspending the application of preferential tariff treatment to
any textile or apparel good exported or produced by the enterprise
subject to the verification if CBP determines there is insufficient
information to support a claim for preferential tariff treatment with
respect to any such good;
(ii) Denying the application of preferential tariff treatment to any
textile or apparel good exported or produced by the enterprise subject
to the verification if CBP determines that the enterprise has provided
incorrect information to support a claim for preferential tariff
treatment with respect to any such good;
(iii) Detention of any textile or apparel good exported or produced
by the enterprise subject to the verification if CBP determines there is
insufficient information to determine the country of origin of any such
good; and
(iv) Denying entry to any textile or apparel good exported or
produced by the enterprise subject to the verification if CBP determines
that the enterprise has provided incorrect information as to the country
of origin of any such good.
(3) Actions following a verification. On completion of a
verification under this paragraph, CBP may take appropriate action,
which may include:
(i) Denying the application of preferential tariff treatment to any
textile or apparel good exported or produced by the enterprise subject
to the verification if CBP determines there is insufficient information,
or that the enterprise has provided incorrect information, to support a
claim for preferential tariff treatment with respect to any such good;
and
(ii) Denying entry to any textile or apparel good exported or
produced by the enterprise subject to the verification if CBP determines
there is insufficient information to determine, or that the enterprise
has provided incorrect information as to, the country of origin of any
such good.
(c) Denial of permission to conduct a verification. If an enterprise
does not consent to a verification under this section, CBP may deny
preferential tariff treatment to the type of goods of the enterprise
that would have been the subject of the verification.
(d) Assistance by U.S. officials in conducting a verification
abroad. U.S. officials may undertake or assist in a verification under
this section by conducting visits in the territory of Peru, along with
the competent authorities of Peru, to the premises of an exporter,
producer, or any other enterprise involved in the movement of textile or
apparel goods from Peru to the United States.
(e) Continuation of appropriate action. CBP may continue to take
appropriate action under paragraph (a) or (b) of this section until it
receives information sufficient to enable it to make the determination
described in paragraphs (a) and (b) of this section.
Sec. 10.928 Issuance of negative origin determinations.
If, as a result of an origin verification initiated under this
subpart, CBP determines that a claim for preferential tariff treatment
under this subpart should be denied, it will issue a determination in
writing or via an authorized electronic data interchange system to the
importer that sets forth the following:
(a) A description of the good that was the subject of the
verification together with the identifying numbers and dates of the
import documents pertaining to the good;
(b) A statement setting forth the findings of fact made in
connection with the verification and upon which the determination is
based; and
(c) With specific reference to the rules applicable to originating
goods as set forth in General Note 32, HTSUS, and in Sec. Sec. 10.913
through 10.925 of this subpart, the legal basis for the determination.
Sec. 10.929 Repeated false or unsupported preference claims.
Where verification or other information reveals a pattern of conduct
by an importer, exporter, or producer of false or unsupported
representations that goods qualify under the PTPA rules of origin set
forth in General Note 32, HTSUS, CBP may suspend preferential
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tariff treatment under the PTPA to entries of identical goods covered by
subsequent representations by that importer, exporter, or producer until
CBP determines that representations of that person are in conformity
with General Note 32, HTSUS.
Penalties
Sec. 10.930 General.
Except as otherwise provided in this subpart, all criminal, civil,
or administrative penalties which may be imposed on U.S. importers,
exporters, and producers for violations of the customs and related laws
and regulations will also apply to U.S. importers, exporters, and
producers for violations of the laws and regulations relating to the
PTPA.
Sec. 10.931 Corrected claim or certification by importers.
An importer who makes a corrected claim under Sec. 10.903(c) of this
subpart will not be subject to civil or administrative penalties under
19 U.S.C. 1592 for having made an incorrect claim or having submitted an
incorrect certification, provided that the corrected claim is promptly
and voluntarily made.
Sec. 10.932 Corrected certification by U.S. exporters or producers.
Civil or administrative penalties provided for under 19 U.S.C. 1592
will not be imposed on an exporter or producer in the United States who
promptly and voluntarily provides written notification pursuant to
Sec. 10.909(b) with respect to the making of an incorrect certification.
Sec. 10.933 Framework for correcting claims or certifications.
(a) ``Promptly and voluntarily'' defined. Except as provided for in
paragraph (b) of this section, for purposes of this subpart, the making
of a corrected claim or certification by an importer or the providing of
written notification of an incorrect certification by an exporter or
producer in the United States will be deemed to have been done promptly
and voluntarily if:
(1)(i) Done before the commencement of a formal investigation,
within the meaning of Sec. 162.74(g) of this chapter; or
(ii) Done before any of the events specified in Sec. 162.74(i) of
this chapter have occurred; or
(iii) Done within 30 days after the importer, exporter, or producer
initially becomes aware that the claim or certification is incorrect;
and
(2) Accompanied by a statement setting forth the information
specified in paragraph (c) of this section; and
(3) In the case of a corrected claim or certification by an
importer, accompanied or followed by a tender of any actual loss of
duties and merchandise processing fees, if applicable, in accordance
with paragraph (d) of this section.
(b) Exception in cases involving fraud or subsequent incorrect
claims--(1) Fraud. Notwithstanding paragraph (a) of this section, a
person who acted fraudulently in making an incorrect claim or
certification may not make a voluntary correction of that claim or
certification. For purposes of this paragraph, the term ``fraud'' will
have the meaning set forth in paragraph (C)(3) of appendix B to Part 171
of this chapter.
(2) Subsequent incorrect claims. An importer who makes one or more
incorrect claims after becoming aware that a claim involving the same
merchandise and circumstances is invalid may not make a voluntary
correction of the subsequent claims pursuant to paragraph (a) of this
section.
(c) Statement. For purposes of this subpart, each corrected claim or
certification must be accompanied by a statement, submitted in writing
or via an authorized electronic data interchange system, which:
(1) Identifies the class or kind of good to which the incorrect
claim or certification relates;
(2) In the case of a corrected claim or certification by an
importer, identifies each affected import transaction, including each
port of importation and the approximate date of each importation;
(3) Specifies the nature of the incorrect statements or omissions
regarding the claim or certification; and
(4) Sets forth, to the best of the person's knowledge, the true and
accurate information or data which should have been covered by or
provided in the claim or certification, and states that the person will
provide any additional
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information or data which is unknown at the time of making the corrected
claim or certification within 30 days or within any extension of that
30-day period as CBP may permit in order for the person to obtain the
information or data.
(d) Tender of actual loss of duties. A U.S. importer who makes a
corrected claim must tender any actual loss of duties at the time of
making the corrected claim, or within 30 days thereafter, or within any
extension of that 30-day period as CBP may allow in order for the
importer to obtain the information or data necessary to calculate the
duties owed.
Goods Returned After Repair or Alteration
Sec. 10.934 Goods re-entered after repair or alteration in Peru.
(a) General. This section sets forth the rules which apply for
purposes of obtaining duty-free treatment on goods returned after repair
or alteration in Peru as provided for in subheadings 9802.00.40 and
9802.00.50, HTSUS. Goods returned after having been repaired or altered
in Peru, whether or not pursuant to a warranty, are eligible for duty-
free treatment, provided that the requirements of this section are met.
For purposes of this section, ``repairs or alterations'' means
restoration, addition, renovation, re-dyeing, cleaning, re-sterilizing,
or other treatment that does not destroy the essential characteristics
of, or create a new or commercially different good from, the good
exported from the United States.
(b) Goods not eligible for duty-free treatment after repair or
alteration. The duty-free treatment referred to in paragraph (a) of this
section will not apply to goods which, in their condition as exported
from the United States to Peru, are incomplete for their intended use
and for which the processing operation performed in Peru constitutes an
operation that is performed as a matter of course in the preparation or
manufacture of finished goods.
(c) Documentation. The provisions of paragraphs (a), (b), and (c) of
Sec. 10.8 of this part, relating to the documentary requirements for
goods entered under subheading 9802.00.40 or 9802.00.50, HTSUS, will
apply in connection with the entry of goods which are returned from Peru
after having been exported for repairs or alterations and which are
claimed to be duty free.
Subpart R_United States-Korea Free Trade Agreement
Source: 77 FR 15948, Mar. 19, 2012, unless otherwise noted.
General Provisions
Sec. 10.1001 Scope.
This subpart implements the duty preference and related customs
provisions applicable to imported and exported goods under the United
States-Korea Free Trade Agreement (the UKFTA) signed on June 30, 2007,
and under the United States-Korea Free Trade Agreement Implementation
Act (the Act; Pub. L. 112-41, 125 Stat. 428 (19 U.S.C. 3805 note)).
Except as otherwise specified in this subpart, the procedures and other
requirements set forth in this subpart are in addition to the customs
procedures and requirements of general application contained elsewhere
in this chapter. Additional provisions implementing certain aspects of
the UKFTA and the Act are contained in parts 24, 162, and 163 of this
chapter.
Sec. 10.1002 General definitions.
As used in this subpart, the following terms will have the meanings
indicated unless either the context in which they are used requires a
different meaning or a different definition is prescribed for a
particular section of this subpart:
(a) Claim for preferential tariff treatment. ``Claim for
preferential tariff treatment'' means a claim that a good is entitled to
the duty rate applicable under the UKFTA to an originating good and to
an exemption from the merchandise processing fee;
(b) Claim of origin. ``Claim of origin'' means a claim that a
textile or apparel good is an originating good or satisfies the non-
preferential rules of origin of a Party;
(c) Customs duty. ``Customs duty'' includes any customs or import
duty and
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a charge of any kind imposed in connection with the importation of a
good, including any form of surtax or surcharge in connection with such
importation, such as an adjustment tariff imposed pursuant to Article 69
of Korea's Customs Act, but does not include any:
(1) Charge equivalent to an internal tax imposed consistently with
Article III:2 of GATT 1994, in respect of like, directly competitive, or
substitutable goods of the Party, or in respect of goods from which the
imported good has been manufactured or produced in whole or in part;
(2) Antidumping or countervailing duty that is applied pursuant to a
Party's law; or
(3) Fee or other charge in connection with importation commensurate
with the cost of services rendered.
(d) Customs Valuation Agreement. ``Customs Valuation Agreement''
means the Agreement on Implementation of Article VII of the General
Agreement on Tariffs and Trade 1994, contained in Annex 1A to the WTO
Agreement;
(e) Days. ``Days'' means calendar days;
(f) Enterprise. ``Enterprise'' means any entity constituted or
organized under applicable law, whether or not for profit, and whether
privately or governmentally-owned or controlled, including any
corporation, trust, partnership, sole proprietorship, joint venture,
association, or similar organization;
(g) Enterprise of a Party. ``Enterprise of a Party'' means an
enterprise constituted or organized under a Party's law;
(h) GATT 1994. ``GATT 1994'' means the General Agreement on Tariffs
and Trade 1994, contained in Annex 1A to the WTO Agreement;
(i) Goods of a Party. ``Goods of a Party'' means domestic products
as these are understood in GATT 1994 or such goods as the Parties may
agree, and includes originating goods of that Party;
(j) Harmonized System. ``Harmonized System'' means the Harmonized
Commodity Description and Coding System, including its General Rules of
Interpretation, Section Notes, and Chapter Notes, as adopted and
implemented by the Parties in their respective tariff laws;
(k) Heading. ``Heading'' means the first four digits in the tariff
classification number under the Harmonized System;
(l) HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the
United States as promulgated by the U.S. International Trade Commission;
(m) Identical goods. ``Identical goods'' means goods that are the
same in all respects relevant to the rule of origin that qualifies the
goods as originating;
(n) Indirect material. ``Indirect material'' means a good used in
the production, testing, or inspection of a good but not physically
incorporated into the good, or a good used in the maintenance of
buildings or the operation of equipment associated with the production
of a good, including:
(1) Fuel and energy;
(2) Tools, dies, and molds;
(3) Spare parts and materials used in the maintenance of equipment
or buildings;
(4) Lubricants, greases, compounding materials, and other materials
used in production or used to operate equipment or buildings;
(5) Gloves, glasses, footwear, clothing, safety equipment, and
supplies;
(6) Equipment, devices, and supplies used for testing or inspecting
the good;
(7) Catalysts and solvents; and
(8) Any other goods that are not incorporated into the other good
but the use of which in the production of the other good can reasonably
be demonstrated to be a part of that production;
(o) Korea. ``Korea'' means the Republic of Korea.
(p) Originating. ``Originating'' means qualifying for preferential
tariff treatment under the rules of origin set out in Chapter Four
(Textiles and Apparel) or Chapter Six (Rules of Origin and Origin
Procedures) of the UKFTA and General Note 33, HTSUS;
(q) Party. ``Party'' means the United States or the Republic of
Korea;
(r) Person. ``Person'' means a natural person or an enterprise;
(s) Person of a Party. ``Person of a Party'' means a national or an
enterprise of a Party;
[[Page 371]]
(t) Preferential tariff treatment. ``Preferential tariff treatment''
means the duty rate applicable under the UKFTA to an originating good,
and an exemption from the merchandise processing fee;
(u) Subheading. ``Subheading'' means the first six digits in the
tariff classification number under the Harmonized System;
(v) Textile or apparel good. ``Textile or apparel good'' means a
good listed in the Annex to the Agreement on Textiles and Clothing
(commonly referred to as ``the ATC'');
(w) Territory. ``Territory'' means:
(1) With respect to Korea, the land, maritime, and air space over
which Korea exercises sovereignty, and those maritime areas, including
the seabed and subsoil adjacent to and beyond the outer limit of the
territorial seas over which it may exercise sovereign rights or
jurisdiction in accordance with international law and its domestic law;
and
(2) With respect to the United States,
(i) The customs territory of the United States, which includes the
50 states, the District of Columbia, and Puerto Rico;
(ii) The foreign trade zones located in the United States and Puerto
Rico; and
(iii) Any areas beyond the territorial seas of the United States
within which, in accordance with international law and its domestic law,
the United States may exercise sovereign rights with respect to the
seabed and subsoil and their natural resources;
(x) WTO. ``WTO'' means the World Trade Organization; and
(y) WTO Agreement. ``WTO Agreement'' means the Marrakesh Agreement
Establishing the World Trade Organization of April 15, 1994.
Import Requirements
Sec. 10.1003 Filing of claim for preferential tariff treatment upon
importation.
(a) Basis of claim. An importer may make a claim for UKFTA
preferential tariff treatment, including an exemption from the
merchandise processing fee, based on either:
(1) A written or electronic certification, as specified in
Sec. 10.1004 of this subpart, that is prepared by the importer,
exporter, or producer of the good; or
(2) The importer's knowledge that the good is an originating good,
including reasonable reliance on information in the importer's
possession that the good is an originating good.
(b) Making a claim. The claim is made by including on the entry
summary, or equivalent documentation, the letters ``KR'' as a prefix to
the subheading of the HTSUS under which each qualifying good is
classified, or by the method specified for equivalent reporting via an
authorized electronic data interchange system.
(c) Corrected claim. If, after making the claim specified in
paragraph (b) of this section, the importer has reason to believe that
the claim is based on inaccurate information or is otherwise invalid,
the importer must, within 30 calendar days after the date of discovery
of the error, correct the claim and pay any duties that may be due. The
importer must submit a statement either in writing or via an authorized
electronic data interchange system to the CBP office where the original
claim was filed specifying the correction (see Sec. Sec. 10.1031 and
10.1033 of this subpart).
Sec. 10.1004 Certification.
(a) General. An importer who makes a claim pursuant to
Sec. 10.1003(b) of this subpart based on a certification by the
importer, exporter, or producer that the good is originating must
submit, at the request of the port director, a copy of the
certification. The certification:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must be in the possession of the importer at the time the claim
for preferential tariff treatment is made if the certification forms the
basis for the claim;
(3) Must include the following information:
(i) The legal name, address, telephone, and email address (if any)
of the importer of record of the good (if known), the exporter of the
good (if different from the producer), and the producer of the good (if
known);
[[Page 372]]
(ii) The legal name, address, telephone, and email address (if any)
of the responsible official or authorized agent of the importer,
exporter, or producer signing the certification (if different from the
information required by paragraph (a)(3)(i) of this section);
(iii) A description of the good for which preferential tariff
treatment is claimed, which must be sufficiently detailed to relate it
to the invoice and the HS nomenclature;
(iv) The HTSUS tariff classification, to six or more digits, as
necessary for the specific change in tariff classification rule for the
good set forth in General Note 33(o), HTSUS; and
(v) The applicable rule of origin set forth in General Note 33,
HTSUS, under which the good qualifies as an originating good;
(vi) Date of certification;
(vii) In case of a blanket certification issued with respect to the
multiple shipments of identical goods within any period specified in the
written or electronic certification, not exceeding 12 months from the
date of certification, the period that the certification covers; and
(4) Must include a statement, in substantially the following form:
``I certify that:
The information on this document is true and accurate and I assume the
responsibility for proving such representations. I understand that I am
liable for any false statements or material omissions made on or in
connection with this document;
I agree to maintain and present upon request, documentation necessary to
support these representations;
The goods comply with all requirements for preferential tariff treatment
specified for those goods in the United States-Korea Free Trade
Agreement; and
This document consists of ---- pages, including all attachments.''
(b) Responsible official or agent. The certification provided for in
paragraph (a) of this section must be signed and dated by a responsible
official of the importer, exporter, or producer, or by the importer's,
exporter's, or producer's authorized agent having knowledge of the
relevant facts.
(c) Language. The certification provided for in paragraph (a) of
this section must be completed in either the English or Korean language.
In the latter case, the port director may require the importer to submit
an English translation of the certification.
(d) Certification by the exporter or producer. (1) A certification
may be prepared by the exporter or producer of the good on the basis of:
(i) The exporter's or producer's knowledge that the good is
originating; or
(ii) In the case of an exporter, reasonable reliance on the
producer's written or electronic certification that the good is
originating.
(2) The port director may not require an exporter or producer to
provide a written or electronic certification to another person.
(e) Applicability of certification. The certification provided for
in paragraph (a) of this section may be applicable to:
(1) A single shipment of a good into the United States; or
(2) Multiple shipments of identical goods into the United States
that occur within a specified blanket period, not exceeding 12 months,
set out in the certification.
(f) Validity of certification. A certification that is properly
completed, signed, and dated in accordance with the requirements of this
section will be accepted as valid for four years following the date on
which it was issued.
Sec. 10.1005 Importer obligations.
(a) General. An importer who makes a claim for preferential tariff
treatment under Sec. 10.1003(b) of this subpart:
(1) Will be deemed to have certified that the good is eligible for
preferential tariff treatment under the UKFTA;
(2) Is responsible for the truthfulness of the claim and of all the
information and data contained in the certification provided for in
Sec. 10.1004 of this subpart; and
(3) Is responsible for submitting any supporting documents requested
by CBP, and for the truthfulness of the information contained in those
documents. When a certification prepared by an exporter or producer
forms the basis of a claim for preferential tariff treatment, and CBP
requests the submission of supporting documents, the importer will
provide to CBP, or arrange for the direct submission by the
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exporter or producer of, all information relied on by the exporter or
producer in preparing the certification.
(b) Information provided by exporter or producer. The fact that the
importer has made a claim or submitted a certification based on
information provided by an exporter or producer will not relieve the
importer of the responsibility referred to in paragraph (a) of this
section.
(c) Exemption from penalties. An importer will not be subject to
civil or administrative penalties under 19 U.S.C. 1592 for making an
incorrect claim for preferential tariff treatment or submitting an
incorrect certification, provided that the importer promptly and
voluntarily corrects the claim or certification and pays any duty owing
(see Sec. Sec. 10.1031 and 10.1033 of this subpart).
Sec. 10.1006 Certification not required.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an importer will not be required to submit a copy of a
certification under Sec. 10.1004 of this subpart for:
(1) A non-commercial importation of a good; or
(2) A commercial importation for which the value of the originating
goods does not exceed U.S. $2,500.
(b) Exception. If the port director determines that an importation
described in paragraph (a) of this section is part of a series of
importations carried out or planned for the purpose of evading
compliance with the certification requirements of Sec. 10.1004 of this
subpart, the port director will notify the importer that for that
importation the importer must submit to CBP a copy of the certification.
The importer must submit such a copy within 30 days from the date of the
notice. Failure to timely submit a copy of the certification will result
in denial of the claim for preferential tariff treatment.
Sec. 10.1007 Maintenance of records.
(a) General. An importer claiming preferential tariff treatment for
a good (based on either the importer's certification or its knowledge,
or on the certification issued by the exporter or producer) imported
into the United States under Sec. 10.1003(b) of this subpart must
maintain for a minimum of five years from the date of importation of the
good, all records and documents that the importer has demonstrating that
the good qualifies for preferential tariff treatment under the UKFTA.
These records are in addition to any other records that the importer is
required to prepare, maintain, or make available to CBP under part 163
of this chapter.
(b) Method of maintenance. The records and documents referred to in
paragraph (a) of this section must be maintained by importers as
provided in Sec. 163.5 of this chapter.
Sec. 10.1008 Effect of noncompliance; failure to provide documentation
regarding transshipment.
(a) General. If the importer fails to comply with any requirement
under this subpart, including submission of a complete certification
prepared in accordance with Sec. 10. 1004 of this subpart, when
requested, the port director may deny preferential tariff treatment to
the imported good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential tariff treatment to an originating good if the good is
shipped through or transshipped in a country other than a Party to the
UKFTA, and the importer of the good does not provide, at the request of
the port director, evidence demonstrating to the satisfaction of the
port director that the conditions set forth in Sec. 10.1025(a) of this
subpart were met.
Export Requirements
Sec. 10.1009 Certification for goods exported to Korea.
(a) Submission of certification to CBP. Any person who completes and
issues a certification for a good exported from the United States to
Korea must provide a copy of the certification (written or electronic)
to CBP upon request.
(b) Notification of errors in certification. Any person who
completes and issues a certification for a good exported from the United
States to Korea and who has reason to believe that the
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certification contains or is based on incorrect information must
promptly notify every person to whom the certification was provided of
any change that could affect the accuracy or validity of the
certification. Notification of an incorrect certification must also be
given either in writing or via an authorized electronic data interchange
system to CBP specifying the correction (see Sec. Sec. 10.1032 and
10.1033 of this subpart).
(c) Maintenance of records--(1) General. Any person who completes
and issues a certification for a good exported from the United States to
Korea must maintain, for a period of at least five years after the date
the certification was issued, all records and supporting documents
relating to the origin of a good for which the certification was issued,
including the certification or copies thereof and records and documents
associated with:
(i) The purchase, cost, and value of, and payment for, the good;
(ii) The purchase, cost, and value of, and payment for, all
materials, including indirect materials, used in the production of the
good; and
(iii) The production of the good in the form in which the good was
exported.
(2) Method of maintenance. The records referred to in paragraph
(c)(1) of this section must be maintained as provided in Sec. 163.5 of
this chapter.
(3) Availability of records. For purposes of determining compliance
with the provisions of this part, the records required to be maintained
under this section must be stored and made available for examination and
inspection by the port director or other appropriate CBP officer in the
same manner as provided in Part 163 of this chapter.
[77 FR 15948, Mar. 19, 2012, as amended at 78 FR 32358, May 30, 2013]
Post-Importation Duty Refund Claims
Sec. 10.1010 Right to make post-importation claim and refund duties.
Notwithstanding any other available remedy, where a good would have
qualified as an originating good when it was imported into the United
States but no claim for preferential tariff treatment was made, the
importer of that good may file a claim for a refund of any excess duties
at any time within one year after the date of importation of the good in
accordance with the procedures set forth in Sec. 10.1011 of this
subpart. Subject to the provisions of Sec. 10.1008 of this subpart, CBP
may refund any excess duties by liquidation or reliquidation of the
entry covering the good in accordance with Sec. 10.1012(c) of this
subpart.
Sec. 10.1011 Filing procedures.
(a) Place of filing. A post-importation claim for a refund must be
filed with the director of the port at which the entry covering the good
was filed.
(b) Contents of claim. A post-importation claim for a refund must be
filed by presentation of the following:
(1) A written or electronic declaration or statement stating that
the good was an originating good at the time of importation and setting
forth the number and date of the entry or entries covering the good;
(2) A copy of a written or electronic certification prepared in
accordance with Sec. 10.1004 of this subpart if a certification forms
the basis for the claim, or other information demonstrating that the
good qualifies for preferential tariff treatment;
(3) A written statement indicating whether the importer of the good
provided a copy of the entry summary or equivalent documentation to any
other person. If such documentation was so provided, the statement must
identify each recipient by name, CBP identification number, and address
and must specify the date on which the documentation was provided; and
(4) A written statement indicating whether or not any person has
filed a protest relating to the good under any provision of law; and if
any such protest has been filed, the statement must identify the protest
by number and date.
Sec. 10.1012 CBP processing procedures.
(a) Status determination. After receipt of a post-importation claim
made pursuant to Sec. 10.1011 of this subpart, the port director will
determine whether the entry covering the good has been liquidated and,
if liquidation has taken
[[Page 375]]
place, whether the liquidation has become final.
(b) Pending protest or judicial review. If the port director
determines that any protest relating to the good has not been finally
decided, the port director will suspend action on the claim filed under
Sec. 10.1011 of this subpart until the decision on the protest becomes
final. If a summons involving the tariff classification or dutiability
of the good is filed in the Court of International Trade, the port
director will suspend action on the claim filed under Sec. 10.1011 of
this subpart until judicial review has been completed.
(c) Allowance of claim--(1) Unliquidated entry. If the port director
determines that a claim for a refund filed under Sec. 10.1011 of this
subpart should be allowed and the entry covering the good has not been
liquidated, the port director will take into account the claim for
refund in connection with the liquidation of the entry.
(2) Liquidated entry. If the port director determines that a claim
for a refund filed under Sec. 10.1011 of this subpart should be allowed
and the entry covering the good has been liquidated, whether or not the
liquidation has become final, the entry must be reliquidated in order to
effect a refund of duties under this section. If the entry is otherwise
to be reliquidated based on administrative review of a protest or as a
result of judicial review, the port director will reliquidate the entry
taking into account the claim for refund under Sec. 10.1011 of this
subpart.
(d) Denial of claim--(1) General. The port director may deny a claim
for a refund filed under Sec. 10.1011 of this subpart if the claim was
not filed timely, if the importer has not complied with the requirements
of Sec. 10.1008 and 10.1011 of this subpart, or if, following an origin
verification under Sec. 10.1026 of this subpart, the port director
determines either that the imported good was not an originating good at
the time of importation or that a basis exists upon which preferential
tariff treatment may be denied under Sec. 10.1026 of this subpart.
(2) Unliquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has not been liquidated, the port director will deny
the claim in connection with the liquidation of the entry, and notice of
the denial and the reason for the denial will be provided to the
importer in writing or via an authorized electronic data interchange
system.
(3) Liquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has been liquidated, whether or not the liquidation
has become final, the claim may be denied without reliquidation of the
entry. If the entry is otherwise to be reliquidated based on
administrative review of a protest or as a result of judicial review,
such reliquidation may include denial of the claim filed under this
subpart. In either case, the port director will provide notice of the
denial and the reason for the denial to the importer in writing or via
an authorized electronic data interchange system.
Rules of Origin
Sec. 10.1013 Definitions.
For purposes of Sec. Sec. 10.1013 through 10.1025:
(a) Adjusted value. ``Adjusted value'' means the value determined in
accordance with Articles 1 through 8, Article 15, and the corresponding
interpretative notes of the Customs Valuation Agreement, adjusted, if
necessary, to exclude:
(1) Any costs, charges, or expenses incurred for transportation,
insurance and related services incident to the international shipment of
the good from the country of exportation to the place of importation;
and
(2) The value of packing materials and containers for shipment as
defined in paragraph (m) of this section;
(b) Class of motor vehicles. ``Class of motor vehicles'' means any
one of the following categories of motor vehicles:
(1) Motor vehicles classified under subheading 8701.20, HTSUS, motor
vehicles for the transport of 16 or more persons classified under
subheading 8702.10 or 8702.90, HTSUS, and motor vehicles classified
under subheading 8704.10, 8704.22, 8704.23, 8704.32, or 8704.90, or
heading 87.05 or 87.06, HTSUS;
[[Page 376]]
(2) Motor vehicles classified under subheading 8701.10 or subheading
8701.30 through 8701.90, HTSUS;
(3) Motor vehicles for the transport of 15 or fewer persons
classified under subheading 8702.10 or 8702.90, HTSUS and motor vehicles
classified under subheading 8704.21 or 8704.31, HTSUS; or
(4) Motor vehicles classified under subheading 8703.21 through
8703.90, HTSUS;
(c) Exporter. ``Exporter'' means a person who exports goods from the
territory of a Party;
(d) Fungible goods or materials. ``Fungible goods or materials''
means goods or materials that are interchangeable with another good or
material for commercial purposes and the properties of which are
essentially identical to such other good or material;
(e) Generally Accepted Accounting Principles. ``Generally Accepted
Accounting Principles'' means the recognized consensus or substantial
authoritative support in the territory of a Party, with respect to the
recording of revenues, expenses, costs, assets, and liabilities, the
disclosure of information, and the preparation of financial statements.
These principles may encompass broad guidelines of general application
as well as detailed standards, practices, and procedures;
(f) Good. ``Good'' means any merchandise, product, article, or
material;
(g) Goods wholly obtained or produced entirely in the territory of
one or more of the Parties. ``Goods wholly obtained or produced entirely
in the territory of one or both of the Parties'' means:
(1) Plants and plant products grown, and harvested or gathered, in
the territory of one or both of the Parties;
(2) Live animals born and raised in the territory of one or both of
the Parties;
(3) Goods obtained in the territory of one or both of the Parties
from live animals;
(4) Goods obtained from hunting, trapping, fishing, or aquaculture
conducted in the territory of one or both of the Parties;
(5) Minerals and other natural resources not included in paragraphs
(g)(1) through (g)(4) extracted or taken from the territory of one or
both of the Parties;
(6) Fish, shellfish, and other marine life taken from the sea,
seabed, or subsoil outside the territory of the Parties by:
(i) A vessel that is registered or recorded with Korea and flying
the flag of Korea; or
(ii) A vessel that is documented under the laws of the United
States;
(7) Goods produced on board factory ships from the goods referred to
in paragraph (g)(6), if such factory ship:
(i) Is registered or recorded with Korea and flies the flag of
Korea; or
(ii) Is a vessel that is documented under the laws of the United
States;
(8) Goods taken by a Party or a person of a Party from the seabed or
subsoil outside the territory of one or both of the Parties, provided
that Party has rights to exploit such seabed or subsoil;
(9) Goods taken from outer space, provided they are obtained by a
Party or a person of a Party and not processed in the territory of a
non-Party;
(10) Waste and scrap derived from:
(i) Manufacturing or processing operations in the territory of one
or both of the Parties; or
(ii) Used goods collected in the territory of one or both of the
Parties, provided such goods are fit only for the recovery of raw
materials;
(11) Recovered goods derived in the territory of one or both of the
Parties from used goods, and used in the territory of one or both of the
Parties in the production of remanufactured goods; and
(12) Goods produced in the territory of one or both of the Parties
exclusively from goods referred to in paragraphs (g)(1) through (g)(10)
of this section, or from their derivatives, at any stage of production;
(h) Material. ``Material'' means a good that is used in the
production of another good, including a part or an ingredient;
(i) Model line. ``Model line'' means a group of motor vehicles
having the same platform or model name;
(j) Net cost. ``Net cost'' means total cost minus sales promotion,
marketing, and after-sales service costs, royalties, shipping and
packing costs,
[[Page 377]]
and non-allowable interest costs that are included in the total cost;
(k) Non-allowable interest costs. ``Non-allowable interest costs''
means interest costs incurred by a producer that exceed 700 basis points
above the applicable official interest rate on debt obligations of
comparable maturities issued by the central level of government of the
Party in which the producer is located;
(l) Non-originating good or non-originating material. ``Non-
originating good'' or ``non-originating material'' means a good or
material, as the case may be, that does not qualify as originating under
General Note 33, HTSUS, or this subpart;
(m) Packing materials and containers for shipment. ``Packing
materials and containers for shipment'' means the goods used to protect
a good during its transportation to the United States and does not
include the packaging materials and containers in which a good is
packaged for retail sale;
(n) Producer. ``Producer'' means a person who engages in the
production of a good in the territory of a Party;
(o) Production. ``Production'' means growing, mining, harvesting,
fishing, breeding, raising, trapping, hunting, manufacturing,
processing, assembling, or disassembling a good;
(p) Reasonably allocate. ``Reasonably allocate'' means to apportion
in a manner that would be appropriate under Generally Accepted
Accounting Principles;
(q) Reasonable suspicion of unlawful activity. ``Reasonable
suspicion of unlawful activity'' means a suspicion based on relevant
factual information obtained from public or private sources comprising
one or more of the following:
(1) Historical evidence of non-compliance with laws or regulations
governing importations by an importer or exporter;
(2) Historical evidence of non-compliance with laws or regulations
governing importations by a manufacturer, producer, or other person
involved in the movement of goods from the territory of one Party to the
territory of the other Party;
(3) Historical evidence that some or all of the persons involved in
the movement from the territory of one Party to the territory of the
other Party of goods within a specific product sector have not complied
with a Party's laws and regulations governing importations; or
(4) Other information that the requesting Party and the Party from
whom the information is requested agree is sufficient in the context of
a particular request;
(r) Recovered goods. ``Recovered goods'' means materials in the form
of individual parts that are the result of:
(1) The disassembly of used goods into individual parts; and
(2) The cleaning, inspecting, testing, or other processing that is
necessary to improve such individual parts to sound working condition;
(s) Remanufactured goods. ``Remanufactured goods'' means goods
classified in Chapter 84, 85, 87, or 90, or under heading 9402, HTSUS,
that:
(1) Are entirely or partially comprised of recovered goods as
defined in Sec. 10.1013(r) and,
(2) Have a similar life expectancy and enjoy a factory warranty
similar to such new goods;
(t) Royalties. ``Royalties'' means payments of any kind, including
payments under technical assistance agreements or similar agreements,
made as consideration for the use of, or right to use, any copyright,
literary, artistic, or scientific work, patent, trademark, design,
model, plan, secret formula or process, excluding those payments under
technical assistance agreements or similar agreements that can be
related to specific services such as:
(1) Personnel training, without regard to where performed; and
(2) If performed in the territory of one or both of the Parties,
engineering, tooling, die-setting, software design and similar computer
services;
(u) Sales promotion, marketing, and after-sales service costs.
``Sales promotion, marketing, and after-sales service costs'' means the
following costs related to sales promotion, marketing, and after-sales
service:
(1) Sales and marketing promotion; media advertising; advertising
and market research; promotional and demonstration materials; exhibits;
sales conferences, trade shows and conventions; banners; marketing
displays;
[[Page 378]]
free samples; sales, marketing, and after-sales service literature
(product brochures, catalogs, technical literature, price lists, service
manuals, sales aid information); establishment and protection of logos
and trademarks; sponsorships; wholesale and retail restocking charges;
entertainment;
(2) Sales and marketing incentives; consumer, retailer or wholesaler
rebates; merchandise incentives;
(3) Salaries and wages, sales commissions, bonuses, benefits (for
example, medical, insurance, pension), traveling and living expenses,
membership and professional fees, for sales promotion, marketing, and
after-sales service personnel;
(4) Recruiting and training of sales promotion, marketing, and
after-sales service personnel, and after-sales training of customers'
employees, where such costs are identified separately for sales
promotion, marketing, and after-sales service of goods on the financial
statements or cost accounts of the producer;
(5) Product liability insurance;
(6) Office supplies for sales promotion, marketing, and after-sales
service of goods, where such costs are identified separately for sales
promotion, marketing, and after-sales service of goods on the financial
statements or cost accounts of the producer;
(7) Telephone, mail and other communications, where such costs are
identified separately for sales promotion, marketing, and after-sales
service of goods on the financial statements or cost accounts of the
producer;
(8) Rent and depreciation of sales promotion, marketing, and after-
sales service offices and distribution centers;
(9) Property insurance premiums, taxes, cost of utilities, and
repair and maintenance of sales promotion, marketing, and after-sales
service offices and distribution centers, where such costs are
identified separately for sales promotion, marketing, and after-sales
service of goods on the financial statements or cost accounts of the
producer; and
(10) Payments by the producer to other persons for warranty repairs;
(v) Self-produced material. ``Self-produced material'' means an
originating material that is produced by a producer of a good and used
in the production of that good;
(w) Shipping and packing costs. ``Shipping and packing costs'' means
the costs incurred in packing a good for shipment and shipping the good
from the point of direct shipment to the buyer, excluding the costs of
preparing and packaging the good for retail sale;
(x) Total cost. ``Total cost'' means all product costs, period
costs, and other costs for a good incurred in the territory of one or
both of the Parties. Product costs are costs that are associated with
the production of a good and include the value of materials, direct
labor costs, and direct overhead. Period costs are costs, other than
product costs, that are expensed in the period in which they are
incurred, such as selling expenses and general and administrative
expenses. Other costs are all costs recorded on the books of the
producer that are not product costs or period costs, such as interest.
Total cost does not include profits that are earned by the producer,
regardless of whether they are retained by the producer or paid out to
other persons as dividends, or taxes paid on those profits, including
capital gains taxes;
(y) Used. ``Used'' means utilized or consumed in the production of
goods; and
(z) Value. ``Value'' means the value of a good or material for
purposes of calculating customs duties or for purposes of applying this
subpart.
Sec. 10.1014 Originating goods.
Except as otherwise provided in this subpart and General Note 33(n),
HTSUS, a good imported into the customs territory of the United States
will be considered an originating good under the UKFTA only if:
(a) The good is wholly obtained or produced entirely in the
territory of one or both of the Parties;
(b) The good is produced entirely in the territory of one or both of
the Parties and:
(1) Each non-originating material used in the production of the good
undergoes an applicable change in tariff classification specified in
General Note 33(o), HTSUS, and the good satisfies all other applicable
requirements of General Note 33, HTSUS; or
[[Page 379]]
(2) The good otherwise satisfies any applicable regional value
content or other requirements specified in General Note 33(o), HTSUS,
and satisfies all other applicable requirements of General Note 33,
HTSUS; or
(c) The good is produced entirely in the territory of one or both of
the Parties exclusively from originating materials.
Sec. 10.1015 Regional value content.
(a) General. Except for goods to which paragraph (d) of this section
applies, where General Note 33, HTSUS, sets forth a rule that specifies
a regional value content test for a good, the regional value content of
such good must be calculated by the importer, exporter, or producer of
the good on the basis of the build-down method described in paragraph
(b) of this section or the build-up method described in paragraph (c) of
this section.
(b) Build-down method. Under the build-down method, the regional
value content must be calculated on the basis of the formula RVC = ((AV
- VNM)/AV) x 100, where RVC is the regional value content, expressed as
a percentage; AV is the adjusted value of the good; and VNM is the value
of non-originating materials, other than indirect materials, that are
acquired and used by the producer in the production of the good, but
does not include the value of a material that is self-produced.
(c) Build-up method. Under the build-up method, the regional value
content must be calculated on the basis of the formula RVC = (VOM/AV) x
100, where RVC is the regional value content, expressed as a percentage;
AV is the adjusted value of the good; and VOM is the value of
originating materials, other than indirect materials, that are acquired
or self-produced and used by the producer in the production of the good.
(d) Special rule for certain automotive goods--(1) General. Where
General Note 33, HTSUS, sets forth a rule that specifies a regional
value content test for an automotive good provided for in any of
subheadings 8407.31 through 8407.34 (engines), subheading 8408.20
(diesel engine for vehicles), heading 8409 (parts of engines), headings
8701 through 8705 (motor vehicles), and headings 8706 (chassis), 8707
(bodies), and 8708 (motor vehicle parts), HTSUS, the regional value
content of such good may be calculated by the importer, exporter, or
producer of the good on the basis of the net cost method described in
paragraph (d)(2) of this section.
(2) Net cost method. Under the net cost method, the regional value
content is calculated on the basis of the formula RVC = ((NC - VNM)/NC)
x 100, where RVC is the regional value content, expressed as a
percentage; NC is the net cost of the good; and VNM is the value of non-
originating materials, other than indirect materials, that are acquired
and used by the producer in the production of the good, but does not
include the value of a material that is self-produced. Consistent with
the provisions set out in Generally Accepted Accounting Principles,
applicable in the territory of the Party where the good is produced, the
net cost of the good must be determined by:
(i) Calculating the total cost incurred with respect to all goods
produced by the producer of the automotive good, subtracting any sales
promotion, marketing, and after-sales service costs, royalties, shipping
and packing costs, and non-allowable interest costs that are included in
the total cost of all such goods, and then reasonably allocating the
resulting net cost of those goods to the automotive good;
(ii) Calculating the total cost incurred with respect to all goods
produced by the producer of the automotive good, reasonably allocating
the total cost to the automotive good, and then subtracting any sales
promotion, marketing, and after-sales service costs, royalties, shipping
and packing costs, and non-allowable interest costs that are included in
the portion of the total cost allocated to the automotive good; or
(iii) Reasonably allocating each cost that forms part of the total
costs incurred with respect to the automotive good so that the aggregate
of these costs does not include any sales promotion, marketing, and
after-sales service costs, royalties, shipping and packing costs, or
non-allowable interest costs.
[[Page 380]]
(3) Motor vehicles. (i) General. For purposes of calculating the
regional value content under the net cost method for an automotive good
that is a motor vehicle provided for in any of headings 8701 through
8705, an importer, exporter, or producer may average the amounts
calculated under the formula set forth in paragraph (d)(2) of this
section over the producer's fiscal year using any one of the categories
described in paragraph (d)(3)(ii) of this section either on the basis of
all motor vehicles in the category or those motor vehicles in the
category that are exported to the territory of one or both Parties.
(ii) Categories. The categories referred to in paragraph (d)(3)(i)
of this section are as follows:
(A) The same model line of motor vehicles, in the same class of
vehicles, produced in the same plant in the territory of a Party, as the
motor vehicle for which the regional value content is being calculated;
(B) The same class of motor vehicles, and produced in the same plant
in the territory of a Party, as the motor vehicle for which the regional
value content is being calculated; and
(C) The same model line of motor vehicles produced in the territory
of a Party as the motor vehicle for which the regional value content is
being calculated.
(4) Other automotive goods. (i) General. For purposes of calculating
the regional value content under the net cost method for automotive
goods provided for in any of subheadings 8407.31 through 8407.34,
subheading 8408.20, heading 8409, 8706, 8707, or 8708, HTSUS, that are
produced in the same plant, an importer, exporter, or producer may:
(A) Average the amounts calculated under the formula set forth in
paragraph (d)(2) of this section over any of the following: the fiscal
year, or any quarter or month, of the motor vehicle producer to whom the
automotive good is sold, or the fiscal year, or any quarter or month, of
the producer of the automotive good, provided the goods were produced
during the fiscal year, quarter, or month that is the basis for the
calculation;
(B) Determine the average referred to in paragraph (d)(4)(i)(A) of
this section separately for such goods sold to one or more motor vehicle
producers; or
(C) Make a separate determination under paragraph (d)(4)(i)(A) or
(B) of this section for automotive goods that are exported to the
territory of Korea or the United States.
(ii) Duration of use. A person selecting an averaging period of one
month or quarter under paragraph (d)(4)(i)(A) of this section must
continue to use that method for that category of automotive goods
throughout the fiscal year.
Sec. 10.1016 Value of materials.
(a) Calculating the value of materials. Except as provided in
Sec. 10.1024 of this subpart, for purposes of calculating the regional
value content of a good under General Note 33 HTSUS, and for purposes of
applying the de minimis (see Sec. 10.1018 of this subpart) provisions of
General Note 33, HTSUS, the value of a material is:
(1) In the case of a material imported by the producer of the good,
the adjusted value of the material;
(2) In the case of a material acquired by the producer in the
territory where the good is produced, the value, determined in
accordance with Articles 1 through 8, Article 15, and the corresponding
interpretative notes of the Customs Valuation Agreement, of the
material, i.e., in the same manner as for imported goods, with
reasonable modifications to the provisions of the Customs Valuation
Agreement as may be required due to the absence of an importation by the
producer (including, but not limited to, treating a domestic purchase by
the producer as if it were a sale for export to the country of
importation); or
(3) In the case of a self-produced material, the sum of:
(i) All the costs incurred in the production of the material,
including general expenses; and
(ii) An amount for profit equivalent to the profit added in the
normal course of trade.
(b) Examples. The following examples illustrate application of the
principles set forth in paragraph (a)(2) of this section:
Example 1. A producer in Korea purchases material x from an
unrelated seller in Korea
[[Page 381]]
for $100. Under the provisions of Article 1 of the Customs Valuation
Agreement, transaction value is the price actually paid or payable for
the goods when sold for export to the country of importation adjusted in
accordance with the provisions of Article 8. In order to apply Article 1
to this domestic purchase by the producer, such purchase is treated as
if it were a sale for export to the country of importation. Therefore,
for purposes of determining the adjusted value of material x, Article 1
transaction value is the price actually paid or payable for the goods
when sold to the producer in Korea ($100), adjusted in accordance with
the provisions of Article 8. In this example, it is irrelevant whether
material x was initially imported into Korea by the seller (or by anyone
else). So long as the producer acquired material x in Korea, it is
intended that the value of material x will be determined on the basis of
the price actually paid or payable by the producer adjusted in
accordance with the provisions of Article 8.
Example 2. Same facts as in Example 1, except that the sale between
the seller and the producer is subject to certain restrictions that
preclude the application of Article 1. Under Article 2 of the Customs
Valuation Agreement, the value is the transaction value of identical
goods sold for export to the same country of importation and exported at
or about the same time as the goods being valued. In order to permit the
application of Article 2 to the domestic acquisition by the producer, it
should be modified so that the value is the transaction value of
identical goods sold within Korea at or about the same time the goods
were sold to the producer in Korea. Thus, if the seller of material x
also sold an identical material to another buyer in Korea without
restrictions, that other sale would be used to determine the adjusted
value of material x.
(c) Permissible additions to, and deductions from, the value of
materials--(1) Additions to originating materials. For originating
materials, the following expenses, if not included under paragraph (a)
of this section, may be added to the value of the originating material:
(i) The costs of freight (``cost of freight'' includes the costs of
all types of freight, including in-land freight incurred within a
Party's territory, regardless of the mode of transportation), insurance,
packing, and all other costs incurred in transporting the material
within a Party's territory or between the Parties to the location of the
producer;
(ii) Duties, taxes, and customs brokerage fees on the material paid
in the territory of one or both of the Parties, other than duties and
taxes that are waived, refunded, refundable, or otherwise recoverable,
including credit against duty or tax paid or payable; and
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or byproducts.
(2) Deductions from non-originating materials. For non-originating
materials, if included under paragraph (a) of this section, the
following expenses may be deducted from the value of the non-originating
material:
(i) The costs of freight (``cost of freight'' includes the costs of
all types of freight, including in-land freight incurred within a
Party's territory, regardless of the mode of transportation), insurance,
packing, and all other costs incurred in transporting the material
within a Party's territory or between the territories of the Parties to
the location of the producer;
(ii) Duties, taxes, and customs brokerage fees on the material paid
in the territory of one or both of the Parties, other than duties and
taxes that are waived, refunded, refundable, or otherwise recoverable,
including credit against duty or tax paid or payable;
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or by-products; and
(iv) The cost of originating materials used in the production of the
non-originating material in the territory of a Party.
(d) Accounting method. Any cost or value referenced in General Note
33, HTSUS, and this subpart, must be recorded and maintained in
accordance with the Generally Accepted Accounting Principles applicable
in the territory of the Party in which the good is produced.
Sec. 10.1017 Accumulation.
(a) Originating goods or materials from the territory of one Party,
incorporated into a good in the territory of the other Party will be
considered to originate in the territory of that other Party.
(b) A good that is produced in the territory of one or both of the
Parties
[[Page 382]]
by one or more producers is an originating good if the good satisfies
the requirements of Sec. 10.1014 of this subpart and all other
applicable requirements of General Note 33, HTSUS.
Sec. 10.1018 De minimis.
(a) General. Except as provided in paragraphs (b) and (c) of this
section, a good that does not undergo a change in tariff classification
pursuant to General Note 33, HTSUS, is an originating good if:
(1) The value of all non-originating materials used in the
production of the good that do not undergo the applicable change in
tariff classification does not exceed 10 percent of the adjusted value
of the good;
(2) The value of the non-originating materials described in
paragraph (a)(1) of this section is included in the value of non-
originating materials for any applicable regional value content
requirement for the good under General Note 33, HTSUS; and
(3) The good meets all other applicable requirements of General Note
33, HTSUS.
(b) Exceptions. Paragraph (a) of this section does not apply to:
(1) A non-originating material provided for in Chapter 3, HTSUS,
that is used in the production of a good classified in that Chapter;
(2) A non-originating material provided for in Chapter 4, HTSUS, or
a non-originating dairy preparation containing over 10 percent by weight
of milk solids classified under subheadings 1901.90 or 2106.90, HTSUS,
that is used in the production of a good provided for in Chapter 4,
HTSUS;
(3) A non-originating material provided for in Chapter 4, HTSUS, or
a non-originating dairy preparation containing over 10 percent by weight
of milk solids provided for in subheading 1901.90, HTSUS, which is used
in the production of the following goods:
(i) Infant preparations containing over 10 percent by weight of milk
solids provided for in subheading 1901.10, HTSUS;
(ii) Mixes and doughs, containing over 25 percent by weight of
butterfat, not put up for retail sale, provided for in subheading
1901.20, HTSUS;
(iii) Dairy preparations containing over 10 percent by weight of
milk solids provided for in subheading 1901.90 or 2106.90, HTSUS;
(iv) Goods provided for in heading 2105, HTSUS;
(v) Beverages containing milk provided for in subheading 2202.90,
HTSUS; or
(vi) Animal feeds containing over 10 percent by weight of milk
solids provided for in subheading 2309.90, HTSUS;
(4) A non-originating material provided for in Chapter 7, HTSUS that
is used in the production of a good classified under the following
subheadings: 0703.10, 0703.20, 0709.59, 0709.60, 0710.21 through
0710.80, 0711.90, 0712.20, 0712.39 through 0713.10 or 0714.20, HTSUS;
(5) A non-originating material provided for in heading 1006, HTSUS,
or a non-originating rice product classified in Chapter 11, HTSUS that
is used in the production of a good provided for under the headings
1006, 1102, 1103, 1104, HTSUS, or subheadings 1901.20 or 1901.90, HTSUS;
(6) A non-originating material provided for in heading 0805, HTSUS
or subheadings 2009.11 through 2009.39, HTSUS, that is used in the
production of a good provided for under subheadings 2009.11 through
2009.39, HTSUS, or in fruit or vegetable juice of any single fruit or
vegetable, fortified with minerals or vitamins, concentrated or
unconcentrated, provided for under subheadings 2106.90 or 2202.90,
HTSUS;
(7) Non-originating peaches, pears, or apricots provided for in
Chapters 8 or 20, HTSUS, that are used in the production of a good
classified under heading 2008, HTSUS;
(8) A non-originating material provided for in Chapter 15, HTSUS,
that is used in the production of a good classified under headings 1501
through 1508, 1512, 1514, or 1515, HTSUS;
(9) A non-originating material provided for in heading 1701, HTSUS,
that is used in the production of a good provided for in any of headings
1701 through 1703, HTSUS;
(10) A non-originating material provided for in Chapter 17, HTSUS,
that is used in the production of a good provided for in subheading
1806.10, HTSUS; or
[[Page 383]]
(11) Except as provided in paragraphs (b)(1) through (10) of this
section and General Note 33, HTSUS, a non-originating material used in
the production of a good provided for in any of Chapters 1 through 24,
HTSUS, unless the non-originating material is provided for in a
different subheading than the good for which origin is being determined
under this subpart.
(c) Textile and apparel goods--(1) General. Except as provided in
paragraph (c)(2) of this section, a textile or apparel good that is not
an originating good because certain fibers or yarns used in the
production of the component of the good that determines the tariff
classification of the good do not undergo an applicable change in tariff
classification set out in General Note 33, HTSUS, will nevertheless be
considered to be an originating good if the total weight of all such
fibers or yarns in that component is not more than 7 percent of the
total weight of that component.
(2) Exception for goods containing elastomeric yarns. A textile or
apparel good containing elastomeric yarns in the component of the good
that determines the tariff classification of the good will be considered
an originating good only if such yarns are wholly formed and finished in
the territory of a Party.
(3) For purposes of this section, ``wholly formed or finished''
means when used in reference to fabrics, all production processes and
finishing operations necessary to produce a finished fabric ready for
use without further processing. These processes and operations include
formation processes, such as weaving, knitting, needling, tufting,
felting, entangling, or other such processes, and finishing operations,
including bleaching, dyeing, and printing. When used in reference to
yarns, ``wholly formed or finished'' means all production processes and
finishing operations, beginning with the extrusion of filaments, strips,
film, or sheet, and including drawing to fully orient a filament or
slitting a film or sheer into strip, or the spinning of all fibers into
yarn, or both, and ending with a finished yarn or plied yarn.
Sec. 10.1019 Fungible goods and materials.
(a) General. A person claiming that a fungible good or material is
an originating good may base the claim either on the physical
segregation of each fungible good or material or by using an inventory
management method with respect to the fungible good or material. For
purposes of this section, the term ``inventory management method''
means:
(1) Averaging;
(2) ``Last-in, first-out;''
(3) ``First-in, first-out;'' or
(4) Any other method that is recognized in the Generally Accepted
Accounting Principles of the Party in which the production is performed
or otherwise accepted by that country.
(b) Duration of use. A person selecting an inventory management
method under paragraph (a) of this section for a particular fungible
good or material must continue to use that method for that fungible good
or material throughout the fiscal year of that person.
Sec. 10.1020 Accessories, spare parts, or tools.
(a) General. Accessories, spare parts, or tools that are delivered
with a good and that form part of the good's standard accessories, spare
parts, or tools will be treated as originating goods if the good is an
originating good, and will be disregarded in determining whether all the
non-originating materials used in the production of the good undergo an
applicable change in tariff classification specified in General Note 33,
HTSUS, provided that:
(1) The accessories, spare parts, or tools are classified with, and
not invoiced separately from, the good; and
(2) The quantities and value of the accessories, spare parts, or
tools are customary for the good.
(b) Regional value content. If the good is subject to a regional
value content requirement, the value of the accessories, spare parts, or
tools is taken into account as originating or non-originating materials,
as the case may be, in calculating the regional value content of the
good under Sec. 10.1015 of this subpart.
[[Page 384]]
Sec. 10.1021 Goods classifiable as goods put up in sets.
Notwithstanding the specific rules set forth in General Note 33,
HTSUS, goods classifiable as goods put up in sets for retail sale as
provided for in General Rule of Interpretation 3, HTSUS, will not be
considered to be originating goods unless:
(a) Each of the goods in the set is an originating good; or
(b) The total value of the non-originating goods in the set does not
exceed:
(1) In the case of textile or apparel goods, 10 percent of the
adjusted value of the set; or
(2) In the case of a good other than a textile or apparel good, 15
percent of the adjusted value of the set.
Sec. 10.1022 Retail packaging materials and containers.
(a) Effect on tariff shift rule. Packaging materials and containers
in which a good is packaged for retail sale, if classified with the good
for which preferential tariff treatment under the UKFTA is claimed, will
be disregarded in determining whether all non-originating materials used
in the production of the good undergo the applicable change in tariff
classification set out in General Note 33, HTSUS.
(b) Effect on regional value content calculation. If the good is
subject to a regional value content requirement, the value of such
packaging materials and containers will be taken into account as
originating or non-originating materials, as the case may be, in
calculating the regional value content of the good.
Example 1. Korean Producer A of good C imports 100 non-originating
blister packages to be used as retail packaging for good C. As provided
in Sec. 10.1016(a)(1) of this subpart, the value of the blister packages
is their adjusted value, which in this case is $10. Good C has a
regional value content requirement. The United States importer of good C
decides to use the build-down method, RVC = ((AV - VNM)/AV) x 100 (see
Sec. 10.1015(b) of this subpart), in determining whether good C
satisfies the regional value content requirement. In applying this
method, the non-originating blister packages are taken into account as
non-originating. As such, their $10 adjusted value is included in the
VNM, value of non-originating materials, of good C.
Example 2. Same facts as in Example 1, except that the blister
packages are originating. In this case, the adjusted value of the
originating blister packages would not be included as part of the VNM of
good C under the build-down method. However, if the U.S. importer had
used the build-up method, RVC = (VOM/AV) x 100 (see Sec. 10.1015(c) of
this subpart), the adjusted value of the blister packaging would be
included as part of the VOM, value of originating materials.
Sec. 10.1023 Packing materials and containers for shipment.
(a) Effect on tariff shift rule. Packing materials and containers
for shipment, as defined in Sec. 10.1013(m) of this subpart, are to be
disregarded in determining whether the non-originating materials used in
the production of the good undergo an applicable change in tariff
classification set out in General Note 33, HTSUS. Accordingly, such
materials and containers are not required to undergo the applicable
change in tariff classification even if they are non-originating.
(b) Effect on regional value content calculation. Packing materials
and containers for shipment, as defined in Sec. 10.1013(m) of this
subpart, are to be disregarded in determining the regional value content
of a good imported into the United States. Accordingly, in applying the
build-down, build-up, or net cost method for determining the regional
value content of a good imported into the United States, the value of
such packing materials and containers for shipment (whether originating
or non-originating) is disregarded and not included in AV, adjusted
value, VNM, value of non-originating materials, VOM, value of
originating materials, or NC, net cost of a good.
Example. Korean producer A produces good C. Producer A ships good C
to the United States in a shipping container that it purchased from
Company B in Korea. The shipping container is originating. The value of
the shipping container determined under Sec. 10.1016(a)(2) of this
subpart is $3. Good C is subject to a regional value content
requirement. The transaction value of good C is $100, which includes the
$3 shipping container. The U.S. importer decides to use the build-up
method, RVC = (VOM/AV) x 100 (see Sec. 10.1015(c) of this subpart), in
determining whether good C satisfies the regional value content
requirement. In determining the AV, adjusted value, of good C imported
into the U.S., paragraph (b) of this section and the definition of AV
require a $3 deduction for
[[Page 385]]
the value of the shipping container. Therefore, the AV is $97 ($100-$3).
In addition, the value of the shipping container is disregarded and not
included in the VOM, value of originating materials.
Sec. 10.1024 Indirect materials.
An indirect material, as defined in Sec. 10.1002(n) of this subpart,
will be disregarded for the purpose of determining whether a good is
originating.
Example. Korean Producer A produces good C using non-originating
material B. Producer A imports non-originating rubber gloves for use by
workers in the production of good C. Good C is subject to a tariff shift
requirement. As provided in Sec. 10.1014(b)(1) of this subpart and
General Note 33, each of the non-originating materials in good C must
undergo the specified change in tariff classification in order for good
C to be considered originating. Although non-originating material B must
undergo the applicable tariff shift in order for good C to be considered
originating, the rubber gloves do not because they are indirect
materials and are disregarded for purposes of determining whether the
good is originating.
Sec. 10.1025 Transit and transshipment.
(a) General. A good that has undergone production necessary to
qualify as an originating good under Sec. 10.1014 of this subpart will
not be considered an originating good if, subsequent to that production,
the good:
(1) Undergoes further production or any other operation outside the
territories of the Parties, other than unloading, reloading, or any
other operation necessary to preserve the good in good condition or to
transport the good to the territory of a Party; or
(2) Does not remain under the control of customs authorities in the
territory of a non-Party.
(b) Documentary evidence. An importer making a claim that a good is
originating may be required to demonstrate, to CBP's satisfaction, that
the conditions and requirements set forth in paragraph (a) of this
section were met. An importer may demonstrate compliance with this
section by submitting documentary evidence. Such evidence may include,
but is not limited to, bills of lading, airway bills, packing lists,
commercial invoices, receiving and inventory records, and customs entry
and exit documents.
Origin Verifications and Determinations
Sec. 10.1026 Verification and justification of claim for preferential
tariff treatment.
(a) Verification. A claim for preferential tariff treatment made
under Sec. 10.1003(b) or Sec. 10.1011 of this subpart, including any
statements or other information submitted to CBP in support of the
claim, will be subject to such verification as the port director deems
necessary. In the event that the port director is provided with
insufficient information to verify or substantiate the claim, the port
director finds a pattern of conduct, indicating that an importer,
exporter, or producer has provided false or unsupported declarations or
certifications, or the exporter or producer fails to consent to a
verification visit, the port director may deny the claim for
preferential treatment. A verification of a claim for preferential
tariff treatment under UKFTA for goods imported into the United States
may be conducted by means of one or more of the following:
(1) Written requests for information from the importer, exporter, or
producer;
(2) Written questionnaires to the importer, exporter, or producer;
(3) Visits to the premises of the exporter or producer in the
territory of Korea, to review the records of the type referred to in
Sec. 10.1009(c)(1) of this subpart or to observe the facilities used in
the production of the good, in accordance with the framework that the
Parties develop for conducting verifications; and
(4) Such other procedures to which the Parties may agree.
(b) Applicable accounting principles. When conducting a verification
of origin to which Generally Accepted Accounting Principles may be
relevant, CBP will apply and accept the Generally Accepted Accounting
Principles applicable in the country of production.
Sec. 10.1027 Special rule for verifications in Korea of U.S. imports of
textile and apparel goods.
(a) Procedures to determine whether a claim of origin is accurate--
(1) General.
[[Page 386]]
For the purpose of determining that a claim of origin for a textile or
apparel good is accurate, CBP may request that the government of the
Republic of Korea conduct a verification, regardless of whether a claim
is made for preferential tariff treatment.
(2) Actions during a verification. While a verification under this
paragraph is being conducted, CBP, if directed by the President, may
take appropriate action, which may include suspending the liquidation of
the entry of the textile or apparel good for which a claim for
preferential tariff treatment or a claim of origin has been made.
(3) Actions following a verification. If on completion of a
verification under this paragraph, CBP makes a negative determination,
or if CBP is unable to determine that a claim of origin for a textile or
apparel good is accurate within 12 months after its request for a
verification, CBP, if directed by the President, may take appropriate
action, which may include:
(i) Denying the application of preferential tariff treatment to the
textile or apparel good for which a claim for preferential tariff
treatment has been made that is the subject of a verification if CBP
determines that the enterprise has provided insufficient or incorrect
information to support the claim; and
(ii) Denying entry to the textile or apparel good for which a claim
for preferential tariff treatment or a claim of origin has been made
that is the subject of a verification, if CBP determines that the
enterprise has provided insufficient or incorrect information to support
the claim.
(b) Procedures to determine compliance with applicable customs laws
and regulations of the United States--(1) General. For purposes of
enabling CBP to determine that an exporter or producer is complying with
applicable customs laws, regulations, and procedures regarding trade in
textile and apparel goods, CBP may request that the government of the
Republic of Korea conduct a verification, if CBP has a reasonable
suspicion of unlawful activity relating to trade in textile or apparel
goods by a person of Korea.
(2) Actions during a verification. While a verification under this
paragraph is being conducted, CBP, if directed by the President, may
take appropriate action, which may include suspending the liquidation of
the entry of any textile or apparel good exported or produced by the
enterprise subject to the verification.
(3) Actions following a verification. If on completion of a
verification under this paragraph, CBP makes a negative determination,
or if CBP is unable to determine that the person is complying with
applicable customs measures affecting trade in textile or apparel goods
within 12 months after its request for a verification, CBP, if directed
by the President, may take appropriate action, which may include:
(i) Denying the application of preferential tariff treatment to any
textile or apparel good exported or produced by the enterprise subject
to the verification if CBP determines that the enterprise has provided
insufficient or incorrect information with respect to its obligations
under the applicable customs laws, regulations, and procedures regarding
trade in textile and apparel goods; and
(ii) Denying entry to any textile or apparel good exported or
produced by the enterprise subject to the verification, if CBP
determines that the enterprise has provided insufficient or incorrect
information with respect to its obligations under the applicable customs
laws, regulations, and procedures regarding trade in textile and apparel
goods.
(c) Action by U.S. officials in conducting a verification abroad.
U.S. officials may undertake or assist in a verification under this
section by conducting visits in the territory of Korea, along with the
competent authorities of Korea, to the premises of an exporter,
producer, or any other enterprise involved in the movement of textile or
apparel goods from Korea to the United States.
(d) Denial of permission to conduct a verification. If an enterprise
does not consent to a verification under this section, CBP may deny
preferential tariff treatment or deny entry to similar goods exported or
produced by the enterprise that would have been the subject of the
verification.
[[Page 387]]
(e) Continuation of appropriate action. Before taking any action
under paragraph (a) or (b), CBP will notify the government of the
Republic of Korea. CBP may continue to take appropriate action under
paragraph (a) or (b) of this section until it receives information
sufficient to enable it to make the determination described in
paragraphs (a) and (b) of this section. CBP may make public the identity
of a person that CBP has determined to be engaged in circumvention as
provided under this section or that has failed to demonstrate that it
produces, or is capable of producing, textile or apparel goods.
[77 FR 15948, Mar. 19, 2012, as amended at 78 FR 32358, May 30, 2013]
Sec. 10.1028 Issuance of negative origin determinations.
If, as a result of an origin verification initiated under this
subpart, CBP determines that a claim for preferential tariff treatment
under this subpart should be denied, it will issue a determination in
writing or via an authorized electronic data interchange system to the
importer that sets forth the following:
(a) A description of the good that was the subject of the
verification together with the identifying numbers and dates of the
import documents pertaining to the good;
(b) A statement setting forth the findings of fact made in
connection with the verification and upon which the determination is
based; and
(c) With specific reference to the rules applicable to originating
goods as set forth in General Note 33, HTSUS, and in Sec. Sec. 10.1013
through 10.1025 of this subpart, the legal basis for the determination.
Sec. 10.1029 Repeated false or unsupported preference claims.
Where verification or other information reveals a pattern of conduct
by an importer, exporter, or producer of false or unsupported
representations that goods qualify under the UKFTA rules of origin set
forth in General Note 33, HTSUS, CBP may suspend preferential tariff
treatment under the UKFTA to entries of identical goods covered by
subsequent statements, declarations, or certifications by that importer,
exporter, or producer until CBP determines that representations of that
person are in conformity with General Note 33, HTSUS.
Penalties
Sec. 10.1030 General.
Except as otherwise provided in this subpart, all criminal, civil,
or administrative penalties which may be imposed on U.S. importers,
exporters, and producers for violations of the customs and related U.S.
laws and regulations will also apply to U.S. importers, exporters, and
producers for violations of the U.S. laws and regulations relating to
the UKFTA.
Sec. 10.1031 Corrected claim or certification by importers.
An importer who makes a corrected claim under Sec. 10.1003(c) of
this subpart will not be subject to civil or administrative penalties
under 19 U.S.C. 1592 for having made an incorrect claim or having
submitted an incorrect certification, provided that the corrected claim
is promptly and voluntarily made.
Sec. 10.1032 Corrected certification by U.S. exporters or producers.
Civil or administrative penalties provided for under 19 U.S.C. 1592
will not be imposed on an exporter or producer in the United States who
promptly and voluntarily provides written notification pursuant to
Sec. 10.1009(b) with respect to the making of an incorrect
certification.
Sec. 10.1033 Framework for correcting claims or certifications.
(a) ``Promptly and voluntarily'' defined. Except as provided for in
paragraph (b) of this section, for purposes of this subpart, the making
of a corrected claim or certification by an importer or the providing of
written notification of an incorrect certification by an exporter or
producer in the United States will be deemed to have been done promptly
and voluntarily if:
(1)(i) Done before the commencement of a formal investigation,
within the meaning of Sec. 162.74(g) of this chapter; or
[[Page 388]]
(ii) Done before any of the events specified in Sec. 162.74(i) of
this chapter have occurred; or
(iii) Done within 30 days after the importer, exporter, or producer
initially becomes aware that the claim or certification is incorrect;
and
(2) Accompanied by a statement setting forth the information
specified in paragraph (c) of this section; and
(3) In the case of a corrected claim or certification by an
importer, accompanied or followed by a tender of any actual loss of
duties and merchandise processing fees, if applicable, in accordance
with paragraph (d) of this section.
(b) Exception in cases involving fraud or subsequent incorrect
claims--(1) Fraud. Notwithstanding paragraph (a) of this section, a
person who acted fraudulently in making an incorrect claim or
certification may not make a voluntary correction of that claim or
certification. For purposes of this paragraph, the term ``fraud'' will
have the meaning set forth in paragraph (C)(3) of appendix B to part 171
of this chapter.
(2) Subsequent incorrect claims. An importer who makes one or more
incorrect claims after becoming aware that a claim involving the same
merchandise and circumstances is invalid may not make a voluntary
correction of the subsequent claims pursuant to paragraph (a) of this
section.
(c) Statement. For purposes of this subpart, each corrected claim or
certification must be accompanied by a statement, submitted in writing
or via an authorized electronic data interchange system, which:
(1) Identifies the class or kind of good to which the incorrect
claim or certification relates;
(2) In the case of a corrected claim or certification by an
importer, identifies each affected import transaction, including each
port of importation and the approximate date of each importation;
(3) Specifies the nature of the incorrect statements or omissions
regarding the claim or certification; and
(4) Sets forth, to the best of the person's knowledge, the true and
accurate information or data which should have been covered by or
provided in the claim or certification, and states that the person will
provide any additional information or data which is unknown at the time
of making the corrected claim or certification within 30 days or within
any extension of that 30-day period as CBP may permit in order for the
person to obtain the information or data.
(d) Tender of actual loss of duties. A U.S. importer who makes a
corrected claim must tender any actual loss of duties at the time of
making the corrected claim, or within 30 days thereafter, or within any
extension of that 30-day period as CBP may allow in order for the
importer to obtain the information or data necessary to calculate the
duties owed.
Goods Returned After Repair or Alteration
Sec. 10.1034 Goods re-entered after repair or alteration in Korea.
(a) General. This section sets forth the rules which apply for
purposes of obtaining duty-free treatment on goods returned after repair
or alteration in Korea as provided for in subheadings 9802.00.40 and
9802.00.50, HTSUS. Goods returned after having been repaired or altered
in Korea, regardless of whether the repair or alteration could be
performed in the United States or has increased the value of the good
and regardless of their origin, are eligible for duty-free treatment,
provided that the requirements of this section are met. For purposes of
this section, ``repairs or alterations'' means restoration, addition,
renovation, re-dyeing, cleaning, re-sterilizing, or other treatment that
does not destroy the essential characteristics of, or create a new or
commercially different good from, the good exported from the United
States.
(b) Goods not eligible for duty-free treatment after repair or
alteration. The duty-free treatment referred to in paragraph (a) of this
section will not apply to goods which, in their condition as exported
from the United States to Korea, are incomplete for their intended use
and for which the processing operation performed in Korea constitutes an
operation that is performed as a matter of course in the preparation or
manufacture of finished goods.
[[Page 389]]
(c) Documentation. The provisions of Sec. 10.8(a), (b), and (c) of
this part, relating to the documentary requirements for goods entered
under subheading 9802.00.40 or 9802.00.50, HTSUS, will apply in
connection with the entry of goods which are returned from Korea after
having been exported for repairs or alterations and which are claimed to
be duty free.
Subpart S_United States-Panama Trade Promotion Agreement
Source: 78 FR 63056, Oct. 23, 2013, unless otherwise noted.
General Provisions
Sec. 10.2001 Scope.
This subpart implements the duty preference and related customs
provisions applicable to imported and exported goods under the United
States-Panama Trade Promotion Agreement (the PANTPA) signed on June 28,
2007, and under the United States-Panama Trade Promotion Agreement
Implementation Act (``the Act''), Public Law 112-43, 125 Stat. 497 (19
U.S.C. 3805 note). Except as otherwise specified in this subpart, the
procedures and other requirements set forth in this subpart are in
addition to the customs procedures and requirements of general
application contained elsewhere in this chapter. Additional provisions
implementing certain aspects of the PANTPA and the Act are contained in
Parts 24, 162, and 163 of this chapter.
Sec. 10.2002 General definitions.
As used in this subpart, the following terms will have the meanings
indicated unless either the context in which they are used requires a
different meaning or a different definition is prescribed for a
particular section of this subpart:
(a) Claim for preferential tariff treatment. ``Claim for
preferential tariff treatment'' means a claim that a good is entitled to
the duty rate applicable under the PANTPA to an originating good and to
an exemption from the merchandise processing fee;
(b) Claim of origin. ``Claim of origin'' means a claim that a
textile or apparel good is an originating good or satisfies the non-
preferential rules of origin of a Party;
(c) Customs authority. ``Customs authority'' means the competent
authority that is responsible under the law of a Party for the
administration of customs laws and regulations;
(d) Customs duty. ``Customs duty'' includes any customs or import
duty and a charge of any kind imposed in connection with the importation
of a good, including any form of surtax or surcharge in connection with
such importation, but does not include any:
(1) Charge equivalent to an internal tax imposed consistently with
Article III:2 of the GATT 1994 in respect of like, directly competitive,
or substitutable goods of the Party, or in respect of goods from which
the imported good has been manufactured or produced in whole or in part;
(2) Antidumping or countervailing duty that is applied pursuant to a
Party's domestic law; or
(3) Fee or other charge in connection with importation commensurate
with the cost of services rendered;
(e) Customs Valuation Agreement. ``Customs Valuation Agreement''
means the Agreement on Implementation of Article VII of the General
Agreement on Tariffs and Trade 1994, contained in Annex 1A to the WTO
Agreement;
(f) Days. ``Days'' means calendar days;
(g) Enterprise. ``Enterprise'' means any entity constituted or
organized under applicable law, whether or not for profit, and whether
privately-owned or governmentally-owned, including any corporation,
trust, partnership, sole proprietorship, joint venture, or other
association;
(h) Enterprise of a Party. ``Enterprise of a Party'' means an
enterprise constituted or organized under a Party's law;
(i) Goods of a Party. ``Goods of a Party'' means domestic products
as these are understood in the GATT 1994 or such goods as the Parties
may agree, and includes originating goods of that Party;
(j) GATT 1994. ``GATT 1994'' means the General Agreement on Tariffs
and Trade 1994, which is part of the WTO Agreement;
[[Page 390]]
(k) Harmonized System. ``Harmonized System'' means the Harmonized
Commodity Description and Coding System, including its General Rules of
Interpretation, Section Notes, and Chapter Notes, as adopted and
implemented by the Parties in their respective tariff laws;
(l) Heading. ``Heading'' means the first four digits in the tariff
classification number under the Harmonized System;
(m) HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the
United States as promulgated by the U.S. International Trade Commission;
(n) Identical goods. ``Identical goods'' means goods that are the
same in all respects relevant to the rule of origin that qualifies the
goods as originating goods;
(o) Originating. ``Originating'' means qualifying for preferential
tariff treatment under the rules of origin set out in Article 3.25
(Rules of Origin and Related Matters) or Chapter Four (Rules of Origin
and Origin Procedures) of the PANTPA, and General Note 35, HTSUS;
(p) Party. ``Party'' means the United States or Panama;
(q) Person. ``Person'' means a natural person or an enterprise;
(r) Preferential tariff treatment. ``Preferential tariff treatment''
means the duty rate applicable under the PANTPA to an originating good,
and an exemption from the merchandise processing fee;
(s) Subheading. ``Subheading'' means the first six digits in the
tariff classification number under the Harmonized System;
(t) Textile or apparel good. ``Textile or apparel good'' means a
good listed in the Annex to the Agreement on Textiles and Clothing
(commonly referred to as ``the ATC''), which is part of the WTO
Agreement, except for those goods listed in Annex 3.30 of the PANTPA;
(u) Territory. ``Territory'' means:
(1) With respect to Panama, the land, maritime, and the air space
under Panama's sovereignty and the exclusive economic zone and the
continental shelf within which it exercises sovereign rights and
jurisdiction in accordance with international law and its domestic law;
(2) With respect to the United States:
(i) The customs territory of the United States, which includes the
50 states, the District of Columbia, and Puerto Rico;
(ii) The foreign trade zones located in the United States and Puerto
Rico; and
(iii) Any areas beyond the territorial seas of the United States
within which, in accordance with international law and its domestic law,
the United States may exercise rights with respect to the seabed and
subsoil and their natural resources;
(v) WTO. ``WTO'' means the World Trade Organization; and
(w) WTO Agreement. ``WTO Agreement'' means the Marrakesh Agreement
Establishing the World Trade Organization of April 15, 1994.
Import Requirements
Sec. 10.2003 Filing of claim for preferential tariff treatment upon
importation.
(a) Basis of claim. An importer may make a claim for PANTPA
preferential tariff treatment, including an exemption from the
merchandise processing fee, based on either:
(1) A written or electronic certification, as specified in
Sec. 10.2004, that is prepared by the importer, exporter, or producer of
the good; or
(2) The importer's knowledge that the good is an originating good,
including reasonable reliance on information in the importer's
possession that the good is an originating good.
(b) Making a claim. The claim is made by including on the entry
summary, or equivalent documentation, the letters ``PA'' as a prefix to
the subheading of the HTSUS under which each qualifying good is
classified, or by the method specified for equivalent reporting via an
authorized electronic data interchange system.
(c) Corrected claim. If, after making the claim specified in
paragraph (b) of this section, the importer has reason to believe that
the claim is based on inaccurate information or is otherwise invalid,
the importer must, within 30 calendar days after the date of discovery
of the error, correct the claim and pay any duties that may be due. The
importer must submit a statement either
[[Page 391]]
in writing or via an authorized electronic data interchange system to
the CBP office where the original claim was filed specifying the
correction (see Sec. Sec. 10.2031 and 10.2033).
Sec. 10.2004 Certification.
(a) General. An importer who makes a claim pursuant to
Sec. 10.2003(b) based on a certification by the importer, exporter, or
producer that the good is originating must submit, at the request of the
port director, a copy of the certification. The certification:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must be in the possession of the importer at the time the claim
for preferential tariff treatment is made if the certification forms the
basis for the claim;
(3) Must include the following information:
(i) The legal name, address, telephone number, and email address of
the certifying person;
(ii) If not the certifying person, the legal name, address,
telephone number, and email address of the importer of record, the
exporter, and the producer of the good, if known;
(iii) The legal name, address, telephone number, and email address
of the responsible official or authorized agent of the importer,
exporter, or producer signing the certification (if different from the
information required by paragraph (a)(3)(i) of this section);
(iv) A description of the good for which preferential tariff
treatment is claimed, which must be sufficiently detailed to relate it
to the invoice and the HS nomenclature;
(v) The HTSUS tariff classification, to six or more digits, as
necessary for the specific change in tariff classification rule for the
good set forth in General Note 35, HTSUS;
(vi) The applicable rule of origin set forth in General Note 35,
HTSUS, under which the good qualifies as an originating good;
(vii) Date of certification; and
(viii) In case of a blanket certification issued with respect to
multiple shipments of identical goods within any period specified in the
written or electronic certification, not exceeding 12 months from the
date of certification, the period that the certification covers; and
(4) Must include a statement, in substantially the following form:
``I certify that:
The information on this document is true and accurate and I assume
the responsibility for proving such representations. I understand that I
am liable for any false statements or material omissions made on or in
connection with this document;
I agree to maintain and present upon request, documentation
necessary to support these representations;
The goods comply with all requirements for preferential tariff
treatment specified for those goods in the United States-Panama Trade
Promotion Agreement; and
This document consists of ---- pages, including all attachments.''
(b) Responsible official or agent. The certification provided for in
paragraph (a) of this section must be signed and dated by a responsible
official of the importer, exporter, or producer, or by the importer's,
exporter's, or producer's authorized agent having knowledge of the
relevant facts.
(c) Language. The certification provided for in paragraph (a) of
this section must be completed in either the English or Spanish
language. In the latter case, the port director may require the importer
to submit an English translation of the certification.
(d) Certification by the exporter or producer. (1) A certification
may be prepared by the exporter or producer of the good on the basis of:
(i) The exporter's or producer's knowledge that the good is
originating; or
(ii) In the case of an exporter, reasonable reliance on the
producer's certification that the good is originating.
(2) The port director may not require an exporter or producer to
provide a written or electronic certification to another person.
(e) Applicability of certification. The certification provided for
in paragraph (a) of this section may be applicable to:
[[Page 392]]
(1) A single shipment of a good into the United States; or
(2) Multiple shipments of identical goods into the United States
that occur within a specified blanket period, not exceeding 12 months,
set out in the certification.
(f) Validity of certification. A certification that is properly
completed, signed, and dated in accordance with the requirements of this
section will be accepted as valid for four years following the date on
which it was issued.
Sec. 10.2005 Importer obligations.
(a) General. An importer who makes a claim for preferential tariff
treatment under Sec. 10.2003(b):
(1) Will be deemed to have certified that the good is eligible for
preferential tariff treatment under the PANTPA;
(2) Is responsible for the truthfulness of the claim and of all the
information and data contained in the certification provided for in
Sec. 10.2004; and
(3) Is responsible for submitting any supporting documents requested
by CBP, and for the truthfulness of the information contained in those
documents. When a certification prepared by an exporter or producer
forms the basis of a claim for preferential tariff treatment, and CBP
requests the submission of supporting documents, the importer will
provide to CBP, or arrange for the direct submission by the exporter or
producer of, all information relied on by the exporter or producer in
preparing the certification.
(b) Information provided by exporter or producer. The fact that the
importer has made a claim or submitted a certification based on
information provided by an exporter or producer will not relieve the
importer of the responsibility referred to in paragraph (a) of this
section.
(c) Exemption from penalties. An importer will not be subject to
civil or administrative penalties under 19 U.S.C. 1592 for making an
incorrect claim for preferential tariff treatment or submitting an
incorrect certification, provided that the importer promptly and
voluntarily corrects the claim or certification and pays any duty owing
(see Sec. 10.2031 through 10.2033).
Sec. 10.2006 Certification not required.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an importer will not be required to submit a copy of a
certification under Sec. 10.2004 for:
(1) A non-commercial importation of a good; or
(2) A commercial importation for which the value of the originating
goods does not exceed U.S. $2,500.
(b) Exception. If the port director determines that an importation
described in paragraph (a) of this section is part of a series of
importations carried out or planned for the purpose of evading
compliance with the certification requirements of Sec. 10.2004, the port
director will notify the importer that for that importation the importer
must submit to CBP a copy of the certification. The importer must submit
such a copy within 30 days from the date of the notice. Failure to
timely submit a copy of the certification will result in denial of the
claim for preferential tariff treatment.
Sec. 10.2007 Maintenance of records.
(a) General. An importer claiming preferential tariff treatment for
a good imported into the United States under Sec. 10.2003(b) based on
either the importer's certification or its knowledge must maintain, for
a minimum of five years after the date of importation of the good, all
records and documents necessary to demonstrate that the good qualifies
for preferential tariff treatment under the PANTPA. An importer claiming
preferential tariff treatment for a good imported into the United States
under Sec. 10.2003(b) based on the certification issued by the exporter
or producer must maintain, for a minimum of five years after the date of
importation of the good, the certification issued by the exporter or
producer. These records are in addition to any other records that the
importer is required to prepare, maintain, or make available to CBP
under Part 163 of this chapter.
(b) Method of maintenance. The records and documents referred to in
paragraph (a) of this section must be maintained by importers as
provided in Sec. 163.5 of this chapter.
[[Page 393]]
Sec. 10.2008 Effect of noncompliance; failure to provide documentation
regarding transshipment.
(a) General. If the importer fails to comply with any requirement
under this subpart, including submission of a complete certification
prepared in accordance with Sec. 10.2004 of this subpart, when
requested, the port director may deny preferential tariff treatment to
the imported good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential tariff treatment to an originating good if the good is
shipped through or transshipped in a country other than a Party to the
PANTPA, and the importer of the good does not provide, at the request of
the port director, evidence demonstrating to the satisfaction of the
port director that the conditions set forth in Sec. 10.2025(a) were met.
Export Requirements
Sec. 10.2009 Certification for goods exported to Panama.
(a) Submission of certification to CBP. Any person who completes and
issues a certification for a good exported from the United States to
Panama must provide a copy of the certification (written or electronic)
to CBP upon request.
(b) Notification of errors in certification. Any person who
completes and issues a certification for a good exported from the United
States to Panama and who has reason to believe that the certification
contains or is based on incorrect information must promptly notify every
person to whom the certification was provided of any change that could
affect the accuracy or validity of the certification. Notification of an
incorrect certification must also be given either in writing or via an
authorized electronic data interchange system to CBP specifying the
correction (see Sec. Sec. 10.2032 and 10.2033).
(c) Maintenance of records--(1) General. Any person who completes
and issues a certification for a good exported from the United States to
Panama must maintain, for a period of at least five years after the date
the certification was issued, all records and supporting documents
relating to the origin of a good for which the certification was issued,
including the certification or copies thereof and records and documents
associated with:
(i) The purchase, cost, and value of, and payment for, the good;
(ii) The purchase, cost, and value of, and payment for, all
materials, including indirect materials, used in the production of the
good; and
(iii) The production of the good in the form in which the good was
exported.
(2) Method of maintenance. The records referred to in paragraph
(c)(1) of this section must be maintained as provided in Sec. 163.5 of
this chapter.
(3) Availability of records. For purposes of determining compliance
with the provisions of this part, the records required to be maintained
under this section must be stored and made available for examination and
inspection by the port director or other appropriate CBP officer in the
same manner as provided in Part 163 of this chapter.
Post-Importation Duty Refund Claims
Sec. 10.2010 Right to make post-importation claim and refund duties.
Notwithstanding any other available remedy, where a good would have
qualified as an originating good when it was imported into the United
States but no claim for preferential tariff treatment was made, the
importer of that good may file a claim for a refund of any excess duties
at any time within one year after the date of importation of the good in
accordance with the procedures set forth in Sec. 10.2011. Subject to the
provisions of Sec. 10.2008, CBP may refund any excess duties by
liquidation or reliquidation of the entry covering the good in
accordance with Sec. 10.2012(c).
Sec. 10.2011 Filing procedures.
(a) Place of filing. A post-importation claim for a refund must be
filed with the director of the port at which the entry covering the good
was filed. The post-importation claim may be filed by paper or by the
method specified for equivalent reporting via an authorized electronic
data interchange system.
[[Page 394]]
(b) Contents of claim. A post-importation claim for a refund must be
filed by presentation of the following:
(1) A written or electronic declaration or statement stating that
the good was an originating good at the time of importation and setting
forth the number and date of the entry or entries covering the good;
(2) A copy of a written or electronic certification prepared in
accordance with Sec. 10.2004 if a certification forms the basis for the
claim, or other information demonstrating that the good qualifies for
preferential tariff treatment;
(3) A written statement indicating whether the importer of the good
provided a copy of the entry summary or equivalent documentation to any
other person. If such documentation was so provided, the statement must
identify each recipient by name, CBP identification number, and address
and must specify the date on which the documentation was provided; and
(4) A written statement indicating whether any person has filed a
protest relating to the good under any provision of law; and if any such
protest has been filed, the statement must identify the protest by
number and date.
Sec. 10.2012 CBP processing procedures.
(a) Status determination. After receipt of a post-importation claim
pursuant to Sec. 10.2011, the port director will determine whether the
entry covering the good has been liquidated and, if liquidation has
taken place, whether the liquidation has become final.
(b) Pending protest or judicial review. If the port director
determines that any protest relating to the good has not been finally
decided, the port director will suspend action on the claim filed
pursuant to Sec. 10.2011 until the decision on the protest becomes
final. If a summons involving the tariff classification or dutiability
of the good is filed in the Court of International Trade, the port
director will suspend action on the claim filed pursuant to Sec. 10.2011
until judicial review has been completed.
(c) Allowance of claim--(1) Unliquidated entry. If the port director
determines that a claim for a refund filed pursuant to Sec. 10.2011
should be allowed and the entry covering the good has not been
liquidated, the port director will take into account the claim for
refund in connection with the liquidation of the entry.
(2) Liquidated entry. If the port director determines that a claim
for a refund filed pursuant to Sec. 10.2011 should be allowed and the
entry covering the good has been liquidated, whether or not the
liquidation has become final, the entry must be reliquidated in order to
effect a refund of duties under this section. If the entry is otherwise
to be reliquidated based on administrative review of a protest or as a
result of judicial review, the port director will reliquidate the entry
taking into account the claim for refund pursuant to Sec. 10.2011.
(d) Denial of claim--(1) General. The port director may deny a claim
for a refund filed under Sec. 10.2011 if the claim was not filed timely,
if the importer has not complied with the requirements of
Sec. Sec. 10.2008 and 10.2011, or if, following an origin verification
under Sec. 10.2026, the port director determines either that the
imported good was not an originating good at the time of importation or
that a basis exists upon which preferential tariff treatment may be
denied under Sec. 10.2026.
(2) Unliquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has not been liquidated, the port director will deny
the claim in connection with the liquidation of the entry, and notice of
the denial and the reason for the denial will be provided to the
importer in writing or via an authorized electronic data interchange
system.
(3) Liquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has been liquidated, whether or not the liquidation
has become final, the claim may be denied without reliquidation of the
entry. If the entry is otherwise to be reliquidated based on
administrative review of a protest or as a result of judicial review,
such reliquidation may include denial of the claim filed under this
subpart. In either case, the port director will provide notice of the
denial
[[Page 395]]
and the reason for the denial to the importer in writing or via an
authorized electronic data interchange system.
Rules of Origin
Sec. 10.2013 Definitions.
For purposes of Sec. Sec. 10.2013 through 10.2025:
(a) Adjusted value. ``Adjusted value'' means the value determined in
accordance with Articles 1 through 8, Article 15, and the corresponding
interpretative notes of the Customs Valuation Agreement, adjusted, if
necessary, to exclude:
(1) Any costs, charges, or expenses incurred for transportation,
insurance and related services incident to the international shipment of
the good from the country of exportation to the place of importation;
and
(2) The value of packing materials and containers for shipment as
defined in paragraph (o) of this section;
(b) Class of motor vehicles. ``Class of motor vehicles'' means any
one of the following categories of motor vehicles:
(1) Motor vehicles classified under subheading 8701.20, motor
vehicles for the transport of 16 or more persons classified under
subheading 8702.10 or 8702.90, and motor vehicles classified under
subheading 8704.10, 8704.22, 8704.23, 8704.32, or 8704.90, or heading
8705 or 8706, HTSUS;
(2) Motor vehicles classified under subheading 8701.10 or any of
subheadings 8701.30 through 8701.90, HTSUS;
(3) Motor vehicles for the transport of 15 or fewer persons
classified under subheading 8702.10 or 8702.90, HTSUS, or motor vehicles
classified under subheading 8704.21 or 8704.31, HTSUS; or
(4) Motor vehicles classified under subheadings 8703.21 through
8703.90, HTSUS;
(c) Enterprise. ``Enterprise'' means an enterprise as defined in
Sec. 10.2002(g), and includes an enterprise involved in:
(1) Production, processing, or manipulation of textile or apparel
goods in the territory of Panama, including in any free trade zone,
foreign trade zone, or export processing zone;
(2) Importation of textile or apparel goods into the territory of
Panama, including into any free trade zone, foreign trade zone, or
export processing zone; or
(3) Exportation of textile or apparel goods from the territory of
Panama, including from any free trade zone, foreign trade zone, or
export processing zone;
(d) Exporter. ``Exporter'' means a person who exports goods from the
territory of a Party;
(e) Fungible good or material. ``Fungible good or material'' means a
good or material, as the case may be, that is interchangeable with
another good or material for commercial purposes and the properties of
which are essentially identical to such other good or material;
(f) Generally Accepted Accounting Principles. ``Generally Accepted
Accounting Principles'' means the recognized consensus or substantial
authoritative support in the territory of a Party, with respect to the
recording of revenues, expenses, costs, assets, and liabilities, the
disclosure of information, and the preparation of financial statements.
These principles may encompass broad guidelines of general application,
as well as detailed standards, practices, and procedures;
(g) Good. ``Good'' means any merchandise, product, article, or
material;
(h) Goods wholly obtained or produced entirely in the territory of
one or both of the Parties. ``Goods wholly obtained or produced entirely
in the territory of one or both of the Parties'' means:
(1) Plants and plant products harvested or gathered in the territory
of one or both of the Parties;
(2) Live animals born and raised in the territory of one or both of
the Parties;
(3) Goods obtained in the territory of one or both of the Parties
from live animals;
(4) Goods obtained from hunting, trapping, fishing, or aquaculture
conducted in the territory of one or both of the Parties;
(5) Minerals and other natural resources not included in paragraphs
(h)(1) through (h)(4) of this section that are extracted or taken in the
territory of one or both of the Parties;
[[Page 396]]
(6) Fish, shellfish, and other marine life taken from the sea,
seabed, or subsoil outside the territory of the Parties by:
(i) Vessels registered or recorded with Panama and flying its flag;
or
(ii) Vessels documented under the laws of the United States;
(7) Goods produced on board factory ships from the goods referred to
in paragraph (h)(6) of this section, if such factory ships are:
(i) Registered or recorded with Panama and flying its flag; or
(ii) Documented under the laws of the United States;
(8) Goods taken by a Party or a person of a Party from the seabed or
subsoil outside territorial waters, if a Party has rights to exploit
such seabed or subsoil;
(9) Goods taken from outer space, provided they are obtained by a
Party or a person of a Party and not processed in the territory of a
non-Party;
(10) Waste and scrap derived from:
(i) Manufacturing or processing operations in the territory of one
or both of the Parties; or
(ii) Used goods collected in the territory of one or both of the
Parties, if such goods are fit only for the recovery of raw materials;
(11) Recovered goods derived in the territory of one or both of the
Parties from used goods, and used in the territory of one or both of the
Parties in the production of remanufactured goods; and
(12) Goods produced in the territory of one or both of the Parties
exclusively from goods referred to in any of paragraphs (h)(1) through
(h)(10) of this section, or from the derivatives of such goods, at any
stage of production;
(i) Indirect material. ``Indirect material'' means a good used in
the production, testing, or inspection of another good in the territory
of one or both of the Parties but not physically incorporated into that
other good, or a good used in the maintenance of buildings or the
operation of equipment associated with the production of another good,
including:
(1) Fuel and energy;
(2) Tools, dies, and molds;
(3) Spare parts and materials used in the maintenance of equipment
or buildings;
(4) Lubricants, greases, compounding materials, and other materials
used in production or used to operate equipment or buildings;
(5) Gloves, glasses, footwear, clothing, safety equipment, and
supplies;
(6) Equipment, devices, and supplies used for testing or inspecting
the good;
(7) Catalysts and solvents; and
(8) Any other good that is not incorporated into the other good but
the use of which in the production of the other good can reasonably be
demonstrated to be a part of that production;
(j) Material. ``Material'' means a good that is used in the
production of another good, including a part or an ingredient;
(k) Model line. ``Model line'' means a group of motor vehicles
having the same platform or model name;
(l) Net cost. ``Net cost'' means total cost minus sales promotion,
marketing, and after-sales service costs, royalties, shipping and
packing costs, and non-allowable interest costs that are included in the
total cost;
(m) Non-allowable interest costs. ``Non-allowable interest costs''
means interest costs incurred by a producer that exceed 700 basis points
above the applicable official interest rate for comparable maturities of
the Party in which the producer is located;
(n) Non-originating good or non-originating material. ``Non-
originating good'' or ``non-originating material'' means a good or
material, as the case may be, that does not qualify as originating under
General Note 35, HTSUS, or this subpart;
(o) Packing materials and containers for shipment. ``Packing
materials and containers for shipment'' means the goods used to protect
a good during its transportation to the United States, and does not
include the packaging materials and containers in which a good is
packaged for retail sale;
(p) Producer. ``Producer'' means a person who engages in the
production of a good in the territory of a Party;
(q) Production. ``Production'' means growing, mining, harvesting,
fishing,
[[Page 397]]
raising, trapping, hunting, manufacturing, processing, assembling, or
disassembling a good;
(r) Reasonably allocate. ``Reasonably allocate'' means to apportion
in a manner that would be appropriate under Generally Accepted
Accounting Principles;
(s) Recovered goods. ``Recovered goods'' means materials in the form
of individual parts that are the result of:
(1) The disassembly of used goods into individual parts; and
(2) The cleaning, inspecting, testing, or other processing that is
necessary to improve such individual parts to sound working condition;
(t) Remanufactured good. ``Remanufactured good'' means a good
classified in Chapter 84, 85, 87, or 90 or heading 9402, HTSUS, other
than a good classified in heading 8418 or 8516, HTSUS, and that:
(1) Is entirely or partially comprised of recovered goods as defined
in paragraph (s) of this section; and
(2) Has a similar life expectancy and enjoys a factory warranty
similar to such a good that is new;
(u) Royalties. ``Royalties'' means payments of any kind, including
payments under technical assistance agreements or similar agreements,
made as consideration for the use of, or right to use, any copyright,
literary, artistic, or scientific work, patent, trademark, design,
model, plan, secret formula or process, excluding those payments under
technical assistance agreements or similar agreements that can be
related to specific services such as:
(1) Personnel training, without regard to where performed; and
(2) If performed in the territory of one or both of the Parties,
engineering, tooling, die-setting, software design and similar computer
services;
(v) Sales promotion, marketing, and after-sales service costs.
``Sales promotion, marketing, and after-sales service costs'' means the
following costs related to sales promotion, marketing, and after-sales
service:
(1) Sales and marketing promotion; media advertising; advertising
and market research; promotional and demonstration materials; exhibits;
sales conferences, trade shows and conventions; banners; marketing
displays; free samples; sales, marketing, and after-sales service
literature (product brochures, catalogs, technical literature, price
lists, service manuals, sales aid information); establishment and
protection of logos and trademarks; sponsorships; wholesale and retail
restocking charges; entertainment;
(2) Sales and marketing incentives; consumer, retailer or wholesaler
rebates; merchandise incentives;
(3) Salaries and wages, sales commissions, bonuses, benefits (for
example, medical, insurance, pension), traveling and living expenses,
membership and professional fees, for sales promotion, marketing, and
after-sales service personnel;
(4) Recruiting and training of sales promotion, marketing, and
after-sales service personnel, and after-sales training of customers'
employees, where such costs are identified separately for sales
promotion, marketing, and after-sales service of goods on the financial
statements or cost accounts of the producer;
(5) Product liability insurance;
(6) Office supplies for sales promotion, marketing, and after-sales
service of goods, where such costs are identified separately for sales
promotion, marketing, and after-sales service of goods on the financial
statements or cost accounts of the producer;
(7) Telephone, mail and other communications, where such costs are
identified separately for sales promotion, marketing, and after-sales
service of goods on the financial statements or cost accounts of the
producer;
(8) Rent and depreciation of sales promotion, marketing, and after-
sales service offices and distribution centers;
(9) Property insurance premiums, taxes, cost of utilities, and
repair and maintenance of sales promotion, marketing, and after-sales
service offices and distribution centers, where such costs are
identified separately for sales promotion, marketing, and after-sales
service of goods on the financial statements or cost accounts of the
producer; and
(10) Payments by the producer to other persons for warranty repairs;
(w) Self-produced material. ``Self-produced material'' means an
originating
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material that is produced by a producer of a good and used in the
production of that good;
(x) Shipping and packing costs. ``Shipping and packing costs'' means
the costs incurred in packing a good for shipment and shipping the good
from the point of direct shipment to the buyer, excluding the costs of
preparing and packaging the good for retail sale;
(y) Total cost. ``Total cost'' means all product costs, period
costs, and other costs for a good incurred in the territory of one or
both of the Parties. Product costs are costs that are associated with
the production of a good and include the value of materials, direct
labor costs, and direct overhead. Period costs are costs, other than
product costs, that are expensed in the period in which they are
incurred, such as selling expenses and general and administrative
expenses. Other costs are all costs recorded on the books of the
producer that are not product costs or period costs, such as interest.
Total cost does not include profits that are earned by the producer,
regardless of whether they are retained by the producer or paid out to
other persons as dividends, or taxes paid on those profits, including
capital gains taxes;
(z) Used. ``Used'' means utilized or consumed in the production of
goods; and
(aa) Value. ``Value'' means the value of a good or material for
purposes of calculating customs duties or for purposes of applying this
subpart.
Sec. 10.2014 Originating goods.
Except as otherwise provided in this subpart and General Note 35,
HTSUS, a good imported into the customs territory of the United States
will be considered an originating good under the PANTPA only if:
(a) The good is wholly obtained or produced entirely in the
territory of one or both of the Parties;
(b) The good is produced entirely in the territory of one or both of
the Parties and:
(1) Each non-originating material used in the production of the good
undergoes an applicable change in tariff classification specified in
General Note 35, HTSUS, and the good satisfies all other applicable
requirements of General Note 35, HTSUS; or
(2) The good otherwise satisfies any applicable regional value
content or other requirements specified in General Note 35, HTSUS, and
satisfies all other applicable requirements of General Note 35, HTSUS;
or
(c) The good is produced entirely in the territory of one or both of
the Parties exclusively from originating materials.
Sec. 10.2015 Regional value content.
(a) General. Except for goods to which paragraph (d) of this section
applies, where General Note 35, HTSUS, sets forth a rule that specifies
a regional value content test for a good, the regional value content of
such good must be calculated by the importer, exporter, or producer of
the good on the basis of the build-down method described in paragraph
(b) of this section or the build-up method described in paragraph (c) of
this section.
(b) Build-down method. Under the build-down method, the regional
value content must be calculated on the basis of the formula RVC = ((AV
- VNM)/AV) x 100, where RVC is the regional value content, expressed as
a percentage; AV is the adjusted value of the good; and VNM is the value
of non-originating materials that are acquired and used by the producer
in the production of the good, but does not include the value of a
material that is self-produced.
(c) Build-up method. Under the build-up method, the regional value
content must be calculated on the basis of the formula RVC = (VOM/AV) x
100, where RVC is the regional value content, expressed as a percentage;
AV is the adjusted value of the good; and VOM is the value of
originating materials that are acquired or self-produced and used by the
producer in the production of the good.
(d) Special rule for certain automotive goods.
(1) General. Where General Note 35, HTSUS, sets forth a rule that
specifies a regional value content test for an automotive good provided
for in any of subheadings 8407.31 through 8407.34 (engines), subheading
8408.20 (diesel engine
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for vehicles), heading 8409 (parts of engines), or any of headings 8701
through 8705 (motor vehicles), and headings 8706 (chassis), 8707
(bodies), and 8708 (motor vehicle parts), HTSUS, the regional value
content of such good may be calculated by the importer, exporter, or
producer of the good on the basis of the net cost method described in
paragraphs (d)(2) through (d)(4) of this section.
(2) Net cost method. Under the net cost method, the regional value
content is calculated on the basis of the formula RVC = ((NC - VNM)/NC)
x 100, where RVC is the regional value content, expressed as a
percentage; NC is the net cost of the good; and VNM is the value of non-
originating materials that are acquired and used by the producer in the
production of the good, but does not include the value of a material
that is self-produced. Consistent with the provisions regarding
allocation of costs set out in Generally Accepted Accounting Principles,
the net cost of the good must be determined by:
(i) Calculating the total cost incurred with respect to all goods
produced by the producer of the automotive good, subtracting any sales
promotion, marketing, and after-sales service costs, royalties, shipping
and packing costs, and non-allowable interest costs that are included in
the total cost of all such goods, and then reasonably allocating the
resulting net cost of those goods to the automotive good;
(ii) Calculating the total cost incurred with respect to all goods
produced by the producer of the automotive good, reasonably allocating
the total cost to the automotive good, and then subtracting any sales
promotion, marketing, and after-sales service costs, royalties, shipping
and packing costs, and non-allowable interest costs that are included in
the portion of the total cost allocated to the automotive good; or
(iii) Reasonably allocating each cost that forms part of the total
costs incurred with respect to the automotive good so that the aggregate
of these costs does not include any sales promotion, marketing, and
after-sales service costs, royalties, shipping and packing costs, or
non-allowable interest costs.
(3) Motor vehicles--(i) General. For purposes of calculating the
regional value content under the net cost method for an automotive good
that is a motor vehicle provided for in any of headings 8701 through
8705, an importer, exporter, or producer may average the amounts
calculated under the formula set forth in paragraph (d)(2) of this
section over the producer's fiscal year using any one of the categories
described in paragraph (d)(3)(ii) of this section either on the basis of
all motor vehicles in the category or those motor vehicles in the
category that are exported to the territory of one or both Parties.
(ii) Categories. The categories referred to in paragraph (d)(3)(i)
of this section are as follows:
(A) The same model line of motor vehicles, in the same class of
vehicles, produced in the same plant in the territory of a Party, as the
motor vehicle for which the regional value content is being calculated;
(B) The same class of motor vehicles, and produced in the same plant
in the territory of a Party, as the motor vehicle for which the regional
value content is being calculated; and
(C) The same model line of motor vehicles produced in the territory
of a Party as the motor vehicle for which the regional value content is
being calculated.
(4) Other automotive goods--(i) General. For purposes of calculating
the regional value content under the net cost method for automotive
goods provided for in any of subheadings 8407.31 through 8407.34,
subheading 8408.20, heading 8409, 8706, 8707, or 8708, HTSUS, that are
produced in the same plant, an importer, exporter, or producer may:
(A) Average the amounts calculated under the formula set forth in
paragraph (d)(2) of this section over any of the following: the fiscal
year, or any quarter or month, of the motor vehicle producer to whom the
automotive good is sold, or the fiscal year, or any quarter or month, of
the producer of the automotive good, provided the goods were produced
during the fiscal year, quarter, or month that is the basis for the
calculation;
(B) Determine the average referred to in paragraph (d)(4)(i)(A) of
this section
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separately for such goods sold to one or more motor vehicle producers;
or
(C) Make a separate determination under paragraph (d)(4)(i)(A) or
(d)(4)(i)(B) of this section for automotive goods that are exported to
the territory of Panama or the United States.
(ii) Duration of use. A person selecting an averaging period of one
month or quarter under paragraph (d)(4)(i)(A) of this section must
continue to use that method for that category of automotive goods
throughout the fiscal year.
Sec. 10.2016 Value of materials.
(a) Calculating the value of materials. For purposes of calculating
the regional value content of a good under General Note 35, HTSUS, and
for purposes of applying the de minimis (see Sec. 10.2018) provisions of
General Note 35, HTSUS, the value of a material is:
(1) In the case of a material imported by the producer of the good,
the adjusted value of the material;
(2) In the case of a material acquired by the producer in the
territory where the good is produced, the value, determined in
accordance with Articles 1 through 8, Article 15, and the corresponding
interpretative notes of the Customs Valuation Agreement, i.e., in the
same manner as for imported goods, with reasonable modifications to the
provisions of the Customs Valuation Agreement as may be required due to
the absence of an importation by the producer (including, but not
limited to, treating a domestic purchase by the producer as if it were a
sale for export to the country of importation); or
(3) In the case of a self-produced material, the sum of:
(i) All expenses incurred in the production of the material,
including general expenses; and
(ii) An amount for profit equivalent to the profit added in the
normal course of trade.
(b) Examples. The following examples illustrate application of the
principles set forth in paragraph (a)(2) of this section:
Example 1. A producer in Panama purchases material x from an
unrelated seller in Panama for $100. Under the provisions of Article 1
of the Customs Valuation Agreement, transaction value is the price
actually paid or payable for the goods when sold for export to the
country of importation adjusted in accordance with the provisions of
Article 8. In order to apply Article 1 to this domestic purchase by the
producer, such purchase is treated as if it were a sale for export to
the country of importation. Therefore, for purposes of determining the
adjusted value of material x, Article 1 transaction value is the price
actually paid or payable for the goods when sold to the producer in
Panama ($100), adjusted in accordance with the provisions of Article 8.
In this example, it is irrelevant whether material x was initially
imported into Panama by the seller (or by anyone else). So long as the
producer acquired material x in Panama, it is intended that the value of
material x will be determined on the basis of the price actually paid or
payable by the producer adjusted in accordance with the provisions of
Article 8.
Example 2. Same facts as in Example 1, except that the sale between
the seller and the producer is subject to certain restrictions that
preclude the application of Article 1. Under Article 2 of the Customs
Valuation Agreement, the value is the transaction value of identical
goods sold for export to the same country of importation and exported at
or about the same time as the goods being valued. In order to permit the
application of Article 2 to the domestic acquisition by the producer, it
should be modified so that the value is the transaction value of
identical goods sold within Panama at or about the same time the goods
were sold to the producer in Panama. Thus, if the seller of material x
also sold an identical material to another buyer in Panama without
restrictions, that other sale would be used to determine the adjusted
value of material x.
(c) Permissible additions to, and deductions from, the value of
materials--(1) Additions to originating materials. For originating
materials, the following expenses, if not included under paragraph (a)
of this section, may be added to the value of the originating material:
(i) The costs of freight, insurance, packing, and all other costs
incurred in transporting the material within or between the territory of
one or both of the Parties to the location of the producer;
(ii) Duties, taxes, and customs brokerage fees on the material paid
in the territory of one or both of the Parties, other than duties and
taxes that are waived, refunded, refundable, or otherwise recoverable,
including credit
[[Page 401]]
against duty or tax paid or payable; and
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or byproducts.
(2) Deductions from non-originating materials. For non-originating
materials, if included under paragraph (a) of this section, the
following expenses may be deducted from the value of the non-originating
material:
(i) The costs of freight, insurance, packing, and all other costs
incurred in transporting the material within or between the territory of
one or both of the Parties to the location of the producer;
(ii) Duties, taxes, and customs brokerage fees on the material paid
in the territory of one or both of the Parties, other than duties and
taxes that are waived, refunded, refundable, or otherwise recoverable,
including credit against duty or tax paid or payable;
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or by-products; and
(iv) The cost of originating materials used in the production of the
non-originating material in the territory of one or both of the Parties.
(d) Accounting method. Any cost or value referenced in General Note
35, HTSUS, and this subpart, must be recorded and maintained in
accordance with the Generally Accepted Accounting Principles applicable
in the territory of the Party in which the good is produced.
Sec. 10.2017 Accumulation.
(a) Originating materials from the territory of a Party that are
used in the production of a good in the territory of another Party will
be considered to originate in the territory of that other Party.
(b) A good that is produced in the territory of one or both of the
Parties by one or more producers is an originating good if the good
satisfies the requirements of Sec. 10.2014 and all other applicable
requirements of General Note 35, HTSUS.
Sec. 10.2018 De minimis.
(a) General. Except as provided in paragraphs (b) and (c) of this
section, a good that does not undergo a change in tariff classification
pursuant to General Note 35, HTSUS, is an originating good if:
(1) The value of all non-originating materials used in the
production of the good that do not undergo the applicable change in
tariff classification does not exceed 10 percent of the adjusted value
of the good;
(2) The value of the non-originating materials described in
paragraph (a)(1) of this section is included in the value of non-
originating materials for any applicable regional value content
requirement for the good under General Note 35, HTSUS; and
(3) The good meets all other applicable requirements of General Note
35, HTSUS.
(b) Exceptions. Paragraph (a) of this section does not apply to:
(1) A non-originating material provided for in Chapter 4, HTSUS, or
a non-originating dairy preparation containing over 10 percent by weight
of milk solids provided for in subheading 1901.90 or 2106.90, HTSUS,
that is used in the production of a good provided for in Chapter 4,
HTSUS;
(2) A non-originating material provided for in Chapter 4, HTSUS, or
a non-originating dairy preparation containing over 10 percent by weight
of milk solids provided for in subheading 1901.90, HTSUS, which is used
in the production of the following goods:
(i) Infant preparations containing over 10 percent by weight of milk
solids provided for in subheading 1901.10, HTSUS;
(ii) Mixes and doughs, containing over 25 percent by weight of
butterfat, not put up for retail sale, provided for in subheading
1901.20, HTSUS;
(iii) Dairy preparations containing over 10 percent by weight of
milk solids provided for in subheading 1901.90 or 2106.90, HTSUS;
(iv) Goods provided for in heading 2105, HTSUS;
(v) Beverages containing milk provided for in subheading 2202.90,
HTSUS; or
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(vi) Animal feeds containing over 10 percent by weight of milk
solids provided for in subheading 2309.90, HTSUS;
(3) A non-originating material provided for in heading 0805, HTSUS,
or any of subheadings 2009.11 through 2009.39, HTSUS, that is used in
the production of a good provided for in any of subheadings 2009.11
through 2009.39, HTSUS, or in fruit or vegetable juice of any single
fruit or vegetable, fortified with minerals or vitamins, concentrated or
unconcentrated, provided for in subheading 2106.90 or 2202.90, HTSUS;
(4) A non-originating material provided for in heading 0901 or 2101,
HTSUS, that is used in the production of a good provided for in heading
0901 or 2101, HTSUS;
(5) A non-originating material provided for in heading 1006, HTSUS,
that is used in the production of a good provided for in heading 1102 or
1103 or subheading 1904.90, HTSUS;
(6) A non-originating material provided for in Chapter 15, HTSUS,
that is used in the production of a good provided for in Chapter 15,
HTSUS;
(7) A non-originating material provided for in heading 1701, HTSUS,
that is used in the production of a good provided for in any of headings
1701 through 1703, HTSUS;
(8) A non-originating material provided for in Chapter 17, HTSUS,
that is used in the production of a good provided for in subheading
1806.10, HTSUS; or
(9) Except as provided in paragraphs (b)(1) through (b)(8) of this
section and General Note 35, HTSUS, a non-originating material used in
the production of a good provided for in any of Chapters 1 through 24,
HTSUS, unless the non-originating material is provided for in a
different subheading than the good for which origin is being determined
under this subpart.
(c) Textile and apparel goods--(1) General. Except as provided in
paragraph (c)(2) of this section, a textile or apparel good that is not
an originating good because certain fibers or yarns used in the
production of the component of the good that determines the tariff
classification of the good do not undergo an applicable change in tariff
classification set out in General Note 35, HTSUS, will nevertheless be
considered to be an originating good if:
(i) The total weight of all such fibers or yarns in that component
is not more than 10 percent of the total weight of that component; or
(ii) The yarns are nylon filament yarns (other than elastomeric
yarns) that are provided for in subheading 5402.11.30, 5402.11.60,
5402.19.30, 5402.19.60, 5402.31.30, 5402.31.60, 5402.32.30, 5402.32.60,
5402.45.10, 5402.45.90, 5402.51.00 or 5402.61.00, HTSUS, and that are
products of Canada, Mexico, or Israel.
(2) Exception for goods containing elastomeric yarns. A textile or
apparel good containing elastomeric yarns (excluding latex) in the
component of the good that determines the tariff classification of the
good will be considered an originating good only if such yarns are
wholly formed and finished in the territory of a Party. For purposes of
this paragraph, ``wholly formed and finished'' means that all the
production processes and finishing operations, starting with the
extrusion of filaments, strips, film, or sheet, and including drawing to
fully orient a filament or slitting a film or sheet into strip, or the
spinning of all fibers into yarn, or both, and ending with a finished
yarn or plied yarn.
(3) Yarn, fabric, or fiber. For purposes of paragraph (c) of this
section, in the case of a textile or apparel good that is a yarn,
fabric, or fiber, the term ``component of the good that determines the
tariff classification of the good'' means all of the fibers in the good.
Sec. 10.2019 Fungible goods and materials.
(a) General. A person claiming that a fungible good or material is
an originating good may base the claim either on the physical
segregation of the fungible good or material or by using an inventory
management method with respect to the fungible good or material. For
purposes of this section, the term ``inventory management method''
means:
(1) Averaging;
(2) ``Last-in, first-out;''
(3) ``First-in, first-out;'' or
(4) Any other method that is recognized in the Generally Accepted
Accounting Principles of the Party in
[[Page 403]]
which the production is performed or otherwise accepted by that country.
(b) Duration of use. A person selecting an inventory management
method under paragraph (a) of this section for a particular fungible
good or material must continue to use that method for that fungible good
or material throughout the fiscal year of that person.
Sec. 10.2020 Accessories, spare parts, or tools.
(a) General. Accessories, spare parts, or tools that are delivered
with a good and that form part of the good's standard accessories, spare
parts, or tools will be treated as originating goods if the good is an
originating good, and will be disregarded in determining whether all the
non-originating materials used in the production of the good undergo an
applicable change in tariff classification specified in General Note 35,
HTSUS, provided that:
(1) The accessories, spare parts, or tools are classified with, and
not invoiced separately from, the good, regardless of whether they are
specified or separately identified in the invoice for the good; and
(2) The quantities and value of the accessories, spare parts, or
tools are customary for the good.
(b) Regional value content. If the good is subject to a regional
value content requirement, the value of the accessories, spare parts, or
tools is taken into account as originating or non-originating materials,
as the case may be, in calculating the regional value content of the
good under Sec. 10.2015.
Sec. 10.2021 Goods classifiable as goods put up in sets.
Notwithstanding the specific rules set forth in General Note 35,
HTSUS, goods classifiable as goods put up in sets for retail sale as
provided for in General Rule of Interpretation 3, HTSUS, will not be
considered to be originating goods unless:
(a) Each of the goods in the set is an originating good; or
(b) The total value of the non-originating goods in the set does not
exceed;
(1) In the case of textile or apparel goods, 10 percent of the
adjusted value of the set; or
(2) In the case of a good other than a textile or apparel good, 15
percent of the adjusted value of the set.
Sec. 10.2022 Retail packaging materials and containers.
(a) Effect on tariff shift rule. Packaging materials and containers
in which a good is packaged for retail sale, if classified with the good
for which preferential tariff treatment under the PANTPA is claimed,
will be disregarded in determining whether all non-originating materials
used in the production of the good undergo the applicable change in
tariff classification set out in General Note 35, HTSUS.
(b) Effect on regional value content calculation. If the good is
subject to a regional value content requirement, the value of such
packaging materials and containers will be taken into account as
originating or non-originating materials, as the case may be, in
calculating the regional value content of the good.
Example 1. Panamanian Producer A of good C imports 100 non-
originating blister packages to be used as retail packaging for good C.
As provided in Sec. 10.2016(a)(1), the value of the blister packages is
their adjusted value, which in this case is $10. Good C has a regional
value content requirement. The United States importer of good C decides
to use the build-down method, RVC=((AV-VNM)/AV) x 100 (see
Sec. 10.2015(b)), in determining whether good C satisfies the regional
value content requirement. In applying this method, the non-originating
blister packages are taken into account as non-originating. As such,
their $10 adjusted value is included in the VNM, value of non-
originating materials, of good C.
Example 2. Same facts as in Example 1, except that the blister
packages are originating. In this case, the adjusted value of the
originating blister packages would not be included as part of the VNM of
good C under the build-down method. However, if the U.S. importer had
used the build-up method, RVC=(VOM/AV) x 100 (see Sec. 10.2015(c)), the
adjusted value of the blister packaging would be included as part of the
VOM, value of originating materials.
[[Page 404]]
Sec. 10.2023 Packing materials and containers for shipment.
(a) Effect on tariff shift rule. Packing materials and containers
for shipment, as defined in Sec. 10.2013(o), are to be disregarded in
determining whether the non-originating materials used in the production
of the good undergo an applicable change in tariff classification set
out in General Note 35, HTSUS. Accordingly, such materials and
containers are not required to undergo the applicable change in tariff
classification even if they are non-originating.
(b) Effect on regional value content calculation. Packing materials
and containers for shipment, as defined in Sec. 10.2013(o), are to be
disregarded in determining the regional value content of a good imported
into the United States. Accordingly, in applying the build-down, build-
up, or net cost method for determining the regional value content of a
good imported into the United States, the value of such packing
materials and containers for shipment (whether originating or non-
originating) is disregarded and not included in AV, adjusted value, VNM,
value of non-originating materials, VOM, value of originating materials,
or NC, net cost of a good.
Example. Panamanian producer A produces good C. Producer A ships
good C to the United States in a shipping container that it purchased
from Company B in Panama. The shipping container is originating. The
value of the shipping container determined under Sec. 10.2016(a)(2) is
$3. Good C is subject to a regional value content requirement. The
transaction value of good C is $100, which includes the $3 shipping
container. The U.S. importer decides to use the build-up method, RVC=
(VOM/AV) x 100 (see Sec. 10.2015(c))), in determining whether good C
satisfies the regional value content requirement. In determining the AV,
adjusted value, of good C imported into the U.S., paragraph (b) of this
section and the definition of AV require a $3 deduction for the value of
the shipping container. Therefore, the AV is $97 ($100-$3). In addition,
the value of the shipping container is disregarded and not included in
the VOM, value of originating materials.
Sec. 10.2024 Indirect materials.
An indirect material, as defined in Sec. 10.2013(i), will be
considered to be an originating material without regard to where it is
produced.
Example. Panamanian Producer A produces good C using non-originating
material B. Producer A imports non-originating rubber gloves for use by
workers in the production of good C. Good C is subject to a tariff shift
requirement. As provided in Sec. 10.2014(b)(1) and General Note 35, each
of the non-originating materials in good C must undergo the specified
change in tariff classification in order for good C to be considered
originating. Although non-originating material B must undergo the
applicable tariff shift in order for good C to be considered
originating, the rubber gloves do not because they are indirect
materials and are considered originating without regard to where they
are produced.
Sec. 10.2025 Transit and transshipment.
(a) General. A good that has undergone production necessary to
qualify as an originating good under Sec. 10.2014 will not be considered
an originating good if, subsequent to that production, the good:
(1) Undergoes further production or any other operation outside the
territories of the Parties, other than unloading, reloading, or any
other operation necessary to preserve the good in good condition or to
transport the good to the territory of a Party; or
(2) Does not remain under the control of customs authorities in the
territory of a non-Party.
(b) Documentary evidence. An importer making a claim that a good is
originating may be required to demonstrate, to CBP's satisfaction, that
the conditions and requirements set forth in paragraph (a) of this
section were met. An importer may demonstrate compliance with this
section by submitting documentary evidence. Such evidence may include,
but is not limited to, bills of lading, airway bills, packing lists,
commercial invoices, receiving and inventory records, and customs entry
and exit documents.
[[Page 405]]
Origin Verifications and Determinations
Sec. 10.2026 Verification and justification of claim for preferential
tariff treatment.
(a) Verification. A claim for preferential tariff treatment made
under Sec. 10.2003(b) or Sec. 10.2011, including any statements or other
information submitted to CBP in support of the claim, will be subject to
such verification as the port director deems necessary. In the event
that the port director is provided with insufficient information to
verify or substantiate the claim, or the port director finds a pattern
of conduct, indicating that an importer, exporter, or producer has
provided false or unsupported declarations or certifications, or the
exporter or producer fails to consent to a verification visit, the port
director may deny the claim for preferential treatment. A verification
of a claim for preferential tariff treatment under PANTPA for goods
imported into the United States may be conducted by means of one or more
of the following:
(1) Written requests for information from the importer, exporter, or
producer;
(2) Written questionnaires to the importer, exporter, or producer;
(3) Visits to the premises of the exporter or producer in the
territory of Panama, to review the records of the type referred to in
Sec. 10.2009(c)(1) or to observe the facilities used in the production
of the good, in accordance with the framework that the Parties develop
for conducting verifications; and
(4) Such other procedures to which the Parties may agree.
(b) Applicable accounting principles. When conducting a verification
of origin to which Generally Accepted Accounting Principles may be
relevant, CBP will apply and accept the Generally Accepted Accounting
Principles applicable in the country of production.
Sec. 10.2027 Special rule for verifications in Panama of U.S. imports
of textile and apparel goods.
(a) Procedures to determine whether a claim of origin is accurate--
(1) General. For the purpose of determining that a claim of origin for a
textile or apparel good is accurate, CBP may request that the Government
of Panama conduct a verification, regardless of whether a claim is made
for preferential tariff treatment.
(2) Actions during a verification. While a verification under this
paragraph is being conducted, CBP, if directed by the President, may
take appropriate action, which may include:
(i) Suspending the application of preferential tariff treatment to
the textile or apparel good for which a claim for preferential tariff
treatment has been made, if CBP determines there is insufficient
information to support the claim;
(ii) Denying the application of preferential tariff treatment to the
textile or apparel good for which a claim for preferential tariff
treatment has been made that is the subject of a verification if CBP
determines that an enterprise has provided incorrect information to
support the claim;
(iii) Detention of any textile or apparel good exported or produced
by the enterprise subject to the verification if CBP determines there is
insufficient information to determine the country of origin of any such
good; and
(iv) Denying entry to any textile or apparel good exported or
produced by the enterprise subject to the verification if CBP determines
that the enterprise has provided incorrect information as to the country
of origin of any such good.
(3) Actions following a verification. On completion of a
verification under this paragraph, CBP, if directed by the President,
may take appropriate action, which may include:
(i) Denying the application of preferential tariff treatment to the
textile or apparel good for which a claim for preferential tariff
treatment has been made that is the subject of a verification if CBP
determines there is insufficient information, or that the enterprise has
provided incorrect information, to support the claim; and
(ii) Denying entry to any textile or apparel good exported or
produced by the enterprise subject to the verification if CBP determines
there is insufficient information to determine,
[[Page 406]]
or that the enterprise has provided incorrect information as to, the
country of origin of any such good.
(b) Procedures to determine compliance with applicable customs laws
and regulations of the United States--(1) General. For purposes of
enabling CBP to determine that an exporter or producer is complying with
applicable customs laws, regulations, and procedures regarding trade in
textile and apparel goods, CBP may request that the government of Panama
conduct a verification.
(2) Actions during a verification. While a verification under this
paragraph is being conducted, CBP, if directed by the President, may
take appropriate action, which may include:
(i) Suspending the application of preferential tariff treatment to
any textile or apparel good exported or produced by the enterprise
subject to the verification if CBP determines there is insufficient
information to support a claim for preferential tariff treatment with
respect to any such good;
(ii) Denying the application of preferential tariff treatment to any
textile or apparel good exported or produced by the enterprise subject
to the verification if CBP determines that the enterprise has provided
incorrect information to support a claim for preferential tariff
treatment with respect to any such good;
(iii) Detention of any textile or apparel good exported or produced
by the enterprise subject to the verification if CBP determines there is
insufficient information to determine the country of origin of any such
good; and
(iv) Denying entry to any textile or apparel good exported or
produced by the enterprise subject to the verification if CBP determines
that the enterprise has provided incorrect information as to the country
of origin of any such good.
(3) Actions following a verification. On completion of a
verification under this paragraph, CBP, if directed by the President,
may take appropriate action, which may include:
(i) Denying the application of preferential tariff treatment to any
textile or apparel good exported or produced by the enterprise subject
to the verification if CBP determines there is insufficient or incorrect
information, or that the enterprise has provided incorrect information,
to support a claim for preferential tariff treatment with respect to any
such good; and
(ii) Denying entry to any textile or apparel good exported or
produced by the enterprise subject to the verification if CBP determines
there is insufficient information to determine, or that the enterprise
has provided incorrect information as to, the country of origin of any
such good.
(c) Action by U.S. officials in conducting a verification abroad.
U.S. officials may undertake or assist in a verification under this
section by conducting visits in the territory of Panama, along with the
competent authorities of Panama, to the premises of an exporter,
producer, or any other enterprise involved in the movement of textile or
apparel goods from Panama to the United States.
(d) Denial of permission to conduct a verification. If an enterprise
does not consent to a verification under this section, CBP may deny
entry of textile or apparel goods produced or exported by the
enterprise.
(e) Continuation of appropriate action. CBP may continue to take
appropriate action under paragraph (a) or (b) of this section until it
receives information sufficient to enable it to make the determination
described in paragraphs (a) and (b) of this section.
Sec. 10.2028 Issuance of negative origin determinations.
If, as a result of an origin verification initiated under this
subpart, CBP determines that a claim for preferential tariff treatment
under this subpart should be denied, it will issue a determination in
writing or via an authorized electronic data interchange system to the
importer that sets forth the following:
(a) A description of the good that was the subject of the
verification together with the identifying numbers and dates of the
import documents pertaining to the good;
(b) A statement setting forth the findings of fact made in
connection with the verification and upon which the determination is
based; and
[[Page 407]]
(c) With specific reference to the rules applicable to originating
goods as set forth in General Note 35, HTSUS, and in Sec. Sec. 10.2013
through 10.2025, the legal basis for the determination.
Sec. 10.2029 Repeated false or unsupported preference claims.
Where verification or other information reveals a pattern of conduct
by an importer, exporter, or producer of false or unsupported
representations that goods qualify under the PANTPA rules of origin set
forth in General Note 35, HTSUS, CBP may suspend preferential tariff
treatment under the PANTPA to entries of identical goods covered by
subsequent representations by that importer, exporter, or producer until
CBP determines that representations of that person are in conformity
with General Note 35, HTSUS.
Penalties
Sec. 10.2030 General.
Except as otherwise provided in this subpart, all criminal, civil,
or administrative penalties which may be imposed on U.S. importers,
exporters, and producers for violations of the customs and related laws
and regulations will also apply to U.S. importers, exporters, and
producers for violations of the laws and regulations relating to the
PANTPA.
Sec. 10.2031 Corrected claim or certification by importers.
An importer who makes a corrected claim under Sec. 10.2003(c) will
not be subject to civil or administrative penalties under 19 U.S.C. 1592
for having made an incorrect claim or having submitted an incorrect
certification, provided that the corrected claim is promptly and
voluntarily made.
Sec. 10.2032 Corrected certification by U.S. exporters or producers.
Civil or administrative penalties provided for under 19 U.S.C. 1592
will not be imposed on an exporter or producer in the United States who
promptly and voluntarily provides written notification pursuant to
Sec. 10.2009(b) with respect to the making of an incorrect
certification.
Sec. 10.2033 Framework for correcting claims or certifications.
(a) ``Promptly and voluntarily'' defined. Except as provided for in
paragraph (b) of this section, for purposes of this subpart, the making
of a corrected claim or certification by an importer or the providing of
written notification of an incorrect certification by an exporter or
producer in the United States will be deemed to have been done promptly
and voluntarily if:
(1)(i) Done before the commencement of a formal investigation,
within the meaning of Sec. 162.74(g) of this chapter; or
(ii) Done before any of the events specified in Sec. 162.74(i) of
this chapter have occurred; or
(iii) Done within 30 days after the importer, exporter, or producer
initially becomes aware that the claim or certification is incorrect;
and
(2) Accompanied by a statement setting forth the information
specified in paragraph (c) of this section; and
(3) In the case of a corrected claim or certification by an
importer, accompanied or followed by a tender of any actual loss of
duties and merchandise processing fees, if applicable, in accordance
with paragraph (d) of this section.
(b) Exception in cases involving fraud or subsequent incorrect
claims--(1) Fraud. Notwithstanding paragraph (a) of this section, a
person who acted fraudulently in making an incorrect claim or
certification may not make a voluntary correction of that claim or
certification. For purposes of this paragraph, the term ``fraud'' will
have the meaning set forth in paragraph (C)(3) of Appendix B to Part 171
of this chapter.
(2) Subsequent incorrect claims. An importer who makes one or more
incorrect claims after becoming aware that a claim involving the same
merchandise and circumstances is invalid may not make a voluntary
correction of the subsequent claims pursuant to paragraph (a) of this
section.
(c) Statement. For purposes of this subpart, each corrected claim or
certification must be accompanied by a statement, submitted in writing
or via an authorized electronic data interchange system, which:
(1) Identifies the class or kind of good to which the incorrect
claim or certification relates;
[[Page 408]]
(2) In the case of a corrected claim or certification by an
importer, identifies each affected import transaction, including each
port of importation and the approximate date of each importation;
(3) Specifies the nature of the incorrect statements or omissions
regarding the claim or certification; and
(4) Sets forth, to the best of the person's knowledge, the true and
accurate information or data which should have been covered by or
provided in the claim or certification, and states that the person will
provide any additional information or data which is unknown at the time
of making the corrected claim or certification within 30 days or within
any extension of that 30-day period as CBP may permit in order for the
person to obtain the information or data.
(d) Tender of actual loss of duties. A U.S. importer who makes a
corrected claim must tender any actual loss of duties at the time of
making the corrected claim, or within 30 days thereafter, or within any
extension of that 30-day period as CBP may allow in order for the
importer to obtain the information or data necessary to calculate the
duties owed.
Goods Returned After Repair or Alteration
Sec. 10.2034 Goods re-entered after repair or alteration in Panama.
(a) General. This section sets forth the rules which apply for
purposes of obtaining duty-free treatment on goods returned after repair
or alteration in Panama as provided for in subheadings 9802.00.40 and
9802.00.50, HTSUS. Goods returned after having been repaired or altered
in Panama, regardless of whether such repair or alteration could be
performed in the territory of the Party from which the good was exported
for repair or alteration, are eligible for duty-free treatment, provided
that the requirements of this section are met. For purposes of this
section, ``repair or alteration'' means restoration, addition,
renovation, re-dyeing, cleaning, re-sterilizing, or other treatment that
does not destroy the essential characteristics of, or create a new or
commercially different good from, the good exported from the United
States. The term ``repair or alteration'' does not include an operation
or process that transforms an unfinished good into a finished good.
(b) Goods not eligible for duty-free treatment after repair or
alteration. The duty-free treatment referred to in paragraph (a) of this
section will not apply to goods which, in their condition as exported
from the United States to Panama, are incomplete for their intended use
and for which the processing operation performed in Panama constitutes
an operation that is performed as a matter of course in the preparation
or manufacture of finished goods.
(c) Documentation. The provisions of paragraphs (a), (b), and (c) of
Sec. 10.8, relating to the documentary requirements for goods entered
under subheading 9802.00.40 or 9802.00.50, HTSUS, will apply in
connection with the entry of goods which are returned from Panama after
having been exported for repairs or alterations and which are claimed to
be duty free.
Subpart T_United States-Colombia Trade Promotion Agreement
Source: 77 FR 59069, Sept. 26, 2012, unless otherwise noted.
General Provisions
Sec. 10.3001 Scope.
This subpart implements the duty preference and related customs
provisions applicable to imported and exported goods under the United
States-Colombia Trade Promotion Agreement (the CTPA) signed on November
22, 2006, and under the United States-Colombia Trade Promotion Agreement
Implementation Act (the ``Act''), Public Law 112-42, 125 Stat. 462 (19
U.S.C. 3805 note). Except as otherwise specified in this subpart, the
procedures and other requirements set forth in this subpart are in
addition to the customs procedures and requirements of general
application contained elsewhere in this chapter. Additional provisions
implementing certain aspects of the CTPA and the Act are contained in
Parts 24, 162, and 163 of this chapter.
[[Page 409]]
Sec. 10.3002 General definitions.
As used in this subpart, the following terms will have the meanings
indicated unless either the context in which they are used requires a
different meaning or a different definition is prescribed for a
particular section of this subpart:
(a) Claim for preferential tariff treatment. ``Claim for
preferential tariff treatment'' means a claim that a good is entitled to
the duty rate applicable under the CTPA to an originating good and to an
exemption from the merchandise processing fee;
(b) Claim of origin. ``Claim of origin'' means a claim that a
textile or apparel good is an originating good or satisfies the non-
preferential rules of origin of a Party;
(c) Customs authority. ``Customs authority'' means the competent
authority that is responsible under the law of a Party for the
administration of customs laws and regulations;
(d) Customs duty. ``Customs duty'' includes any customs or import
duty and a charge of any kind imposed in connection with the importation
of a good, including any form of surtax or surcharge in connection with
such importation, but does not include any:
(1) Charge equivalent to an internal tax imposed consistently with
Article III:2 of GATT 1994 in respect of like, directly competitive, or
substitutable goods of the Party, or in respect of goods from which the
imported good has been manufactured or produced in whole or in part;
(2) Antidumping or countervailing duty that is applied pursuant to a
Party's domestic law; or
(3) Fee or other charge in connection with importation commensurate
with the cost of services rendered;
(e) Customs Valuation Agreement. ``Customs Valuation Agreement''
means the Agreement on Implementation of Article VII of the General
Agreement on Tariffs and Trade 1994, contained in Annex 1A to the WTO
Agreement;
(f) Days. ``Days'' means calendar days;
(g) Enterprise. ``Enterprise'' means any entity constituted or
organized under applicable law, whether or not for profit, and whether
privately-owned or governmentally-owned, including any corporation,
trust, partnership, sole proprietorship, joint venture, or other
association;
(h) Enterprise of a Party. ``Enterprise of a Party'' means an
enterprise constituted or organized under a Party's law;
(i) Goods of a Party. ``Goods of a Party'' means domestic products
as these are understood in the GATT 1994 or such goods as the Parties
may agree, and includes originating goods of that Party.
(j) GATT 1994. ``GATT 1994'' means the General Agreement on Tariffs
and Trade 1994, which is part of the WTO Agreement;
(k) Harmonized System. ``Harmonized System'' means the Harmonized
Commodity Description and Coding System, including its General Rules of
Interpretation, Section Notes, and Chapter Notes, as adopted and
implemented by the Parties in their respective tariff laws;
(l) Heading. ``Heading'' means the first four digits in the tariff
classification number under the Harmonized System;
(m) HTSUS. ``HTSUS'' means the Harmonized Tariff Schedule of the
United States as promulgated by the U.S. International Trade Commission;
(n) Identical goods. ``Identical goods'' means goods that are the
same in all respects relevant to the rule of origin that qualifies the
goods as originating goods;
(o) Originating. ``Originating'' means qualifying for preferential
tariff treatment under the rules of origin set out in Article 3.3
(Textiles and Apparel) or Chapter Four (Rules of Origin and Origin
Procedures) of the CTPA, and General Note 34, HTSUS;
(p) Party. ``Party'' means the United States or Colombia;
(q) Person. ``Person'' means a natural person or an enterprise;
(r) Preferential tariff treatment. ``Preferential tariff treatment''
means the duty rate applicable under the CTPA to an originating good,
and an exemption from the merchandise processing fee;
(s) Subheading. ``Subheading'' means the first six digits in the
tariff classification number under the Harmonized System;
(t) Textile or apparel good. ``Textile or apparel good'' means a
good listed in
[[Page 410]]
the Annex to the Agreement on Textiles and Clothing (commonly referred
to as ``the ATC''), which is part of the WTO Agreement, except for those
goods listed in Annex 3-C of the CTPA;
(u) Territory. ``Territory'' means:
(1) With respect to Colombia, in addition to its continental
territory, the archipelago of San Andr[eacute]s, Providencia and Santa
Catalina, the islands of Malpelo, and all the other islands, islets,
keys, headlands and shoals that belong to it, as well as air space and
the maritime areas over which Colombia has sovereignty or sovereign
rights or jurisdiction in accordance with its domestic law and
international law, including applicable international treaties; and
(2) With respect to the United States:
(i) The customs territory of the United States, which includes the
50 states, the District of Columbia, and Puerto Rico;
(ii) The foreign trade zones located in the United States and Puerto
Rico; and
(iii) Any areas beyond the territorial seas of the United States
within which, in accordance with international law and its domestic law,
the United States may exercise rights with respect to the seabed and
subsoil and their natural resources;
(v) WTO. ``WTO'' means the World Trade Organization; and
(w) WTO Agreement. ``WTO Agreement'' means the Marrakesh Agreement
Establishing the World Trade Organization of April 15, 1994.
Import Requirements
Sec. 10.3003 Filing of claim for preferential tariff treatment upon
importation.
(a) Basis of claim. An importer may make a claim for CTPA
preferential tariff treatment, including an exemption from the
merchandise processing fee, based on either:
(1) A written or electronic certification, as specified in
Sec. 10.3004, that is prepared by the importer, exporter, or producer of
the good; or
(2) The importer's knowledge that the good is an originating good,
including reasonable reliance on information in the importer's
possession that the good is an originating good.
(b) Making a claim. The claim is made by including on the entry
summary, or equivalent documentation, the letters ``CO'' as a prefix to
the subheading of the HTSUS under which each qualifying good is
classified, or by the method specified for equivalent reporting via an
authorized electronic data interchange system.
(c) Corrected claim. If, after making the claim specified in
paragraph (b) of this section, the importer has reason to believe that
the claim is based on inaccurate information or is otherwise invalid,
the importer must, within 30 calendar days after the date of discovery
of the error, correct the claim and pay any duties that may be due. The
importer must submit a statement either in writing or via an authorized
electronic data interchange system to the CBP office where the original
claim was filed specifying the correction (see Sec. Sec. 10.3031 and
10.3033).
Sec. 10.3004 Certification.
(a) General. An importer who makes a claim pursuant to
Sec. 10.3003(b) based on a certification by the importer, exporter, or
producer that the good is originating must submit, at the request of the
port director, a copy of the certification. The certification:
(1) Need not be in a prescribed format but must be in writing or
must be transmitted electronically pursuant to any electronic means
authorized by CBP for that purpose;
(2) Must be in the possession of the importer at the time the claim
for preferential tariff treatment is made if the certification forms the
basis for the claim;
(3) Must include the following information:
(i) The legal name, address, telephone number, and email address of
the certifying person;
(ii) If not the certifying person, the legal name, address,
telephone number, and email address of the importer of record, the
exporter, and the producer of the good, if known;
(iii) The legal name, address, telephone number, and email address
of the responsible official or authorized agent of the importer,
exporter, or producer signing the certification (if different
[[Page 411]]
from the information required by paragraph (a)(3)(i) of this section);
(iv) A description of the good for which preferential tariff
treatment is claimed, which must be sufficiently detailed to relate it
to the invoice and the HS nomenclature;
(v) The HTSUS tariff classification, to six or more digits, as
necessary for the specific change in tariff classification rule for the
good set forth in General Note 34, HTSUS; and
(vi) The applicable rule of origin set forth in General Note 34,
HTSUS, under which the good qualifies as an originating good;
(vii) Date of certification;
(viii) In case of a blanket certification issued with respect to
multiple shipments of identical goods within any period specified in the
written or electronic certification, not exceeding 12 months from the
date of certification, the period that the certification covers; and
(4) Must include a statement, in substantially the following form:
``I certify that:
The information on this document is true and accurate and I assume
the responsibility for proving such representations. I understand that I
am liable for any false statements or material omissions made on or in
connection with this document;
I agree to maintain and present upon request, documentation
necessary to support these representations;
The goods comply with all requirements for preferential tariff
treatment specified for those goods in the United States-Colombia Trade
Promotion Agreement; and
This document consists of ------ pages, including all attachments.''
(b) Responsible official or agent. The certification provided for in
paragraph (a) of this section must be signed and dated by a responsible
official of the importer, exporter, or producer, or by the importer's,
exporter's, or producer's authorized agent having knowledge of the
relevant facts.
(c) Language. The certification provided for in paragraph (a) of
this section must be completed in either the English or Spanish
language. In the latter case, the port director may require the importer
to submit an English translation of the certification.
(d) Certification by the exporter or producer. (1) A certification
may be prepared by the exporter or producer of the good on the basis of:
(i) The exporter's or producer's knowledge that the good is
originating; or
(ii) In the case of an exporter, reasonable reliance on the
producer's certification that the good is originating.
(2) The port director may not require an exporter or producer to
provide a written or electronic certification to another person.
(e) Applicability of certification. The certification provided for
in paragraph (a) of this section may be applicable to:
(1) A single shipment of a good into the United States; or
(2) Multiple shipments of identical goods into the United States
that occur within a specified blanket period, not exceeding 12 months,
set out in the certification.
(f) Validity of certification. A certification that is properly
completed, signed, and dated in accordance with the requirements of this
section will be accepted as valid for four years following the date on
which it was issued
Sec. 10.3005 Importer obligations.
(a) General. An importer who makes a claim for preferential tariff
treatment under Sec. 10.3003(b):
(1) Will be deemed to have certified that the good is eligible for
preferential tariff treatment under the CTPA;
(2) Is responsible for the truthfulness of the claim and of all the
information and data contained in the certification provided for in
Sec. 10.3004; and
(3) Is responsible for submitting any supporting documents requested
by CBP, and for the truthfulness of the information contained in those
documents. When a certification prepared by an exporter or producer
forms the basis of a claim for preferential tariff treatment, and CBP
requests the submission of supporting documents, the importer will
provide to CBP, or arrange for the direct submission by the exporter or
producer of, all information relied on by the exporter or producer in
preparing the certification.
(b) Information provided by exporter or producer. The fact that the
importer
[[Page 412]]
has made a claim or submitted a certification based on information
provided by an exporter or producer will not relieve the importer of the
responsibility referred to in paragraph (a) of this section.
(c) Exemption from penalties. An importer will not be subject to
civil or administrative penalties under 19 U.S.C. 1592 for making an
incorrect claim for preferential tariff treatment or submitting an
incorrect certification, provided that the importer promptly and
voluntarily corrects the claim or certification and pays any duty owing
(see Sec. Sec. 10.3031 through 10.3033).
Sec. 10.3006 Certification not required.
(a) General. Except as otherwise provided in paragraph (b) of this
section, an importer will not be required to submit a copy of a
certification under Sec. 10.3004 for:
(1) A non-commercial importation of a good; or
(2) A commercial importation for which the value of the originating
goods does not exceed U.S. $2,500.
(b) Exception. If the port director determines that an importation
described in paragraph (a) of this section is part of a series of
importations carried out or planned for the purpose of evading
compliance with the certification requirements of Sec. 10.3004, the port
director will notify the importer that for that importation the importer
must submit to CBP a copy of the certification. The importer must submit
such a copy within 30 days from the date of the notice. Failure to
timely submit a copy of the certification will result in denial of the
claim for preferential tariff treatment.
Sec. 10.3007 Maintenance of records.
(a) General. An importer claiming preferential tariff treatment for
a good imported into the United States under Sec. 10.3003(b) based on
either the importer's certification or its knowledge must maintain, for
a minimum of five years after the date of importation of the good, all
records and documents necessary to demonstrate that the good qualifies
for preferential tariff treatment under the CTPA. An importer claiming
preferential tariff treatment for a good imported into the United States
under Sec. 10.3003(b) based on the certification issued by the exporter
or producer must maintain, for a minimum of five years after the date of
importation of the good, the certification issued by the exporter or
producer. These records are in addition to any other records that the
importer is required to prepare, maintain, or make available to CBP
under part 163 of this chapter.
(b) Method of maintenance. The records and documents referred to in
paragraph (a) of this section must be maintained by importers as
provided in Sec. 163.5 of this chapter.
[77 FR 59069, Sept. 26, 2012, as amended at 78 FR 60193, Oct. 1, 2013]
Sec. 10.3008 Effect of noncompliance; failure to provide documentation
regarding transshipment.
(a) General. If the importer fails to comply with any requirement
under this subpart, including submission of a complete certification
prepared in accordance with Sec. 10.3004 of this subpart, when
requested, the port director may deny preferential tariff treatment to
the imported good.
(b) Failure to provide documentation regarding transshipment. Where
the requirements for preferential tariff treatment set forth elsewhere
in this subpart are met, the port director nevertheless may deny
preferential tariff treatment to an originating good if the good is
shipped through or transshipped in a country other than a Party to the
CTPA, and the importer of the good does not provide, at the request of
the port director, evidence demonstrating to the satisfaction of the
port director that the conditions set forth in Sec. 10.3025(a) were met.
Export Requirements
Sec. 10.3009 Certification for goods exported to Colombia.
(a) Submission of certification to CBP. Any person who completes and
issues a certification for a good exported from the United States to
Colombia must provide a copy of the certification (written or
electronic) to CBP upon request.
(b) Notification of errors in certification. Any person who
completes and
[[Page 413]]
issues a certification for a good exported from the United States to
Colombia and who has reason to believe that the certification contains
or is based on incorrect information must promptly notify every person
to whom the certification was provided of any change that could affect
the accuracy or validity of the certification. Notification of an
incorrect certification must also be given either in writing or via an
authorized electronic data interchange system to CBP specifying the
correction (see Sec. Sec. 10.3032 and 10.3033).
(c) Maintenance of records--(1) General. Any person who completes
and issues a certification for a good exported from the United States to
Colombia must maintain, for a period of at least five years after the
date the certification was issued, all records and supporting documents
relating to the origin of a good for which the certification was issued,
including the certification or copies thereof and records and documents
associated with:
(i) The purchase, cost, and value of, and payment for, the good;
(ii) The purchase, cost, and value of, and payment for, all
materials, including indirect materials, used in the production of the
good; and
(iii) The production of the good in the form in which the good was
exported.
(2) Method of maintenance. The records referred to in paragraph (c)
of this section must be maintained as provided in Sec. 163.5 of this
chapter.
(3) Availability of records. For purposes of determining compliance
with the provisions of this part, the records required to be maintained
under this section must be stored and made available for examination and
inspection by the port director or other appropriate CBP officer in the
same manner as provided in Part 163 of this chapter.
Post-Importation Duty Refund Claims
Sec. 10.3010 Right to make post-importation claim and refund duties.
Notwithstanding any other available remedy, where a good would have
qualified as an originating good when it was imported into the United
States but no claim for preferential tariff treatment was made, the
importer of that good may file a claim for a refund of any excess duties
at any time within one year after the date of importation of the good in
accordance with the procedures set forth in Sec. 10.3011. Subject to the
provisions of Sec. 10.3008, CBP may refund any excess duties by
liquidation or reliquidation of the entry covering the good in
accordance with Sec. 10.3012(c).
Sec. 10.3011 Filing procedures.
(a) Place of filing. A post-importation claim for a refund must be
filed with the director of the port at which the entry covering the good
was filed. The post-importation claim may be filed by paper or by the
method specified for equivalent reporting via an authorized electronic
data interchange system.
(b) Contents of claim. A post-importation claim for a refund must be
filed by presentation of the following:
(1) A written or electronic declaration or statement stating that
the good was an originating good at the time of importation and setting
forth the number and date of the entry or entries covering the good;
(2) A copy of a written or electronic certification prepared in
accordance with Sec. 10.3004 if a certification forms the basis for the
claim, or other information demonstrating that the good qualifies for
preferential tariff treatment;
(3) A written statement indicating whether the importer of the good
provided a copy of the entry summary or equivalent documentation to any
other person. If such documentation was so provided, the statement must
identify each recipient by name, CBP identification number, and address
and must specify the date on which the documentation was provided; and
(4) A written statement indicating whether any person has filed a
protest relating to the good under any provision of law; and if any such
protest has been filed, the statement must identify the protest by
number and date.
[77 FR 59069, Sept. 26, 2012, as amended at 78 FR 60193, Oct. 1, 2013]
Sec. 10.3012 CBP processing procedures.
(a) Status determination. After receipt of a post-importation claim
made pursuant to Sec. 10.3011, the port director will
[[Page 414]]
determine whether the entry covering the good has been liquidated and,
if liquidation has taken place, whether the liquidation has become
final.
(b) Pending protest or judicial review. If the port director
determines that any protest relating to the good has not been finally
decided, the port director will suspend action on the claim filed under
Sec. 10.3011 until the decision on the protest becomes final. If a
summons involving the tariff classification or dutiability of the good
is filed in the Court of International Trade, the port director will
suspend action on the claim filed under Sec. 10.3011 until judicial
review has been completed.
(c) Allowance of claim--(1) Unliquidated entry. If the port director
determines that a claim for a refund filed under Sec. 10.3011 should be
allowed and the entry covering the good has not been liquidated, the
port director will take into account the claim for refund in connection
with the liquidation of the entry.
(2) Liquidated entry. If the port director determines that a claim
for a refund filed under Sec. 10.3011 should be allowed and the entry
covering the good has been liquidated, whether or not the liquidation
has become final, the entry must be reliquidated in order to effect a
refund of duties under this section. If the entry is otherwise to be
reliquidated based on administrative review of a protest or as a result
of judicial review, the port director will reliquidate the entry taking
into account the claim for refund under Sec. 10.3011.
(d) Denial of claim--(1) General. The port director may deny a claim
for a refund filed under Sec. 10.3011 if the claim was not filed timely,
if the importer has not complied with the requirements of Sec. 10.3008
and 10.3011, or if, following an origin verification under Sec. 10.3026,
the port director determines either that the imported good was not an
originating good at the time of importation or that a basis exists upon
which preferential tariff treatment may be denied under Sec. 10.3026.
(2) Unliquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has not been liquidated, the port director will deny
the claim in connection with the liquidation of the entry, and notice of
the denial and the reason for the denial will be provided to the
importer in writing or via an authorized electronic data interchange
system.
(3) Liquidated entry. If the port director determines that a claim
for a refund filed under this subpart should be denied and the entry
covering the good has been liquidated, whether or not the liquidation
has become final, the claim may be denied without reliquidation of the
entry. If the entry is otherwise to be reliquidated based on
administrative review of a protest or as a result of judicial review,
such reliquidation may include denial of the claim filed under this
subpart. In either case, the port director will provide notice of the
denial and the reason for the denial to the importer in writing or via
an authorized electronic data interchange system.
Rules of Origin
Sec. 10.3013 Definitions.
For purposes of Sec. Sec. 10.3013 through 10.3025:
(a) Adjusted value. ``Adjusted value'' means the value determined in
accordance with Articles 1 through 8, Article 15, and the corresponding
interpretative notes of the Customs Valuation Agreement, adjusted, if
necessary, to exclude:
(1) Any costs, charges, or expenses incurred for transportation,
insurance and related services incident to the international shipment of
the good from the country of exportation to the place of importation;
and
(2) The value of packing materials and containers for shipment as
defined in paragraph (n) of this section;
(b) Class of motor vehicles. ``Class of motor vehicles'' means any
one of the following categories of motor vehicles:
(1) Motor vehicles classified under subheading 8701.20, motor
vehicles for the transport of 16 or more persons classified under
8702.10 or 8702.90, HTSUS, and motor vehicles classified under
subheading under 8702.10, 8704.22, 8704.23, 8704.32, or 8704.90, or
heading 8705 or 8706;
(2) Motor vehicles classified under subheading 8701.10 or
subheadings 8701.30 through 8701.90, HTSUS;
[[Page 415]]
(3) Motor vehicles for the transport of 15 or fewer persons
classified under subheading 8702.10 or 8702.90, HTSUS, and motor
vehicles of subheading 8704.21 or 8704.31, HTSUS; or
(4) Motor vehicles classified under subheadings 8703.21 through
8703.90, HTSUS;
(c) Exporter. ``Exporter'' means a person who exports goods from the
territory of a Party;
(d) Fungible good or material. ``Fungible good or material'' means a
good or material, as the case may be, that is interchangeable with
another good or material for commercial purposes and the properties of
which are essentially identical to such other good or material;
(e) Generally Accepted Accounting Principles. ``Generally Accepted
Accounting Principles'' means the recognized consensus or substantial
authoritative support in the territory of a Party, with respect to the
recording of revenues, expenses, costs, assets, and liabilities, the
disclosure of information, and the preparation of financial statements.
These principles may encompass broad guidelines of general application
as well as detailed standards, practices, and procedures;
(f) Good. ``Good'' means any merchandise, product, article, or
material;
(g) Goods wholly obtained or produced entirely in the territory of
one or both of the Parties. ``Goods wholly obtained or produced entirely
in the territory of one or both of the Parties'' means:
(1) Plants and plant products harvested or gathered in the territory
of one or both of the Parties;
(2) Live animals born and raised in the territory of one or both of
the
Parties;
(3) Goods obtained in the territory of one or both of the Parties
from live animals;
(4) Goods obtained from hunting, trapping, fishing, or aquaculture
conducted in the territory of one or both of the Parties;
(5) Minerals and other natural resources not included in paragraphs
(g)(1) through (g)(4) of this section that are extracted or taken in the
territory of one or both of the Parties;
(6) Fish, shellfish, and other marine life taken from the sea,
seabed, or subsoil outside the territory of the Parties by:
(i) Vessels registered or recorded with Colombia and flying its
flag; or
(ii) Vessels documented under the laws of the United States;
(7) Goods produced on board factory ships from the goods referred to
in paragraph (g)(6) of this section, if such factory ships are:
(i) Registered or recorded with Colombia and fly its flag; or
(ii) Documented under the laws of the United States;
(8) Goods taken by a Party or a person of a Party from the seabed or
subsoil outside territorial waters, if a Party has rights to exploit
such seabed or subsoil;
(9) Goods taken from outer space, provided they are obtained by a
Party or a person of a Party and not processed in the territory of a
non-Party;
(10) Waste and scrap derived from:
(i) Manufacturing or processing operations in the territory of one
or both of the Parties; or
(ii) Used goods collected in the territory of one or both of the
Parties, if such goods are fit only for the recovery of raw materials;
(11) Recovered goods derived in the territory of one or both of the
Parties from used goods, and used in the territory of one or both of the
Parties in the production of remanufactured goods; and
(12) Goods produced in the territory of one or both of the Parties
exclusively from goods referred to in any of paragraphs (g)(1) through
(g)(10) of this section, or from the derivatives of such goods, at any
stage of production;
(h) Indirect Material. ``Indirect material'' means a good used in
the production, testing, or inspection of another good in the territory
of one or both of the Parties but not physically incorporated into that
other good, or a good used in the maintenance of buildings or the
operation of equipment associated with the production of another good,
including:
(1) Fuel and energy;
(2) Tools, dies, and molds;
(3) Spare parts and materials used in the maintenance of equipment
or buildings;
[[Page 416]]
(4) Lubricants, greases, compounding materials, and other materials
used in production or used to operate equipment or buildings;
(5) Gloves, glasses, footwear, clothing, safety equipment, and
supplies;
(6) Equipment, devices, and supplies used for testing or inspecting
the good;
(7) Catalysts and solvents; and
(8) Any other good that is not incorporated into the other good but
the use of which in the production of the other good can reasonably be
demonstrated to be a part of that production.
(i) Material. ``Material'' means a good that is used in the
production of another good, including a part or an ingredient;
(j) Model line. ``Model line'' means a group of motor vehicles
having the same platform or model name;
(k) Net cost. ``Net cost'' means total cost minus sales promotion,
marketing, and after-sales service costs, royalties, shipping and
packing costs, and non-allowable interest costs that are included in the
total cost;
(l) Non-allowable interest costs. ``Non-allowable interest costs''
means interest costs incurred by a producer that exceed 700 basis points
above the applicable official interest rate for comparable maturities of
the Party in which the producer is located;
(m) Non-originating good or non-originating material. ``Non-
originating good'' or ``non-originating material'' means a good or
material, as the case may be, that does not qualify as originating under
General Note 34, HTSUS, or this subpart;
(n) Packing materials and containers for shipment. ``Packing
materials and containers for shipment'' means the goods used to protect
a good during its transportation to the United States, and does not
include the packaging materials and containers in which a good is
packaged for retail sale;
(o) Producer. ``Producer'' means a person who engages in the
production of a good in the territory of a Party;
(p) Production. ``Production'' means growing, mining, harvesting,
fishing, raising, trapping, hunting, manufacturing, processing,
assembling, or disassembling a good;
(q) Reasonably allocate. ``Reasonably allocate'' means to apportion
in a manner that would be appropriate under Generally Accepted
Accounting Principles;
(r) Recovered goods. ``Recovered goods'' means materials in the form
of individual parts that are the result of:
(1) The disassembly of used goods into individual parts; and
(2) The cleaning, inspecting, testing, or other processing that is
necessary to improve such individual parts to sound working condition;
(s) Remanufactured good. ``Remanufactured good'' means an industrial
good assembled in the territory of one or both of the Parties that is
classified in Chapter 84, 85, 87, or 90 or heading 9402, HTSUS, other
than a good classified in heading 8418 or 8516, HTSUS, and that:
(1) Is entirely or partially comprised of recovered goods as defined
in paragraph (r) of this section; and
(2) Has a similar life expectancy and enjoys a factory warranty
similar to such new goods;
(t) Royalties. ``Royalties'' means payments of any kind, including
payments under technical assistance agreements or similar agreements,
made as consideration for the use of, or right to use, any copyright,
literary, artistic, or scientific work, patent, trademark, design,
model, plan, secret formula or process, excluding those payments under
technical assistance agreements or similar agreements that can be
related to specific services such as:
(1) Personnel training, without regard to where performed; and
(2) If performed in the territory of one or both of the Parties,
engineering, tooling, die-setting, software design and similar computer
services;
(u) Sales promotion, marketing, and after-sales service costs.
``Sales promotion, marketing, and after-sales service costs'' means the
following costs related to sales promotion, marketing, and after-sales
service:
(1) Sales and marketing promotion; media advertising; advertising
and market research; promotional and demonstration materials; exhibits;
sales conferences, trade shows and conventions; banners; marketing
displays; free samples; sales, marketing, and after-sales service
literature (product
[[Page 417]]
brochures, catalogs, technical literature, price lists, service manuals,
sales aid information); establishment and protection of logos and
trademarks; sponsorships; wholesale and retail restocking charges;
entertainment;
(2) Sales and marketing incentives; consumer, retailer or wholesaler
rebates; merchandise incentives;
(3) Salaries and wages, sales commissions, bonuses, benefits (for
example, medical, insurance, pension), traveling and living expenses,
membership and professional fees, for sales promotion, marketing, and
after-sales service personnel;
(4) Recruiting and training of sales promotion, marketing, and
after-sales service personnel, and after-sales training of customers'
employees, where such costs are identified separately for sales
promotion, marketing, and after-sales service of goods on the financial
statements or cost accounts of the producer;
(5) Product liability insurance;
(6) Office supplies for sales promotion, marketing, and after-sales
service of goods, where such costs are identified separately for sales
promotion, marketing, and after-sales service of goods on the financial
statements or cost accounts of the producer;
(7) Telephone, mail and other communications, where such costs are
identified separately for sales promotion, marketing, and after-sales
service of goods on the financial statements or cost accounts of the
producer;
(8) Rent and depreciation of sales promotion, marketing, and after-
sales service offices and distribution centers;
(9) Property insurance premiums, taxes, cost of utilities, and
repair and maintenance of sales promotion, marketing, and after-sales
service offices and distribution centers, where such costs are
identified separately for sales promotion, marketing, and after-sales
service of goods on the financial statements or cost accounts of the
producer; and
(10) Payments by the producer to other persons for warranty repairs;
(v) Self-produced material. ``Self-produced material'' means an
originating material that is produced by a producer of a good and used
in the production of that good;
(w) Shipping and packing costs. ``Shipping and packing costs'' means
the costs incurred in packing a good for shipment and shipping the good
from the point of direct shipment to the buyer, excluding the costs of
preparing and packaging the good for retail sale;
(x) Total cost. ``Total cost'' means all product costs, period
costs, and other costs for a good incurred in the territory of one or
both of the Parties. Product costs are costs that are associated with
the production of a good and include the value of materials, direct
labor costs, and direct overhead. Period costs are costs, other than
product costs, that are expensed in the period in which they are
incurred, such as selling expenses and general and administrative
expenses. Other costs are all costs recorded on the books of the
producer that are not product costs or period costs, such as interest.
Total cost does not include profits that are earned by the producer,
regardless of whether they are retained by the producer or paid out to
other persons as dividends, or taxes paid on those profits, including
capital gains taxes;
(y) Used. ``Used'' means utilized or consumed in the production of
goods; and
(z) Value. ``Value'' means the value of a good or material for
purposes of calculating customs duties or for purposes of applying this
subpart.
[77 FR 59069, Sept. 26, 2012, as amended at 78 FR 60193, Oct. 1, 2013]
Sec. 10.3014 Originating goods.
Except as otherwise provided in this subpart and General Note 34,
HTSUS, a good imported into the customs territory of the United States
will be considered an originating good under the CTPA only if:
(a) The good is wholly obtained or produced entirely in the
territory of one or both of the Parties;
(b) The good is produced entirely in the territory of one or both of
the Parties and:
(1) Each non-originating material used in the production of the good
undergoes an applicable change in tariff classification specified in
General Note 34, HTSUS, and the good satisfies all other applicable
requirements of General Note 34, HTSUS; or
[[Page 418]]
(2) The good otherwise satisfies any applicable regional value
content or other requirements specified in General Note 34, HTSUS, and
satisfies all other applicable requirements of General Note 34, HTSUS;
or
(c) The good is produced entirely in the territory of one or both of
the Parties exclusively from originating materials.
Sec. 10.3015 Regional value content.
(a) General. Except for goods to which paragraph (d) of this section
applies, where General Note 34, HTSUS, sets forth a rule that specifies
a regional value content test for a good, the regional value content of
such good must be calculated by the importer, exporter, or producer of
the good on the basis of the build-down method described in paragraph
(b) of this section or the build-up method described in paragraph (c) of
this section.
(b) Build-down method. Under the build-down method, the regional
value content must be calculated on the basis of the formula RVC = ((AV-
VNM)/AV) x 100, where RVC is the regional value content, expressed as a
percentage; AV is the adjusted value of the good; and VNM is the value
of non-originating materials that are acquired and used by the producer
in the production of the good, but does not include the value of a
material that is self-produced.
(c) Build-up method. Under the build-up method, the regional value
content must be calculated on the basis of the formula RVC = (VOM/AV) x
100, where RVC is the regional value content, expressed as a percentage;
AV is the adjusted value of the good; and VOM is the value of
originating materials that are acquired or self-produced and used by the
producer in the production of the good.
(d) Special rule for certain automotive goods--(1) General. Where
General Note 34, HTSUS, sets forth a rule that specifies a regional
value content test for an automotive good provided for in any of
subheadings 8407.31 through 8407.34 (engines), subheading 8408.20
(diesel engine for vehicles), heading 8409 (parts of engines), or
headings 8701 through 8705 (motor vehicles), and headings 8706
(chassis), 8707 (bodies), and 8708 (motor vehicle parts), HTSUS, the
regional value content of such good shall be calculated by the importer,
exporter, or producer of the good on the basis of the net cost method
described in paragraph (d)(2) of this section.
(2) Net cost method. Under the net cost method, the regional value
content is calculated on the basis of the formula RVC = ((NC-VNM)/NC) x
100, where RVC is the regional value content, expressed as a percentage;
NC is the net cost of the good; and VNM is the value of non-originating
materials that are acquired and used by the producer in the production
of the good, but does not include the value of a material that is self-
produced. Consistent with the provisions regarding allocation of costs
set out in Generally Accepted Accounting Principles, the net cost of the
good must be determined by:
(i) Calculating the total cost incurred with respect to all goods
produced by the producer of the automotive good, subtracting any sales
promotion, marketing, and after-sales service costs, royalties, shipping
and packing costs, and non-allowable interest costs that are included in
the total cost of all such goods, and then reasonably allocating the
resulting net cost of those goods to the automotive good;
(ii) Calculating the total cost incurred with respect to all goods
produced by the producer of the automotive good, reasonably allocating
the total cost to the automotive good, and then subtracting any sales
promotion, marketing, and after-sales service costs, royalties, shipping
and packing costs, and non-allowable interest costs that are included in
the portion of the total cost allocated to the automotive good; or
(iii) Reasonably allocating each cost that forms part of the total
costs incurred with respect to the automotive good so that the aggregate
of these costs does not include any sales promotion, marketing, and
after-sales service costs, royalties, shipping and packing costs, or
non-allowable interest costs.
(3) Motor vehicles--(i) General. For purposes of calculating the
regional value content under the net cost method for an automotive good
that is a motor vehicle provided for in any of
[[Page 419]]
headings 8701 through 8705, an importer, exporter, or producer may
average the amounts calculated under the formula set forth in paragraph
(d)(2) of this section over the producer's fiscal year using any one of
the categories described in paragraph (d)(3)(ii) of this section either
on the basis of all motor vehicles in the category or those motor
vehicles in the category that are exported to the territory of one or
both Parties.
(ii) Categories. The categories referred to in paragraph (d)(3)(i)
of this section are as follows:
(A) The same model line of motor vehicles, in the same class of
vehicles, produced in the same plant in the territory of a Party, as the
motor vehicle for which the regional value content is being calculated;
(B) The same class of motor vehicles, and produced in the same plant
in the territory of a Party, as the motor vehicle for which the regional
value content is being calculated; and
(C) The same model line of motor vehicles produced in the territory
of a Party as the motor vehicle for which the regional value content is
being calculated.
(4) Other automotive goods--(i) General. For purposes of calculating
the regional value content under the net cost method for automotive
goods provided for in any of subheadings 8407.31 through 8407.34,
subheading 8408.20, heading 8409, 8706, 8707, or 8708, HTSUS, that are
produced in the same plant, an importer, exporter, or producer may:
(A) Average the amounts calculated under the formula set forth in
paragraph (d)(2) of this section over any of the following: the fiscal
year, or any quarter or month, of the motor vehicle producer to whom the
automotive good is sold, or the fiscal year, or any quarter or month, of
the producer of the automotive good, provided the goods were produced
during the fiscal year, quarter, or month that is the basis for the
calculation;
(B) Determine the average referred to in paragraph (d)(4)(i)(A) of
this section separately for such goods sold to one or more motor vehicle
producers; or
(C) Make a separate determination under paragraph (d)(4)(i)(A) or
(d)(4)(i)(B) of this section for automotive goods that are exported to
the territory of Colombia or the United States.
(ii) Duration of use. A person selecting an averaging period of one
month or quarter under paragraph (d)(4)(i)(A) of this section must
continue to use that method for that category of automotive goods
throughout the fiscal year.
Sec. 10.3016 Value of materials.
(a) Calculating the value of materials. For purposes of calculating
the regional value content of a good under General Note 34, HTSUS, and
for purposes of applying the de minimis (see Sec. 10.3018) provisions of
General Note 34, HTSUS, the value of a material is:
(1) In the case of a material imported by the producer of the good,
the adjusted value of the material;
(2) In the case of a material acquired by the producer in the
territory where the good is produced, the value, determined in
accordance with Articles 1 through 8, Article 15, and the corresponding
interpretative notes of the Customs Valuation Agreement, of the
material, i.e., in the same manner as for imported goods, with
reasonable modifications to the provisions of the Customs Valuation
Agreement as may be required due to the absence of an importation by the
producer (including, but not limited to, treating a domestic purchase by
the producer as if it were a sale for export to the country of
importation); or
(3) In the case of a self-produced material, the sum of:
(i) All expenses incurred in the production of the material,
including general expenses; and
(ii) An amount for profit equivalent to the profit added in the
normal course of trade.
(b) Examples. The following examples illustrate application of the
principles set forth in paragraph (a)(2) of this section:
Example 1. A producer in Colombia purchases material x from an
unrelated seller in Colombia for $100. Under the provisions of Article 1
of the Customs Valuation Agreement, transaction value is the price
actually paid or payable for the goods when sold for export to the
country of importation adjusted in accordance with the provisions of
Article 8. In order to apply Article 1 to this
[[Page 420]]
domestic purchase by the producer, such purchase is treated as if it
were a sale for export to the country of importation. Therefore, for
purposes of determining the adjusted value of material x, Article 1
transaction value is the price actually paid or payable for the goods
when sold to the producer in Colombia ($100), adjusted in accordance
with the provisions of Article 8. In this example, it is irrelevant
whether material x was initially imported into Colombia by the seller
(or by anyone else). So long as the producer acquired material x in
Colombia, it is intended that the value of material x will be determined
on the basis of the price actually paid or payable by the producer
adjusted in accordance with the provisions of Article 8.
Example 2. Same facts as in Example 1, except that the sale between
the seller and the producer is subject to certain restrictions that
preclude the application of Article 1. Under Article 2 of the Customs
Valuation Agreement, the value is the transaction value of identical
goods sold for export to the same country of importation and exported at
or about the same time as the goods being valued. In order to permit the
application of Article 2 to the domestic acquisition by the producer, it
should be modified so that the value is the transaction value of
identical goods sold within Colombia at or about the same time the goods
were sold to the producer in Colombia. Thus, if the seller of material x
also sold an identical material to another buyer in Colombia without
restrictions, that other sale would be used to determine the adjusted
value of material x.
(c) Permissible additions to, and deductions from, the value of
materials--(1) Additions to originating materials. For originating
materials, the following expenses, if not included under paragraph (a)
of this section, may be added to the value of the originating material:
(i) The costs of freight, insurance, packing, and all other costs
incurred in transporting the material within or between the territory of
one or both of the Parties to the location of the producer;
(ii) Duties, taxes, and customs brokerage fees on the material paid
in the territory of one or both of the Parties, other than duties and
taxes that are waived, refunded, refundable, or otherwise recoverable,
including credit against duty or tax paid or payable; and
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or byproducts.
(2) Deductions from non-originating materials. For non-originating
materials, if included under paragraph (a) of this section, the
following expenses may be deducted from the value of the non-originating
material:
(i) The costs of freight (``cost of freight'' includes the costs of
all types of freight, including in-land freight incurred within a
Party's territory, regardless of the mode of transportation), insurance,
packing, and all other costs incurred in transporting the material
within or between the territory of one or both of the Parties to the
location of the producer;
(ii) Duties, taxes, and customs brokerage fees on the material paid
in the territory of one or both of the Parties, other than duties and
taxes that are waived, refunded, refundable, or otherwise recoverable,
including credit against duty or tax paid or payable;
(iii) The cost of waste and spoilage resulting from the use of the
material in the production of the good, less the value of renewable
scrap or by-products; and
(iv) The cost of originating materials used in the production of the
non-originating material in the territory of one or both of the Parties.
(d) Accounting method. Any cost or value referenced in General Note
34, HTSUS, and this subpart, must be recorded and maintained in
accordance with the Generally Accepted Accounting Principles applicable
in the territory of the Party in which the good is produced.
[77 FR 59069, Sept. 26, 2012, as amended at 78 FR 60193, Oct. 1, 2013]
Sec. 10.3017 Accumulation.
(a) Originating materials from the territory of a Party that are
used in the production of a good in the territory of another Party will
be considered to originate in the territory of that other Party.
(b) A good that is produced in the territory of one or both of the
Parties by one or more producers is an originating good if the good
satisfies the requirements of Sec. 10.3014 and all other applicable
requirements of General Note 34, HTSUS.
[[Page 421]]
Sec. 10.3018 De minimis.
(a) General. Except as provided in paragraphs (b) and (c) of this
section, a good that does not undergo a change in tariff classification
pursuant to General Note 34, HTSUS, is an originating good if:
(1) The value of all non-originating materials used in the
production of the good that do not undergo the applicable change in
tariff classification does not exceed 10 percent of the adjusted value
of the good;
(2) The value of the non-originating materials described in
paragraph (a)(1) of this section is included in the value of non-
originating materials for any applicable regional value content
requirement for the good under General Note 34, HTSUS; and
(3) The good meets all other applicable requirements of General Note
34, HTSUS.
(b) Exceptions. Paragraph (a) of this section does not apply to:
(1) A non-originating material provided for in Chapter 4, HTSUS, or
a non-originating dairy preparation containing over 10 percent by weight
of milk solids provided for in subheading 1901.90 or 2106.90, HTSUS,
that is used in the production of a good provided for in Chapter 4,
HTSUS;
(2) A non-originating material provided for in Chapter 4, HTSUS, or
a non-originating dairy preparation containing over 10 percent by weight
of milk solids provided for in subheading 1901.90, HTSUS, which is used
in the production of the following goods:
(i) Infant preparations containing over 10 percent by weight of milk
solids provided for in subheading 1901.10, HTSUS;
(ii) Mixes and doughs, containing over 25 percent by weight of
butterfat, not put up for retail sale, provided for in subheading
1901.20, HTSUS;
(iii) Dairy preparations containing over 10 percent by weight of
milk solids provided for in subheading 1901.90 or 2106.90, HTSUS;
(iv) Goods provided for in heading 2105, HTSUS;
(v) Beverages containing milk provided for in subheading 2202.90,
HTSUS; or
(vi) Animal feeds containing over 10 percent by weight of milk
solids provided for in subheading 2309.90, HTSUS;
(3) A non-originating material provided for in heading 0805, HTSUS,
or any of subheadings 2009.11 through 2009.39, HTSUS, that is used in
the production of a good provided for in any of subheadings 2009.11
through 2009.39, HTSUS, or in fruit or vegetable juice of any single
fruit or vegetable, fortified with minerals or vitamins, concentrated or
unconcentrated, provided for in subheading 2106.90 or 2202.90, HTSUS;
(4) A non-originating material provided for in heading 0901 or 2101,
HTSUS, that is used in the production of a good provided for in heading
0901 or 2101, HTSUS;
(5) A non-originating material provided for in headings 1501 through
1508, HTSUS, or headings 1511 through 1515, HTSUS;
(6) A non-originating material provided for in heading 1701, HTSUS,
that is used in the production of a good provided for in any of headings
1701 through 1703, HTSUS;
(7) A non-originating material provided for in Chapter 17, HTSUS,
that is used in the production of a good provided for in subheading
1806.10, HTSUS; or
(8) Except as provided in paragraphs (b)(1) through (b)(7) of this
section and General Note 34, HTSUS, a non-originating material used in
the production of a good provided for in any of Chapters 1 through 24,
HTSUS, unless the non-originating material is provided for in a
different subheading than the good for which origin is being determined
under this subpart.
(c) Textile and apparel goods--(1) General. Except as provided in
paragraph (c)(2) of this section, a textile or apparel good that is not
an originating good because certain fibers or yarns used in the
production of the component of the good that determines the tariff
classification of the good do not undergo an applicable change in tariff
classification set out in General Note 34, HTSUS, will nevertheless be
considered to be an originating good if:
(i) The total weight of all such fibers or yarns in that component
is not more
[[Page 422]]
than 10 percent of the total weight of that component; or
(ii) The yarns are nylon filament yarns (other than elastomeric
yarns) that are provided for in subheading 5402.11.30, 5402.11.60,
5402.19.30, 5402.19.60, 5402.31.30, 5402.31.60, 5402.32.30, 5402.32.60,
5402.45.10, 5402.45.90, 5402.51.00, or 5402.61.00, HTSUS, and that are
products of Canada, Mexico, or Israel.
(2) Exception for goods containing elastomeric yarns. A textile or
apparel good containing elastomeric yarns (excluding latex) in the
component of the good that determines the tariff classification of the
good will be considered an originating good only if such yarns are
wholly formed in the territory of a Party. For purposes of this
paragraph, ``wholly formed'' means that all the production processes and
finishing operations, starting with the extrusion of all filaments,
strips, films, or sheets, or the spinning of all fibers into yarn, or
both, and ending with a finished yarn or plied yarn, took place in the
territory of a Party.
(3) Yarn, fabric, or fiber. For purposes of paragraph (c) of this
section, in the case of a textile or apparel good that is a yarn,
fabric, or fiber, the term ``component of the good that determines the
tariff classification of the good'' means all of the fibers in the good.
Sec. 10.3019 Fungible goods and materials.
(a) General. A person claiming that a fungible good or material is
an originating good may base the claim either on the physical
segregation of the fungible good or material or by using an inventory
management method with respect to the fungible good or material. For
purposes of this section, the term ``inventory management method''
means:
(1) Averaging;
(2) ``Last-in, first-out;''
(3) ``First-in, first-out;'' or
(4) Any other method that is recognized in the Generally Accepted
Accounting Principles of the Party in which the production is performed
or otherwise accepted by that country.
(b) Duration of use. A person selecting an inventory management
method under paragraph (a) of this section for a particular fungible
good or material must continue to use that method for that fungible good
or material throughout the fiscal year of that person.
Sec. 10.3020 Accessories, spare parts, or tools.
(a) General. Accessories, spare parts, or tools that are delivered
with a good and that form part of the good's standard accessories, spare
parts, or tools will be treated as originating goods if the good is an
originating good, and will be disregarded in determining whether all the
non-originating materials used in the production of the good undergo an
applicable change in tariff classification specified in General Note 34,
HTSUS, provided that:
(1) The accessories, spare parts, or tools are classified with, and
not invoiced separately from, the good, regardless of whether they are
specified or separately identified in the invoice for the good; and
(2) The quantities and value of the accessories, spare parts, or
tools are customary for the good.
(b) Regional value content. If the good is subject to a regional
value content requirement, the value of the accessories, spare parts, or
tools is taken into account as originating or non-originating materials,
as the case may be, in calculating the regional value content of the
good under Sec. 10.3015.
Sec. 10.3021 Goods classifiable as goods put up in sets.
Notwithstanding the specific rules set forth in General Note 34,
HTSUS, goods classifiable as goods put up in sets for retail sale as
provided for in General Rule of Interpretation 3, HTSUS, will not be
considered to be originating goods unless:
(a) Each of the goods in the set is an originating good; or
(b) The total value of the non-originating goods in the set does not
exceed;
(1) In the case of textile or apparel goods, 10 percent of the
adjusted value of the set; or
(2) In the case of a good other than a textile or apparel good, 15
percent of the adjusted value of the set.
[[Page 423]]
Sec. 10.3022 Retail packaging materials and containers.
(a) Effect on tariff shift rule. Packaging materials and containers
in which a good is packaged for retail sale, if classified with the good
for which preferential tariff treatment under the CTPA is claimed, will
be disregarded in determining whether all non-originating materials used
in the production of the good undergo the applicable change in tariff
classification set out in General Note 34, HTSUS.
(b) Effect on regional value content calculation. If the good is
subject to a regional value content requirement, the value of such
packaging materials and containers will be taken into account as
originating or non-originating materials, as the case may be, in
calculating the regional value content of the good.
Example 1. Colombian Producer A of good C imports 100 non-
originating blister packages to be used as retail packaging for good C.
As provided in Sec. 10.3016(a)(1), the value of the blister packages is
their adjusted value, which in this case is $10. Good C has a regional
value content requirement. The United States importer of good C decides
to use the build-down method, RVC=((AV-VNM)/AV) x 100 (see
Sec. 10.3015(b)), in determining whether good C satisfies the regional
value content requirement. In applying this method, the non-originating
blister packages are taken into account as non-originating. As such,
their $10 adjusted value is included in the VNM, value of non-
originating materials, of good C.
Example 2. Same facts as in Example 1, except that the blister
packages are originating. In this case, the adjusted value of the
originating blister packages would not be included as part of the VNM of
good C under the build-down method. However, if the U.S. importer had
used the build-up method, RVC=(VOM/AV) x 100 (see Sec. 10.3015(c)), the
adjusted value of the blister packaging would be included as part of the
VOM, value of originating materials.
Sec. 10.3023 Packing materials and containers for shipment.
(a) Effect on tariff shift rule. Packing materials and containers
for shipment, as defined in Sec. 10.3013(n), are to be disregarded in
determining whether the non-originating materials used in the production
of the good undergo an applicable change in tariff classification set
out in General Note 34, HTSUS. Accordingly, such materials and
containers are not required to undergo the applicable change in tariff
classification even if they are non-originating.
(b) Effect on regional value content calculation. Packing materials
and containers for shipment, as defined in Sec. 10.3013(n), are to be
disregarded in determining the regional value content of a good imported
into the United States. Accordingly, in applying the build-down, build-
up, or net cost method for determining the regional value content of a
good imported into the United States, the value of such packing
materials and containers for shipment (whether originating or non-
originating) is disregarded and not included in AV, adjusted value, VNM,
value of non-originating materials, VOM, value of originating materials,
or NC, net cost of a good.
Example. Colombian producer A produces good C. Producer A ships good
C to the United States in a shipping container that it purchased from
Company B in Colombia. The shipping container is originating. The value
of the shipping container determined under section Sec. 10.3016(a)(2) is
$3. Good C is subject to a regional value content requirement. The
transaction value of good C is $100, which includes the $3 shipping
container. The U.S. importer decides to use the build-up method,
RVC=(VOM/AV) x 100 (see Sec. 10.3015(c)), in determining whether good C
satisfies the regional value content requirement. In determining the AV,
adjusted value, of good C imported into the U.S., paragraph (b) of this
section and the definition of AV require a $3 deduction for the value of
the shipping container. Therefore, the AV is $97 ($100-$3). In addition,
the value of the shipping container is disregarded and not included in
the VOM, value of originating materials.
Sec. 10.3024 Indirect materials.
An indirect material, as defined in Sec. 10.3013(h), will be
considered to be an originating material without regard to where it is
produced.
Example. Colombian Producer A produces good C using non-originating
material B. Producer A imports non-originating rubber gloves for use by
workers in the production of good C. Good C is subject to a tariff shift
requirement. As provided in Sec. 10.3014(b)(1) and General Note 34, each
of the non-originating materials in good C must undergo the specified
change in tariff classification in order for good C to be considered
originating. Although non-originating material B must undergo the
applicable tariff shift in order for
[[Page 424]]
good C to be considered originating, the rubber gloves do not because
they are indirect materials and are considered originating without
regard to where they are produced.
Sec. 10.3025 Transit and transshipment.
(a) General. A good that has undergone production necessary to
qualify as an originating good under Sec. 10.3014 will not be considered
an originating good if, subsequent to that production, the good:
(1) Undergoes further production or any other operation outside the
territories of the Parties, other than unloading, reloading, or any
other operation necessary to preserve the good in good condition or to
transport the good to the territory of a Party; or
(2) Does not remain under the control of customs authorities in the
territory of a non-Party.
(b) Documentary evidence. An importer making a claim that a good is
originating may be required to demonstrate, to CBP's satisfaction, that
the conditions and requirements set forth in paragraph (a) of this
section were met. An importer may demonstrate compliance with this
section by submitting documentary evidence. Such evidence may include,
but is not limited to, bills of lading, airway bills, packing lists,
commercial invoices, receiving and inventory records, and customs entry
and exit documents.
Origin Verifications and Determinations
Sec. 10.3026 Verification and justification of claim for preferential
tariff treatment.
(a) Verification. A claim for preferential tariff treatment made
under Sec. 10.3003(b) or Sec. 10.3011, including any statements or other
information submitted to CBP in support of the claim, will be subject to
such verification as the port director deems necessary. In the event
that the port director is provided with insufficient information to
verify or substantiate the claim, or the port director finds a pattern
of conduct, indicating that an importer, exporter, or producer has
provided false or unsupported declarations or certifications, or the
exporter or producer fails to consent to a verification visit, the port
director may deny the claim for preferential treatment. A verification
of a claim for preferential tariff treatment under CTPA for goods
imported into the United States may be conducted by means of one or more
of the following:
(1) Written requests for information from the importer, exporter, or
producer;
(2) Written questionnaires to the importer, exporter, or producer;
(3) Visits to the premises of the exporter or producer in the
territory of Colombia, to review the records of the type referred to in
Sec. 10.3009(c)(1) or to observe the facilities used in the production
of the good, in accordance with the framework that the Parties develop
for conducting verifications; and
(4) Such other procedures to which the Parties may agree.
(b) Applicable accounting principles. When conducting a verification
of origin to which Generally Accepted Accounting Principles may be
relevant, CBP will apply and accept the Generally Accepted Accounting
Principles applicable in the country of production.
Sec. 10.3027 Special rule for verifications in Colombia of U.S. imports
of textile and apparel goods.
(a) Procedures to determine whether a claim of origin is accurate--
(1) General. For the purpose of determining that a claim of origin for a
textile or apparel good is accurate, CBP may request that the Government
of Colombia conduct a verification, regardless of whether a claim is
made for preferential tariff treatment.
(2) Actions during a verification. While a verification under this
paragraph is being conducted, CBP, if directed by the President, may
take appropriate action, which may include:
(i) Suspending the application of preferential tariff treatment to
the textile or apparel good for which a claim for preferential tariff
treatment has been made, if CBP determines there is insufficient
information to support the claim;
(ii) Denying the application of preferential tariff treatment to the
textile or apparel good for which a claim for preferential tariff
treatment has been made that is the subject of a
[[Page 425]]
verification if CBP determines that a person has provided incorrect
information to support the claim;
(iii) Detention of any textile or apparel good exported or produced
by the person subject to the verification if CBP determines there is
insufficient information to determine the country of origin of any such
good; and
(iv) Denying entry to any textile or apparel good exported or
produced by the person subject to the verification if CBP determines
that the person has provided incorrect information as to the country of
origin of any such good.
(3) Actions following a verification. On completion of a
verification under this paragraph, CBP, if directed by the President,
may take appropriate action which may include:
(i) Denying the application of preferential tariff treatment to the
textile or apparel good for which a claim for preferential tariff
treatment has been made that is the subject of a verification if CBP
determines there is insufficient information, or that the person has
provided incorrect information, to support the claim; and
(ii) Denying entry to any textile or apparel good exported or
produced by the person subject to the verification if CBP determines
there is insufficient information to determine, or that the person has
provided incorrect information as to, the country of origin of any such
good.
(b) Procedures to determine compliance with applicable customs laws
and regulations of the United States--(1) General. For purposes of
enabling CBP to determine that an exporter or producer is complying with
applicable customs laws, regulations, and procedures regarding trade in
textile and apparel goods, CBP may request that the government of
Colombia conduct a verification.
(2) Actions during a verification. While a verification under this
paragraph is being conducted, CBP, if directed by the President, may
take appropriate action which may include:
(i) Suspending the application of preferential tariff treatment to
any textile or apparel good exported or produced by the person subject
to the verification if CBP determines there is insufficient information
to support a claim for preferential tariff treatment with respect to any
such good;
(ii) Denying the application of preferential tariff treatment to any
textile or apparel good exported or produced by the person subject to
the verification if CBP determines that the person has provided
incorrect information to support a claim for preferential tariff
treatment with respect to any such good;
(iii) Detention of any textile or apparel good exported or produced
by the person subject to the verification if CBP determines there is
insufficient information to determine the country of origin of any such
good; and
(iv) Denying entry to any textile or apparel good exported or
produced by the person subject to the verification if CBP determines
that the person has provided incorrect information as to the country of
origin of any such good.
(3) Actions following a verification. On completion of a
verification under this paragraph, CBP, if directed by the President,
may take appropriate action which may include:
(i) Denying the application of preferential tariff treatment to any
textile or apparel good exported or produced by the person subject to
the verification if CBP determines there is insufficient information, or
that the person has provided incorrect information, to support a claim
for preferential tariff treatment with respect to any such good; and
(ii) Denying entry to any textile or apparel good exported or
produced by the person subject to the verification if CBP determines
there is insufficient information to determine, or that the person has
provided incorrect information as to, the country of origin of any such
good.
(c) Action by U.S. officials in conducting a verification abroad.
U.S. officials may undertake or assist in a verification under this
section by conducting visits in the territory of Colombia, along with
the competent authorities of Colombia, to the premises of an exporter,
producer, or any other person involved in the movement of textile or
apparel goods from Colombia to the United States.
[[Page 426]]
(d) Denial of permission to conduct a verification. If a person does
not consent to a verification under this section, CBP may deny
preferential tariff treatment to the type of goods of the person that
would have been the subject of the verification.
(e) Continuation of appropriate action. CBP may continue to take
appropriate action under paragraph (a) or (b) of this section until it
receives information sufficient to enable it to make the determination
described in paragraphs (a) and (b) of this section.
[77 FR 59069, Sept. 26, 2012, as amended at 78 FR 60193, Oct. 1, 2013]
Sec. 10.3028 Issuance of negative origin determinations.
If, as a result of an origin verification initiated under this
subpart, CBP determines that a claim for preferential tariff treatment
under this subpart should be denied, it will issue a determination in
writing or via an authorized electronic data interchange system to the
importer that sets forth the following:
(a) A description of the good that was the subject of the
verification together with the identifying numbers and dates of the
import documents pertaining to the good;
(b) A statement setting forth the findings of fact made in
connection with the verification and upon which the determination is
based; and
(c) With specific reference to the rules applicable to originating
goods as set forth in General Note 34, HTSUS, and in Sec. Sec. 10.3013
through 10.3025, the legal basis for the determination.
Sec. 10.3029 Repeated false or unsupported preference claims.
Where verification or other information reveals a pattern of conduct
by an importer, exporter, or producer of false or unsupported
representations that goods qualify under the CTPA rules of origin set
forth in General Note 34, HTSUS, CBP may suspend preferential tariff
treatment under the CTPA to entries of identical goods covered by
subsequent representations by that importer, exporter, or producer until
CBP determines that representations of that person are in conformity
with General Note 34, HTSUS.
Penalties
Sec. 10.3030 General.
Except as otherwise provided in this subpart, all criminal, civil,
or administrative penalties which may be imposed on U.S. importers,
exporters, and producers for violations of the customs and related laws
and regulations will also apply to U.S. importers, exporters, and
producers for violations of the laws and regulations relating to the
CTPA.
Sec. 10.3031 Corrected claim or certification by importers.
An importer who makes a corrected claim under Sec. 10.3003(c) will
not be subject to civil or administrative penalties under 19 U.S.C. 1592
for having made an incorrect claim or having submitted an incorrect
certification, provided that the corrected claim is promptly and
voluntarily made.
Sec. 10.3032 Corrected certification by U.S. exporters or producers.
Civil or administrative penalties provided for under 19 U.S.C. 1592
will not be imposed on an exporter or producer in the United States who
promptly and voluntarily provides written notification pursuant to
Sec. 10.3009(b) with respect to the making of an incorrect
certification.
Sec. 10.3033 Framework for correcting claims or certifications.
(a) ``Promptly and voluntarily'' defined. Except as provided for in
paragraph (b) of this section, for purposes of this subpart, the making
of a corrected claim or certification by an importer or the providing of
written notification of an incorrect certification by an exporter or
producer in the United States will be deemed to have been done promptly
and voluntarily if:
(1)(i) Done before the commencement of a formal investigation,
within the meaning of Sec. 162.74(g) of this chapter; or
(ii) Done before any of the events specified in Sec. 162.74(i) of
this chapter have occurred; or
(iii) Done within 30 days after the importer, exporter, or producer
initially becomes aware that the claim or certification is incorrect;
and
[[Page 427]]
(2) Accompanied by a statement setting forth the information
specified in paragraph (c) of this section; and
(3) In the case of a corrected claim or certification by an
importer, accompanied or followed by a tender of any actual loss of
duties and merchandise processing fees, if applicable, in accordance
with paragraph (d) of this section.
(b) Exception in cases involving fraud or subsequent incorrect
claims--(1) Fraud. Notwithstanding paragraph (a) of this section, a
person who acted fraudulently in making an incorrect claim or
certification may not make a voluntary correction of that claim or
certification. For purposes of this paragraph, the term ``fraud'' will
have the meaning set forth in paragraph (C)(3) of appendix B to Part 171
of this chapter.
(2) Subsequent incorrect claims. An importer who makes one or more
incorrect claims after becoming aware that a claim involving the same
merchandise and circumstances is invalid may not make a voluntary
correction of the subsequent claims pursuant to paragraph (a) of this
section.
(c) Statement. For purposes of this subpart, each corrected claim or
certification must be accompanied by a statement, submitted in writing
or via an authorized electronic data interchange system, which:
(1) Identifies the class or kind of good to which the incorrect
claim or certification relates;
(2) In the case of a corrected claim or certification by an
importer, identifies each affected import transaction, including each
port of importation and the approximate date of each importation;
(3) Specifies the nature of the incorrect statements or omissions
regarding the claim or certification; and
(4) Sets forth, to the best of the person's knowledge, the true and
accurate information or data which should have been covered by or
provided in the claim or certification, and states that the person will
provide any additional information or data which is unknown at the time
of making the corrected claim or certification within 30 days or within
any extension of that 30-day period as CBP may permit in order for the
person to obtain the information or data.
(d) Tender of actual loss of duties. A U.S. importer who makes a
corrected claim must tender any actual loss of duties at the time of
making the corrected claim, or within 30 days thereafter, or within any
extension of that 30-day period as CBP may allow in order for the
importer to obtain the information or data necessary to calculate the
duties owed.
Goods Returned After Repair or Alteration
Sec. 10.3034 Goods re-entered after repair or alteration in Colombia.
(a) General. This section sets forth the rules which apply for
purposes of obtaining duty-free treatment on goods returned after repair
or alteration in Colombia as provided for in subheadings 9802.00.40 and
9802.00.50, HTSUS. Goods returned after having been repaired or altered
in Colombia, regardless of whether such repair or alteration could be
performed in the territory of the Party from which the good was exported
for repair or alteration, are eligible for duty-free treatment, provided
that the requirements of this section are met. For purposes of this
section, ``repairs or alterations'' means restoration, addition,
renovation, re-dyeing, cleaning, re-sterilizing, or other treatment that
does not destroy the essential characteristics of, or create a new or
commercially different good from, the good exported from the United
States. The term ``repairs or alterations'' does not include an
operation or process that transforms an unfinished good into a finished
good.
(b) Goods not eligible for duty-free treatment after repair or
alteration. The duty-free treatment referred to in paragraph (a) of this
section will not apply to goods which, in their condition as exported
from the United States to Colombia, are incomplete for their intended
use and for which the processing operation performed in Colombia
constitutes an operation that is performed as a matter of course in the
preparation or manufacture of finished goods.
[[Page 428]]
(c) Documentation. The provisions of paragraphs (a), (b), and (c) of
Sec. 10.8, relating to the documentary requirements for goods entered
under subheading 9802.00.40 or 9802.00.50, HTSUS, will apply in
connection with the entry of goods which are returned from Colombia
after having been exported for repairs or alterations and which are
claimed to be duty free.
[77 FR 59069, Sept. 26, 2012, as amended at 78 FR 60193, Oct. 1, 2013]
PART 11_PACKING AND STAMPING; MARKING
Packing and Stamping
Sec.
11.1 Cigars, cigarettes, medicinal preparations, and perfumery.
11.2 Manufactured tobacco.
11.2a Release from Customs custody without payment of tax on cigars,
cigarettes and cigarette papers and tubes.
11.3 Package and notice requirements for cigars and cigarettes; package
requirements for cigarette papers and tubes.
11.5 [Reserved]
11.6 Distilled spirits, wines, and malt liquors in bulk.
11.7 Distilled spirits and other alcoholic beverages imported in
bottles and similar containers; regulations of the Bureau of
Alcohol, Tobacco and Firearms.
Marking
11.9 Special marking on certain articles.
11.12 Labeling of wool products to indicate fiber content.
11.12a Labeling of fur products to indicate composition.
11.12b Labeling textile fiber products.
11.13 False designations of origin and false descriptions; false
marking of articles of gold or silver.
Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1202 (General Note 3(i) and
(j), Harmonized Tariff Schedule of the United States), 1624.
Packing and Stamping
Sec. 11.1 Cigars, cigarettes, medicinal preparations, and perfumery.
(a) All cigars and cigarettes imported into the United States,
except importations by mail and in baggage, shall be placed in the
public stores or in a designated bonded warehouse to remain until
inspected, weighed, and repacked, if necessary, under the Customs and
internal-revenue laws. However, if the invoice and entry presented
specify all of the information necessary for prompt determination of the
estimate duty and tax on the packages of cigars and cigarettes covered
thereby, the port director may permit designation of less than the
entire importation for examination.
(b) After the cigars and cigarettes have been examined, weighed, and
appraised, before release the inspecting officer shall verify that they
are in properly constructed packages, conforming to the requirements of
the regulations of the Bureau of Alcohol, Tobacco and Firearms, bearing
a legible imprint or a securely affixed label stating the quantity,
kind, and classification for tax purposes as required by such
regulations. Cigars or cigarettes must be in compliance with such
requirements before being released for consumption unless specifically
exempted therefrom as indicated in Sec. 11.3.
(c) The immediate containers of all domestic cigars, cigarettes,
medicinal preparations, and perfumery, which are returned to the United
States and are subject to a duty equal to an internal-revenue tax, shall
be stamped by Customs. The packaging requirements set forth in paragraph
(b) of this section apply to returned cigars and cigarettes of domestic
origin.
[28 FR 14701, Dec. 31, 1963, as amended by T.D. 78-329, 43 FR 43454,
Sept. 26, 1978]
Sec. 11.2 Manufactured tobacco.
(a) If the invoice and entry presented for manufactured tobacco
specify all the information necessary for prompt determination of the
estimated duty on the manufactured tobacco covered thereby, the port
director may permit designation of less than the entire importation for
examination.
(b) In the case of returned American manufactured tobacco, the
packages shall be marked or stamped by Customs with the inscription
``American goods returned.''
[28 FR 14701, Dec. 31, 1963, as amended by T.D. 67-193, 32 FR 11764,
Aug. 16, 1967]
[[Page 429]]
Sec. 11.2a Release from Customs custody without payment of tax on
cigars, cigarettes and cigarette papers and tubes.
Cigars, cigarettes, and cigarette papers and tubes may be released
from Customs custody without payment of any applicable internal revenue
tax upon presentation of the Customs entry or withdrawal form and three
copies of Alcohol, Tobacco and Firearms Form 2145 (5200.11) or 3072
(5210.14), certified by the appropriate regional regulatory
administrator, Bureau of Alcohol, and Tobacco and Firearms. The Customs
officer shall complete the notice of release, retain one copy, send one
copy to the regional regulatory administrator, and return one copy to
the manufacturer. The release may not be made under a mail entry. See
Sec. 145.13(b) of this chapter.
[T.D. 78-329, 43 FR 43454, Sept. 26, 1978]
Sec. 11.3 Package and notice requirements for cigars and cigarettes;
package requirements for cigarette papers and tubes.
Exemptions from tax on cigars, cigarettes, and cigarette papers and
tubes apply in accordance with the regulations of the Bureau of Alcohol,
Tobacco, and Firearms (27 CFR part 275) upon release from Customs
custody of such articles imported by consular officers and employees of
foreign states. Cigars, cigarettes, cigarette papers, and tubes may also
be released without payment of tax as provided in Sec. 11.2a and for
exhibition in accordance with part 147 of this chapter. Additionally,
cigars, cigarettes, or cigarette papers and tubes may be admitted free
of duty and tax under the provisions of Subchapter IV, Chapter 98,
Harmonized Tariff Schedule of the United States (19 U.S.C. 1202), or
section 321, Tariff Act of 1930, as amended (19 U.S.C. 1321),
Sec. Sec. 148.63, 148.74, and subpart I of part 148 of this chapter.
Except in the foregoing instances and in any instance in which such
articles are imported in passengers' baggage or are to be released under
a mail entry for the personal consumption of the importer or for
disposition as his bona fide gift, the provisions in part 275 of the
regulations of the Bureau of Alcohol, Tobacco, and Firearms (27 CFR part
275) as to packages and notices thereon apply.
[T.D. 73-27, 38 FR 2449, Jan. 26, 1973, as amended by T.D. 73-227, 38 FR
22548, Aug. 22, 1973; T.D. 78-329, 43 FR 43454, Sept. 26, 1978; T.D. 89-
1, 53 FR 51253, Dec. 21, 1988]
Sec. 11.5 [Reserved]
Sec. 11.6 Distilled spirits, wines, and malt liquors in bulk.
(a) The port director, in his discretion, may require marks, brands,
stamps, labels, or similar devices to be placed on any bulk container
used for holding, storing, transferring, or conveying imported distilled
spirits, wines, and malt liquors, in accordance with 19 U.S.C. 467.
(b) Marks, brands, stamps, labels, or similar devices required by
Federal, State, or local statute or regulation may be affixed, and
Customs inspection, gauging, marking, or measurement may be done, at the
place of unlading or other suitable place, unless the port director
determines that inspection, gauging, marking, or measurement shall be
done at a public store, warehouse, or other appropriate facility.
(c) Marks, brands, stamps, labels, or similar devices shall be
permanent in nature and not subject to obliteration or removal as a
result of handling or other condtions. The port director shall determine
whether a mark, brand, stamp, label, or similar device is acceptable,
based on the nature, surface, and composition of the container.
[T.D. 79-221, 44 FR 46813, Aug. 9, 1979; T.D. 80-26, 45 FR 3901, Jan.
21, 1980; T.D. 89-1, 53 FR 51253, Dec. 21, 1988]
Sec. 11.7 Distilled spirits and other alcoholic beverages imported in
bottles and similar containers; regulations of the Bureau of
Alcohol, Tobacco, and Firearms.
The importation of distilled spirits and other alcoholic beverages
in bottles and similar containers is subject to regulations of the
Bureau of Alcohol, Tobacco and Firearms relating to strip stamps and
other matters. (27 CFR parts 5, 201, and 251). Customs officers and
employees shall perform such functions as are necessary or proper on
[[Page 430]]
their part to carry out such regulations.
[28 FR 14701, Dec. 31, 1963, as amended by T.D. 78-329, 43 FR 43454,
Sept. 26, 1978]
Marking
Sec. 11.9 Special marking on certain articles.
(a) No movement, case, or dial provided for in Chapter 91,
Harmonized Tariff Schedule of the United States (HTSUS), shall be
released for consumption until marked in exact compliance with the
requirements of additional U.S. Note 4, Chapter 91. If any article so
required to be marked is found not to be marked to indicate the country
of origin, the 10 percent marking duty shall be assessed, unless such
marking is accomplished or the merchandise is exported or destroyed
under Customs supervision prior to the liquidation of the entry, in
accordance with the provisions of 19 U.S.C. 1304(f).
(b) The name of the manufacturer or purchaser which must appear on
articles provided for Chapter 91, Harmonized Tariff Schedule of the
United States (HTSUS), and specified in Additional U.S. Note 4, Chapter
91, may be either the actual name of the manufacturer or purchaser or a
duly registered trade name under which such manufacturer or purchaser
carries on his business. A trade-mark shall not be accepted as meeting
any such special marking requirement unless it includes the full name of
the manufacturer or purchaser. The term ``Purchaser'' as used in this
paragraph means the purchaser in the United States by whom or for whose
account the articles are imported.
[28 FR 14701, Dec. 31, 1963, as amended by T.D. 89-1, 53 FR 51253, Dec.
21, 1988; T.D. 90-51, 55 FR 28190, July 10, 1990; T.D. 97-82, 62 FR
51770, Oct. 3, 1997; 62 FR 55512, Oct. 27, 1997]
Sec. 11.12 Labeling of wool products to indicate fiber content.
(a) Wool products imported into the United States, except those made
more than 20 years prior to importation, and except carpets, rugs, mats,
and upholsteries, shall have affixed thereto a stamp, tag, label, or
other means of identification, as required by the Wool Products Labeling
Act of 1939 (54 Stat. 1129; 15 U.S.C. 68 et seq.) and the rules and
regulations promulgated thereunder by the Federal Trade Commission (16
CFR part 300). The term ``wool product'' means any product, or any
portion of a product, which contains, purports to contain, or in any way
is represented as containing wool, reprocessed wool, or reused wool.
(b) If imported wool products are not correctly labeled and the port
director is satisfied that the error or omission involved no fraud or
willful neglect, the importer shall be afforded a reasonable opportunity
to label the merchandise under Customs supervision to conform with the
requirements of such act and the rules and regulations of the Federal
Trade Commission. The compensation and expenses of Customs officers and
employees assigned to supervise the labeling shall be reimbursed to the
Government and shall be assessed in the same manner as in the case of
marking of country of origin, Sec. 134.55 of this chapter.
(c) Packages of wool products subject to the provisions of this
section which are not designated for examination may be released pending
examination of the designated packages, but only if there shall have
been filed in connection with the entry bonds on Customs Form 301,
containing the bond conditions set forth in Sec. 113.62 and/or
Sec. 113.68 of this chapter, as appropriate, in such amount as the port
director may require.
(d) The port director shall give written notice to the importer of
any lack of compliance with the Wool Products Labeling Act of 1939 in
respect of an importation of wool products, and pursuant to Sec. 141.113
of this chapter shall demand the immediate return of the involved
products to Customs custody, unless the lack of compliance is forthwith
corrected.
(e) If the products covered by a notice and demand given pursuant to
paragraph (d) of this section are not promptly returned to Customs
custody and the port director is not fully satisfied that they have been
brought into compliance with the Wool Products Labeling Act of 1939,
appropriate action shall be taken to effect the collection of liquidated
damages in an amount
[[Page 431]]
equal to the entered value of the merchandise not redelivered, plus the
estimated duty thereon as determined at the time of entry, unless the
owner or consignee shall file with the appropriate Customs officer an
application for cancellation of the liability incurred under the bond
upon the payment as liquidated damages of a lesser amount than the full
amount of the liquidated damages incurred, or upon the basis of such
other terms and conditions as the Secretary of the Treasury may deem
sufficient. The application shall contain a full statement of the
reasons for the requested cancellation and shall be in duplicate.
(f) If any fraudulent violation of the act with respect to imported
articles comes to the attention of the port director, the involved
merchandise shall be placed under seizure, or a demand shall be made for
the redelivery of the merchandise if it has been released from Customs
custody, and the case shall be reported to the Federal Trade Commission,
Washington, D.C.
(Sec. 8, 54 Stat. 1132; 15 U.S.C. 68f; R.S. 251, as amended, secs. 623,
as amended, 624, 46 Stat. 759, as amended (19 U.S.C. 66, 1623, 1624))
[28 FR 14701, Dec. 31, 1963, as amended by T.D. 72-262, 37 FR 20318,
Sept. 29, 1972; T.D. 73-175, 38 FR 17446, July 2, 1973; T.D. 84-213, 49
FR 41167, Oct. 19, 1984]
Sec. 11.12a Labeling of fur products to indicate composition.
(a) Fur products imported into the United States shall have affixed
thereto a label as required by section 4 of the Fur Products Labeling
Act (15 U.S.C. 69b) and the rules and regulations promulgated thereunder
by the Federal Trade Commission (16 CFR 301.1-301.49). The term ``fur
product'' means any article of wearing apparel made in whole or in part
of fur or used fur; except that such term shall not include such
articles as the Federal Trade Commission shall exempt by reason of the
relatively small quantity or value of the fur or used fur contained
therein.
(b) If imported fur products are not correctly labeled and the port
director is satisfied that the error or omission involved no fraud or
willful neglect, the importer shall be afforded a reasonable opportunity
to label the merchandise under Customs supervision to conform with the
requirements of such act and the rules and regulations of the Federal
Trade Commission. The compensation and expenses of Customs officers and
employees assigned to supervise the labeling shall be reimbursed to the
Government and shall be assessed in the same manner as in the case of
marking of country of origin, Sec. 134.55 of this chapter.
(c) Packages of fur products subject to the provisions of this
section which are not designated for examination may be released pending
examination of the designated packages, but only if there shall have
been filed in connection with the entry bonds on Customs Form 301,
containing the bond conditions set forth in Sec. 113.62 and/or
Sec. 113.68 of this chapter, as appropriate, in such amount as the port
director may require.
(d) The port director shall give written notice to the importer of
any lack of compliance with the Fur Products Labeling Act in respect of
an importation of fur products, and pursuant to Sec. 141.113 of this
chapter shall demand the immediate return of the involved products to
Customs custody, unless the lack of compliance is forthwith corrected.
(e) If the products covered by a notice and demand given pursuant to
paragraph (d) of this section are not promptly returned to Customs
custody and the port director is not fully satisfied that they have been
brought into compliance with the Fur Products Labeling Act, appropriate
action shall be taken to effect the collection of liquidated damages in
an amount equal to the entered value of the merchandise not redelivered,
plus the estimated duty thereon as determined at the time of entry,
unless the owner or consignee shall file with the appropriate Customs
officer an application for cancellation of the liability incurred under
the bond upon the payment as liquidated damages of a lesser amount than
the full amount of the liquidated damages incurred, or upon the basis of
such other terms and conditions as the Secretary of the Treasury may
deem sufficient. The application shall contain a full
[[Page 432]]
statement of the reasons for the requested cancellation and shall be in
duplicate.
(f) If any fraudulent violation of the act with respect to imported
articles comes to the attention of a port director, the involved
merchandise shall be placed under seizure, or a demand shall be made for
the redelivery of the merchandise if it has been released from Customs
custody, and the case shall be reported to the Federal Trade Commission,
Washington, DC 20580.
(Sec. 6, 65 Stat. 178; 15 U.S.C. 69d; R.S. 251, as amended, secs. 623,
as amended, 624, 46 Stat. 759, as amended (19 U.S.C. 66, 1623, 1624))
[28 FR 14701, Dec. 31, 1963, as amended by T.D. 72-262, 37 FR 20318,
Sept. 29, 1972; T.D. 73-175, 38 FR 17446, July 2, 1973; T.D. 84-213, 49
FR 41167, Oct. 19, 1984]
Sec. 11.12b Labeling textile fiber products.
(a) Textile fiber products imported into the United States shall be
labeled or marked in accordance with the Textile Fiber Products
Identification Act (15 U.S.C. 70 through 70k) and the rules and
regulations promulgated thereunder by the Federal Trade Commission (16
CFR part 303) unless exempt from marking or labeling under section 12 of
the Act (15 U.S.C. 70i). An invoice or other paper, containing the
specified information may be used in lieu of a label where the textile
product is not in the form intended for sale, delivery to, or for use by
the ultimate consumer. Rule 31 of the Federal Trade Commission (16 CFR
303.31).
(b) If imported fiber products are not correctly labeled and the
port director is satisfied that the error or omission involved no fraud
or willful neglect, the importer shall be afforded a reasonable
opportunity to label the merchandise under customs supervision to
conform with the requirements of such Act and the rules and regulations
of the Federal Trade Commission. The compensation and expenses of
Customs officers and employees assigned to supervise the labeling shall
be reimbursed to the Government and shall be assessed in the same manner
as in the case of marking of country of origin, Sec. 134.55 of this
chapter.
(c) Packages of fiber products subject to the provisions of this
section which are not designated for examination may be released pending
examination of the designated packages, but only if there shall have
been filed in connection with the entry bonds on Customs Form 301,
containing the bond conditions set forth in Sec. 113.62 and/or
Sec. 113.68 of this chapter, as appropriate, in such amount as the port
director may require.
(d) The port director shall give written notice to the importer of
any lack of compliance with the Fiber Products Identification Act in
respect of an importation of fiber products, and pursuant to
Sec. 141.113 of this chapter shall demand the immediate return of the
involved products to customs custody, unless the lack of compliance is
forthwith corrected.
(e) If the products covered by a notice and demand given pursuant to
the preceding paragraph are not promptly returned to Customs custody and
the port director is not fully satisfied that they have been brought
into compliance with the Fiber Products Identification Act, appropriate
action shall be taken to effect the collection of liquidated damages in
an amount equal to the entered value of the merchandise not redelivered,
plus the estimated duty thereon as determined at the time of entry,
unless the owner or consignee shall file with the appropriate Customs
officer an application for cancellation of the liability incurred under
the bond upon the payment as liquidated damages of a lesser amount than
the full amount of the liquidated damages incurred, or upon the basis of
such other terms and conditions as the Secretary of the Treasury may
deem sufficient. The application shall contain a full statement of the
reasons for the requested cancellation and shall be in duplicate.
(f) If any willful or flagrant violation of the Act with respect to
the importation of articles comes to the attention of a port director,
the involved merchandise shall be placed under seizure, or a demand
shall be made for the redelivery of the merchandise if it has been
released from Customs custody, and
[[Page 433]]
the case shall be reported to the Federal Trade Commission, Washington
DC 20580.
(Sec. 501, 65 Stat. 290, secs. 2-12, 14, 72 Stat. 1717; 15 U.S.C. 70-
70k, 31 U.S.C. 483a; R.S. 251, as amended, secs. 623, as amended, 624,
46 Stat. 759, as amended (19 U.S.C. 66, 1623, 1624))
[28 FR 14701, Dec. 31, 1963, as amended by T.D. 72-262, 37 FR 20318,
Sept. 29, 1972; T.D. 73-175, 38 FR 17446, July 2, 1973; T.D. 84-213, 49
FR 41167, Oct. 19, 1984]
Sec. 11.13 False designations of origin and false descriptions; false
marking of articles of gold or silver.
(a) Articles which bear, or the containers which bear, false
designations of origin, or false descriptions or representations,
including words or other symbols tending falsely to describe or
represent the articles, are prohibited importation under 15 U.S.C. 294,
295, 296, 1124, 1125 or 48 U.S.C. 1405q, and shall be detained.
(b) Articles made in whole or in part of gold or silver or alloys
thereof imported for sale by manufacturers or dealers which are marked
or labeled in a manner indicating a greater degree of fineness than the
actual fineness of the gold or silver or alloys thereof, and any plated
or filled articles so imported which are marked or labeled to indicate
the fineness of the gold or silver and are not also marked or labeled to
indicate the plated or filled condition or are marked or labeled with
the word ``sterling'' or the word ``coin'', are prohibited importation
and shall be detained, and the facts shall be reported to the United
States attorney.
(c) Whenever any articles are detained in accordance with the
foregoing provisions of this section, and the case of any articles
detained under paragraph (b) of this section the United States attorney
has indicated that he does not intend to prosecute, the articles shall
be seized and forfeited in the usual manner, except that, upon the
filing of a petition therefor by the importer prior to final disposition
of the articles, the port director may release the articles upon the
condition that the prohibited marking be removed or obliterated or that
the articles and containers be properly marked to indicate their origin,
contents, or condition, or may permit the articles to be exported or
destroyed under Customs supervision, and without expense to the
Government.
(d) Articles forfeited for violation of section 294, 1124, or 1125,
Title 15 and section 545, Title 18, U.S. Code, may be disposed of in
accordance with the procedure applicable to other Customs forfeitures,
but may not be released from Customs custody except upon the removal by
and at the expense of the party in interest of the prohibited marking by
reason of which the articles were seized, except articles disposed of
under Sec. 133.52 (a) or (b) of this chapter.
(Secs. 1-5, 34 Stat. 260-262, secs. 42, 43, 60 Stat. 440, 441, sec. 1,
62 Stat. 716, sec. 618, 46 Stat. 757; 15 U.S.C. 294-298, 1124, 1125, 18
U.S.C. 545, 19 U.S.C. 1618)
[28 FR 14701, Dec. 31, 1963, as amended by T.D. 79-159, 44 FR 31967,
June 4, 1979; T.D. 89-1, 53 FR 51253, Dec. 21, 1988]
PART 12_SPECIAL CLASSES OF MERCHANDISE
Food, Drugs, and Cosmetics, Economic Poisons, Hazardous Substances, and
Dangerous Caustic or Corrosive Substances
Sec.
12.1 Cooperation with certain agencies; joint regulations.
12.3 Release under bond; liquidated damages.
12.4 Exportation.
12.5 Shipment to other ports.
Importation of Certain Cheeses
12.6 Affidavits required to accompany entry.
Milk and Cream
12.7 Permits required for importation.
Meat and Meat-Food Products
12.8 Inspection; bond; release.
12.9 Release for final delivery to consignee.
Plants and Plant Products
12.10 Regulations and orders of the Department of Agriculture.
12.11 Requirements for entry and release.
12.12 Release under bond.
12.13 Unclaimed shipments.
12.14 Detention.
12.15 Disposition; refund of duty.
[[Page 434]]
Agricultural and Vegetable Seeds
12.16 Joint regulations of the Secretary of the Treasury and the
Secretary of Agriculture.
Viruses, Serums, and Toxins for Treatment of Domestic Animals
12.17 Importation restricted.
12.18 Labels.
12.19 Detention; samples.
12.20 Disposition.
Viruses, Serums, Toxins, Antitoxins, and Analogous Products for the
Treatment of Man
12.21 Licensed establishments.
12.22 Labels; samples.
12.23 Detention; examination; disposition.
Domestic Animals, Animal Products, and Animal Feeding Materials
12.24 Regulations of the Department of Agriculture.
Wild Animals, Birds, and Insects
12.26 Importations of wild animals, fish, amphibians, reptiles,
mollusks, and crustaceans; prohibited and endangered and
threatened species; designated ports of entry; permits
required.
12.27 Importation or exportation of wild animals or birds, or the dead
bodies thereof illegally captured or killed, etc.
12.28 Importation of wild mammals and birds in violation of foreign
law.
12.29 Plumage and eggs of wild birds.
12.30 Whaling.
12.31 Plant pests.
12.32 Honeybees and honeybee semen.
Tea
12.33 Importation of tea; entry; examination for customs purposes.
White Phosphorus Matches
12.34 Importation prohibited; certificate of inspection; importer's
declaration.
12.35 [Reserved]
Narcotic Drugs
12.36 Regulations of Bureau of Narcotics.
Liquors
12.37 Restricted importations.
12.38 Labeling requirements; shipments.
Unfair Competition
12.39 Imported articles involving unfair methods of competition or
practices.
Immoral Articles
12.40 Seizure; disposition of seized articles; reports to United States
attorney.
12.41 Prohibited films.
Merchandise Produced by Convict, Forced, or Indentured Labor
12.42 Findings of Commissioner of Customs.
12.43 Proof of admissibility.
12.44 Disposition.
12.45 Transportation and marketing of prison-labor products.
Counterfeit Coins, Obligations, and Other Securities; Illustrations or
Reproductions of Coins or Stamps
12.48 Importation prohibited; exceptions to prohibition of importation;
procedure.
Consumer Products and Industrial Equipment Subject to Energy
Conservation or Labeling Standards
12.50 Consumer products and industrial equipment subject to energy
conservation or labeling standards.
Fur-Seal or Sea-Otter Skins
12.60 Importation prohibited.
12.61 Fur-seal or sea-otter skins permitted entry.
12.62 Enforcement; duties of Customs officers.
12.63 Seal-skin or sea-otter-skin waste.
Entry of Motor Vehicles, Motor Vehicle Engines and Nonroad Engines Under
the Clean Air Act, as Amended
12.73 Motor vehicle and engine compliance with Federal antipollution
emission requirements.
12.74 Nonroad and stationary engine compliance with Federal
antipollution emission requirements.
Motor Vehicles and Motor Vehicle Equipment Manufactured on or After
January 1, 1968
12.80 Federal motor vehicle safety standards.
Safety Standards for Boats and Associated Equipment
12.85 Coast Guard boat and associated equipment safety standards.
Electronic Products
12.90 Definitions.
12.91 Electronic products offered for importation under the Act.
Switchblade Knives
12.95 Definitions.
12.96 Imports unrestricted under the Act.
12.97 Importations contrary to law.
12.98 Importations permitted by statutory exceptions.
12.99 Procedures for permitted entry.
12.100 Importations in good faith; common or contract carriage.
[[Page 435]]
12.101 Seizure of prohibited switchblade knives.
12.102 Forfeiture.
12.103 Report to the U.S. Attorney.
Cultural Property
12.104 Definitions.
12.104a Importations prohibited.
12.104b State Parties to the Convention.
12.104c Importations permitted.
12.104d Detention of articles; time in which to comply.
12.104e Seizure and forfeiture.
12.104f Temporary disposition of materials and articles.
12.104g Specific items or categories designated by agreements or
emergency actions.
12.104h Exempt materials and articles.
12.104i Enforcement.
12.104j Emergency protection for Iraqi cultural antiquities.
Pre-Columbian Monumental and Architectural Sculpture and Murals
12.105 Definitions.
12.106 Importation prohibited.
12.107 Importations permitted.
12.108 Detention of articles; time in which to comply.
12.109 Seizure and forfeiture.
Pesticides and Devices
12.110 Definitions.
12.111 Registration.
12.112 Notice of arrival of pesticides and devices.
12.113 Arrival of shipment.
12.114 Release or refusal of delivery.
12.115 Release under bond.
12.116 Samples.
12.117 Procedure after examination.
Chemical Substances in Bulk and as Part of Mixtures and Articles
12.118 Toxic Substances Control Act.
12.119 Scope.
12.120 Definitions.
12.121 Reporting requirements.
12.122 Detention of certain shipments.
12.123 Procedure after detention.
12.124 Time limitations and extensions.
12.125 Notice of exportation.
12.126 Notice of abandonment.
12.127 Decision to store or dispose.
Softwood Lumber From Canada
12.140 Entry of softwood lumber products from Canada.
12.142 Entry of softwood lumber and softwood lumber products from any
country into the United States.
Steel Products
12.145 Entry or admission of certain steel products.
Merchandise Subject to Economic Sanctions
12.150 Merchandise prohibited by economic sanctions; detention; seizure
or other disposition; blocked property.
12.151 Prohibitions and conditions on importations of jadeite, rubies,
and articles of jewelry containing jadeite or rubies.
12.152 Prohibitions and conditions on the importation and exportation
of rough diamonds.
Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1202 (General Note 3(i),
Harmonized Tariff Schedule of the United States (HTSUS)), 1624.
Section 12.1 also issued under 21 U.S.C. 371(b);
Section 12.3 also issued under 7 U.S.C. 135h, 21 U.S.C. 381;
Section 12.4 also issued under 21 U.S.C. 381(b);
Section 12.6 also issued under 7 U.S.C. 1854;
Section 12.10 also issued under 7 U.S.C. 151-162;
Section 12.15 also issued under 19 U.S.C. 1558;
Section 12.16 also issued under 7 U.S.C. 1592(b);
Sections 12.21 through 12.23 also issued under 42 U.S.C. 262;
Section 12.26 also issued under 18 U.S.C. 42;
Section 12.28 also issued under 18 U.S.C. 42, 19 U.S.C. 1527;
Section 12.34 also issued under 19 U.S.C. 1202 (additional U.S. Note
to Chapter 36, HTSUS);
Section 12.37 also issued under 27 U.S.C. 203;
Section 12.39 also issued under 19 U.S.C. 1337, 1623;
Sections 12.40 and 12.41 also issued under 19 U.S.C. 1305;
Sections 12.42 through 12.44 also issued under 19 U.S.C. 1307 and
Pub. L. 105-61 (111 Stat. 1272);
Sections 12.73 and 12.74 also issued under 19 U.S.C. 1484, 42 U.S.C.
7522, 7601;
Section 12.50 also issued under 42 U.S.C. 6301;
Section 12.85 also issued under 19 U.S.C. 1623, 46 U.S.C. 4302,
4306, 4310;
Sections 12.95 through 12.103 also issued under 15 U.S.C. 1241-1245;
Sections 12.104 through 12.104i also issued under 19 U.S.C. 2612;
Section 12.104j also issued under Pub. L. 108-429, 118 Stat. 2600;
19 U.S.C. 2612;
Sections 12.105 through 12.109 also issued under 19 U.S.C. 2094;
Sections 12.110 through 12.117 also issued under 7 U.S.C. 136 et
seq.;
Sections 12.118 through 12.127 also issued under 15 U.S.C. 2601 et
seq.;
Section 12.140 also issued under 19 U.S.C. 1484, 2416(a), 2171;
Section 12.142 also issued under 19 U.S.C. 1484; section 3301 of
Pub. L. 110-246.
[[Page 436]]
Section 12.150 also issued under 19 U.S.C. 1595a and 1618; 22 U.S.C.
401.
Section 12.151 also issued under The Burmese Freedom and Democracy
Act of 2003 (Pub. L. 108-61) (the ``BFDA''), as amended by the Tom
Lantos Block Burmese JADE (Junta's Anti-Democratic Efforts) Act of 2008
(Pub. L. 110-286) (the ``JADE Act''); Presidential Proclamation 8294,
signed on September 26, 2008; Additional U.S. Note 4 to Chapter 71,
HTSUS.
Section 12.152 also issued under 19 U.S.C. 1484, 1498; the Clean
Diamond Trade Act (Pub. L. 108-19, 117 Stat. 631 (19 U.S.C. 3901 et
seq.)); Executive Order 13312 dated July 29, 2003.
Source: 28 FR 14710, Dec. 31, 1963, unless otherwise noted.
Food, Drugs, and Cosmetics, Economic Poisons, Hazardous Substances, and
Dangerous Caustic or Corrosive Substances
Sec. 12.1 Cooperation with certain agencies; joint regulations.
(a) Federal Food, Drug, and Cosmetic Act. The importation into the
United States of food, drugs, devices, cosmetics, and tobacco products
as defined in section 201 (f), (g), (h), and (i) of the Federal Food,
Drug, and Cosmetic Act (21 U.S.C. 321 (f), (g), (h), (i)) is governed by
section 801 of the Act, as amended (21 U.S.C. 381) and regulations
issued under authority of section 701(b) of the Act (21 U.S.C. 371(b))
by the Secretary of Health and Human Services and the Secretary of the
Treasury (21 CFR 1.83 through 1.99).
(b) Federal Insecticide, Fungicide, and Rodenticide Act. The
importation of pesticides and devices is governed by section 17(c) of
the Federal Insecticide, Fungicide, and Rodenticide Act, as amended (7
U.S.C. 136o(c)), and regulations issued under the authority of section
17(e) of that Act (7 U.S.C. 1360(e)) by the Secretary of the Treasury,
in consultation with the Administrator of the Environmental Protection
Agency, as set forth below (Sec. 12.110 et seq.).
(c) Federal Hazardous Substances Act. The importation of hazardous
substances, misbranded hazardous substances, or banned hazardous
substances as defined in section 2 of the Federal Hazardous Substances
Act, as amended (15 U.S.C. 1261), is governed by regulations issued
under the authority of sections 10(b) and 14 of the Act, as amended (15
U.S.C. 1269, 1273), by the Consumer Product Safety Commission (16 CFR
1500.265 through 1500.272).
[T.D. 68-191, 33 FR 11019, Aug. 2, 1968, as amended by T.D. 75-194, 40
FR 32321, Aug. 1, 1975; T.D. 82-145, 47 FR 35475, Aug. 16, 1982; CBP
Dec. 10-29, 75 FR 52450, Aug. 26, 2010]
Sec. 12.3 Release under bond; liquidated damages.
(a) Release. No food, drug, device, cosmetic , tobacco product,
pesticide, hazardous substance or dangerous caustic or corrosive
substance that is the subject of Sec. 12.1 will be released except in
accordance with the laws and regulations applicable to the merchandise.
When any merchandise that is the subject of Sec. 12.1 is to be released
under bond pursuant to regulations applicable to that merchandise, a
bond on Customs Form 301, containing the bond conditions set forth in
Sec. 113.62 of this chapter, will be required.
(b) Bond amount. The bond referred to in paragraph (a) of this
section must be in a specific amount prescribed by the port director
based on the circumstances of the particular case that is either:
(1) Equal to the domestic value (see Sec. 162.43(a) of this chapter)
of the merchandise at the time of release as if the merchandise were
admissible and otherwise in compliance; or
(2) Equal to three times the value of the merchandise as provided in
Sec. 113.62(m)(1) of this chapter.
(c) Liquidated damages. Whenever liquidated damages arise with
regard to any food, drug, device or cosmetic subject to Sec. 12.1(a) for
failure to redeliver merchandise into Customs custody or for failure to
rectify any noncompliance with the applicable provisions of admission,
including the failure to export or destroy the merchandise within the
time period prescribed by law after the merchandise has been refused
admission pursuant to the provisions of the Food, Drug and Cosmetic Act,
those liquidated damages will be assessed pursuant to Sec. 113.62(m)(1)
of this chapter in the amount of the bond prescribed under paragraph (b)
of this section.
[T.D. 01-26, 66 FR 16853, Mar. 28, 2001; CBP Dec. 08-46, 73 FR 71780,
Nov. 25, 2008; CBP Dec. 10-29, 75 FR 52451, Aug. 26, 2010]
[[Page 437]]
Sec. 12.4 Exportation.
The exportation of merchandise, the subject of Sec. 12.1, refused
admission into the United States in accordance with regulations
applicable thereto shall be under Customs supervision in accordance with
the regulations set forth in Sec. Sec. 18.25 and 18.26 of this chapter.
[T.D. 68-191, 33 FR 11019, Aug. 2, 1968]
Sec. 12.5 Shipment to other ports.
When imported merchandise, the subject of Sec. 12.1, is shipped to
another port for reconditioning or exportation, such shipment shall be
under a Customs carrier's manifest, Customs Form 7512, in the same
manner as shipments in bond.
[T.D. 68-191, 33 FR 11019, Aug. 2, 1968]
Importation of Certain Cheeses
Sec. 12.6 Affidavits required to accompany entry.
(a) Cheeses produced in the member states of the European
Communities shall not be permitted entry into the Customs territory of
the United States (excluding Puerto Rico) if exported from any country
or area other than the country of origin, or into Puerto Rico, unless
accompanied by:
(1) An affidavit, in the event of shipments into the Customs
territory of the United States (excluding Puerto Rico), of the producer
or exporter that the cheese has not received and will not receive
restitution payments of the type referred to in Executive Order No.
11851, dated April 10, 1975 (40 FR 16645); or
(2) An affidavit, in the event of shipments into Puerto Rico, of the
importer that the cheese will be consumed in Puerto Rico or areas
outside the Customs territory of the United States. Proof of actual
consumption shall be furnished to the appropriate Customs officer within
three years after the date such cheese is entered or withdrawn from
warehouse, for consumption.
(b) These affidavits shall not be required to accompany importations
of cheese produced in the member states of the European Communities if
such cheese is shipped directly to the United States (excluding Puerto
Rico) from the country of origin on a through bill of lading.
[T.D. 75-210, 40 FR 36767, Aug. 22, 1975]
Milk and Cream
Sec. 12.7 Permits required for importation.
(a) Under the Act of February 15, 1927 (44 Stat. 1101, as amended,
21 U.S.C. 141-149), commonly known as the Federal Import Milk Act, the
importation into the United States of milk and cream is prohibited
unless the person by whom such milk or cream is shipped or transported
into the United States holds a valid permit from the Department of
Health and Human Services. Such permits become invalid at the end of one
year unless applications for renewal are filed prior to the date of
expiration.
(b) The regulations of the Department of Health and Human Services
under the said act require that each container of milk or cream shipped
or transported into the United States by a permittee shall have firmly
attached thereto a tag showing in clear and legible type the product
(raw milk, pasteurized milk, raw cream, or pasteurized cream) the permit
number and the name and address of the shipper; except that in case of
unit shipments consisting of milk only or cream only under one permit
number, each container need not be so marked if the vehicle of
transportation is sealed and tagged with the above-mentioned tag. In
such case the tag is required to show, in addition to the other required
information, the number of containers and the contents of each. Customs
officers shall not permit the importation of any milk or cream that is
not tagged in accordance with such regulations.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 82-145, 47 FR 35475,
Aug. 16, 1982; T.D. 89-1, 53 FR 51253, Dec. 21, 1988]
Meat and Meat-Food Products
Sec. 12.8 Inspection; bond; release.
(a) All imported meat and meat-food products offered for entry into
the United States are subject to the regulations prescribed by the
Secretary of Agriculture under the Animal Health Protection Act. (7
U.S.C. 8301, et seq.).
[[Page 438]]
The term ``meat and meat-food products,'' for the purpose of this
section, shall include any imported article of food or any imported
article which enters or may enter into the composition of food for human
consumption, which is derived or prepared in whole or in part from any
portion of the carcass of any cattle, sheep, swine, or goat, if such
portion is all or a considerable and definite portion of the article,
except such articles as organotherapeutic substances, meat juice, meat
extract, and the like, which are only for medicinal purposes and are
advertised only to the medical profession. Such meat and meat-food
products will not be released from CBP custody prior to inspection by an
inspector of the Food Safety and Inspection Service, Meat and Poultry
Inspection, except when authority is given by such inspector for
inspection at the importer's premises or other place not under CBP
supervision. In such case a bond for the return to CBP custody of the
merchandise shall be given by the consignee or agent on CBP Form 301,
containing the bond conditions set forth in Sec. 113.62 of this chapter,
and the conveyances or packages in which such merchandise is removed to
the place of examination shall be sealed or corded and sealed by a
customs officer or an inspector of the Food Safety and Inspection
Service, Meat and Poultry Inspection, with import-meat seals furnished
by the Department of Agriculture unless bearing United States CBP seals,
or in the case of packages otherwise identified as provided for in this
section. When cording is necessary for proper sealing, the cords shall
be furnished and affixed by the importer or his agent. Import-meat seals
or cords and seals may be broken only by a CBP officer or inspector of
the Meat Inspection Division, Agricultural Research Service.
In lieu of cording and sealing packages, the carrier or importer may
furnish and attach to each package of product a warning notice on bright
yellow paper, not less than 5 by 8 inches in size, containing the
following legend in black type of a conspicuous size:
(Name of Truck Line or Carrier)
Notice
This package of meat or meat product must be delivered intact to an
inspector of the Meat Inspection Division, U.S. Department of
Agriculture.
Warning
Failure to comply with these instructions will result in penalty
action being taken against the holder of the CBP entry bond.
If the product is found to be acceptable upon inspection the package
will be marked ``U.S. Inspected and Passed'' and this warning notice
defaced.
(b) Liquidated damages assessed for breach of a bond taken under
this section, if not in excess of the Fines, Penalties, and Forfeitures
Officer's delegated authority, and if a written application for relief
is filed, may be canceled by the port director upon the payment of less
than the full amount as he shall deem appropriate, or without the
payment of any amount, as may be deemed appropriate, but the Fines,
Penalties, and Forfeitures Officer shall not act under this paragraph
unless the officer in charge of the local office of the Food Safety and
Inspection Service, Meat and Poultry Inspection, Department of
Agriculture, is in full agreement with the proposed action. If there is
no local inspector of the Food Safety and Inspection Service, Meat and
Poultry Inspection, the port director shall not act unless he has
obtained the full agreement of the Food Safety and Inspection Service,
Meat and Poultry Inspection in Washington.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 78-99, 43 FR 13060, Mar.
29, 1978; T.D. 82-145, 47 FR 35476, Aug. 16, 1982; T.D. 84-213, 49 FR
41167, Oct. 19, 1984; T.D. 89-1, 53 FR 51253, Dec. 21, 1988; T.D. 99-27,
64 FR 13675, Mar. 22, 1999; T.D. 99-64, 64 FR 43265, Aug. 10, 1999; T.D.
00-57, 65 FR 53574, Sept. 5, 2000; CBP Dec. 10-29, 75 FR 52451, Aug. 26,
2010]
Sec. 12.9 Release for final delivery to consignee.
No meat, meat-food products, or animal casings shall be released for
final delivery to the consignee until the port director is advised by
the Department of Agriculture, or its representative, that the
merchandise is admissible.
[[Page 439]]
Plants and Plant Products
Sec. 12.10 Regulations and orders of the Department of Agriculture.
The importation into the United States of plants and plant products
is subject to regulations and orders of the Department of Agriculture
restricting or prohibiting the importation of such plants and plant
products. Customs officers and employees shall perform such functions as
are necessary or proper on their part to carry out such regulations and
orders of the Department of Agriculture and the provisions of law under
which they are made.
Sec. 12.11 Requirements for entry and release.
(a) The importer or his representative shall submit to the director
of the port of first arrival, for each entry of plants or plant products
requiring a plant quarantine permit, a notice of arrival for any type of
entry except rewarehouse and informal mail entries. Such notice shall be
on a form provided for the purpose by the Department of Agriculture. The
director of the port of arrival shall compare the notice of arrival
which he receives from the importer or his representative with the
shipping documents, certify its agreement therewith, and transmit it,
together with any accompanying certificates or other documents
pertaining to the sanitary status of the shipment, to the Department of
Agriculture. The merchandise may not be moved, stored, or otherwise
disposed of until the notice of arrival has been submitted and release
for the intended purpose has been authorized by an inspector of the
Animal and Plant Health Inspection Service, Plant Protection and
Quarantine Programs.
(b) Where plant or plant products are shipped from the port of first
arrival to another port or place for inspection or other treatment by a
representative of the Animal and Plant Health Inspection Service, Plant
Protection and Quarantine Programs and all Customs requirements for the
release of the merchandise have been met, the merchandise shall be
forwarded under a special manifest (Customs Form 7512) and in-bond
labels or Customs seals to the representative of the Animal and Plant
Health Inspection Service, Plant Protection and Quarantine Programs at
the place at which the inspection or other treatment is to take place.
No further release by the port director shall be required.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 78-99, 43 FR 13060, Mar.
29, 1978]
Sec. 12.12 Release under bond.
Plants or plant products which require fumigation, disinfection,
sterilization, or other treatment as a condition of entry may be
released to the permittee for treatment at a plant approved by the
Department of Agriculture upon the giving of a bond on Customs Form 301,
containing the bond conditions set forth in Sec. 113.62 of this chapter
to insure that the merchandise is treated under the supervision and to
the satisfaction of an inspector of the Department of Agriculture or
returned to Customs custody when demanded by the port director.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 84-213, 49 FR 41167,
Oct. 19, 1984]
Sec. 12.13 Unclaimed shipments.
(a) If plants or plant products enterable into the United States
under the rules and regulations promulgated by the Secretary of
Agriculture are unclaimed, they may be sold subject to the provisions of
subparts C and D of part 127 of this chapter to any person to whom a
permit has been issued who can comply with the requirements of the
regulations governing the material involved.
(b) Unclaimed plants and plant products not complying with the
requirements mentioned in this section shall be destroyed, by burning or
otherwise, under Customs supervision.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 74-114, 39 FR 12091,
Apr. 3, 1974]
Sec. 12.14 Detention.
(a) Port directors shall refuse release of all plants or plant
products with respect to which a notice of prohibition has been
promulgated by the Secretary of Agriculture under any of the various
quarantines. If an importer refuses to export a prohibited shipment
immediately, the port director shall report
[[Page 440]]
the facts to the U.S. Department of Agriculture, Animal and Plant Health
Inspection Service, Plant Protection and Quarantine Programs and the
United States attorney and withhold delivery pending advice from that
Department.
(b) In case of doubt as to whether any plant or plant product is
prohibited, the port director shall detain it pending advice from the
Department of Agriculture.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 78-99, 43 FR 13060, Mar.
29, 1978]
Sec. 12.15 Disposition; refund of duty.
Plants or plant products which are prohibited admission into the
United States under Federal law or regulations and are exported or
destroyed under proper supervision are exempt from duty and any duties
collected thereon shall be refunded. (See Sec. Sec. 158.41 and 158.45(c)
of this chapter.)
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 72-258, 37 FR 20174,
Sept. 27, 1972]
Agricultural and Vegetable Seeds
Sec. 12.16 Joint regulations of the Secretary of the Treasury and the
Secretary of Agriculture.
(a) The importation into the United States of agricultural and
vegetable seeds and screenings thereof is governed by rules and
regulations prescribed jointly by the Secretary of the Treasury and the
Secretary of Agriculture under section 402(b) of the Federal Seed Act of
August 9, 1939 (7 CFR part 201).
(b) Under the said joint rules and regulations, port directors are
required to draw samples of such seeds and screenings, forward them to
the seed laboratories, and notify the owner or consignee that such
samples have been drawn and that the shipment shall be held intact
pending a decision of the Livestock, Meat, Grain, and Seed Division,
Agricultural Marketing Service, in the matter.
(c) It is further provided in said joint rules and regulations that
after samples have been drawn such seeds and screenings shall be
admitted into the commerce of the United States only if they have been
found to meet the requirements of the Federal Seed Act of August 9,
1939, and the said regulations, but if the containers bear sufficient
marks of identification the port director may release the shipment,
pending examination and decision in the matter, upon the giving of a
bond. The bond shall be filed with the port director on Customs Form 301
and contain the bond conditions set forth in Sec. 113.62 of this
chapter. In case of default the port director shall issue a claim for
liquidated damages under the bond.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 82-145, 47 FR 35476,
Aug. 16, 1982; T.D. 84-213, 49 FR 41167, Oct. 19, 1984; T.D. 89-1, 53 FR
51253, Dec. 21, 1988]
Viruses, Serums, and Toxins for Treatment of Domestic Animals
Sec. 12.17 Importation restricted.
The importation into the United States of viruses, serums, toxins,
and analogous products for use in the treatment of domestic animals is
prohibited unless the importer holds a permit from the Department of
Agriculture covering the specific product. The port director shall
notify the Animal and Plant Health Inspection Service, Veterinary
Services, Washington, D.C., of the arrival of any such product, and
detain it until he shall receive notice from that Department that a
permit to import the shipment has been issued.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 78-99, 43 FR 13060, Mar.
29, 1978; T.D. 82-145, 47 FR 35476, Aug. 16, 1982; T.D. 89-1, 53 FR
51253, Dec. 21, 1988]
Sec. 12.18 Labels.
Each separate container of such virus, serum, toxin, or analogous
product imported is required by the regulations of the Department of
Agriculture to bear the true name of the product and the permit number
assigned by the Department of Agriculture in the following form: ``U.S.
Veterinary Permit No. --------,'' or an abbreviation thereof authorized
by the Animal and Plant Health Inspection Service, Veterinary Services.
Each separate container also shall bear a serial number affixed by the
manufacturer for identification of
[[Page 441]]
the product with the records of preparation thereof, together with a
return date.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 78-99, 43 FR 13060, Mar.
29, 1978]
Sec. 12.19 Detention; samples.
(a) The port director shall detain all shipments of such products
for which no permit to import has been issued pending instructions from
the Department of Agriculture.
(b) Samples shall be furnished to the Department of Agriculture upon
its request, and the port director shall immediately notify the
consignee of any such request.
Sec. 12.20 Disposition.
Viruses, serums, or toxins rejected by the Department of Agriculture
shall be released by the port director to that Department for
destruction, or exported under Customs supervision at the expense of the
importer if exportation is authorized by the Department of Agriculture.
Viruses, Serums, Toxins, Antitoxins, and Analogous Products for the
Treatment of Man
Sec. 12.21 Licensed establishments.
The bringing into the United States for sale, barter, or exchange,
of any virus, therapeutic serum, toxin, antitoxin, or analogous product,
or arsphenamine or its derivatives (or any other trivalent organic
arsenic compound), applicable to the prevention, treatment, or cure of
diseases or injuries of man is prohibited unless such virus, serum,
toxin, antitoxin, or other product has been manufactured at an
establishment holding an unsuspended and unrevoked license issued by the
Secretary of Health and Human Services for such manufacture.
[T.D. 69-201, 34 FR 14328, Sept. 12, 1969, as amended by T.D. 82-145, 47
FR 35476, Aug. 16, 1982]
Sec. 12.22 Labels; samples.
Each package of such products imported for sale, barter, or exchange
shall be labeled or plainly marked with the name, address, and license
number of the manufacturer, and the date beyond which the contents
cannot be expected to yield their specific results. From each lot of
product the port director shall select at random at least two final
containers. The random sample together with a copy of the associated
documents which describe and identify the shipment shall be forwarded to
the Director, Bureau of Biologics, Food and Drug Administration, 8800
Rockville Pike, Bethesda, Md. 20014. For shipments of 20 or less final
containers, samples need not be forwarded, provided a copy of an
official release from the Bureau of Biologics accompanies each shipment.
[T.D. 69-201, 34 FR 14328, Sept. 12, 1969, as amended by T.D. 82-145, 47
FR 35476, Aug. 16, 1982]
Sec. 12.23 Detention; examination; disposition.
(a) Port directors shall detain all importations of unlicensed
viruses, therapeutic serums, toxins, antitoxins, and analogous products,
and arsphenamines or its derivatives (or any other trivalent organic
arsenic compound) for the treatment or cure of diseases or injuries of
man pending examination by the Director, Bureau of Biologics, unless
satisfied from evidence furnished at the time of entry that the products
are intended solely for purposes of controlled investigation and not for
sale, barter, or exchange, as evidenced by a copy of a filed ``Notice of
Claimed Investigational Exemption for a New Drug,'' pursuant to
Sec. 312.1 of the Food, Drug, and Cosmetic Act Regulations (21 CFR
312.1), or are being imported under the short supply provisions of
Sec. 601.22 of the Public Health Service Regulations (42 CFR 601.22).
(b) If the shipment is imported for sale, barter, or exchange and is
found by the Director, Division of Biologics Standards, to be
admissible, the port director shall release it upon receipt of a report
from him that the shipment is admissible.
(c) If the Director, Division of Biologics Standards, reports that
the shipment was found upon examination not to conform to the law and
the regulations, the port director shall not release the shipment but
shall permit the exportation or destruction thereof
[[Page 442]]
under Customs supervision at the option of the importer.
(d) Shipments of such products for use in the treatment of man but
made from or with material of animal origin other than human, shall,
unless accompanied by a Department of Agriculture, Veterinary Services,
Animal and Plant Health Inspection Service (APHIS) permit, be detained
until proof is presented to the port director that their importation is
not prohibited under 9 CFR part 94 or part 122.
[T.D. 69-201, 34 FR 14328, Sept. 12, 1969, as amended by T.D. 82-145, 47
FR 35476, Aug. 16, 1982]
Domestic Animals, Animal Products, and Animal Feeding Materials
Sec. 12.24 Regulations of the Department of Agriculture.
(a) The importation into the United States of domestic animals,
animal products, and animal feeding materials is subject to inspection
and quarantine regulations of the Department of Agriculture, Customs
officers and employees are authorized and directed to perform such
functions as are necessary or proper on their part to carry out such
regulations of the Department of Agriculture.
(b) Inspection by an inspector of the Animal and Plant Health
Inspection Service, Veterinary Services is required for all horses,
cattle, sheep, other ruminants, and swine as a prerequisite to their
entry from any foreign country. Orders listing the ports designated as
quarantine stations for the inspection and quarantine of animals will be
issued by the Secretary of Agriculture, with the approval of the
Secretary of the Treasury, whenever conditions warrant.
(c) The entry of domestic animals may be made, but shall not be
required, before the expiration of the quarantine period. Such animals,
if not entered at the time of arrival, shall be considered as under
general order while under quarantine and shall not be released except
upon notice from the port director that the importer has complied with
all the requirements for entry.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 78-99, 43 FR 13060, Mar.
29, 1978; T.D. 82-145, 47 FR 35476, Aug. 16, 1982; T.D. 89-1, 53 FR
51253, Dec. 21, 1988]
Wild Animals, Birds, and Insects
Sec. 12.26 Importations of wild animals, fish, amphibians, reptiles,
mollusks, and crustaceans; prohibited and endangered and
threatened species; designated ports of entry; permits
required.
(a)(1) The importation into the United States, the Commonwealth of
Puerto Rico, and the territories and possessions of the United States of
live specimens of:
(i) Any species of the so-called ``flying fox'' or fruit bat of the
genus Pteropus;
(ii) Any species of mongoose or meerkat of the genera Atilax,
Cynictis, Helogale, Herpestes, Ichneumia, Mungos, and Suricata;
(iii) Any species of European rabbit the genus Oryctolagus;
(iv) Any species of Indian wild dog, red dog, or dhole of the genus
Cuon;
(v) Any species of multimammate rat or mouse of the genus Mastomys;
(vi) Any live specimens or egg of the species of so-called ``pink
starling'' or ``rosy pastor'' Sturnus roseus;
(vii) The species of dioch (including the subspecies black-fronted,
red-billed, or Sudan dioch) Quelea quelea;
(viii) Any species of Java sparrow, Padda oryzivora;
(ix) The species of red-whiskered bulbul, Pycnonotus jocosus;
(x) Any live fish or viable eggs of the family Clariidae;
(xi) Any other species of wild mammals, wild birds, fish (including
mollusks and crustacea), amphibians, reptiles, or the offspring or eggs
of any of the foregoing which the Secretary of the Interior may
prescribe by regulations to be injurious to human beings, to the
interest of agriculture, horticulture, forestry, or to wildlife or the
wildlife resources of the United States, is prohibited, except as may be
authorized by the issuance of a permit by the Director, U.S. Fish and
Wildlife Service, U.S. Department of the Interior, Washington, DC 20240,
or his authorized
[[Page 443]]
representative. If any such prohibited specimen is imported, or if any
specie or subspecie of other live or dead fish or wildlife, including
any parts, products, or eggs thereof, appearing on the Endangered
Species List published by the U.S. Fish and Wildlife Service, is
imported, Customs release of the prohibited specimen or endangered fish
or wildlife shall be refused unless there has been issued and presented
in connection with entry a proper U.S. Fish and Wildlife Service permit
authorizing the import transaction. In the absence of such permit,
injurious specimens prohibited entry shall be required to be immediately
exported or destroyed. Changes in injurious species and endangered
species or subspecies which are prohibited or restricted importation may
be published from time to time in 50 CFR part 13--Importation of
Wildlife or Eggs Thereof or in part 17--Conservation of Endangered
Species and Other Fish or Wildlife. Unreleased species or subspecies of
live or dead endangered fish or wildlife, including parts, products, or
eggs thereof, shall remain under detention subject to seizure and
delivery to an appropriate regional director or other agent of the U.S.
Fish and Wildlife Service for disposition as appropriate pursuant to 50
CFR part 17.
(2) Fish and eggs of salmonids of the fish family Salmonidae are
prohibited entry into the United States for any purpose unless such
importations are by direct shipment, accompanied by the signed
certification of a qualified fish pathologist in substantially the form
as prescribed in 50 CFR 13.7. The following are excepted from the
certification requirements:
(i) Salmon landed in North America and brought into the United
States for processing or sale;
(ii) Any salmonid caught in the wild in North America under a sport
or a commercial fishing license; and
(iii) Fish or eggs of the family Salmonidae when processed or
prepared in accordance with 50 CFR 13.7(c), or otherwise exempted from
the requirement of certification.
(3) Regulations (50 CFR part 17) require the importer or his agent
to file a Declaration for the Importation of Fish or Wildlife, unless it
is an import transaction exempted from the requirement by 50 CFR part 13
or part 17. Such declaration on U.S. Fish and Wildlife Service Form 3-
177, available to importers through Customs ports of entry, shall be
filed with the appropriate Customs officer at the port of entry
conducting the actual Customs clearance and release of the declared
fish, wild mammal, or bird, amphibian, reptile, mollusk, crustacean, or
dead body or egg thereof. The declaration on Form 3-177 shall show the
common and scientific names, number, and country of origin of all
species or subspecies declared, designate and identify any species
listed on the U.S. List of Endangered Foreign Fish and Wildlife, 50 CFR
part 17, appendix A, and indicate whether any species is subject to laws
and regulations in any foreign country regarding its taking,
transportation, or sale. See paragraph (g) of this section for special
documentation requirements.
(4) Federal agencies, subject to requirements in paragraph (a)(2) of
this section, may import solely for their own use live wildlife except
migratory birds, or their eggs, without a permit from the U.S. Fish and
Wildlife Service, upon filing the declaration on Form 3-177. Importation
of bald or golden eagles, or their eggs is prohibited.
(5) Customs entry for consumption or bonded warehousing of fish and
wildlife, as defined in 50 CFR 17.2 (e) and (f), intended for
importation into the United States, or admission into a foreign trade
zone, shall be filed at a port of entry among those designated for
Customs entry in 50 CFR part 17, appendix B. However, Customs entry for
consumption or bonded warehousing of shipments subject to emergency
diversion or otherwise authorized under regulations or by permit issued
by the U.S. Fish and Wildlife Service pursuant to 50 CFR part 17,
appendices B and C, may be filed for examination and release at the
ports of entry so named or permitted, but no consumption or bonded
warehouse entry shall be filed or accepted at an undesignated port for
any endangered specie or subspecie permitted importation pursuant to 50
CFR 17.12 except in the case of an emergency diversion of live
endangered fish
[[Page 444]]
or wildlife accepted for such entry in accordance with item 2(b) of 50
CFR part 17, appendix B. Importations of fish and wildlife subject to
regulations of the U.S. Fish and Wildlife Service which arrive from
abroad at any place in the United States not designated as an authorized
port for Customs entry, unless occurring under conditions or
circumstances in which Customs entry for consumption or bonded
warehousing and final clearance has been authorized by U.S. Fish and
Wildlife Service regulations or permit, may be entered only for
immediate transportation without appraisement for movement under Customs
bond to one of the designated ports of entry. Customs entry, release,
and delivery of any shipment of shellfish and fishery products defined
in 50 CFR 17.2(j) imported for commercial purposes is authorized at any
port of entry, except insofar as such items include any species or
subspecies which appears on the Endangered Species List in 50 CFR part
17, appendix A.
(b) Permits are required for the importation of wild animals and
birds as follows:
(1) Wild birds protected by the Migratory Bird Treaty Act (16 U.S.C.
703 through 711) and the regulations promulgated thereunder (50 CFR part
10), may be imported from foreign countries for scientific, propagating,
or other limited purposes only under permits issued by the U.S. Fish and
Wildlife Service, United States Department of the Interior, Washington,
DC, 20240. State game departments, municipal game farms or parks, and
public museums, zoological parks or societies, and scientific or
educational institutions may import migratory birds without a permit.
Such migratory birds, when imported from Mexico, must be accompanied by
Mexican export permits (50 CFR 16.3 and 16.5).
(2) Game mammals (antelopes, mountain sheep, deer, bears, peccaries,
squirrels, rabbits, and hares), protected by the Migratory Bird Treaty
Act (16 U.S.C. 703 through 711), dead or alive, or their parts or
products, must be accompanied by Mexican export permits (50 CFR 15.3)
when imported from Mexico.
(3) Wild ruminants (all animals which chew the cud, such as cattle,
buffaloes, sheep, goats, deer, antelopes, camels, llamas, and giraffes)
and swine (various varieties of wild hogs), except from Canada and
certain northern States of Mexico may be imported only under a permit
from the Animal and Plant Health Inspection Service, Veterinary
Services, United States Department of Agriculture, Washington, DC 20250.
Such permits must be obtained before the animals are shipped from the
country of exportation. All wild ruminants and swine must be inspected
at designated ports of entry by veterinarians of the Animal and Plant
Health Inspection Service, Veterinary Services, United States Department
of Agriculture.
(4) Psittacine birds, which include all birds commonly known as
parrots, Amazons, African grays, cockatoos, macaws, parrotlets, beebees,
parakeets, lovebirds, lories, lorikeets, and all other birds of the
order Psittaciformes, when destined for a zoological park or medical
research institution without having had prior confinement and treatment
abroad at an approved treatment center, and psittacine birds taken out
of the United States but inadmissible under paragraph (c) of this
section, may be imported when accompanied by a permit issued by the
Surgeon General. Application for such a permit may be made to the Chief,
Foreign Quarantine Program, National Communicable Disease Center, U.S.
Public Health Service, Atlanta, Ga. 30333, or to a Public Health Service
quarantine station established at a port of entry in the United States.
(5) Ducks, geese, swans, turkeys, pigeons, doves, pheasants, grouse,
partridges, quail, guinea fowl, and pea fowl, except from Canada, may be
imported only under a permit from the Animal and Plant Health Inspection
Service, Veterinary Services, United States Department of Agriculture,
Washington, DC 20250. Such permits must be obtained before the birds are
shipped from the country of origin. Such birds from Canada must be
accompanied by a certificate issued by a Canadian Government
veterinarian. All such birds must be inspected at designated ports of
entry by veterinarians
[[Page 445]]
of the Animal and Plant Health Inspection Service, Veterinary Services,
United States Department of Agriculture.
(c) Psittacine birds as defined in paragraph (b)(4) of this section,
not to exceed two such birds by members of a family comprising a single
household in any 12-month period, may be imported under prescribed
conditions (see 42 CFR 71.164(e)) without permit and without prior
confinement and treatment, to be kept as pets by the owner, who will be
required to comply with the Foreign Quarantine Regulations of the U.S.
Public Health Service. Birds taken out of the United States and being
returned may be admitted, without permit, upon full compliance with
prescribed conditions of those regulations for admission of birds
imported as pets. No such birds shall be released until the importer has
complied with applicable requirements of the Public Health regulations.
(d) Cats, dogs, and monkeys are subject to the Foreign Quarantine
Regulations of the United States Public Health Service, Department of
Health, Education, and Welfare, Washington, D.C. Such animals shall not
be released until the Public Health regulations are complied with by the
importer.
(e) If a shipment contains migratory birds for which a permit is
required by the Fish and Wildlife Service of the Department of the
Interior, and such permit is not at hand when the birds arrive, an
examination thereof shall be made at once by the port director and any
duties estimated to be due shall be collected. A stipulation shall be
filed with the port director within 24 hours of the entry to produce the
necessary permit within 30 days from the date of entry, whereupon final
liquidation shall be suspended until the permit is produced or the 30-
day period expires. The shipment may be immediately released if a bond
is filed with the port director on Customs Form 301, containing the bond
conditions set forth in Sec. 113.62 of this chapter, in an amount equal
to the entered value plus estimated duties. If the bond conditions are
violated the port director shall issue a claim for liquidated damages
under the bond. In lieu of filing a bond the merchandise may be left in
Customs custody at the risk and expense of the importer pending issuance
of the permit.
(f) If the permit referred to in paragraph (e) of this section is
refused by the Fish and Wildlife Service, or if the permit is not
produced within the said 30 days, the port director shall promptly
recall the property, if delivered under bond, and shall require its
immediate exportation at the expense of the importer or consignee.
(g)(1) All import shipments of fish and wildlife subject to the
regulations or permit requirements of the U.S. Fish and Wildlife
Service, published pursuant to the Endangered Species Act of 1973, 16
U.S.C. 1531, or other statutory authority, shall be subject to
examination or inspection by that agency's officer serving the port of
entry, for determination as to permissible release or such other
disposition as he may direct. Customs officers performing examinations
of such fish and wildlife in accordance with regulations of the U.S.
Fish and Wildlife Service in 50 CFR part 10 and parts 13 through 17,
shall release shipments only upon submission by the importer of evidence
sufficient to establish compliance with those regulations, any
applicable permit requirements, and compliance with applicable
identification and package or container marking requirements as
specified by 50 CFR 17.6(a) and 17.9. In case of doubt as to whether
fish, birds, or other wildlife belong to prohibited or endangered
species or subspecies or whether an entry permit is required, or in case
of suspicion on the part of officers of the Customs that the species
sought to be entered are prohibited or endangered species or subspecies
imported under other names or descriptions, the importation shall be
refused Customs release, and the importer shall be responsible for
concluding arrangements acceptable to the regional director or other
agent of the U.S. Fish and Wildlife Service for proper handling,
custody, and care, at the importer's expense and risk, of the unreleased
fish, birds, or other wildlife. No Customs disposition of the
importation shall be concluded pending the determination by the U.S.
Fish and Wildlife Service of the true nature of the species or
subspecies. In case of refusal or
[[Page 446]]
neglect of the importer or consignee, or agent of either, to have the
identity so established, final disposition of the importation shall be
required as determined by the U.S. Fish and Wildlife Service. In
addition to U.S. Fish and Wildlife Service Form 3-177, required to be
filed as prescribed in 50 CFR 17.4 upon entry of importations of fish
and wildlife, entrants shall present appropriate foreign export permits,
other acceptable foreign documentary evidence of lawful taking,
transportation, or sale, or appropriate American consular certificates
upon importation of fish and wildlife species or subspecies subject to
such documentation requirements of 50 CFR 17.4 (c) and (d).
(2) Any antique article imported under Sec. 10.53(g) of this chapter
shall be entered at one of the following ports:
Boston, Massachusetts
New York, New York
Baltimore, Maryland, Philadelphia, Pennsylvania
Miami, Florida, San Juan, Puerto Rico
New Orleans, Louisiana
Houston, Texas
Los Angeles, California
San Francisco, California
Anchorage, Alaska, Honolulu, Hawaii
O'Hare International Airport, Chicago, Illinois
(h) All invoices of animals and birds shall specify the species
covered thereby and the number of each species. In the event of the
return to the port director of any importation under the bond given
under paragraph (e) of this section, if the number and species of birds
does not correspond with the description stated in the invoice and if no
satisfactory explanation of any discrepancy is furnished, a claim for
liquidated damages shall be issued under the bond.
(i) The privilege of entry for immediate transportation granted by
section 552, Tariff Act of 1930, shall not be allowed for importations
of fish, birds, or other wildlife which are confirmed at the port of
first arrival or discharge to be injurious prohibited species, or which
require permits issued prior to importation, or which are subject to
quarantine regulations or inspection at the ports of first arrival or
discharge or other specified place of veterinary inspection. However,
entry for immediate transportation properly is allowed for any
importation of fish, birds, or other wildlife which at the place of
first arrival or discharge is not confirmed to be an injurious
prohibited specie and which, following compliance with any applicable
quarantine regulations or required veterinary inspection, is being
transported by means of an in-bond movement to a port of entry
designated in 50 CFR part 17, appendix B, for Customs entry (see
paragraphs (a) and (b) of this section). Ports of designated entry,
inspection, quarantine, and related enforcement procedures covering
certain animals and poultry and certain animal and poultry products
imported into the United States are regulated by requirements and
standards prescribed in regulations of the Secretary of Agriculture,
Department of Agriculture (see 9 CFR parts 92-96; 19 CFR 12.8 and
12.24).
(j) Wild animals and birds shall be imported under humane and
healthful conditions, due regard being given to the accommodations and
facilities necessary for the species transported.
(k) When any Customs officer has good reason to believe that wild
animals or birds have been imported under inhumane or unhealthful
conditions in violation of 18 U.S.C. 42, an immediate investigation
shall be made to ascertain whether they have in fact been transported
under such conditions. The investigation shall determine the provisions
made on the vessel or other conveyance for the accommodation of the
animals or birds, the suitability of the boxes, cages, stalls, etc., the
space, ventilation, and protection from the elements accorded the
animals or birds, the facilities for cleaning, feeding, watering,
bedding, and such other services as may be required for the species
imported. The investigation shall also determine, the physical condition
of such animals or birds and the ratio of dead, crippled, diseased, or
starving animals or birds. If necessary, officers of the Animal and
Plant Health Inspection Service, Veterinary Services, or Fish and
Wildlife Service, or other officers or experts, may be called upon to
assist customs officers in the matter.
(l) Unless the port director is satisfied that the provisions of 18
U.S.C. 42 have not been violated, he shall report
[[Page 447]]
the matter to the United States attorney for appropriate action.
[28 FR 14710, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 12.26,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 12.27 Importation or exportation of wild animals or birds, or the
dead bodies thereof illegally captured or killed, etc.
Customs officers shall perform all duties required of them under
statutory provisions that prohibit or restrict the importation or
exportation of wild animals or birds, or the dead bodies thereof, or the
eggs of such birds, killed, captured, taken, transported, etc., contrary
to law. Such laws and statutory provisions include 18 U.S.C. 43, 44,
3054, 3112.
[T.D. 89-1, 53 FR 51253, Dec. 21, 1988]
Sec. 12.28 Importation of wild mammals and birds in violation of
foreign law.
No imported wild mammal or bird, or part or product thereof, shall
be released from Customs custody, except as permitted under
Sec. 12.26(i) relating to an in-bond movement to a port designated for
wildlife entry, if the port director has knowledge of a foreign law or
regulation obliging enforcement of section 527(a), Tariff Act of 1930
(19 U.S.C. 1527(a)), unless the importation is an excepted transaction
entitled to entry under the provisions of section 527(c) of the Tariff
Act or, in connection with the entry, there is presented documentation
in the manner specified in 50 CFR 17.4(c) (1) or (2) required for import
transactions subject to foreign laws or regulations regarding taking,
transportation, or sale of wildlife including wild mammals and birds or
parts or products thereof (see Sec. 12.26).
[T.D. 70-242, 35 FR 17994, Nov. 24, 1970, as amended by T.D. 82-145, 47
FR 35476, Aug. 16, 1982]
Sec. 12.29 Plumage and eggs of wild birds.
(a) The provisions of Chapter 5, Additional U.S. Note 1, relating to
the plumage of any bird, apply to all such plumage, whether imported
separately or upon the bird itself, except (1) the feathers of birds
specifically excepted by Additional U.S. Note 1 to Chapter 5, Harmonized
Tariff Schedule of the United States (HTSUS), (2) plumage imported for
scientific or educational purposes, (3) fully-manufactured artificial
flies used for fishing, (4) plumage on game birds killed in foreign
countries by residents of the United States and not imported for sale or
other commercial purposes, and (5) plumage on live wild birds.
(b) The feathers or skins of certain birds may be imported for use
in the manufacture of artificial flies used for fishing or for millinery
purposes only under a permit issued by the Fish and Wildlife Service,
United States Department of Interior, Washington DC 20240. No feathers
or skins of the pro-species provided for by Additional U.S. Note 1,
Chapter 5, HTSUS, shall be permitted to be entered, or withdrawn from
warehouse, for consumption, unless the requisite permit is presented
with the entry or withdrawal.
(c) The importation of the eggs of wild nongame birds is prohibited
except as dead natural history specimens for museum or scientific
collection purposes. The eggs of migratory birds may be imported for
propagating purposes or for scientific and other limited purposes under
permits issued by the Fish and Wildlife Service, U.S. Department of the
Interior, Washington, DC 20240. State game departments, municipal game
farms or parks, and public museums, zoological parks or societies, and
scientific or educational institutions may import the eggs of migratory
birds without a permit (50 CFR 16.3). The eggs of certain game or
migratory birds imported for hatching, such as ducks, geese, swans,
turkeys, pigeons, doves, pheasant, grouse, partridges, quail, guinea
fowl, and pea fowl, are subject to the regulations of the Animal and
Plant Health Inspection Service, Veterinary Services, U.S. Department of
Agriculture, Washington, DC 20250. Such regulations require that
permits, except for eggs from Canada offered for entry at certain land
border ports, must be obtained before the eggs are shipped from the
country of origin and that all eggs shall be accompanied by a
certificate
[[Page 448]]
issued by a national government veterinarian of the country of origin
and inspected at a designated port of entry.
(d) Upon the attempted importation of eggs of wild birds, the
importation of which is prohibited by Chapter 4, Additional U.S. Note
26, the eggs shall be seized and the importer accorded an opportunity to
assent to forfeiture. In the event the importer refuses or fails to
assent to the forfeiture of the prohibited eggs, the port director shall
proceed to forfeit them under the provisions of the tariff act
applicable to seizure and forfeiture of merchandise valued at less than
$2,500.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 66-68, 31 FR 5358, Apr.
5, 1966; T.D. 78-99, 43 FR 13060, Mar. 29, 1978; T.D. 82-145, 47 FR
35476, Aug. 16, 1982; T.D. 89-1, 53 FR 51253, Dec. 21, 1988; T.D. 97-82,
62 FR 51770, Oct. 3, 1997]
Sec. 12.30 Whaling.
The importation and exportation of whales or whale products taken or
processed in violation of the International Convention for the
Regulation of Whaling signed at Washington under date of December 2,
1946 (Publication No. 3383, Department of State, Whaling Convention), or
of the Whaling Convention Act of 1949 (16 U.S.C. 916 through 916(1)), or
of any regulation issued under the Act (50 CFR part 351) is unlawful.
Customs officers and employees shall perform all functions required of
them by the above-mentioned convention, law and regulation.
[T.D. 89-1, 53 FR 51253, Dec. 21, 1988]
Sec. 12.31 Plant pests.
The importation in a live state of insects which are injurious to
cultivated crops, including vegetables, field crops, bush fruits, and
orchard, forest or shade trees, and of the eggs, pupae, or larvae of
such insects, except for scientific purposes under regulations
prescribed by the Secretary of Agriculture, is prohibited. All packages
containing live insects or their eggs, pupae, or larvae arriving from
abroad, unless accompanied by a permit issued by the Department of
Agriculture, shall be detained and submitted to the U.S. Department of
Agriculture, Animal and Plant Health Inspection Service, Plant
Protection and Quarantine Programs of that Department for inspection and
determination of their admissibility into the United States.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 78-99, 43 FR 13060, Mar.
29, 1978; T.D. 82-145, 47 FR 35476, Aug. 16, 1982; T.D. 89-1, 53 FR
51253, Dec. 21, 1988]
Sec. 12.32 Honeybees and honeybee semen.
(a) Honeybees from any country may be imported into the U.S. by the
Department of Agriculture for experimental or scientific purposes. All
other importations of honeybees are prohibited except those from a
country which the Secretary of Agriculture has determined to be free of
diseases dangerous to honeybees.
(b) Honeybee semen may be imported into the U.S. only from countries
determined by the Secretary of Agriculture to be free of undesirable
honeybees, and which take adequate precautions to prevent the
importation of undersirable honeybees and their semen.
(c) The importation of honeybees and honeybee semen is governed by
joint regulations of the Secretary of Agriculture and the Secretary of
the Treasury published in Treasury Decisions and the Federal Register
from time to time.
[T.D. 85-3, 50 FR 1044, Jan. 9, 1985, as amended by T.D. 89-1, 53 FR
51253, Dec. 21, 1988]
Tea
Sec. 12.33 Importation of tea; entry; examination for customs purposes.
(a) The importation of any merchandise as tea which is inferior in
purity, quality, and fitness for consumption to the standards prescribed
by the Act of March 2, 1897, as amended (21 U.S.C. 41 through 50), is
prohibited. Customs officers and employees shall perform all duties
required of them by the said act and regulations.
(b) The importation of tea is subject also to the provisions of the
Federal Food, Drug, and Cosmetic Act and the regulations thereunder. See
Sec. Sec. 12.1 to 12.5.
(c) [Reserved]
(d) The port director may order such an examination of packages
containing tea as will satisfy him that no dutiable
[[Page 449]]
goods are packed therein. For this purpose the customary designation
shall be made of packages for examination in public stores.
(e) If the invoice has not been received, the importer may use an
additional copy of the chop list and release permit required by the
regulations of the Department of Health and Human Services as a pro
forma invoice, marking ``Pro forma invoice'' across the face thereof.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 78-99, 43 FR 13060, Mar.
29, 1978; T.D. 82-145, 47 FR 35477, Aug. 16, 1982; T.D. 84-213, 49 FR
41167, Oct. 19, 1984; T.D. 89-1, 53 FR 51253, Dec. 21, 1988; T.D. 97-82,
62 FR 51770, Oct. 3, 1997]
White Phosphorus Matches
Sec. 12.34 Importation prohibited; certificate of inspection;
importer's declaration.
(a) The importation into the United States of white phosphorus
matches is prohibited.
(b) Invoices covering matches imported into the United States shall
be accompanied by a certificate of official inspection of the Government
of the country of manufacture in the following form:
Certificate of Official Inspection of Matches
I, ---------------- (Name), do hereby certify that I am the --------
---- (Official title), that according to the chemical analysis made by
me the matches described below do not contain white or yellow phosphorus
and that therefore they are not white phosphorus matches as defined in
the Act of Congress of the United States of America approved April 9,
1912;
------------------------------------------------------------------------
Name of
consignee and
Number of case Description of Name and address address, vessel,
mark matches of manufacturer and date of
shipment
------------------------------------------------------------------------
.................. .................. ................
.................. .................. ................
.................. .................. ................
------------------------------------------------------------------------
______________________________________________________________________
(Signature)
______________________________________________________________________
(Official title)
(c) In the absence of such certificate, the matches shall be
detained until a certificate is produced or the importer submits
satisfactory evidence to show that the matches were not in fact
manufactured with the use of poisonous white or yellow phosphorus.
(d) The production of the above certificate shall not be required on
the entry of matches manufactured in countries which prohibit the use of
white or yellow phosphorus in the manufacture of matches.
(e) At the time of filing an entry for imported matches, the
importer shall make a declaration that to the best of his knowledge and
belief no matches included in the invoice and entry are white phosphorus
matches.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 82-145, 47 FR 35477,
Aug. 16, 1982; T.D. 89-1, 53 FR 51253, Dec. 21, 1988]
Sec. 12.35 [Reserved]
Narcotic Drugs
Sec. 12.36 Regulations of Bureau of Narcotics.
The importation and exportation of narcotic drugs are governed by
regulations of the Drug Enforcement Administration Bureau of Narcotics.
Customs officers and employees shall perform all duties imposed upon
them by such regulations and the laws under which they are issued. Such
regulations are in addition to, and not in lieu of, the Customs,
internal-revenue, and other pertinent laws and regulations.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 78-99, 43 FR 13060, Mar.
29, 1978; T.D. 82-145, 47 FR 35477, Aug. 16, 1982; T.D. 89-1, 53 FR
51253, Dec. 21, 1988]
Liquors
Sec. 12.37 Restricted importations.
(a) The basic permit requirements prescribed by the act of August
29, 1935 (27 U.S.C. 203), shall not be deemed applicable when the port
director is satisfied that the liquor is for personal use or for
experimental purposes in the making of analyses, tests, or comparisons.
(b) The production of a basic permit shall not be required when
spirits are withdrawn from warehouse under any form of withdrawal entry.
(c) Blending or rectifying of wines or distilled spirits in class 6
manufacturing warehouses, or the bottling of
[[Page 450]]
imported distilled spirits in class 8 manipulation warehouses, shall not
be permitted unless the proprietor has obtained an appropriate permit
from the Bureau of Alcohol, Tobacco and Firearms.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 78-329, 43 FR 43454,
Sept. 26, 1978; T.D. 82-145, 47 FR 35477, Aug. 16, 1982; T.D. 89-1, 53
FR 51253, Dec. 21, 1988]
Sec. 12.38 Labeling requirements; shipments.
All shipments of liquor not labeled as required by 18 U.S.C. 1263
and any vessel or vehicle, other than a common carrier, used in the
transportation of such liquor shall be seized and disposed of in
accordance with 18 U.S.C. 3615 .
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 70-249, 35 FR 18265,
Dec. 1, 1970; T.D. 82-145, 47 FR 35477, Aug. 16, 1982; T.D. 89-1, 53 FR
51253, Dec. 21, 1988; CBP Dec. 04-28, 69 FR 52599, Aug. 27, 2004 ; CBP
Dec. 08-25, 73 FR 40725, July 16, 2008]
Unfair Competition
Sec. 12.39 Imported articles involving unfair methods of competition or
practices.
(a) Determinations of the International Trade Commission. Under
section 337 of the Tariff Act of 1930, as amended (19 U.S.C. 1337),
unfair methods of competition and unfair practices in the importation or
sale of articles, the effect or tendency of which is to destroy,
substantially injure, or prevent the establishment of an efficiently and
economically operated United States industry, or to restrain or
monopolize trade and commerce in the United States, are unlawful. After
an investigation of an alleged violation of section 337, the U.S.
International Trade Commission (``the Commission'') may determine that
section 337 has been violated. The Commission also may determine during
the course of its investigation that there is reason to believe that a
violation of section 337 exists. The Commission's determination in
either case is effective on the date of its publication in the Federal
Register and is referred to the President, who may disapprove the
determination for policy reasons on or before the close of a 60-day
period beginning on the day after the day he receives a copy of the
determination. A Commission determination disapproved by the President
shall have no force or effect as of the date the Commission is notified
of his disapproval. If the Commission's determination is not disapproved
by the President during the 60-day period, or if he notifies the
Commission before the close of the period that he approves the
determination, the determination becomes final on the day after the
close of the period or the day of the notification, whichever is
earlier.
(b) Exclusion from entry; entry under bond; notice of exclusion
order. (1) If the Commission finds a violation of section 337, or reason
to believe that a violation exists, it may direct the Secretary of the
Treasury to exclude from entry into the United States the articles
concerned which are imported by the person violating or suspected of
violating section 337. The Commission's exclusion order remains in
effect until the Commission determines, and notifies the Secretary of
the Treasury, that the conditions which led to the exclusion no longer
exist, or until the determination of the Commission on which the order
is based is disapproved by the President.
(2) During the period the Commission's exclusion order remains in
effect, excluded articles may be entered under a single entry bond in an
amount determined by the International Trade Commission to be sufficient
to protect the complainant from any injury. On or after the date that
the Commission's determination of a violation of section 337 becomes
final, as set forth in paragraph (a) of this section, articles covered
by the determination will be refused entry. If a violation of section
337 is found, the bond may be forfeited to the complainant under terms
and conditions prescribed by the Commission. To enter merchandise that
is the subject of a Commission exclusion order, importers must:
(i) File with the port director prior to entry a bond in the amount
determined by the Commission that contains the conditions identified in
the special importation and entry bond set forth in appendix B to part
113 of this chapter; and
[[Page 451]]
(ii) Comply with the terms set forth in 19 CFR 210.50(d) in the
event of a forfeiture of this bond.
(3) Port directors shall notify each importer or consignee of
articles released under bond pursuant to paragraph (b)(2) of this
section when the Commission's determination of a violation of section
337 becomes final and that entry of the articles is refused. The
importer or consignee shall export or destroy the released articles
under customs supervision within 30 days after the date of notification.
The port director who released the articles shall assess liquidated
damages in the full amount of the bond if the importer or consignee
fails to export or destroy the released articles under Customs
supervision within the 30-day period.
(4) In addition to the notice given to importers or consignees of
articles released under bond, port directors shall provide written
notice to all owners, importers or consignees of articles which are
denied entry into the United States pursuant to an exclusion order that
any future attempt to import such articles may result in the articles
being seized and forfeited. Copies of all such notices are to be
forwarded to the Executive Director, Commercial Targeting and
Enforcement, Office of International Trade, at CBP Headquarters, and to
the Office of The General Counsel, USITC, 500 E Street, SW., Washington,
DC 20436 by port directors.
(c) Seizure and Forfeiture Orders. (1) In addition to issuing an
exclusion order under paragraph (b)(1) of this section, the Commission
may issue an order providing that any article determined to be in
violation of Sec. 337 be seized and forfeited to the United States. Such
order may be issued if:
(i) The owner, importer, or consignee of the article previously
attempted to import the article or like articles into the United States;
(ii) The article or like articles were previously denied entry into
the United States by reason of an exclusion order issued under paragraph
(b)(1) of this section; and
(iii) Upon such previous denial of entry, the port director of the
port in which the entry was attempted had notified the owner, importer,
or consignee of the article in writing of both the exclusion order and
that seizure and forfeiture would result from any further attempt to
import the article or like articles into the United States.
(2) Upon receipt of any seizure order issued by the Commission in
accordance with this paragraph, Customs shall immediately notify all
ports of entry of the property subject to the seizure order and identify
the persons notified under paragraph (b)(4) of this section.
(3) The port director in the port in which the article was seized
shall issue a notice of seizure to parties known to have an interest in
the seized property. All interested parties to the property shall have
an opportunity to petition for relief under the provisions of 19 CFR
part 171. All petitions must be filed within 30 days of the date of
issuance of the notice of seizure, and failure of a claimant to petition
will result in the commencement of administrative forfeiture
proceedings. All petitions will be decided by the appropriate Customs
officer, based upon the value of the articles under seizure.
(4) If seized articles are found to be not includable in an order
for seizure and forfeiture, then the seizure and the forfeiture shall be
remitted in accordance with standard Customs procedures.
(5) Forfeited merchandise shall be disposed of in accordance with
the Customs laws.
(d) Certain importations by or for the United States. Any exclusion
from entry under section 337 based on claims of United States letters
patent shall not apply to articles imported by and for the use of the
United States, or imported for, and to be used for, the United States
with the authorization or consent of the Government.
(e) Importations of semiconductor chip products. (1) In accordance
with the Semiconductor Chip Protection Act of 1984 (17 U.S.C. 901 et
seq.), if the owner of a mask work which is registered with the
Copyright Office seeks to have CBP deny entry to any imported
semiconductor chip products which infringe his rights in such mask work,
the owner must obtain a court order enjoining, or an order of the U.S.
International Trade Commission (USITC), under section 337, Tariff Act of
1930, as
[[Page 452]]
amended (19 U.S.C.1337), excluding, importation of such products.
Exclusion orders issued by the USITC are enforceable by CBP under
paragraph (b) of this section. Court orders or exclusion orders issued
by the USITC shall be forwarded, for enforcement purposes, to the
Director, Border Security and Trade Compliance Division, Office of
International Trade, U.S. Customs and Border Protection, Washington, DC
20229.
(2) The port director shall enforce any court order or USITC
exclusion order based upon a mask work registration in accordance with
the terms of such order. Court orders may require either denial of entry
or the seizure of violative semiconductor chip products. Forfeiture
proceedings in accordance with part 162 of this chapter shall be
instituted against any such products so seized.
(3) This regulation will be effective against all importers
regardless of whether they have knowledge that their importations are in
violation of the Semiconductor Chip Protection Act of 1984 (17 U.S.C.
901 through 904).
[T.D. 79-231, 44 FR 49247, Aug. 22, 1979, as amended by T.D. 84-213, 49
FR 41167, Oct. 19, 1984; T.D. 87-132, 52 FR 39221, Oct. 21, 1987; T.D.
95-87, 60 FR 54941, Oct. 27, 1995; T.D. 99-27, 64 FR 13675, Mar. 22,
1999; T.D. 00-87, 65 FR 77815, Dec. 13, 2000; 65 FR 80497, Dec. 21,
2000]
Immoral Articles
Sec. 12.40 Seizure; disposition of seized articles; reports to United
States attorney.
(a) Any book, pamphlet, paper, writing, advertisement, circular,
print, picture, or drawing containing any matter advocating or urging
treason or insurrection against the United States or forcible resistance
to any law of the United States, or containing any threat to take the
life of or inflict bodily harm upon any person in the United States,
seized under section 305, Tariff Act of 1930, shall be transmitted to
the United States attorney for his consideration and action.
(b) Upon the seizure of articles or matter prohibited entry by
section 305, Tariff Act of 1930 (with the exception of the matter
described in paragraph (a) of this section), a notice of the seizure of
such articles or matter shall be sent to the consignee or addressee.
(c) When articles of the class covered by paragraph (b) of this
section are of small value and no criminal intent is apparent, a blank
assent to forfeiture, Customs Form 4607, shall be sent with the notice
of seizure. Upon receipt of the assent to forfeiture duly executed, the
articles shall be destroyed if not needed for official use and the case
closed.
(d) In the case of a repeated offender or when the facts indicate
that the importation was made deliberately with intent to evade the law,
the facts and evidence shall be submitted to the United States attorney
for consideration of prosecution of the offender as well as an action in
rem under section 305 for condemnation of the articles.
(e) All cases in which articles have been seized pursuant to 19
U.S.C. 1305(a) should be referred to the U.S. Attorney, for possible
institution of condemnation proceedings, within 4 days, but in no event
more than 14 days, after the date of Customs initial examination. The
referral to the U.S. Attorney should be initiated simultaneously with
the mailing to the importer of the seizure notice and the assent to
forfeiture form. If the importer declines to execute an assent to
forfeiture of the articles other than those mentioned in paragraph (a)
of this section and fails to submit, within 30 days after being notified
of his privilege to do so, a petition under section 618, Tariff Act of
1930 (19 U.S.C. 1618), for remission of the forfeiture and permission to
export the seized articles, then the U.S. Attorney, who has already
received information concerning the seizure pursuant to this paragraph,
may proceed with the condemnation action.
(f) If seizure is made of books or other articles which do not
contain obscene matter but contain information or advertisements
relative to means of causing unlawful abortion, the procedure outlined
in paragraphs (b), (c), (d), and (e) of this section shall be followed.
(g) In any case when a book is seized as being obscene and the
importer declines to execute an assent to forfeiture on the ground that
the book is
[[Page 453]]
a classic, or of recognized and established literary or scientific
merit, a petition addressed to the Secretary of the Treasury with
evidence to support the claim may be filed by the importer for release
of the book. Mere unsupported statements or allegations will not be
considered. If the ruling is favorable, release of such book shall be
made only to the ultimate consignee.
(h) Whenever it clearly appears from information, instructions,
advertisements enclosed with or appearing on any drug or medicine or its
immediate or other container, or otherwise that such drug or medicine is
intended for inducing unlawful abortion, such drug or medicine shall be
detained or seized.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 71-165, 36 FR 12209,
June 29, 1971; T.D. 76-261, 41 FR 39022, Sept. 14, 1976; T.D. 82-145, 47
FR 35477, Aug. 16, 1982; T.D. 85-186, 50 FR 47207, Nov. 15, 1985; T.D.
93-66, 58 FR 44130, Aug. 19, 1993]
Sec. 12.41 Prohibited films.
(a) Importers of films, shall certify on Customs Form 3291 that the
imported films contain no obscene or immoral matter, nor any matter
advocating or urging treason or insurrection against the United States
or forcible resistance to any law of the United States, nor any threat
to take the life or inflict bodily harm upon any person in the United
States. When imported films are claimed to be free of duty as American
goods returned, this certification may be made on Customs Form 3311 in
the space designated ``Remarks'' in lieu of on Form 3291.
(b) Films exposed abroad by a foreign concern or individual shall be
previewed by a qualified employee of the Customs Service before release.
In case such films are imported as undeveloped negatives exposed abroad,
the approximate number of feet shall be ascertained by weighing before
they are allowed to be developed and printed and such film shall be
previewed by a qualified employee of the Customs Service after having
been developed and printed.
(c) Any objectionable film shall be detained pending instructions
from Headquarters, U.S. Customs Service or a decision of the court as to
its final disposition.
Merchandise Produced By Convict, Forced, or Indentured Labor
Sec. 12.42 Findings of Commissioner of Customs.
(a) If any port director or other principal Customs officer has
reason to believe that any class of merchandise that is being, or is
likely to be, imported into the United States is being produced, whether
by mining, manufacture, or other means, in any foreign locality with the
use of convict labor, forced labor, or indentured labor under penal
sanctions, including forced child labor or indentured child labor under
penal sanctions, so as to come within the purview of section 307, Tariff
Act of 1930, he shall communicate his belief to the Commissioner of
Customs. Every such communication shall contain or be accompanied by a
statement of substantially the same information as is required in
paragraph (b) of this section, if in the possession of the port director
or other officer or readily available to him.
(b) Any person outside the Customs Service who has reason to believe
that merchandise produced in the circumstances mentioned in paragraph
(a) of this section is being, or is likely to be, imported into the
United States and, if the production is with the use of forced labor or
indentured labor under penal sanctions, that merchandise of the same
class is being produced in the United States in such quantities as to
meet the consumptive demands of the United States may communicate his
belief to any port director or the Commissioner of Customs. Every such
communication shall contain, or be accompanied by, (1) a full statement
of the reasons for the belief, (2) a detailed description or sample of
the merchandise, and (3) all pertinent facts obtainable as to the
production of the merchandise abroad. If the foreign merchandise is
believed to be mined, produced, or manufactured with the use of forced
labor or indentured labor under penal sanctions, such communication
shall also contain (4) detailed information as to the production and
consumption of the particular class of merchandise in the United States
and the names and addresses of domestic producers likely to be
interested in the matter.
[[Page 454]]
(c) If any information filed with a port director pursuant to
paragraph (b) of this section does not conform with the requirements of
that paragraph, the communication shall be returned promptly to the
person who submitted it with detailed written advice as to the respects
in which it does not conform. If such information is found to comply
with the requirements, it shall be transmitted by the port director
within 10 days to the Commissioner of Customs, together with all
pertinent additional information available to the port director.
(d) Upon receipt by the Commissioner of Customs of any communication
submitted pursuant to paragraph (a) or (b) of this section and found to
comply with the requirements of the pertinent paragraph, the
Commissioner will cause such investigation to be made as appears to be
warranted by the circumstances of the case and the Commissioner or his
designated representative will consider any representations offered by
foreign interests, importers, domestic producers, or other interested
persons.
(e) If the Commissioner of Customs finds at any time that
information available reasonably but not conclusively indicates that
merchandise within the purview of section 307 is being, or is likely to
be, imported, he will promptly advise all port directors accordingly and
the port directors shall thereupon withhold release of any such
merchandise pending instructions from the Commissioner as to whether the
merchandise may be released otherwise than for exportation.
(f) If it is determined on the basis of the foregoing that the
merchandise is subject to the provisions of the said section 307, the
Commissioner of Customs, with the approval of the Secretary of the
Treasury, will publish a finding to that effect in a weekly issue of the
Customs Bulletin and in the Federal Register.
(g) Any merchandise of a class specified in a finding made under
paragraph (f) of this section, which is imported directly or indirectly
from the locality specifed in the findings and has not been released
from Customs custody before the date of publication of such finding in
the Federal Register shall be considered and treated as an importation
prohibited by section 307, Tariff Act of 1930, unless the importer
establishes by satisfactory evidence that the merchandise was not mined,
produced, or manufactured in any part with the use of a class of labor
specified in the finding.
(h) The following findings made under the authority of section 307,
Tariff Act of 1930 are currently in effect with respect to the
merchandise listed below:
------------------------------------------------------------------------
Merchandise Country T.D.
------------------------------------------------------------------------
Furniture, clothes hampers, and palm Ciudad Victoria, 53408
leaf bags. Tamaulipas, Mexico. 54725
------------------------------------------------------------------------
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 89-1, 53 FR 51253, Dec.
21, 1988; T.D. 00-52, 65 FR 45875, July 26, 2000]
Sec. 12.43 Proof of admissibility.
(a) If an importer of any article detained under Sec. 12.42(e) or
(g) desires to contend that the article was not mined, produced, or
manufactured in any part with the use of a class of labor specified in
section 307, Tariff Act of 1930, he shall submit to the Commissioner of
Customs within 3 months after the date the article was imported a
certificate of origin in the form set forth below, signed by the foreign
seller or owner of the article. If the article was mined, produced, or
manufactured wholly or in part in a country other than that from which
it was exported to the United States, an additional certificate in such
form and signed by the last owner or seller in such other country,
substituting the facts of transportation from such other country for the
statements with respect to shipment from the country of exportation,
shall be so submitted.
Certificate of Origin
I, ----------------, foreign seller or owner of the merchandise
hereinafter described, certify that such merchandise, consisting of ----
------------ (Quantity) of ---------------- (Description) in ----------
---------- (Number and kind of packages) bearing the following marks and
numbers ------------ was mined, produced, or manufactured by ----------
------ (Name) at or near ----------------, and was laden on board ------
-------------- (Carrier to the United
[[Page 455]]
States) at ---------------- (Place of lading) (Place of final departure
from country of exportation) which departed from on ------------;
(Date); and that -------------------- (Class of labor specified in
finding) was not employed in any stage of the mining, production, or
manufacture of the merchandise or of any component thereof.
Dated ------------
______________________________________________________________________
(Signature)
(b) The importer shall also submit to the Commissioner of Customs
within such 3-month period a statement of the ultimate consignee of the
merchandise, showing in detail that he had made every reasonable effort
to determine the source of the merchandise and of every component
thereof and to ascertain the character of labor used in the production
of the merchandise and each of its components, the full results of his
investigation, and his belief with respect to the use of the class of
labor specified in the finding in any stage of the production of the
merchandise or of any of its components.
(c) If the certificate or certificates and statements specified in
paragraphs (a) and (b) of this section are submitted within the time
prescribed and the Commissioner finds that the merchandise is
admissible, the port director concerned will be advised to that effect,
whereupon he shall release the merchandise upon compliance with the
usual entry requirements.
Sec. 12.44 Disposition.
(a) Export and abandonment. Merchandise detained pursuant to
Sec. 12.42(e) may be exported at any time prior to seizure pursuant to
paragraph (b) of this section, or before it is deemed to have been
abandoned as provided in this section, whichever occurs first. Provided
no finding has been issued by the Commissioner of Customs under
Sec. 12.42(f) and the merchandise has not been exported within 3 months
after the date of importation, the port director will ascertain whether
the proof specified in Sec. 12.43 has been submitted within the time
prescribed in that section. If the proof has not been timely submitted,
or if the Commissioner of Customs advises the port director that the
proof furnished does not establish the admissibility of the merchandise,
the port director will promptly advise the importer in writing that the
merchandise is excluded from entry. Upon the expiration of 60 days after
the delivery or mailing of such advice by the port director, the
merchandise will be deemed to have been abandoned and will be destroyed,
unless it has been exported or a protest has been filed as provided for
in section 514, Tariff Act of 1930.
(b) Seizure and summary forfeiture. In the case of merchandise
covered by a finding under Sec. 12.42(f), if the Commissioner of Customs
advises the port director that the proof furnished under Sec. 12.43 does
not establish the admissibility of the merchandise, or if no proof has
been timely furnished, the port director shall seize the merchandise for
violation of 19 U.S.C. 1307 and commence forfeiture proceedings pursuant
to part 162, subpart E, of this chapter.
(c) Prison-labor goods. Nothing in this chapter precludes Customs
from seizing for forfeiture merchandise imported in violation of 18
U.S.C. 1761 and 1762 concerning prison-labor goods.
[T.D. 00-52, 65 FR 45875, July 26, 2000]
Sec. 12.45 Transportation and marketing of prison-labor products.
If any apparent violation of section 1761 or 1762, title 18, United
States Code, with respect to any imported article comes to the attention
of a port director, he shall detain the article and report the facts to
the appropriate United States attorney. If the United States attorney
advises the port director that action should be taken against the
article, it shall be seized and held pending the receipt of further
instructions from the United States attorney or the court.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 89-1, 53 FR 51253, Dec.
21, 1988]
Counterfeit Coins, Obligations, and Other Securities; Illustrations or
Reproductions of Coins or Stamps
Sec. 12.48 Importation prohibited; exceptions to prohibition of
importation; procedure.
(a) In accordance with Chapter 25, Title 18, United States Code, any
token, disk, or device in the likeness or similitude of any coin of the
United
[[Page 456]]
States or of a foreign country; counterfeits of coins in circulation in
the United States; counterfeited, forged, or altered obligations or
other securities of the United States or of any foreign government; or
plates, dies, or other apparatus which may be used in making any of the
foregoing, when brought into the United States, shall be seized, and
delivered to the nearest representative of the United States Secret
Service, together with a report of the facts, for appropriate
disposition.
(b) In accordance with section 504 of title 18, United States Code,
the printing, publishing, or importation or the making or importation of
the necessary plates for such printing or publishing for philatelic,
numismatic, educational, historical, or newsworthy purposes in articles,
books, journals, newspapers, or albums (but not for advertising
purposes, except illustrations of stamps and paper money in philatelic
or numismatic advertising of legitimate numismatists and dealers in
stamps or publishers of or dealers in philatelic or numismatic articles,
books, journals, newspapers, or albums) of black and white illustrations
of canceled and uncanceled United States postage stamps shall be
permitted.
(c) The importation (but not for advertising purposes except
philatelic advertising) of motion-picture films, microfilms, or slides,
for projection upon a screen or for use in telecasting, of postage and
revenue stamps and other obligations and securities of the United States
and postage and revenue stamps, notes, bonds, and other obligations or
securities of any foreign government, bank, or corporation shall be
permitted.
(d) Printed matter of the character described in section 504, title
18, United States Code, \32\ containing reproductions of postage or
revenue stamps, executed in accordance with any exception stated in
section 504, or colored reproductions of canceled foreign postage stamps
may be admitted to entry. Printed matter containing illustrations or
reproductions not executed in accordance with such exceptions shall be
treated as prohibited importations.
[[Page 457]]
If no application for exportation or assent to forfeiture and
destruction is received by the port director within 30 days from the
date of notification to the importer that the articles are prohibited,
the articles shall be reported to the United States attorney for
forfeiture.
---------------------------------------------------------------------------
\32\ Notwithstanding any other provision of this chapter, the
following are permitted:
(1) The printing, publishing, or importation, or the making or
importation of the necessary plates for such printing or publishing, of
illustrations of:
(A) Postage stamps of the United States,
(B) Revenue stamps of the United States,
(C) Any other obligation or other security of the United States, and
(D) Postage stamps, revenue stamps, notes, bonds, and any other
obligation or other security of any foreign government, bank, or
corporation, for philatelic, numismatic, educational, historical, or
newsworthy purposes in articles, books, journals, newspapers, or albums
(but not for advertising purposes, except illustrations of stamps and
paper money in philatelic or numismatic advertising of legitimate
numismatists and dealers in stamps or publishers of or dealers in
philatelic or numismatic articles, books, journals, newspapers, or
albums). Illustrations permitted by the foregoing provisions of this
section shall be made in accordance with the following conditions--
(i) All illustrations shall be in black and white, except that
illustrations of postage stamps issued by the United States or by any
foreign government may be in color;
(ii) All illustrations (including illustrations of uncanceled
postage stamps in color) shall be of a size less than three-fourths or
more than one and one-half, in linear dimension, of each part of any
matter so illustrated which is covered by subparagraph (A), (B), (C), or
(D) of this paragraph, except that black and white illustrations of
postage and revenue stamps issued by the United States or by any foreign
government and colored illustrations of canceled postage stamps issued
by the United States may be in the exact linear dimension in which the
stamps were issued; and
(iii) The negatives and plates used in making the illustrations
shall be destroyed after their final use in accordance with this
section.
(2) The making or importation, but not for advertising purposes
except philatelic advertising, of motion-picture films, microfilms, or
slides, for projection upon a screen or for use in telecasting, of
postage and revenue stamps and other obligations and securities of the
United States, and postage and revenue stamps, notes, bonds, and other
obligations or securities of any foreign government, bank, or
corporation. No prints or other reproductions shall be made from such
films or slides, except for the purposes of paragraph (1), without the
permission of the Secretary of the Treasury.
For the purposes of this section the term ``postage stamp'' includes
``postage meter stamps.'' (18 U.S.C. 504).
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 82-145, 47 FR 35477,
Aug. 16, 1982; T.D. 89-1, 53 FR 51253, Dec. 21, 1988]
Consumer Products and Industrial Equipment Subject to Energy
Conservation or Labeling Standards
Sec. 12.50 Consumer products and industrial equipment subject to energy
conservation or labeling standards.
(a) Definitions. For purposes of this section, the following terms
have the meanings indicated:
Covered import. The term ``covered import'' means a consumer product
or industrial equipment that is classified by the Department of Energy
as covered by an applicable energy conservation standard, or by the
Federal Trade Commission as covered by an applicable energy labeling
standard, pursuant to the Energy Policy and Conservation Act of 1975, as
amended (42 U.S.C. 6291-6317), and for which an entry for consumption
has been filed, including products and equipment withdrawn from
warehouse for consumption or foreign merchandise entered for consumption
from a foreign trade zone.
DOE. The term ``DOE'' means the Department of Energy.
Energy conservation standard. The term ``energy conservation
standard'' means any standard meeting the definitions of that term in 42
U.S.C. 6291(6) or 42 U.S.C. 6311(18).
FTC. The term ``FTC'' means the Federal Trade Commission.
Noncompliant covered import. The term ``noncompliant covered
import'' means a covered import determined to be in violation of 42
U.S.C. 6302 or 42 U.S.C. 6316 as not in compliance with applicable
energy conservation or energy labeling standards.
(b) CBP action; refusal of admission. CBP will refuse admission into
the customs territory of the United States to any covered import found
to be noncompliant with applicable energy conservation or energy
labeling standards. If DOE or FTC notifies CBP that a covered import
does not comply with an applicable energy conservation or energy
labeling standard, CBP will refuse admission to the covered import, or
pursuant to paragraph (d) of this section, CBP may allow conditional
release of the covered import so that it may be brought into compliance.
CBP may make a finding that a covered import is noncompliant without
having received a prior written noncompliance notice from DOE or FTC. In
such a situation, CBP will confer with DOE or FTC, as applicable, as to
disposition of the import.
(c) DOE or FTC notice. Upon a determination that a covered import is
not in compliance with applicable energy conservation or labeling
standards, DOE or FTC, as applicable, will provide CBP with a written or
electronic notice that identifies the importer and contains a
description of the noncompliant covered import that is sufficient to
enable CBP to identify the subject merchandise and refuse admission
thereof into the customs territory of the United States.
(d) Conditional release. In lieu of immediate refusal of admission
into the customs territory of the United States, CBP, pursuant to a
written or electronic recommendation from DOE or FTC, may permit the
release of a noncompliant covered import to the importer of record for
purposes of reconditioning, re-labeling, or other modification. The
release from CBP custody of any such covered import will be deemed
conditional and subject to the bond conditions set forth in Sec. 113.62
of this chapter. Conditionally released covered imports are subject to
the jurisdiction of DOE and/or FTC.
(1) Duration. Unless extended in accordance with paragraph (d)(2) of
this section, the conditional release period will terminate upon the
earliest occurring of the following events:
(i) The date CBP issues a notice of refusal of admission to the
importer;
(ii) The date DOE or FTC issues a notice to CBP stating that the
covered import is in compliance and may proceed; or
(iii) At the conclusion of the 30-day period following the date of
release.
[[Page 458]]
(2) Extension. An importer may request an extension of the
conditional release period from DOE or FTC if made within the initial
30-day conditional release period or any subsequent authorized extension
thereof. CBP may permit an extension of the conditional release period
if recommended electronically or in writing, by DOE or FTC.
(3) Issuance of redelivery notice and demand for redelivery. If DOE
or FTC notifies CBP in writing or electronically that noncompliant
covered imports have not timely been brought into compliance, CBP will
issue a refusal of admission notice to the importer and, in addition,
CBP will demand the redelivery of the specified covered import to CBP
custody. The demand for redelivery may be made concurrently with the
notice of refusal of admission.
(4) Liquidated damages. A failure to comply with a demand for
redelivery made under this paragraph (d) will result in the assessment
of liquidated damages equal to three times the value of the covered
product. Value as used in this provision means value as determined under
19 U.S.C. 1401a.
[78 FR 40390, July 5, 2013]
Fur-Seal or Sea-Otter Skins
Sec. 12.60 Importation prohibited.
The transportation, importation, sale, or possession of the skins of
fur seals or sea otters is prohibited if such skins were taken contrary
to the provisions of section 2 of the act of February 26, 1944 (58 Stat.
100-104) or, the case of such skins taken under the authority of the act
or any fur-seal agreement, if the skins are not officially marked and
certified as required by section 2 of the act. Section 16 makes the act
inapplicable to skins taken for scientific purposes under a special
permit.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 89-1, 53 FR 51253, Dec.
21, 1988]
Sec. 12.61 Fur-seal or sea-otter skins permitted entry.
(a) Fur-seal or sea-otter skins taken by Indians, Aleuts, or other
aborigines under the authority of section 3 of the act, fur-seal skins
taken under the authority of the Canadian Government, and fur-seal skins
taken on the Pribilof Islands and other specified areas under the
authority of section 4 of the act shall be admitted to entry if
officially marked and certified as having been lawfully taken and if
accompanied by a declaration of the shipper identifying the skins by
marks and numbers as those covered by the official certificate.
(b) Fur-seal or sea-otter skins taken in waters or on land not
specified in the act or in the fur-seal agreement with Canada or other
fur-seal agreement shall be admitted to entry upon the production of
evidence satisfactory to the port director that they have been so taken.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 89-1, 53 FR 51253, Dec.
21, 1988]
Sec. 12.62 Enforcement; duties of Customs officers.
(a) In accordance with the authority contained in sections 10 and 12
of the act, Customs officers shall arrest or cause to be arrested
persons violating the provisions of the act or of any regulation made
pursuant thereto; shall search vessels when there is reasonable cause to
believe that such vessels are subject to seizure under the act, shall
seize any vessel used or employed or which it appears has been or is
about to be used or employed in violation of the act or any regulation
made pursuant thereto; and shall seize fur seals and sea otters, or the
skins thereof, killed, captured, transported, imported, offered for
sale, or possessed by any person contrary to the provisions of the act
or of any regulation made pursuant thereto.
(b) All articles, including vessels and equipment, seized by Customs
officers for violation of the act shall be turned over to the nearest
officer or agent of the Fish and Wildlife Service, Department of the
Interior, for appropriate disposition under the act, receipts to be
taken in duplicate therefor. One copy of each such receipt shall be
transmitted to Headquarters, U.S. Customs Service with a detailed report
of the facts in the particular case involved.
[28 FR 14710, Dec. 31, 1963, as amended by T.D. 89-1, 53 FR 51253, Dec.
21, 1988]
[[Page 459]]
Sec. 12.63 Seal-skin or sea-otter-skin waste.
Seal-skin or sea-otter-skin waste composed of small pieces not large
enough to be sewed together and utilized as dressed fur shall not be
subject to the requirements of the regulations in this part.
Entry of Motor Vehicles, Motor Vehicle Engines and Nonroad Engines Under
the Clean Air Act, as Amended
Sec. 12.73 Motor vehicle and engine compliance with Federal
antipollution emission requirements.
(a) Applicability of EPA requirements. This section is ancillary to
the regulations of the U.S. Environmental Protection Agency (EPA) issued
under the Clean Air Act, as amended (42 U.S.C. 7401 et seq.), and found
in 40 CFR parts 85 and 86. Those regulations should be consulted for
more detailed information concerning EPA emission requirements. The
requirements apply to imported motor vehicles, but do not apply to
separately imported non-chassis mounted engines to be used in light-duty
trucks or other light-duty vehicles. Other separately imported engines
for heavy-duty motor vehicles are covered, and all references in this
section to motor vehicles should be deemed to include motor vehicles as
well as these heavy-duty engines. Nothing in this section should be
construed as limiting or changing in any way the applicability of the
EPA regulations.
(b) Importation of complying vehicles--(1) Labeled vehicles.
Vehicles which in their condition as imported are covered by an EPA
certificate of conformity and which bear the manufacturer's label
showing such conformity and other EPA-required information shall be
deemed in compliance with applicable emission requirements for the
purpose of Customs admissibility and entry liquidation determinations.
This paragraph does not apply to importations of ICI's covered by
paragraph (d) of this section.
(2) Pending certification. Vehicles otherwise covered by paragraph
(b)(1) of this section which were manufactured for compliance with
applicable emission requirements, but for which an application for a
certificate of conformity is pending with the EPA may be conditionally
released from Customs custody pending production of the certificate of
conformity within 120 days of release.
(c) Importation of vehicles previously in compliance--(1) Vehicles
of returning residents. Vehicles of residents returning from Canada,
Mexico or other countries as EPA may designate are not covered by this
section.
(2) Vehicles of commuting nonresidents and tourists. A port director
through the issuance of an appropriate means of identification to be
affixed to a vehicle may waive all of the requirements of this section
for a nonresident regularly crossing the Canadian or Mexican border, or
waive the requirements for Mexico or Canadian-registered vehicles of
tourists or other travelers.
(3) Participants in EPA-approved catalytic converter or oxygen
sensor control programs. Further evidence of emissions compliance will
not be required for catalytic converter or oxygen sensor-equipped
vehicles imported for participating in EPA-approved catalytic converter
or oxygen sensor control programs and subject to the requirements of
those programs.
(4) Previously labeled, modified or imported vehicles. Any other
vehicle of United States or foreign origin manufactured with a catalytic
converter or oxygen sensor, or any previously imported vehicle
subsequently modified with a catalytic converter or oxygen sensor, will
not be deemed in compliance with applicable emission requirements if
used outside of the United States, Canada, Mexico, or other countries as
EPA may designate, until the catalytic converter and/or oxygen sensor is
replaced. Conditional release from Customs custody for the purpose of
the modification is subject to a 120-day period for completion. Subject
to special documentation at the time of export from the United States
and approval and other requirements of EPA, replacement of a catalytic
converter or oxygen sensor may be avoided if the equipment is
disconnected before export from the United States and reconnected after
subsequent importation.
(d) Importation of vehicles by ICI's. Except for motor vehicles
imported in the
[[Page 460]]
applicable circumstances covered by paragraphs (c), (e), (f), (g) or (h)
of this section, an individual or business other than an independent
commercial importer (ICI) holding a currently valid EPA certificate of
conformity may not enter a motor vehicle which does not conform with EPA
emission requirements. An ICI, subject to the more specific definition
in EPA regulations, is an importer which does not have a contract with a
foreign or domestic motor vehicle manufacturer for distributing products
into the United States market. However, a motor vehicle may not be
conditionally admitted unless it falls within one of the categories
provided for in 40 CFR 85.1505 or 85.1509. Before the vehicle is deemed
to be in compliance with applicable emission requirements and,
therefore, finally admitted into the United States, the ICI must keep
the vehicle in storage for a 15-working day period. This period follows
notice to EPA of completion of the compliance work to give EPA the
opportunity to conduct confirmatory testing and inspect the vehicle and
records. The 15-working day period is part of the 120-day period in
which an ICI must bring the vehicle into emissions compliance.
Individuals and businesses not entitled to enter nonconforming motor
vehicles may arrange for their importation through an ICI certificate
holder. In these circumstances, the ICI will not act as an agent or
broker for Customs transaction purposes unless otherwise licensed or
authorized to do so.
(e) Exemptions and exclusions from emission requirements based on
age of vehicle. The following motor vehicles, except as shown, may be
imported by any person and do not have to be shown to be in compliance
with emission requirements or modified before entitled to admissibility:
(1) Gasoline-fueled light-duty trucks and light-duty motor vehicles
manufactured before January 1, 1968;
(2) Diesel-fueled light-duty motor vehicles manufactured before
January 1, 1975;
(3) Diesel-fueled light-duty trucks manufactured before January 1,
1976;
(4) Motorcycles manufactured before January 1, 1978;
(5) Gasoline-fueled and diesel-fueled heavy-duty engines
manufactured before January 1, 1970; and
(6) Motor vehicles not otherwsie exempt from EPA emission
requirements and more than 20 years old. Age is determined by
subtracting the year of production (as opposed to model year) from the
year of importation. The exemption under this subparagraph is available
only if the vehicle is imported by an ICI.
(f) Exemption for exports. A motor vehicle intended solely for
export to a country not having the same emission standards applicable in
the United States, and both the vehicle and its container bear a label
or tag indicating that it is intended solely for export, is exempt from
applicable United States emission requirements. 40 CFR 85.1709.
(g) Exemptions for diplomats, foreign military personnel and
nonresidents. Subject to the condition that they are not resold in the
United States, the following motor vehicles are exempt from applicable
emission requirements:
(1) A motor vehicle imported solely for the personal use of a
nonresident importer or consignee and the use will be for a period not
to exceed one year; and
(2) A motor vehicle of a member of the armed forces of a foreign
country on assignment in the United States, or of a member of the
personnel of a foreign government on assignment in the United States or
other individual who comes within the class of persons for whom free
entry of motor vehicles has been authorized by the Department of State
in accordance with general principles of international law. For special
documentation requirements see paragraph (i)(4) of this section.
(h) Exemptions and exclusions based on prior EPA authorization. The
following motor vehicles are exempt or excluded from applicable emission
requirements if prior approval has been obtained in writing from EPA:
(1) Importations for repairs. Any motor vehicle which is imported
solely for repairs or alterations and which is not sold, leased,
registered or licensed for use or operated on public roads or highways
in the United States. 40 CFR 85.1511(b)(1);
[[Page 461]]
(2) Importations for testing. Any motor vehicle imported solely for
testing. Test vehicles may be operated on and registered for use on
public roads or highways provided that the operation is an integral part
of the test. 40 CFR 85.1511(b)(2). This exemption is limited to a period
not exceeding one year from the date of importation unless a request is
made under 40 CFR 85.1705(f) for a one-year extension;
(3) Prototype vehicles. Any motor vehicle imported for use as a
prototype in applying for EPA certification. 40 CFR 85.1511(b)(3) and
85.1706. In the case of an ICI, unless the vehicle is brought into
conformity within 180 days from the date of entry it shall be exported
or otherwise disposed of subject to paragraph (1) of this section;
(4) Display vehicles. Any motor vehicle which is imported solely for
display and which will not be sold, leased, registered or licensed for
use on or operated on the public roads or highways in the United States.
40 CFR 85.1511(b)(4);
(5) Racing cars. Any motor vehicle which qualifies as a racing
vehicle meeting one or more of the criteria found at 40 CFR 85.1703(a),
and which will not be registered or licensed for use on or operated on
public roads or highways in the United States. See also 40 CFR
85.1511(c)(1);
(6) National security importations. Any motor vehicle imported for
purposes of national security by a manufacturer. 40 CFR 85.1511(c)(2),
85.1702(a)(2) and 85.1708; and
(7) Hardship exemption. Any motor vehicle imported by anyone
qualifying for a hardship exemption. 40 CFR 85.1511(c)(3).
(i) Documentation requirements--(1) Exception for manufacturers. The
special documentation requirements of this paragraph do not apply to the
entry of any motor vehicles shown to be in compliance with applicable
emission requirements under paragraph (b)(1) of this section relating to
labeling.
(2) Declarations of other importers. Release from Customs custody
shall be refused with respect to all other entries unless there is filed
with the entry in duplicate a declaration in which the importer or
consignee declares or affirms its status as an original equipment
manufacturer, an ICI holding an applicable certificate of conformity, or
other status, and further declares or affirms the status or condition of
the imported vehicles and the circumstances concerning importation
including a citation to the specific paragraph or subparagraph in this
section upon which application for conditional or final release from
Customs custody is applied for.
(3) Other documentation and information. An importer's declaration
shall include or be submitted with the following further information and
documentation:
(A) The importer's name and address and telephone number;
(B) Identification of the vehicle or engine number, the vehicle
owner's taxpayer identification number, and his or her current address
and telephone number in the United States if different than as provided
for in paragraph (3)(A) of this paragraph;
(C) Identification, where applicable, of the place where the vehicle
will be stored until EPA approval of the importer's application to EPA
for final admission as required for vehicles imported under 40 CFR
85.1505, 85.1509, or 85.1512 having reference to certain importations
under paragraphs (c)(4) or (d)(1) of this section;
(D) Authorization for EPA enforcement officers to conduct
inspections or testing otherwise permitted by the Clean Air Act and
regulations promulgated thereunder;
(E) Identification, where applicable, of the certificate of
conformity by means of which the vehicle is being imported;
(F) The date of manufacture of the vehicle;
(G) The date of entry;
(H) Identification of the vessel or carrier on which the merchandise
was shipped;
(I) The entry number where applicable;
(J) Where prior EPA authorization is required for an exemption or
exclusion, a copy of that authorization; and
(K) Such other further information as may be required by the EPA or
the Customs Service.
(4) Documentation from diplomats and foreign military personnel. For
entries for which an exemption is claimed
[[Page 462]]
under paragraph (g)(2) of this section, there must also be attached to
the declaration required under paragraph (i)(2) of this section a copy
of the motor vehicle importer's official orders, if any, or if a
qualifying member of the personnel of a foreign government on assignment
in the United States, the name of the embassy to which the importer is
accredited.
(j) Release under bond. If a declaration filed in accordance with
paragraph (i)(2) of this section states that the entry is being filed
under circumstances described in either paragraph (c)(4), (h)(1),
(h)(2), (h)(3) or (h)(4) of this section, the entry shall be accepted
only if the importer or consignee gives a bond on Customs Form 301,
containing the bond condition set forth in Sec. 113.62 of this chapter
for the production of an EPA statement that the vehicle or engine is in
conformity with Federal emission requirements. Within the period in
paragraph (h)(2), (h)(3) or (c)(4) of this section, or in the case of
paragraph (h)(1) or (h)(4) of this section, the period specified by EPA
in its authorization for an exemption, or such additional period as the
port director may allow for good cause shown, the importer or consignee
shall deliver to the port director the prescribed statement. If the
statement is not delivered to the director of the port of entry within
the specified period, the importer or consignee shall deliver or cause
to be delivered to the port director those vehicles which were released
under a bond required by this paragraph. In the event that the vehicle
or engine is not redelivered within five days following the date
specified in the preceding sentence, liquidated damages shall be
assessed in the full amount of the bond, if it is a single entry bond,
or if a continuous bond is used, the amount that would have been taken
under a single entry bond.
(k) Notices of inadmissibility or detention. If a motor vehicle is
determined to be inadmissible before release from Customs custody, or
inadmissible after release from Customs custody, the importer or
consignee shall be notified in writing of the inadmissibility
determination and/or redelivery requirement. However, if a motor vehicle
cannot be released from Customs custody merely because the importer has
failed to attach to the entry the documentation required by paragraph
(i) of this section, the vehicle shall be held in detention by the
director of a period not to exceed 30 days after filing of the entry at
the risk and expense of the importer pending submission of the missing
documentation. An additional 30-day extension may be granted by the port
director upon application for good cause shown. If at the expiration of
a period not over 60 days the documentation has not been filed, a notice
of inadmissibility will be issued.
(l) Disposal of vehicles not entitled to admission. A motor vehicle
denied admission under any provision of this section shall be disposed
of in accordance with applicable Customs laws and regulations. However,
a motor vehicle or engine will not be disposed of in a manner in which
it may ultimately either directly or indirectly reach a consumer in a
condition in which it is not in conformity with applicable EPA emission
requirements.
(m) Prohibited importations. The importation of motor vehicles
otherwise than in accordance with this section and the regulations of
EPA in 40 CFR parts 80, 85, 86 and 600 is prohibited.
[T.D. 88-40, 53 FR 26240, July 12, 1988, as amended by T.D. 01-14, 66 FR
8767, Feb. 2, 2001]
Sec. 12.74 Nonroad and stationary engine compliance with Federal
antipollution emission requirements.
(a) Applicability of EPA regulations. The requirements governing the
importation of nonroad and stationary engines subject to conformance
with applicable emissions standards of the U.S. Environmental Protection
Agency (EPA) are contained in EPA regulations, issued under the Clean
Air Act, as amended (42 U.S.C. 7401 et seq.). These EPA regulations
should be consulted for detailed information as to the admission
requirements for subject nonroad and stationary engines. See 40 CFR part
1068, subpart D, with the following exceptions:
(1) For nonroad compression-ignition regulated under 40 CFR part 89,
see 40 CFR part 89, subpart G. This applies to certain engines through
the 2011 model year.
[[Page 463]]
(2) For nonroad spark-ignition engines at or below 19 kilowatts
regulated under 40 CFR part 90, see 40 CFR part 90, subpart G. This
applies to certain engines through the 2011 model year.
(3) For marine compression-ignition engines regulated under 40 CFR
part 94, see 40 CFR part 94, subpart I. This includes propulsion engines
and auxiliary engines installed on marine vessels. This applies to
certain engines through the 2013 model year.
(b) Admission of nonconforming nonroad engines.--(1) EPA declaration
form required. EPA Form 3520-21, ``Importation of Engines, Vehicles, and
Equipment Subject to Federal Air Pollution Regulations'', must be
completed by the importer and retained on file by him before making a
customs entry for such nonroad or stationary engines/vehicles/equipment.
(2) Retention and submission of records to CBP . Documents
supporting the information required in the EPA declaration must be
retained by the importer for a period of at least five years in
accordance with Sec. 163.4 of this chapter and shall be provided to CBP
upon request.
(c) Release under bond--(1) Conditional admission. If the EPA
declaration states that the entry for a nonconforming nonroad engine is
being filed under one of the exemptions described in paragraph (c)(3) of
this section, under which the engine must be conditionally admitted
under bond, the entry for such engine shall be accepted only if a bond
is given on CBP Form 301 containing the conditions set forth in
Sec. 113.62 of this chapter for the presentation of an EPA statement
that the engine has been brought into conformity with Federal emissions
requirements.
(2) Final admission. Should final admission be sought and granted
pursuant to EPA regulations for an engine conditionally admitted
initially under one of the exemptions described in paragraphs (c)(3) of
this section, the importer or consignee shall deliver to the port
director the prescribed statement. The statement shall be delivered
within the period authorized by EPA for the specific exemption, or such
additional period as the port director of CBP may allow for good cause
shown. Otherwise, the importer or consignee shall deliver or cause to be
delivered to the port director the subject engine, either for export or
other disposition under applicable CBP laws and regulations (see
paragraph (e) of this section). If such engine is not redelivered within
five days following the allotted period, liquidated damages shall be
assessed in the full amount of the bond, if a single entry bond, or if a
continuous bond, the amount that would have been taken under a single
entry bond (see 40 CFR 89.612(d), 90.613(c) and (d), 94.805(c) and (d),
and 1068.335).
(3) Exemptions. The specific exemptions under which a nonconforming
nonroad engine may be conditionally admitted, and for which a CBP bond
is required, are as follows:
(i) Repairs or alterations (see 40 CFR 89.611(b)(1), 90.612(b)(1),
94.804(b)(1), 1068.325(a)).
(ii) Testing (see 40 CFR 89.611(b)(2), 90.612(b)(2), 94.804(b)(2),
1068.325(b)).
(iii) Display (see 40 CFR 89.611(b)(4), 90.612(b)(3), 94.804(b)(4),
1068.325(c)).
(iv) Precertification (see 40 CFR 89.611(b)(3)).
(d) Notice of inadmissibility or detention. If an engine is found to
be inadmissible either before or after release from CBP custody, the
importer or consignee shall be notified in writing of the
inadmissibility determination and/or redelivery requirement. However, an
engine which cannot be released merely due to a failure to furnish with
the entry any documentary information as required by EPA shall be held
in detention by the port director for a period not to exceed 30 days
after filing of the entry at the risk and expense of the importer
pending submission of the missing information. An additional 30-day
extension may be granted by the port director upon application for good
cause shown. If at the expiration of a period not over 60 days the
required documentation has not been filed, a notice of inadmissibility
will be issued.
(e) Disposal of engines not entitled to admission; prohibited
importations. A nonroad or stationary engine denied admission under EPA
regulations shall be disposed of consistent with such EPA regulations
and in accordance
[[Page 464]]
with applicable CBP laws and regulations. The importation of nonroad or
stationary engines other than as prescribed under EPA regulations is
prohibited.
[T.D. 98-50, 63 FR 29122, May 28, 1998, as amended by T.D. 01-14, 66 FR
8767, Feb. 2, 2001; CBP Dec. 10-29, 75 FR 52451, Aug. 26, 2010]
Motor Vehicles and Motor Vehicle Equipment Manufactured On or After
January 1, 1968
Sec. 12.80 Federal motor vehicle safety standards.
(a) Standards prescribed by the Department of Transportation. Motor
vehicles and motor vehicle equipment manufactured on or after January 1,
1968, offered for sale, or introduction or delivery for introduction in
interstate Commerce, or importation into the United States are subject
to Federal motor vehicle safety standards (``safety standards'')
prescribed by the Secretary of Transportation under sections 103 and 119
of the National Traffic and Motor Vehicle Safety Act of 1966, as amended
(15 U.S.C. 1392, 1407) (``the Act''), and set forth in 49 CFR part 571.
A motor vehicle (``vehicle'') or item of motor vehicle equipment
(``equipment item''), manufactured on or after January 1, 1968, is not
permitted entry into the Customs territory of the United States unless
(with certain exceptions set forth in paragraph (b) of this section) it
is in conformity with applicable safety standards in effect at the time
the vehicle or equipment item was manufactured.
(b) Requirements for entry and release. (1) Unless the requirement
for filing is waived by the port director as provided for in paragraph
(f) of this section, each vehicle or equipment item offered for
introduction into the Customs territory of the United States shall be
denied entry unless the importer or consignee files with the entry a
declaration, in duplicate, which declares or affirms one of the
following:
(i) The vehicle or equipment item was manufactured on a date when no
applicable safety standards were in effect.
(ii) The vehicle or equipment item conforms to all applicable safety
standards (or, the vehicle does not conform solely because readily
attachable equipment items which will be attached to the vehicle before
it is offered for sale to the first purchaser for purposes other than
resale are not attached) and bears a certification label or tag to that
effect permanently affixed by the original manufacturer to the vehicle
or to the equipment item, or to the outside of the container in which
the equipment item is delivered, in accordance with regulations issued
by the Secretary of Transportation (49 CFR parts 555, 567, 568 and 571)
under section 114 of the Act (15 U.S.C. 1403).
(iii) The vehicle or equipment item was not manufactured in
conformity to all applicable safety standards, but it has been or will
be brought into conformity. Within 120 days after entry, or within a
period not to exceed 180 days after entry, if additional time is granted
by the Administrator, National Highway Traffic Safety Administration
(``Administrator, NHTSA''), the importer or consignee will submit a true
and complete statement to the Administrator, NHTSA, identifying the
manufacturer, contractor, or other person who has brought the vehicle or
equipment item into conformity, describing the exact nature and extent
of the work performed, and certifying that the vehicle or equipment item
has been brought into conformity, and that the vehicle or equipment item
will not be sold or offered for sale until the Administrator, NHTSA,
issues an approval letter to the port director stating that the vehicle
or equipment item described in the declaration has been brought into
conformity with all applicable safety standards.
(iv) The vehicle or equipment item is intended solely for export,
and the vehicle or equipment item, and the outside of the container of
the equipment item, if any, bears a label or tag to that effect.
(v) The importer or consignee is a nonresident of the United States,
is importing the vehicle or equipment item primarily for personal use
for a period not exceeding 1 year from the date of entry, will not sell
it in the United States during that period, and has stated his passport
number and country of
[[Page 465]]
issue, if he has a passport, on the declaration.
(vi) The importer or consignee is a member of the armed forces of a
foreign country on assignment in the U.S. or is a member of the
personnel of a foreign government on assignment in the U.S. or other
individual who is within the class of persons for whom free entry of
vehicles has been authorized by the Department of State in accordance
with general principles of international law, is importing the vehicle
or equipment item for purposes other than resale; and a copy of his
official orders, if any, is attached to the declaration (or, if a
qualifying member of the personnel of a foreign government on assignment
in the U.S., the name of the Embassy to which he is accredited is stated
on the declaration).
(vii) The vehicle or equipment item is imported solely for the
purpose of show, test, experiment, competition (a vehicle the
configuration of which at the time of entry is such that it cannot be
licensed for use on the public roads is considered to be imported for
the purpose of competition), repair or alteration, and the statement
required by 19 CFR 12.80(c)(2) or (c)(3) is attached to the declaration.
(viii) The vehicle was not manufactured primarily for use on the
public roads and is not a ``motor vehicle'' as defined in section 102 of
the Act (15 U.S.C. 1391).
(ix) The vehicle is an ``incomplete vehicle'' as defined in 49 CFR
part 568.
(2) A vehicle imported solely for the purpose of test or experiment
which is the subject of a declaration filed under paragraph (b)(1)(vii)
of this section may be licensed for use on the public roads for a period
not to exceed 1 year from the date of importation if use on the public
roads is an integral part of the test or experiment. The vehicle may be
licensed for use on the public roads for one or more further periods
which, when added to the initial 1 year period, shall not exceed a total
of 3 years, upon application to and approval by the Administrator,
NHTSA.
(c) Declaration; contents. (1) Each declaration filed under
paragraph (b)(1) of this section shall include the name and address in
the United States of the importer or consignee, the date and the entry
number (if applicable), the make, model, and engine and body serial
numbers, or other identification number (if a vehicle), or a description
of the item (if an equipment item), and shall be signed by the importer
or consignee.
(2) Each declaration filed under paragraph (b)(1)(vii) of this
section which relates to a vehicle or equipment item reported for the
purpose of show, competition, repair, or alteration shall have attached
a statement fully describing the use to be made of the vehicle or
equipment item and its ultimate disposition.
(3) Each declaration filed under paragraph (b)(1)(vii) of this
section which relates to a vehicle imported solely for the purpose of
test or experiment shall have attached a statement fully describing the
test or experiment, the estimated period of time necessary to use the
vehicle on the public roads, and the disposition to be made of the
vehicle after completion of the test or experiment.
(4) Any declaration filed under paragraph (b)(1) of this section
may, if appropriate, relate to more than one vehicle or equipment item
imported on the same entry.
(d) Declaration; disposition. The port director shall forward the
original of each declaration submitted to him under paragraph (b)(1) of
this section as soon as practicable to the Director, Office of Vehicle
Safety Compliance, National Highway Traffic Safety Administration,
Washington, DC 20590.
(e) Release under bond. (1) If a declaration is filed under
paragraph (b)(1)(iii) of this section, the entry shall be accepted only
if the importer or consignee gives a bond on Customs Form 301,
containing the bond conditions set forth in Sec. 113.62 of this chapter.
An approval letter shall be issued upon approval by the Administrator,
NHTSA, of the conformity statement submitted by the importer or
consignee as provided for in paragraph (b)(1)(iii) of this section. The
approval letter shall be forwarded by the Administrator, NHTSA, to the
port director with a copy to the importer or consignee. Upon receipt of
the approval letter the port director shall cancel the charge against
the bond.
[[Page 466]]
(2) If the approval letter is not received by the port director
within 180 days after entry, the port director shall issue a Notice of
Redelivery, Customs Form 4647, requiring the redelivery to Customs
custody of the vehicle or equipment item. If the vehicle or equipment
item is not redelivered to Customs custody or exported under Customs
supervision within the period allowed by the port director in the Notice
of Redelivery, liquidated damages shall be assessed in the full amount
of a bond if it is single entry bond or if a continuous bond is used,
the amount that would have been taken under a single entry bond.
(f) Waiver of declaration requirements. The requirement that a
declaration be filed under paragraph (b)(1)(i), (b)(1)(ii), or (b)(1)(v)
of this section as a condition to the introduction of a vehicle or
equipment item into the Customs territory of the United States may be
waived by the port director for a United States, Canadian, or Mexican
registered vehicle arriving via land borders.
(g) Vehicle or equipment item introduced by means of a fraudulent or
false declaration. Any person who enters, introduces, attempts to enter
or introduce, or aids or abets the entry, introduction, or attempted
entry or introduction, of a vehicle or equipment item into the Customs
territory of the United States by means of a fraudulent entry
declaration, or by means of a false entry declaration made without
reasonable cause to believe the truth of the declaration, may incur
liabilities under section 592, Tariff Act of 1930, as amended (19 U.S.C.
1592).
(h) Vehicle or equipment item denied entry. If a vehicle or
equipment item is denied entry under the provisions of paragraph (b) of
this section, the port director shall refuse to release the vehicle or
equipment item for entry into the Customs territory of the United States
and shall issue a notice of that refusal to the importer or consignee.
(i) Disposition of vehicle or equipment item denied entry;
redelivery. A vehicle or equipment item denied entry under paragraph (b)
of this section, or redelivered to Customs custody under paragraph (e)
of this section, which is not exported under Customs supervision within
90 days from the date of the notice of denial of entry or date of
redelivery, shall be disposed of under applicable Customs laws and
regulations, except that disposition shall not result in the
introduction of the vehicle or equipment item into the Customs territory
of the United States in violation of the Act.
[T.D. 78-478, 43 FR 56659, Dec. 4, 1978, as amended by T.D. 84-213, 49
FR 41167, Oct. 19, 1984; T.D. 86-203, 51 FR 42997, Nov. 28, 1986]
Safety Standards for Boats and Associated Equipment
Sec. 12.85 Coast Guard boat and associated equipment safety standards.
(a) Applicability of standards or regulations prescribed by the
Commandant, U.S. Coast Guard. Boats and associated equipment (as
hereinafter defined) are subject to U.S. Coast Guard safety regulations
or standards when imported or, under certain conditions, brought into
the United States after November 1, 1972. Those regulations or standards
are prescribed by the Commandant, U.S. Coast Guard, pursuant to sections
5, 7, and 39, Federal Boat Safety Act of 1971 (46 U.S.C. 1454, 1456,
1488), as set forth in 33 CFR parts 181, 183.
(1) The term ``boats'' includes:
(i) All vessels manufactured or used primarily for noncommercial
use.
(ii) All vessels leased, rented, or chartered to another for the
latter's noncommercial use.
(iii) All vessels engaged in the carrying of six or fewer passengers
(see section 4.80 of this chapter on prohibitions against foreign
vessels transporting passengers in the coastwise trade).
(2) For purposes of Sec. 12.85 the term ``boat'' does not include:
(i) Foreign vessels temporarily using waters subject to U.S.
jurisdiction.
(ii) Military or public vessels of the United States, except
recreational type public vessels.
(iii) A vessel whose owner is a State or subdivision thereof, which
is principally used for governmental purposes, and which is clearly
identifiable as such.
(iv) Ships' lifeboats.
(3) The term ``associated equipment'' means:
[[Page 467]]
(i) Any system, part, or component of a boat as originally
manufactured, or a similar part or component manufactured or sold for
replacement, repair, or improvement of such system, part, or component
(excluding radio equipment).
(ii) Any accessory or equipment for, or appurtenance to, a boat
(excluding radio equipment).
(iii) Any marine safety article, accessory, or equipment intended
for use by a person on board a boat (excluding radio equipment).
(4) The term ``product'' as used in this section, includes the terms
``boats'' and ``associated equipment'' as defined in paragraphs (a) (1),
(2), and (3) of this section.
(b) Evidence of compliance with boating standards or regulations as
condition of entry. A product for which entry is sought into the Customs
territory of the United States will, subject to the exceptions specified
in paragraph (c) of this section, be denied entry unless accompanied by
evidence of compliance with standards or regulations as follows:
(1) A product subject to standards prescribed in 33 CFR part 183
will have affixed to it a compliance certification label in accordance
with the requirements of subpart B, 33 CFR part 181.
(2) A boat hull subject to subpart C, 33 CFR part 181 will have
affixed to it a hull identification number affixed by the importer or
the original manufacturer. The number shall comply with the format
requirements of subpart C, 33 CFR part 181.
(c) Products not in compliance with standards or regulations:
Alternative evidence required as condition of entry and release. Certain
products shall be permitted entry and release without a compliance
certification label or hull identification number affixed, as is
required by subparts B and C, 33 CFR part 181, if they fall within one
of the following categories, and if the conditions for entry and release
specified for each category of product are met:
(1) Products manufactured before standards or regulations in effect.
For certain products manufactured before an applicable standard or
regulation was in effect, a declaration will be filed in accordance with
the requirements of paragraph (d) of this section. The declaration will
state that the product was manufactured before the applicable standard
or regulation was in effect. If the port director believes that it is
necessary in a particular case, he may communicate with the nearest
Coast Guard district commander by the most expedient means to request
that the Coast Guard determine that alteration of the product is not
required.
(2) Products exempted from standards or regulations by Coast Guard
Grant of Exemption. For certain products specifically exempted from
applicable standards or regulations by a Coast Guard Grant of Exemption,
a declaration will be filed in accordance with paragraph (d) of this
section. The declaration will state that the product has been
specifically exempted from applicable standards or regulations by a U.S.
Coast Guard Grant of Exemption, issued under the authority of section 9
of the Federal Boat Safety Act of 1971 (46 U.S.C. 1458), and in effect
on the date the product was manufactured. The declaration will also
state that the product complies with all the terms and conditions of the
exemption. A copy of the exemption, certified by the importer or
consignee to be a true copy, shall be attached to each declaration.
(3) Products to be brought into conformity. In the case of products
that are not in conformity at the time of entry but will be brought into
conformity, a declaration will be filed in accordance with paragraph (d)
of this section. The declaration will state that the product does not
conform with applicable safety standards or regulations, but that the
importer or consignee will bring the product into conformity with safety
standards or regulations, and will also state that the product will not
be sold or offered for sale, or used on waters subject to the
jurisdiction of the United States and on the high seas beyond the
territorial seas for a vessel owned in the United States except for the
purpose of bringing it into conformity, until the bond has been
satisfied with respect to this obligation. To secure entry under this
provision, bond must be given in accordance with paragraph (e)(1) of
this section.
[[Page 468]]
(4) Certain products entering the United States for repair or
alteration. In the case of a nonresident of the United States who wishes
to enter a product for the purpose of making repairs or alterations to
it for a period not exceeding 1 year from the date of entry, a
declaration will be filed in accordance with paragraph (d) of this
section. The declaration shall state that the importer or consignee is a
nonresident of the United States, that the product is being brought in
for the purpose of making repairs or alterations to it, that it will not
remain in the Customs territory of the United States for more than 1
year following the date of the entry, and that it will not be offered
for sale, sold, or used for pleasure in waters subject to the
jurisdiction of the United States during that time.
(5) Products owned by certain foreign governments. In the case of an
importer or consignee employed in one of the capacities set forth in
this subparagraph, a declaration will be filed in accordance with
paragraph (d) of this section. The declaration shall state that the
importer or consignee is either a member of the armed forces of a
foreign country on assignment in the U.S. or is a member of the
personnel of a foreign government on assignment in the U.S. or other
individual who comes within the class of persons for whom free entry of
boats has been authorized by the Department of State in accordance with
general principles of international law, and that he is importing the
product for purposes other than resale.
(6) Certain products entered for tests, experiments, exhibits, or
races. An importer or consignee seeking to enter a product for period
not to exceed 1 year, for tests, experiments, exhibits, or races but not
for sale in the United States, shall file a declaration in accordance
with paragraph (d) of this section. The declaration shall state that the
importer or consignee is importing the product solely for the stated
purpose and that it will not be sold or operated in the United States,
unless the operation is an integral part of the stated use for which the
product was imported. The importer or consignee shall attach to the
declaration a description of use for which the product is being
imported, the time period estimated for completion, and disposition to
be made of the product after completion. Entry under this paragraph may
be authorized for a period not to exceed 1 year from the date of
importation. However, this period may be extended at the discretion of
the port director for one or more additional periods which, when added
to the initial 1-year period, shall not exceed a total of 3 years.
(d) Declaration requirements. All declarations submitted must:
(1) Be filed at the time of entry, in duplicate on Form CG-5096.
(2) Be signed by the importer or consignee.
(3) State the name and U.S. address of the importer or consignee.
(4) State the entry number and date.
(5) Provide the make, model, and hull identification number, if
affixed, or date of manufacture if hull identification number not
affixed, of any boat, and a description of any equipment or component.
(6) Identify, if known, the city or state in which the product will
be principally located.
(7) Be sent by the port director, to the Commandant (G-BBS-1/42),
U.S. Coast Guard, Washington, D.C. 20593.
(e) Release under bond--(1) When bond required. A bond will be
required of the importer or consignee on Customs Form 301, containing
the bond conditions set forth in Sec. 113.62 of this chapter, in such
amount as the port director deems appropriate, when a declaration is
made that a product is to be brought into conformity. When the importer
or consignee of a product declares that it will be brought into
conformity before being sold or offered for sale, or before being used
on waters subject to the jurisdiction of the United States and on the
high seas beyond the territorial seas for a vessel owned in the United
States and seeks entry of the product under paragraph (c)(3) of this
section, the entry shall be accepted only if bond is given for the
production of a statement by either the importer or the consignee that
the product described in the declaration is in conformity with
applicable safety standards or regulations. The statement shall identify
the person or firm
[[Page 469]]
who has brought the product into conformity with the standards or
regulations and shall describe the nature and extent of the work
performed.
(2) Time limitation to produce statement for which bond is
obligated. Within 180 days after entry, the importer or consignee shall
deliver to both the port director and the Commandant, U.S. Coast Guard,
a copy of the statement for production of which the bond was obligated.
If the statement is not delivered to the director of the port of entry
of the product within 180 days after the date of entry, the importer or
consignee shall deliver or cause to be delivered to the port director
the product that was released in accordance with this paragraph.
(3) Damages to be assessed against bond. In the event that any
product is not redelivered within 5 days following the date required by
paragraph (e)(2) of this section, liquidated damages shall be assessed
in the full amount of the bond if it is a single entry bond, or if a
continuous bond is used, the amount that would have been taken under a
single entry bond.
(f) Products refused entry. If a product is denied entry under the
provisions of this section, the port director shall refuse to release
the product for entry into the United States and shall issue a notice of
the refusal to the importer or consignee.
(g) Disposition of products refused entry into the United States;
redelivered products. Products which are denied entry under paragraph
(b) of this section, or which are redelivered in accordance with
paragraph (e)(2) of this section, and which are not exported under
Customs supervision within 90 days from the date of notice of refusal of
admission or date of redelivery, shall be disposed of under Customs laws
and regulations. However, no such disposition shall result in an
introduction into the United States of a product in violation of the
Federal Boat Safety Act of 1971 (46 U.S.C. 1451-1489).
[T.D. 76-166, 41 FR 23398, June 10, 1976, as amended by T.D. 82-220, 47
FR 52138, Nov. 19, 1982; T.D. 84-213, 49 FR 41168, Oct. 19, 1984; T.D.
86-203, 51 FR 42997, Nov. 28, 1986]
Electronic Products
Sec. 12.90 Definitions.
As used in Sec. Sec. 12.90 and 12.91, the term ``the Act'' shall
mean the Public Health Service Act (42 U.S.C. 201 et seq.), as amended
by the Radiation Control for Health and Safety Act of 1968 (42 U.S.C.
263b et seq.), and as further amended from time to time.
[T.D. 83-235, 48 FR 52436, Nov. 18, 1983]
Sec. 12.91 Electronic products offered for importation under the Act.
(a) Standards prescribed by the Department of Health and Human
Services. Electronic products offered for importation into the customs
territory of the United States are subject to standards prescribed under
section 358 of the Act (42 U.S.C. 263f) unless intended solely for
export. Prescribed standards shall not apply to any electronic product
intended solely for export if:
(1) Such product and the outside of any shipping container used in
the export of such product are labeled or tagged to show that it is
intended for export, and
(2) Such product meets all the applicable requirements of the
country to which it is intended for export.
(See 21 CFR, chapter I, subchapter J.)
(b) Requirements for entry and release. Electronic products subject
to standards in effect under section 358 of the Act (42 U.S.C. 263f),
when offered for importation into the customs territory of the United
States, shall be refused entry unless there is filed with the entry, in
duplicate, a declaration (FDA Form FD 2877) verified by the importer of
record which identifies the products and affirms:
(1) That the electronic products were manufactured before the date
of any applicable electronic product performance standard (the date of
manufacture shall be specified); or
(2) That the electronic products comply with all standards in effect
under section 358 of the Act (42 U.S.C. 263f), and chapter I, subchapter
J, title 21, Code of Federal Regulations (21 CFR, chapter I, subchapter
J), and that the certification required by section 360 of the Act (42
U.S.C. 263h) in the form of
[[Page 470]]
a label or tag is attached to the product; or
(3)(i) That the electronic products do not comply with all standards
in effect under section 358 of the Act (42 U.S.C. 263f), and chapter I,
subchapter J, title 21, Code of Federal Regulations (21 CFR, chapter I,
subchapter J), but are being imported for the purpose of research,
investigations, studied, demonstrations, or training, (ii) that the
products will not be introduced into commerce and when the use for which
they were imported is completed they will be destroyed or exported under
Customs supervision, and (iii) that an exemption for these products has
been or will be requested from the National Center for Devices and
Radiological Health, Food and Drug Administration, in accordance with
section 360B(b) of the Act (42 U.S.C. 263j); or
(4) That the electronic products do not comply with all standards in
effect under section 358 of the Act (42 U.S.C. 263f) and chapter I,
subchapter J, Code of Federal Regulations (21 CFR, chapter I, subchapter
J), but that a timely and adequate petition for permission to bring the
products into compliance with applicable standards has been or will be
filed with the Secretary of Health and Human Services in accordance with
section 360 of the Public Health Service Act, as amended, and as
implemented by 21 CFR 1005.21.
(c) Notice of sampling. When a sampling of a product offered for
importation has been requested by the Secretary of Health and Human
Services, as provided for in 21 CFR 1005.10, the port director having
jurisdiction over the shipment from which the sample is procured shall
give to its owner or importer of record prompt notice of delivery of, or
intention to deliver, the sample. If the notice so requires, the owner
or importer of record shall hold the shipment of which the sample is
typical and not release the shipment until notice of the results of the
tests of the sample from the Secretary of Health and Human Services
stating the product fulfills the requirements of the Act.
(d) Release under bond. If a declaration filed in accordance with
paragraph (b) of this section states that the entry is being made under
circumstances described in paragraph (b)(4) of this section, the entry
shall be accepted only if the owner or importer of record gives a bond
on Customs Form 301, containing the bond conditions set forth in
Sec. 113.62 of this chapter, for the production of a notification from
the Secretary of Health and Human Services or his designee, in
accordance with 21 CFR 1005.23, that the electronic product described in
the declaration filed by the importer of record is in compliance with
the applicable standards. The bond shall be in an amount deemed
appropriate by the port director. Within 180 days after the entry of
such additional period as the port director may allow for good cause
shown, the importer of record shall take any action necessary to insure
delivery to the port director of the notification described in this
paragraph. If the notification is not delivered to the director of the
port of entry of the electronic products within 180 days of the date of
entry or such additional period as may be allowed by the port director,
for good cause shown, the importer of record shall deliver or cause to
be delivered to the port director those electronic products which were
released. In the event that any electronic products are not redelivered
to Customs custody or exported under Customs supervision within the
period allowed by the port director in the Notice of Redelivery (Customs
Form 4647), liquidated damages shall be assessed in the full amount of a
bond if it is a single entry bond, or if a continuous bond is used, the
amount that would have been taken under a single entry bond.
(e) Release without bond--special exemptions. For certain electronic
products the Director, National Center for Devices and Radiological
Health, has granted special exemptions from the otherwise applicable
standards under the Act. Such exempted products may be imported and
released without bond if they meet all the criteria of the special
exemption. If a special exemption is granted after the product has been
imported under bond in accordance with paragraph (d) of this section,
the bond conditions pertaining to the notification of compliance from
the Secretary of Health and Human Services shall be deemed to have been
satisfied.
[[Page 471]]
(f) Merchandise refused entry. If electronic products are denied
entry under any provision of this section, the port director shall
refuse to release the merchandise for entry into the United States.
(g) Disposition of merchandise refused entry into the United States;
redelivered merchandise. Electronic products which are denied entry
under paragraph (b) of this section, or which are redelivered in
accordance with paragraph (d) of this section, and which are not
exported under Customs supervision within 90 days from the date of
notice of refusal of admission or date of redelivery, shall be disposed
of under Customs laws and regulations. However, no such disposition
shall result in an introduction into the United States of an electronic
product in violation of the Act (42 U.S.C. 263f, 263h).
[T.D. 83-235, 48 FR 52436, Nov. 18, 1983, as amended by T.D. 84-213, 49
FR 41168, Oct. 19, 1984]
Switchblade Knives
Sec. 12.95 Definitions.
Terms as used in Sec. Sec. 12.96 through 12.103 of this part are
defined as follows:
(a) Switchblade knife. ``Switchblade knife'' means any imported
knife, or components thereof, or any class of imported knife, including
``switchblade'', ``Balisong'', ``butterfly'', ``gravity'' or
``ballistic'' knives, which has one or more of the following
characteristics or identities:
(1) A blade which opens automatically by hand pressure applied to a
button or device in the handle of the knife, or any knife with a blade
which opens automatically by operation of inertia, gravity, or both;
(2) Knives which, by insignificant preliminary preparation, as
described in paragraph (b) of this section, can be altered or converted
so as to open automatically by hand pressure applied to a button or
device in the handle of the knife or by operation of inertia, gravity,
or both;
(3) Unassembled knife kits or knife handles without blades which,
when fully assembled with added blades, springs, or other parts, are
knives which open automatically by hand pressure applied to a button or
device in the handle of the knife or by operation of inertia, gravity,
or both; or
(4) Knives with a detachable blade that is propelled by a spring-
operated mechanism, and components thereof.
(b) Insignificant preliminary preparation. ``Insignificant
preliminary preparation'' means preparation with the use of ordinarily
available tools, instruments, devices, and materials by one having no
special manual training or skill for the purpose of modifying blade
heels, relieving binding parts, altering spring restraints, or making
similar minor alterations which can be accomplished in a relatively
short period of time.
(c) Utilitarian use. ``Utilitarian use'' includes but is not
necessarily limited to use:
(1) For a customary household purpose;
(2) For usual personal convenience, including grooming;
(3) In the practice of a profession, trade, or commercial or
employment activity;
(4) In the performance of a craft or hobby;
(5) In the course of such outdoor pursuits as hunting and fishing;
and
(6) In scouting activities.
[T.D. 71-243, 36 FR 18859, Sept. 23, 1971, as amended by T.D. 90-50, 55
FR 28192, July 10, 1990]
Sec. 12.96 Imports unrestricted under the Act.
(a) Common and special purpose knives. Imported knives with a blade
style designed for a primary utilitarian use, as defined in
Sec. 12.95(c), shall be admitted to unrestricted entry provided that in
condition as entered the imported knife is not a switchblade knife as
defined in Sec. 12.95(a)(1). Among admissible common and special purpose
knives are jackknives and similar standard pocketknives, special purpose
knives, scout knives, and other knives equipped with one or more blades
of such single edge nonweapon styles as clip, skinner, pruner, sheep
foot, spey, coping, razor, pen, and cuticle.
(b) Weapons with fixed blades. Importations of certain articles
having a fixed unexposed or exposed blade are not within the prohibition
of 15 U.S.C.
[[Page 472]]
1241 through 1245. However, upon release by Customs, possession of these
admissible articles which include such weapons as sword canes, camel
whips, swords, sheath knives, machetes and similar devices that may be
capable of use as weapons may be in violation of State or municipal
laws.
[T.D. 71-243, 36 FR 18860, Sept. 23, 1971, as amended by T.D. 90-50, 55
FR 28192, July 10, 1990]
Sec. 12.97 Importations contrary to law.
Importations of switchblade knives, except as permitted by 15 U.S.C.
1244, are importations contrary to law and are subject to forfeiture
under 19 U.S.C. 1595a(c).
[T.D. 90-50, 55 FR 28192, July 10, 1990]
Sec. 12.98 Importations permitted by statutory exceptions.
The importation of switchblade knives is permitted by 15 U.S.C.
1244, when:
(a) Imported pursuant to contract with a branch of the Armed Forces
of the United States;
(b) Imported by a branch of the Armed Forces of the United States or
any member or employee thereof acting in the performance of his duty; or
(c) A switchblade knife, other than a ballistic knife, having a
blade not exceeding 3 inches in length is in the possession of and is
being transported on the person of an individual who has only one arm.
[T.D. 71-243, 36 FR 18860, Sept. 23, 1971, as amended by T.D. 90-50, 55
FR 28192, July 10, 1990]
Sec. 12.99 Procedures for permitted entry.
(a) Declaration required. The entry of switchblade knives, the
importation of which is permitted under Sec. 12.98 shall be accompanied
by a declaration, in duplicate, of the importer or consignee stating the
facts of the import transaction as follows:
(1) Importation pursuant to Armed Forces contract. (i) The names of
the contracting Armed Forces branch and its supplier;
(ii) The specific contract relied upon identified by its date,
number, or other contract designation; and
(iii) A description of the kind or type of knife imported, the
quantity entered, and the aggregate entered value of the importation.
(2) Importation by a branch, member, or employee of the Armed
Forces. (i) The name of the Armed Forces branch by or for the account of
which entry is made or the branch of the importing member or employee
acting in performance of duty; and
(ii) The description, quantity, and aggregate entered value of the
importation.
(3) Importation by a one-armed person. A statement that the knife
has a blade not exceeding 3 inches in length and is possessed by and
transported on the declarant's person solely for his necessary personal
convenience, accommodation, and use as a one-armed individual.
(b) Attachments to declaration. Details for purposes of a
declaration required under paragraph (a) of this section may be
furnished by reference in the declaration to attachment of the original
or copy of the contract or other documentation which contains the
information.
(c) Execution of declaration. Declarations required by paragraph (a)
of this section shall be executed as follows:
(1) Contract supplier; Armed Forces branch; member or employee.
Declarations made under paragraph (a) or (b) of Sec. 12.98 shall affirm
that facts and data furnished are declared on knowledge, information, or
belief of a signing officer, partner, or authorized representative of an
importing contract supplier or of a commissioned officer, contracting
officer, or employee authorized to represent an Armed Forces importing
branch. The signature to a declaration shall appear over the declarant's
printed or typewritten name, his title or rank, and the identity of the
contract supplier or Armed Forces branch he represents or in which he
has membership or employment.
(2) One-armed person. Declarations made under paragraph (c) of
Sec. 12.98, signed by the eligible person, shall be presented upon his
arrival directly to a Customs officer who shall visually confirm the
facts declared. An eligible knife shall be released only to the
declarant.
[[Page 473]]
(d) Verification of declared information. The importer, consignee,
or declarant of knives permitted entry under Sec. 12.98 upon request
shall furnish Customs additional documentary evidence from an Armed
Forces branch or other relevant source as Customs officers may require
in order to:
(1) Verify declared statements;
(2) Resolve differences pertaining to quantity, description, value,
or other discrepancy disclosed by the importation, entry, or related
documentation;
(3) Establish the declarant's authority to act; or
(4) Authenticate a signature.
[T.D. 71-243, 36 FR 18860, Sept. 23, 1971]
Sec. 12.100 Importations in good faith; common or contract carriage.
(a) Exportation in lieu of seizure. Upon a claim that the importer
acted in good faith without knowledge of applicable laws and
regulations, Customs officers may authorize detained inadmissible knives
to be exported otherwise than in the mails, at no expense to the
Government, under the procedures of Sec. Sec. 18.25 through 18.27 of
this chapter.
(b) Common or contract carriers. In accordance with 15 U.S.C.
1244(1), excepted from the penalties of the Act are the shipping,
transporting, or delivering for shipment in interstate commerce, in the
ordinary course of business of common or contract carriage, of any
switchblade knife. However, imported switchblade knives as defined in
Sec. 12.95(a) so shipped or transported to a port of entry or place of
Customs examination are prohibited importations subject to
Sec. Sec. 12.95-12.103 and disposition as therein required, authorized,
or permitted.
[T.D. 71-243, 36 FR 18860, Sept. 23, 1971, as amended by T.D. 90-50, 55
FR 28192, July 10, 1990]
Sec. 12.101 Seizure of prohibited switchblade knives.
(a) Importations contrary to law. Inadmissible importations which
are not exported in accordance with Sec. 12.100(a) shall be seized under
19 U.S.C. 1595a(c).
(b) Notice of seizure. Notice of Customs seizure shall be sent or
given to the importer or consignee, which shall inform him of his right
to file a petition under section 618, Tariff Act of 1930, as amended (19
U.S.C. 1618), for remission of the forfeiture and permission to export
the seized switchblade knives. (See part 171 of this chapter.)
[T.D. 71-243, 36 FR 18860, Sept. 23, 1971, as amended by T.D. 90-50, 55
FR 28192, July 10, 1990]
Sec. 12.102 Forfeiture.
If the importer or consignee fails to submit, within 60 days after
being notified of his right to do so, a petition under section 618,
Tariff Act of 1930, as amended (19 U.S.C. 1618), for remission of the
forfeiture and permission to export the seized importation, the seized
prohibited knives shall be forfeited in accordance with applicable
provisions of sections 602 through 611, Tariff Act of 1930, as amended
(19 U.S.C. 1602 through 1611), and the procedures of part 162 of this
chapter.
[T.D. 71-243, 36 FR 18860, Sept. 23, 1971, as amended by T.D. 78-99, 43
FR 13060, Mar. 29, 1978; T.D. 00-57, 65 FR 53574, Sept. 5, 2000]
Sec. 12.103 Report to the U.S. Attorney.
Should circumstances and facts of the import transaction show
evidence of deliberate violation of 15 U.S.C. 1241 through 1245, so as
to present a question of criminal liability, the evidence, accompanied
by reports of investigative disclosures, findings, and recommendation,
shall be transmitted to the U.S. Attorney for consideration of criminal
prosecution. The port director shall hold the seized switchblade knives
intact pending disposition of the case.
[T.D. 71-243, 36 FR 18860, Sept. 23, 1971, as amended by T.D. 72-81, 37
FR 5364, Mar. 15, 1972; T.D. 90-50, 55 FR 28192, July 10, 1990]
Cultural Property
Source: Sections 12.104 through 12.104i issued by T.D. 86-52, 51 FR
6907, Feb. 27, 1986, unless otherwise noted.
Sec. 12.104 Definitions.
For purposes of Sec. Sec. 12.104 through 12.104i:
(a) The term, archaeological or ethnological material of the State
Party to the 1970 UNESCO Convention means--
(1) Any object of archaeological interest. No object may be
considered to
[[Page 474]]
be an object of archaeological interest unless such subject--
(i) Is of cultural significance;
(ii) Is at least 250 years old; and
(iii) Was normally discovered as a result of scientific excavation,
clandestine or accidental digging, or exploration on land or under
water; or in addition to paragraphs (a)(1) (i) and (ii) of this section;
(iv) Meets such standards as are generally acceptable as
archaeological such as, but not limited to, artifacts, buildings, parts
of buildings, or decorative elements, without regard to whether the
particular objects are discovered by exploration or excavation;
(2) Any object of ethnological interest. No object may be considered
to be an object of ethnological interest unless such object--
(i) Is the product of a tribal or nonindustrial society, and
(ii) Is important to the cultural heritage of a people because of
its distinctive characteristics, comparative rarity, or its contribution
to the knowledge of the origins, development or history of that people;
(3) Any fragment or part of any object referred to in paragraph (a)
(1) or (2) of this section which was first discovered within, and is
subject to export control by the State Party.
(b) The term Convention means the Convention on the Means of
Prohibiting and Preventing the Illicit Import, Export, and Transfer of
Ownership of Cultural Property adopted by the General Conference of the
United Nations Educational, Scientific, and Cultural Organization at its
sixteenth session (823 U.N.T.S. 231 (1972)).
(c) The term cultural property includes articles described in
Article 1 (a) through (k) of the Convention, whether or not any such
article is specifically designated by any State Party for the purposes
of Article 1. Article 1 lists the following categories:
(1) Rare collections and specimens of fauna, flora, minerals and
anatomy, and objects of palaeontological interest;
(2) Property relating to history, including the history of science
and technology and military and social history, to the life of national
leaders, thinkers, scientists and artists and to events of national
importance;
(3) Products of archaeological excavations (including regular and
clandestine) or of archaeological discoveries;
(4) Elements of artistic or historical monuments or archaeological
sites which have been dismembered;
(5) Antiquities more than 100 years old, such as inscriptions, coins
and engraved seals;
(6) Objects of ethnological interest;
(7) Property of artistic interest, such as:
(i) Pictures, paintings and drawings produced entirely by hand on
any support and in any material (excluding industrial designs and
manufactured articles decorated by hand);
(ii) Original works of statuary art and sculpture in any material;
(iii) Original engravings, prints and lithographs;
(iv) Original artistic assemblages and montages in any material;
(8) Rare manuscripts and incunabula, old books, documents and
publications of special interest (historical, artistic, scientific,
literary, etc.) singly or in collections;
(9) Postage, revenue and similar stamps, singly or in collections;
(10) Archives, including sound, photographic and cinematographic
archives;
(11) Articles of furniture more than 100 years old and old musical
instruments.
(d) The term designated archaeological or ethnological material
means any archaeological or ethnological material of the State Party
which--
(1) Is--
(i) Covered by an agreement under 19 U.S.C. 2602 that enters into
force with respect to the U.S., or
(ii) Subject to emergency action under 19 U.S.C. 2603 and
(2) Is listed by regulation under 19 U.S.C. 2604.
(e) The term museum means a public or private nonprofit agency or
institution organized on a permanent basis for essentially educational
or esthetic purposes, which, utilizing a professional staff, owns or
utilizes tangible objects, cares for them, and exhibits them to the
public on a regular basis (Museum Services Act; Pub. L. 94-462; 20
U.S.C.
[[Page 475]]
968). For the purposes of these regulations, the term recognized museum
under the Cultural Property Implementation Act shall be synonymous with
museum.
(f) The term Secretary means the Secretary of the Treasury or his
delegate, the Commissioner of Customs.
(g) The term State Party means any nation which has ratified,
accepted, or acceded to the 1970 UNESCO Convention.
(h) The term United States or U.S., includes the customs territory
of the United States, the U.S. Virgin Islands and any territory or area
the foreign relations for which the U.S. is responsible.
[T.D. 86-52, 51 FR 6907, Feb. 27, 1986; 51 FR 15316, Apr. 23, 1986; 51
FR 17332, May 12, 1986]
Sec. 12.104a Importations prohibited.
(a) No article of cultural property documented as appertaining to
the inventory of a museum or religious or secular public monument or
similar institution in any State Party which was stolen from such
museum, monument, or institution after April 12, 1983, or after the date
of entry into force of the Convention for the State Party, whichever
date is later, may be imported into the U.S.
(b) No archaeological or ethnological material designated pursuant
to 19 U.S.C. 2604 and listed in Sec. 12.104g, that is exported (whether
or not such exportation is to the U.S.) from the State Party after the
designation of such material under 19 U.S.C. 2604 may be imported into
the U.S. unless the State Party issues a certificate or other
documentation which certifies that such exportation was not in violation
of the laws of the State Party.
Sec. 12.104b State Parties to the Convention.
(a) The following is a list of State Parties which have deposited an
instrument of ratification, acceptance, accession or succession, the
date of such deposit and the date of entry into force for each State
Party:
----------------------------------------------------------------------------------------------------------------
State party Date of deposit Date of entry into force
----------------------------------------------------------------------------------------------------------------
Algeria.............................. June 24, 1974 (R)......................... Sept. 24, 1974.
Angola............................... Nov. 7, 1991 (R).......................... Feb. 7, 1992.
Argentina............................ Jan. 11, 1973 (R)......................... Apr. 11, 1973.
Armenia, Republic of................. Sept. 5, 1993 (S)......................... See Note 1.
Australia............................ Oct. 30, 1989 (Ac)........................ Jan. 30, 1990.
Bangladesh........................... Dec. 9, 1987 (R).......................... Mar. 9, 1988.
Belarus.............................. Apr. 28, 1988 (R)......................... July 28, 1988.
Belize............................... Jan. 26, 1990 (R)......................... Apr. 26, 1990.
Bolivia.............................. Oct. 4, 1976 (R).......................... Jan. 4, 1977.
Bosnia-Herzegovina................... July 12, 1993 (S)......................... See Note 2.
Brazil............................... Feb. 16, 1973 (R)......................... May 16, 1973.
Bulgaria............................. Sept. 15, 1971 (R)........................ Apr. 24, 1972.
Burkina Faso......................... Apr. 7, 1987 (R).......................... July 7, 1987.
Cambodia............................. Sept. 26, 1972 (R)........................ Dec. 26, 1972.
Cameroon............................. May 24, 1972 (R).......................... Aug. 24, 1972.
Canada............................... Mar. 28, 1978 (Ac)........................ June 28, 1978.
Central African Republic............. Feb. 1, 1972 (R).......................... May 1, 1972.
China, People's Republic of.......... Nov. 28, 1989 (Ac)........................ Feb. 28, 1990.
Colombia............................. May 24, 1988 (Ac)......................... Aug. 24, 1988.
Cote d'Ivoire........................ Oct. 30, 1990 (R)......................... Jan. 30, 1991.
Croatia.............................. July 6, 1992 (S).......................... See Note 2.
Cuba................................. Jan. 30, 1980 (R)......................... Apr. 30, 1980.
Cyprus............................... Oct. 19, 1979 (R)......................... Jan. 19, 1980.
Czech Republic....................... Mar. 26, 1993 (S)......................... See Note 4.
Dominican Republic................... Mar. 7, 1973 (R).......................... June 7, 1973.
Ecuador.............................. Mar. 24, 1971 (Ac)........................ Apr. 24, 1972.
Egypt................................ Apr. 5, 1973 (Ac)......................... July 5, 1973.
El Salvador.......................... Feb. 20, 1978 (R)......................... May 20, 1978.
Georgia, Republic of................. Nov. 4, 1992 (S).......................... See Note 1.
Greece............................... June 5, 1981 (R).......................... Sept. 5, 1981.
Grenada.............................. Sept. 10, 1992 (Ac)....................... Dec. 10, 1992.
Guatemala............................ Jan. 14, 1985 (R)......................... Apr. 14, 1985.
Guinea............................... Mar. 18, 1979 (R)......................... June 18, 1979.
Honduras............................. Mar. 19, 1979 (R)......................... June 19, 1979.
Hungary.............................. Oct. 23, 1978 (R)......................... Jan. 23, 1979.
India................................ Jan. 24, 1977 (R)......................... Apr. 24, 1977.
Iran................................. Jan. 27, 1975 (Ac)........................ Apr. 27, 1975.
Iraq................................. Feb. 12, 1973 (Ac)........................ May 12, 1973.
[[Page 476]]
Italy................................ Oct. 2, 1978 (R).......................... Jan. 2, 1979.
Jordan............................... Mar. 15, 1974 (R)......................... June 15, 1974.
Korea, Democratic People's Republic May 13, 1983 (R).......................... Aug. 13, 1983.
of.
Korea, Republic of................... Feb. 14, 1983 (Ac)........................ May 14, 1983.
Kuwait............................... June 22, 1972 (Ac)........................ Sept. 22, 1972.
Lebanon.............................. Aug. 25, 1992 (R)......................... Nov. 25, 1992.
Libya................................ Jan. 9, 1973 (R).......................... Apr. 9, 1973.
Madagascar........................... June 21, 1989 (R)......................... Sept. 21, 1989.
Mali................................. Apr. 6, 1987 (R).......................... July 6, 1987.
Mauritania........................... Apr. 27, 1977 (R)......................... July 27, 1977
Mauritius............................ Feb. 27, 1978 (Ac)........................ May 27, 1978.
Mexico............................... Oct. 4, 1972 (Ac)......................... Jan. 4, 1973.
Mongolia............................. June 23, 1991 (Ac)........................ Aug. 23, 1991.
Nepal................................ June 23, 1976 (R)......................... Sept. 23, 1976.
Nicaragua............................ Apr. 19, 1977 (R)......................... July 19, 1977.
Niger................................ Oct. 16, 1972 (R)......................... Jan. 16, 1973.
Nigeria.............................. Jan. 24, 1972 (R)......................... Apr. 24, 1972.
Oman................................. June 2, 1978 (Ac)......................... Sept. 2, 1978.
Pakistan............................. Apr. 30, 1978 (R)......................... July 30, 1981.
Panama............................... Aug. 13, 1973 (Ac)........................ Nov. 13, 1973.
Peru................................. Oct. 24, 1979 (Ac)........................ Jan. 24, 1980.
Poland............................... Jan. 31, 1974 (R)......................... Apr. 30, 1974.
Portugal............................. Dec. 9, 1985 (R).......................... Mar. 9, 1986.
Qatar................................ Apr. 20, 1977 (Ac)........................ July 20, 1977.
Romania.............................. Dec. 6, 1993 (R).......................... Mar. 6, 1994.
Russian Federation................... Apr. 28, 1988 (R)......................... See Note 3.
Saudi Arabia......................... Sept. 8, 1976 (Ac)........................ Dec. 8, 1976.
Senegal.............................. Dec. 9, 1984 (R).......................... Mar. 9, 1985.
Slovak Republic...................... Mar. 31, 1993 (S)......................... See Note 4.
Slovenia, Republic of................ Oct. 10, 1992 (S)......................... See Note 2.
Spain................................ Jan. 10, 1986 (R)......................... Apr. 10, 1986.
Sri Lanka............................ Apr. 7, 1981 (Ac)......................... July 7, 1981.
Syria................................ Feb. 21, 1975 (Ac)........................ May 21, 1975.
Tadjikistan, Republic of............. Aug. 11, 1992 (S)......................... See Note 1.
Tanzania............................. Aug. 2, 1977 (R).......................... Nov. 2, 1977.
Tunisia.............................. Mar. 10, 1975 (R)......................... June 10, 1975.
Turkey............................... Apr. 21, 1981 (R)......................... July 21, 1981.
Ukraine.............................. Apr. 28, 1988 (R)......................... July 28, 1988.
United States of America............. Sept. 2, 1983 (Ac)........................ Dec. 2, 1983.
Uruguay.............................. Aug. 9, 1977 (R).......................... Nov. 9, 1977.
Yugoslavia........................... Oct. 3, 1972 (R).......................... Jan. 3, 1973.
Zaire................................ Sept. 23, 1974 (R)........................ Dec. 23, 1974.
Zambia............................... June 21, 1985 (R)......................... Sept. 21, 1985.
----------------------------------------------------------------------------------------------------------------
Code for reading second column: Ratification (R); Acceptance (Ac); Accession (A); Succession (S).
Notes:
1. The Republic of Armenia, the Republic of Georgia, and the Republic of Tadjikistan each deposited a
notification of succession in which each declared itself bound by the Convention as ratified by the USSR on
April 28, 1988 and which entered into force on July 28, 1988.
2. Bosnia-Herzegovina, Croatia and the Republic of Slovenia each deposited notification of succession in which
each declared itself bound by the Convention as ratified by Yugoslavia on Oct. 3, 1972 and entered into force
on January 3, 1973.
3. The Government of the Russian Federation informed the Director General of UNESCO that the Russian Federation
continues without interruption the participation of the USSR in all UNESCO Conventions. The instrument of
ratification was deposited by the former USSR on April 28, 1988. and entered into force on July 28, 1988.
4. The Czech Republic and the Slovak Republic each deposited a notification of succession in which each declared
itself bound by the Convention as accepted by Czechoslovakia on Feb. 14, 1977 and which entered into force on
May 14, 1977.
(b) Additions to and deletions from the list of State Parties will
be accomplished by Federal Register notice, from time to time, as the
necessity arises.
[T.D. 86-52, 51 FR 6907, Feb. 27, 1986, as amended by T.D. 88-59, 53 FR
38287, Sept. 30, 1988; T.D. 90-13, 55 FR 4996, Feb. 13, 1990; T.D. 95-
71, 60 FR 47467, Sept. 13, 1995 ; CBP Dec. 08-25, 73 FR 40725, July 16,
2008]
Sec. 12.104c Importations permitted.
Designated archaeological or ethnological material for which entry
is sought into the U.S., will be permitted entry if at the time of
making entry:
(a) A certificate, or other documentation, issued by the Government
of the country of origin of such material in a form acceptable to the
Secretary is filed with the port director, such form being, but not
limited to, an affidavit, license, or permit from an appropriate,
authorized State Party official under
[[Page 477]]
seal, certifying that such exportation was not in violation of the laws
of that country, or
(b) Satisfactory evidence is presented to the port director that
such designated material was exported from the State Party not less than
10 years before the date of such entry and that neither the person for
whose account the material is imported (or any related person)
contracted for or acquired an interest, directly or indirectly, in such
material more than 1 year before that date of entry, or
(c) Satisfactory evidence is presented to the port director that
such designated material was exported from the State Party on or before
the date on which such material was designated under 19 U.S.C. 2604.
(d) The term ``satisfactory evidence'' means--
(1) For purposes of paragraph (b) of this section--
(i) One or more declarations under oath by the importer, or the
person for whose account the material is imported, stating that, to the
best of his knowledge--
(A) The material was exported from the State Party not less than 10
years before the date of entry into the U.S., and
(B) Neither such importer or person (or any related person)
contracted for or acquired an interest, directly or indirectly, in such
material more than 1 year before the date of entry of the material; and
(ii) A statement provided by the consignor, or person who sold the
material to the importer, which states the date, or, if not known, his
belief, that the material was exported from the State Party not less
than 10 years before the date of entry into the U.S. and the reasons on
which the statement is based; and
(2) For purposes of paragraph (c) of this section--
(i) One or more declarations under oath by the importer or the
person for whose account the material is to be imported, stating that,
to the best of his knowledge, the material was exported from the State
Party on or before the date such material was designated under 19 U.S.C.
2604, and
(ii) A statement by the consignor or person who sold the material to
the importer which states the date, or if not known, his belief, that
the material was exported from the State Party on or before the date
such material was designated under 19 U.S.C. 2604, and the reasons on
which the statement is based.
(e) Related persons. For purposes of paragraphs (b) and (d) of this
section, a person shall be treated as a related person to an importer,
or to a person for whose account material is imported, if such person--
(1) Is a member of the same family as the importer or person of
account, including, but not limited to, membership as a brother or
sister (whether by whole or half blood), spouse, ancestor, or lineal
descendant;
(2) Is a partner or associate with the importer or person of account
in any partnership, association, or other venture; or
(3) Is a corporation or other legal entity in which the importer or
person of account directly or indirectly owns, controls, or holds power
to vote 20 percent or more of the outstanding voting stock or shares in
the entity.
Sec. 12.104d Detention of articles; time in which to comply.
In the event an importer cannot produce the certificate,
documentation, or evidence required in Sec. 12.104c at the time of
making entry, the port director shall take the designated archaeological
or ethnological material into Customs custody and send it to a bonded
warehouse or public store to be held at the risk and expense of the
consignee until the certificate, documentation, or evidence is presented
to such officer. The certificate, documentation, or evidence must be
presented within 90 days after the date on which the material is taken
into Customs custody, or such longer period as may be allowed by the
port director for good cause shown.
Sec. 12.104e Seizure and forfeiture.
(a) Whenever any designated archaeological or ethnological material
is imported into the U.S. in violation of 19 U.S.C. 2606, and the
importer states in
[[Page 478]]
writing that he will not attempt to secure the certificate,
documentation, or evidence required by Sec. 12.104c, or such
certificate, documentation, or evidence is not presented to the port
director before the expiration of the time provided in Sec. 12.104d, the
material shall be seized and summarily forfeited to the U.S. in
accordance with part 162 of this chapter.
(1) Any designated archaeological or ethnological material which is
forfeited to the U.S. shall, in accordance with the provisions of Title
III of Pub. L. 97-446, 19 U.S.C. 2609(b):
(i) First be offered for return to the State Party;
(ii) If not returned to the State Party be returned to a claimant
with respect to whom the designated material was forfeited if that
claimant establishes--
(A) Valid title to the material;
(B) That the claimant is a bona fide purchaser for value of the
material; or
(iii) If not returned to the State Party under paragraph (a)(1)(i)
of this section or to a claimant under paragraph (a)(1)(ii) of this
section, be disposed of in the manner prescribed by law for articles
forfeited for violation of the customs laws. No return of material may
be made under paragraph (a)(1) (i) or (ii) of this section unless the
State Party or claimant, as the case may be, bears the expenses incurred
incident to the return and delivery, and complies with such other
requirements relating to the return as the Secretary shall prescribe.
(b) Whenever any stolen article of cultural property is imported
into the U.S. in violation of 19 U.S.C. 2607, such cultural property
shall be seized and forfeited to the U.S. in accordance with part 162 of
this chapter.
(1) Any stolen article of cultural property which is forfeited to
the U.S. shall, in accordance with the provisions of Title III of Pub.
L. 97-446, 2609(c):
(i) First be offered for return to the State Party in whose
territory is situated the institution referred to in 19 U.S.C. 2607 and
shall be returned if that State Party bears the expenses incident to
such return and delivery and complies with such other requirements
relating to the return as the Secretary prescribes; or
(ii) If not returned to such State Party, be disposed of in the
manner prescribed by law for articles forfeited for violation of the
customs laws.
Sec. 12.104f Temporary disposition of materials and articles.
Pending a final determination as to whether any archaeological or
ethnological material, or any article of cultural property, has been
imported into the U.S. in violation of 19 U.S.C. 2606 or 19 U.S.C. 2607,
the Secretary may permit such material or article to be retained at a
museum or other cultural or scientific institution in the U.S. if he
finds that sufficient safeguards will be taken by the museum or
institution for the protection of such material or article; and
sufficient bond is posted by the museum or institution to ensure its
return to the Secretary.
Sec. 12.104g Specific items or categories designated by agreements or
emergency actions.
(a) The following is a list of agreements imposing import
restrictions on the described articles of cultural property of State
Parties. The listed Treasury Decision contains the Designated Listing
with a complete description of specific items or categories of
archaeological or ethnological material designated by the agreement as
coming under the protection of the Convention on Cultural Property
Implementation Act. Import restrictions listed below shall be effective
for no more than five years beginning on the date on which the agreement
enters into force with respect to the United States. This period may be
extended for additional periods of not more than five years if it is
determined that the factors which justified the initial agreement still
pertain and no cause for suspension of the agreement exists. Any such
extension is indicated in the listing.
[[Page 479]]
----------------------------------------------------------------------------------------------------------------
State party Cultural Property Decision No.
----------------------------------------------------------------------------------------------------------------
Belize......................................... Archaeological material CBP Dec. 13-05.
representing Belize's cultural
heritage that is at least 250
years old, dating from the Pre-
Ceramic (from approximately 9000
B.C.), Pre-Classic, Classic, and
Post-Classic Periods of the Pre-
Columbian era through the Early
and Late Colonial Periods.
Bolivia........................................ Archaeological and Ethnological T.D. 01-86 extended by CBP
Material from Bolivia. Dec. 11-24
Bulgaria....................................... Archaeological material CBP Dec. 14-01
representing Bulgaria's cultural
heritage from Neolithic period
(7500 B.C.) through
approximately 1750 A. D. and
ecclesiastical ethnological
material representing Bulgaria's
Middle Ages (681 A. D.) through
approximately 1750 A. D.
Cambodia....................................... Archaeological Material from CBP Dec. 08-40 extended by
Cambodia from the Bronze Age CBP Dec. 13-15
through the Khmer Era..
Canada......................................... Archaeological artifacts and T.D. 97-31
ethnological material culture of
Canadian origin.
Colombia....................................... Pre-Columbian archaeological CBP Dec. 06-09 extended by
material ranging approximately CBP Dec. 11-06.
from 1500 B.C. to 1530 A.D. and
ecclesiastical ethnological
material of the Colonial period
ranging approximately from A.D.
1530 to 1830.
Cyprus......................................... Archaeological material of pre- CBP Dec. 12-13.
Classical and Classical periods
ranging approximately from the
8th millennium B.C. to 330 A.D.
and ecclesiastical and ritual
ethnological material
representing the Byzantine and
Post-Byzantine periods ranging
from approximately the 4th
century A.D. to 1850 A.D..
El Salvador.................................... Archaeological material T.D. 95-20 extended by CBP
representing Prehispanic Dec. 10-01
cultures of El Salvador.
Greece (Hellenic Republic)..................... Archaeological materials CBP Dec. 11-25
representing Greece's cultural
heritage from the Upper
Paleolithic (beginning
approximately 20,000 B.C.)
through the 15th century A.D.
and ecclesiastical ethnological
material representing Greece's
Byzantine culture (approximately
the 4th century through the 15th
century A.D.).
Guatemala...................................... Archaeological material from CBP Dec. 12-17
sites in the Peten Lowlands of
Guatemala, and ecclesiastical
ethnological materials dating
from the Conquest and Colonial
periods, c. A.D. 1524 to 1821..
Honduras....................................... Archaeological material of Pre- CBP Dec. 04-08 extended by
Colombian cultures ranging CBP Dec. 14-03
approximately from 1200 B.C. to
1500 A.D, and ecclesiastical
ethnological materials dating
from the Colonial Period, c.
A.D. 1502 to 1821.
Italy.......................................... Archaeological Material of pre- T.D. 01-06 extended by CBP
Classical, Classical, and Dec. 11--03
Imperial Roman periods ranging
approximately from the 9th
century B.C. to the 4th century
A.D..
Mali........................................... Archaeological material from Mali CBP Dec. 12-14
from the Paleolithic Era (Stone
Age) to approximately the mid-
eighteenth century.
Nicaragua...................................... Archaeological material of pre- T.D. 00-75 extended by CBP
Columbian cultures ranging Dec. 10--32
approximately from 8000 B.C. to
1500 A.D.
People's Republic of China..................... Archaeological materials CBP Dec. 09-03 extended by
representing China's cultural CBP Dec. 14-02.
heritage from the Paleolithic
Period (c. 75,000 B.C.) through
the end of the Tang Period (A.D.
907) and monumental sculpture
and wall art at least 250 years
old as of January 14, 2009.
Peru........................................... Archaeological artifacts and T.D. 97-50 extended by CBP
ethnological material from Peru. Dec. 12-11
----------------------------------------------------------------------------------------------------------------
(b) The following is a list of emergency actions imposing import
restrictions on the described articles of cultural property of State
Parties. The listed decision contains a complete description of specific
items or categories of archaeological or ethnological material
designated by the emergency actions as coming under the protection of
the Convention on Cultural Property Implementation Act. Import
restrictions listed below shall be effective for no more than five years
from the date on which the State Party requested those restrictions.
This period may be extended for three more years if it is determined
that the emergency condition continues to apply with respect to the
archaeological or ethnological material. Any such extension is indicated
in the listing.
[[Page 480]]
----------------------------------------------------------------------------------------------------------------
State party Cultural property Decision No.
----------------------------------------------------------------------------------------------------------------
.............................................
----------------------------------------------------------------------------------------------------------------
[T.D. 86-52, 51 FR 6907, Feb. 27, 1986]
Editorial Note: For Federal Register citations affecting
Sec. 12.104g, see the List of CFR Sections Affected, which appears in
the Finding Aids section of the printed volume and at www.fdsys.gov.
Sec. 12.104h Exempt materials and articles.
The provisions of these regulations shall not apply to--
(a) Any archaeological or ethnological material or any article of
cultural property which is imported into the U.S. for temporary
exhibition or display, if such material or article is rendered immune
from seizure under judicial process by the U.S. Information Agency,
Office of the General Counsel and Congressional Liaison, pursuant to the
Act entitled ``An Act to render immune from seizure under judicial
process certain objects of cultural significance imported into the
United States for temporary display or exhibition, and for other
purposes'', approved October 19, 1965 (22 U.S.C. 2459); or
(b) Any designated archaeological or ethnological material or any
article of cultural property imported into the U.S. if such material or
article--
(1) Has been held in the U.S. for a period of not less than 3
consecutive years by a recognized museum or religious or secular
monument or similar institution, and was purchased by that institution
for value, in good faith, and without notice that such material or
article was imported in violation of these regulations, but only if--
(i) The acquisition of such material or article has been reported in
a publication of such institution, any regularly published newspaper or
periodical with a circulation of at least 50,000, or a periodical or
exhibition catalog which is concerned with the type of article or
materials sought to be exempted from these regulations,
(ii) Such material or article has been exhibited to the public for a
period or periods aggregating at least 1 year during such 3-year period,
or
(iii) Such article or material has been cataloged and the catalog
material made available upon request to the public for at least 2 years
during such 3-year period;
(2) If paragraph (b)(1) of this section does not apply, has been
within the U.S. for a period of not less than 10 consecutive years and
has been exhibited for not less than 5 years during such period in a
recognized museum or religious or secular monument or similar
institution in the U.S. open to the public;
(3) If paragraphs (b) (1) and (2) of this section do not apply, has
been within the U.S. for a period of not less than 10 consecutive years
and the State Party concerned has received or should have received
during such period fair notice (through such adequate and accessible
publication, or other means, as the Secretary or his designee shall
prescribe) of its location within the U.S.; and
(4) If none of the preceding subparagraphs apply, has been within
the U.S. for a period of not less than 20 consecutive years and the
claimant establishes that it purchased the material or article for value
without knowledge or reason to believe that it was imported in violation
of law.
Sec. 12.104i Enforcement.
In the customs territory of the United States, and in the U.S.
Virgin Islands, the provisions of these regulations shall be enforced by
appropriate customs officers. In any other territory or area within the
U.S., but not within such customs territory or the U.S. Virgin Islands,
such provisions shall be enforced by such persons as may be designated
by the President.
Sec. 12.104j Emergency protection for Iraqi cultural antiquities.
(a) Restriction. Importation of archaeological or ethnological
material of Iraq is restricted pursuant to the Emergency Protection for
Iraqi Cultural Antiquities Act of 2004 (title III of Pub. L. 108-429)
and section 304 of the
[[Page 481]]
Convention on Cultural Property Implementation Act (19 U.S.C. 2603).
(b) Description of restricted material. The term ``archaeological or
ethnological material of Iraq'' means cultural property of Iraq and
other items of archaeological, historical, cultural, rare scientific, or
religious importance illegally removed from the Iraq National Museum,
the National Library of Iraq, and other locations in Iraq, since the
adoption of United Nations Security Council Resolution 661 of 1990. CBP
Decision 08-17 sets forth the Designated List of Archaeological and
Ethnological Material of Iraq that describes the types of specific items
or categories of archaeological or ethnological material that are
subject to import restrictions.
[73 FR 23342, Apr. 30, 2008]
Pre-Columbian Monumental and Architectural Sculpture and Murals
Sec. 12.105 Definitions.
For purposes of Sec. Sec. 12.106 through 12.109:
(a) The term pre-Columbian monumental or architectural sculpture or
mural means any stone carving or wall art listed in paragraph (b) of
this section which is the product of a pre-Columbian Indian culture of
Belize, Bolivia, Columbia, Costa Rica, Dominican Republic, Ecuador, El
Salvador, Guatemala, Honduras, Mexico, Panama, Peru, or Venezuela.
(b) The term stone carving or wall art includes:
(1) Such stone monuments as altars and altar bases, archways, ball
court markers, basins, calendars, and calendrical markers, columns,
monoliths, obelisks, statues, stelae, sarcophagi, thrones, zoomorphs;
(2) Such architectural structures as aqueducts, ball courts,
buildings, bridges, causeways, courts, doorways (including lintels and
jambs), forts, observatories, plazas, platforms, facades, reservoirs,
retaining walls, roadways, shrines, temples, tombs, walls, walkways,
wells;
(3) Architectural masks, decorated capstones, decorative beams of
wood, frescoes, friezes, glyphs, graffiti, mosaics, moldings, or any
other carving or decoration which had been part of or affixed to any
monument or architectural structure, including cave paintings or
designs;
(4) Any fragment or part of any stone carving or wall art listed in
the preceding subparagraphs.
(c) The term country of origin, as applied to any pre-Columbian
monumental or architectural sculpture or mural, means the country where
the sculpture or mural was first discovered.
[T.D. 73-119, 38 FR 10807, May 2, 1973, as amended by T.D. 73-151, 38 FR
14677, June 4, 1973; T.D. 73-165, 38 FR 16044, June 20, 1973; 42 FR
42684, Aug. 24, 1977; T.D. 82-145, 47 FR 35477, Aug. 16, 1982]
Sec. 12.106 Importation prohibited.
Except as provided in section 12.107, no pre-Columbian monumental or
architectural sculpture or mural which is exported (whether or not such
exportation is to the United States) from its country of origin after
June 1, 1973, may be imported into the United States.
[T.D. 78-273, 43 FR 36055, Aug. 15, 1978]
Sec. 12.107 Importations permitted.
Pre-Columbian monumental or architectural sculpture or mural for
which entry is sought into the Customs territory of the United States
will be permitted entry if at the time of making entry:
(a) A certificate, issued by the Government of the country of origin
of such sculpture or mural, in a form acceptable to the Secretary,
certifying that such exportation was not in violation of the laws of
that country, is filed with the port director; or
(b) Satisfactory evidence is presented to the port director that
such sculpture or mural was exported from the country of origin on or
before June 1, 1973; or
(c) Satisfactory evidence is presented to the port director that
such sculpture or mural is not an article listed in Sec. 12.105.
[T.D. 73-119, 38 FR 10807, May 2, 1973, as amended by T.D. 82-145, 47 FR
35477, Aug. 16, 1982]
[[Page 482]]
Sec. 12.108 Detention of articles; time in which to comply.
If the importer cannot produce the certificate or evidence required
in Sec. 12.107 at the time of making entry, the port director shall take
the sculpture or mural into Customs custody and send it to a bonded
warehouse or public store to be held at the risk and expense of the
consignee until the certificate or evidence is presented to such
officer. The certificate or evidence must be presented within 90 days
after the date on which the sculpture or mural is taken into Customs
custody, or such longer period as may be allowed by the port director
for good cause shown.
[T.D. 73-119, 38 FR 10807, May 2, 1973]
Sec. 12.109 Seizure and forfeiture.
(a) Whenever any pre-Columbian monumental or architectural sculpture
or mural listed in Sec. 12.105 is detained in accordance with
Sec. 12.108 and the importer states in writing that he will not attempt
to secure the certificate or evidence required, or such certificate or
evidence is not presented to the port director prior to the expiration
of the time provided in Sec. 12.108, the sculpture or mural shall be
seized and summarily forfeited to the United States in accordance with
part 162 of this chapter.
(b) Any pre-Columbian monumental or architectural sculpture or mural
which is forfeited to the United States shall in accordance with the
provisions of Title II of Pub. L. 92-587, 19 U.S.C. 2093(b):
(1) First be offered for return to the country of origin, and shall
be returned if that country presents a request in writing for the return
of the article and agrees to bear all expenses incurred incident to such
return; or
(2) If not returned to the country of origin, be disposed of in
accordance with law, pursuant to the provisions of section 609, Tariff
Act of 1930, as amended (19 U.S.C. 1609), and Sec. 162.46 of this
chapter.
[T.D. 73-119, 38 FR 10807, May 2, 1973, as amended by T.D. 82-145, 47 FR
35477, Aug. 16, 1982]
Pesticides and Devices
Sec. 12.110 Definitions.
Except as otherwise provided below, the terms used in
Sec. Sec. 12.111 through 12.117 shall have the meanings set forth for
those terms in the Federal Insecticide, Fungicide, and Rodenticide Act,
as amended (7 U.S.C. 136 et seq.), hereinafter referred to as ``the
Act.'' The term Administrator shall mean the Administrator of the
Environmental Protection Agency.
[T.D. 75-194, 40 FR 32321, Aug. 1, 1975]
Sec. 12.111 Registration.
All imported pesticides are required to be registered under the
provisions of section 3 of the Act, and under the regulations (40 CFR
162.10) promulgated thereunder by the Administrator before being
permitted entry into the United States. Devices, although not required
to be registered, must not bear any statement, design, or graphic
representation that is false or misleading in any particular.
[T.D. 75-194, 40 FR 32321, Aug. 1, 1975]
Sec. 12.112 Notice of arrival of pesticides and devices.
(a) General. An importer desiring to import pesticides or devices
into the United States shall submit to the Administrator a Notice of
Arrival of Pesticides and Devices (Environmental Protection Agency Form
3540-1), hereinafter referred to as a Notice of Arrival, prior to the
arrival of the shipment in the United States. The Administrator shall
complete the Notice of Arrival, indicating the disposition to be made of
the shipment of pesticides or devices upon its arrival in the United
States, and shall return the completed Notice of Arrival to the importer
or his agent.
(b) Chemicals imported for use other than as pesticides. Chemicals
which can be used as pesticides but which are not imported for such use
and are not shown on the Index of Pesticide Products located in the
Environmental Protection Agency's handbook entitled Recognition and
Management of Pesticide Poisonings, found at http://
[[Page 483]]
www.epa.gov, may be entered without the submission of the Notice of
Arrival.
[T.D. 75-194, 40 FR 32321, Aug. 1, 1975, as amended at CBP Dec. 10-29,
75 FR 52451, Aug. 26, 2010]
Sec. 12.113 Arrival of shipment.
(a) Notice of arrival presented. Upon the arrival of a shipment of
pesticides or devices, the importer or his agent shall present to the
director of the port of entry the Notice of Arrival completed by the
Administrator and indicating the Customs action to be taken with respect
to the shipment. The port director shall compare entry documents for the
shipment of pesticides or devices with the Notice of Arrival and notify
the Administrator of any discrepancies.
(b) Notice of arrival not presented. When a shipment of pesticides
or devices arrives in the United States without the presentation by the
importer or his agent of the Notice of Arrival completed by the
Administrator, the shipment shall be detained by the director of the
importer's risk and expense until the completed Notice of Arrival is
presented or until other disposition is ordered by the Administrator,
but not to exceed a period of 30 days, or such extended period, not in
excess of 30 additional days, as the port director for good cause may
specially authorize. An application of the importer or his agent
requesting an extension of the initial 30-day period shall be filed with
the director of the port of entry.
(c) Disposition of pesticides or devices remaining under detention.
A shipment that remains detained or undisposed of due to failure of
presentment of a completed Notice of Arrival or nonreceipt of an order
of the Administrator as to its disposition shall be treated as a
prohibited importation. The port director shall cause the destruction of
any such shipment not exported by the consignee within 90 days after the
expiration of the detention period specified or authorized pursuant to
Sec. 12.113(b).
[T.D. 75-194, 40 FR 32322, Aug. 1, 1975]
Sec. 12.114 Release or refusal of delivery.
If the completed Notice of Arrival directs the port director to
release the shipment of pesticides or devices, the shipment shall be
released to the consignee. If the completed Notice of Arrival directs
the port director to refuse delivery of the shipment, the shipment shall
be refused delivery and treated as a prohibited importation. The port
director shall cause the destruction of any shipment refused delivery
and not exported by the consignee within 90 days after notice of such
refusal of delivery.
[T.D. 75-194, 40 FR 32322, Aug. 1, 1975]
Sec. 12.115 Release under bond.
If the completed Notice of Arrival so directs, a shipment of
pesticides or devices shall be detained at the importer's expense by the
port director pending an examination by the Administrator to determine
whether the shipment complies with the requirements of the Act. However,
a shipment detained for examination may be released to the consignee
prior to a determination by the Administrator provided a bond is
furnished on Customs Form 301, containing the bond conditions set forth
in Sec. 113.62 of this chapter, for the return of the merchandise to
Customs custody. The bond shall be in an amount deemed appropriate by
the port director. When a shipment of pesticides or devices is released
to the consignee under bond, the shipment shall not be used or otherwise
disposed of until the determination is made by the Administrator.
[T.D. 75-194, 40 FR 32322, Aug. 1, 1975, as amended by T.D. 84-213, 49
FR 41168, Oct. 19, 1984]
Sec. 12.116 Samples.
Upon the request of the Administrator, either on the completed
Notice of Arrival or otherwise, the port director shall deliver to the
Administrator samples of the imported pesticides or devices, together
with all accompanying labels, circulars, and advertising matter
pertaining to such merchandise. The port director shall notify the
consignee, in writing, that the samples of imported pesticides or
devices, together with all accompanying labels, circulars, and
advertising matter pertaining to such merchandise
[[Page 484]]
have been delivered to the Administrator.
[T.D. 75-194, 40 FR 32322, Aug. 1, 1975]
Sec. 12.117 Procedure after examination.
(a) Merchandise complying with the Act. If, upon examination or
analysis of a sample from a shipment of pesticides or devices, the
sample is found to be in compliance with the Act, the Administrator
shall notify the port director that the shipment may be released to the
consignee.
(b) Merchandise not complying with the Act. If, upon examination or
analysis of a sample from a shipment of pesticides or devices, the
sample is found to be in violation of the Act, the consignee shall be
notified promptly by the Administrator of the nature of the violation
and be given a reasonable time, not to exceed 20 days, to submit written
material or, at his option, to appear before the Administrator and
introduce testimony, to show cause why the shipment should not be
destroyed or refused entry. If, after consideration of all the evidence
presented, it is still the opinion of the Administrator that the
merchandise is in violation of the Act, the Administrator shall notify
the port director of this opinion and the port director shall either (1)
refuse delivery to the consignee, or (2) if the shipment has been
released to the consignee under bond, demand redelivery of the shipment
under the terms of the bond. If the merchandise is not redelivered
within 30 days after the date of demand by the port director, the port
director shall issue a demand for liquidated damages in the full amount
of the bond if it is a single entry bond, or if a continuous bond is
used, the amount that would have been taken under a single entry bond.
The port director shall cause the destruction of any merchandise refused
delivery to the consignee, or redelivered by the consignee pursuant to a
demand therefor, and not exported by the consignee within 90 days after
notice of such refusal of delivery or within 90 days after such
redelivery, as applicable.
[T.D. 75-194, 40 FR 32322, Aug. 1, 1975, as amended by T.D. 84-213, 49
FR 41168, Oct. 19, 1984]
Chemical Substances in Bulk and as Part of Mixtures and Articles
Source: Sections 12.118 through 12.127 issued by T.D. 83-158, 48 FR
34739, Aug. 1, 1983, unless otherwise noted.
Sec. 12.118 Toxic Substances Control Act.
The importation into the customs territory of the United States of a
chemical substance in bulk or as part of a mixture, or article
containing a chemical substance or mixture, is governed by the Toxic
Substances Control Act (``TSCA'') (15 U.S.C. 2601 et seq.), and by
regulations issued under the authority of section 13(b), TSCA (15 U.S.C.
2612(b)) by the Secretary of the Treasury in consultation with the
Administrator, Environmental Protection Agency (``EPA'').
Sec. 12.119 Scope.
Sections 12.120 through 12.127 apply to the importation into the
customs territory of the United States of chemical substances in bulk
and as part of mixtures under TSCA. Sections 12.120 through 12.127 also
apply to articles containing a chemical substance or mixture if so
required by the Administrator by specific rule under TSCA.
Sec. 12.120 Definitions.
Except as otherwise provided below, the terms used in
Sec. Sec. 12.121 through 12.127 have the meanings set forth for those
terms in TSCA.
(a) Article--(1) Article means a manufactured item which:
(i) Is formed to a specific shape or design during manufacture,
(ii) Has end use functions dependent in whole or in part upon its
shape or design during the end use, and
(iii) Has either no change of chemical composition during its end
use or only those changes of composition which have no commercial
purpose separate from that of the article and that may occur as
described in Sec. 12.120(a)(2); except that fluids and particles are not
considered articles regardless of shape or design.
(2) The allowable changes of composition, referred to in
Sec. 12.120(a)(1), are those which result from a chemical reaction that
occurs upon the end use of other chemical substances, mixtures,
[[Page 485]]
or articles such as adhesives, paints, miscellaneous cleaners or other
household products, fuels and fuel additives, water softening and
treatment agents, photographic films, batteries, matches, and safety
flares in which the chemical substance manufactured upon end use of the
article is not itself manufactured for distribution in commerce or for
use as an intermediate.
(b) Chemical substance in bulk form means a chemical substance
(other than as part of a mixture or article) in containers used for
purposes of transportation or containment, provided that the chemical
substance is intended to be removed from the container and has an end
use or commercial purpose separate from the container.
Sec. 12.121 Reporting requirements.
(a) Chemical substances in bulk or mixtures--(1) Certification
required. The importer of a chemical substance imported in bulk or as
part of a mixture, or the authorized agent of such an importer, must
certify either that the chemical shipment is subject to TSCA and
complies with all applicable rules and orders thereunder, or that the
chemical shipment is not subject to TSCA, by signing and filing with
Customs one of the following statements:
I certify that all chemical substances in this shipment comply with
all applicable rules or orders under TSCA and that I am not offering a
chemical substance for entry in violation of TSCA or any applicable rule
or order thereunder.
I certify that all chemical substances in this shipment are not
subject to TSCA.
(2) Filing of certification--(i) General. The appropriate
certification required under paragraph (a)(1) of this section must be
filed with the director of the port of entry before release of the
shipment and, except when a blanket certification is on file as provided
for in paragraph (a)(2)(ii) of this section, must appear as a typed or
stamped statement:
(A) On an appropriate entry document or commercial invoice or on an
attachment to that entry document or invoice; or
(B) In the event of release under a special permit for an immediate
delivery as provided for in Sec. 142.21 of this chapter or in the case
of an entry as provided for in Sec. 142.3 of this chapter, on the
commercial invoice or on an attachment to that invoice.
(ii) Blanket certifications. A port director may, in his discretion,
approve an importer's use of a ``blanket'' certification, in lieu of
filing a separate certification for each chemical shipment, for any
chemical shipment that conforms to a product description provided to
Customs pursuant to paragraph (a)(2)(ii)(A) of this section. In
approving the use of a ``blanket'' certification, the port director
should consider the reliability of the importer and Customs broker.
Approval and use of a ``blanket'' certification will be subject to the
following conditions:
(A) A ``blanket'' certification must be filed with the port director
on the letterhead of the certifying firm, must list the products covered
by name and Harmonized Tariff Schedule of the United States subheading
number, must identify the foreign supplier by name and address, and must
be signed by an authorized person;
(B) A ``blanket'' certification will remain valid, and may be used,
for 1 year from the date of approval unless the approval is revoked
earlier for cause by the port director. Separate ``blanket''
certifications must be approved and used for chemical substances that
are subject to TSCA and for chemical substances that are not subject to
TSCA; and
(C) An importer for whom the use of a ``blanket'' certification has
been approved must include, on the invoice used in connection with the
entry and entry summary procedures for each shipment covered by the
``blanket'' certification, a statement referring to the ``blanket''
certification and incorporating it by reference. This statement need not
be signed.
(b) Chemical substances or mixtures as parts of articles. Each
importer of a chemical substance or mixture as part of an article must
comply with the certification requirements set forth in paragraph (a) of
this section only if required to do so by a rule or order issued under
TSCA.
(c) Facsimile signatures. The certification statements required
under paragraph (a)(1) of this section may be
[[Page 486]]
signed by means of an authorized facsimile signature.
[T.D. 00-13, 65 FR 10704, Feb. 29, 2000]
Sec. 12.122 Detention of certain shipments.
(a) The director of the port of arrival shall detain, at the
importer's risk and expense, shipments of chemical substances, mixtures,
or articles:
(1) Which have been banned from the customs territory of the United
States by a rule or order issued under section 5 or 6 of TSCA (15 U.S.C.
2604 or 2605) or
(2) Which have been ordered seized because of imminent hazards as
specified under section 7 of TSCA (15 U.S.C. 2606).
(b) The director of the port of entry shall detain shipments of
chemical substances, mixtures, or articles at the importer's risk and
expense, in the following situations:
(1) Whenever the Administrator has reasonable grounds to believe
that the shipment is not in compliance with TSCA and notifies the port
director to detain the shipment.
(2) Whenever the port director has reasonable grounds to believe
that the shipment is not in compliance with TSCA; or
(3) Whenever the importer fails to certify compliance with TSCA as
required by Sec. 12.121.
(c) Upon detention of a shipment, the port director shall give
prompt notice to the Administrator and the importer. The notice shall
include the reasons for detention.
(d) A detained shipment shall not be held in the custody of the port
director for more than 48 hours after the date of detention. Thereafter,
the shipment shall be promptly turned over to the Administrator for
storage or disposition as provided for in Sec. Sec. 12.127 and
127.28(i), unless previously released to the importer under bond as
provided in Sec. 12.123(b). Notice of intent to abandon the shipment by
the importer shall constitute a waiver of all time periods specified in
parts 12 and 127.
Sec. 12.123 Procedure after detention.
(a) Submission of written documentation. If a shipment is detained
by a port director under Sec. 12.122, the importer may submit written
documentation to the Administrator with a copy to the port director
within 20 days from the date of notice of detention, to show cause why
the shipment should not be refused entry. If an importer submits that
documentation, the Administrator shall allow or deny entry of the
shipment within 10 days of receipt of the documentation, and in any case
shall allow or deny entry of the shipment within 30 days of the date of
notice of detention.
(b) Release under Bond. The port director may release to the
importer a shipment detained for any of the reasons given in Sec. 12.122
when the port director has reasonable grounds to believe that the
shipment may be brought into compliance, or when the port director deems
it appropriate under Sec. 141.66 of this chapter. Any such release shall
be conditioned upon furnishing a bond on CBP Form 301, containing the
conditions set forth in Sec. 113.62 of this chapter for the return of
the shipment to CBP custody. If a shipment of chemical substance,
mixture, or article is released to the importer under bond, the shipment
shall be held intact and shall not be used or otherwise disposed of
until the Administrator makes a final determination on entry as provided
for in paragraph (c) of this section.
(c) Determination by the Administrator. After consideration of the
available evidence and within 30 days from the notice of detention, the
Administrator shall notify the port director and the importer of his
decision either to permit or refuse entry of the shipment. If the
Administrator finds that the shipment is in compliance with TSCA, the
port director shall release the shipment to the importer. If the
Administrator finds that the shipment is not in compliance, the port
director shall:
(1) Refuse delivery to the importer, giving reasons for such
refusal, or
(2) If the shipment has been released on bond, demand its redelivery
under the terms of the bond, giving reasons for such demand. If the
merchandise is not redelivered within 30 days from the date of the
redelivery notice, the port
[[Page 487]]
director shall assess liquidated damages in the full amount of the bond.
[T.D. 83-158, 48 FR 34739, Aug. 1, 1983, as amended at CBP Dec. 10-29,
75 FR 52451, Aug. 26, 2010]
Sec. 12.124 Time limitations and extensions.
(a) Time limitations. The importer of a shipment of chemical
substances, mixtures, or articles which has been detained under
Sec. 12.122 shall bring the shipment into compliance with TSCA or export
the shipment from the customs territory of the United States within 90
days after notice of detention or 30 days of demand for redelivery,
whichever comes first.
(b) Time extensions. The port director, upon notification by the
Administrator, may grant an extension of not more than 30 days if, due
to delays caused by the Environmental Protection Agency or the Customs
Service:
(1) The importer is unable, for good cause shown, to bring a
shipment into compliance with the Act within the required time period;
or
(2) The importer is unable to export the shipment from the customs
territory of the United States within the required time period.
Sec. 12.125 Notice of exportation.
Whenever the Administrator directs the port director to refuse entry
under Sec. 12.123 and the importer exports the non-complying shipment
within the 30 day period of notice of refusal of entry or within 90 days
of demand for redelivery, the importer shall give written notice of the
fact of exportation to the Administrator and the port director. The
importer shall include the following information in the notice of
exportation:
(a) The name and address of the exporter or his agent;
(b) A description of the chemical substances, mixtures, or articles
exported;
(c) The destination (country);
(d) The port of arrival at the destination;
(e) The carrier;
(f) The date of exportation; and
(g) The bill of lading or the air way bill number.
Sec. 12.126 Notice of abandonment.
If the importer intends to abandon the shipment after receiving
notice of refusal of entry, the importer shall present a written notice
of intent to abandon to the port director and the Administrator.
Notification under this section is a waiver of any right to export the
merchandise. The importer shall remain liable for any expense incurred
in the storage and/or disposal of abandoned merchandise.
Sec. 12.127 Decision to store or dispose.
(a) A shipment detained under Sec. 12.122 shall be considered to be
unclaimed or abandoned and shall be turned over to the Administrator for
storage or disposition as provided for in Sec. 127.28(i) of this chapter
if the importer has not brought the shipment into compliance with TSCA
and has not exported the shipment within time limitations or extensions
specified according to Sec. 12.124. The importer shall remain liable for
any expenses in the storage and/or disposal of abandoned merchandise.
Softwood Lumber
Sec. 12.140 Entry of softwood lumber products from Canada.
The requirements set forth in this section are applicable for as
long as the Softwood Lumber Agreement (SLA 2006), entered into on
September 12, 2006, by the Governments of the United States and Canada,
remains in effect.
(a) Definitions. The following definitions apply for purposes of
this section:
(1) British Columbia Coast. ``British Columbia Coast'' means the
Coastal Forest Regions as defined by the existing Forest Regions and
Districts Regulation, B.C. Reg. 123/2003.
(2) British Columbia Interior. ``British Columbia Interior'' means
the Northern Interior Forest Region and the Southern Interior Forest
Region as defined by the existing Forest Regions and Districts
Regulation, B.C. Reg. 123/2003.
(3) Date of shipment. ``Date of shipment'' means, in the case of
products exported by rail, the date when the railcar that contains the
products is assembled to form part of a train for export; otherwise, the
date when the
[[Page 488]]
products are loaded aboard a conveyance for export. If a shipment is
transshipped through a Canadian reload center or other inventory
location, the date of shipment is the date the merchandise leaves the
reload center or other inventory location for final shipment to the
United States.
(4) Maritimes. ``Maritimes'' means New Brunswick, Canada; Nova
Scotia, Canada; Prince Edward Island, Canada; and Newfoundland and
Labrador, Canada.
(5) Region. ``Region'' means British Columbia Coast or British
Columbia Interior as defined in paragraphs (a)(1) and (2) of this
section; Alberta, Canada; Manitoba, Canada; Maritimes, Canada; Northwest
Territories, Canada; Nunavut Territory, Canada; Ontario, Canada;
Saskatchewan, Canada; Quebec, Canada; or Yukon Territory, Canada.
(6) Region of Origin. ``Region of Origin'' means the Region where
the facility at which the softwood lumber product was first produced
into such a product is located, regardless of whether that product was
further processed (for example, by planing or kiln drying) or was
transformed from one softwood lumber product into another such product
(for example, a remanufactured product) in another Region, with the
following exceptions:
(i) The Region of Origin of softwood lumber products first produced
in the Maritime Provinces from logs originating in a non-Maritime Region
will be the Region, as defined above, where the logs originated; and
(ii) The Region of Origin of softwood lumber products first produced
in the Yukon, Northwest Territories or Nunavut (the `Territories') from
logs originating outside the Territories will be the Region where the
logs originated.
(7) SLA 2006. ``SLA 2006'' or ``SLA'' means the Softwood Lumber
Agreement entered into between the Governments of Canada and the United
States on September 12, 2006.
(8) Softwood lumber products. ``Softwood lumber products'' mean
those products described as covered by the SLA 2006 in Annex 1A of the
Agreement.
(b) Reporting requirements. In the case of softwood lumber products
from Canada listed in Annex 1A of the SLA 2006 as covered by the scope
of the Agreement, the following information must be included on the
electronic entry summary documentation (CBP Form 7501) for each entry
(except for entries of softwood lumber products whose Region of Origin
is the Maritimes, in which case entry summary documentation must be
submitted in paper as set forth in paragraph (c) of this section):
(1) Region of Origin. The letter code representing a softwood lumber
product's Canadian Region of Origin, as posted on the Administrative
Message Board in the Automated Commercial System. (For example, the
letter code ``XD'' designates softwood lumber products whose Region of
Origin is British Columbia Coast. The letter code ``XE'' designates
softwood lumber products whose Region of Origin is British Columbia
Interior.)
(2) Export Permit Number--(i) Export Permit Number issued by Canada
at time of filing entry summary documentation. The 8-digit Canadian-
issued Export Permit Number, preceded by one of the following letter
codes:
(A) The letter code assigned to represent the date of shipment
(i.e., ``A'' represents January, ``B'' represents February, ``C''
represents March, etc.), except for those softwood lumber products
produced by a company listed in Annex 10 of the SLA 2006 or whose Region
of Origin is the Maritimes, Yukon, Northwest Territories or Nunavut;
(B) The letter code ``X'', which designates a company listed in
Annex 10 of the SLA 2006; or
(C) The letter code assigned to represent the Maritimes (code M);
Yukon (code Y); Northwest Territories (code W); or Nunavut (code N), for
softwood lumber products originating in these regions.
(ii) No Export Permit Number required due to softwood lumber
product's exempt status. Where an Export Permit Number is not required
because the imported softwood lumber product is specifically identified
as exempt from SLA 2006 export measures pursuant to Annex 1A of the
Agreement, notwithstanding the fact that the exempt
[[Page 489]]
goods are classifiable in residual Harmonized Tariff Schedule of the
United States provisions otherwise listed as covered by the SLA 2006,
the alpha-numeric code ``P88888888'' must be used in the Export Permit
Number data entry field on the CBP Form 7501.
(c) Original Maritime Certificate of Origin. Where a softwood lumber
product's Region of Origin is the Maritimes, the original paper copy of
the Certificate of Origin issued by the Maritime Lumber Bureau must be
submitted to CBP and the entry summary documentation for each such entry
must be in paper and not electronic. The Certificate of Origin must
specifically state that the corresponding CBP entries are for softwood
lumber products first produced in the Maritimes from logs originating in
the Maritimes or State of Maine.
(d) Recordkeeping. Importers must retain copies of export permits,
certificates of origin, and any other substantiating documentation
issued by the Canadian Government pursuant to the recordkeeping
requirements set forth in part 163 of title 19 to the CFR.
[CBP Dec. 08-10, 73 FR 20784, Apr. 17, 2008]
Sec. 12.142 Entry of softwood lumber and softwood lumber products from
any country into the United States.
(a) In general. This section, pursuant to the ``Softwood Lumber Act
of 2008'' (``the Act'') (Title VIII of the Tariff Act of 1930, as
amended (19 U.S.C. 1202 et seq.)), prescribes entry requirements
applicable to certain imports of softwood lumber and softwood lumber
products exported from any country into the United States.
(b) Softwood lumber products covered. The softwood lumber and
softwood lumber products covered by this section are those products
described in section 804(a) of Title VIII of the Tariff Act of 1930, as
amended (19 U.S.C. 1202 et seq.).
(c) Entry requirements for shipments subject to the importer
declaration program. For each shipment of softwood lumber or softwood
lumber products described in section 804(a) of Title VIII to the Tariff
Act of 1930, as amended, (19 U.S.C. 1202 et seq.) that is entered or
withdrawn from warehouse for consumption, in the customs territory of
the United States, the following information must be electronically
submitted to CBP (except that, pursuant to 19 CFR 12.140(c), entries of
softwood lumber and softwood lumber products for which a Certificate of
Origin has been issued from Canada's Maritime Lumber Bureau must be
submitted to CBP in paper):
(1) Export price. Each importer must provide the export price,
expressed in U.S. dollars, on the entry summary in the designated space
provided on the CBP Form 7501.
(i) For purposes of this section, ``export price'' means one of the
following:
(A) In the case of softwood lumber or a softwood lumber product that
has undergone only primary processing, the value that would be
determined F.O.B. at the facility where the product underwent the last
primary processing before export.
(B) In the case of softwood lumber or a softwood lumber product that
underwent the last remanufacturing before export by a manufacturer who
does not hold tenure rights provided by the country of export, did not
acquire standing timber directly from the country of export, and is not
related to the person who holds tenure rights or acquired standing
timber directly from the country of export, the value that would be
determined F.O.B. at the facility where the softwood lumber or softwood
lumber product underwent the last primary processing.
(C) In the case of softwood lumber or a softwood lumber product that
underwent the last remanufacturing before export by a manufacturer who
holds tenure rights provided by the country of export, acquired standing
timber directly from the country of export, or is related to the person
who holds tenure rights or acquired standing timber directly from the
country of export, the value that would be determined F.O.B. at the
facility where the softwood lumber or softwood lumber product underwent
the last processing before export.
(D) In the case of softwood lumber or a softwood lumber product
described in paragraphs (c)(1)(i)(A), (B) or (C) of this section for
which an F.O.B. value cannot be determined, the export price
[[Page 490]]
will be the market price for the identical softwood lumber or softwood
lumber product sold in an arm's-length transaction in the country of
export at approximately the same time as the exported softwood lumber or
softwood lumber product. The market price will be determined in the
following order of preference:
(1) The market price for the softwood lumber or softwood lumber
product sold at substantially the same level of trade (as described in
19 CFR 351.412(c)) as the exported softwood lumber or softwood lumber
product but in different quantities.
(2) The market price for the softwood lumber or softwood lumber
product sold at a different level of trade (as defined in 19 CFR
351.412(c)) than the exported softwood lumber or softwood lumber product
but in similar quantities.
(3) The market price for the softwood lumber or softwood lumber
product sold at a different level of trade (as defined in 19 CFR
351.412(c)) than the exported softwood lumber or softwood lumber product
and in different quantities.
(ii) For purposes of paragraph (c)(1) of this section, the following
definitions apply:
(A) F.O.B. The term ``F.O.B.'' means a value consisting of all
charges payable by a purchaser, including those charges incurred in the
placement of merchandise on board of a conveyance for shipment, but does
not include the actual shipping charges or any applicable export
charges.
(B) Related to the person. The term ``related to the person'' means:
(1) A person bears a relationship to such other person described in
section 152(a) of the Internal Revenue Code of 1986;
(2) A person bears a relationship to such person described in
section 267(b) of the Internal Revenue Code of 1986, except that ``5
percent'' will be substituted for ``50 percent'' each place it appears;
(3) The person and such other person are part of a controlled group
of corporations, as that term is defined in section 1563(a) of the
Internal Revenue Code of 1986, except that ``5 percent'' will be
substituted for ``80 percent'' each place it appears;
(4) The person is an officer or director of such other person; or
(5) The person is the employer of such other person.
(C) Tenure rights. The term ``tenure rights'' means rights to
harvest timber from public land granted by the country of export.
(2) Estimated export charge. (i) Each importer must provide the
estimated export charge, if any, to be collected by the country
(including any political subdivision of the country) from which the
softwood lumber or softwood lumber product was exported pursuant to an
international agreement entered into by that country and the United
States as calculated by applying the percentage determined and published
by the Under Secretary for International Trade of the Department of
Commerce to the export price. Any applicable estimated export charge
must be expressed in U.S. dollars and reported on the entry summary in
the designated space.
(ii) For purposes of this paragraph, the terms ``estimated export
charge'' or ``export charge'' mean any tax, charge, or other fee
collected by the country from which softwood lumber or a softwood lumber
product, as described in section 804(a) within Title VIII of the Tariff
Act of 1930 (19 U.S.C. 1202 et seq.), as amended, is exported pursuant
to an international agreement entered into by that country and the
United States.
(3) Importer declaration. (i) Each importer, except as provided in
paragraph (c)(3)(ii) of this section, must provide a softwood lumber
declaration on the electronic entry summary by entering the letter code
``Y'' in the first space of the field designated for the estimated
export charge data.
(ii) Each importer of softwood lumber and softwood lumber products
for which a Certificate of Origin has been issued from Canada's Maritime
Lumber Bureau must provide a softwood lumber declaration on the paper
entry summary by entering the letter code ``Y'' in the first space of
the field designated for the estimated export charge. See 19 CFR
12.140(c),
[[Page 491]]
(iii) The letter code ``Y'' represents the importer's declaration to
CBP that:
(A) The importer has made appropriate inquiry, including seeking
appropriate documentation from the exporter and consulting the
determinations published by the Under Secretary for International Trade
of the Department of Commerce pursuant to section 805(b) of Title VIII
of the Tariff Act of 1930, as amended (19 U.S.C. 1202 et seq.); and
(B) To the best of the person's knowledge and belief:
(1) The export price provided is determined in accordance with the
definition set forth in section 802(5) of Title VIII of the Tariff Act
of 1930, as amended (19 U.S.C. 1202 et seq.);
(2) The export price provided is consistent with the export price
provided on the export permit, if any, granted by the country of export;
and
(3) The exporter has paid, or committed to pay, all export charges
due in accordance with the volume, export price, and export charge rate
or rates, if any, as calculated under an international agreement entered
into by the country of export and the United States and consistent with
the export charge determinations published by the Under Secretary for
International Trade of the Department of Commerce.
(iv) Any substantiating documentation that supports an importer's
softwood lumber declaration is subject to the recordkeeping provisions
set forth in part 163 of title 19 to the CFR.
(d) Entry requirements for home packages and kits--(1) Declaration
and required documentation. Home packages and kits as described in
section 804(c)(7)(A)(i) through (iv) of the Title VIII of the Tariff Act
of 1930, as amended (19 U.S.C. 1202 et seq.) are not subject to the
entry requirements set forth in paragraph (c) of this section. However,
the importer is required to make a declaration pursuant to section
804(c)(7)(B) and is required to retain and produce upon demand by CBP,
the following documentation:
(i) A copy of the appropriate home design, plan, or blueprint
matching the customs entry in the United States.
(ii) A purchase contract from a retailer of home kits or packages
signed by a customer not affiliated with the importer.
(iii) A listing of all parts in the package or kit being entered
into the United States that conforms to the home design, plan, or
blueprint for which such parts are being imported.
(iv) If a single contract involved multiple entries, an
identification of all the items required to be listed under paragraph
(d)(1)(iii) of this section that are included in each individual
shipment.
(2) Records and retention. There is no requirement to present
physical copies of the softwood lumber home packages and kits
documentation to CBP at the time of filing the entry summary; however
copies must be maintained in accordance with the applicable
recordkeeping provisions set forth in part 163 of title 19 to the CFR.
(e) Other softwood lumber entry requirements. Other entry
requirements may be applicable to certain imports of softwood lumber or
softwood lumber from Canada. Importers are advised to refer to
Sec. 12.140 (19 CFR 12.140) of this chapter for information regarding
applicability and entry requirements.
[CBP Dec. 08-32, 73 FR 49937, Aug. 25, 2008 as amended at CBP Dec. 10-
27, 75 FR 52453, Aug. 26, 2010]
Steel Products
Sec. 12.145 Entry or admission of certain steel products.
In any case in which a steel import license number is required to be
obtained under regulations promulgated by the U.S. Department of
Commerce, that license number must be included:
(a) On the entry summary, Customs Form 7501, or on an electronic
equivalent, at the time of filing, in the case of merchandise entered,
or withdrawn from warehouse for consumption, in the customs territory of
the United States; or
(b) On Customs Form 214, at the time of filing under part 146 of
this chapter, in the case of merchandise admitted into a foreign trade
zone.
[T.D. 03-13, 68 FR 13839, Mar. 21, 2003]
[[Page 492]]
Merchandise Subject to Economic Sanctions
Sec. 12.150 Merchandise prohibited by economic sanctions; detention;
seizure or other disposition; blocked property.
(a) Generally. Merchandise from certain countries designated by the
President as constituting a threat to the national security, foreign
policy, or economy of the United States shall be detained until the
question of its release, seizure, or other disposition has been
determined under law and regulations issued by the Treasury Department's
Office of Foreign Assets Control (OFAC) (31 CFR Chapter V).
(b) Seizure. When an unlicensed importation of merchandise subject
to OFAC's regulations is determined to be prohibited, no entry for any
purpose shall be permitted and, unless the immediate reexportation or
other disposition of such merchandise under Customs supervision has
previously been authorized by OFAC, the merchandise shall be seized.
(c) Licenses. OFAC's regulations may authorize OFAC to issue
licenses on a case-by-case basis authorizing the importation of
otherwise prohibited merchandise under certain conditions. If such a
license is issued subsequent to the attempted entry and seizure of the
merchandise, importation shall be conditioned upon the importer:
(1) Agreeing in writing to hold the Government harmless, and
(2) Paying any storage and other Customs fees, costs, or expenses,
as well as any mitigated forfeiture amount or monetary penalty imposed
or assessed by Customs or OFAC, or both.
(d) Blocked property. Merchandise which constitutes property in
which the government or any national of certain designated countries has
an interest may be blocked (frozen) pursuant to OFAC's regulations and
may not be transferred, sold, or otherwise disposed of without an OFAC
license.
(e) Additional information. For further information concerning
importing merchandise prohibited under economic sanctions programs
currently in effect, the Office of Foreign Assets Control of the
Department of the Treasury should be contacted. The address of that
office is 1500 Pennsylvania Ave., NW., Annex 2nd Floor, Washington, DC
20220.
[T.D. 96-42, 61 FR 24889, May 17, 1996]
Sec. 12.151 Prohibitions and conditions on importations of jadeite,
rubies, and articles of jewelry containing jadeite or rubies.
(a) General. The importation into the United States of jadeite,
rubies, and articles of jewelry containing jadeite or rubies is
prohibited or conditioned as described in this section pursuant to the
Tom Lantos Block Burmese JADE Act of 2008 (Pub. L. 110-286). For
purposes of this section, the following definitions apply:
(1) Jadeite. ``Jadeite'' means any jadeite classifiable under
heading 7103 of the Harmonized Tariff Schedule of the United States
(HTSUS);
(2) Rubies. ``Rubies'' means any rubies classifiable under heading
7103 of the HTSUS;
(3) Articles of jewelry containing jadeite or rubies. ``Articles of
jewelry containing jadeite or rubies'' means any article of jewelry
classifiable under heading 7113 of the HTSUS that contains jadeite or
rubies, or any article of jadeite or rubies classifiable under heading
7116 of the HTSUS; and
(4) United States. ``United States'' means the 50 states, the
District of Columbia, and any commonwealth, territory, or possession of
the United States.
(b) Prohibited Articles. The following articles are prohibited from
importation into the United States (see 31 CFR part 537):
(1) Jadeite mined or extracted from Burma;
(2) Rubies mined or extracted from Burma; and
(3) Articles of jewelry containing jadeite or rubies mined or
extracted from Burma.
(c) Regulated Articles. Jadeite, rubies, or articles of jewelry
containing jadeite or rubies may not be imported into the United States
unless the importer certifies (see paragraph (d) of this section) that
those jadeite or rubies were mined or extracted from a country other
than Burma and possesses the documents described in paragraph (e) of
this section.
[[Page 493]]
(d) Certification of importer. Pursuant to Additional U.S. Note
4(a), Chapter 71, HTSUS, if an importer enters any good (or withdraws
any good from warehouse for consumption) under heading 7103, 7113, or
7116 of the HTSUS, the presentation of the entry serves as a
certification by the importer that any jadeite or rubies contained in
such good were not mined or extracted from Burma.
(e) Certification of exporter. If an importer enters (or withdraws
from warehouse for consumption) jadeite, rubies, or jewelry containing
jadeite or rubies:
(1) The importer must have in his possession a certification from
the exporter (exporter certification) certifying that the jadeite or
rubies were not mined or extracted from Burma, with verifiable evidence
from the exporter that tracks the jadeite or rubies: In rough form, from
mine to exportation; and for finished jadeite, polished rubies, and
articles of jewelry containing jadeite or rubies, to the place of final
finishing; and
(2) The importer must maintain, for a period of not less than 5
years from the date of entry of the good, a full record of, in the form
of reports or otherwise, complete information relating to any act or
transaction related to the purchase, manufacture, or shipment of the
good.
(f) Requirement to provide information. An importer who enters any
good (or withdraws any good from warehouse for consumption) under
heading 7103, 7113, or 7116 of the HTSUS must provide all documentation
to support the certifications described in paragraphs (d) and (e) of
this section to CBP upon request or be subject to recordkeeping
penalties under part 163 of the chapter.
(g) Inapplicability. This section does not apply to the following
articles:
(1) Jadeite, rubies, and articles of jewelry containing jadeite or
rubies that are reimported into the United States after having been
previously exported from the United States, including those that
accompanied an individual outside the United States for personal use, if
they are reimported into the United States by the same person who
exported them, without having been advanced in value or improved in
condition by any process or other means while outside the United States;
and
(2) Jadeite or rubies mined or extracted from a country other than
Burma, and articles of jewelry containing jadeite or rubies mined or
extracted from a country other than Burma that are imported by or on
behalf of an individual for personal use and accompanying an individual
upon entry into the United States.
[CBP Dec. 09-01, 74 FR 2846, Jan. 16, 2009]
Sec. 12.152 Prohibitions and conditions on the importation and
exportation of rough diamonds.
(a) General. The Clean Diamond Trade Act (Pub. L. 108-19) requires
the President, subject to certain waiver authorities, to prohibit the
importation into, or exportation from, the United States, of any rough
diamond, from whatever source, that has not been controlled through the
Kimberley Process Certification Scheme. By Executive Order 13312 dated
July 29, 2003, published in the Federal Register (68 FR 45151) on July
31, 2003, the President implemented the Clean Diamond Trade Act,
effective for rough diamonds imported into, or exported from, the United
States on or after July 30, 2003. Pursuant to Executive Order 13312 and
other authorities, the Office of Foreign Assets Control (OFAC),
Department of the Treasury, promulgated the Rough Diamonds Control
Regulations (see 31 CFR part 592). Any persons importing into or
exporting from the United States a shipment of rough diamonds must
comply with the requirements of CBP, OFAC, and the U.S. Census Bureau
(15 CFR part 30).
(b) Definitions. For purposes of this section, the following
definitions apply:
(1) Controlled through the Kimberley Process Certification Scheme.
``Controlled through the Kimberley Process Certification Scheme'' means
meeting the requirements set forth in 31 CFR 592.301;
(2) Kimberley Process Certificate. ``Kimberley Process Certificate''
means a forgery resistant document that meets the minimum requirements
listed in Annex I of the Kimberley Process Certification Scheme, as well
as the requirements listed in 31 CFR 592.307;
[[Page 494]]
(3) Rough diamond. ``Rough diamond'' means any diamond that is
unworked or simply sawn, cleaved, or bruted and classifiable under
subheading 7102.10, 7102.21, or 7102.31 of the Harmonized Tariff
Schedule of the United States;
(4) United States. ``United States'', when used in the geographic
sense, means the several states, the District of Columbia, and any
commonwealth, territory, or possession of the United States; and
(5) United States person. ``United States person'' means:
(i) Any United States citizen or any alien admitted for permanent
residence into the United States;
(ii) Any entity organized under the laws of the United States or any
jurisdiction within the United States (including its foreign branches);
and
(iii) Any person in the United States.
(c) Original Kimberley Process Certificate. A shipment of rough
diamonds imported into, or exported from, the United States must be
accompanied by an original Kimberley Process Certificate.
(d) Formal Entry Required. Formal entry is required when importing a
shipment of rough diamonds. Formal entry procedures are prescribed in
part 142 of this chapter.
(e) Report of Kimberley Process Certificate Unique Identifying
Number. Customs brokers, importers, and filers making entry of a
shipment of rough diamonds must either submit through CBP's Automated
Broker Interface (ABI) system the unique identifying number of the
Kimberley Process Certificate accompanying the shipment or, for non-ABI
entries, indicate the certificate number on the CBP Form 7501, Entry
Summary, on each applicable line item.
(f) Maintenance of Kimberley Process Certificate--(1) Ultimate
consignee. The ultimate consignee identified on the CBP Form 7501, Entry
Summary, or its electronic equivalent filed with CBP in connection with
an importation of rough diamonds must retain the original Kimberley
Process Certificate for a period of at least five years from the date of
importation and must make the certificate available for examination at
the request of CBP.
(2) Importer. The U.S. person that imports into the United States a
shipment of rough diamonds must retain a copy of the Kimberley Process
Certificate accompanying the shipment for a period of at least five
years from the date of importation and must make the copy available for
examination at the request of CBP.
(3) Exporter. The U.S. person that exports from the United States a
shipment of rough diamonds must retain a copy of the Kimberley Process
Certificate accompanying the shipment for a period of at least five
years from the date of exportation and must make the copy available for
examination at the request of CBP.
[78 FR 40629, July 8, 2013]
PART 18_TRANSPORTATION IN BOND AND MERCHANDISE IN TRANSIT
General Provisions
Sec.
18.1 Carriers; application to bond.
18.2 Receipt by carrier; manifest.
18.3 Transshipment; transfer by bonded cartman.
18.4 Sealing conveyances and compartments; labeling packages; warning
cards.
18.4a Containers or road vehicles accepted for transport under customs
seal; requirements.
18.5 Diversion.
18.6 Short shipments; shortages; entry and allowance.
18.7 Lading for exportation, verification of.
18.8 Liability for shortage, irregular delivery, or nondelivery;
penalties.
18.9 Examination by inspectors of trunk line associations or agents of
the Surface Transportation Board.
18.10 Kinds of entry.
18.10a Special manifest.
Immediate Transportation Without Appraisement
18.11 Entry; classes of goods for which entry is authorized; form used.
18.12 Entry at port of destination.
Shipment of Baggage in Bond
18.13 Procedure; manifest.
18.14 Shipment of baggage in transit to foreign countries.
Merchandise in Transit Through the United States to Foreign Countries
18.20 Entry procedure; forwarding.
[[Page 495]]
18.21 Restricted and prohibited merchandise.
18.22 Procedure at port of exit.
18.23 Change of destination; change of entry.
18.24 Retention of goods on dock; splitting of shipments.
Exportation From Customs Custody of Merchandise Unentered or Covered by
an Unliquidated Consumption Entry, or Merchandise Denied Admission by
the Government
18.25 Direct exportation.
18.26 Indirect exportation.
18.27 Port marks.
Merchandise Transported by Pipeline
18.31 Pipeline transportation of bonded merchandise.
Merchandise Not Otherwise Subject to Customs Control Exported Under
Cover of a TIR Carnet
18.41 Applicability.
18.42 Direct exportation.
18.43 Indirect exportation.
18.44 Abandonment of exportation.
18.45 Supervision of exportation.
Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1202 (General Note 3(i),
Harmonized Tariff Schedule of the United States), 1551, 1552, 1553,
1623, 1624.
Section 18.3 also issued under 19 U.S.C. 1565;
Section 18.4 also issued under 19 U.S.C. 1322, 1323;
Section 18.7 also issued under 19 U.S.C. 1557; 1646a;
Section 18.10 also issued under 19 U.S.C. 1557;
Section 18.11 also issued under 19 U.S.C. 1484;
Section 18.12 also issued under 19 U.S.C. 1448, 1484, 1490;
Section 18.13 also issued under 19 U.S.C. 1498(a);
Section 18.14 also issued under 19 U.S.C. 1498.
Section 18.31 also issued under 19 U.S.C. 1553a.
Source: 28 FR 14755, Dec. 31, 1963, unless otherwise noted.
General Provisions
Sec. 18.1 Carriers; application to bond.
(a)(1) Merchandise to be transported from one port to another in the
United States in bond, except as provided for in paragraph (b) of this
section, shall be delivered to a common carrier, contract carrier,
freight forwarder, or private carrier bonded for that purpose, but such
merchandise delivered to a common carrier, contract carrier, or freight
forwarder may be transported with the use of facilities of other bonded
or nonbonded carriers. For the purposes of this section, the term
``common carrier'' means a common carrier of merchandise owning or
operating a railroad, steamship, pipeline, or other transportation line
or route. Only vessels entitled to engage in the coastwise trade (see
Sec. 4.80 of this chapter) shall be entitled to transport merchandise
under this section.
(2) Merchandise to be transported from one port to another in the
United States under cover of a TIR carnet (see part 114 of this
chapter), except merchandise not otherwise subject to Customs control,
as provided in Sec. Sec. 18.41 through 18.45, shall be delivered to a
common carrier or contract carrier bonded for that purpose, but the
merchandise thereafter may be transported with the use of other bonded
or nonbonded common or contract carriers. The TIR carnet shall be
responsible for liability incurred in the carriage of merchandise under
the carnet, and the carrier's bond shall be responsible as provided in
Sec. 114.22(d) of this chapter.
(3) Merchandise to be transported from one port to another in the
United States under cover of an A.T.A. or TECRO/AIT carnet (see part 114
of this chapter) shall be delivered to a common carrier or contract
carrier bonded for that purpose, but the merchandise thereafter may be
transported with the use of other bonded or nonbonded common or contract
carriers. The A.T.A. or TECRO/AIT carnet shall be responsible for
liability incurred in the carriage of merchandise under the carnet, and
the carrier's bond shall be responsible as provided in Sec. 114.22(d) of
this chapter.
(b) Pursuant to Public Resolution 108, of June 19, 1936, (19 U.S.C.
1551, 1551a) and subject to compliance with all other applicable
provisions of this part, the port director, upon the request of the
party in interest, may permit merchandise entered and examined for
Customs purposes to be transported in bond between the ports named in
the resolution by bonded cartmen or lightermen duly qualified in
accordance with the provisions of part 112 of
[[Page 496]]
this chapter, if the port director is satisfied that the transportation
of such merchandise in this manner will not endanger the revenue.
[28 FR 14755, Dec. 31, 1963, as amended by T.D. 71-70, 36 FR 4485, Mar.
6, 1971; T.D. 71-263, 36 FR 20291, Oct. 20, 1971; T.D. 73-140, 38 FR
13550, May 23, 1973; T.D. 78-99, 43 FR 13061, Mar. 29, 1978; T.D. 82-
116, 47 FR 27261, June 24, 1982; T.D. 82-145, 47 FR 35478, Aug. 16,
1982; 47 FR 39478, Sept. 8, 1982; T.D. 84-149, 49 FR 28698, July 16,
1984; T.D. 89-1, 53 FR 51254, Dec. 21, 1988; T.D. 96-18, 61 FR 6779,
Feb. 22, 1996; T.D. 98-10, 63 FR 4167, Jan. 28, 1998]
Sec. 18.2 Receipt by carrier; manifest.
(a)(1) Merchandise other than from warehouse or foreign trade zone
delivered to bonded carrier. Except as set forth in paragraphs (a)(2)
and (a)(3) of this section, within 5 working days after presentation of
an entry for merchandise to be transported in-bond, the forwarding
carrier shall take receipt of the merchandise if no other entry is
filed. If the forwarding carrier fails to take receipt of the
merchandise within the prescribed period, the transportation entry shall
be canceled and the merchandise shall be treated as unclaimed as of the
date of original arrival.
(2) When merchandise is delivered to a bonded carrier for
transportation in-bond, the merchandise shall be laden on the conveyance
under supervision of a Customs officer unless--
(i) The transporting conveyance is not to be sealed with Customs
seals, or
(ii) The lading inspector accepts the check of the carrier as to the
merchandise laden. The carrier's receipt shall be given immediately to
the lading inspector on the Customs in-bond document (the appropriate
Customs Form 7512, or the carnet) covering the merchandise. In the case
of a carnet, the receipt shall be given on the appropriate vouchers in
the following form:
Received the cargo listed herein for delivery to Customs at the
indicated port of destination or exportation, or for direct exportation.
Name of Carrier (or Exporter)___________________________________________
Attorney-in-fact or Agent of Carrier (or Exporter)______________________
________________________________________________________________________
Date____________________________________________________________________
(3) Merchandise delivered from warehouse. When merchandise is
delivered from a warehouse to a bonded carrier for transportation in
bond, supervision of lading shall be accomplished in accordance with the
procedure set forth in Sec. 19.6(b) of this chapter.
(4) Merchandise delivered from foreign trade zone. When merchandise
is delivered from a foreign trade zone to a bonded carrier for
transportation in bond, supervision of lading will be accomplished in
accordance with the procedure set forth in Sec. 146.71(a) of this
chapter.
(b) A Customs in-bond document, containing a description of the
merchandise, shall be prepared by the carrier or any of the parties
named in Sec. 18.11(b), whenever merchandise is being transported in
bond. The Customs in-bond document thus prepared shall then be signed by
the carrier or any of the parties named in Sec. 18.11(b). All copies of
the in-bond document shall be signed by the importing carrier or his
agent and the in-bond carrier or his agent to indicate the quantity
delivered for transportation in bond. When there is no discrepancy
between the quantity manifested by the importing carrier and the
quantity delivered to the in-bond carrier, the port director may
authorize waiving the signature of the parties in interest as to
delivered quantities. Quantities of goods transported in bond from a
Customs bonded warehouse shall be accounted for under the procedures set
forth in Sec. 19.6 of this chapter. Except as prescribed in subpart D of
part 123 of this chapter, relating to merchandise in transit through the
United States between ports in contiguous foreign territory, a separate
set shall be prepared for each entry and, if the consignment is
contained in more than one conveyance, a separate set shall be prepared
for each conveyance.
(c)(1) After the merchandise has been laden and the in-bond carrier
or his agent has receipted the in-bond document, Customs Form 7512 (in
duplicate), together with any related carnet shall be delivered as a
manifest to the conductor, master, or person in charge to accompany the
merchandise to its port of destination or exportation. If more than one
conveyance is used to transport the merchandise, two copies of Customs
Form 7512 shall accompany each conveyance as a manifest of the
[[Page 497]]
merchandise transported by that conveyance. A TIR carnet (see
Sec. 18.3(b)) shall not be used if more than one conveyance is required.
(2) Except transit air cargo provided for in Sec. 122.118 of this
chapter, bonded merchandise destined to a final port of destination in
the United States, or for export from the United States, shall be
delivered to Customs at the port of destination or exportation within 30
days after the date of receipt by the forwarding carrier at the port of
origin, if transported on land. If the merchandise is transported on
board a vessel engaged in the United States coastwise trade, delivery to
Customs at the port of destination or exportation shall be within 60
days after the date of receipt by the forwarding carrier at the port of
origin. Failure to deliver the merchandise within the prescribed period
shall constitute an irregular delivery and the initial bonded carrier
shall be subject to applicable penalties (see Sec. 18.8).
(d) Promptly, but no more than 2 working days after the arrival of
any portion of the in-bond shipment at the port of destination, the
delivering carrier shall surrender the in-bond manifest (the in-bond
document any related carnet) to the port director as notice of arrival
of the merchandise. If the in-bond manifest is lost in transit, the in-
bond carrier shall report the arrival of the merchandise within the
prescribed period and shall be responsible for obtaining copies of the
original in-bond manifest. Failure to surrender the in-bond manifest or
report the arrival of bonded merchandise within the prescribed period
shall constitute an irregular delivery and the initial bonded carrier
shall be subject to applicable penalties (see Sec. 18.8).
[T.D. 71-70, 36 FR 4485, Mar. 6, 1971, as amended by T.D. 81-243, 46 FR
45602, Sept. 14, 1981; T.D. 82-204, 47 FR 49368, Nov. 1, 1982; T.D. 84-
212, 49 FR 39046, Oct. 3, 1984; T.D. 86-16, 51 FR 5063, Feb. 11, 1986;
T.D. 87-75, 52 FR 20067, May 29, 1987; T.D. 88-12, 53 FR 9315, Mar. 22,
1988; T.D. 98-74, 63 FR 51288, Sept. 25, 1998; T.D. 00-22, 65 FR 16517,
Mar. 29, 2000]
Sec. 18.3 Transshipment; transfer by bonded cartmen.
(a) When bonded merchandise in one conveyance is to be transshipped
under Customs supervision to another single conveyance while en route to
the port of destination or exportation, the in-bond document which
accompanied the merchandise shall be presented to the port director at
the place of transshipment for execution of a certificate of transfer
thereon. The in-bond document shall be returned to the carrier to
accompany the merchandise to the port of destination or exportation.
Except as provided in paragraph (c) of this section, merchandise covered
by a TIR carnet shall not be transshipped if the transshipment involves
the unlading of the merchandise from a container or road vehicle.
(b) When bonded merchandise, other than merchandise covered by a TIR
carnet, is to be transshipped to more than one conveyance, the carrier
or any of the parties named in Sec. 18.11(b) shall prepare for each such
conveyance two additional copies of the Customs Form 7512 which
accompanied the merchandise to the place of transshipment. The Customs
Form 7512 which accompanied the shipment to the place of transshipment
shall be presented to the port director there. The Customs officer
supervising the transshipment shall execute a certificate of transfer on
all copies of the Customs Form 7512. The original copies of the Customs
Form 7512 shall be delivered to the conductor, master, or person in
charge of the first conveyance. Two additional copies of the Customs
Form 7512 shall be delivered to the person in charge of each additional
conveyance in which the merchandise is forwarded for delivery to the
director of the port of destination or exportation.
(c) Merchandise covered by a TIR carnet may be transshipped in a
case involving the unlading of the merchandise from a container or road
vehicle only if the transshipment is necessitated by casualty en route.
In the event of transshipment, a TIR approved container or road vehicle
shall be used if available. If the transshipment takes place under
Customs supervision, the Customs officer shall excute a certificate of
transfer on the appropriate TIR carnet voucher.
(d) If it becomes necessary at any point in transit to remove the
Customs seals from a conveyance or container containing bonded
merchandise for the purpose of transferring its contents to
[[Page 498]]
another conveyance or container, or to gain access to the shipment
because of casualty or for other good reason, and it cannot be done
under Customs supervision because of the element of time involved or
because there is no Customs officer stationed at such point, a
responsible agent of the carrier may remove the seals, supervise the
transfer or handling of the merchandise, seal the conveyance or
container in which the shipment goes forward, and make appropriate
notation of his action on the conductor's or master's copy of the
manifest, or the outside back cover of the TIR carnet, including the
date, serial numbers of the new seals applied, and the reason therefor.
This authorization shall not apply in any case not involving a real
emergency.
(e) All transfers to or from the conveyance or warehouse of
merchandise undergoing transportation in bond shall be made under the
provisions of part 125 of this chapter and at the expense of the parties
in interest, unless the bond of the carrier on Customs Form 301,
containing the bond conditions set forth in Sec. 113.63 of this chapter
or a TIR carnet is liable for the safekeeping and delivery of the
merchandise while it is being transferred.
[T.D. 71-70, 36 FR 4486, Mar. 6, 1971, as amended by T.D. 82-204, 47 FR
49368, Nov. 1, 1982; T.D. 84-212, 49 FR 39046, Oct. 3, 1984; T.D. 84-
213, 49 FR 41168, Oct. 19, 1984; T.D. 89-1, 53 FR 51254, Dec. 21, 1988;
T.D. 00-22, 65 FR 16517, Mar. 29, 2000]
Sec. 18.4 Sealing conveyances and compartments; labeling packages;
warning cards.
(a)(1) Conveyances or compartments in which carload lots of bonded
merchandise are transported shall be sealed with commercial shipper
seals, Customs red in-bond seals, or other accepted seals. High-security
Customs seals will be required on carload or containerized shipments
where the Customs officer reviewing the in-bond entry determines it is
required to adequately protect the revenue and prevent violations of
Customs laws. The bonded carrier will provide Customs with the necessary
seals. When the compartment or conveyance cannot be effectively sealed,
as in the case of merchandise shipped in open cars or barges, or on the
decks of vessels, or when it is known that any seals would necessarily
be removed outside the jurisdiction of the United States for the purpose
of discharging or taking on cargo, or when it is known that the breaking
of the seals will be necessary to ventilate the hatches, or in other
similar circumstances, such sealings may be waived with the consent of
the carrier and an appropriate notation of such waiver shall be made on
the manifest. The Commissioner of Customs may authorize the waiver of
sealing of conveyances or compartments in which bonded merchandise is
transported in other cases when in his opinion the sealing thereof is
unnecessary to protect the revenue or to prevent violations of the
Customs laws and regulations.
(2) The port director shall cause a Customs seal to be affixed to a
container or road vehicle which is being used to transport merchandise
under cover of a TIR carnet unless the container or road vehicle bears a
customs seal (domestic or foreign). The port director shall likewise
cause a Customs seal or label to be affixed to heavy or bulky goods
being so transported. If, however, he has reason to believe that there
is a discrepancy between the merchandise listed on the Goods Manifest of
the carnet and the merchandise which is to be transported, he shall
cause a Customs seal or label to be affixed only when the listing of the
merchandise in the carnet and a physical inventory agree.
(b) Ports at which the facilities are insufficient to maintain
continuous customs supervision over vessels arriving with bonded cargo
while the bonded merchandise is not under Customs seals shall permit the
vessels to proceed to destination without further sealing and notation
to this effect shall be made on the manifest.
(c)(1) Merchandise not under bond may be transported in sealed
conveyances or compartments containing bonded goods when destined for
the same place or places beyond, but not when intended for intermediate
places.
(2) Merchandise moving under cover of a carnet may not be
consolidated with other merchandise.
[[Page 499]]
(d) The seals to be used in sealing conveyances, compartments, or
packages must meet Customs standards provided in Sec. 24.13a of this
chapter, and may be obtained in accordance with Sec. 24.13 of this
chapter.
(e) Except as otherwise provided for in this paragraph, packages
shipped in bond or by a carrier permitted to transport articles under
the last sentence of section 553 of the tariff act, as amended, shall be
corded and sealed or, in lieu thereof, the carrier shall furnish and
attach to each such package a warning label on bright red paper, not
less than 5 by 8 inches in size, containing the following legend in
black or white lettering of a conspicuous size:
U.S. Customs
This package is under bond and must be delivered intact to the
Customs officer in charge at the port of destination or to such other
place as authorized by Customs.
Warning. Two years' imprisonment, $5,000 fine, or both, is the
penalty for unlawful removal of this package or any of its contents.
Transportation Entry No. --------; From --------To --------; This
package to be delivered to Customs at ---------------- (If other than
port of destination)
A carrier at its option may omit the last three lines of the above
legend from the warning label but if not omitted the information called
for must be filled in. If the size of the package renders the use of a 5
x 8 inch warning label impracticable because of lack of space, a 3x5
inch label may be used. A high visibility, pressure-sensitive warning
label, whether as a continuous series in tape form or otherwise, but not
less than 1\1/2\ by 3 inches in size, may be used on any size package.
Such cording and sealing or labeling of the packages so shipped is not
required either when the packages are transported in a conveyance or
compartment sealed with Customs seals, or when the sealing of the
conveyance or compartment in which the packages are transported is
waived under paragraph (a) or (b) of this section. When the packages are
shipped in a railroad car the sealing of which is practicable but which
is not sealed because merchandise not being transported in bond is or
may be carried in the same car, the packages being transported in bond
shall be corded and sealed or labeled.
(f) The warning label, when used, shall be pasted securely on the
package under Customs supervision as close as practicable to the mark or
number on the package. Additional labels may be required by the port
director in such places on the package as he shall specify in any case
where he is of the opinion that one is not adequate.
(g) When, in the case of crates and similar packages, it is
impossible to attach the warning labels by pasting, bright red shipping
tags of convenient size, large enough to be conspicuous and containing
the same legend as the labels, shall be used in lieu of labels. Such
tags shall be wired or otherwise securely fastened to the packages in
such manner as not to injure the merchandise.
(h) Bonded carriers shall furnish and securely attach to the side
doors of cars, to the doors of compartments, and on vehicles carrying
bonded merchandise which are secured with Customs seals, bright red
cards, 8 by 10\1/4\ inches in size, which shall be attached near such
seals and on which shall be printed in large, clear, black letters the
following:
United States Customs. Two years' imprisonment, or $5,000 fine, or
both, is the penalty for the unlawful removal of United States Customs
seals on this car, vehicle, or compartment. United States Customs
officers only are authorized to break these seals.
Car or vessel___________________________________________________________
Number or name__________________________________________________________
From____________________________________________________________________
To______________________________________________________________________
Notice: The merchandise in this car, vehicle, or compartment shall
be delivered to the chief officer of the customs at --------.
(i) Removal of seals. Except as provided in Sec. 18.3(d) and
Sec. 19.6(e) of this chapter, seals affixed under this section shall be
removed only under Customs supervision.
[28 FR 14755, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 18.4,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
[[Page 500]]
Sec. 18.4a Containers or road vehicles accepted for transport under
customs seal; requirements.
(a)(1) Containers covered by the Customs Convention on Containers
shall be accepted for transport under Customs seal (see Sec. 18.4) if
(i) durably marked with the name and address of the owner, particulars
of tare, and identification marks and numbers, and (ii) constructed and
equipped as outlined in Annex 1 to the Customs Convention on Containers,
as evidenced by an accompanying unexpired certificate of approval in the
form prescribed by Annex 2 to that Convention or by a metal plate
showing design type approval by a competent authority.
(2) Containers carrying merchandise covered by a TIR carnet shall be
accepted for transport under Customs seal (see Sec. 18.4) if (i) durably
marked with the name and address of the owner, particulars of tare, and
identification marks and numbers, (ii) constructed and equipped as
outlined in Annex 6 to the TIR Convention, as evidenced by an
accompanying unexpired certificate of approval in the form prescribed by
Annex 8 to that Convention, or by a metal plate showing design type
approval by a competent authority, and (iii) if the container or road
vehicle hauling the container has affixed to it a rectangular plate
bearing the letters ``TIR'' in accordance with Article 31 of the TIR
Convention.
(b) Road vehicles carrying merchandise covered by a TIR carnet shall
be accepted for transport under Customs seal if (1) durably marked with
the name and address of the owner, particulars of tare, and
identification marks and numbers, (2) constructed and equipped as
outlined in Annex 3 to the TIR Convention, as evidenced by an
accompanying unexpired certificate of approval in the form prescribed by
Annex 5 to that Convention, or by a metal plate showing design type
approval by a competent authority, and (3) if the road vehicle has
affixed to it a rectangular plate bearing the letters ``TIR'' in
accordance with Article 31 of the TIR Convention.
(c) The port director may refuse to accept for transport under
Customs seal a container or road vehicle bearing evidence of approval
if, in his opinion, the container or road vehicle no longer meets the
requirements of the applicable Convention.
(d) Containers or road vehicles which are not approved under the
provisions of a Customs Convention may be accepted for transport under
Customs seal only if the port director at the port of origin is
satisfied that (1) the container or road vehicle can be effectively
sealed and (2) no goods can be removed from or introduced into the
container or road vehicle without obvious damage to it or without
breaking the seal. A container or road vehicle so accepted shall not
carry merchandise covered by a TIR carnet.
[T.D. 71-70, 36 FR 4486, Mar. 6, 1971, as amended by T.D. 89-1, 53 FR
51254, Dec. 21, 1988]
Sec. 18.5 Diversion.
(a) Merchandise forwarded under any class of transportation entry
may be diverted to any port other than the port named in the entry at
the option of the consignee or agent. Except as provided for in
paragraphs (c), (d), (e), (f), and (g) of this section, prior
application or approval of such diversion is not required.
(b) The director of the port to which merchandise is diverted may
permit merchandise in transit under bond under any class of
transportation entry to be entered at his port for consumption,
warehouse, exportation, further transportation in bond, or under any
provisions of the tariff laws.
(c) When merchandise which has been delivered to the director of the
port of original destination or port of diversion under any class of
transportation entry is to be forwarded to another port or returned to
the port of origin, a new transportation entry shall be required. If the
merchandise is moving under cover of a carnet, the carnet may be
accepted as a transportation entry.
(d) If it is desired to split a shipment at a port of destination
and to enter a portion for consumption or warehouse and forward the
balance in bond, or to divert the entire shipment or a part thereof to
more than one port, the director of the port where diversion takes place
shall complete the original transaction and shall require the filing
[[Page 501]]
of a new transportation entry or entries for the portion or portions
forwarded. In the case, however, of merchandise being transported under
cover of a carnet, splitting up of a shipment shall not be permitted.
(e) The diversion of shipments in bond which are subject on
importation to restriction or prohibition under quarantines and
regulations of the Agricultural Research Service of the Department of
Agriculture shall be allowed only upon written permission or under
regulations issued by the agency concerned.
(f) The diversion of in-bond shipments, which contain textiles or
textile products subject to section 204, Agricultural Act of 1956, as
amended (7 U.S.C. 1854), during the in-bond movement shall be allowed
only upon the prior written permission of the director of the port of
origin.
(g) For in-bond shipments which, at the time of transmission of the
Importer Security Filing as required by Sec. 149.2 of this chapter, are
intended to be entered as an immediate exportation (IE) or
transportation and exportation (T&E) shipment, permission to divert the
in-bond movement to a port other than the listed port of destination or
export or to change the in-bond entry into a consumption entry must be
obtained from the port director of the port of origin. Such permission
would only be granted upon receipt by Customs and Border Protection
(CBP) of a complete Importer Security Filing as required by part 149 of
this chapter.
[T.D. 71-70, 36 FR 4487, Mar. 6, 1971, as amended by T.D. 82-116, 47 FR
27261, June 24, 1982; T.D. 84-207, 49 FR 38247, Sept. 28, 1984; T.D. 85-
38, 50 FR 8723, Mar. 5, 1985; CBP Dec. 08-46, 73 FR 71780, Nov. 25,
2008]
Sec. 18.6 Short shipments; shortages; entry and allowance.
(a) When there has been a short shipment and the short-shipped
packages are subsequently received, they may be forwarded only under a
new transportation entry referenced to the original entry.
(b) When there is a shortage of one or more packages, or nondelivery
of an entire shipment, or delivery to unauthorized locations, or
delivery to the consignee without the permission of Customs, the port
director may demand return of the merchandise to Customs custody. The
demand shall be made no later than 30 days after the shortage, delivery,
or nondelivery is discovered by Customs. The demand for the return of
the merchandise to Customs custody shall be made on the bonded carrier,
cartman, or lighterman identified on the Transportation Entry and
Manifest of Goods Subject to Customs Inspection and Permit, Customs Form
7512, the Transit Air Cargo Manifest (TACM), or other appropriate
document. The demand for the return of the merchandise shall be made on
Customs Form 4647, Notice of Redelivery, or other appropriate form or by
letter. A copy of the demand with the date of mailing or delivery noted
thereon, shall be retained by the port director and made part of the in-
bond entry record. Entry of the merchandise may be accepted if the
merchandise can be recovered intact without any of the packages having
been opened. In such cases, any shortage from the invoice quantity shall
be presumed to have occurred while the merchandise was in the possession
of the bonded carrier.
(c) If the merchandise cannot be recovered intact, as specified
above, entry shall be accepted in accordance with Sec. 141.4 of this
chapter for the full manifested quantity unless a lesser amount is
otherwise permitted in accordance with subpart A of part 158. Except as
provided in paragraph (d) of this section, if the merchandise is not
returned to Customs custody within 30 days of the date of mailing or
date of delivery of the demand for redelivery, there shall be sent to
the initial bonded carrier a demand for liquidated damages on Customs
Form 5955-A, in the case of nondelivery of an entire shipment or on
Customs Form 5931, in the case of a partial shortage.
(d) If merchandise covered by a carnet cannot be recovered intact,
as specified in paragraph (b) of this section, entry shall not be
accepted; there shall be sent to the appropriate guaranteeing
association a demand for liquidated damages, duties, and taxes as
prescribed in Sec. 18.8(e); and, if appropriate, there shall also be
sent to the initial bonded carrier a demand for any
[[Page 502]]
excess, as provided in Sec. 114.22(d) of this chapter. Demands shall be
made on the forms specified in paragraph (c) of this section.
(e) An allowance in duty on merchandise reported short at
destination, including merchandise found by the appraising officer to be
damaged and worthless, and animals and birds found by the discharging
officer to be dead on arrival at destination, shall be made in the
liquidation of the entry.
(f) In the case of shipments arriving in the United States by rail
or seatrain which are forwarded under Customs in-bond seals under the
provisions of subpart D of part 123 of this chapter, and Sec. 18.11, or
Sec. 18.20, a notation shall be made by the carrier or shipper on the
in-bond manifest, Customs Form 7512, to show whether the shipment was
transferred to the car designated in the manifest or whether it was
laden in the car in the foreign country, which shall be named.
[T.D. 71-70, 36 FR 4487, Mar. 6, 1971, as amended by T.D. 82-116, 47 FR
27261, June 24, 1982; T.D. 82-158, 47 FR 37881, Aug. 27, 1982; T.D. 84-
213, 49 FR 41168, Oct. 19, 1984; T.D. 85-180, 50 FR 42517, Oct. 21,
1985; T.D. 97-82, 62 FR 51770, Oct. 3, 1997]
Sec. 18.7 Lading for exportation, verification of.
(a) Promptly, but no more than 2 working days, after arrival of any
portion of the in-bond shipment at the port of exportation, the
delivering carrier shall surrender the in-bond manifest (the in-bond
document and any related carnet) to the port director as notice of
arrival of the merchandise. If the in-bond manifest is lost in transit,
the in-bond carrier shall report the arrival of the merchandise within
the prescribed period and shall be responsible for obtaining copies of
the original in-bond manifest. Failure to surrender the in-bond manifest
or report the arrival of bonded merchandise within the prescribed period
shall constitute an irregular delivery and the initial bonded carrier
shall be subject to applicable penalties (see Sec. 18.8).
(b) The port director shall require only such supervision of the
lading for exportation of merchandise covered by an entry or withdrawal
for exportation or for transportation and exportation as is reasonably
necessary to satisfy him that the merchandise has been laden on the
exporting conveyance.
(c) Whenever the circumstances warrant, and occasionally in any
event, port directors shall request the Office of Enforcement to check
export entries and withdrawals against the records of the exporting
carriers. Such check or verification shall include an examination of the
carrier's records of claims and settlement of export freight charges and
any other records which may relate to the transaction. The exporting
carrier shall maintain these records for 5 years from the date of
exportation of the merchandise.
[28 FR 14755, Dec. 31, 1963, as amended by T.D. 79-159, 44 FR 31967,
June 4, 1979; T.D. 84-212, 49 FR 39047, Oct. 3, 1984; T.D. 91-77, 56 FR
46114, Sept. 10, 1991; T.D. 00-22, 65 FR 16517, Mar. 29, 2000; CBP Dec.
08-25, 73 FR 40725, July 16, 2008]
Sec. 18.8 Liability for shortage, irregular delivery, or nondelivery;
penalties.
(a) The initial bonded carrier shall be responsible for shortage,
irregular delivery, or nondelivery at the port of destination or
exportation of bonded merchandise received by it for carriage. An
acceptable proof of proper delivery of bonded merchandise to Customs at
the port of destination or exportation is a properly receipted copy of
the in-bond document (the appropriate Customs Form 7512 or 7520, or the
carnet). When sealing is waived, any loss found to exist at the port of
destination or exportation shall be presumed to have occurred while the
merchandise was in the possession of the carrier, unless conclusive
evidence to the contrary is produced.
(b) Carriers shall be liable for payment of liquidated damages under
the carriers bond for any shortage, failure to deliver, or irregular
delivery, as provided in such bond.
(c) In addition to the penalties described in paragraph (b) of this
section, the carrier shall pay any internal-revenue taxes, duties, or
other taxes accruing to the United States on the missing merchandise,
together with all costs, charges, and expenses caused by the failure to
make the required transportation, report, and delivery.
[[Page 503]]
(d) In any case in which liquidated damages are imposed in
accordance with this section and the Fines, Penalties, and Forfeitures
Officer is satisfied by evidence submitted to him with a petition for
relief filed in accordance with the provisions of part 172 of this
chapter that any violation of the terms and conditions of the bond
occurred without any intent to evade any law or regulation, the Fines,
Penalties, and Forfeitures Officer, in accordance with delegated
authority, may cancel such claim upon the payment of any lesser amount
or without the payment of any amount as may be deemed appropriate under
the law and in view of the circumstances.
(e)(1) The domestic guaranteeing association shall be jointly and
severally liable with the initial bonded carrier for duties and taxes
accruing to the U.S., and any other charges imposed, in lieu thereof, as
the result of any shortage, irregular delivery, or nondelivery at the
port of destination or port of exit of merchandise covered by a TIR
carnet. The liability of the domestic guaranteeing association is
limited to $50,000 per TIR carnet for duties, taxes, and sums collected
in lieu thereof. Penalties imposed as liquidated damages on the initial
bonded carrier, and sums assessed the guaranteeing association in lieu
of duties and taxes for any shortage, irregular delivery, or nondelivery
shall be in accordance with this section. If a TIR carnet has not been
discharged or has been discharged subject to a reservation, the
guaranteeing association shall be notified within 1 year of the date
upon which the carnet is taken on charge, including time for receipt of
the notification, except that if the discharge shall have been obtained
improperly or fraudulently the period shall be 2 years. However, in
cases which become the subject of legal proceedings during the above-
mentioned period, no claim for payment shall be made more than 1 year
after the date when the decision of the court becomes enforceable.
(2) Within 3 months from the date demand for payment is made by the
port director as provided by Sec. 18.6(d), the guaranteeing association
shall pay the amount claimed, except that if the amount claimed exceeds
the liability of the guaranteeing association under the carnet (see
Sec. 114.22(d) of this chapter), the carrier shall pay the excess. The
amount paid shall be refunded if, within a period of 1 year from the
date on which the claim for payment was made, it is established to the
satisfaction of the Commissioner of Customs that no irregularity
occurred. The Fines, Penalties, and Forfeitures Officer may cancel
liquidated damages assessed against the guaranteeing association to the
extent authorized by paragraph (d) of this section.
(3) The domestic guaranteeing association shall be jointly and
severally liable with the initial bonded carrier for pecuniary
penalties, liquidated damages, duties, and taxes accruing to the United
States and any other charges imposed as the result of any shortage,
irregular delivery, or nondelitery at the port of destination or port of
exit of merchandise covered by an A.T.A. or TECRO/AIT carnet. However,
the liability of the guaranteeing association shall not exceed the
amount of the import duties by more than 10 percent. If an A.T.A. or
TECRO/AIT carnet is unconditionally discharged with respect to certain
goods, the guaranteeing association will no longer be liable on the
carnet with respect to those goods unless it is subsequently discovered
that the discharge of the carnet was obtained fraudulently or improperly
or that there has been a breach of the conditions of temporary admission
or of transit. No claim for payment shall be made more than one year
following the date of expiration of the validity of the carnet. The
guaranteeing association shall be allowed a period of six months from
the date of any claim by the port director in which to furnish proof of
the reexportation of the goods or of any other proper discharge of the
A.T.A. or TECRO/AIT carnet. If such proof is not furnished within the
time specified, the guranteeing association shall either deposit or
provisionally pay the sums. The deposit or payment shall become final
three months after the date of the deposit or payment, during which time
the guaranteeing association may still furnish proof of the
reexportation of
[[Page 504]]
the goods to recover the sums deposited or paid.
[28 FR 14755, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 18.8,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 18.9 Examination by inspectors of trunk line associations or
agents of the Surface Transportation Board.
(a) Upon presentation of proper credentials showing the applicant to
be a representative of the Trunk Line Association, the Surface
Transportation Board, the Joint Rate Inspection Bureau of Chicago or the
Southern Weighing and Inspection Bureau of Atlanta, inspectors of CBP in
charge will permit such applicant to examine packages containing in-bond
merchandise described in the manifest in general terms for the purpose
of ascertaining whether the merchandise is properly classified under the
interstate commerce laws.
(b) The opening and examination of such packages shall be without
expense to the Customs Service or the owner of the goods and shall be
done in the presence of a Customs officer. The contents of the cases
shall not be removed or disturbed further than is necessary to ascertain
the character thereof. The Customs officer shall require the packages to
be securely closed, and shall note on the manifest the packages so
inspected, the date, and by whom inspected.
[28 FR 14755, Dec. 31, 1963, as amended by CBP Dec. 04-28, 69 FR 52599,
Aug. 27, 2004]
Sec. 18.10 Kinds of entry.
(a) The following entries and withdrawals may be made for
merchandise to be transported in bond:
(1) Entry for immediate transportation without appraisement.
(2) Warehouse or rewarehouse withdrawal for transportation.
(3) Warehouse or rewarehouse withdrawal for exportation or for
transportation and exportation.
(4) Entry for transportation and exportation.
(5) Entry for exportation.
(b) The copy of each entry or withdrawal made in any of the classes
named in paragraph (a) of this section which is retained in the office
of the forwarding port director shall be signed by the party making the
entry or withdrawal. In the case of shipments to the Virgin Islands
(U.S.) under paragraph (a), (3), (4), or (5) of this section, one
additional copy of the entry or withdrawal on Customs Form 7512 shall be
filed and shall be mailed by the receiving port director to the port
director, Charlotte Amalie, St. Thomas, Virgin Island (U.S.). Before
shipping merchandise in bond to another port for the purpose of
warehousing or rewarehousing, the shipper should ascertain whether
warehouse facilities are available at the intended port of destination.
[28 FR 14755, Dec. 21, 1963, as amended by T.D. 89-1, 53 FR 51254, Dec.
21, 1988]
Sec. 18.10a Special manifest.
(a) General. Merchandise for which no other type of bonded movement
is appropriate (e.g., prematurely discharged or overcarried merchandise
and other such types of movements whereby the normal transportation-in-
bond procedures are not applicable) may be shipped in bond from the port
of unlading to the destination shown on the importing carrier's manifest
(manifested port) when authorized by the port director having custody of
the merchandise. For this purpose, Custom's Form 7512 prepared in
quadruplicate shall be used as a special manifest.
(b) Manifest procedures. (1) Written application shall be made to
the port director where the merchandise is being held for permission to
return it as a bonded shipment under a special manifest to the
manifested port, including to the port of diversion (see section 4.33 of
this chapter), when different from the original manifested port.
(2) The application and accompanying completed Customs Form 7512
shall identify the prematurely discharged or overcarried merchandise on
the inward manifest of the importing carrier; and also identify the date
and entry number of any entry made at the manifested port covering the
merchandise to be returned, if known. If the port director is satisfied
that the merchandise will be delivered to Customs
[[Page 505]]
custody at the manifest port before expiration of 90 days from the date
of the entry identified, or 90 days from the date of the importing
carrier's arrival at the manifested port when no entry is identified,
the port director may approve the shipment under a special manifest.
[T.D. 83-218, 48 FR 48657, Oct. 20, 1983; 48 FR 49655, Oct. 27, 1983]
Immediate Transportation Without Appraisement
Sec. 18.11 Entry; classes of goods for which entry is authorized; form
used.
(a) Entry for immediate transportation without appraisement may be
made under section 552, Tariff Act of 1930, (1) for any merchandise,
except explosives and prohibited merchandise, upon its arrival at a port
of entry, or (2) for merchandise in general-order warehouse at any time
within 6 months from the date of importation.
(b) Entry for immediate transportation without appraisement may be
made by (1) the carrier bringing the merchandise to the port of arrival,
(2) the carrier who is to accept the merchandise under its bond or a
carnet for transportation to the port of destination, or (3) any person
shown by the bill of lading or manifest, a certificate of the importing
carrier, or by any other document satisfactory to the port director, to
have a sufficient interest in the merchandise for that purpose.
(c) Before a shipment covered by an entry for immediate
transportation, including a carnet, or a manifest of baggage shipped in
bond (other than baggage to be forwarded in bond to a Customs station--
see Sec. 18.13(a)), shall be allowed to be transported directly to a
place of deposit outside a port of entry for examination and release as
contemplated by section 484(f), Tariff Act of 1930, as amended, the
consent of the director of the port of entry designated in the
transportation entry or baggage manifest (or in the event of diversion
under Sec. 18.5, for the port of destination of the merchandise or
baggage) must first be secured. Before consent may be given, the
importer must furnish such port director with a stipulation that,
promptly upon the arrival of any part of the merchandise or baggage at
the place of deposit, he will file an entry for the shipment at the port
of entry designated in the transportation entry or baggage manifest (or
in the event of diversion under Sec. 18.5, at the port of destination of
the merchandise or baggage) and will comply with the provisions of
Sec. 151.9 of this chapter.
(d) Carload shipments of livestock shall not be entered for
immediate transportation without appraisement unless they will arrive at
destination before it becomes necessary to remove the seals for the
purpose of watering and feeding the animals, or unless the route be such
that the removal of the seals and the watering, feeding, and reloading
of the stock may be done under Customs supervision.
(e) Entries for immediate transportation without appraisement
covering merchandise subject to detention or supervision by any Federal
agency must contain a sufficient description of the merchandise to
enable the representative of the agency concerned to determine the
contents of the shipment. Such merchandise covered by quarantines and
regulations administered by the Bureau of Entomology and Plant
Quarantine shall be forwarded under such entries only upon written
permission of or under regulations issued by that Bureau. Entries for
immediate transportation without appraisement covering textiles and
textile products subject to section 204, Agricultural Act of 1956, as
amended (7 U.S.C. 1854), must be described in such detail as to enable
the port director to estimate the duties and taxes, if any, due. The
port director may require evidence to satisfy him of the approximate
correctness of the value and quantity stated in the entry (e.g. Detailed
quantity description, 14 cartons, 2 dozen per carton); Detailed
description of the textiles or textile products including type of
commodity and chief fiber content (e.g., men's cotton jeans or women's
wool sweaters); Net weight of the textiles or textile products
(including immediate packing but excluding pallet); Total value of the
textiles or textile products; Manufacturer or supplier; Country of
orgin; Name(s) and address(es) of the person(s) to whom
[[Page 506]]
the textiles and textile products are consigned; Harmonized code tariff
number (when available).
(f) One or more entire packages of merchandise covered by an invoice
from one consignor to one consignee may be entered for consumption or
warehouse at the port of first arrival, and the remainder entered for
immediate transportation without appraisement, provided all the
merchandise covered by the invoice is entered simultaneously and any
carnet which may cover such merchandise is discharged as to that
merchandise.
(g) Several importations may be consolidated in one immediate
transportation without appraisement entry when bills of lading or
carrier's certificates name only one consignee at the port of first
arrival. However, merchandise moving under cover of a carnet may not be
consolidated with other merchandise.
(h) Either Customs Form 7512, a carnet, or an air waybill (see
Sec. 122.92 of this chapter), shall be used as a combined transportation
entry, invoice, and manifest. If Customs Form 7512 is used, a minimum of
three copies shall be required at the port of origin. The port director,
however, may require additional copies of Customs Form 7512 or the Goods
Manifest of the carnet for use in connection with the delivery of the
merchandise to the bonded carrier. In lieu of additional copies of the
Goods Manifest, the port director may accept copies of a bill of lading
covering the merchandise. The merchandise shall be described in such
detail as to enable the port director to estimate the duties and taxes,
if any, due. The port director may require evidence to satisfy him of
the approximate correctness of the value or quantity stated in the
entry. If a TIR carnet is used, and the duties and taxes estimated to be
due exceed the maximum liability of the guaranteeing association under
the carnet, the provisions of Sec. 114.22(d) of this chapter shall
apply.
(i) The value stated on the entry at the port of first arrival is
not binding on the ultimate consignee making entry at the port of
destination and does not relieve the importer of the obligation to show
the correct value on entry.
[28 FR 14755, Dec. 31, 1963, as amended by T.D. 71-70, 36 FR 4488, Mar.
6, 1971; T.D. 73-175, 38 FR 17446, July 2, 1973; T.D. 82-116, 47 FR
27262, June 24, 1982; T.D. 84-207, 49 FR 38247, Sept. 28, 1984; T.D. 85-
38, 50 FR 8723, Mar. 5, 1985; T.D. 89-1, 53 FR 51254, Dec. 21, 1988;
T.D. 92-82, 57 FR 38275, Aug. 24, 1992; T.D. 98-74, 63 FR 51288, Sept.
25, 1998; CBP Dec. 10-29, 75 FR 52451, Aug. 26, 2010]
Sec. 18.12 Entry at port of destination.
(a) Merchandise received under an immediate transportation without
appraisement entry may be entered for transportation and exportation or
for immediate transportation, or under any other form of entry, and
shall be subject to all the conditions pertaining to merchandise entered
at a port of first arrival if not more than 6 months have elapsed from
the date of original importation. If more than 6 months have elapsed,
only an entry for consumption shall be accepted. Such entry shall show
the name of the port of first arrival, the transporting carrier, and the
number of the immediate transportation entry. (See Sec. 127.2 of this
chapter.)
(b) The right to make entry at the port of destination shall be
determined in accordance with the provisions of Sec. 141.11 of this
chapter.
(c) When a portion of a shipment is entered at the port of first
arrival and the remainder is entered for consumption or warehouse at one
or more subsequent ports, the entry at each subsequent port may be made
on an extract of the invoice as provided for in Sec. 141.84 of this
chapter.
(d) All merchandise included in an immediate transportation without
appraisement entry (including carnets) not entered within 15 calendar
days after delivery at the port of destination shall be disposed of in
accordance with the applicable procedures in Sec. 4.37 or Sec. 122.50 or
Sec. 123.10 of this chapter.
[28 FR 14755, Dec. 31, 1963, as amended by T.D. 71-70, 36 FR 4488, Mar.
6, 1971; T.D. 73-175, 38 FR 17446, July 2, 1973; T.D. 74-114, 39 FR
12091, Apr. 3, 1974; T.D. 82-116, 47 FR 27262, June 24, 1982; T.D. 98-
74, 63 FR 51288, Sept. 25, 1998]
[[Page 507]]
Shipment of Baggage in Bond
Sec. 18.13 Procedure; manifest.
(a) Baggage may be forwarded in bond to another port of entry, or to
a Customs station listed in Sec. 101.4 of this chapter, at the request
of the passenger, the transportation company, or the agent of either,
with the use of a baggage manifest described in paragraph (b) of this
section without examination or assessment of duty at the port or station
of first arrival. For this purpose, the carrier shall furnish cards of
bright red cardboard not less than 2\1/2\ by 4 inches in size with the
following printed text, for attachment (by wire or cord) to the baggage:
United States Customs
Check No._______________________________________________________________
Baggage in bond:
Carrier_________________________________________________________________
From____________________________________________________________________
to port director
At (destination)________________________________________________________
This baggage must be delivered by carrier to the director of the
port of destination. Failure to do so renders the carrier liable to a
fine.
(b) A Customs manifest for baggage shipped in bond, Customs Form
7512, shall be prepared in triplicate for each shipment.
(c) Baggage arriving in bond or otherwise at a port on the Atlantic
or Pacific coast, destined to a port on the opposite coast, may be laden
under Customs supervision, without examination and without being placed
in bond, on a vessel proceeding to the opposite coast, provided the
vessel will proceed to the opposite coast without stopping at any other
port on the first coast.
[28 FR 14755, Dec. 31, 1963, as amended by T.D. 70-121, 35 FR 8222, May
26, 1970; T.D. 77-241, 42 FR 54937, Oct. 12, 1977; T.D. 87-75, 52 FR
20067, May 29, 1987; T.D. 00-22, 65 FR 16517, Mar. 29, 2000]
Sec. 18.14 Shipment of baggage in transit to foreign countries.
The baggage of any person in transit through the United States from
one foreign country to another may be shipped over a bonded route for
exportation. Such baggage shall be shipped under the regulations
prescribed in Sec. 18.13, except that the card or poster shall be
printed on yellow paper and shall read ``Baggage in bond for export.''
See Sec. 123.64 of this chapter for the regulations applicable to
baggage shipped in transit through the United States between points in
Canada or Mexico.
[28 FR 14755, Dec. 31, 1963, as amended by T.D. 70-121, 35 FR 8222, May
26, 1970]
Merchandise in Transit Through the United States to Foreign Countries
Sec. 18.20 Entry procedure; forwarding.
(a) When an importation is entered for transportation and
exportation, except as provided for in subparts D, E, F and G of part
123 of this chapter (relating to merchandise in transit through the U.S.
between two points in contiguous foreign territory), a carnet, three
copies of an air waybill (see Sec. 122.92 of this chapter), or four
copies of Customs Form 7512 shall be required. The port director,
however, may require additional copies of Customs Form 7512 or the Goods
Manifest of the carnet for use in connection with the delivery of the
merchandise to, the bonded carrier. In lieu of additional copies of a
Goods Manifest, the port director may accept copies of a bill of lading
covering the merchandise. Acceptance of transportation and exportation
entries shall be subject to the requirements prescribed in Sec. 18.11(b)
for entry of merchandise for immediate transportation without
appraisement.
(b) Except in respect to merchandise covered by a carnet (see
Sec. 18.1(a) (2) and (3)), in places where no bonded common carrier
facilities are reasonably available and merchandise is permitted to be
transported otherwise than by a bonded common carrier, the port director
may permit entry in accordance with the procedure outlined in paragraph
(a) of this section if he is satisfied that the revenue will not be
endangered. A bond on Customs Form 301, containing the bond conditions
set forth in Sec. 113.62 of this chapter in an amount equal to double
the estimated duties shall be required when the port director deems such
action necessary. (See Sec. 113.55 of this chapter for cancellation of
export bonds.)
(c) The merchandise shall be forwarded in accordance with the
general
[[Page 508]]
provisions for transportation in bond, Sec. Sec. 18.1 through 18.8.
[28 FR 14755, Dec. 31, 1963, as amended by T.D. 71-70, 36 FR 4489, Mar.
6, 1971; T.D. 74-227, 39 FR 32015, Sept. 4, 1974; T.D. 82-116, 47 FR
27262, June 24, 1982; T.D. 84-212, 49 FR 39047, Oct. 3, 1984; T.D. 84-
213, 49 FR 41168, Oct. 19, 1984; T.D. 89-1, 53 FR 51254, Dec. 21, 1988;
T.D. 92-82, 57 FR 38275, Aug. 24, 1992]
Sec. 18.21 Restricted and prohibited merchandise.
(a) Merchandise subject upon importation to examination,
disinfection, or further treatment under quarantines and Quarantine
Division, Agricultural Research Service, Department of Agriculture,
shall be released for transportation or exportation only upon written
permission of, or under regulations issued by, that Bureau. (See
Sec. Sec. 12.10 to 12.15 of this chapter.)
(b) Narcotics and other articles prohibited admission into the
commerce of the United States shall not be entered for transportation
and exportation and any such merchandise offered for entry for that
purpose shall be seized, except that exportation or transportation and
exportation may be permitted upon written authority from the proper
governmental agency and/or compliance with the regulations of such
agency.
(c) Articles in transit manifested merely as drugs, medicines, or
chemicals, without evidence to satisfy the port director that they are
non-narcotic, shall be detained and subjected, at the carrier's risk and
expense, to such examination as may be necessary to satisfy the port
director whether or not they are of a narcotic character. A properly
verified certificate of the shipper, specifying the items in the
shipment and stating whether narcotic or not, may be accepted by the
port director to establish the character of such a shipment.
(d) Explosives shall not be entered for transportation and/or
exportation under a transportation and exportation entry, or an
immediate transportation entry unless the importer has first obtained a
license or permit from the proper governmental agency.
[28 FR 14755, Dec. 31, 1963, as amended by T.D. 84-77, 49 FR 13491, Apr.
5, 1984; T.D. 99-27, 64 FR 13675, Mar. 22, 1999]
Sec. 18.22 Procedure at port of exit.
(a) If transfer is necessary, the procedure shall be as prescribed
in Sec. 18.3(d).
(b) Upon the arrival at the port of exit of express shipments of
articles shown by the manifest, Customs Form 7512, to be baggage and to
be deliverable to the owner on board the exporting vessel, such articles
may be transferred by the express company, without a permit from the
port director and without the use of a transfer ticket or other Customs
formality, from its terminal to the exporting vessel for lading under
Customs supervision, if the express company is bonded as a common
carrier and is responsible under its bond for the delivery of the
articles to the Customs officer in charge of the exporting vessel. The
manifest shall show the name of the owner of the baggage and the name of
the vessel on which he intends to sail.
Sec. 18.23 Change of destination; change of entry.
(a) The foreign destination of such merchandise may be changed by
the parties in interest upon notice to the director of the port of exit
from the United States. The director of the port of exit, in his
discretion, may report the application for a change of foreign
destination to the director of the port of entry.
(b) Such merchandise may be entered for consumption or warehouse or
under any other form of entry. If the merchandise is subject on
importation to quarantine and regulations administered by the Bureau of
Entomology and Plant Quarantine, it shall be entered for consumption or
warehouse only upon written permission of, or under regulations issued
by, that Bureau. (See Sec. Sec. 12.10 to 12.15 of this chapter.)
Sec. 18.24 Retention of goods on dock; splitting of shipments.
(a) Upon written application of a party in interest and the written
consent of the owner of the dock, the port director, in his discretion,
may allow in-transit merchandise, including merchandise covered by a
carnet, to remain on the dock under the supervision of a Customs officer
without extra expense to the Government for a period
[[Page 509]]
not exceeding 90 days. Upon further application, additional extensions
of 90 days or less, but not to exceed 1 year from the date of
importation, may likewise be granted by the port director. The port
director may take possession of the merchandise at any time.
(b) The splitting up of a shipment for exportation shall be
permitted when exportation in its entirety is not possible by reason of
the different destinations to which portions of the shipment are
destined, when the exporting vessel cannot properly accommodate the
entire quantity, or in similar circumstances. In the case, however, of
merchandise being transported under cover of a carnet, splitting up of a
shipment shall not be permitted.
[T.D. 71-70, 36 FR 4489, Mar. 6, 1971, as amended by T.D. 82-116, 47 FR
27262, June 24, 1982; T.D. 00-57, 65 FR 53574, Sept. 5, 2000]
Exportation From Customs Custody of Merchandise Unentered or Covered by
an Unliquidated Consumption Entry, or Merchandise Denied Admission by
the Government
Sec. 18.25 Direct exportation.
(a) Except as otherwise provided for in subpart F of part 145 of
this chapter, relating to exportations by mail, when no entry has been
made or completed for merchandise in Customs custody, or when the
merchandise is covered by an unliquidated consumption entry, or when
merchandise which has been entered in good faith is found to be
prohibited under any law of the United States, and such merchandise is
to be exported directly without transportation to another port, four
copies of Customs Form 7512 shall be filed. If a TIR carnet covers the
merchandise which is to be exported directly without transportation, the
carnet shall be discharged or canceled, as appropriate (see part 114 of
this chapter), and four copies of Form 7512 shall be filed. The port
director may require an extra copy or copies of Form 7512 to be
furnished for use in connection with delivery of the merchandise to the
carrier named in the entry. If an A.T.A. carnet covers the merchandise
which is to be exported directly without transportation, the carnet
shall be discharged by the certification of the appropriate
transportation and reexportation vouchers by Customs officers as
necessary.
(b) A bond on Customs Form 301, containing the bond conditions set
forth in Sec. 113.63 of this chapter, shall be required. (See also
Sec. 158.45 of this chapter.)
(c) If the merchandise has been landed or is transferred from one
vessel to another and has not been entered for consumption or, in the
case of goods entered for consumption and rejected, such export
declaration as required by Sec. 30.3(a)(2) of the Foreign Trade
Statistics Regulations (15 CFR 30.3(a)(2)) shall be filed.
(d) If the merchandise is exported in the importing vessel without
landing, a representative of the exporting carrier who has knowledge of
the facts shall certify that the merchandise entered for exportation was
not discharged during the vessel's stay in port. A charge shall be made
against the continuous bond on Customs Form 301, containing the bond
conditions set forth in Sec. 113.64 of this chapter, if on file, or if a
continuous bond is not on file, a single entry bond containing the bond
conditions set forth in Sec. 113.64 shall be required as in the case of
residue cargo for foreign ports. If the merchandise is covered by a TIR
carnet, the carnet shall not be taken on charge (see Sec. 114.22(c)(2)
of this chapter).
(e) The principal on any bond filed to guarantee direct exportation
shall cause the merchandise to be exported and provide such evidence of
exportation as required by the port director under Sec. 113.55 of this
chapter within 30 days of exportation.
(f) Gunpowder and other explosive substances, the deposit of which
in any public store or bonded warehouse is prohibited by law, may be
entered on arrival from a foreign port for immediate exportation in bond
by sea, but shall be transferred directly from the importing to the
exporting vessel.
[28 FR 14755, Dec. 31, 1963, as amended by T.D. 68-299, 33 FR 18437,
Dec. 12, 1968; T.D. 71-70, 36 FR 4489, Mar. 6, 1971; T.D. 72-258, 37 FR
20174, Sept. 27, 1972; T.D. 73-135 38 FR 13369, May 21, 1973; T.D. 82-
116, 47 FR 27262, June 24, 1982; T.D. 84-213, 49 FR 41168, Oct. 19,
1984; T.D. 98-74, 63 FR 51288, Sept. 25, 1998]
[[Page 510]]
Sec. 18.26 Indirect exportation.
(a) When merchandise of the character enumerated in Sec. 18.25(d) is
to be transported in bond to another port for exportation, it may be
entered for transportation and exportation in accordance with the
procedure in Sec. 18.20. Upon acceptance of the entry by Customs and
acceptance of the merchandise by the bonded carrier, the bonded carrier
assumes liability for the transportation and exportation of the
merchandise. In the case of merchandise prohibited entry by any
Government agency, that fact shall be prominently noted on Customs Form
7512 for the information of the director of the port of exportation. If
the merchandise was imported under cover of a TIR carnet, the carnet
shall be discharged or canceled at the port of importation and the
merchandise transported under an entry on Customs Form 7512 (see
Sec. 18.25). If merchandise has been imported under cover of an A.T.A.
carnet to be transported in bond to another port for exportation, the
appropriate transit voucher shall be accepted in lieu of Customs Forms
7512. One transit voucher shall be certified by Customs officers at the
port of importation and a second transit voucher, together with the
reexportation voucher, shall be certified at the port of exportation.
(b) The merchandise shall be forwarded in accordance with the
general provisions for transportation in bond, Sec. Sec. 18.1 through
18.8.
(c) If the merchandise is to be transferred after arrival at the
selected port of exportation, the procedure prescribed in Sec. 18.3(d)
shall be followed. The provisions of Sec. Sec. 18.23 and 18.24 shall
also be followed in applicable cases.
(d) The bonded carrier shall cause the merchandise to be exported
and provide such evidence of exportation as required by the port
director under Sec. 113.55 of this chapter within 30 days of
exportation.
[28 FR 14755, Dec. 31, 1963, as amended by T.D. 71-70, 36 FR 4489, Mar.
6, 1971; T.D. 82-116, 47 FR 27262, June 24, 1982; T.D. 84-213, 49 FR
41169, Oct. 19, 1984]
Sec. 18.27 Port marks.
Port marks may be added by authority of the port director and under
the supervision of a Customs officer. The original marks and the port
marks shall appear in all papers pertaining to the exportation.
Merchandise Transported by Pipeline
Sec. 18.31 Pipeline transportation of bonded merchandise.
(a) General. Merchandise may be transported by pipeline under the
procedures in this part, as appropriate and unless otherwise
specifically provided for in this section.
(b) Bill of lading to account for merchandise. Unless Customs has
reasonable cause to suspect fraud, Customs shall accept a bill of lading
or equivalent document of receipt issued by the pipeline operator to the
shipper and accepted by the consignee to account for the quantity of
merchandise transported by pipeline and to maintain the identity of the
merchandise.
(c) Procedures when pipeline is only carrier. When a pipeline is the
only carrier of bonded merchandise and there is no transfer to another
carrier, the bill of lading or equivalent document of receipt issued by
the pipeline operator to the shipper shall be included with, and made a
part of, the Customs in-bond document (see Sec. 18.2(b)). If there are
no discrepancies between the bill of lading or equivalent document of
receipt and the other documents making up the in-bond manifest for the
merchandise, and provided that Customs has no reasonable cause to
suspect fraud, the bill of lading or equivalent document of receipt
shall be accepted by Customs at the port of destination or exportation
(see Sec. Sec. 18.2(d) and 18.7) as establishing the quantity and
identity of the merchandise transported. The pipeline operator shall be
responsible for any discrepancies, including shortages, irregular
deliveries, or nondeliveries at the port of destination or exportation
(see Sec. 18.8).
(d) Procedures when there is more than one carrier (i.e., transfer
of the merchandise)--(1) Pipeline as initial carrier. When a pipeline is
the initial carrier of bonded merchandise and the merchandise is
transferred to another conveyance (either a different mode of
transportation
[[Page 511]]
or a pipeline operated by another operator), the procedures in Sec. 18.3
and paragraph (c) of this section shall be followed, except that--
(i) When the merchandise is to be transferred to one conveyance, a
copy of the bill of lading or equivalent document issued by the pipeline
operator to the shipper shall be delivered to the person in charge of
the conveyance for delivery, along with the in-bond document, to the
appropriate Customs official at the port of destination or exportation;
or
(ii) When the merchandise is to be transferred to more than one
conveyance, a copy of the bill of lading or equivalent document issued
by the pipeline operator to the shipper shall be delivered to the person
in charge of each additional conveyance, along with the two additional
copies of the in-bond document, for delivery to the appropriate Customs
official at the port of destination or exportation.
(2) Transfer to pipeline from initial carrier other than a pipeline.
When bonded merchandise initially transported by a carrier other than a
pipeline is transferred to a pipeline, the procedures in Sec. 18.3 and
paragraph (c) of this section shall be followed, except that the bill of
lading or other equivalent document of receipt issued by the pipeline
operator to the shipper shall be delivered, along with the in-bond
document, to the appropriate Customs officer at the port of destination
or exportation.
(3) Initial carrier liable for discrepancies. In the case of either
paragraph (d)(1) or (d)(2) of this section, the initial carrier shall be
responsible for any discrepancies, including shortages, irregular
deliveries, or nondeliveries, at the port of destination or exportation
(see Sec. 18.8).
(e) Recordkeeping. The shipper, pipeline operator, and consignee are
subject to the recordkeeping requirements in 19 U.S.C. 1508 and 1509, as
provided for in part 162 of this chapter.
[T.D. 96-18, 61 FR 6779, Feb. 22, 1996]
Merchandise Not Otherwise Subject to Customs Control Exported Under
Cover of a TIR Carnet
Sec. 18.41 Applicability.
The provisions of Sec. Sec. 18.41 through 18.45 apply only to
merchandise to be exported under cover of a TIR carnet for the
convenience of the U.S. exporter or other party in interest and do not
apply to merchandise otherwise required to be transported in bond under
the provisions of this chapter. Merchandise to be exported under cover
of a TIR carnet for the convenience of the U.S. exporter or other party
in interest may be transported with the use of the facilities of either
bonded or nonbonded carriers.
[T.D. 71-263, 36 FR 20291, Oct. 20, 1971]
Sec. 18.42 Direct exportation.
At the port of exportation, the container or road vehicle, the
merchandise, and the TIR carnet shall be made available to the port
director. Any required export declarations shall be filed in accordance
with the applicable regulations of the Bureau of the Census (15 CFR part
30) and the Office of Export Control (15 CFR part 386). The port
director shall examine the merchandise to the extent he believes
necessary to determine that the carnet has been properly completed and
shall verify that the container or road vehicle has the necessary
certificate of approval or approval plate intact and is in satisfactory
condition. After completion of any required examination and supervision
of loading, the port director shall cause the container or road vehicle
to be sealed with Customs seals and ascertain that the TIR plates are
properly affixed and sealed. (See Sec. 18.4a.) In the case of heavy or
bulky goods moving under cover of a TIR carnet, the port director shall
cause a Customs seal or label, as appropriate, to be affixed. He shall
also remove two vouchers from the carnet, execute the appropriate
counterfoils, and return the carnet to the carrier or agent to accompany
the merchandise.
[T.D. 71-70, 36 FR 4489, Mar. 6, 1971]
[[Page 512]]
Sec. 18.43 Indirect exportation.
(a) When merchandise is to move from one U.S. port to another for
actual exportation at the second port, any export declarations required
to be validated shall be filed in accordance with the port of origin
procedure described in the applicable regulations of the Bureau of the
Census and of the Office of Export Control.
(b) The port director shall follow the procedure provided in
Sec. 18.42 in respect to examination of the merchandise, supervision of
loading, sealing or labeling, and affixing of TIR plates. He shall
remove one voucher from the carnet, execute the appropriate counterfoil,
and return the carnet to the carrier or agent to accompany the container
or road vehicle to the port of actual exportation.
(c) At the port of actual exportation, the carnet and the container
(or heavy or bulky goods) or road vehicle shall be presented to the port
director who shall verify that seals or labels are intact and that there
is no evidence of tampering. After verification, the port director shall
remove the appropriate voucher from the carnet, execute the counterfoil,
and return the carnet to the carrier or agent.
[T.D. 71-70, 36 FR 4489, Mar. 6, 1971]
Sec. 18.44 Abandonment of exportation.
In the event that exportation is abandoned at any time after
merchandise has been placed under cover of a TIR carnet, the carrier or
agent shall deliver the carnet to the nearest customs office or to the
Customs office at the port of origin for cancellation (see
Sec. 114.26(c) of this chapter). When the carnet has been canceled, the
carrier or agent may remove Customs seals or labels and unload the
container (or heavy or bulky goods) or road vehicle without customs
supervision.
[T.D. 71-70, 36 FR 4489, Mar. 6, 1971]
Sec. 18.45 Supervision of exportation.
The provisions of Sec. Sec. 18.41 through 18.44 do not require the
director of the port of actual exportation to verify that merchandise
moving under cover of a TIR carnet is loaded on board the exporting
carrier.
[T.D. 71-70, 36 FR 4489, Mar. 6, 1971]
PART 19_CUSTOMS WAREHOUSES, CONTAINER STATIONS AND CONTROL OF
MERCHANDISE THEREIN
Sec.
19.1 Classes of customs warehouses.
General Provisions
19.2 Applications to bond.
19.3 Bonded warehouses; alterations; relocation; suspensions;
discontinuance.
19.4 CBP and proprietor responsibility and supervision over warehouses.
19.5 [Reserved]
19.6 Deposits, withdrawals, blanket permits to withdraw and sealing
requirements.
19.7 Expenses of labor and storage.
19.8 Examination of goods by importer; sampling; repacking; examination
of merchandise by prospective purchasers.
19.9 General order, abandoned, and seized merchandise.
19.10 Examination packages.
Manipulation in Bonded Warehouses and Elsewhere
19.11 Manipulation in bonded warehouses and elsewhere.
Accounts
19.12 Inventory control and recordkeeping system.
Manufacturing Warehouses
19.13 Requirements for establishment of warehouse.
19.13a Recordkeeping requirements.
19.14 Materials for use in manufacturing warehouse.
19.15 Withdrawal for exportation of articles manufactured in bond;
waste or byproducts for consumption.
19.16 [Reserved]
Smelting and Refining Warehouses
19.17 Application to establish warehouse; bond.
19.18 Smelting and refining; allowance for wastage; withdrawal for
consumption.
19.19 Manufacturers' records; annual statement.
19.20 Withdrawal of products from bonded smelting or refining
warehouses.
19.21 Smelting and refining in separate establishments.
19.22 Withdrawal of metal refined in part from imported crude metal and
in part
[[Page 513]]
from crude metal produced from imported materials.
19.23 Withdrawal for exportation from one port to be credited on
warehouse entry account at another port.
19.24 Theoretical transfer without physical shipment of dutiable metal.
19.25 Credit to be applied under various forms of withdrawals.
Space Bonded for the Storage of Wheat
19.29 Sealing of bins or other bonded space.
19.30 Domestic wheat not to be allowed in bonded space.
19.31 Bulk wheat of different classes and grades not to be commingled
in storage.
19.32 Wheat manipulation; reconditioning.
19.33 General order; transportation in bond.
19.34 Customs supervision.
Duty-Free Stores
19.35 Establishment of duty-free stores (Class 9 warehouses).
19.36 Requirements for duty-free store operations.
19.37 Crib operations.
19.38 Supervision of exportation.
19.39 Delivery for exportation.
Container Stations
19.40 Establishment, relocation or alteration of container stations.
19.41 Movement of containerized cargo to a container station.
19.42 Application for transfer of merchandise.
19.43 Filing of application.
19.44 Carrier responsibility.
19.45 Transfer of merchandise, approval and method.
19.46 Employee lists.
19.47 Security.
19.48 Suspension or revocation of the privilege of operating a
container station; hearings.
19.49 Entry of containerized merchandise.
Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1202 (General Note 3(i),
Harmonized Tariff Schedule of the United States), 1624; Section 19.1
also issued under 19 U.S.C. 1311, 1312, 1555, 1556, 1557, 1560, 1561,
1562; Section 19.6 also issued under 19 U.S.C. 1555, 1557; Section 19.7
also issued under 19 U.S.C. 1555, 1556; Section 19.11 also issued under
19 U.S.C. 1556, 1562; Section 19.15 also issued under 19 U.S.C. 1311;
Sections 19.17-19.25 also issued under 19 U.S.C. 1312; Sections Sections
19.35-19.39 also issued under 19 U.S.C. 1555; Section 19.40(a) also
issued under 19 U.S.C. 1450, 1499, 1623; Sections 19.41-19.43 also
issued under 19 U.S.C. 1499; Section 19.44 also issued under 19 U.S.C.
1448; Section 19.45 also issued under 19 U.S.C. 1551, 1565; Section
19.48 also issued under 19 U.S.C. 1499, 1623; Section 19.49 also issued
under 19 U.S.C. 1484.
Source: 28 FR 14763, Dec. 31, 1963, unless otherwise noted.
Sec. 19.1 Classes of customs warehouses.
(a) Classifications. Customs warehouses shall be designated
according to the following classifications:
(1) Class 1. Premises that may be owned or leased by the Government,
when the exigencies of the service as determined by the port director so
require, and used for the storage of merchandise undergoing examination
by Customs, under seizure, or pending final release from Customs
custody. Merchandise will be stored in such premises only at Customs
direction and will be held under ``general order.''
(2) Class 2. Importers' private bonded warehouses used exclusively
for the storage of merchandise belonging or consigned to the proprietor
thereof. A warehouse of class 4 or 5 may be bonded exclusively for the
storage of goods imported by the proprietor thereof, in which case it
shall be known as a private bonded warehouse.
(3) Class 3. Public bonded warehouses used exclusively for the
storage of imported merchandise.
(4) Class 4. Bonded yards or sheds for the storage of heavy and
bulky imported merchandise; stables, feeding pens, corrals, or other
similar buildings or limited enclosures for the storage of imported
animals; and tanks for the storage of imported liquid merchandise in
bulk. If the port director deems it necessary, the yards shall be
enclosed by substantial fences with entrances and exit gates capable of
being secured by the proprietor's locks. The inlets and outlets to tanks
shall be secured by means of seals or the proprietor's locks.
(5) Class 5. Bonded bins or parts of buildings or of elevators to be
used for the storage of grain. The bonded portions shall be effectively
separated from the rest of the building.
(6) Class 6. Warehouses for the manufacture in bond, solely for
exportation, of articles made in whole or in part of imported materials
or of materials subject to internal-revenue tax; and for the manufacture
for home consumption or exportation of cigars in whole of tobacco
imported from one country.
[[Page 514]]
(7) Class 7. Warehouses bonded for smelting and refining imported
metal-bearing materials for exportation or domestic consumption.
(8) Class 8. Bonded warehouses established for the purpose of
cleaning, sorting, repacking, or otherwise changing in condition, but
not manufacturing, imported merchandise, under Customs supervision and
at the expense of the proprietor.
(9) Class 9. Bonded warehouse, known as ``duty-free stores'', used
for selling, for use outside the Customs territory, conditionally duty-
free merchandise owned or sold by the proprietor and delivered from the
Class 9 warehouse to an airport or other exit point for exportation by,
or on behalf of, individuals departing from the Customs territory for
destinations other than foreign trade zones. Pursuant to 19 U.S.C.
1555(b)(8)(C), ``Customs territory'', for purposes of duty-free stores,
means the Customs territory of the U.S. as defined in Sec. 101.1(e) of
this chapter, and foreign trade zones (see part 146 of this chapter).
All distribution warehouses used exclusively to provide individual duty-
free sales locations and storage cribs with conditionally duty-free
merchandise are also Class 9 warehouses.
(10) [Reserved]
(11) Class 11. Bonded warehouses, known as ``general order
warehouses,'' established for the storage and disposition exclusively of
general order merchandise as described in Sec. 127.1 of this chapter.
(b) Manipulation. The whole or a part of any warehouse of class 1,
2, 3, 4, 5, 6, 7, or 11 may be designated a constructive manipulation
(class 8) warehouse when the exigencies of the service so require.
(c) General order. General order merchandise as described in
Sec. 127.1 of this chapter may be stored and disposed of in a class 11
warehouse or a warehouse of class 3, 4, or 5, provided the class 3, 4,
or 5 warehouse has also been certified by the port director as meeting
the criteria for a class 11 warehouse, following an application under
Sec. 19.2. So far as such warehouses are used for the purpose of
handling general order goods, they will also be considered general order
(class 11) warehouses. If there is no space at a warehouse of any of
these classes available, the proprietor of such a warehouse, with the
approval of the port director of the port nearest to where the warehouse
is located, may rent or lease additional suitable premises for the
storage of general order merchandise.
[T.D. 76-277, 41 FR 42649, Sept. 28, 1976, as amended by T.D. 82-204, 47
FR 49368, Nov. 1, 1982; T.D. 89-1, 53 FR 51254, Dec. 21, 1988; T.D. 92-
81, 57 FR 37696, Aug. 20, 1992; T.D. 97-19, 62 FR 15834, Apr. 3, 1997;
T.D. 02-65, 67 FR 68032, Nov. 8, 2002]
General Provisions
Sec. 19.2 Applications to bond.
(a) Application. An owner or lessee desiring to establish a bonded
warehouse facility shall make written application to the director of the
port nearest to where the warehouse is located, describing the premises,
giving its location, and stating the class of warehouse desired. If
required by the port director, the applicant shall provide a list of
names and addresses of all officers and managing officials of the
warehouse and all persons who have a direct or indirect financial
interest in the operation of the warehouse facility. Except in the case
of a class 2 or class 7 warehouse, the application shall state whether
the warehouse facility is to be operated only for the storage or
treatment of merchandise belonging to the applicant or whether it is to
be operated as a public bonded warehouse. If the warehouse facility is
to be operated as a private bonded warehouse, the application also shall
state the general character of the merchandise to be stored therein, and
provide an estimate of the maximum duties and taxes which will be due on
all merchandise in the bonded warehouse at any one time. A warehouse
facility will be determined by street address, location, or both. For
example, if a proprietor has two warehouses located at one street
address and three warehouses located at three different street addresses
the two located at one address would be considered as one warehouse
facility and the three located at three different addresses would each
be considered as separate warehouses facilities. The applicant must
prepare and have available at the warehouse a procedures
[[Page 515]]
manual describing the inventory control and recordkeeping system that
will be used in the warehouse. A certification by the proprietor that
the inventory control and recordkeeping system meets the requirements of
Sec. 19.12 will be submitted with the application. The physical security
of the facility must meet the approval of the port director.
(b) The applicant shall submit evidence of fire insurance coverage
on the proposed warehouse. If the applicant does not have fire insurance
for the proposed warehouse, he shall submit a certificate signed by an
officer or agent of each of two insurance companies stating that the
building is acceptable for fire-insurance purposes. The application
shall also be accompanied by a blueprint showing measurements, openings,
etc., of the building or space to be bonded. If the warehouse to be
bonded is a tank, the blueprint shall show all outlets, inlets, and pipe
liles and shall be certified as correct by the proprietor of the tank. A
gauge table showing the capacity of the tank in United States gallons
per inch or fraction of an inch of height, certified by the proprietor
to be correct, shall accompany the application. When a part or parts of
a building are to be used as the warehouse, there shall be given a
detailed description of the materials and construction of all
partitions. When the proprietor is the lessee of the premises covered by
the application and bond, he shall furnish a stipulation concurred in by
the sureties, agreeing that, prior to the expiration of the lease
covering the premises without renewal thereof, he will transfer any
merchandise remaining in the bonded warehouse to an approved bonded
warehouse, pay all duties, charges, or exactions due on such
merchandise, or otherwise dispose of such merchandise in accordance with
the Customs laws and regulations. If the application is for a Class 9
warehouse (duty-free store), the applicant shall furnish the following
documents:
(1) A map showing the location of the facilities to be bonded in
respect to the port of entry and distances to all exit points of
purchasers of conditionally duty-free merchandise;
(2) A description of the store's procedures, which includes
inventory control, recordkeeping, and delivery methods. These procedures
must be set forth in the proprietor's procedures manual. Such manual and
subsequent changes therein must be furnished to the port director upon
request. The procedures in the manual shall provide reasonable assurance
that conditionally duty-free merchandise sold therein will be exported;
(3) If an airport duty-free store, a description of the store's
procedures for restricting sales of conditionally duty-free merchandise
to personal-use quantities; and
(4) A statement by an authorized official of the appropriate state,
local or other governmental authority administering the exit point
facility that the applicant duty-free store is authorized to deliver
conditionally duty-free merchandise to purchasers at or through that
exit point facility. A separate statement shall be required for each
governments authority having jurisdiction over exit point facilities
through which the duty-free store intends to deliver merchandise to
purchasers. If the merchandise will be delivered through an exit point
which is not under the jurisdiction of a governmental authority, the
applicant will provide a statement to that effect.
(c) On approval of the application to bond a warehouse of any class,
except class 1, a bond shall be executed on Customs Form 301, containing
the bond conditions set forth in Sec. 113.63 of this chapter.
(d) An applicant desiring to establish a general order warehouse may
need to establish, as a condition of approval of the application, that
the warehouse will meet minimum space requirements imposed by the port
director to accommodate the storage of general order merchandise. Any
space requirements will be posted by written notice at the customhouse
and on the appropriate Customs-authorized electronic data interchange
system. An applicant will not be subject to any minimum space
requirements that are posted after the filing of his application.
(e) Any proprietor of a bonded warehouse may be required on 10 days'
notice from the port director to furnish a
[[Page 516]]
new bond on Customs Form 301, containing the bond conditions set forth
in Sec. 113.63 of this chapter; and if he fails to do so, no more goods
shall be sent to the warehouse and those therein shall be removed at the
expense of such proprietor. A new bond is required if the bonded
warehouse is substantially altered or rebuilt.
(f) As a condition of approval of the application, the port director
may order an inquiry by a Customs officer into the qualification,
character, and experience of the applicant (e.g. personal history,
financial and business data, credit and personal references), and into
the security, suitability, and fitness of the facility. The port
director may require an individual applicant to submit fingerprints on
form FD 258 or electronically at the time of filing the application, or
in the case of applications from a business entity, may require the
fingerprints, on form FD 258 or electronically, of all employees of the
business entity.
(g) The port director shall promptly notify the applicant in writing
of his decision to approve or deny the application to bond the
warehouse. If the application is denied the notification shall state the
grounds for denial. The decision of the port director will be the final
Customs administrative determination in the matter.
[28 FR 14763, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 19.2,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 19.3 Bonded warehouses; alterations; relocation; suspensions;
discontinuance.
(a) Alterations or relocation. Alterations to or relocation of a
warehouse may be made with the permission of the director of the port
nearest to where the facility is located.
(b) Suspensions. The use of all or part of a bonded warehouse or
bonded floor space may be temporarily suspended by the port director of
a period not to exceed one year on written application of the proprietor
if there are no bonded goods in the area. Upon written application of
the proprietor and upon the removal of all nonbonded goods, if any, the
premises may again be used for the storage of bonded goods. If the
application is approved, the port director shall indicate the approval
by endorsement on the application. Rebonding will not be necessary as
long as the original bond remains in force.
(c) Discontinuance. If a proprietor wishes to discontinue the bonded
status of the warehouse, he shall make written application to the port
director. The port director shall not approve the application until all
goods in the warehouse are transferred to another bonded warehouse
without expense to the Government. To reestablish the bonded warehouse,
application shall be made and approved under the provision of Sec. 19.2
of this chapter.
(d) Employee lists. The port director may make a written demand upon
the proprietor to submit, within 30 days after the date of demand, a
written list of the names, addresses, social security numbers, and dates
and places of birth of all persons employed by the proprietor in the
carriage, receiving, storage, or delivery of any bonded merchandise. If
a list has been previously furnished the proprietor shall advise the
port director in writing of the names, addresses, social security
numbers, and dates and places of birth of any new personnel employed by
him in the carriage, receiving, storage, or delivery of bonded
merchandise within 10 days after such employment. For the purpose of
this part a person shall not be deemed to be employed by a warehouse
proprietor if he is an officer or employee of an independent contractor
engaged by the warehouse proprietor to load, unload, transport, or
otherwise handle bonded merchandise.
(e) Revocation or suspension for cause. The port director may revoke
or suspend for cause the right of a proprietor to continue the bonded
status of the warehouse for any ground specified in this paragraph. An
action to suspend or revoke the right to operate a bonded warehouse
shall be taken in accordance with the procedures set forth in paragraph
(f) of this section. If the bonded status is revoked or suspended for
cause, the port director shall require all goods in the warehouse to be
transferred to a bonded warehouse without
[[Page 517]]
expense to the Government. The bonded status of a warehouse may be
revoked or suspended for cause if:
(1) The approval of the application to bond the warehouse was
obtained through fraud or the misstatement of a material fact;
(2) The warehouse proprietor refuses or neglects to obey any proper
order of a Customs officer or any Customs order, rule, or regulation
relative to the operation or administration of a bonded warehouse;
(3) The warehouse proprietor or an officer of a corporation which
has been granted the right to operate a bonded warehouse is convicted of
or has committed acts which would constitute a felony, or a misdemeanor
involving theft, smuggling, or a theft-connected crime. Any change in
the employment status of the corporate officer, (e.g., discharge,
resignation, demotion, or promotion) prior to conviction of a felony or
prior to conviction of a misdemeanor involving theft, smuggling, or a
theft-connected crime, resulting from acts committed while a corporate
officer, will not preclude application of this provision;
(4) The warehouse proprietor does not provide secured facilities or
properly safeguard merchandise within the bonded warehouse;
(5) The warehouse proprietor fails to furnish a current list of
names, addresses, and other information required by Sec. 19.3(d);
(6) The bond required by Sec. 19.2(c) or (d) of this chapter is
determined to be insufficient in amount or lacking sufficient sureties,
and a satisfactory new bond with goods and sufficient sureties is not
furnished within a reasonable time;
(7) Bonded merchandise has not been stored in the warehouse for a
period of 2 year; or
(8) The warehouse proprietor or an employee of the warehouse
proprietor discloses proprietary information in, or proprietary
information contained on, documents to be included in the permit file
folder to an unauthorized person.
(9) The proprietor of a Class 9 warehouse is or has been unable to
provide reasonable assurance that conditionally duty-free merchandise is
or was exported in compliance with the regulations of this part.
(f) Procedure for revocation or suspension for cause. The port
director may at any time serve notice in writing upon any proprietor of
a bonded warehouse to show cause why his right to continue the bonded
status of his warehouse should not be revoked or suspended for cause.
Such notice shall advise the proprietor of the grounds for the proposed
action and shall afford the proprietor an opportunity to respond in
writing within 30 days. Thereafter, the port director shall consider the
allegations and responses made by the proprietor unless the proprietor
in his response requests a hearing. If a hearing is requested, it shall
be held before a hearing officer designated by the Commissioner of
Customs or his designee within 30 days following the proprietor's
request. The proprietor may be represented by counsel at such hearing,
and all evidence and testimony of witnesses in such proceedings,
including substantiation of the allegations and the responses thereto
shall be presented, with the right of cross-examination to both parties.
A stenographic record of any such proceeding shall be made and a copy
thereof shall be delivered to the proprietor of the warehouse. At the
conclusion of the hearing, the hearing officer shall promptly transmit
all papers and the stenographic record of the hearing to the Assistant
Commissioner, Office of Field Operations or designee together with his
recommendation for final action. The proprietor may submit in writing
additional views or arguments to the Assistant Commissioner, Office of
Field Operations or designee following a hearing on the basis of the
stenographic record, within 10 days after delivery to him of a copy of
such record. The Assistant Commissioner, Office of Field Operations or
designee shall thereafter render his decision in writing, stating his
reasons therefor. Such decision shall be served on the proprietor of the
warehouse, and shall be considered the final administrative action.
(g) Review by the Court of International Trade. Any proprietor
adversely affected by a decision of the Assistant Commissioner, Office
of Field
[[Page 518]]
Operations or designee may appeal the decision in the Court of
International Trade.
[T.D. 82-204, 47 FR 49369, Nov. 1, 1982, as amended by T.D. 85-90, 50 FR
21431, May 24, 1985; T.D. 88-63, 53 FR 40219, Oct. 14, 1988; T.D. 92-81,
57 FR 37697, Aug. 20, 1992; T.D. 95-99, 60 FR 62733, Dec. 7, 1995; T.D.
99-27, 64 FR 13675, Mar. 22, 1999]
Sec. 19.4 CBP and proprietor responsibility and supervision over
warehouses.
(a) Customs supervision. The character and extent of Customs
supervision to be exercised in connection with any warehouse facility or
transaction provided for in this part shall be in accordance with
Sec. 101.2(c) of this chapter. Independent of any need to appraise or
classify merchandise, the port director may authorize a Customs officer
to supervise any transaction or procedure at the bonded warehouse
facility. Such supervision may be performed through periodic audits of
the warehouse proprietor's records, quantity counts of goods in
warehouse inventories, spot checks of selected warehouse transactions or
procedures or reviews of conditions of recordkeeping, storage, security,
or safety in a warehouse facility.
(b) Proprietor responsibility and supervision--(1) Supervision. The
proprietor shall supervise all transportation, receipts, deliveries,
sampling, recordkeeping, repacking, manipulation, destruction, physical
and procedural security, conditions of storage, and safety in the
warehouse as required by law and regulations. Supervision by the
proprietor shall be that which a prudent manager of a storage and
manipulation facility would be expected to exercise.
(2) Customs access. The warehouse proprietor shall permit access to
the warehouse and present merchandise within a reasonable time after
request by any Customs officer.
(3) Safekeeping of merchandise and records. The proprietor is
responsible for safekeeping of merchandise and records concerning
merchandise entered in Customs bonded warehouses. The proprietor or his
employees shall safeguard and shall not disclose proprietary information
contained in or on related documents to anyone other than the importer,
importer's transferee, or owner of the merchandise to whom the document
relates or their authorized agent.
(4) Records maintenance--(i) Maintenance. The proprietor shall:
(A) Maintain the inventory control and recordkeeping system in
accordance with the provisions of Sec. 19.12 of this part;
(B) Retain all records required in this part and defined in
Sec. 163.1(a) of this chapter, pertaining to bonded merchandise for 5
years after the date of the final withdrawal under the entry; and
(C) Protect proprietary information in its custody from unauthorized
disclosure.
(ii) Availability. Records shall be readily available for Customs
review at the warehouse. In addition, a proprietor may keep records at
another location for Customs review, but only if the proprietor first
receives written approval for such storage from the port director.
(5) Record retention in lieu of originals. A warehouse proprietor
may, in accordance with Sec. 163.5 of this chapter, utilize alternative
storage methods in lieu of maintaining records in their original
formats.
(6) Warehouse and merchandise security. The warehouse proprietor
shall maintain the warehouse facility in a safe and sanitary condition
and establish procedures adequate to ensure the security of all
merchandise under Customs custody stored in the facility. The warehouse
construction will be a factor that will be considered by the port
director in deciding whether to approve the application. The facility
shall be built in such a manner as to render it impossible for
unauthorized personnel to enter the premises without such violence as to
make the entry easy to detect. If a portion of the facility is to be
used for the storage of non-bonded merchandise, the port director shall
designate the means for effective separation of the bonded and non-
bonded merchandise, such as a wall, fence, or painted line. All inlets
and outlets to bonded tanks shall be secured with locks and/or in-bond
seals.
(7) Storage conditions. Merchandise in the bonded area shall be
stored in a safe and sanitary manner to minimize
[[Page 519]]
damage to the merchandise, avoid hazards to persons, and meet local,
state, and Federal requirements applicable to specific kinds of goods.
Doors and entrances shall be left unblocked for access by Customs
officers and warehouse proprietor personnel.
(8) Manner of storage. Packages shall be received in the warehouse
and recorded in the proprietor's inventory and accounting records
according to their marks and numbers. Packages containing weighable or
gaugeable merchandise not bearing shipping marks and numbers shall be
received under the weigher's or gauger's numbers. Packages with
exceptions due to damage or loss of contents, or not identical as to
quantity or quality of contents shall be stored separately until the
discrepancy is resolved with Customs. Merchandise received in the
warehouse shall be stored in a manner directly identifying the
merchandise with the entry, general order, or seizure number; using a
unique identifier for inventory categories composed of fungible
merchandise accounted for on a First-In-First-Out (FIFO) basis; or using
a unique identifier for inventory categories composed of fungible
merchandise accounted for using another approved alternative inventory
method.
(i) Direct identification. The warehouse proprietor shall mark all
shipments for identification, showing the general order or warehouse
entry number or seizure number and the date of the general order, entry,
or delivery ticket in the case of seizures. Containers covered by a
given warehouse entry, general order or seizure shall not be mixed with
goods covered by any other entry, general order or seizure. Merchandise
covered by a given warehouse entry, general order or seizure may be
stored in multiple locations within the warehouse if the proprietor's
inventory control system specifically identifies all locations where
merchandise for each entry, general order or seizure is stored and the
quantity in each location. The proprietor must provide, upon request by
a Customs officer, a record balance of goods, specifying the quantity in
each storage location, covered by any warehouse entry, general order, or
seizure so a physical count can be made to verify the accuracy of the
record balance.
(ii) FIFO. A proprietor may account for fungible merchandise on a
First-In-First-Out (FIFO) basis instead of specific identification by
warehouse entry number, provided the merchandise meets the criteria for
fungibility and the recordkeeping requirements contained in Sec. 19.12
of this part are met. As of the beginning date of FIFO procedures, each
kind of fungible merchandise in the warehouse under FIFO shall
constitute a separate inventory category. Each inventory category shall
be assigned a unique number or other identifier by the proprietor to
distinguish it from all other inventory categories under FIFO. All of
the merchandise in a given inventory category shall be physically placed
so as to be segregated from merchandise under other inventory categories
or merchandise accounted for under other inventory methods. The unique
identifier shall be marked on the merchandise, its container, or the
location where it is stored so as to clearly show the inventory category
of each article under FIFO procedures. Merchandise covered by a given
unique identifier may be stored in multiple locations within the
warehouse if the proprietor's inventory control system specifically
identifies all locations where merchandise for a specific unique
identifier is stored and the quantity in each location. The proprietor
must provide, upon request by a Customs officer, a record balance of
goods, specifying the quantity in each storage location, covered by any
warehouse entry, general order, seizure, or unique identifier so a
physical count can be made to verify the accuracy of the record balance.
(iii) Other alternative inventory methods. Other alternative
inventory systems may be used, if CBP approval is obtained. Importers or
proprietors who wish to use an alternative inventory method other than
FIFO must apply to CBP Headquarters, Regulations and Rulings, Office of
International Trade, for approval.
(9) Miscellaneous responsibilities. The proprietor is responsible
for complying with requirements for transport to his warehouse, deposit,
manipulation, manufacture, destruction, shortage or
[[Page 520]]
overage, inventory control and recordkeeping systems, and other
requirements as specified in this part.
[T.D. 97-19, 62 FR 15834, Apr. 3, 1997, as amended by T.D. 98-22, 63 FR
11825, Mar. 11, 1998; T.D. 98-56, 63 FR 32944, June 16, 1998]
Sec. 19.5 [Reserved]
Sec. 19.6 Deposits, withdrawals, blanket permits to withdraw and
sealing requirements.
(a)(1) Deposit in warehouse. The port director may authorize the
deposit of merchandise in designated bonded warehouses, without physical
supervision by a CBP officer. Goods for which a warehouse or rewarehouse
entry has been accepted, according to the procedures in part 144,
subpart B, of this chapter, will be examined or inspected at the place
of unlading, bonded warehouse, or other location as ordered by the port
director. When merchandise is deposited in a proprietor's warehouse or
is accepted and receipted for by a proprietor or his agent for transport
to the proprietor's warehouse, the proprietor will be responsible for
the quantity and condition of merchandise reflected on entry
documentation adjusted by (i) any allowance made under part 158,
subparts A and B, of this chapter by the port director, and (ii) any
discrepancy report made jointly on the appropriate cartage documents as
set forth in Sec. 125.31 of this chapter by the warehouse proprietor and
the bonded carrier or licensed cartman or lighterman delivering the
goods to the warehouse, or an independent weigher, gauger, measurer, and
signed by an authorized representative of the above within 15 calendar
days after deposit. A copy of any joint report of discrepancy must be
made within five business days of agreement and provided to the port
director on the appropriate cartage documents as set forth in
Sec. 125.31 of this chapter. If the proprietor of the bonded warehouse
transports the goods to the warehouse, no discrepancy report will be
necessary.
(2) Allowance after deposit. After merchandise has been deposited in
the warehouse the proprietor's liability may be further modified by any
adjustment for duties allowed by the port director for concealed
shortages (i.e., Sec. 158.5(a)), casualty loss (i.e., part 158, subpart
C), destruction (i.e., Sec. 158.43), or manipulation (i.e, Sec. 19.11,
19 U.S.C. 1562).
(b)(1) Withdrawal and removal from warehouse. The port director may
authorize the withdrawal and removal of merchandise, without physical
supervision or examination by a CBP officer under permit issued under
the procedure set forth in Sec. 144.39 of this chapter. When a
withdrawal or removal is not physically supervised by a CBP officer, the
warehouse proprietor will be relieved of responsibility only for the
merchandise in its warehouse in the condition and quantity as shown on
the application for withdrawal or removal. In the case of merchandise to
be carted or transported in bond from the warehouse, the proprietor will
be relieved of responsibility only if it receives the signed receipt on
the withdrawal or removal document of the carrier named in the document.
The proprietor's responsibility may be adjusted by any discrepancy
report made jointly by the warehouse proprietor, and the licensed
cartman or lighterman, bonded carrier, weigher, gauger, or measurer and
signed by the authorized representative of the above within 15 calendar
days after removal from the warehouse. The adjustments must be noted on
the permit copy of the withdrawal or removal document. A copy of any
joint report of discrepancy must be promptly provided to the port
director.
(2) Retention in warehouse after withdrawal. Merchandise for which a
permit for withdrawal has been issued, whether duty-paid or not, need
not be physically removed from the warehouse. However, such merchandise
must be segregated or physically marked to maintain its identity as
merchandise for which a withdrawal permit has been issued. Duty-paid or
unconditionally duty-free merchandise which has been withdrawn, but not
removed, from a warehouse is no longer deemed to be in CBP custody. All
other goods which have been withdrawn, but not removed, remain in CBP
custody until the end of the warehouse entry bond period (see Sec. 144.5
of this chapter).
[[Page 521]]
(c) CBP determination of liability. When a CBP officer physically
supervises the deposit or removal of merchandise under paragraphs (a)(1)
or (b)(1) of this section, the CBP officer's report of merchandise
received or removed will be determinative of the quantity and condition
of merchandise received or removed from the warehouse for CBP purposes.
(d) Blanket permits to withdraw--(1) General. (i) Blanket permits
may be used to withdraw merchandise from bonded warehouses for:
(A) Delivery to individuals departing directly from the customs
territory for exportation under the sales ticket procedure of
Sec. 144.37(h) of this chapter (Class 9 warehouses only);
(B) Aircraft or vessel supplies under Sec. 309 or 317, Tariff Act of
1930, as amended (19 U.S.C. 1309, 1317); or
(C) The personal or official use of personnel of foreign governments
and international organizations set forth in subpart I, part 148 of this
chapter; or
(D) A combination of the foregoing.
(ii) Except as provided in paragraph (d)(1)(iii) of this section,
blanket permits to withdraw may be used only for delivery at the port
where withdrawn and not for transportation in bond to another port.
Blanket permits to withdraw may not be used for delivery to a location
for retention or splitting of shipments under the provisions of
Sec. 18.24 of this chapter. A withdrawer who desires a blanket permit
must state on the warehouse entry, or on the warehouse entry/entry
summary when used as an entry, that ``Some or all of the merchandise
will be withdrawn under blanket permit per Sec. 19.6(d), CBP
Regulations.'' CBP's acceptance of the entry will constitute approval of
the blanket permit. A copy of the entry will be delivered to the
proprietor, whereupon merchandise may be withdrawn under the terms of
the blanket permit. The permit may be revoked by the port director in
favor of individual applications and permits if the permit is found to
be used for other purposes, or if necessary to protect the revenue or
properly enforce any law or regulation CBP is charged with
administering. Merchandise covered by an entry for which a blanket
permit was issued may be withdrawn for purposes other than those
specified in this paragraph if a withdrawal is properly filed as
required in subpart D, part 144, of this chapter.
(iii) Blanket permits to withdraw may be used for a withdrawal for
transportation to another port by a duty-free sales enterprise which
meets the requirements for exemption as stated in Sec. 144.34(c) of this
chapter. In addition, blanket permits to withdraw may be used for a
withdrawal from a Class 9 warehouse for transportation in bond to
another port of duty-free merchandise intended for passengers' on-board
purchases when expressly authorized in writing by the appropriate
Director, Field Operations, provided that both the Class 9 warehouse and
port of destination are under that Director's authority and the vessel
is destined for a foreign destination.
(2) Withdrawals under blanket permit. Withdrawals may be made under
blanket permit without any further CBP approval, and must be documented
by placing a copy of the withdrawal document in the proprietor's permit
file folder. Each withdrawal must be filed on CBP Form 7501 and must be
consecutively numbered, prefixed with the letter``B''. The withdrawal
must specify the quantity and value of each type of merchandise to be
withdrawn. Each copy must bear the summary statement described in
Sec. 144.32(a) of this chapter, reflecting the balance of merchandise
covered by the warehouse entry. Any joint discrepancy report of the
proprietor and the bonded carrier, licensed cartman or lighterman, or
weigher, gauger, or measurer for a supplementary withdrawal must be made
on the copy and reported to the port director as provided in paragraph
(b)(1) of this section. A copy of the withdrawal must be retained in the
records of the proprietor as provided in Sec. 19.12(d)(4) of this part.
Merchandise must not be removed from the warehouse prior to the
preparation of the supplementary withdrawal. If merchandise is so
removed, the proprietor will be subject to liquidated damages as if it
were removed without a CBP permit.
(3) Withdrawals under blanket permit from duty-free stores.
Withdrawals under blanket permit from duty-free stores
[[Page 522]]
must be made on the sales ticket described in Sec. 144.37(h) of this
chapter. The sales ticket need not contain the summary statement
described in Sec. 144.32(a) of this chapter, since the information
required is included in the sales ticket register. The sales ticket must
be serially numbered as provided in Sec. 144.37(h)(2) of this chapter.
(4) Withdrawals under blanket permit for aircraft or vessel
supplies. Multiple withdrawals under a blanket permit for aircraft or
vessel supplies, if consigned to the same daily aircraft flight number
or vessel sailing, may be filed on one CBP Form 7512; however, an
attachment form, developed by the warehouse proprietor and approved by
the port director may be used for all withdrawals. This attachment form
must provide a sufficient summary of the goods being withdrawn, and must
include the warehouse entry number, the quantity and weight being
withdrawn, the Harmonized Tariff Schedule of the United States
number(s), the value of the goods, import and export lading information,
the duty rate and amount, and any applicable Internal Revenue tax
calculation, for each warehouse entry being withdrawn. A copy of CBP
Form 7512 and the summary attachment must be attached to each permit
file folder unless the warehouse proprietor qualifies for the permit
file folder exemption under Sec. 19.12(d)(4)(iii) of this part.
(5) Blanket permit summary. When all of the merchandise covered by
an entry on which a blanket permit to withdraw was issued has been
withdrawn, including withdrawals made for purposes other than duty-free
store delivery, vessel or aircraft supply, or diplomatic use, the
proprietor must prepare a report on a copy of CBP Form 7501, or a form
on the letterhead of the proprietor, which provides an account of the
disposition of the merchandise covered by the blanket permit. The form
must bear the words ``BLANKET PERMIT SUMMARY'' in capital letters
conspicuously printed or stamped in the top margin. On the form, the
proprietor must certify that the merchandise listed thereunder was
withdrawn in compliance with Sec. 19.6(d), and must account for all of
the merchandise withdrawn under blanket permit by HTSUS (Harmonized
Tariff Schedule of the United States) number, HTSUS quantity (where
applicable) and value. If applicable, the account must separately list
and identify merchandise withdrawn for
(i) Duty-free store exportation,
(ii) Vessel or aircraft supply use, and
(iii) Personal or official use of persons and organizations set
forth in subpart I, part 148, of this chapter. If all of the merchandise
was withdrawn under the sales ticket procedure of Sec. 144.37(h) of this
chapter, the sales ticket register may be substituted for the blanket
permit summary. The form will be placed in the permit file folder and
treated as provided in Sec. 19.12(a) of this part.
(e) Affixing or breaking of seals. The port director may authorize a
warehouse proprietor to: (1) Break CBP in bond seals affixed under
Sec. 18.4 of this chapter, or under any CBP order or directive, on any
vehicle or container of goods entered for warehouse upon arrival of the
vehicle or container at the warehouse: or (2) affix CBP in bond seals to
any vehicle or container of goods for which a withdrawal document has
been approved for movement in bond. The affixing or breaking of seals so
authorized, will be deemed to have been done under CBP supervision. The
proprietor must report to the port director any seal found, upon arrival
of the vehicle or container at the warehouse, to be broken, missing, or
improperly affixed, and hold the vehicle or container and its contents
intact pending instructions from the port director.
[T.D. 82-204, 47 FR 49370, Nov. 1, 1982, as amended by T.D. 84-149, 49
FR 28698, July 16, 1984; T.D. 92-81, 57 FR 37697, Aug. 20, 1992; T.D.
94-81, 59 FR 51494, Oct. 12, 1994; T.D. 95-81, 60 FR 52295, Oct. 6,
1995; T.D. 97-19, 62 FR 15836, Apr. 3, 1997; CBP Dec. 09-48, 74 FR
68684, Dec. 29, 2009]
Sec. 19.7 Expenses of labor and storage.
(a) All merchandise deposited in public stores or in bonded
warehouses shall be held liable for the expenses of labor and storage
chargeable thereon at the customary rates and for all other expenses
accruing upon the goods.
[[Page 523]]
(b) The rates of storage and labor shall be agreed upon between the
importer and the warehouse proprietor, but in case of disagreement the
port director may, with the consent of all parties in interest,
determine the rates to be charged.
(c) Except in cases provided for by Sec. 141.102(d) of this chapter,
when merchandise is stored in a public store under a warehouse entry,
general order, or otherwise, the charges for storage due the Government
shall be paid before the packages are delivered. The charges shall be
based upon the existing bonded warehouse tariff of the port for storage
and labor.
[28 FR 14763, Dec. 31, 1963, as amended by T.D. 73-175, 38 FR 17446,
July 2, 1973]
Sec. 19.8 Examination of goods by importer; sampling; repacking;
examination of merchandise by prospective purchasers.
Importers may, upon application approved by the port director on
Customs Form 3499 examine, sample, and repack \12\ or transfer
merchandise in bonded warehouse. Where there will be no interference
with the orderly conduct of Customs business and no danger to the
revenue prospective purchaser may be permitted to examine merchandise in
bonded warehouses upon the written request of the owner, importer,
consignee, or transferee.
---------------------------------------------------------------------------
\12\ Repacking shall be considered a manipulation within the purview
of sec. 562, Tariff Act of 1930, as amended.
[28 FR 14763, Dec. 31, 1963, as amended by T.D. 82-204, 47 FR 49371,
Nov. 1, 1982]
Sec. 19.9 General order, abandoned, and seized merchandise.
(a) Acceptance of merchandise. The arriving carrier (or other party
to whom custody of the merchandise was transferred by the carrier under
a Customs-authorized permit to transfer or in-bond entry) is responsible
for preparing a Customs Form (CF) 6043 (Delivery Ticket), or other
similar Customs document as designated by the port director or an
electronic equivalent as authorized by Customs, to cover the
proprietor's receipt of the merchandise and its transport to the
warehouse from the custody of the arriving carrier (or other party to
whom custody of the merchandise was transferred by the carrier under a
Customs-authorized permit to transfer or in-bond entry). A joint
determination will be made by the warehouse proprietor and the bonded
carrier of the quantity and condition of the goods or articles so
delivered to the warehouse. Within two working days of the joint
determination, the warehouse proprietor will report to the port director
any discrepancy between the quantity and condition of the goods and that
reported on CF 6043, or other similar Customs document as designated by
the port director or an electronic equivalent as authorized by Customs.
(b) Recording and storing. General order, abandoned, and seized
goods and articles shall be recorded and stored in the warehouse as
prescribed by Sec. 19.12.
(c) Release of merchandise. Merchandise in general order may be
released by the warehouse proprietor, after Customs inspection or
examination as ordered by the port director, to the person named in a
release order under Sec. 141.11 of this chapter. The release may only be
made by the proprietor upon presentation of a permit to release or
delivery authorization signed by the appropriate Customs officer on
Customs Form 3461, 7501, 368 or 368A or other Customs form as designated
by the port director. General order goods which have been unclaimed
under Sec. 127.11 of this chapter, voluntarily abandoned, or seized and
forfeited may be released for transfer to the place of sale upon
presentation to the warehouse proprietor of an approved copy of Customs
Form 5251 (Order to Transfer Merchandise for Public Auction (Sale)), and
an approved copy of Customs Form 6043 (Delivery Ticket). The quantity
and condition of the goods so transferred shall be determined jointly by
the proprietor and the cartman or lighterman picking up the goods for
delivery to the place of sale. Any discrepancies shall be noted on the
delivery ticket, a copy of which shall be sent to the port director
within two business days of agreement. Seized goods that are released
for a purpose other than sale may be released from warehouse
[[Page 524]]
only upon such written terms and conditions as directed by the port
director.
[T.D. 82-204, 47 FR 49371, Nov. 1, 1982, as amended by T.D. 92-56, 57 FR
24944, June 12, 1992; T.D. 02-65, 67 FR 68032, Nov. 8, 2002]
Sec. 19.10 Examination packages.
Merchandise sent from a bonded warehouse to the appraiser's stores
for examination shall be returned by the port director to the warehouse
for delivery unless the warehouse proprietor endorses the duty-paid
permit to authorize delivery to another person.
[T.D. 82-204, 47 FR 49371, Nov. 1, 1982]
Manipulation in Bonded Warehouses and Elsewhere
Sec. 19.11 Manipulation in bonded warehouses and elsewhere.
(a) So far as applicable, the general provisions of the regulations
governing warehouses bonded for the storage of imported merchandise
shall apply to bonded manipulation warehouses and to other designated
places of manipulation.
(b) Merchandise to be manipulated under section 562, Tariff Act of
1930, as amended, may be entered on Customs Form 7501 and sent directly
to a storage-manipulation warehouse.
(c) Warehouse proprietors shall not allow manipulation of any
merchandise without a prior permit issued by the port director, except
as provided in paragraph (h) of this section. Merchandise entered for
warehouse may be transferred to a storage-manipulation warehouse; or
merchandise entered for storage-manipulation warehouse may be
transferred after manipulation to the storage portion of the same
warehouse, to another storage warehouse, or to a manufacturing warehouse
of class 6.
(d) The application to manipulate, which shall be filed on Customs
Form 3499 with the port director having jurisdiction of the warehouse or
other designated place of manipulation, shall describe the contemplated
manipulation in sufficient detail to enable the port director to
determine whether the imported merchandise is to be cleaned, sorted,
repacked, or otherwise changed in condition, but not manufactured,
within the meaning of section 562, Tariff Act of 1930, as amended. If
the port director is satisfied that the merchandise is to be so
manipulated, he may issue a permit on Customs Form 3499, making any
necessary modification in such form. The port director may approve a
blanket application to manipulate on Customs Form 3499, for a period of
up to one year, for a continuous or a repetitive manipulation. The
warehouse proprietor must maintain a running record of manipulations
performed under a blanket application, indicating the quantities before
and after each manipulation. The record must show what took place at
each manipulation describing marks and numbers of packages, location
within the facility, quantities, and description of goods before and
after manipulation. The port director is authorized to revoke a blanket
approval to manipulate and require the proprietor to file individual
applications if necessary to protect the revenue, administer any law or
regulation, or both. Manipulation resulting in a change in condition of
the merchandise, which will make it subject to a lower rate of duty or
free of duty upon withdrawal for consumption, is not precluded by the
provisions of such section 562.
(e) No merchandise shall be manipulated elsewhere than in a bonded
warehouse unless the merchandise has been regularly entered for
consumption or warehouse and is of a class entitled to the warehousing
privilege under section 557, Tariff Act of 1930, as amended.
(f) Upon compliance with the provisions of paragraph (d) of this
section, manipulated merchandise may be further manipulated before
withdrawal in cases where the port director is satisfied that this will
not endanger the revenue or interfere with the efficient conduct of
Customs business. The merchandise remaining in the warehouse shall be
properly repacked after each manipulation.
(g) Except as provided in Sec. 144.38 of this chapter, manipulated
merchandise may be withdrawn under any form of withdrawal, but no
withdrawal shall be accepted for less than an entire repacked package.
Each type of withdrawal filed shall contain a summary statement
indicating the quantity in
[[Page 525]]
the warehouse account after manipulation and immediately before the
withdrawal, the quantity withdrawn on the particular withdrawal, and the
quantity remaining in the warehouse after the withdrawal. When
merchandise covered by a consumption entry is manipulated elsewhere than
in a bonded warehouse and thereafter withdrawn for consumption, the
withdrawal shall be on Customs Form 7501 and shall be liquidated in
accordance with Sec. 159.9 of this chapter.
(h) Merchandise which has been entered for warehouse and placed in a
Class 9 warehouse (duty-free store) may be unpacked into its smallest
irreducible unit for sale without a prior permit issued by the port
director. The port director may issue a blanket permit to a duty-free
store for up to one year permitting the destruction of merchandise
covered by any entry and found to be nonsaleable, if the merchandise to
be destroyed is valued at less than 5 percent of the value of the
merchandise at time of entry or $1,250, whichever is less, in its
undamaged condition. Such permit may be revoked in favor of a permit for
each entry and/or destruction whenever necessary to assure proper
destruction and protection of the revenue. The proprietor shall maintain
a record of unpacking merchandise into saleable units and destruction of
nonsaleable merchandise in its inventory and accounting records.
[28 FR 14763, Dec. 31, 1963, as amended by T.D. 82-204, 47 FR 49371,
Nov. 1, 1982; T.D. 84-129, 49 FR 23166, June 5, 1984; T.D. 84-171, 49 FR
31253, Aug. 3, 1984; T.D. 84-213, 49 FR 41169, Oct. 19, 1984; T.D. 85-
38, 50 FR 8723, Mar. 5, 1985; T.D. 89-1, 53 FR 51254, Dec. 21, 1988;
T.D. 92-81, 57 FR 37698, Aug. 20, 1992; T.D. 95-81, 60 FR 52295, Oct. 6,
1995; T.D. 97-19, 62 FR 15836, Apr. 3, 1997]
Accounts
Sec. 19.12 Inventory control and recordkeeping system.
(a) Systems capability. The proprietor of a class 11 general order
warehouse as described in Sec. 19.1 must have an automated inventory
control and recordkeeping system. Proprietors of existing class 3, 4, or
5 warehouses as described in Sec. 19.1 certified before December 9,
2002, to receive general order merchandise must have automated inventory
control and recordkeeping systems in place with respect to general order
merchandise after a period of 2 years from December 9, 2002. All other
warehouse proprietors have a choice of maintaining manual or automated
inventory control and recordkeeping systems or a combination of manual
and automated systems. All inventory control and recordkeeping systems
must be capable of:
(1) Accounting for all merchandise transported, deposited, stored,
manipulated, manufactured, smelted, refined, destroyed in or removed
from the bonded warehouse and all merchandise collected by a proprietor
or his agent for transport to his warehouse. The records must provide an
audit trail from deposit through manipulation, manufacture, destruction,
and withdrawal from the bonded warehouse either by specific
identification or other CBP authorized inventory method. The records to
be maintained are those which a prudent businessman in the same type of
business can be expected to maintain. The records are to be kept in
sufficient detail to permit effective and efficient determination by CBP
of the proprietor's compliance with these regulations and correctness of
his annual submission or reconciliation;
(2) Producing accurate and timely reports and documents as required
by this part; and
(3) Identifying shortages and overages of merchandise in sufficient
detail to determine the quantity, description, tariff classification and
value of the missing or excess merchandise so that appropriate reports
can be filed with CBP on a timely basis.
(b) Procedures manual. (1) The proprietor must have available at the
warehouse an English language copy of its written inventory control and
recordkeeping systems procedures manual in accordance with the
requirements of this part.
(2) The proprietor must keep current its procedures manual and must
submit to the port director a new certification at the time any change
in the system is implemented.
(c) Entry of merchandise into a warehouse--(1) Identification. All
merchandise collected by a proprietor or his
[[Page 526]]
agent for transport to his warehouse shall be receipted. In addition,
all merchandise entered in a warehouse will be recorded in a receiving
report or document using a customs entry number or unique identifier if
an alternate inventory control method has been approved. All merchandise
will be traceable to a customs entry and supporting documentation.
(2) Quantity verification. Quantities received will be reconciled to
a receiving report or document such as an invoice with any discrepancy
reported to the port director as provided in Sec. 19.6(a).
(3) Recordation. Merchandise received will be accurately recorded in
the accounting and inventory system records from the receiving report or
document using the customs entry number or unique identifier if an
alternative inventory control method has been approved.
(d) Accountability for merchandise in a warehouse--(1)
Identification of merchandise. The customs entry number or unique
identifier, as applicable under Sec. 19.4(b)(8), will be used to
identify and trace merchandise.
(2) Inventory records. The inventory records will specify by customs
entry number or unique identifier if an alternative inventory control
method is approved:
(i) The location of the merchandise within the warehouse;
(ii) Except for merchandise in general order, the cost or value of
the merchandise, unless the proprietor's financial records maintain cost
or value and the records are made available for CBP review; and
(iii) The beginning balance, cumulative receipts and withdrawals,
adjustments, destructions, and current balance on hand by date and
quantity.
(3) Theft, shortage, overage or damage--(i) General. Except as
otherwise provided in paragraph (d)(3)(ii) of this section, any theft or
suspected theft or overage or any extraordinary shortage or damage
(equal to one percent or more of the value of the merchandise in an
entry or covered by a unique identifier; or if the missing merchandise
is subject to duties and taxes in excess of $100) must be immediately
brought to the attention of the port director, and confirmed in writing
within five business days after the shortage, overage, or damage has
been brought to the attention of the port director. An entry for
warehouse must be filed for all overages by the person with the right to
make entry within five business days of the date of discovery. The
responsible party must pay the applicable duties, taxes and interest on
thefts and shortages reported to CBP within 20 calendar days following
the end of the calendar month in which the shortage is discovered. The
port director may allow the consolidation of duties and taxes applicable
to multiple shortages into one payment; however, the amount applicable
to each warehouse entry is to be listed on the submission and must
specify the applicable duty, tax and interest. These same requirements
apply when cumulative thefts, shortages or overages under a specific
entry or unique identifier total one percent or more of the value of the
merchandise or if the duties and taxes owed exceed $100. Upon
identification, the proprietor must record all shortages and overages in
its inventory control and recordkeeping system, whether or not they are
required to be reported to the port director at the time. The proprietor
must also record all shortages and overages as required in the CBP Form
300 or annual reconciliation report under paragraphs (g) or (h) of this
section, as appropriate. Duties and taxes applicable to any non-
extraordinary shortage or damage and not required to be paid earlier
must be reported and submitted to the port director no later than the
date the certification of preparation of CBP Form 300 is due or at the
time the certification of preparation of the annual reconciliation
report is due, as prescribed in paragraphs (g) or (h) of this section.
(ii) Class 9 warehouses. With respect to Class 9 warehouses, any
theft or suspected theft or overage or any extraordinary shortage or
damage (equal to one percent or more of the merchandise in an entry or
covered by a unique identifier; or if the missing merchandise is subject
to duties and taxes in excess of $100) must be immediately brought to
the attention of the port director, and confirmed in writing within 20
calendar days after the shortage,
[[Page 527]]
overage, or damage has been brought to the attention of the port
director. An entry for warehouse must be filed for all overages by the
person with the right to make entry within 20 calendar days of the date
of discovery. The responsible party must pay the applicable duties,
taxes and interest on thefts and shortages reported to CBP within 20
calendar days following the end of the calendar month in which the
shortage is discovered. The port director may allow the consolidation of
duties and taxes applicable to multiple shortages into one payment;
however, the amount applicable to each warehouse entry is to be listed
on the submission and must specify the applicable duty, tax and
interest. These same requirements apply when cumulative thefts,
shortages or overages under a specific entry or unique identifier total
one percent or more of the value of the merchandise or if the duties and
taxes owed exceed $100. Upon identification, the proprietor must record
all shortages and overages in its inventory control and recordkeeping
system, whether or not they are required to be reported to the port
director at the time. The proprietor must also record all shortages and
overages as required in the CBP Form 300 or annual reconciliation report
under paragraphs (g) or (h) of this section, as appropriate. Duties and
taxes applicable to any non-extraordinary shortage or damage and not
required to be paid earlier must be reported and submitted to the port
director no later than the date the certification of preparation of CBP
Form 300 is due or at the time the certification of preparation of the
annual reconciliation report is due, as prescribed in paragraphs (g) or
(h) of this section. Discrepancies found in a Class 9 warehouse with
integrated locations as set forth in Sec. 19.35(c) will be the net
discrepancies for a unique identifier (see Sec. 19.4(b)(8)(ii) of this
part) such that overages within one sales location will be offset
against shortages in another location that is within the integrated
location. A Class 9 proprietor who transfers merchandise between
facilities in different ports without being required to file a
rewarehouse entry in accordance with Sec. 144.34 of this chapter may
offset overages and shortages within the same unique identifier for
merchandise located in stores in different ports (see
Sec. 19.4(b)(8)(ii) of this part).
(4) Permit file folders--(i) Maintenance. Permit file folders must
be maintained and kept up to date by filing all receipts, damage or
shortage reports, manipulation requests, withdrawals, removals and
blanket permit summaries within five business days after the event
occurs. The permit file folders must be kept in a secure area and must
be made available for inspection by CBP at all reasonable hours.
(ii) Review. When the final withdrawal of merchandise relating to a
specific warehouse entry, general order or seizure occurs, the warehouse
proprietor must: review the permit file folder to ensure that all
necessary documentation is in the file folder accounting for the
merchandise covered by the entry; notify CBP of any merchandise covered
by the warehouse entry, general order or seizure which has not been
withdrawn or removed; and file the permit file folder with CBP within 30
calendar days after final withdrawal, except as allowed by paragraph
(d)(4)(iv) of this section. The permit file folder for merchandise not
withdrawn during the general order period must be submitted to the port
director upon receipt from CBP of the CBP Form 6043.
(iii) Exemption to maintenance requirement. Maintenance of permit
file folders will not be required, if the proprietor has an automated
system capable of: satisfactorily summarizing all actions by CBP
warehouse entry; providing upon demand by CBP an entry activity summary
report which lists all individual receipts, withdrawals, destructions,
manipulations and adjustments by warehouse entry and is cross-referenced
to the source documents for each transaction; and maintaining source
documents so that the documents can be readily retrieved upon request.
Failure to provide the entry activity summary report or documentation
supporting the entry activity summary report upon demand by the port
director or the field director of regulatory audit could result in
reinstatement by the port director of the requirement to maintain the
permit file
[[Page 528]]
folder for all warehouse entries. When final withdrawal is made, the
proprietor must submit the entry activity summary report to CBP. Prior
to submission, the proprietor must ensure the accuracy of the summary
report and assure that all supporting documentation is on file and
available for review if requested by CBP.
(iv) Exemption to submission requirement. At the discretion of the
port director, a proprietor may be allowed to furnish formal
notification of final withdrawal in lieu of the requirement to submit
the permit file folder or entry activity summary within 30 calendar days
of each final withdrawal. If approved to use this procedure the
proprietor could be required by the port director to submit permit file
folders or entry activity summaries on a selective basis. Failure to
promptly provide the permit file folder or entry activity summary upon
request by the port director or the field director of regulatory audit
could result in withdrawal of this privilege.
(5) Physical inventory. The proprietor must take at least an annual
physical inventory of all merchandise in the warehouse, or periodic
cycle counts of selected categories of merchandise such that each
category is counted at least once during the year, with prior
notification of the date(s) given to CBP so that CBP personnel may
observe or participate in the inventory if deemed necessary. If the
proprietor of a Class 2 or Class 9 warehouse has merchandise covered by
one warehouse entry, but stored in multiple warehouse facilities as
provided for under Sec. 144.34 of this chapter, the facility where the
original entry was filed must reconcile the on-hand balances at all
locations with the record balance for those entries with merchandise in
multiple locations. The proprietor must notify the port director of any
discrepancies, record appropriate adjustments in the inventory control
and recordkeeping system, and make required payments and entries to CBP,
in accordance with paragraph (d)(3) of this section.
(e) Withdrawal of merchandise from a warehouse. All bonded
merchandise withdrawn from a warehouse will be accurately recorded
within the inventory control and recordkeeping system. The inventory
control and recordkeeping system must have the capability to trace all
withdrawals back to a customs entry and to ultimate disposition of the
merchandise by the proprietor.
(f) Special provisions for use of FIFO inventory procedures--(1)
Notification. A proprietor who wishes to use FIFO procedures for all or
part of the merchandise in a bonded warehouse must provide the port
director a written certification that: The proprietor has read and
understands CBP FIFO procedures set forth in this section; the
proprietor's procedures are in accordance with CBP FIFO procedures, and
the proprietor agrees to abide by those procedures; and the proprietor
of a public warehouse will obtain the written consent of any importer
using the warehouse before applying FIFO procedures to their
merchandise.
(2) Qualifying merchandise. FIFO inventory procedures may be used
only for fungible merchandise. For purposes of this section, ``fungible
merchandise'' means merchandise which is identical and interchangeable
for all commercial purposes. While commercial interchangeability is
usually decided between buyer and seller or between proprietor and
importer, CBP is the final arbiter of fungibility in bonded warehouses.
The criteria for determining whether merchandise is fungible include,
but are not limited to, Governmental and recognized industrial
standards, part numbers, tariff classification, value, brand name, unit
of quantity (such as barrels, gallons, pounds, pieces), model number,
style and same kind and quality. Fungible textile and textile products
which are withdrawn from a Class 9 warehouse may be accounted for using
FIFO inventory procedures, inasmuch as such articles would be exempt
from textile quotas.
(3) Merchandise specifically excluded. FIFO procedures cannot be
applied to the following merchandise, as well as any other merchandise
which does not comply with the requirements of paragraph (f)(2) of this
section:
(i) Merchandise subject to quota, visa or export restrictions
chargeable to different countries of origin;
[[Page 529]]
(ii) Textile and textile products of different quota categories;
(iii) Merchandise with different tariff classifications or rates of
duty, except where the difference is within the merchandise itself (such
as kits, merchandise in unusual containers) or where the tariff
classification or dutiability is determined only by conditions upon
withdrawal (for example, withdrawal for vessel supplies, bonded wool
transactions);
(iv) Merchandise with different legal requirements for marking,
labeling or stamping;
(v) Merchandise with different trademarks;
(vi) Merchandise of different grades or qualities;
(vii) Merchandise with different importers of record;
(viii) Damaged or deteriorated merchandise;
(ix) Restricted merchandise; or
(x) General order, abandoned or seized merchandise.
(4) Maintenance of FIFO. FIFO procedures used for merchandise in any
inventory category, must be used consistently throughout the warehouse
storage and recordkeeping practices and procedures for the merchandise.
For example, merchandise may not be added to inventory by FIFO but
withdrawn by bypassing certain inventory layers to reach a specific
warehouse entry other than the oldest one. However, this does not
preclude the use of specific identification for some merchandise in a
warehouse entry and FIFO for other merchandise, so long as they are
segregated in physical storage and clearly distinguished in the
inventory and accounting records.
(5) FIFO recordkeeping. In the inventory and accounting records, the
proprietor must establish an inventory layer for each warehouse entry
represented in each inventory category. The layers must be established
in the order of time of acceptance of the entry or by the date of
importation of merchandise covered by each applicable warehouse entry.
There must be no mixing of layering both by time of acceptance and date
of importation in the same warehouse. Records for each layer must, as a
minimum, show the warehouse entry number, date of acceptance, date of
importation, quantity and unit of quantity. They must also show for each
entry the type of warehouse withdrawal number or other specific removal
event charged against the entry, by date and quantity. Each addition to
or deduction from the inventory category must be posted in the
appropriate inventory category within 2 business days after the event
occurs. All FIFO records and documentation must consistently use the
same unit of quantity within each inventory category.
(6) Entry requirements. Warehouse entries covering any merchandise
to be accounted for under FIFO must be prominently marked ``FIFO'' on
the face of the entry document. The entry document or an attachment
thereto must show the unique identifier of each inventory category to be
accounted for under FIFO, the quantity in each inventory category and
the unit of quantity.
(7) Receipts. Any shortages, overages, or damage found upon receipt
must be attributed to the entry under which the merchandise was
received. FIFO procedures will not take effect until the merchandise is
physically placed in the storage location for the inventory category
represented in the entry.
(8) Manipulation. When manipulation results in a product with a
different unique identifier, the inventory and accounting records must
show the quantities of merchandise in each inventory category appearing
in the product covered by the new unique identifier. The withdrawal must
show the unique identifiers of both the materials used in the
manipulation and the product as manipulated. The quantities of the
original unique identifiers will be deducted from their respective
warehouse entries on a FIFO basis when the resultant product is
withdrawn.
(9) Discontinuance of FIFO. A proprietor may voluntarily discontinue
the use of FIFO procedures for all or part of the merchandise currently
under FIFO by providing written notification to the port director. The
notification must clearly describe the merchandise, by commercial names
and unique identifiers, to be removed from FIFO. Following notification,
the merchandise
[[Page 530]]
must be segregated in both the recordkeeping system and the physical
location by warehouse entry number and the quantities so removed must be
deducted from the appropriate FIFO inventory category balances.
Merchandise so removed must be maintained under the specific
identification inventory method. FIFO procedures which were voluntarily
discontinued may be reinstated, but not for merchandise covered by any
warehouse entry for which FIFO was discontinued.
(g) Warehouse proprietor submission. Except as otherwise provided in
paragraph (h) of this section or Sec. 19.19(b) of this part, the
warehouse proprietor must prepare a Warehouse Proprietor's Submission on
CBP Form 300 within 45 calendar days from the end of the business year
and maintain the Submission on file for 5 years from the end of the
business year covered by the Submission. The proprietor must submit to
the port director, within 10 business days after preparation of the CBP
Form 300, a letter signed by the proprietor certifying that the CBP Form
300 has been prepared, is available for CBP review, and is accurate. If
the proprietor of a Class 2 or Class 9 warehouse has merchandise covered
by one warehouse entry, but stored in multiple warehouse facilities as
provided for under Sec. 144.34 of this chapter, the CBP Form 300 must
cover all locations and warehouses of the proprietor. An alternative
format may be used for providing the information required on the CBP
Form 300.
(h) Annual reconciliation--(1) Report. Instead of preparing CBP Form
300 as required under paragraph (g) of this section, the proprietor of a
class 2, importers' private bonded warehouse, and proprietors of classes
4, 5, 6, 7, 8, and 9 warehouses if the warehouse proprietor and the
importer are the same party, must prepare a reconciliation report within
90 days after the end of the fiscal year unless the port director
authorizes an extension for reasonable cause. The proprietor shall
retain the annual reconciliation report for 5 years from the end of the
fiscal year covered by the report. The report must be available for a
spot check or audit by CBP, but need not be furnished to CBP unless
requested. There is no form specified for the preparation of the report.
(2) Information required--(i) General. Except as otherwise provided
in paragraph (h)(2)(ii) of this section, the report must contain the
company name; address of the warehouse; class of warehouse; date of
inventory or information on cycle counts; a description of merchandise
for each entry or unique identifier, quantity on hand at the beginning
of the year, cumulative receipts and transfers (by unit), quantity on
hand at the end of the year, and cumulative positive and negative
adjustments (by unit) made during the year.
(ii) Class 9 warehouses. If the proprietor of a Class 9 warehouse
successfully demonstrates, by application to the appropriate port
director, that shortages will be reported within 20 calendar days of
discovery, the port director may approve the submission of a report that
contains the company name; address of the warehouse; class of warehouse;
date of inventory or information on cycle counts; date when resulting
shortages and overages are reported to CBP; a description of merchandise
for each entry or unique identifier; and a listing of all entries open
at the beginning of the year, added during the year, and closed during
the year.
(iii) Multiple facilities. If the proprietor of a Class 2 or Class 9
warehouse has merchandise covered by one warehouse entry, but stored in
multiple warehouse facilities as provided for under Sec. 144.34 of this
chapter, the annual reconciliation report must cover all locations and
warehouses of the proprietor at the same port. If the annual
reconciliation report includes entries for which merchandise was
transferred to a warehouse without filing a rewarehouse entry, as
allowed under Sec. 144.34, the annual reconciliation report must contain
sufficient detail to show all required information by location where the
merchandise is stored. For example, if merchandise covered by a single
entry is stored in warehouses located in 3 different ports, the annual
reconciliation report should specify individually the beginning and
ending inventory balances, cumulative receipts, transfers, and positive
and negative adjustments for each location.
[[Page 531]]
(3) Certification. The proprietor must submit to the port director
within 10 business days after preparation of the annual reconciliation
report, a letter signed by the proprietor certifying that the annual
reconciliation has been prepared, is available for CBP review, and is
accurate. The certification letter must contain the proprietor's IRS
number; date of fiscal year end; the name and street address of the
warehouse; the name, title, and telephone number of the person having
custody of the records; and the address where the records are stored.
Reporting of shortages and overages based on the annual reconciliation
will be made in accordance with paragraph (d)(3) of this section. Any
previously unreported shortages and overages should be reported to the
port director and any unpaid duties, taxes and fees should be paid at
this time.
(i) System review. The proprietor must perform an annual internal
review of the inventory control and recordkeeping system and must
prepare and maintain on file a report identifying any deficiency
discovered and corrective action taken, to ensure that the system meets
the requirements of this part.
(j) Special requirements. A warehouse proprietor submission (CBP
Form 300) or annual reconciliation must be prepared for each facility or
location as defined in Sec. Sec. 19.2(a) and 19.35(c) of this part. When
merchandise is transferred from one facility or location to another
without filing a rewarehouse entry, as provided for in Sec. 144.34(c) of
this chapter, the submission/reconciliation for the warehouse where the
entry was originally filed should account for all merchandise under the
warehouse entry, indicating the quantity in each location.
[T.D. 97-19, 62 FR 15836, Apr. 3, 1997, as amended by T.D. 99-78, 64 FR
57565, Oct. 26, 1999; T.D. 02-65, 67 FR 68033, Nov. 8, 2002; CBP Dec.
04-28, 69 FR 52599, Aug. 27, 2004; CBP Dec. 09-48, 74 FR 68684, Dec. 29,
2009]
Manufacturing Warehouses
Sec. 19.13 Requirements for establishment of warehouse.
(a) Buildings or parts of buildings and other enclosures may be
designated as bonded manufacturing warehouses if the port director is
satisfied that their location, construction, and arrangement afford
adequate protection to the revenue. Such warehouses shall be used solely
and exclusively for the purpose for which they are bonded. The general
provisions pertaining to warehouses for the storage of bonded
merchandise shall, so far as relevant, apply to bonded manufacturing
warehouses.
(b) Application for the establishment of such a warehouse shall be
made to the director of the port where the premises are situated,
setting forth the size, construction, and location of the premises, the
manufacture proposed to be carried on, and the kinds of materials
intended to be stored and used therein.
(c) The procedure outlined in Sec. 19.2 with respect to the
application to bond the premises and the execution of the bond shall be
followed.
(d) A list of all articles intended to be manufactured in the
warehouse shall be filed with the port director. Such list shall set
forth the specific names under which the articles are to be exported and
under which they will be known to the trade, and shall show the names of
all the ingredients entering into the manufacture of such articles, with
the quantities of such ingredients or materials as may be dutiable or
taxable.
(e) Proprietors of such warehouses are required to conform strictly
to the formulas filed with the bond, or subsequently, and in no instance
shall an article be permitted to be manufactured in or withdrawn from
the warehouse which does not contain all the ingredients and in the
quantities specified in the formula for the manufacture of such article,
or which contains any ingredient not specified in the formula.
(f) Manufactured articles shall be marked with the trade name of the
goods and may be marked, in addition, with the formulas and with such
insignia or name as may be indicated or desired by the purchaser, if
such additional marking will in no manner conflict with the requirements
of the formula or present or create a false or misleading statement or
impression.
[[Page 532]]
(g) Secure storage. Each bonded manufacturing warehouse shall have a
secured area separated from the remainder of the premises to be used
exclusively for the storage of imported merchandise, domestic spirits,
and merchandise subject to internal-revenue tax transferred into the
warehouse for manufacture. A like area shall be provided to be used
exclusively for the storage of products manufactured in the warehouse.
The area shall be secured to prevent any unauthorized person from having
access thereto and the goods therein shall be arranged in a manner to
assist a Customs officer in making the required examination or taking
samples for analysis. The areas for storage of bonded material and
manufactured products shall be secured in accordance with the standards
prescribed in Sec. 19.4(b)(6) of this part. The proprietor shall mark
each package with the correct warehouse entry number and date until
manufacturing takes place. After manufacture, the proprietor shall mark
each package of the finished product with the warehouse entry number and
date.
(h) Entry shall be made and duties paid, where applicable, on any
imported machinery or other equipment or apparatus that is for the
construction of the warehouse or for the pursuit of its business.
[28 FR 14763, Dec. 31, 1963, as amended by T.D. 82-204, 47 FR 49372,
Nov. 1, 1982; T.D. 84-213, 49 FR 41169, Oct. 19, 1984; T.D. 89-1, 53 FR
51254, Dec. 21, 1988; T.D. 97-19, 62 FR 15839, Apr. 3, 1997]
Sec. 19.13a Recordkeeping requirements.
The proprietor of a manufacturing warehouse shall comply with the
recordkeeping requirements of Sec. Sec. 19.4(b) and 19.12. In addition,
the proprietor shall:
(a) Record all transfers from any storage area to a manufacturing
area, and record all transfers from a manufacturing area to a finished
product storage area, in the proprietor's inventory control and
accounting records;
(b) Take an annual physical inventory of the merchandise as provided
in Sec. 19.12(d)(5) in conjunction with the annual submission required
by Sec. 19.12(g); and
(c) Record all manufacturing operations performed within the
warehouse with sufficient detail to determine whether there has been
compliance with the manufacturing formula filed with Customs and to
permit Customs to audit use and disposition of the merchandise.
[T.D. 84-213, 49 FR 41169, Oct. 19, 1984, as amended by T.D. 97-19, 62
FR 15839, Apr. 3, 1997]
Sec. 19.14 Materials for use in manufacturing warehouse.
(a) Imported merchandise to be used in a bonded manufacturing
warehouse shall be entered on Customs Form 7501 at the port at which
such warehouse is located. Such form shall be prepared in 5 copies and
shall contain all of the statistical information as provided in
Sec. 141.61(e) of this chapter. If the merchandise has been imported or
entered for warehouse at another port, it may be forwarded to the port
at which the manufacturing warehouse is located under an immediate
transportation without appraisement entry or warehouse withdrawal for
transportation, whichever is applicable.
(b) Bond required. Before the transfer of the merchandise to the
manufacturing warehouse is permitted, a bond on Customs Form 301,
containing the bond conditions set forth in Sec. 113.62 of this chapter
shall be required.
(c) Domestic merchandise. When the proprietor of any bonded
manufacturing warehouse desires to receive therein any domestic
merchandise, except merchandise subject to internal-revenue tax, to be
used in connection with the manufacturer of articles permitted to be
manufactured in such warehouse, including packages, coverings, vessels,
and labels used in putting up such articles, an application in the
following form shall be sent to the port director for approval and after
approval retained by the warehouse proprietor:
Application To Receive Free Materials
Port of_________________________________________________________________
--------------------, 19----.
To the Port Director:
Application is hereby made to receive into the bonded manufacturing
warehouse known as ----------------, situated at
[[Page 533]]
---------------- the following described articles and materials:
----------------------------------------------------------------------------------------------------------------
Marks Nos. Description Quantity Value
----------------------------------------------------------------------------------------------------------------
.................. .................. .................. ..................
.................. .................. .................. ..................
.................. .................. .................. ..................
----------------------------------------------------------------------------------------------------------------
(Signature)_____________________________________________________________
Port____________________________________________________________________
--------------------, 19----.
To the warehouse proprietor in charge of the bonded manufacturing
warehouse specified above:
The above described articles and materials are hereby permitted to
be received into the warehouse in your charge, to be used therein in
connection with the manufacture of articles as authorized by law.
Port Director___________________________________________________________
(d) Domestic spirits and wines. For the transfer of domestic spirits
from the bonded premises of a distilled spirits plant to a bonded
manufacturing warehouse, or for the transfer of domestic wines from a
bonded wine cellar to a bonded manufacturing warehouse, a bond on
Customs Form 301, containing the bond conditions set forth in
Sec. 113.62 of this chapter, shall be required.
(e) Monthly statement. At the end of each month, the proprietor
shall file with the port director a statement of all imported
merchandise on which Internal Revenue tax has not been paid which was
used by the proprietor in the manufacture of articles. The statement
shall report this information for each warehouse entry represented in
the manufacturing process.
[28 FR 14763, Dec. 31, 1963, as amended by T.D. 73-312, 38 FR 30882,
Nov. 8, 1973; T.D. 82-204, 47 FR 49373, Nov. 1, 1982; T.D. 84-129, 49 FR
23166, June 5, 1984; T.D. 84-213, 49 FR 41169, Oct. 19, 1984; T.D. 85-
123, 50 FR 29953, July 23, 1985]
Sec. 19.15 Withdrawal for exportation of articles manufactured in bond;
waste or byproducts for consumption.
(a) Except cigars manufactured in bond and supplies for vessels, no
articles or materials received into a bonded manufacturing warehouse or
articles manufactured therefrom shall be withdrawn or removed therefrom
except for direct exportation or transportation and exportation in bond
to a foreign country. The exportation or shipment shall in every case be
under the supervision of Customs.
(b) The coverings or containers of imported articles or materials,
whether or not subject to duty apart from their contents, are not
``articles or materials'' within the meaning of section 311, Tariff Act
of 1930, as amended, and need not be exported, but may be withdrawn from
the warehouse for consumption under Customs Form 7501 upon payment of
the duties applicable to such coverings or containers in their condition
as withdrawn.
(c) Labels, coverings, and empty containers imported to be used in
putting up the manufactured articles, if subject to duty or tax,
constitute ``articles or materials'' within the meaning of section 311,
Tariff Act of 1930, as amended, but may be withdrawn for consumption
upon payment of all applicable duties and taxes.
(d) When waste or a byproduct is withdrawn for consumption, Customs
Form 7501 shall be used, modified as necessary and describing in detail
the waste or byproduct and the imported material from which it was
produced. Such waste or byproduct shall be appraised at its wholesale
value at the time of withdrawal in the principal markets of the country
from which the material was imported, determined in accordance with the
provisions of section 402, Tariff Act of 1930, as amended. Upon payment
of the duty, the withdrawal permit shall be issued for delivery and a
proper credit given upon the manufacturer's bond.
(e) Each withdrawal covering the items which are permitted to be
withdrawn for consumption shall contain a summary statement thereon,
showing for each class of merchandise the quantity on hand in the
account, the quantity covered by the withdrawal presented, and the
quantity remaining in the warehouse account, if any.
(f) The general procedure covering warehouse withdrawals for
exportation shall be followed in the case of articles withdrawn for
exportation from a bonded manufacturing warehouse, except that in the
case of flour each copy of Customs Form 7512 shall bear the following
legend:
Produced from wheat imported after September 15, 1930, without
payment of duty
[[Page 534]]
thereon. Must not be exported to Cuba without permission from the
director of the port of withdrawal.
(g)(1) Articles may be withdrawn for transportation and delivery to
a bonded storage warehouse at an exterior port under the provisions of
section 311, Tariff Act of 1930, as amended (19 U.S.C. 1311), for the
sole purpose of immediate export, except for distilled spirits which may
be withdrawn under the provisions of section 311 for transportation and
delivery to any bonded storage warehouse for the sole purpose of
immediate export, or may be withdrawn pursuant to section 309(a) of the
Tariff Act of 1930, as amended (19 U.S.C. 1309(a)). Such withdrawal
shall be affected on Customs Form 7512, as provided for in Sec. 144.36
of this chapter. A rewarehouse entry shall be made in accordance with
Sec. 144.34(b) of this chapter, supported by a bond on Customs Form 301,
containing the bond conditions set forth in Sec. 113.63 of this chapter.
(2) Domestic distilled spirits transferred from a Customs bonded
manufacturing warehouse, class 6, to a Customs bonded storage warehouse,
class 2 or 3, in accordance with section 311, Tariff Act of 1930, as
amended (19 U.S.C. 1311), shall be rewarehoused in accordance with the
procedure for withdrawal and rewarehousing set forth in paragraph (g)(1)
of this section. For other regulations concerning the entry and
withdrawal of distilled spirits, see Sec. 144.15 of this chapter.
(h) No merchandise manufactured in a bonded manufacturing warehouse
may be withdrawn by a person other than the manufacturer either from the
manufacturing warehouse or from a warehouse where the merchandise is
stored awaiting direct exportation, unless an authorization of the
manufacturer is endorsed on the face of the withdrawal, or the
manufacturer previously and in writing has transferred the right of
withdrawal.
(i) When spirits and wines are withdrawn for shipment to Puerto Rico
under section 311, Tariff Act of 1930, as amended, the procedure
outlined in Sec. 7.1 of this chapter shall be followed.
(j) As proof of manufacture and exportation, the manufacturer,
within 6 months from the date of demand by the port director, shall file
in the case of each transaction or period of manufacture a statement
certified by the warehouse proprietor showing the date and number of the
bond, the quantity and identity of the dutiable or taxable merchandise
used, and the quantity and description of the articles into which it has
been manufactured, together with the quantities of any byproducts and
waste produced. In the case of articles manufactured with the use of
distilled spirits, the statement shall also be verified by the foreman
or chemist of the factory and shall show the number of packages of
spirits used, the marks and numbers, the number of wine, proof and
taxable gallons, and the degree of proof.
(k) The same proofs of exportation shall be required as in the case
of other warehouse withdrawals for exportation.
(l) When the fact of exportation of all the products has been
established by such proofs and any byproducts and waste have been
exported or released for consumption, the bond given by the
manufacturer, or the charges against his bond, shall be canceled.
(m) Shortage, irregular delivery, and nondelivery occurring with
respect to merchandise withdrawn from bonded manufacturing warehouse
while it is under transportation in bond shall be charged against the
bonded carrier.
[28 FR 14763, Dec. 31, 1963, as amended by T.D. 73-62, 38 FR 5630, Mar.
2, 1973; T.D. 73-175, 38 FR 17446, July 2, 1973; T.D. 78-298, 43 FR
38382, Aug. 28, 1978; T.D. 80-271, 45 FR 75641, Nov. 17, 1980; T.D. 82-
204, 47 FR 49373, Nov. 1, 1982; T.D. 84-213, 49 FR 41170, Oct. 19, 1984;
T.D. 89-1, 53 FR 51254, Dec. 21, 1988; T.D. 95-81, 60 FR 52295, Oct. 6,
1995]
Sec. 19.16 [Reserved]
Smelting and Refining Warehouses
Sec. 19.17 Application to establish warehouse; bond.
(a) Application. Application for the bonding of a plant of a
manufacturer engaged in the smelting or refining, or both, of metal-
bearing materials as provided for in section 312, Tariff Act of 1930, as
amended, to reduce the metal content thereof to an unwrought metal, or
metal in the form of oxides or other compounds which are obtained
[[Page 535]]
directly from the treatment of the dutiable materials provided for in
chapters 26 and 71 through 83, Harmonized Tariff Schedule of the United
States (19 U.S.C. 1202), shall be made by the manufacturer, to the
director of the port nearest in which such plant is situated, giving the
location of the premises and setting forth the work proposed to be
carried on therein.
(b) [Reserved]
(c) Discontinuance. At the request of the proprietor the bonded
status of the warehouse may be discontinued at any time provided the
port director approves such discontinuance and the proprietor complies
with directions of the port director with respect to the disposition of
merchandise which may remain in the warehouse. The number of warehouses
covered by a blanket smelting and refining bond may be reduced by
discontinuance without necessitating a new bond unless the proprietor so
desires.
(d) Upon the importation at any seaboard or frontier port of the
United States of metal-bearing materials in any form intended for a
bonded smelting or refining warehouse situated at some other port of
entry, they may be forwarded under an immediate transportation without
appraisement entry.
(e) Bond. Upon the arrival of imported metal-bearing material in any
form for the purpose of being smelted or refined, or both, in bond at a
port where a bonded smelting or refining warehouse is established, it
shall be entered for warehouse. A bond on Customs Form 301, containing
the bond conditions set forth in Sec. 113.62 of this chapter shall be on
file. The port director shall thereupon issue a permit to the inspector
to send such metal bearing materials from the importing vessel or
vehicle by designated bonded vessels or vehicles to the smelting and
refining warehouse named in the entry.
(f) Bonded metal-bearing materials shall be kept separate and
distinct from nonbonded material until they have been sampled and
weighed. The proprietor shall maintain a report of sampling, weighing,
and assay of each shipment of bonded materials received into the
warehouse for 5 years after liquidation of the warehouse entry for
shipment.
(g) Statement of inventory and bond charges. Where two or more
smelting or refining warehouses are included under one blanket smelting
and refining bond, an overall statement must be prepared and maintained
by the principal named in the bond by the 28th of each month, showing
the inventory as of the close of the preceding month, of all metals on
hand at each plant covered by the blanket bond and the total of bonded
charges for all plants. If the warehouses covered by an overall
statement are located in more than one port, each port director may
choose to verify the accuracy of the inventory report only with respect
to that portion of the report that relates to amounts held at a plant
that is located within that port director's jurisdiction. All
discrepancies which cannot be reconciled by the port director shall be
reported to Headquarters, U.S. Customs Service. If Headquarters finds
that the aggregate quantity of dutiable metal at the several plants does
not equal the quantity charged against the blanket bond, duties shall be
collected for the quantity determined to be deficient.
[28 FR 14763, Dec. 31, 1963, as amended by T.D. 74-247, 39 FR 34650,
Sept. 27, 1974; T.D. 82-204, 47 FR 49373, Nov. 1, 1982; T.D. 84-213, 49
FR 41170, Oct. 19, 1984; T.D. 89-1, 53 FR 51254, Dec. 21, 1988; T.D. 90-
78, 55 FR 40166, Oct. 2, 1990; T.D. 95-99, 60 FR 62733, Dec. 7, 1995;
T.D. 99-78, 64 FR 57565, Oct. 26, 1999]
Sec. 19.18 Smelting and refining; allowance for wastage; withdrawal for
consumption.
(a) Except where absolute deductions have been allowed in the
liquidation of the entry for losses on copper, lead, and zinc content of
metal-bearing materials, pursuant to Chapter 26, Additional U.S. Note 1,
Harmonized Tariff Schedule of the United States (see Sec. 151.55 of this
chapter), the actual percentage of losses by weight shall be allowed if
more than 90 percent by weight of:
(1) The zinc content initially treated at any lead plant, (2) the
copper content of the imported materials treated at any zinc plant, or
(3) the copper, lead, or zinc content of the imported material initially
treated at any plant other than a copper, lead, or zinc plant is lost in
processing such materials. Such actual percentage of losses by
[[Page 536]]
weight of the metal content shall be that shown by the manufacturer's
annual statement. Such losses shall be applied in the liquidation of the
entry to materials entered for consumption or for warehouse, during a
12-month period beginning on the first day of the month nearest to 90
days after the close of the manufacturer's fiscal year immediately
preceding such 90-day period, provided the importer makes claim therefor
in writing at the time the merchandise is entered. No further wastage
shall be allowed. The full dutiable contents of such metal-bearing
materials, as ascertained by commercial assay made by the Government
chemists, less the wastage allowance (including dutiable metals entirely
lost in smelting or refining, or both), shall constitute the quantity of
dutiable metal which must be either exported, duty-paid, or transferred
to another bonded warehouse in order to secure the cancellation of the
charge made against the proprietor's bond as shown by the warehouse or
rewarehouse entry account.
(b) Upon the withdrawal for consumption of metal so smelted or
refined, or both, duty shall be collected thereon without the allowance
for wastage, except where the metal was transferred to a bonded Customs
warehouse other than a smelting warehouse and withdrawn therefrom for
consumption. However, duty-paid warehouse withdrawals for consumption
may be filed with regard to metal which will be physically withdrawn in
the form of smelted or refined products whether at the time of the
filing of the withdrawal papers the dutiable metal covered by the bond
charge being cancelled by the withdrawal is in the form of ores,
concentrates, crude metals, or intermediate products. If the warehouse
withdrawal for consumption covers a product which does not sustain the
full wastage allowable (see Sec. 19.22) prior to being physically
released from Customs custody, a proportionate part only of such wastage
may be allowed. The warehouse withdrawal and delivery permit shall state
the estimated amount of the dutiable metal contained in the products,
and the warehouse withdrawal shall specify the applicable wastage. A
quantity of dutiable metal equivalent to the smelted or refined products
covered by each withdrawal for consumption must be actually on hand at
the plant or plants covered by the bond at the time of filing the
withdrawals; but neither the actual ability to withdraw smelted or
refined products from the warehouse nor the actual physical condition
described in the withdrawal will be required at the time of filing the
withdrawal.
[28 FR 14763, Dec. 31, 1963, as amended by T.D. 73-175, 38 FR 17446,
July 2, 1973; T.D. 82-90, 47 FR 20753, May 14, 1982; T.D. 89-1, 53 FR
51254, Dec. 21, 1988]
Sec. 19.19 Manufacturers' records; annual statement.
(a) Every manufacturer engaged in smelting or refining, or both,
shall immediately notify the director of the port nearest which the
plant is located of any material change in the character of the metal-
bearing materials smelted or refined and of any change in the methods of
smelting or refining. Each plant for which any of the deductions
provided for in Chapter 26, Additional U.S. Note 1, Harmonized Tariff
Schedule of the United States, is to be claimed shall maintain complete
smelting and refining records showing the receipts and disposition of
each shipment of materials received in the plant. If losses are to be
claimed under paragraph (c) of said headnote, a record shall be kept
which will become a part of the annual statement described in paragraph
(b) of this section. These records shall be retained for a period of not
less than 5 years. In the case of records forming the basis of such an
annual statement, the period for retention shall run from the date of
the related annual statement. All such records shall be made available
to the port director for such inspection and verification as he may deem
advisable.
(b) Every manufacturer engaged in smelting or refining, or both,
must prepare and submit to the port director at the port nearest which
the plant is located an annual statement for the fiscal year for the
plant involved not later than 60 days after the termination of that
fiscal year. The annual statement for the smelting or refining warehouse
or both, shall be in lieu of the warehouse proprietors submission
[[Page 537]]
required by Sec. 19.12. No specific form is prescribed in which such
statement shall be prepared. As basic information, the statement shall
show the quantities of metal-bearing materials on hand at the beginning
of the period and the dutiable contents thereof; the quantities of
metal-bearing materials received during the period and the dutiable
contents thereof; the total metal-bearing materials to be accounted for
and the dutiable contents thereof; the quantities of metal-bearing
materials on hand at the end of the period and the dutiable contents
thereof; and the quantities of metal-bearing materials worked during the
period and the dutiable contents thereof. The statement of the quantity
of metal-bearing materials worked during the period shall show the
quantity of foreign material and the quantity of domestic material put
in process during the smelting operations. The statement shall contain
such further information concerning the quantities and kinds of metals
and intermediary products produced at the plant as will show the wastage
sustained in the smelting and refining operation.
[T.D. 67-139, 32 FR 8134, June 6, 1967, as amended by T.D. 82-204, 47 FR
49374, Nov. 1, 1982; T.D. 89-1, 53 FR 51254, Dec. 21, 1988; T.D. 99-78,
64 FR 57565, Oct. 26, 1999]
Sec. 19.20 Withdrawal of products from bonded smelting or refining
warehouses.
(a) For exportation. The general procedure governing warehouse
withdrawals for exportation shall be followed in the case of the
withdrawal for exportation of dutiable metal from a bonded smelting or
refining warehouse.
(b) For transfer to another bonded warehouse. (1) Withdrawal for
transfer to another bonded warehouse shall be at the risk and expense of
the applicant, and the general regulations governing the transfer of
bonded merchandise from one warehouse to another or the transfer of
imported materials from a bonded storage warehouse to a bonded
manufacturing warehouse shall be followed so far as applicable.
(2) In the case of transportation to another port, the
transportation entry shall show the quantity of metal withdrawn the
wastage applicable thereto, and the imported material from which such
metal was produced, together with any dutiable metal charged on entry.
Sec. 19.21 Smelting and refining in separate establishments.
(a) If the operations of smelting and refining are not carried on in
the same establishment, the smelted and unrefined products obtained from
the smelting of imported materials in a bonded smelting warehouse may be
removed therefrom for shipment to a bonded refining warehouse located at
the same or another port under the general procedure for transfer from
one bonded warehouse to another.
(b) When the transfer is to a bonded refining warehouse located at
another port, the smelted and unrefined products or bullion obtained
from the smelting of the imported material shall be weighed, sampled,
and assayed before withdrawal, the sampling to be performed under
Government supervision in accordance with Sec. 19.4 and the commercial
practice in effect at the plant. A report of sampling, weight, and assay
of transferred material shall be maintained for 5 years after
liquidation of the warehouse entry.
(c) The withdrawal for transportation shall show the gross weight of
the smelted and unrefined products withdrawn, the weight of the dutiable
metal contained therein, the wastage applicable thereto and the duties
properly chargeable on the withdrawn products as shown by the import
entry.
(d) The rewarehouse entry covering the smelted and unrefined
products at the bonded refining warehouse to which they are transferred
shall be made out in accordance with the weights and duties shown on the
withdrawal for transportation.
(e) Upon withdrawal of the metal from the bonded refining warehouse
for export, the warehouse account of the refining warehouse shall be
credited with the amount of metal so withdrawn, plus the refining
wastage prescribed for said refining warehouse, plus the smelting
wastage prescribed for the bonded smelting warehouse in which the
smelted and unrefined products were produced, together with the amount
of any dutiable metals entirely
[[Page 538]]
lost in the smelting or refining, or both. However, when the metal is
withdrawn for consumption, duty shall be collected on an amount of
metal-bearing materials in their condition as imported equivalent to
that from which such metal would be producible. No allowance for either
smelting or refining wastage shall be permitted, except where the metal
is withdrawn from a Customs warehouse other than a bonded smelting and
refining warehouse.
[28 FR 14763, Dec. 31, 1963, as amended by T.D. 82-204, 47 FR 49374,
Nov. 1, 1982; T.D. 84-213, 49 FR 41170, Oct. 19, 1984]
Sec. 19.22 Withdrawal of metal refined in part from imported crude
metal and in part from crude metal produced from imported
materials.
Upon withdrawal for exportation of metal from a bonded warehouse
engaged in refining, or smelting and refining, part of which metal was
obtained from imported crude metal and part from crude metal produced by
smelting imported materials, the warehouse account shall be credited
with the quantity of metal so withdrawn, plus (a) the refining wastage
allowance prescribed for that establishment, and (b) the smelting
wastage allowance prescribed for the establishment in which the imported
materials were smelted, and (c) any dutiable metals shown on the
warehouse entry or the rewarehouse entry filed at the first-mentioned
warehouse which have been lost and are attributable to the exported
product. However, upon withdrawal of such refined metal for consumption,
no allowance shall be made for wastage except where the withdrawal is
made from a bonded Customs warehouse other than a bonded smelting and
refining warehouse.
Sec. 19.23 Withdrawal for exportation from one port to be credited on
warehouse entry account at another port.
On exportation of metal pursuant to the provisions of section
312(b)(1), Tariff Act of 1930, as amended, the general procedure
covering warehouse withdrawals for exportation shall be followed. The
proprietor of the plant from which the withdrawal is made shall prepare
a sufficient number of copies of withdrawals on Customs Form 7512, in
addition to any other copies required by the regulations, to enable the
director of the port of withdrawal to forward a copy to the director of
each other port where credit is to be applied. Such withdrawals shall
designate the plant or plants which are to receive the credit, shall
specify the warehouse entry number or numbers to which the credit is to
be applied, and shall state the quantity of dutiable metal which is to
be applied to each warehouse entry specified, and when any of the
credits specified represent the last withdrawal against a particular
warehouse entry, the words ``final withdrawal'' shall be shown on the
withdrawal. When two or more plants nearest a given port are designated
to receive credit, sufficient copies of the withdrawals shall be
prepared to cover each such plant and entry. If at the time of
withdrawal the warehouse proprietor does not know the plants or
warehouse entry numbers which are to be credited with the withdrawal, or
the metallic content of the dutiable metal being exported, the
preparation of the before-mentioned copies of Customs Form 7512 may be
postponed for a period of not longer than 30 days from the date of the
movement of the dutiable metal from the plant. In such cases, a so-
called memorandum withdrawal, in the number of copies provided for in
Sec. 144.37 of this chapter, may be used in the first instance for the
purpose of obtaining the required Customs record of the exportation of
the dutiable metal under Customs supervision. All memorandum withdrawals
shall be conspicuously endorsed ``Memorandum Withdrawal.''
[28 FR 14763, Dec. 31, 1963, as amended by T.D. 73-175, 38 FR 17447,
July 2, 1973; T.D. 89-1, 53 FR 51254, Dec. 21, 1988]
Sec. 19.24 Theoretical transfer without physical shipment of dutiable
metal.
(a) Transfer may be made from one port of entry to another by a
withdrawal for transportation and rewarehouse executed in regular form
without physical shipment of the metal, provided enough like metal in
any form is on hand at the establishment to which the theoretical
transfer is made to satisfy the new bond obligations.
[[Page 539]]
(b) The wastage allowance established for the plant from which the
original withdrawal for transportation was made shall be shown on the
transfer withdrawal and set up as a part of the charge against the bond
at the plant to which the metal was theoretically transferred. Such
wastage shall govern and be the basis for allowance when metal is
withdrawn from the plant where the theoretical rewarehousing was
affected.
Sec. 19.25 Credit to be applied under various forms of withdrawals.
(a) The warehouse entry account of the plant designated in the
withdrawal to receive credit for the exportation shall be credited with
the following:
(1) The quantity of dutiable metal exported.
(2) The wastage in effect on the date of entry at the plant of
initial treatment of such materials.
(3) The proportion of any other dutiable metals in the importation
being credited which were lost at the said plant in the production of a
quantity of dutiable metal equal to that exported.
(b) If credit is being applied to a charge set up by a theoretical
transfer under Sec. 19.24 at the plant designated in the withdrawal to
receive the credit, the wastages to be applied shall be those set up at
such plant in connection with the theoretical transfer, irrespective of
the date of the withdrawal.
(c) On the transfer of dutiable metal to a bonded storage warehouse,
credit shall be applied at the plant designated in the withdrawal to
receive the credit in the manner provided for in paragraph (a) of this
section with respect to withdrawals for exportation. The charge so
credited at the plant shall be set up on the warehouse entry account of
the storage warehouse to which the dutiable metal has been transferred.
In the case of the withdrawal of dutiable metal for transfer to a bonded
manufacturing warehouse, credit shall be applied in the same manner at
the plant designated in the withdrawal to receive the credit, but the
charge set upon the warehouse entry account of the bonded manufacturing
warehouse shall be limited to the quantity of dutiable metal transferred
to such warehouse.
Space Bonded for the Storage of Wheat
Sec. 19.29 Sealing of bins or other bonded space.
The outlets to all bins or other space bonded for the storage of
imported wheat shall be sealed by affixing locks or in bond seals to the
rope or chain which controls the gear mechanism for opening the outlets,
or such other method which will effectively prevent the removal of, or
access to, the wheat in the bonded space except under such supervision
as required by Sec. Sec. 19.4 and 101.2(c) of this chapter.
[T.D. 82-204, 47 FR 49374, Nov. 1, 1982, as amended by T.D. 98-22, 63 FR
11825, Mar. 11, 1998]
Sec. 19.30 Domestic wheat not to be allowed in bonded space.
The presence of domestic wheat in space bonded for the storage of
imported wheat shall not be permitted.
Sec. 19.31 Bulk wheat of different classes and grades not to be
commingled in storage.
All wheat shall be stored by class and grade according to the
Official Grain Standards of the United States or the official standards
of the Canadian Board of Grain Commissioners, in bins, compartments, or
other enclosed spaces identified by clearly distinguishable insignia
securely affixed thereto, so as to facilitate the maintenance of
identity of the wheat. There shall be no mixing or commingling of
different classes or grades of wheat in the same bin, battery of bins,
or other bonded space. If the wheat is stored in bags or other
transportation containers, such bags or containers shall be so marked
and so placed in the warehouse that the identity of the wheat will not
be lost while in storage, to permit easy access to all lots, and to
facilitate inspecting, sampling, and the identification of each lot.
Cross Reference: For regulations relating to the Official U.S.
Standards for Grain, see 7 CFR part 810.
Sec. 19.32 Wheat manipulation; reconditioning.
(a) The mixing, blending, or commingling of imported wheat and
domestic
[[Page 540]]
wheat, or of imported wheat of different classes and grades, as an
incident of transportation or as an incident of exportation under
transportation and exportation entries, direct export entries, or
withdrawals for exportation shall not be permitted. Applications for
permission to manipulate wheat under the provisions of section 562,
Tariff Act of 1930, as amended, shall be approved only after the
concurrence of all interested Federal agencies has been furnished by the
applicant.
(b) Where it is found that elevating, screening, blowing,
fumigating, or drying of the wheat is essential to keep it in condition,
the proprietor of the warehouse shall submit an application in writing
to the port director. All such operations shall be performed under
Customs supervision adequate to preclude unauthorized access to the
wheat.
Sec. 19.33 General order; transportation in bond.
The provisions of Sec. Sec. 19.29 through 19.32 shall be applicable
to those parts of any premises in which imported wheat is stored in a
general-order status, or stored pending exportation under an entry for
exportation or for transportation and exportation.
Sec. 19.34 Customs supervision.
Port directors shall exercise such supervision and control over the
transactions covered by Sec. Sec. 19.29 through 19.32 as will insure
that there will be no unauthorized access to the imported wheat and no
unauthorized mixing, blending, or commingling of such imported wheat.
Importers, exporters, proprietors of Customs bonded warehouses, bonded
common carriers, and others handling imported wheat in continuous
Customs custody shall maintain such records as will enable Customs
officers to verify the handling to which the imported wheat has been
subjected, and to establish whether there has been a proper accounting
to Customs for any increase in the quantity of the wheat or shortages
resulting from shrinkage or other factors. These records shall be
retained for a period of 5 years from the date of the transaction. Port
directors shall from time to time request the appropriate Customs
officer to examine such records of importers, exporters, warehouse
proprietors, bonded common carriers, and others handling such wheat in
continuous Customs custody as may be deemed necessary to ascertain
whether there has been any failure to comply with the applicable Customs
laws and regulations.
[28 FR 14763, Dec. 31, 1963, as amended by T.D. 79-159, 44 FR 31968,
June 4, 1979; T.D. 82-204, 47 FR 49374, Nov. 1, 1982]
Duty-Free Stores
Source: Sections 19.35 through 19.39 issued by T.D. 92-81, 57 FR
37698, Aug. 20, 1992, unless otherwise noted.
Sec. 19.35 Establishment of duty-free stores (Class 9 warehouses).
(a) General. A class 9 warehouse (duty-free store) may be
established for exportation of conditionally duty-free merchandise by
individuals departing the Customs territory, inclusive of foreign trade
zones, by aircraft, vessel, or departing directly by vehicle or on foot
to a contiguous country. Such articles must accompany the individual on
his person or in the same aircraft, vessel, or vehicle in which the
individual departs. ``Conditionally duty-free merchandise'' means
merchandise sold by a duty-free store on which duties and/or internal
revenue taxes (where applicable) have not been paid. Except insofar as
the provisions of this section and Sec. Sec. 19.36-19.39 are more
specific, the procedures for bonded warehouses apply to duty-free stores
(Class 9 warehouses).
(b) Location. A duty-free store (class 9 warehouse) may be
established or located only:
(1) Within the same port of entry from which a purchaser of duty-
free store merchandise departs the Customs territory;
(2) Within 25 statute miles from the exit point through which a
purchaser of duty-free store merchandise departs the Customs territory;
or
(3) In the case of an airport store, within any staffed port of
entry, or within 25 statute miles from any staffed port of entry.
[[Page 541]]
(c) Integrated locations. A Class 9 warehouse with multiple
noncontiguous sales and crib locations (see Sec. 19.37(a) of this part)
containing conditionally duty-free merchandise and requested by the
proprietor may be treated by Customs as one location if:
(1) The proprietor can provide Customs upon demand with the proper
on-hand balance of each inventory item in each storage location, sales
room, crib, mobile crib, delivery cart, or other conveyance or
noncontiguous location; and
(2) The recordkeeping system is centralized up to the point where a
sale is made so as to automatically reduce the sale quantity by location
from centralized inventory or inventory records must be updated no less
frequently than at the end of each business day to reflect that day's
activity.
(d) Exit point. The exit point referred to in paragraph (b) of this
section means an area in close proximity to an actual exit for departing
from the Customs territory, including the gate holding area in the case
of an airport, but only if there is reasonable assurance that
conditionally duty-free merchandise delivered in the gate holding area
will be exported from the Customs territory. The exit point in the case
of a land border or seaport duty-free store is the point at which a
departing individual has no practical alternative to continuing on to a
foreign country or to returning to Customs territory by passing through
a U.S. Customs inspection facility. The port director's decision as to
what constitutes the exit point or reasonable assurance of exportation
in a given situation is final.
(e) Notice to customers. Class 9 warehouse proprietors shall display
in prominent places where they will be noticed and read by customers
signs which state clearly that any conditionally duty-free merchandise
purchased from the store:
(1) Has not been subjected to any U.S. Federal duty or tax;
(2) If brought back to the United States must be declared and is
subject to U.S. Federal duty and tax with personal exemption; and,
(3) Is subject to the customs laws and regulations, including
possible duties and taxes, of any foreign country to which it is taken.
(f) Security of sales rooms and cribs. The physical and procedural
security requirements of Sec. 19.4(b)(6) of this part shall be applied
to the security of the sales rooms and cribs by the port director. The
proprietor shall establish procedures to safeguard the merchandise so as
to accommodate the movement of purchasers and prospective purchasers of
conditionally duty-free merchandise contained in duty-free sales rooms
and cribs.
(g) Approval of governmental authority. If a state or local or other
governmental authority, incident to its jurisdiction over any airport,
seaport, or other exit point facility, requires that a concession or
other form of approval be obtained from that authority with respect to
the operation of a duty-free store under which merchandise is delivered
to or through such facility for exportation, merchandise incident to
such operation may not be withdrawn for exportation and transferred to
or through such facility unless the operator of the duty-free store
demonstrates to the port director that the concession or approval
required for the enterprise has been obtained.
[T.D. 92-81, 57 FR 37698, Aug. 20, 1992, as amended by T.D. 97-19, 62 FR
15839, Apr. 3, 1997; T.D. 00-33, 65 FR 31261, May 17, 2000]
Sec. 19.36 Requirements for duty-free store operations.
(a) Withdrawals. Merchandise withdrawn under the sales ticket
procedure in Sec. 144.37(h) of this chapter may be delivered only to
individuals departing from the customs territory for exportation or to
persons and organizations for use as specified in subpart I, part 148,
of this chapter. Withdrawals of other kinds may be made from Class 9
warehouses, but only through separate withdrawals (or withdrawals under
blanket permit for vessel or aircraft supplies) under an approved permit
of the port director as provided in Sec. 144.39 of this chapter.
(b) Procedures required. Each duty-free store must establish,
maintain, and follow written procedures to provide reasonable assurance
to the port director that conditionally duty-free merchandise purchased
therein will be
[[Page 542]]
exported from the customs territory. A copy of any change in the
procedure will be provided to the port director before it is
implemented. However, receipt by CBP of the procedures of any change
thereto must not be construed as approval by CBP of the procedures. The
port director is responsible for ensuring that each enterprise has
established guidelines with CBP and is complying with those guidelines,
giving assurance that proper supervision exists when delivery is made to
the purchaser at or before the exit point. The port director may at any
time require any change in the procedures deemed necessary for assurance
of exportation.
(c) Personal-use restrictions. Any duty-free store which delivers
conditionally duty-free merchandise to purchasers at an airport exit
point must establish, maintain, and enforce written restrictions on the
sale of conditionally duty-free merchandise to any one individual to
personal-use quantities. Personal-use quantities means quantities that
are only suitable for uses other than resale, and includes reasonable
quantities for household or family consumption as well as for gifts to
others. Proprietors will not knowingly sell or deliver conditionally
duty-free merchandise in any quantity to any individual for the purpose
of resale. A copy of the restrictions and of any change thereto must be
provided to the port director prior to implementation. However, receipt
of the written restrictions by CBP will not be construed as approval by
CBP of the restrictions. The port director may require any change in the
restrictions deemed necessary to conform to the personal-use quantity
restriction of this section.
(d) Reimported merchandise. Merchandise purchased in a duty-free
store is not eligible for exemption from duty, or tax where applicable,
under chapter 98, subchapter IV, Harmonized Tariff Schedule, if it is
brought back to the United States after exportation. To enforce this
restriction, the port director may require the proprietor to mark or
otherwise place a distinguishing identifier on individual items of
merchandise to indicate the items were sold in a U.S. duty-free store,
if a pattern is disclosed in which such items are being brought back to
the United States without declaration. A pattern of undeclared
reimportations means a number of instances over a period of time and not
isolated instances of unrelated violations. Any such marking required by
the port director will be inconspicuous to the purchaser and will not
detract from the value of the merchandise. The marking requirement will
be limited to the items or types of merchandise noted in the pattern,
and will not be extended to all merchandise of the responsible store
proprietor unless all or most items are part of the pattern.
(e) Merchandise eligible for warehousing in duty-free stores (Class
9 Warehouses)--(1) In General. Conditionally duty-free merchandise and
other merchandise (domestic merchandise and merchandise which was
previously entered or withdrawn for consumption and brought into a duty-
free store (Class 9 warehouse) for display and sale or for delivery to
purchasers can be warehoused in a duty-free store (Class 9 warehouse),
but the conditionally duty-free merchandise and other merchandise must
be physically segregated from one another, unless one of the following
exceptions apply.
(2) Marking exception to physical segregation. Merchandise may be
identified or marked ``DUTY-PAID'' or ``U.S.-ORIGIN'', or similar
markings, as applicable, to enable CBP officers to easily distinguish
conditionally duty-free merchandise from other merchandise in the sales
or crib area.
(3) Electronic inventory exception to physical segregation. If the
proprietor has an electronic inventory system capable of immediately
identifying conditionally duty-free merchandise from other merchandise,
the proprietor need not physically separate conditionally duty-free
merchandise from other merchandise or mark the merchandise.
(f) Sale of merchandise. Conditionally duty-free merchandise for
exportation at airport or seaport exit points may be sold and delivered
only to purchasers who display valid tickets, or in the case of
chartered or for-hire flights that have not issued tickets, other proof
of impending departure from the customs territory, and to crewmembers
who have been engaged for a flight or
[[Page 543]]
voyage departing directly from the customs territory with no
intermediate stops in the U.S.
(g) Inventory procedure. Duty-free store proprietors must maintain,
at the duty-free store or at another location approved by the port
director, a current inventory separately for each storage area, crib,
and sales area containing conditionally duty-free merchandise by
warehouse entry, or by unique identifier where permitted by the port
director. Proprietors must assure that CBP has ready access to those
records, and that the records are stored in such a way as to keep
transactions of multiple facilities separated. The inventory must be
reconcilable with the accounting and inventory records and the permit
file folder requirements of Sec. 19.12 (d), (e) and (f) of this part.
Proprietors are subject also to the recordkeeping requirements of other
paragraphs of Sec. 19.12, as well as those of Sec. Sec. 19.6(d),
19.37(d), 19.39(d) of this part, and 144.37(h)(3) of this chapter.
[T.D. 92-81, 57 FR 37698, Aug. 20, 1992, as amended by T.D. 97-19, 62 FR
15840, Apr. 3, 1997; CBP Dec. 09-48, 74 FR 68685, Dec. 29, 2009]
Sec. 19.37 Crib operations.
(a) Crib. A crib means a bonded area, separate from the storage area
of a Class 9 warehouse, for the retention of a supply of articles for
delivery to persons departing from the United States. It shall be
located beyond the exit point, unless exception has been made under
Sec. 19.39 (a) and (b) of this part. The crib may be a permanent
location or a mobile facility which is periodically moved to a location
beyond the exit point. The quantity of goods in the crib may be an
amount requested by the proprietor which is commercially necessary for
the delivery operations for a period, if approved by the port director.
The port director may increase or decrease the quantity as deemed
necessary for the protection of the revenue and proper administration of
U.S. laws and regulations, or may order the return to the storage area
of goods remaining unsold.
(b) Delivery and removal of merchandise. Conditionally duty-free
merchandise shall be delivered to the crib, or removed from the crib for
return to the storage area, under the procedures in subpart D, part 125,
and Sec. 144.34(a), of this chapter, or under a local control system
approved by the port director wherein any discrepancy found in the
merchandise will be treated as if it occurred in the bonded warehouse.
If delivery is made by licensed cartman, cartage vehicles shall be
conspicuously marked as provided in Sec. 112.27 of this chapter.
(c) Delivery vehicles. Vehicles, including mobile cribs, containing
conditionally duty-free merchandise for delivery to or from a crib shall
carry a listing of the articles contained therein. The proprietor shall
provide, upon request by Customs, a transfer document sufficient to
account for each movement of inventory among its locations. The
merchandise in the vehicles shall be subject to inspection by Customs.
(d) Retention of records. Class 9 warehouse proprietors shall
maintain records of conditionally duty-free merchandise transported
beyond the exit point and returned therefrom, and Customs permits for
such movements, for not less than 5 years after exportation of the
articles. Such records need not be placed in permit file folders but
must be filed by date of movement, destination site and warehouse entry
number or by unique identifier where permitted by the port director (see
Sec. 19.36(g)).
[T.D. 92-81, 57 FR 37698, Aug. 20, 1992, as amended by T.D. 97-19, 62 FR
15840, Apr. 3, 1997]
Sec. 19.38 Supervision of exportation.
(a) Sales ticket withdrawals. Conditionally duty-free merchandise
withdrawn under the sales ticket procedure for exportation shall be
exported only under Customs supervision as provided in this section and
Sec. 19.39 of this part. General Customs supervision shall be exercised
as provided in Sec. 19.4 of this part and Sec. 101.2(c) of this chapter,
and may consist of spot checks of exportation transactions, examination
of articles being exported, and audits of the proprietor's records.
(b) Supervision of ATF bonded exports. Customs officers may conduct
general
[[Page 544]]
supervision of exportations of cigarettes and cigars from ATF export
bonded warehouses (see 27 CFR part 290) in conjunction with exportation
from duty-free stores.
[T.D. 92-81, 57 FR 37698, Aug. 20, 1992, as amended by T.D. 98-22, 63 FR
11825, Mar. 11, 1998]
Sec. 19.39 Delivery for exportation.
(a) Delivery to land border locations--(1) Land border locations.
Land border location means an exit point (see Sec. 19.35(d)) from which
individuals depart to a contiguous country by vehicle or on foot by
bridge, tunnel, highway, walkway, or by ferry across a boundary lake or
river, but not including departure to a contiguous country by air or
sea. Deliveries from a duty-free store for exportation from such
locations shall be made to the purchaser only beyond the exit point,
except as specified in paragraph (a)(2) of this section.
(2) Delivery at or before exit point. Delivery of such merchandise
may be made at or before the exit point of any location approved by
Customs as of August 23, 1988. In such cases, delivery shall be done
under the physical supervision of a Customs officer, or in accordance
with established guidelines as required by Sec. 19.36(b) of this part.
The officer shall sign the sales ticket certifying exportation and
return it to the proprietor for retention in the files. The port
director may also require that the warehouse proprietor have the person
receiving the article sign the same copy to certify receipt.
(b) Delivery to seaport locations--(1) Seaport location. Seaport
location means an exit point (see Sec. 19.35(d)) from which
conditionally duty-free merchandise is delivered to departing
individuals for exportation by vessel of more than 5 net tons which is
departing directly from the Customs territory to touch and trade in a
foreign country. Deliveries for exportation from such locations may be
made only beyond the exit point, except as specified in paragraph (b)(2)
of this section.
(2) Delivery at or before exit point. Delivery of such merchandise
may be made at or before the exit point in the case of any locations
approved by Customs as of August 23, 1988. In such cases, delivery shall
be done under the physical supervision of a Customs officer, or in
accordance with established guidelines as required by Sec. 19.36(b) of
this part. The officer shall sign the sales ticket certifying
exportation and return it to the proprietor for retention in the files.
The port director may also require that the warehouse proprietor have
the person receiving the article sign the same copy to certify receipt.
(c) Delivery to airport locations. Airport location means an exit
point from which conditionally duty-free merchandise is delivered to
departing individuals for exportation on a scheduled, chartered, or
``for-hire'' airline. Delivery of conditionally duty-free merchandise to
be exported from such locations may be made by one of the following five
procedures:
(1) Delivery in sterile area. A sterile area is an area that is
within the airport and to which access is restricted to those passengers
departing from Customs territory. In such cases, delivery will be made
directly to the purchaser (or a family member or companion travelling
with the purchaser) for carrying aboard the aircraft. This method of
delivery is not authorized if there is any mixture in the sterile area
of individuals arriving from a foreign country, or individuals arriving
or departing on a domestic flight, with individuals departing for
foreign;
(2) Passenger delivery. Merchandise may be delivered by the cartman
or duty-free store operator to the purchaser (or a family member or
companion travelling with the purchaser) at or beyond the exit point for
the flight. The port director may require the exit point to be delimited
by marking of its boundaries, or require proper supervision in
accordance with established guidelines as required by Sec. 19.36(b) of
this part, if needed for reasonable assurance that conditionally duty-
free merchandise will be exported with the purchaser or a family member
or companion.
(3) Aircraft delivery. The merchandise will be delivered by a
licensed cartman for lading as baggage directly on the
[[Page 545]]
aircraft on which the passenger will depart. The airline will release
the merchandise to the purchaser when the aircraft has departed for its
foreign destination;
(4) Unit-load delivery. Merchandise may be sold to passengers
departing from the United States at a prior port of boarding on flights
proceeding to a foreign destination which are required to clear with
intermediate stops in the United States, provided that all of the
following conditions are met:
(i) Sales may be made only to passengers holding a through ticket on
the same flight, with no stopover privileges in the United States, to a
foreign destination;
(ii) Merchandise shall be placed on the aircraft on which the
passenger departs the United States for carriage as passenger baggage;
(iii) Merchandise shall be placed in a container sealed with Customs
seals. The sealed container(s) may be placed in the baggage compartment
or on the passenger deck of the aircraft. Containers stowed in baggage
compartments may, with Customs permission, be transferred to the
passenger deck at an intermediate or final stop in the United States.
The seal numbers shall be placed on the face of the aircraft general
declaration;
(iv) A lading manifest list, in duplicate, of conditionally duty-
free merchandise sold to passengers aboard the particular flight will be
prepared by the proprietor. An authorized airline representative will
sign for receipt, with one copy to be retained by the airline for
presentation to Customs as requested at the intermediate or final port,
and the duplicate copy to be returned to and retained by the proprietor
for record purposes;
(v) The seals shall not be broken nor shall any of the purchases be
delivered until the aircraft is secured for departure to its foreign
destination at the last port. In the event that the seals are broken
before that time, or the merchandise is not exported for any reason and
not returned to Customs custody, demand shall be made against the
importation and entry bond of the importer of record;
(5) Cancelled or aborted flights or no-show passengers--(i)
Cancelled or aborted flights. The proprietor shall, upon request, make
available to Customs the purchaser's name, the purchaser's airline
ticket number and the identity and quantity of the merchandise delivered
by the proprietor to the purchaser (if the merchandise was delivered to
the airline rather than the passenger, the name of the airline employee
to whom the merchandise was delivered), and the date and time of that
delivery in lieu of retrieving the merchandise for safekeeping until the
purchaser actually departs.
(ii) No-show passengers. A proprietor who delivers merchandise
directly to an airline for delivery to a passenger who does not board
the flight shall establish a procedure to obtain redelivery of that
merchandise from the airline.
(d) Lading manifest lists; certificate of exportation. The
proprietor shall retain copies of lading manifest lists and certificates
of lading for exportation in its files for not less than 5 years after
exportation by warehouse entry number or by unique identifier where
permitted by the port director (see Sec. 19.36(g)).
(e) Delivery method. Delivery of conditionally duty-free merchandise
to persons for exportation will be made by licensed cartmen or bonded
carriers under the procedures in subpart D, part 125, and
Sec. 144.34(a), of this chapter, or under a local control system
approved by the port director wherein any discrepancy found in the
merchandise will be treated as if it occurred in the bonded warehouse.
(f) Return of merchandise to stock. Whenever merchandise is
withdrawn under the sales ticket procedure of Sec. 144.37(h) of this
chapter, but is undeliverable or is rejected by the purchaser, the
merchandise may be returned to the duty-free store and the records,
including the sales ticket and sales ticket register, amended to reflect
the quantity returned to stock.
[T.D. 92-81, 57 FR 37698, Aug. 20, 1992, as amended by T.D. 97-19, 62 FR
15840, Apr. 3, 1997]
Container Stations
Source: Sections 19.40 through 19.49 issued by T.D. 72-68, 37 FR
4186, Feb. 29, 1972, unless otherwise noted.
[[Page 546]]
Sec. 19.40 Establishment, relocation or alteration of container
stations.
(a) A container station, independent of the importing carrier, may
be established at any port or portion of a port, or any other area under
the jurisdiction of a port director upon the filing of an application
therefore and its approval by the port director and the posting of a
bond on Customs Form 301, containing the bond conditions set forth in
Sec. 113.63 of this chapter in such amount as the port director shall
require.
(b) Alterations to or relocation of a container station may be made
with the permission of the director of the port in which the facility is
located, or if not within a port's limits, nearest to where the facility
is located. An application to alter or relocate a container station
shall be accompanied by the fee required by paragraph (c) of this
section.
(c)(1) Customs shall charge a fee to establish, relocate or alter a
container station, and publish a general notice in the Federal Register
and Customs Bulletin setting forth a fee schedule, to be revised
periodically to reflect increased costs, to establish, relocate or alter
the container station. The published revised fee schedule shall remain
in effect until changed.
(2) The fee, rounded off to the nearest dollar, shall be calculated
in accordance with Sec. 24.17(d) of this chapter. The fee shall be based
upon the amount of time the average service requires of the Customs
officers performing the service.
[T.D. 72-68, 37 FR 4186, Feb. 29, 1972, as amended by T.D. 82-135, 47 FR
32416, July 27, 1982; T.D. 83-56, 48 FR 9854, Mar. 9, 1983; T.D. 84-213,
49 FR 41170, Oct. 19, 1984; T.D. 85-72, 50 FR 15885, Apr. 23, 1985; T.D.
99-27, 64 FR 13675, Mar. 22, 1999]
Sec. 19.41 Movement of containerized cargo to a container station.
Containerized cargo may be moved from the place of unlading to a
designated container station, or may be received directly at the
container station from a bonded carrier after transportation in-bond,
before the filing of an entry of merchandise therefor or the permitting
thereof (see subpart A of part 158 of this chapter) for the purpose of
breaking bulk and redelivery of the cargo. In either circumstance,
excess loose cargo, as part of containerized cargo, may accompany the
container to the container station.
[T.D. 82-135, 47 FR 32416, July 27, 1982]
Sec. 19.42 Application for transfer of merchandise.
The container station operator may file an application for the
transfer of a container intact to the station. The application shall be
in duplicate in the following or substantially similar format:
U.S. Customs Service
application and permit to transfer containerized cargo to a container
station
Date ------------
Application is made to transfer the containers and their contents
listed below which arrived on -------- (Carrier) on -------- (Date) at
Pier ---- to the -------- (Container station)
An abstract of the carrier's manifest covering the containers by B/L
No., marks, numbers, contents, consignee, etc., is attached hereto.
list of containers by marks and numbers only
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
(Signature of authorized
agent of container station)
We concur: ------------------------------------------------
(Signature of agent of importing carrier)
transfer record
Delivered to ------------------------ (cartman), C.H.L. No. ---- in
apparent good order and condition except as noted:
[[Page 547]]
--------------------------------------------------------------------------------------------------------------------------------------------------------
Signature of Received signature
Truck No. Container numbers Date inspector Signature of cartman container operator
--------------------------------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------------------------------
Sec. 19.43 Filing of application.
The application, listing the containers by marks and numbers, may be
filed at the customhouse or with the Customs inspector at the place
where the container is unladen, or for merchandise transported in-bond,
at the bonded carrier's facility, as designated by the port director.
[T.D. 82-135, 47 FR 32416, July 27, 1982]
Sec. 19.44 Carrier responsibility.
(a) If merchandise is transferred directly to a container station
from an importing carrier, the importing carrier shall remain liable
under the terms of its bond for the proper safekeeping and delivery of
the merchandise until it is formally receipted for by the container
station operator.
(b) If merchandise is transferred directly from a bonded carrier's
facility to a container station or is delivered directly to the
container station by a bonded carrier, the bonded carrier shall remain
liable under the terms of his bond for the proper safekeeping and
delivery of the merchandise until it is formally receipted for by the
container station operator.
(c) In either case under paragraph (a) or (b) of this section, the
importing carrier and the bonded carrier, as applicable, shall be
responsible for assuring that the provisions of subpart A, part 158 of
this chapter, relating to quantity determinations, and discrepancy
reporting and accountability are followed.
(d) The importing carrier and the bonded carrier, as applicable,
shall indicate concurrence in the transfer of the merchandise either by
signing the application for transfer or by physically turning the
merchandise over to the operator.
(e) The importing carrier and the bonded carrier, as applicable,
shall be responsible for ascertaining that the person to whom a
container is delivered for transfer to the container station is an
authorized representative of the operator.
(f) The importing carrier and the bonded carrier, as applicable,
shall furnish an abstract manifest showing the bill of lading number,
the marks and numbers of the container, and the usual manifest
description for each shipment in the container.
(g) If a container station operator chooses to collect merchandise
from within the boundaries of the district (see definition of
``district'' at Sec. 112.1) in which the container station is located
and transport the merchandise to his container station, the container
station operator must formally receipt for the merchandise at the time
of collection, and he becomes liable under his bond for proper
safekeeping of the merchandise at that time.
[T.D. 82-135, 47 FR 32416, July 27, 1982, as amended by T.D. 94-81, 59
FR 51494, Oct. 12, 1994; T.D. 95-77, 60 FR 50010, Sept. 27, 1995]
Sec. 19.45 Transfer of merchandise, approval and method.
Approval of the application by the port director shall serve as a
permit to transfer the container and its contents to the station. Except
when the container station operator is moving the merchandise to his own
station by his own vehicle, the merchandise may only be transferred to a
container station by a bonded cartman or bonded carrier. The station
operator, cartman or carrier shall receipt for the merchandise on both
copies of the application.
[T.D. 74-54, 39 FR 4876, Feb. 18, 1974]
Sec. 19.46 Employee lists.
A permit shall not be granted to an operator to transfer a container
or containers to a container station, if the
[[Page 548]]
operator, within 30 calendar days after the date of receipt of a written
demand by the port director, does not furnish a written list of names,
addresses, social security numbers, and dates and places of birth of
persons employed by him in connection with the movement, receipt,
storage or delivery of imported merchandise. Having furnished such a
list, no new permit shall be issued to an operator who has not within 10
calendar days after the employment of any new personnel employed in
connection with the movement, receipt, storage, or delivery of imported
merchandise, advised the port director in writing of the names,
addresses, social security numbers, and dates and places of birth of
such new employees. The operator shall, within 10 calendar days, advise
the port director if the employment of any employee is terminated. A
person shall not be deemed to be employed by an operator if he is an
officer or employee of an independent contractor engaged by the operator
to move, receive, store, deliver, or otherwise handle imported
merchandise.
Sec. 19.47 Security.
The space to be used for the purposes of breaking bulk and
delivering cargo shall be properly secured against access by
unauthorized persons, including persons not on the list of current
employees furnished to the port director by the container station
operator, the principal on the bond, as required by Sec. 19.46. A
suitable working and office space for the use of Customs officers and
employees performing functions in the area shall also be provided.
Sec. 19.48 Suspension or revocation of the privilege of operating a
container station; hearings.
(a) Grounds for suspension or revocation. The port director may
revoke or suspend the privilege of operating a container station if:
(1) The privilege was obtained through fraud or the misstatement of
a material fact;
(2) The container station operator refuses or neglects to obey any
proper order of a Customs officer or any Customs order, rule, or
regulation relative to the operation of a container station;
(3) The container station operator or an officer of a corporation
which has been granted the privilege of operating a container station is
convicted of or has committed acts which would constitute a felony, or a
misdemeanor involving theft, smuggling, or a theft-connected crime. Any
change in the employment status of the corporate officer (e.g.,
discharge, resignation, demotion, or promotion) prior to conviction of a
felony or prior to conviction of a misdemeanor involving theft,
smuggling, or a theft-connected crime, resulting from acts committed
while a corporate officer, will not preclude application of this
provision;
(4) The container station operator fails to retain merchandise which
has been designated for examination;
(5) The container station operator does not provide secure
facilities or properly safeguard merchandise within the container
station;
(6) The container station operator fails to furnish a current list
of names, addresses, and other information required by Sec. 19.46; or
(7) The bond required by Sec. 19.40 is determined to be insufficient
in amount or lacking sufficient sureties, and a satisfactory new bond
with good and sufficient sureties is not furnished within a reasonable
time.
(b) Notice and appeal. The port director shall suspend or revoke the
privilege of operating a container station by serving notice of the
proposed action in writing upon the container station operator. The
notice shall be in the form of a statement specifically setting forth
the grounds for revocation or suspension of the privilege and shall be
final and conclusive upon the container station operator unless he shall
file with the port director a written notice of appeal. The container
station operator may file a written notice of appeal from the revocation
or suspension within 10 days following receipt of the notice of
revocation or suspension. The notice of appeal shall be filed in
duplicate and shall set forth the response of the container station
operator to the statement of the port director. The container station
operator, in his notice of appeal, may request a hearing.
(c) Hearing on appeal. If a hearing is requested, it shall be held
before a
[[Page 549]]
hearing officer designated by the Secretary of the Treasury or his
designee within 30 days following application therefor. The container
station operator shall be notified of the time and place of the hearing
at least 5 days prior thereto. The container station operator may be
represented by counsel at the revocation or suspension hearing. All
testimony in the proceeding shall be subject to cross-examination. A
stenographic record of any such proceeding shall be made and a copy
thereof shall be delivered to the container station operator. At the
conclusion of such proceeding or review of a written appeal, the hearing
officer or the port director, as the case may be, shall forthwith
transmit all papers and the stenographic record of any hearing, to the
Commissioner of Customs, together with his recommendation for final
action. Following a hearing and within 10 calendar days after delivery
of a copy of the stenographic record, the container station operator may
submit to the Commissioner of Customs, in writing, additional views and
arguments on the basis of such record. If neither the container station
operator nor his attorney appear for a scheduled hearing, the hearing
officer shall conclude the hearing and transmit all papers with his
recommendation to the Commissioner of Customs. The Commissioner shall
thereafter render his decision, in writing, stating his reasons
therefor, with respect to the action proposed by the hearing officer or
the port director. Such decision shall be transmitted to the port
director and served by him on the container station operator.
[T.D. 73-286, 38 FR 28289, Oct. 12, 1973, as amended by T.D. 88-63, 53
FR 40219, Oct. 14, 1988]
Sec. 19.49 Entry of containerized merchandise.
Merchandise not entered within the lay order period, or extension
thereof, shall be placed in general order. The importing carrier shall
issue carrier's certificates for individual shipments in a container.
Entries covering merchandise transferred to a container station shall
clearly show that the merchandise is at the container station.
PART 24_CUSTOMS FINANCIAL AND ACCOUNTING PROCEDURE
Sec.
24.1 Collection of Customs duties, taxes, fees, interest, and other
charges.
24.2 Persons authorized to receive Customs collections.
24.3 Bills and accounts; receipts.
24.3a CBP bills; interest assessment on bills; delinquency; notice to
principal and surety.
24.4 Optional method for payment of estimated import taxes on alcoholic
beverages upon entry, or withdrawal from warehouse, for
consumption.
24.5 Filing identification number.
24.11 Notice to importer or owner of increased or additional duties,
taxes, fees and interest.
24.12 Customs fees; charges for storage.
24.13 Car, compartment, and package seals; kind, procurement.
24.13a Car, compartment, and package seals; and fastenings; standards;
acceptance by Customs.
24.14 Salable Customs forms.
24.16 Overtime services; overtime compensation and premium pay for
Customs Officers; rate of compensation.
24.17 Reimbursable services of CBP employees.
24.18 Preclearance of air travelers in a foreign country; reimbursable
cost.
24.21 Administrative overhead charges.
24.22 Fees for certain services.
24.23 Fees for processing merchandise.
24.24 Harbor maintenance fee.
24.25 Statement processing and Automated Clearinghouse.
24.26 Automated Clearinghouse credit.
24.32 Claims; unpaid compensation of deceased employees and death
benefits.
24.34 Vouchers; vendors' bills of sale; invoices.
24.36 Refunds of excessive duties, taxes, etc.
24.70 Claims; deceased or incompetent public creditors.
24.71 Claims for personal injury or damages to or loss of privately
owned property.
24.72 Claims; set-off.
24.73 Miscellaneous claims.
Authority: 5 U.S.C. 301; 19 U.S.C. 58a-58c, 66, 1202 (General Note
3(i), Harmonized Tariff Schedule of the United States), 1505, 1520,
1624; 26 U.S.C. 4461, 4462; 31 U.S.C. 3717, 9701; Pub. L. 107-296, 116
Stat. 2135 (6 U.S.C. 1 et seq.).
Section 24.1 also issued under 19 U.S.C. 197, 198, 1648;
Section 24.4 also issued under 19 U.S.C. 1623, 26 U.S.C. 5007, 5054,
5061, 7805;
Section 24.11 also issued under 19 U.S.C. 1485(d);
Section 24.12 also issued under 19 U.S.C. 1524, 46 U.S.C. 31302;
[[Page 550]]
Section 24.14 also issued under 19 U.S.C. 1;
Section 24.16 also issued under 19 U.S.C. 261, 267, 1450, 1451,
1452, 1623; 46 U.S.C. 2111, 2112;
Section 24.17 also issued under 19 U.S.C. 261, 267, 1450, 1451,
1452, 1456, 1524, 1557, 1562; 46 U.S.C. 2110, 2111, 2112;
Section 24.23 also issued under 19 U.S.C. 3332;
Section 24.32 also issued under 5 U.S.C. 5582, 5583;
Section 24.36 also issued under 26 U.S.C. 6423.
Source: 28 FR 14808, Dec. 31, 1963, unless otherwise noted.
Sec. 24.1 Collection of Customs duties, taxes, fees, interest, and
other charges.
(a) Except as provided in paragraph (b) of this section, the
following procedure shall be observed in the collection of Customs
duties, taxes, fees, interest, and other charges (see Sec. 111.29(b) and
141.1(b) of this chapter):
(1) Any form of United States currency or coin legally current at
time of acceptance shall be accepted.
(2) Any bank draft, cashier's check, or certified check drawn on a
national or state bank or trust company of the United States or a bank
in Puerto Rico or any possession of the United States if such draft or
checks are acceptable for deposit by a Federal Reserve bank, branch
Federal Reserve bank, or other designated depositary shall be accepted.
(3)(i) An uncertified check drawn by an interested party on a
national or state bank or trust company of the United States or a bank
in Puerto Rico or any possession of the United States if such checks are
acceptable for deposit by a Federal Reserve bank, branch Federal Reserve
bank, or other designated depositary shall be accepted if there is on
file with the port director a bond to secure the payment of the duties,
taxes, fees, interest, or other charges, or if a bond has not been
filed, the organization or individual drawing and tendering the
uncertified check has been approved by the port director to make payment
in such manner. In determining whether an uncertified check shall be
accepted in the absence of a bond, the port director shall use available
credit data obtainable without cost to the Government, such as that
furnished by banks, local business firms, better business bureaus, or
local credit exchanges, sufficient to satisfy him of the credit standing
or reliability of the drawer of the check. For purposes of this
paragraph, a customs broker who does not have a permit for the district
(see the definition of ``district'' at Sec. 111.1 of this chapter) where
the entry is filed, is an interested party for the purpose of Customs
acceptance of such broker's own check, provided the broker has on file
the necessary power of attorney which is unconditioned geographically
for the performance of ministerial acts. Customs may look to the
principal (importer) or to the surety should the check be dishonored.
(ii) If, during the preceding 12-month period, an importer or
interested party has paid duties or any other obligation by check and
more than one check is returned dishonored by the debtor's financial
institution, the port director shall require a certified check, money
order or cash from the importer or interested party for each subsequent
payment until such time that the port director is satisfied that the
debtor has the ability to consistently present uncertified checks that
will be honored by the debtor's financial institution.
(4) A U.S. Government check endorsed by the payee to the U.S.
Customs Service, a domestic traveler's check, or a U.S. postal, bank,
express, or telegraph money order shall be accepted. Before accepting
this form of payment the Customs cashier or other employee authorized to
receive Customs collections shall require such identification in the way
of a current driver's license issued by a state of the United States, or
a current passport properly authenticated by the Department of State, or
a current credit card issued by one of the numerous travel agencies or
clubs, or other credit data, etc., from which he can verify the identity
and signature of the person tendering such check or money order.
(5) The face amount of a bank draft, cashier's check, certified
check, or uncertified check tendered in accordance with this paragraph
shall not exceed the amount due by more than $1 and any required change
is authorized to be made out of any available cash funds on hand.
[[Page 551]]
(6) The face amount of a U.S. Government check, traveler's check, or
money order tendered in accordance with this paragraph shall not exceed
the amount due by more than $50 and any required change is authorized to
be made out of any available cash funds on hand.
(7) Credit or charge cards, which have been authorized by the
Commissioner of Customs, may be used for the payment of duties, taxes,
fees, and/or other charges at designated Customs-serviced locations.
Payment by this manner is limited to non-commercial entries and is
subject to ultimate collection from the credit card company. Persons
paying by charge or credit card will remain liable for all such charges
until paid. Information as to those credit card companies authorized by
Customs may be obtained from Customs officers.
(8) Participants in the Automated Broker Interface may use statement
processing as described in Sec. 24.25 of this part. Statement processing
allows entry/entry summaries and entry summaries to be grouped by either
importer or by filer, and allows payment of related duties, taxes and
fees by a single payment, rather than by individual checks for each
entry. The preferred method of payment for users of statement processing
is by Automated Clearinghouse.
(b) At piers, terminals, bridges, airports and other similar places,
in addition to the methods of payment prescribed in paragraph (a) of
this section, a personal check drawn on a national or state bank or
trust company of the United States shall be accepted by Customs
inspectors and other Customs employees authorized to receive Customs
collections in payment of duties, taxes, fees, interest, and other
charges on noncommercial importations, subject to the identification
requirements of paragraph (a)(4) of this section and this paragraph.
Where the amount of the check is over $25, the Customs cashier or other
employee authorized to receive Customs collections will ensure that the
payor's name, home and business telephone number (including area code),
and date of birth are recorded on the face (front) side of the monetary
instrument. In addition, one of the following will be recorded on the
face side of the instrument: preferably, the payor's social security
number or, alternatively, a current passport number or current driver's
license number (including issuing state). A personal check received
under this paragraph and a United States Government check, traveler's
check, or money order received under paragraph (a) of this section by
such Customs inspectors and other Customs employees shall also be
subject to the following conditions:
(1) Where the amount is less than $100 and the identification
requirements of paragraph (a)(4) of this section have been met, the
Customs employee accepting the check or money order will place his name
and badge number on the collection voucher and place the serial number
or other form of voucher identification on the face side of the check or
money order so that the check or money order can be easily associated
with the voucher.
(2) Where the amount is $100 or more, in addition to the
requirements of paragraph (b)(1) of this section the Customs employee
accepting the check or money order shall obtain the approval of the
Customs officer in charge who also shall personally verify the
identification data and indicate his approval by initialing the
collection voucher below the signature of the Customs employee who
approved the receipt of the check or money order.
(3) A personal check tendered in accordance with this paragraph
shall be accepted only when drawn for the amount of the duties, taxes,
fees, and other charges to be paid by such check.
(c) Checks on foreign banks, foreign travelers' checks, and
commercial drafts or bills of exchange subject to acceptance by the
drawees shall not be accepted.
(d) Checks and other negotiable papers covering duties, taxes, fees,
interest, and other Customs charges shall be made payable to the United
States Customs Service.
(e) Any person who pays by check any duties, taxes, fees, interest,
or other charges or obligations due the Customs Service which are not
guaranteed by a Customs bond shall be assessed a charge of $30.00 for
each check which is returned unpaid by a financial institution for any
reason, except the
[[Page 552]]
charge will not be assessed if it is shown that the maker of the check
was not at fault in connection with the return of the check. This charge
shall be in addition to any unpaid duties, taxes, fees, interest, and
other charges.
[28 FR 14808, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 24.1,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 24.2 Persons authorized to receive Customs collections.
Port directors, Customs cashiers, Customs inspectors, Customs dock
tellers, and such other officers and employees as the port director
shall designate shall receive Customs collections.
Sec. 24.3 Bills and accounts; receipts.
(a) Any bill or account for money due the United States shall be
rendered by an authorized Customs officer or employee on an official
form.
(b) A receipt for the payment of estimated Customs duties, taxes,
fees, and interest, if applicable, shall be provided a payer at the time
of payment if he furnishes with his payment an additional copy of the
documentation submitted in support of the payment. The appropriate
Customs official shall validate the additional copy as paid and return
it to the payer. Otherwise, a copy of the document filed by the payer
and the payer's cancelled check shall constitute evidence of payment.
(c) A copy of a Customs bill validated as paid will not normally be
provided a payer. If a bill is paid by check, the copy of the Customs
bill identified as ``Payer's Copy'' and the payer's cancelled check
shall constitute evidence of such payment to Customs. Should a payer
desire evidence of receipt, both the ``U.S. Customs Service Copy'' and
the ``Payer's Copy'' of the bill and, in the case of payments by mail, a
stamped, self-addressed envelope, shall be submitted. The ``Payer's
Copy'' of the bill shall then be marked paid by the appropriate Customs
official and returned to the payer.
(d) Every payment which is not made in person shall be accompanied
by the original bill or by a communication containing sufficient
information to identify the account or accounts to which it is to be
applied.
(e) Except for bills resulting from dishonored checks or dishonored
Automated Clearinghouse (ACH) transactions, all other bills for duties,
taxes, fees, interest, or other charges are due and payable within 30
days of the date of issuance of the bill. Bills resulting from
dishonored checks or dishonored ACH transactions are due within 15 days
of the date of issuance of the bill.
[28 FR 14808, Dec. 31, 1963, as amended by T.D. 74-73, 39 FR 7782, Feb.
28, 1974; T.D. 79-221, 44 FR 46813, Aug. 9, 1979; T.D. 86-178, 51 FR
34959, Oct. 1, 1986; T.D. 99-75, 64 FR 56437, Oct. 20, 1999]
Sec. 24.3a CBP bills; interest assessment on bills; delinquency; notice
to principal and surety.
(a) Due date of CBP bills. CBP bills for supplemental duties, taxes
and fees(increased or additional duties, taxes, and fees assessed upon
liquidation or reliquidation), or vessel repair duties, together with
interest thereon, reimbursable services (such as provided for in
Sec. Sec. 24.16 and 24.17), and miscellaneous amounts (bills other than
duties, taxes, reimbursable services, liquidated damages, fines, and
penalties) are due as provided for in Sec. 24.3(e).
(b) Assessment of interest charges--(1) Bills for vessel repair
duties, reimbursable services and miscellaneous amounts. If payment is
not received by CBP on or before the late payment date appearing on the
bill, interest charges will be assessed upon the delinquent principal
amount of the bill. The late payment date is the date 30 calendar days
after the interest computation date. The interest computation date is
the date from which interest is calculated and is initially the bill
date.
(2) Interest on supplemental duties, taxes, fees, and interest--(i)
Initial interest accrual. Except as otherwise provided in paragraphs
(b)(2)(i)(A) through (b)(2)(i)(C) of this section, interest assessed due
to an underpayment of duties, taxes, fees, or interest will accrue from
the date the importer of record is required to deposit estimated duties,
taxes, fees, and interest to the date of
[[Page 553]]
liquidation or reliquidation of the applicable entry or reconciliation.
An example follows:
Example: Entry underpaid as determined upon liquidation
[GRAPHIC] [TIFF OMITTED] TR20OC99.000
Importer owes $500 plus interest as follows:
The importer makes a $1,000 initial deposit on the required date
(January 1) and the entry liquidates for $1,500 (December 1). Upon
liquidation, the importer will be billed for $500 plus interest. The
interest will accrue from the date payment was due (January 1) to date
of liquidation (December 1).
(A) If a refund of duties, taxes, fees, or interest was made prior
to liquidation or reliquidation and is determined upon liquidation or
reliquidation to be excessive, in addition to any other interest accrued
under this paragraph (b)(2)(i), interest also will accrue on the excess
amount refunded from the date of the refund to the date of liquidation
or reliquidation of the applicable entry or reconciliation. An example
follows:
Example: Pre-liquidation refund but entry liquidates for an increase
[GRAPHIC] [TIFF OMITTED] TR20OC99.001
Importer owes $800 plus interest as follows:
The importer makes a $1,000 initial deposit on the required date
(January 1) and receives a pre-liquidation refund of $300 (May 1) and
the entry liquidates for $1,500 (December 1). Upon liquidation, the
importer will be billed for $800 plus interest. The interest accrues in
two segments: (1) On the original underpayment ($500) from the date of
deposit (January 1) to the date of liquidation (December 1); and (2) on
the pre-liquidation refund ($300) from the date of the refund (May 1) to
the date of liquidation (December 1).
(B) The following rules will apply in the case of an additional
deposit of duties, taxes, fees, or interest made prior to liquidation or
reliquidation:
(1) If the additional deposit is determined upon liquidation or
reliquidation of the applicable entry or reconciliation to constitute
the correct remaining balance that was required to be deposited on the
date the deposit was due, interest shall accrue on the amount of the
additional deposit only from the date of the initial deposit until the
date the additional deposit was made. An example follows:
Example: Additional deposit made and entry liquidates for total
amount deposited
[[Page 554]]
[GRAPHIC] [TIFF OMITTED] TR20OC99.002
Importer owes interest on $200 as follows:
The importer makes a $1,000 initial deposit on the required date
(January 1) and an additional pre-liquidation deposit of $200 (May 1)
and the entry liquidates for $1,200 (December 1). Upon liquidation, the
importer will be billed for interest on the original $200 underpayment
from the date of the initial deposit (January 1) to the date of the
additional deposit (May 1).
(2) If the additional deposit is determined upon liquidation or
reliquidation of the applicable entry or reconciliation to be less than
the full balance owed on the amount initially required to be deposited,
in addition to any other interest accrued under this paragraph
(b)(2)(i), interest also will accrue on the remaining unpaid balance
from the date deposit was initially required to the date of liquidation
or reliquidation. An example follows:
Example: Additional deposit made and entry underpaid as determined
upon liquidation
[GRAPHIC] [TIFF OMITTED] TR20OC99.003
Importer owes $300 plus interest as follows:
The importer makes a $1,000 initial deposit on the required date
(January 1) and an additional pre-liquidation deposit of $200 (May 1)
and the entry liquidates for $1,500 (December 1). Upon liquidation, the
importer will be billed for $300 plus interest. The interest accrues in
two segments: (1) on the additional deposit ($200), from the date
deposit was required (January 1) to the date of the additional deposit
(May 1); and (2) on the remaining underpayment ($300), from the date
deposit was required (January 1), to the date of liquidation (December
1).
(3) If an entry or reconciliation is determined upon liquidation or
reliquidation to involve both an excess deposit and an excess refund
made prior to liquidation or reliquidation, interest in each case will
be computed separately and the resulting amounts shall be netted for
purposes of determining the final amount of interest to be reflected in
the underpaid amount. An example follows:
Example: Excess pre-liquidation deposit and excess pre-liquidation
refund
[GRAPHIC] [TIFF OMITTED] TR20OC99.004
Importer owes $200 plus or minus net interest as follows:
The importer makes a $1,000 initial deposit on the required date
(January 1) and receives a pre-liquidation refund of $300 (May 1) and
[[Page 555]]
the entry liquidates for $900 (December 1). Upon liquidation, the
importer will be billed for $200 plus or minus net interest. The
interest accrues in two segments: (1) Interest accrues in favor of the
importer on the initial overpayment ($100) from the date of deposit
(January 1) to the date of the refund (May 1); and (2) interest accrues
in favor of the Government on the refund overpayment ($200) from the
date of the refund (May 1) to the date of liquidation (December 1).
(4) If the additional deposit or any portion thereof is determined
upon liquidation or reliquidation of the applicable entry or
reconciliation to constitute a payment in excess of the amount initially
required to be deposited, the excess deposit will be treated as a
refundable amount on which interest also may be payable (see
Sec. 24.36).
(C) If a depository bank notifies CBP by a debit voucher that a CBP
account is being debited due to a dishonored check or dishonored
Automated Clearinghouse (ACH) transaction, interest will accrue on the
debited amount from the date of the debit voucher to either the date of
payment of the debt represented by the debit voucher or the date of
issuance of a bill for payment, whichever date is earlier.
(ii) Interest on overdue bills. If duties, taxes, fees, and interest
are not paid in full within the applicable period specified in
Sec. 24.3(e), any unpaid balance will be considered delinquent and shall
bear interest until the full balance is paid.
(c) Interest rate and applicability. (1) The percentage rate of
interest to be charged on such bills will be based upon the quarterly
rate(s) established under sections 6621 and 6622 of the Internal Revenue
Code of 1954 (26 U.S.C. 6621, 6622). The current rate of interest will
appear on the CBP bill and may be obtained from the IRS or the CBP's
Revenue Division, Office of Administration. For the convenience of the
importing public and CBP personnel, CBP publishes the current interest
rate(s) in the Customs Bulletin and Decisions and Federal Register on a
quarterly basis.
(2) The percentage rate of interest applied to an overdue bill will
be adjusted as necessary to reflect any change in the annual rate of
interest.
(3) Interest on overdue bills will be assessed on the delinquent
principal amount by 30-day periods. No interest charge will be assessed
for the 30-day period in which the payment is actually received at the
``Send Payment To'' location designated on the bill.
(4) In the case of any late payment, the payment received will first
be applied to the interest charge on the delinquent principal amount and
then to payment of the delinquent principal amount.
(5) The date to be used in crediting the payment is the date on
which the payment is received by CBP.
(d) Notice--(1) Principal. The principal will be notified at the
time of the initial billing, and every 30 days after the due date until
the bill is paid or otherwise closed. Where the notification is returned
to CBP due to an incorrect mailing address, the bill may be stopped. The
following elements will normally appear on the bill:
(i) Principal amount due;
(ii) Interest computation date;
(iii) Late payment date;
(iv) Accrual of interest charges if payment is not received by the
late payment date;
(v) Applicable current interest rate;
(vi) Amount of interest owed;
(vii) CBP office where requests for administrative adjustments due
to billing errors may be addressed; and
(viii) Transaction identification (e.g., entry number, reimbursable
assignment number).
(2) Surety. (i) CBP will report outstanding bills on a Formal Demand
on Surety for Payment of Delinquent Amounts Due, for bills more than 30
days past due (approximately 60 days after bill due date), and every
month thereafter until the bill is paid or otherwise closed. The
following elements will normally appear on the report:
(A) Principal amount due;
(B) Interest computation date;
(C) Late payment date;
(D) Accrual of interest charges if payment is not received by the
late payment date;
(E) Applicable current interest rate;
(F) Amount of interest owed;
(G) Principal's name and address;
(H) CBP office where requests for administrative adjustments due to
billing errors may be addressed; and
[[Page 556]]
(I) Transaction identification (e.g., entry number, reimbursable
assignment number).
(ii) Upon the written request of a surety, CBP will provide the
surety a notice containing the billing information at the time of the
initial billing to its principal.
[T.D. 86-178, 51 FR 34958, Oct. 1, 1986, as amended by T.D. 99-75, 64 FR
56437, Oct. 20, 1999 ; CBP Dec. 08-25, 73 FR 40726, July 16, 2008; CBP
Dec. 12-04, 77 FR 17332, Mar. 26, 2012]
Sec. 24.4 Optional method for payment of estimated import taxes on
alcoholic beverages upon entry, or withdrawal from warehouse,
for consumption.
(a) Application to defer. An importer, including a transferee of
alcoholic beverages in a Customs bonded warehouse who wishes to pay on a
semi-monthly basis the estimated import taxes on alcoholic beverages
entered, or withdrawn from warehouse, for consumption by him during such
a period may apply by letter to the director of each port at which he
wishes to defer payment. If the importer desires the additional
privilege of depositing estimated tax payments on an extended deferred
basis, it must be specifically requested. An importer who receives
approval from a port director to defer such payments may, however,
continue to pay the estimated import taxes due at the time of entry, or
withdrawal from warehouse, for consumption.
(b) Deferred payment periods. A period shall commence on October 24
and run through October 31, 1965; thereafter the periods shall run from
the 1st day of each month through the 15th day of that month, and from
the 16th day of each month through the last day of that month. An
importer may begin the deferral of payments of estimated tax to a
Customs port in the first deferral period beginning after the date of
the written approval by the port director. An importer may use the
deferred payment system until the port director advises such importer
that he is no longer eligible to defer the payment of such taxes.
(c) Content of application and supporting documents. (1) An importer
must state his estimate of the largest amount of taxes to be deferred in
any semimonthly period based on the largest amount of import taxes on
alcoholic beverages deposited at that port in such a period during the
year preceding his application. He must also identify any existing bond
or bonds that he has on file at the port and shall submit in support of
his application the approval of the surety on his bond or bonds to the
use of the procedure and to the increase of such bond or bonds to such
larger amount or amounts as may be found necessary by the port director.
(2) Each application must include a declaration in substantially the
following language:
I declare that I am not presently barred by any port director from
using the deferred payment procedure for payment of estimated taxes upon
imports of alcoholic beverages, and that if I am notified by a port
director to such effect I shall advise the director of any other port
where approval has been given to me to use such procedure.
(d) Use of deferred payment method. (1) The port director will
notify the importer, or his authorized agent if requested, of approval.
(2) An importer who has received approval to make deferred payments
retains the option of deferring or depositing the estimated tax on
imported alcoholic beverages until the entry or withdrawal is presented
to the cashier for payment of estimated duties. At the time the importer
presents his entry or withdrawal for consumption to the cashier together
with the estimated duty, he must either pay the estimated tax or
indicate on the entry or withdrawal that he elects to defer the tax
payment.
(e) Tax deferment procedure. If the importer elects to defer the tax
payments, he shall enter on each copy of the entry or withdrawal the
words ``Tax Payment Deferred,'' adjacent to the amount shown on the
documents as estimated taxes, before presentation to the cashier.
(f) Payment procedure--(1) Billing. Each importer who has deferred
tax payments on imported alcoholic beverages will be billed on Customs
Form 6084, United States Customs Service Bill, at the end of each tax
deferred period for all taxes deferred during the period. Each bill will
identify each tax
[[Page 557]]
amount deferred and the related entry numbers. These bills must be paid
in fully by the last day of the next succeeding deferral period.
(2) Interest on overdue accounts. When any bill for deferred taxes
is not paid within the period specified in subparagraph (f)(1) of this
section, interest thereon from the date following the end of the
specified period to the date of payment of the bill shall be assessed,
collected, and paid in the same manner as the basic tax. The rate of
interest to be assessed shall be 7 percent per annum or such other rate
as is established by the Secretary of the Treasury or his delegate in
accordance with 26 U.S.C. 6621(b).
(g) Restrictions on deferring tax deposits. An importer may not on
one entry, or withdrawal from warehouse for consumption, deposit part of
the estimated tax and defer the balance of the tax. The estimated tax on
each entry or withdrawal must be either fully paid or deferred.
(h) Termination of deferred payment privilege. (1) When any bill on
Customs Form 6084 for deferred taxes is not paid within the period
specified in paragraph (f) of this section, a demand for payment shall
be made to the surety on the importer's bond. If in the opinion of the
customs officer concerned such failure to make timely payment of
estimated deferred taxes warrants the withdrawal of the tax deferral
privilege, he will advise the importer of the withdrawal of such
privilege. In all instances of failure to pay timely the deferred taxes
on alcoholic beverages withdrawn from warehouse for consumption, further
withdrawals from the warehouse entry on which the tax is delinquent will
be refused until payment is made of the amount delinquent.
(2) The termination at any port of the tax deferral privilege for
failure to pay timely any deferred estimated tax shall be at the
discretion of the Customs officer concerned. Termination of the
privilege for any other reason shall be subject to the approval of the
Commissioner of Customs. Notice of termination of the tax deferral
privilege at any port will be disseminated to all other Customs ports.
(3) Renewal of the tax deferral privilege after it has been
withdrawn at any port may be made only upon approval of the Commissioner
of Customs.
(i) Duration of deferred payment privilege. The deferred payment
privilege once approved by the port director will remain in effect until
terminated under the provisions of paragraph (h) or the importer or
surety requests termination.
(j) Entries for consumption or warehouse after an importer is
delinquent. An importer who is delinquent in paying deferred taxes may
make entries for consumption or for warehousing, or withdrawals for
consumption from warehouse entries on which no delinquency exists, upon
deposit of all estimated duties or taxes.
(k) Rate of tax. The estimated taxes must be paid on the basis of
the rates in effect upon entry, or withdrawal from warehouse, for
consumption, unless in accordance with section 315 of the Tariff Act of
1930, as amended, another date is applicable and not on the basis of the
rates of tax in effect on the date deferred payment is made.
[28 FR 14808, Dec. 31, 1963, as amended by T.D. 56510, 30 FR 13359, Oct.
21, 1965; T.D. 67-31, 32 FR 493, Jan. 18, 1967; T.D. 75-278, 40 FR
51420, Nov. 5, 1975; T.D. 76-258, 41 FR 38767, Sept. 13, 1976; T.D. 84-
213, 49 FR 41170, Oct. 19, 1984; T.D. 95-77, 60 FR 50011, Sept. 27,
1995; T.D. 99-27, 64 FR 13675, Mar. 22, 1999]
Sec. 24.5 Filing identification number.
(a) Generally. Each person, business firm, Government agency, or
other organization shall file Customs Form 5106, Notification of
Importer's Number or Application for Importer's Number, or Notice of
Change of Name or Address, with the first formal entry which is
submitted or the first request for services that will result in the
issuance of a bill or a refund check upon adjustment of a cash
collection. A Customs Form 5106 shall also be filed for the ultimate
consignee for which such entry is being made. Customs Form 5106 may be
obtained from any Customs Office.
(b) Preparation of Customs Form 5106. (1) The identification number
to be used when filing Customs Form 5106 shall be:
(i) The Internal Revenue Service employer identification number, or
[[Page 558]]
(ii) If no Internal Revenue Service employer identification number
has been assigned, the Social Security number.
(2) If neither an Internal Revenue Service employer identification
number nor a Social Security number has been assigned, the word ``None''
shall be written on the line provided for each of these numbers on
Customs Form 5106 and the form shall be filed in duplicate.
(c) Assignment of importer identification number. Upon receipt of a
Customs Form 5106 without an Internal Revenue Service employer
identification number or a Social Security number, an importer
identification number shall be assigned and entered on the Customs Form
5106 by the Customs office where the entry or request for services is
received. The duplicate copy of the form shall be returned to the filing
party. This identification number shall be used in all future Customs
transactions when an importer number is required. If an Internal Revenue
Service employer identification number, a Social Security number, or
both, are obtained after an importer number has been assigned by
Customs, a new Customs Form 5106 shall not be filed unless requested by
Customs.
(d) Optional additional identification. Customs Form 5106 contains
blocks for a two-digit suffix code which may be written in as an
addition to the Internal Revenue Service employer identification number
to provide optional additional identification. The two-digit suffix code
may be used by a business firm having branch office operations to permit
the firm to identify transactions originating in its branch offices, or
by vessel owners to permit them to identify transactions associated with
particular vessels. A separate Customs Form 5106 shall be required to
report the specific suffix code and the name and address for each branch
office or vessel to be identified. Transactions may be associated with a
specific branch office or vessel by reporting the appropriate
identification number, including the two-digit suffix code, on Customs
Form 7501 or the request for services. Suffix codes may be either
numeric, alphabetic, or a combination of both numeric and alphabetic,
except that the letters O, Z, and I may not be used. The blocks may be
left blank if the firm or vessel owner has no use for them and a ``00''
suffix will be automatically assigned.
(e) Retention of importer identification number. An importer
identification number shall remain on file until 1 year from the date on
which it is last used on Customs Form 7501 or a request for services. If
not used for 1 year and there is no outstanding transaction to which it
must be associated, the importer identification number will be removed
from Customs files. To engage in future transactions described in
paragraph (a) of this section, the person, business firm, Government
agency, or other organization, previously covered by an importer
identificatign number, must file another Customs Form 5106.
(f) ``Freezing'' importer identification information. Those
importers identifying Customs transactions through the procedure
specified in paragraph (d) of this section and desiring to ensure that
they receive such Customs transaction notifications as may be issued may
request Customs to ``freeze'' the name and address information,
regardless of what is shown on the Customs Form 5106 or request for
services, by designating the name and title/position of the individual
in their company authorized to effect name/address changes to the
Importer's Record Number (IRN) identification information, and
specifying the IRNs and suffixes to be frozen and the mailing address
and/or physical location address of the company where Customs
notifications are to be directed. The request must be made in a separate
writing on letterhead paper signed by the importer of record or his
agent, whose name and title are clearly indicated. Participation in the
``Freeze'' Program is voluntary. Requests to participate should be sent
to: the National Finance Center, U.S. Customs and Border Protection,
Office of Administration, Revenue Division, 6650 Telecom Drive, Suite
100, Indianapolis, IN 46278, Attn: Freeze Program.
[T.D. 78-7, 42 FR 64681, Dec. 28, 1977, as amended by T.D. 84-129, 49 FR
23166, June 5, 1984; T.D. 93-43, 58 FR 34367, June 25, 1993; CBP Dec.
12-21, 77 FR 73308, Dec. 10, 2012]
[[Page 559]]
Sec. 24.11 Notice to importer or owner of increased or additional
duties, taxes, fees and interest.
Any increased or additional duties, taxes, fees or interest found
due upon liquidation or reliquidation shall be billed to the importer of
record, or to the actual owner if the following have been filed with
Customs:
(a) A declaration of the actual owner in accordance with section
485(d), Tariff Act of 1930, as amended (19 U.S.C. 1485(d)), and
Sec. 141.20 of this chapter; and
(b) A bond on Customs Form 301 in accordance with Sec. 141.20 of
this chapter.
[T.D. 99-75, 64 FR 56439, Oct. 20, 1999]
Sec. 24.12 Customs fees; charges for storage.
(a) The following schedule of fees prescribed by law or hereafter in
this paragraph shall be made available to the public at all Customs
offices. When payment of such fee is received by a Customs employee a
receipt therefor shall be issued.
(1) [Reserved]
(2) No fee will be charged for furnishing an official certificate if
the request is made to Customs at the time the entry summary is filed.
However, Customs shall charge and collect a fee of $10.00 for each hour
or fraction thereof for time spent by each clerical, professional or
supervisor in finding the documents and furnishing an official
certification if the request is made after the entry documents are
filed, plus a charge of 15 cents per page for photcopying. The fee may
be revised periodically by publication of a general notice in the
Federal Register and Customs Bulletin setting forth the revised fee. The
published revised fee shall remain in effect until changed.
(b) [Reserved]
(c) The rates charged for storage in Government-owned or rented
buildings shall not be less than the charges made at the port by
commercial concerns for the storage and handling of merchandise. Except
as to an examination package covered by an application for an entry by
appraisement, storage shall be charged on any examination package for
any period it remains in the appraiser's store after 2 full working days
following the day on which the permit to release or transfer was issued.
As to an examination package covered by an application for an entry by
appraisement, storage shall be charged for any period it remains in the
appraiser's store after 2 full working days following the day of
issuance to the importer of oral or written notice of the amount of
duties or taxes required to be deposited or that the package is ready
for delivery. If the port director finds that circumstances make it
impractical to remove examination packages from the appraiser's store
within the 2-day period, he may extend the period for not to exceed 3
additional working days, without storage charges. In computing the 2
working days, and any authorized extension, (1) the day on which the
permit to release or transfer is issued, or the day on which the notice
is issued of the amount of duties or taxes that shall be deposited or
that the package is ready for delivery, whichever is applicable, (2)
Saturdays, (3) Sundays, and (4) National holidays, shall be excluded.
(d) Pursuant to the progressive clearance procedures set forth in
Sec. 122.88 of this chapter, when airlines commingle domestic (stopover)
passengers who have already cleared Customs at their port of arrival and
are continuing on to another U.S. destination, with international
passengers who are arriving at their port of arrival and have not yet
cleared Customs, a progressive clearance fee of $2.00 per domestic
(stopover) passenger reinspection in the U.S. will be charged by Customs
to the affected airlines to offset the additional cost to Customs of
reinspecting passengers who have already been cleared. The fee is in
addition to any other charges currently incurred, such as overtime
services, but will not apply to passengers reinspected on an overtime
basis if the cost of performing such reinspection is reimbursed to
Customs in accordance with 19 U.S.C. 1451. The fee will not apply to the
reinspection of non-revenue producing passengers, including but not
limited to, employees of the carrier and their dependents, deadhead
crew, employees of other carriers who may be assessed a service charge
by the transporting carrier, and other persons to whom the carrier is
authorized to provide free transportation pursuant to 14 CFR part
[[Page 560]]
233. The airline industry will be notified at least 90 days in advance
of the date of any change in the amount of the fee necessitated by
either an increase or decrease in costs to Customs, but no new fee shall
take effect before January 1, 1986.
[28 FR 14808, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 24.12,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 24.13 Car, compartment, and package seals; kind, procurement.
(a) Customs seals accepted pursuant to Sec. 24.13a of this chapter
shall be used in sealing openings, packages, conveyances, or articles
requiring the security provided by such sealing.
(b) Red in-bond and high security red in-bond seals used for sealing
imported merchandise shipped between ports in the United States shall be
stamped ``U.S. Customs in Bond.'' Uncolored seals used to seal
containers of commercial traveler's samples transiting the United States
as provided by Sec. 123.52 of this chapter shall be stamped ``Canada-
United States Customs.'' [U.S. Transit], and uncolored seals used to
seal containers of commercial traveler's samples transiting the United
States as provided by Sec. 123.52 of this chapter shall be stamped
``Canada-United States Customs.'' Blue in-transit seals used to seal
merchandise transiting foreign territory or waters between ports in the
United States as provided in Sec. 123.24 of this chapter shall be
stamped ``U.S. Customs In-Transit.'' Yellow in-transit seals used on
rail shipments of merchandise and on containers of commercial traveler's
samples transiting Canada between U.S. ports as provided in
Sec. Sec. 123.24 and 123.51 of this chapter shall be stamped [U.S.
Customs]
[Can. Transit] for use on railroad cars, and ``United States-Canada
Customs'' for use on samples. Uncolored seals used for Customs purposes
other than for (1) shipping in bond, (2) shipping by other than a bonded
common carrier in accordance with section 553, Tariff Act of 1930, as
amended, or (3) shipping in transit shall be stamped ``U.S. Customs.''
All seals (except uncolored in-transit seals on containers of commercial
traveler's samples and seals for use on airline liquor kits) shall be
stamped with the name of the port for which they are ordered. Each strap
seal shall be stamped with a serial number. Each automatic metal seal
shall be stamped with a symbol number and, when required, with a serial
number.
(c) Purchase of seals. Bonded carriers of merchandise, commerical
associations representing the foregoing or comparable organizations
approved by the port director under paragraph (f) of this section, a
foreign trade zone operator and bonded warehouse proprietors may
purchase quantity supplies of in-bond and in-transit seals from
manufacturers approved under the provisions of Sec. 24.13a. The order
shall be prepared by the purchaser and, except as hereinafter noted,
shall be confined to seals for use at one port and shall specify the
kind and quantity of seals desired, the name of the port at which they
are to be used, and the name and address of the consignee to whom they
are to be shipped. Seals for use on airline liquor kits need not specify
the name of the port at which they are to be used, and orders for such
seals need not be confined to seals for use at one port. Carriers and
bonded warehouse proprietors may purchase small emergency supplies of
in-bond and in-transit seals from port directors, who will keep a supply
of such seals for this purpose. An order for green or uncolored in-
transit seals shall be submitted to the office of the Director of
Customs-Excise Inspection, Ottowa, Canada, for approval and forwarding
to the manufacturer. An order for green strap-in bond seals for use on
railroad cars must stipulate that the seals are to be consigned to the
collector of customs and excise in Canada at the port indicated on the
seals for entry purposes and storage under Customs lock and key.
(d) The manufacturer or supplier shall ship the seals to the
consignee named in the order and shall advise the director of the port
to which the seals are shipped as to the kind and quantity of seals
shipped, the name of the port (where required), serial numbers, and
symbol number (where required) stamped thereon, the name and address
[[Page 561]]
of the consignee, and the date of shipment.
(e) [Reserved]
(f) Port director approval required. In-bond seals may be purchased
only by a foreign trade zone operator or Customs bonded warehouse
proprietor, a customs bonded carrier, a nonbonded carrier permitted to
transport articles in accordance with section 553, Tariff Act of 1930,
as amended (19 U.S.C. 1553) or in the case of red in-bond and high
security red in-bond seals, the carrier's commercial association or
comparable representative approved by the port director. In-transit
seals may be purchased by a bonded or other carrier of merchandise or,
in the case of blue in-transit seals, by the carrier's commercial
association or comparable representative approved by the port director.
Except for uncolored in-transit seals, uncolored Customs seals may not
be purchased by private interests and shall be furnished by port
directors for authorized use without charge. In-bond and in-transit
seals sold by port directors shall be charged for at the rate of 10
cents per seal, except for high security red in-bond seals which shall
be charged for at the current manufacturer's list price for the quantity
purchased.
[28 FR 14808, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 24.13,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 24.13a Car, compartment, and package seals; and fastenings;
standards; acceptance by Customs.
(a) General standards. The seals and fastenings, together, shall
(1) Be strong and durable;
(2) Be capable of being affixed easily and quickly;
(3) Be capable of being checked readily and identified by unique
marks (such as a logotype) and numbers;
(4) Not permit removal or undoing without breaking, or tampering
without leaving traces;
(5) Not permit use more than once; and
(6) Be made as difficult as possible to copy or counterfeit.
(b) Seal specifications. (1) The shape and size of the seal shall be
such that any identifying marks are readily legible.
(2) Each eyelet in a seal shall be of a size corresponding to that
of the fastening used, and shall be positioned so that the fastening
will be held firmly in place when the seal is closed.
(3) The material used shall be sufficiently strong to prevent
accidental breakage, early deterioration (due to weather conditions,
chemical action, etc.) or undetectable tampering under normal usage.
(4) The material used shall be selected with reference to the
sealing system used.
(c) Fastening specifications. (1) The fastening shall be strong and
durable and resistant to weather and corrosion.
(2) The length of the fastening used shall not enable a sealed
aperture to be opened or partly opened without the seal or fastening
being broken or otherwise showing obvious damage.
(3) The material used shall be selected with reference to the
sealing system used.
(d) Identification marks. (1) If the seal is to be purchased and
used by U.S. Customs, the seal or fastening, as appropriate, shall be
marked to show that it is a U.S. Customs seal by application of the
words ``U.S. Customs'' and a unique identification number on the seal.
(2) If the seal is to be used by private industry (i.e., a shipper,
manufacturer, or carrier), it must be clearly and legibly marked with a
unique company name (or logotype) and identification number.
(e) Customs acceptance. Seals will be considered as acceptable for
use and/or purchase by U.S. Customs as soon as the manufacturer attests
that the seals have been tested and meet or exceed the standards
provided in paragraphs (a) through (d) of this section, and will
continue to be considered acceptable until such time as it is
demonstrated that they do not meet the standards. A manufacturer may
attest to the qualification of a specific seal, or to an entire product
line of seals as of a certain date. Any addition of a seal to a group of
seals attested to as a group would
[[Page 562]]
require specific acceptance of that seal by Customs.
(f) Testing. All testing of seals deemed necessary before Customs
acceptance will be done by the manufacturer or by a private laboratory,
and not by Customs. However, Customs reserves the right to test, or to
have tested, seals that have been accepted by Customs.
(g) Records. The manufacturer's attestation that a seal meets or
exceeds the standards specified in this section and, if deemed necessary
by Customs, the seal test record shall be sent to the Assistant
Commissioner, Field Operations, Headquarters, U.S. Customs Service,
Washington DC 20229.
[T.D. 81-185, 46 FR 36842, July 16, 1981, as amended by T.D. 91-77, 56
FR 46114, Sept. 10, 1991]
Sec. 24.14 Salable Customs forms.
(a) Customs forms for sale to the general public shall be designated
by the Commissioner of Customs, or his delegate. Customs forms which are
designated as salable shall meet the following conditions: (1) The form
is distributed to private parties for use in completing customs
transactions; (2) the quantity used nationwide annually is sufficient to
justify the administrative costs involved in selling the form and
accounting for the collections involved therein, or the form is
primarily for the use of a special group; (3) distribution is or can
generally be made in lots of 100 or more; (4) the form is normally
distributed to commercial concerns (customhouse brokers, freight
forwarders, vessel agents, carriers, regular commercial importers, etc.)
rather than to or for the use of individuals or others (tourists,
churches, schools, occasional importers, etc.) for noncommercial
purposes.
(b) The price of each salable Customs form shall be established by
the Commissioner of Customs, or his delegate, and shall be adjusted
periodically as the varying costs of printing and distribution require.
A list of salable customs forms showing the price at which each is sold
shall be prominently posted in each customhouse in a location accessible
to the general public.
(c) Customs forms for sale to the general public, except unusually
large or otherwise unsuitable forms, shall normally be prepared in units
containing 100 copies. If a completely prepared bill or receipt is
presented by the purchaser at the time of the purchase, the port
director's paid stamp shall be impressed thereon; otherwise, no receipt
shall be given.
[28 FR 14808, Dec. 31, 1963, as amended by T.D. 75-132, 40 FR 24519,
June 9, 1975]
Sec. 24.16 Overtime services; overtime compensation and premium pay for
Customs Officers; rate of compensation.
(a) General. Customs services for which overtime compensation is
provided for by section 5 of the Act of February 13, 1911, as amended
(19 U.S.C. 267), or section 451, Tariff Act of 1930, as amended (19
U.S.C. 1451), shall be furnished only upon compliance with the
requirements of those statutes for applying for such services and giving
security for reimbursement of the overtime compensation, unless the
compensation is nonreimbursable under the said section 451, or section
53 of the Airport and Airway Development Act of 1970, as amended (49
U.S.C. 1741). Reimbursements of overtime compensation shall be collected
by the port director from the applicants for the services. Customs
Officers entitled to overtime compensation and premium pay, pursuant to
the provisions of the Customs Officer Pay Reform legislation (19 U.S.C.
261 and 267, as amended), shall not receive pay or other compensation
for that work under any other provision of law. Reimbursable overtime
services shall not be furnished to an applicant who fails to cooperate
with the Customs Service by filing a timely application therefor during
regular hours of business when the need for the services can reasonably
by foreseen, nor in any case until the maximum probable reimbursement is
adequately secured.
(b) Definitions. For purposes of this section, the following words
and phrases have the meanings indicated:
(1) The Act refers to part II, subchapter D of the Omnibus Budget
Reconciliation Act of 1993, Public Law 103-66.
(2) Administrative workweek means a period of seven consecutive
calendar
[[Page 563]]
days beginning Sunday and continuing through the following Saturday.
(3) Base pay means the rate of pay fixed by law or administrative
action for the position held by the Customs Officer.
(4) Callback means the irregular or occasional overtime work
performed by a Customs Officer either on a day when work was not
regularly scheduled for that officer or which begins at least one hour
after the end of the officer's regularly-scheduled tour of duty and ends
at least one hour before the beginning of the following regularly-
scheduled assignment and requires the officer to return to a place of
work.
(5) ``Commute compensation'' means the compensation which a Customs
Officer is entitled to receive, in excess of the officer's base pay, for
returning to work, under certain conditions, to perform an overtime work
assignment. Commute compensation, within the limits prescribed by the
Act, shall be treated as overtime compensation, and is includable for
Federal retirement benefit purposes.
(6) Continuous assignment means the grouping of multiple overtime
assignments, performed by the same Customs Officer(s), which are
separated by periods of non-work, into a single unit for computation of
pay purposes.
(7) Customs Officer means only those individuals assigned to
position descriptions entitled ``Customs Inspector,'' ``Supervisory
Customs Inspector,'' ``Canine Enforcement Officer,'' ``Supervisory
Canine Enforcement Officer,'' ``Customs and Border Protection Officer,''
``Supervisory Customs and Border Protection Officer,'' ``Customs and
Border Protection Agriculture Specialist,'' or ``Supervisory Customs and
Border Protection Agriculture Specialist.''
(8) Fiscal year pay cap refers to the statutory maximum, in effect
for the year involved, in overtime and premium pay a Customs Officer
shall receive in that fiscal year. This aggregate limit may be waived by
the Commissioner of Customs or his/her designee in individual cases in
order to prevent excessive costs or to meet emergency requirements of
the Customs Service.
(9) Holiday means any day designated as a holiday by a Federal
statute or declared by an Executive order.
(10) Intermittent employee is a non-full-time employee who does not
have a regularly-scheduled tour of duty.
(11) Majority of hours, within the context of night work
differentials, means more than half of the hours of the daily regularly-
scheduled tour of duty.
(12) Night work means regularly-scheduled work performed by a
Customs Officer on tours of duty, in which a majority of the hours
worked occur between the hours of 3:00 p.m. and 8:00 a.m.
(13) Overtime pay means the compensation which a Customs Officer is
entitled to receive, in excess of the officer's base pay, for performing
officially-assigned work in excess of the 40 hours of the officer's
regularly-scheduled administrative workweek or in excess of 8 hours in a
day, which may include commute compensation as defined at paragraph
(b)(5) of this section. Overtime pay, within the limits prescribed by
the Act, is includable for Federal retirement benefit purposes.
(14) Premium pay differential means the compensation which a Customs
Officer is entitled to receive, in excess of the officer's base pay, for
performing officially-assigned work on holidays, Sundays and at night.
Premium pay is not includable for Federal retirement benefit purposes.
(15) Regularly-scheduled administrative workweek means, for a full-
time employee, the 40 hour period within an administrative workweek
within which the employee is regularly scheduled to work, exclusive of
any overtime; for a part-time employee, it means the officially
prescribed days and hours within an administrative workweek during which
the employee is regularly scheduled to work.
(c) Application and bond. (1) Except as provided for in paragraphs
(c)(2) and (4) of this section, an application for inspectional services
of Customs Officers at night or on a Sunday or holiday, Customs Form
3171, supported by the required cash deposit or bond, shall
[[Page 564]]
be filed in the office of the port director before the assignment of
such officers for reimbursable overtime services. The cash deposit to
secure reimbursement shall be fixed by the port director or authorized
representative in an amount sufficient to pay the maximum probable
compensation and expenses of the Customs Officers, or the maximum amount
which may be charged by law, whichever is less, in connection with the
particular services requested. The bond to secure reimbursement shall be
on Customs Form 301, containing the appropriate bond conditions set
forth in subpart G, part 113 of this chapter (see Sec. Sec. 113.62,
113.63, 113.64 and 113.73), and in an amount to be fixed by the port
director, unless another bond containing a provision to secure
reimbursement is on file. A bond given on Customs Form 301, containing
the appropriate bond conditions set forth in subpart G, part 113 of this
chapter (see Sec. Sec. 113.62, 113.63, 113.64 and 113.73), to secure the
payment of overtime services rendered private aircraft and private
vessels shall be taken without surety or cash deposit in lieu of surety,
and the bond shall be modified to so indicate.
(2) Prior to the expected arrival of a pleasure vessel or private
aircraft the port director may designate a Customs Officer to proceed to
the place of expected arrival to receive an application for night,
Sunday, or holiday services in connection with the arrival of such
vessel or aircraft, together with the required cash deposit or bond. In
each such case the assignment to perform services shall be conditional
upon the receipt of the appropriate application and security. Where the
security is a cash deposit, the receipt may be properly inscribed to
make it serve as a combined receipt for cash deposit in lieu of bond and
request for overtime services, in lieu of filing a request for overtime
services on Customs Form 3171.
Request for Overtime Services
Permit Number___________________________________________________________
I hereby request overtime services on ----------------, 19----;, at
---- a.m., p.m., in connection with the entry of my aircraft (vessel).
________________________________________________________________________
(Pilot, Owner, or Person in Charge)
(3) An application on Customs Form 3171 for overtime services of
Customs Officers, when supported by the required cash deposit or a
continuous bond, may be granted for a period not longer than for 1 year.
In such a case, the application must show the exact times when the
overtime services will be needed, unless arrangements are made so that
the proper Customs Officer will be notified timely during official hours
in advance of the services requested as to the exact times that the
services will be needed.
(4) Inspectional services will be provided to owners or operators of
aircraft without charge for overtime on Sundays and holidays between the
hours of 8:00 a.m. and 5:00 p.m. Applications for inspectional services
for aircraft during those hours shall be filed as set forth in paragraph
(c)(1) of this section, but without cash deposit or bond.
(d) Work Assignment Priorities. The establishment of regularly-
scheduled administrative tours of duty and assignments of Customs
Officers to overtime work under this section shall be made in accordance
with the following priorities, listed below in priority order:
(1) Alignment. Tours of duty should be aligned with the Customs
workload.
(2) Least Cost. All work assignments should be made in a manner
which minimizes the cost to the government or party in interest.
Decisions, including, but not limited to, what hours should be covered
by a tour of duty or whether an assignment should be treated as a
continuous assignment or subject to commute compensation, should be
based on least cost considerations. However, base pay comparison of
eligible employees shall not be used in the determination of staffing
assignments.
(3) Annuity integrity. For Customs Officers within 3 years of their
statutory retirement eligibility, the amount of overtime that can be
worked is limited to the average yearly number of overtime hours the
Customs Officer worked during his/her career with the Customs Service.
If the dollar value of the average yearly number of overtime hours
worked by such Customs Officer exceeds 50 percent of the applicable
statutory pay cap, then no overtime earning limitation based on this
annuity
[[Page 565]]
integrity provision would apply. Waivers concerning this annuity
integrity limitation may be granted by the Commissioner of Customs or
the Commissioner's designee in individual cases in order to prevent
excessive costs or to meet emergency requirements of Customs.
(e) Overtime Pay. (1) A Customs Officer who is officially assigned
to perform work in excess of the 40 hours in the officer's regularly-
scheduled administrative workweek or in excess of 8 hours in a day shall
be compensated for such overtime work performed at 2 times the hourly
rate of the officer's base pay, including any locality pay, but not
including any premium pay differentials for holiday, Sunday, or night
work.
(2) The computation of the amount of overtime worked by a Customs
Officer is subject to the following conditions:
(i) Overtime that is less than one hour. A quarter of an hour shall
be the smallest fraction of an hour used for paying overtime under this
subpart.
(ii) Absence during overtime. Except as expressly authorized by
statute, regulation, or court order (i.e., military leave, court leave,
continuation of pay under the workers compensation law, and back pay
awards), a Customs Officer shall be paid for overtime work only when the
officer reports as assigned.
(f) Special provisions relating to overtime work on a callback
basis--(1) Minimum duration and callback requirements. Any work for
which overtime pay is authorized and for which the Customs Officer is
required to return to a place of work shall be treated as being at least
2 hours in duration, but only if such work begins at least 1 hour after
the end of any previous regularly-scheduled work assignment and ends at
least 1 hour before the beginning of the following regularly-scheduled
work assignment. An unpaid meal period shall not be considered a break
in service for purposes of callback.
(2) Commute compensation--Eligibility. A Customs Officer shall be
compensated for overtime when the officer is called back and officially
assigned to perform work that:
(i) Is in excess of the 40 hours in the officer's regularly-
scheduled administrative workweek or in excess of 8 hours in a day;
(ii) Begins at least 1 hour after the end of any previous regularly-
scheduled work assignment;
(iii) Commences more than 2 hours prior to the start of the
officer's next regularly-scheduled work assignment;
(iv) Ends at least 1 hour before the beginning of the officer's next
regularly-scheduled work assignment; and,
(v) Commences less than 16 hours after the officer's last regularly-
scheduled work assignment. The 16 hours shall be calculated from the end
of the Customs Officer's last regularly-scheduled work assignment.
(3) Commute compensation--Amount. Commute compensation under this
section shall be in an amount equal to 3 times the hourly rate of the
Customs Officer's base pay for a one hour period, which includes
applicable locality pay, but does not include any premium pay
differentials for holiday, Sunday or night work. The Customs Officer
shall be entitled to this amount for an eligible commute regardless of
the actual commute time. However, an unpaid meal period shall not be
considered a break in service for purposes of commute compensation.
(4) Maximum Compensation for Multiple Assignments. If a Customs
Officer is assigned to perform more than one overtime assignment, in
which the officer is required to return to a place of work more than
once in order to complete the assignment, and otherwise satisfies the
callback requirements of paragraph (f)(1) of this section, then the
officer shall be entitled to commute compensation each time the officer
returns to the place of work provided that each assignment commences
less than 16 hours after the officer's last regularly-scheduled work
assignment. However, in no case shall the compensation be greater than
if some or all of the assignments were treated as one continuous
callback assignment.
(g) Premium pay differentials. Premium pay differentials may only be
paid for non-overtime work performed on holidays, Sundays, or, at night
(work performed, in whole or in part, between the hours of 3:00 p.m. and
8:00 a.m.). A Customs Officer shall receive
[[Page 566]]
payment for only one of the differentials for any one given period of
work. The order of precedence for the payment of premium pay
differentials is holiday, Sunday, and night work.
(1) Holiday differential. A Customs Officer who performs any
regularly-scheduled work on a holiday shall receive pay for that work at
the officer's hourly rate of base pay, which includes authorized
locality pay, plus premium pay amounting to 100 percent of that base
rate. Holiday differential premium pay will be paid only for time
worked. Intermittent employees are not entitled to holiday
differentials.
(i) When a holiday is designated by a calendar date, for example,
January 1, July 4, November 11, or December 25, the holiday will be
observed on that date regardless of Saturdays and Sundays. Customs
Officers who perform regularly-scheduled, non-overtime, tours of duty on
those days shall be paid the holiday differential. Holidays not
designated by a specific calendar date, such as President's Day (the
third Monday in February), shall be observed on that date, and Customs
Officers who perform regularly-scheduled, non-overtime, work on those
days shall be paid the holiday differential.
(ii) Inauguration Day (January 20 of each fourth year after 1965),
is a legal public holiday for the purpose of the Act. Customs Officers
whose duty locations are in the District of Columbia, or Montgomery and
Prince George counties in Maryland, or Arlington and Fairfax counties in
Virginia, or in the cities of Alexandria and Falls Church in Virginia,
who perform regularly-scheduled, non-overtime, work on that day shall be
paid the holiday differential. When Inauguration Day falls on Sunday,
the next succeeding day selected for the public observance of the
inauguration of the President is the legal public holiday.
(iii) If a legal holiday falls on a Customs Officer's regularly-
scheduled day off, the officer shall receive a holiday ``in lieu of''
that day. Holidays ``in lieu of'' shall not be granted for Inauguration
Day. A Customs Officer who works on an ``in lieu of'' holiday shall be
paid the holiday differential.
(iv) If a Customs Officer is assigned to a regularly-scheduled, non-
overtime, tour of duty which contains hours within and outside the 24-
hour calendar day of a holiday--for example, a tour of duty starting at
8 p.m. on a Monday holiday following a scheduled day off on Sunday and
ending at 4 a.m. on Tuesday--the Customs Officer shall receive the
holiday differential (up to 8 hours) for work performed during that
shift. If the Customs Officer is assigned more than one regularly-
scheduled, non-overtime, tour of duty which contains hours within and
outside the 24-hour calendar day of a holiday--for example, a tour of
duty starting at 8 p.m. on the Wednesday before a Thursday holiday and
ending at 4 a.m. on Thursday with another regularly-scheduled, non-
overtime, tour of duty starting at 8 p.m. on the Thursday holiday and
ending at 4 a.m. on Friday--the management official in charge of
assigning work shall designate one of the tours of duty as the officer's
holiday shift and the officer shall receive holiday differential (up to
8 hours) for work performed during the entire period of the designated
holiday shift. The Customs Officer shall not receive holiday
differential for any of the work performed on the tour of duty which has
not been designated as the holiday shift but will be eligible for Sunday
or night differential as appropriate.
(v) Customs Officers who are regularly scheduled, but not required,
to work on a holiday shall receive their hourly rate of base pay for
that 8-hour tour plus any Sunday or night differential they would have
received had the day not been designated as a holiday. To receive
holiday pay under this paragraph, the Customs Officer must be in a pay
status (at work or on paid leave), either the last work day before the
holiday or the first work day following the holiday.
(vi) A Customs Officer who works only a portion of a regularly-
scheduled, non-overtime, holiday shift will be paid the holiday
differential for the actual hours worked and the appropriate
differential (Sunday or night) for the remaining portion of the shift
such officer was not required to work. The night differential premium
pay shall be calculated based on the rate applicable to the entire
shift.
[[Page 567]]
(2) Sunday differential. A Customs Officer who performs any
regularly-scheduled work on a Sunday that is not a Federal holiday shall
receive pay for that work at the officer's hourly rate of base pay,
which includes authorized locality pay, plus premium pay amounting to 50
percent of that base rate. Sunday differential premium pay will be paid
only for time worked and is not applicable to overtime work performed on
a Sunday. A Customs Officer whose regularly-scheduled work occurs in
part on a Sunday, that is not a Federal holiday, and in part on the
preceding or following day, will receive the Sunday differential premium
pay for the hours worked between 12:01 a.m. and 12 Midnight on Sunday.
Intermittent employees are not entitled to Sunday differentials.
(3) Night work differentials. A Customs Officer who performs any
regularly-scheduled night work shall receive pay for that work at the
officer's hourly rate of base pay, including locality pay as authorized,
plus the applicable premium pay differential, as specified below, but
shall not receive such night differential for work performed during
overtime assignments. When all or the majority of the hours of a Customs
Officer's regularly-scheduled work occur between 3 p.m. and 8 a.m., the
officer shall receive a night differential premium for all the hours
worked during that assignment. Intermittent employees are not entitled
to night differentials.
(i) 3 p.m. to Midnight. If more than half of the hours of a Customs
Officer's regularly-scheduled shift occur between the hours of 3 p.m.
and 12 Midnight, the officer shall be paid at the officer's hourly rate
of base pay and shall also be paid a premium of 15 percent of that
hourly rate of base pay for all the hours worked.
(ii) 11 p.m. to 8 a.m. If more than half of the hours of a Customs
Officer's regularly-scheduled shift occur between the hours of 11 p.m.
and 8 a.m., the officer shall be paid at the officer's hourly rate of
base pay and shall also be paid a premium of 20 percent of that hourly
rate of base pay for all the hours worked.
(iii) 7:30 p.m. to 3:30 a.m. Shift. If the regularly-scheduled shift
of a Customs Officer is 7:30 p.m. to 3:30 a.m., the officer shall be
paid at the officer's hourly rate of base pay and shall also be paid a
premium of 15 percent of that hourly rate of base pay for the work
performed between 7:30 p.m. and 11:30 p.m. and 20 percent of that hourly
rate of base pay for the work performed between 11:30 p.m. and 3:30 a.m.
(iv) Work Scheduled During Two Differential Periods. A Customs
Officer shall only be paid one night differential rate per regularly-
scheduled shift, except as provided for in paragraph (iii) above. A
Customs Officer whose regularly-scheduled work occurs during two
separate differential periods shall receive the night differential
premium rate which applies to the majority of hours scheduled.
(v) Night Work Which Occurs in Part on a Sunday. When a Customs
Officer's regularly-scheduled shift occurs in part on a Sunday, the
officer shall receive Sunday differential pay for those hours of the
work which are performed during the 24 hour period of the Sunday, and
the night differential pay for those hours which do not fall on the
Sunday. For example, a Customs Officer who is assigned and works a shift
which starts at 8 p.m. Sunday and ends at 4 a.m. Monday, shall receive 4
hours of Sunday premium pay and 4 hours of night pay. The night
differential pay shall be calculated based on the rate applicable to the
particular tour of duty.
(h) Limitations. Total payments for overtime/commute, and
differentials for holiday, Sunday, and night work that a Customs Officer
is paid shall not exceed any applicable fiscal year pay cap established
by Congress. The Commissioner of Customs or the Commissioner's designee
may waive this limitation in individual cases to prevent excessive costs
or to meet emergency requirements of the Customs Service. However,
compensation awarded to a Customs Officer for work not performed, which
includes overtime awards during military leave or court leave,
continuation of pay under workers compensation law, and awards made in
accordance with back pay settlements, shall not be applied to any
applicable pay cap calculations.
[28 FR 14808, Dec. 31, 1963]
[[Page 568]]
Editorial Note: For Federal Register citations affecting Sec. 24.16,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 24.17 Reimbursable services of CBP employees.
(a) Amounts of compensation and expenses chargeable to parties-in-
interest in connection with services rendered by CBP employees during
regular hours of duty or on Customs overtime assignments (19 U.S.C. 267,
1451), under one or more of the following circumstances shall be
collected from such parties-in-interest and deposited by port directors
as repayments to the appropriation from which paid.
(1) When a CBP employee is assigned on board a vessel or vehicle
under authority of section 457, Tariff Act of 1930, to protect the
revenue, the owner or master of such vessel or vehicle shall be charged
the full compensation and authorized travel and subsistence expenses of
such employee from the time he leaves his official station until he
returns thereto.
(2) When a CBP employee is assigned on board a vessel under
authority of section 458, Tariff Act of 1930, to supervise the unlading
of such vessel, the master or owner of such vessel shall be charged the
full compensation of such employee for every day consumed in unlading
after the expiration of 25 days after the date of the vessel's entry.
(3) When a CBP employee is assigned under authority of section 304,
Tariff Act of 1930, as amended, to supervise the exportation,
destruction, or marking to exempt articles from the duty provided for in
such section, the importer of such merchandise shall be charged the full
compensation and authorized travel and subsistence expenses of such
employee from the time he leaves his official station until he returns
thereto.
(4) When a CBP employee is assigned pursuant to Sec. 101.4 of this
chapter to a Customs station or other place which is not a port of entry
for service in connection with the entry or clearance of a vessel, the
owner, master, or agent of the vessel shall be charged the full
compensation and authorized travel and subsistence expenses of such
employee from the time he leaves his official station until he returns.
When a CBP employee is so assigned to render service in connection with
the entry or delivery of merchandise only, the private interest shall be
charged only for the authorized travel and subsistence expenses incurred
by such employee from the time he leaves his official station until he
returns thereto except that no collection need be made if the total
amount chargeable against one importer for one day amounts to less than
50 cents (see Sec. 101.4(b) of this chapter). Where the amount
chargeable is 50 cents or more, but less than $1, a minimum charge of $1
shall be made.
(5) When a CBP employee is assigned under authority of section 447,
Tariff Act of 1930, to make entry of a vessel at a place other than a
port of entry or to supervise the unlading of cargo, the private
interest shall be charged the full compensation and authorized travel
and subsistence expenses of such employee from the time he leaves his
official station until he returns thereto.
(6) [Reserved]
(7) When a CBP employee is assigned on any vessel or vehicle, under
authority of section 456, Tariff Act of 1930, while proceeding from one
port to another, the master or owner of such vessel or vehicle shall be
charged the full compensation and authorized travel and subsistence
expenses of such employee from the time he leaves his official station
until he returns thereto, or, in lieu of such expenses, the master or
owner may furnish such employee the accommodations usually supplied to
passengers.
(8) When a CBP employee is assigned under authority of section 562,
Tariff Act of 1930, as amended, to supervise the manipulation of
merchandise at a place other than a bonded warehouse, the compensation
and expenses of such employee shall be reimbursed to the Government by
the party in interest. A Customs officer so assigned is not acting as a
customs warehouse officer, since the services have no connection with a
customs bonded warehouse.
(9) When a CBP employee is assigned to supervise the destruction of
merchandise pursuant to section 557(c), Tariff Act of 1930, as amended,
at a place where a CBP employee is not regularly assigned, the full
compensation
[[Page 569]]
and expenses of such employee shall be reimbursed to the Government by
the party in interest.
(10) When a CBP employee is assigned to supervise the labeling of
imported merchandise in accordance with the provisions of
Sec. Sec. 11.12(b), 11.12a(b), 11.12b(b) of the regulations of this
chapter or the removal or obliteration of prohibited markings and trade
marks from merchandise which has been detained or seized in accordance
with the provisions of Sec. Sec. 11.13(c) and 11.17(b) of the
regulations of this chapter or to supervise the exportation or
destruction of any such merchandise, the compensation and expenses of
such CBP employee shall be reimbursed to the Government by the party in
interest.
(11) When a CBP employee is assigned to supervise examination,
sampling, weighing, repacking, segregation, or other operation on
merchandise in accordance with Sec. Sec. 151.4, 151.5, 158.11, 158.14,
and 158.42 of this chapter, the compensation and other expenses of such
employee shall be reimbursed to the Government by the party-in-interest
except when a warehouse proprietor is liable therefor.
(12) When a CBP employee is assigned to provide Customs services at
an airport or other facility under 19 U.S.C. 58b, the facility shall
reimburse to the Government an amount equal to the salary and expenses
of such employee (including overtime) plus any other expenses incurred
in providing those Customs services at the facility.
(b) When a CBP employee is assigned to render services the nature of
which is such that the private interest is required to reimburse the
Government for his compensation and on the same assignment performs
services for which compensation is not reimbursable, a charge shall be
made to the private interest for the full compensation of the CBP
employee unless the time devoted to each class of service can be clearly
segregated.
(c) The charge for any service enumerated in this section for which
expenses are required to be reimbursed shall include actual
transportation expenses of a CBP employee within the port limits and any
authorized travel expenses of a CBP employee, including per diem, when
the services are performed outside the port limits irrespective of
whether the services are performed during a regular tour of duty or
during a Customs overtime assignment. No charge shall be made for
transportation expenses when a CBP employee is reporting to as a first
daily assignment, or leaving from as a last daily assignment, a place
within or outside the port limits where he is assigned to a regular tour
of duty. No charge shall be made for transportation expenses within the
port limits or travel expenses, including per diem, outside the port
limits in connection with a Customs overtime assignment for which
reimbursement of expenses is not covered by this section.
(d) Computation charge for reimbursable services. The charge to be
made for the services of a CBP employee on a regular workday during his
basic 40-hour workweek shall be computed at a rate per hour equal to 137
percent of the hourly rate of regular pay of the particular employee
with an addition equal to any night pay differential actually payable
under 5 U.S.C. 5545. The rate per hour equal to 137 percent of the
hourly rate of regular pay is computed as follows:
------------------------------------------------------------------------
Hours Hours
------------------------------------------------------------------------
Gross number of working hours in 52 40-hour weeks... ........ 2,080
Less:
9 Legal public holidays--New Years Day, 72 ........
Washington's Birthday, Memorial Day, Independence
Day, Labor Day, Columbus Day, Teterans Day,
Thanksgiving Day, and Christmas Day..............
Annual Leave--26 days............................... 208 ........
Sick Leave--13 days................................. 104 384
-------------------
Net number of working hours......................... ........ 1,696
===================
Gross number of working hours in 52 40-hour weeks............. 2,080
Working hour equivalent of Government contributions for 239
employee uniform allowance, retirement, life insurance and
health benefits computed at 11\1/2\ percent of annual rate of
pay of employee..............................................
Equivalent annual working hour charge to Customs appropriation 2,319
=========
Ratio of annual number of working hours charged to Customs
appropriation to net number of annual working hours 2,319/
1,696=137 percent.
------------------------------------------------------------------------
(1) The charge to be made for the reimbursable services of a CBP
employee to perform on a holiday or outside the
[[Page 570]]
established basic workweek shall be the amount actually payable to the
employee for such services under the Federal Employees Pay Act of 1945,
as amended (5 U.S.C. 5542(a), 5546), or the Customs overtime laws (19
U.S.C. 267, 1451), or both, as the case may be. When such services are
performed by an intermittent when-actually-employed employee, the charge
for such services shall be computed at a rate per hour equal to 108
percent of the hourly rate of the regular pay of such employee to
provide for reimbursement of the Government's contribution under the
Federal Insurance Contributions Act, as amended (25 U.S.C. 3101, et
seq.), and employee uniform allowance. The time charged shall include
any time within the regular working hours of the employee required for
travel between the duty assignment and the place where the employee is
regularly employed excluding lunch periods, charged in multiples of 1
hour, any fractional part of an hour to be charged as 1 hour when the
services are performed during the regularly scheduled tour of duty of
the officer or between the hours of 8 a.m. and 5 p.m. on weekdays when
the officer has no regularly scheduled tour of duty. In no case shall
the charge be less than $1.
(2) The necessary transportation expenses and any authorized per
diem expenses of a CBP employee assigned to perform reimbursable
services at a location at which he is not regularly assigned shall be
reimbursed by the responsible party.
(3) When a CBP employee is regularly assigned to duty at more than
one location, the charge for his compensation and transportation
expenses in going from one location to another shall be equitably
apportioned among the parties concerned. However, no charge shall be
made for transportation expenses when a CBP employee is reporting to as
a first assignment, or leaving from as a last assignment, a place where
he is regularly assigned to duty.
(4) Upon a failure to pay such charges when due, or to comply with
the applicable laws and regulations, the port director shall report the
facts to the Accounting Services--Accounts Receivable, which shall take
appropriate action to collect the charges.
(e) The reimbursable charge for customs overtime compensation shall
be computed in accordance with Sec. 24.16.
(f) Medicare Compensation Costs. In addition to other expenses and
compensation chargeable to parties-in-interest as set forth in this
section, such persons shall also be required to reimburse Customs in the
amount of 1.35 percent of the reimbursable compensation expenses
incurred. Such payment will reimburse Customs for its share of Medicare
costs.
[28 FR 14808, Dec. 31, 1963]
Editorial Note: For Federal Register citations affecting Sec. 24.17,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 24.18 Preclearance of air travelers in a foreign country;
reimbursable cost.
(a) Preclearance is the tentative examination and inspection of air
travelers and their baggage at foreign places where U.S. Customs
personnel are stationed for that purpose.
(b) At the request of an airline, travelers on a direct flight to
the United States from a foreign place described in paragraph (a) of
this section may be precleared prior to departure from such place. A
charge based on the excess cost to Customs of providing preclearance
services as defined in paragraph (c) of this section shall be made to
the airline.
(c) The reimbursable excess cost is the difference between the cost
of examining and inspecting air travelers and their baggage upon arrival
in the United States assuming no preclearance was provided, and the cost
of providing preclearance for air travelers at the place of departure.
Such excess cost shall include all items attributable to the
preclearance operation. This does not include the salary of personnel
regularly assigned to a preclearance station other than approved salary
differentials related to the foreign assignment and the salary of relief
details made necessary by reason of the nature of the operation. In
addition, such cost shall include the following allowances and expenses:
(1) Housing allowances;
(2) Post of duty allowances;
[[Page 571]]
(3) Education allowances;
(4) Transportation cost incident to the assignment to the foreign
station and return, including transportation of family and household
effects;
(5) Home leave and associated transportation costs; and
(6) Equipment, supplies and administrative costs including costs of
supervising the preclearance installation.
(d) The reimbursable excess cost described in paragraph (c) of this
section shall be determined for each preclearance installation. On the
basis of the excess cost figure for each installation, the excess cost
of providing preclearance service for a biweekly pay period shall be
determined. The initial schedule of biweekly excess cost will be based
on the actual excess cost for fiscal year 1969. Thereafter, a quarterly
(ending with the pay period closely corresponding to June 30, September
30, December 31, and March 31) cost analysis will be conducted and the
schedule of biweekly excess costs will be adjusted so that the current
biweekly excess cost schedule will reflect the actual excess costs of
the previous quarter. Such schedules of biweekly costs for each
installation shall be published in the Federal Register. The biweekly
excess cost in effect at an installation at the time the charge is made
shall be used in calculating the prorated charge for preclearance
service for each airline in accordance with paragraph (e) of this
section.
(e) The charge to each airline for preclearance service shall be its
prorated share of the applicable excess cost prorated to the aircraft
receiving such services during the billing period on the following
basis:
(1) Five percent shall be distributed equally among the airlines
serviced.
(2) Ten percent shall be distributed proportionately as the number
of clearances serviced bears to the total number of clearances.
(3) Eighty-five percent shall be distributed proportionately as the
number of passengers and/or crew serviced for each airline bears to the
total number of passengers and/or crew serviced.
(f) Customs services for which overtime compensation is provided for
by section 5 of the Act of February 13, 1911, as amended (19 U.S.C.
267), and the expenses recovered thereunder are governed by Sec. 24.16
and are in no way affected by this section. (63 Stat. 290; 31 U.S.C.
483a)
[T.D. 70-34, 35 FR 1161, Jan. 29, 1970, as amended by T.D. 85-123, 50 FR
29953, July 23, 1985]
Sec. 24.21 Administrative overhead charges.
(a) Reimbursable and overtime services. An additional charge for
administrative overhead costs shall be collected from parties-in-
interest who are required to reimburse Customs for compensation and/or
expenses of Customs officers performing reimbursable and overtime
services for the benefit of such parties under Sec. Sec. 24.17 and
24.16, respectively, of this part. The cost of the charge for
administrative overhead shall be 15 percent of the compensation and/or
expenses of the Customs officers performing the service.
(b) Other services. An additional charge for administrative overhead
costs shall be collected from parties-in-interest who are required to
reimburse Customs for compensation and/or expenses of Customs officers
performing various services for the benefit of such parties. The cost of
the charge for administrative overhead shall be 15 percent of the
compensation and/or expenses of the Customs officers performing the
service. The fees, whether billed or not, include, but are not limited
to:
(1) Navigation fees for vessel services in Sec. 4.98;
(2) [Reserved]
(3) Fee to establish container stations in Sec. 19.40;
(4) Fee for furnishing the names and addresses of importers of
merchandise appearing to infringe a registered patent in
Sec. 24.12(a)(3);
(5) Charge for storing merchandise in a Government-owned or rented
building in Sec. 24.12(c);
(6) Charge for the sale of in-bond and in-transit seals in
Sec. 24.13(f);
(7) Charge for the sale of Customs forms in Sec. 24.14(b);
(8) Charge for preclearing aircraft in a foreign country in
Sec. 24.18;
(9) Fee for issuing a customhouse broker's license in
Sec. 111.12(a);
[[Page 572]]
(10) Fee for designating a carrier or freight forwarder as a carrier
of Customs bonded merchandise in Sec. 112.12(a);
(11) Fee for issuing a Customs bonded cartman's license in
Sec. 112.22(a)(2);
(12) Fee for recording of trademarks in Sec. 133.3;
(13) Fee for renewing, or recording a change in name of owner, or of
ownership of, a trademark in Sec. Sec. 133.5(d), 133.6(b), 133.7(a)(3);
(14) Fee for recording of trade name in Sec. 133.13(b);
(15) Fee for recording a copyright in Sec. 133.33(b); and
(16) Fee for renewing, or recording a change in name of owner, or of
ownership of, a copyright in Sec. Sec. 133.35(b)(2), 133.36(b),
133.37(a)(3);
(c) No administrative overhead charge. No additional charge for
administrative overhead costs discussed in paragraphs (a) and (b) of
this section shall be collected if (1) imposition of such charge is
precluded by law; (2) there is a formal accounting system for
determining administrative overhead for a service, in which case that
system shall be used for determining the cost of the charge for
administrative overhead; or (3) the charge for administrative overhead
for a service is specifically provided for elsewhere in this chapter.
[T.D. 84-231, 49 FR 46122, Nov. 23, 1984, as amended by T.D. 95-99, 60
FR 62733, Dec. 7, 1995; T.D. 99-64, 64 FR 43266, Aug. 10, 1999]
Sec. 24.22 Fees for certain services.
(a) Definitions. For purposes of this section:
(1) The term vessel includes every description of watercraft or
other contrivance used or capable of being used as a means of
transportation on water but does not include any aircraft.
(2) The term arrival means arrival at a port of entry in the customs
territory of the United States or at any place serviced by any such port
of entry.
(3) The expression calendar year means the period from January 1 to
December 31 of any particular year.
(4) The term ferry means any vessel which is being used to provide
transportation only between places that are no more than 300 miles apart
and which is being used to transport only:
(i) Passengers, and/or
(ii) Vehicles, or railroad cars, which are being used, or have been
used, in transporting passengers or goods.
(b) Fee for arrival of certain commercial vessels--(1) Vessels of
100 net tons or more--(i) Fee. Except as provided in paragraphs (b)(2)
and (b)(4) of this section, a processing fee in the amount of $437 must
be tendered by the master, licensed deck officer, or purser upon arrival
of any commercial vessel of 100 net tons or more which is required to
enter under Sec. 4.3 of this chapter or upon arrival of any U.S.-flag
vessel of 100 net tons or more proceeding coastwise under Sec. 4.85 of
this chapter. The fee will be collected for each arrival regardless of
the number of arrivals taking place in the course of a single voyage.
(ii) Fee limitation. No fee or portion thereof will be collected
under paragraph (b)(1)(i) of this section for the arrival of a vessel
during any calendar year after a total of $5,955 in fees has been paid
under paragraphs (b)(1)(i) and (b)(2)(i) of this section for all
arrivals of such vessel during such calendar year, provided that
adequate proof of such total payment is submitted to CBP.
(2) Barges and other bulk carriers from Canada or Mexico--(i) Fee. A
processing fee of $110 must be tendered upon arrival of any barge or
other bulk carrier which arrives from Canada or Mexico either in ballast
or transporting only cargo laden in Canada or Mexico. The fee will be
collected for each arrival regardless of the number of arrivals taking
place in the course of a single voyage. For purposes of this paragraph,
the term ``barge or other bulk carrier'' means any vessel, other than a
ferry, which is not self-propelled or which transports fungible goods
that are not packaged in any form.
(ii) Fee limitation. No fee or portion thereof will be collected
under paragraph (b)(2)(i) of this section for the arrival of a barge or
other bulk carrier during any calendar year after a total of $1,500 in
fees has been paid under paragraphs (b)(1)(i) and (b)(2)(i) of this
section for all arrivals of such vessel during such calendar year,
provided that adequate proof of such total payment is submitted to CBP.
[[Page 573]]
(3) Prepayment. The vessel operator, owner, or agent may at any time
prepay the maximum calendar year amount specified in paragraph
(b)(1)(ii) or (b)(2)(ii) of this section, or any remaining portion of
that amount if individual arrival fees have already been paid on the
vessel for that calendar year. Prepayment must be made at a CBP port
office. When prepayment is for the remaining portion of a maximum
calendar year amount, certified copies of receipts (CBP Form 368 or
368A) issued for individual arrival fee payments during the calendar
year must accompany the payment.
(4) Exceptions. The following vessels are exempt from payment of the
fees specified in paragraphs (b)(1) and (b)(2) of this section:
(i) Foreign passenger vessels making at least three trips a week
from a port in the United States to the high seas and returning to the
same U.S. port without having touched any foreign port or place, even
though formal entry is still required;
(ii) Any vessel which, at the time of arrival, is being used solely
as a tugboat;
(iii) Any government vessel for which no report of arrival or entry
is required as provided in Sec. 4.5 of this chapter; and
(iv) A ferry except for a ferry that began operations on or after
August 1, 1999, and operates south of 27 degrees latitude and east of 89
degrees longitude.
(c) Fee for arrival of a commercial truck--(1) Fee. The fee for a
commercial truck consists of both an Animal and Plant Health Inspection
Service/Agricultural Quarantine Inspection (APHIS/AQI) fee set forth in
7 CFR 354.3 for the services provided and a CBP fee of $5.50 that CBP
collects on behalf of APHIS. Upon arrival at a CBP port of entry, the
driver or other person in charge of a commercial truck must tender the
fee to CBP unless it has been prepaid as provided for in paragraph
(c)(2) of this section. The fee will not apply to any commercial truck
which, at the time of arrival, is being transported by any vessel other
than a ferry. For purposes of this paragraph, the term ``commercial
truck'' means any self-propelled vehicle, including an empty vehicle or
a truck cab without a trailer, which is designed and used for the
transportation of commercial merchandise or for the transportation of
non-commercial merchandise on a for-hire basis.
(2) Fee limitation. No fee will be collected under paragraph (c)(1)
of this section for the arrival of a commercial truck during any
calendar year once a prepayment of the commercial truck fee, as defined
in paragraph (c)(1) has been made and a transponder has been affixed to
the vehicle windshield as provided in paragraph (c)(3) of this section.
(3) Prepayment. The owner, agent, or person in charge of a
commercial vehicle may at any time prepay the commercial truck fee as
defined in paragraph (c)(1) for all arrivals of that vehicle during a
calendar year or any remaining portion of a calendar year. Prepayment
must be made in accordance with the procedures and payment methods set
forth in this paragraph and paragraph (i) of this section. The
transponder request and prepayment by credit card or ACH debit may be
made via the Internet through the ``Travel'' link on the CBP Web site
located at http://www.cbp.gov. Alternatively, prepayment may be sent by
mail with credit card information, check, or money order made payable to
U.S. Customs and Border Protection, along with a completed CBP Form 339C
(Annual User Fee Decal Request--Commercial Vehicle) for each commercial
truck to the following address: U.S. Customs and Border Protection,
Attn: DTOPS Program Administrator, 6650 Telecom Drive, Suite 100,
Indianapolis, IN 46278. Once the prepayment has been made under this
paragraph, a transponder will be issued to be permanently affixed by
adhesive to the lower left hand corner of the vehicle windshield in
accordance with the accompanying instructions, to show that the vehicle
is exempt from payment of the fees for individual arrivals during the
applicable calendar year or any remaining portion of that year. If any
of the information provided on the CBP Form 339C or the online
application changes during the calendar year, the owner, agent, or
person in charge of the commercial truck must inform the CBP Decal and
Transponder Online
[[Page 574]]
Procurement System (DTOPS) Program Administrator of the changed
information in writing, or update the information on the CBP Web site
referenced above, no later than 15 days from the date of the change.
Failure to timely notify CBP of changed information may result in the
commercial truck being stopped for secondary inspection, assessment of
liquidated damages, or other sanctions.
(d) Fee for arrival of a railroad car--(1) Fee. Except as provided
in paragraph (d)(6) of this section, a fee of $8.25 will be charged for
the arrival of each loaded or partially loaded passenger or commercial
freight railroad car. The railroad company receiving a railroad car in
interchange at a port of entry or, barring interchange, the company
moving a car in line haul service into the customs territory of the
United States,will be responsible for payment of the fee. Payment of the
fee must be made in accordance with the procedures set forth in
paragraph (d)(3) or (d)(4) of this section. For purposes of this
paragraph, the term ``railroad car'' means any carrying vehicle,
measured from coupler to coupler and designed to operate on railroad
tracks, other than a locomotive or a caboose.
(2) Fee limitation. No feewill be collected under paragraph (d)(1)
of this section for the arrival of a railroad car during any calendar
year once a prepayment of $100 has been made as provided in paragraph
(d)(3) of this section, provided that adequate records are maintained to
enable CBP to verify any such prepayment.
(3) Prepayment. As an alternative to the payment procedures set
forth in paragraph (d)(4) of this section, a railroad company may at any
time prepay a fee of $100 to cover all arrivals of a railroad car during
a calendar year or any remaining portion of a calendar year. The
prepayment, accompanied by a letter setting forth the railroad car
number(s) covered by the payment, the calendar year to which the payment
applies, a return address, and any additional information required under
paragraph (i) of this section, must made in accordance with the
procedures and payment methods set forth in this paragraph and paragraph
(i) of this section.
(4) Statement filing and payment procedures. (i) The Association of
American Railroads (AAR), the National Railroad Passenger Corporation
(AMTRAK), and any railroad company preferring to act individually, must
file monthly statements with CBP, and must make payment of the arrival
fees to CBP, in accordance with the procedures set forth in paragraphs
(d)(4) (ii) and (i) of this section. Each monthly statement must
indicate:
(A) The number of railroad cars subject to the arrival fee during
the relevant period;
(B) The number of such railroad cars pulled by each carrier; and
(C) The total processing fees due from each carrier for the relevant
period.
(ii) AMTRAK and railroad companies acting individually must file
each monthly statement within 60 days after the end of the applicable
calendar month, and the fees covered by each statement must be remitted
with the statement. Monthly statements prepared by the AAR on behalf of
individual railroad companies must be filed within 60 days after the end
of the applicable calendar month, and each railroad company must remit
the fees as calculated for it by the AAR within 60 days after the end of
that calendar month. In cases of conflict between the AAR and an
individual railroad company regarding calculation of the fees, the
railroad company must timely remit the amount as calculated by the AAR
even if the dispute is unresolved. Subsequent settlements may be
accounted for by an explanation in, and adjustment of, the next payment
to CBP. Payment must be made in accordance with the procedures and
payment methods set forth in this paragraph and paragraph (i) of this
section.
(5) Maintenance of records. The AAR, AMTRAK, and each railroad
company preparing and filing its own statements must maintain all
documentation necessary for CBP to verify the accuracy of the fee
calculations and to otherwise determine compliance under the law. Such
documentation must be maintained in the United States for a period of 5
years from the date of fee calculation. The AAR, AMTRAK, and each
railroad company preparing and filing
[[Page 575]]
its own statements must provide to CBP the name, address, and telephone
number of a responsible officer who is able to verify any statements or
records required to be filed or maintained under this section, and must
promptly notify CBP of any changes in identifying information previously
submitted.
(6) Exceptions. The following railroad cars are exempt from payment
of the fee specified in paragraph (d)(1) of this section:
(i) Any railroad car whose journey originates and terminates in the
same country, provided that no passengers board or disembark from the
train and no cargo is loaded or unloaded from the car while the car is
within any country other than the country in which the car originates
and terminates, including any such railroad car which is set out for
repairs outside the United States and then returned to on-line service
without having undergone loading or unloading of passengers or cargo
during the repair period;
(ii) Any railroad car transporting only containers, bins, racks,
dunnage and other fixed or loose equipment or materials which have been
used for enclosing, supporting or protecting commercial freight; and
(iii) Any railroad car which, at the time of arrival, is being
transported by any vessel other than a ferry.
(e) Fee for arrival of a private vessel or private aircraft--(1)
Fee. Except as provided in paragraph (e)(3) of this section, the master
or other person in charge of a private vessel or private aircraft must,
upon first arrival in any calendar year, proceed to CBP and tender the
sum of $27.50 to cover services provided in connection with all arrivals
of that vessel or aircraft during that calendar year. Either a properly
completed CBP Form 339V (Annual User Fee Decal Request--Vessels) or CBP
Form 339A (Annual User Fee Decal Request--Aircraft), must accompany the
payment. Upon payment of the annual fee, a decal will be issued to be
permanently affixed by adhesive to the vessel or aircraft, in accordance
with accompanying instructions, as evidence that the fee has been paid.
Except in the case of private aircraft, and aircraft landing at user fee
airports authorized under 19 U.S.C. 58b, all overtime charges provided
for in this part remain payable notwithstanding payment of the fee
specified in this paragraph.
(2) Prepayment. A private vessel or private aircraft owner or
operator may, at any time during the calendar year, prepay the $27.50
annual fee specified in paragraph (e)(1) of this section. Prepayment
must be made in accordance with the procedures and payment methods set
forth in this paragraph and paragraph (i) of this section. The decal
request and prepayment by credit card or ACH debit may be made via the
Internet through the ``Travel'' link at the CBP Web site located at
http://www.cbp.gov. Alternatively, prepayment may be sent by mail with
credit card information, check, or money order made payable to U.S.
Customs and Border Protection, along with a properly completed CBP Form
339V (Annual User Fee Decal Request--Vessels) or CBP Form 339A (Annual
User Fee Decal Request--Aircraft), to the following address: U.S.
Customs and Border Protection, Attn: DTOPS Program Administrator, 6650
Telecom Drive, Suite 100, Indianapolis, IN 46278.
(3) Exceptions. The following are exempt from payment of the fee
specified in paragraph (e)(1) of this section:
(i) Private pleasure vessels of less than 30 feet in length, so long
as they are not carrying any goods required to be declared to CBP;
(ii) Any private pleasure vessel granted a cruising license under
Sec. 4.94 of this chapter, during the term of the license; and
(iii) Any private vessel which, at the time of arrival, is being
transported by any vessel other than a ferry.
(f) Fee for dutiable mail. The addressee of each item of dutiable
mail for which a CBP officer prepares documentation will be assessed a
processing fee in the amount of $5.50. When the merchandise is delivered
by the Postal Service, the feewill be shown as a separate item on the
entry and collected at the time of delivery of the merchandise along
with any duty and taxes due. When CBP collects the fee directly from the
importer or his agent, the fee will be included as a separate item on
the informal entry or entry summary document.
[[Page 576]]
(g) Fees for arrival of passengers aboard commercial vessels and
commercial aircraft--(1) Fees. (i) Subject to paragraphs (g)(1)(ii) and
(g)(3) of this section, a fee of $5.50 must be collected and remitted to
CBP for services provided in connection with the arrival of each
passenger aboard a commercial vessel or commercial aircraft from a place
outside the United States, other than Canada, Mexico, one of the
territories and possessions of the United States, or one of the adjacent
islands, in either of the following circumstances:
(A) When the journey of the arriving passenger originates in a place
outside the United States other than Canada, Mexico, one of the
territories or possessions of the United States, or one of the adjacent
islands; or
(B) When the journey of the arriving passenger originates in the
United States and is not limited to Canada, Mexico, territories and
possessions of the United States, and adjacent islands.
(ii) Subject to paragraph (g)(3) of this section, a fee of $1.93
must be collected and remitted to CBP for services provided in
connection with the arrival of each passenger aboard a commercial vessel
from Canada, Mexico, one of the territories and possessions of the
United States, or one of the adjacent islands, regardless of whether the
journey of the arriving passenger originates in a place outside the
United States or in the United States.
(iii) For purposes of this paragraph (g), the term ``territories and
possessions of the United States'' includes American Samoa, Guam, the
Northern Mariana Islands, Puerto Rico, and the U.S. Virgin Islands, and
the term ``adjacent islands'' includes Saint Pierre, Miquelon, Cuba, the
Dominican Republic, Haiti, Bermuda, the Bahamas, Barbados, Jamaica, the
Windward and Leeward Islands, Trinidad, Martinique, and other British,
French, and Netherlands territory or possessions in or bordering on the
Caribbean Sea.
(iv) For purposes of this paragraph (g), a journey, which may
encompass multiple destinations and more than one mode of
transportation, will be deemed to originate in the location where the
person's travel begins under cover of a transaction which includes the
issuance of a ticket or travel document for transportation into the
customs territory of the United States.
(v) For purposes of this paragraph (g), the term ``passenger'' means
a natural person for whom transportation is provided and includes an
infant whether a separate ticket or travel document is issued for the
infant or the infant occupies a seat or is held or carried by another
passenger.
(vi) For purposes of paragraph (g)(1)(ii) of this section, the term
``commercial vessel'' includes any ferry that began operations on or
after August 1, 1999, and operates south of 27 degrees latitude and east
of 89 degrees longitude.
(vii) In the case of a commercial vessel making a single voyage
involving two or more United States ports, the applicable fee prescribed
under paragraph (g)(1)(i) or (g)(1)(ii) of this section is required to
be charged only one time for each passenger.
(2) Fee chart. The chart set forth below outlines the application of
the fees specified in paragraphs (g)(1)(i) and (ii) of this section with
reference to the place where the passenger's journey originates and with
reference to the place from which the passenger arrives in the United
States (that is, the last stop on the journey prior to arrival in the
United States). In the chart:
(i) SL stands for ``Specified Location'' and means Canada, Mexico,
any territories and possessions of the United States, and any adjacent
islands;
(ii) The single asterisk (*) means that the journey originating in
the United States is limited to travel to one or more Specified
Locations;
(iii) The double asterisk (**) means that the journey originating in
the United States includes travel to at least one place other than a
Specified Location; and
(iv) N/A indicates that the facts presented in the chart preclude
application of the fee.
[[Page 577]]
----------------------------------------------------------------------------------------------------------------
Fee status for arrival from SL Fee status for arrival from other than
Place where journey originates -------------------------------------- SL
(see (g)(1)(iv)) -----------------------------------------
Vessel Aircraft Vessel Aircraft
----------------------------------------------------------------------------------------------------------------
SL.............................. $1.93 No fee.............. No fee............. No fee.
Other than SL or U.S............ 1.93 $5.50............... $5.50.............. $5.50.
U.S.*........................... 1.93 No fee.............. N/A................ N/A.
U.S.**.......................... 1.93 $5.50............... $5.50.............. $5.50.
----------------------------------------------------------------------------------------------------------------
(3) Exceptions. The fees specified in paragraph (g)(1) of this
section will not apply to the following categories of arriving
passengers:
(i) Crew members and persons directly connected with the operation,
navigation, ownership or business of the vessel or aircraft, provided
that the crew member or other person is traveling for an official
business purpose and not for pleasure;
(ii) Diplomats and other persons in possession of a visa issued by
the United States Department of State in class A-1, A-2, C-2, C-3, G-1
through G-4, or NATO 1-6;
(iii) Persons arriving as passengers on any aircraft used
exclusively in the governmental service of the United States or a
foreign government, including any agency or political subdivision of the
United States or foreign government, so long as the aircraft is not
carrying persons or merchandise for commercial purposes. Passengers on
commercial aircraft under contract to the U.S. Department of Defense are
exempted if they have been precleared abroad under the joint DOD/CBP
Military Inspection Program;
(iv) Persons arriving on an aircraft due to an emergency or forced
landing when the original destination of the aircraft was a foreign
airport;
(v) Persons who are in transit to a destination outside the United
States and for whom CBP inspectional services are not provided;
(vi) Persons departing from and returning to the same United States
port as passengers on board the same vessel without having touched a
foreign port or place; and
(vii) Persons arriving as passengers on board a commercial vessel
traveling only between ports that are within the customs territory of
the United States.
(4) Fee collection procedures. (i) Each air or sea carrier, travel
agent, tour wholesaler, or other party issuing a ticket or travel
document for transportation into the customs territory of the United
States is responsible for collecting from the passenger the applicable
fee specified in paragraph (g)(1) of this section, including the fee
applicable to any infant traveling without a separate ticket or travel
document. The fee must be separately identified with a notation
``Federal inspection fees'' on the ticket or travel document issued to
the passenger to indicate that the required fee has been collected. A
fee relative to an infant traveling without a ticket or travel document
may be identified instead with the notation on a receipt or other
document issued for that purpose or to record the infant's travel. If
the ticket or travel document, or a receipt or other document issued
relative to an infant traveling without a ticket or travel document, is
not so marked and was issued in a foreign country, the fee must be
collected by the departing carrier upon departure of the passenger from
the United States. If the fee is collected at the time of departure from
the United States, the carrier making the collection must issue a
receipt to the passenger. U.S.-based tour wholesalers who contract for
passenger space and issue non-carrier tickets or travel documents must
collect the fee in the same manner as a carrier.
(ii) Collection of the fee under paragraph (g)(1)(i) of this section
will include the following circumstances:
(A) When a through ticket or travel document is issued covering (or
a receipt or other document issued for an infant traveling without a
ticket or travel document indicates that the infant's journey is
covering) a journey into the customs territory of the United States
which originates in and arrives from a place outside the United States
other than Canada, Mexico, one of the territories and possessions of the
United States, or an adjacent island;
[[Page 578]]
(B) When a return ticket or travel document is issued (or a receipt
or other document that indicates an infant traveling without a return
ticket or travel document is issued) in connection with a journey which
originates in the United States, includes a stop in a place other than
Canada, Mexico, one of the territories and possessions of the United
States, or an adjacent island, and the return arrival to the United
States is from a place other than one of these specified places; and
(C) When a passenger on a journey in transit through the United
States to a foreign destination arrives in the customs territory of the
United States from a place other than Canada, Mexico, one of the
territories and possessions of the United States, or an adjacent island,
is processed by CBP, and the journey does not originate in one of these
specified places.
(iii) Collection of the fee under paragraph (g)(1)(ii) of this
section will include the following circumstances:
(A) When a through ticket or travel document is issued covering (or
a receipt or other document issued for an infant traveling without a
ticket or travel document indicates that the infant's journey is
covering) a journey into the customs territory of the United States from
Canada, Mexico, one of the territories and possessions of the United
States, or an adjacent island;
(B) When a return ticket or travel document is issued (or a receipt
or other document that indicates an infant traveling without a return
ticket or travel document is issued) in connection with a journey which
originates in the United States and the return arrival to the United
States is from Canada, Mexico, one of the territories and possessions of
the United States, or an adjacent island; and
(C) When a passenger on a journey in transit through the United
States to a foreign destination arrives in the customs territory of the
United States from Canada, Mexico, one of the territories and
possessions of the United States, or an adjacent island and is processed
by CBP.
(5) Quarterly payment and statement procedures. Payment to CBP of
the fees required to be collected under paragraph (g)(1) of this section
must be made no later than 31 days after the close of the calendar
quarter in which the fees were required to be collected from the
passenger. Payment of the fees must be made to the party required to
collect the fee under paragraph (g)(4)(i) of this section, and must be
made in accordance with the procedures and payment methods set forth in
this paragraph and paragraph (i) of this section. Overpayments and
underpayments may be accounted for by an explanation with, and
adjustment of, the next due quarterly payment to CBP. The quarterly
payment must be accompanied by a statement that includes the following
information:
(i) The name and address of the party remitting payment;
(ii) The taxpayer identification number of the party remitting
payment;
(iii) The calendar quarter covered by the payment;
(iv) The total number of tickets for which fees were required to be
collected, the total number of infants traveling without a ticket or
travel document for which fees were required to be collected, and the
total amount of fees collected and remitted; and
(v) For commercial vessel passengers, the total number of tickets
for which fees were required to be collected, the total number of
infants traveling without a ticket or travel document for which fees
were required to be collected, the total amount of fees collected and
remitted to CBP, and a separate breakdown of the foregoing information
relative to the $5.50 vessel passenger fee collected and remitted under
paragraph (g)(1)(i) of this section and the $1.93 vessel passenger fee
collected and remitted under paragraph (g)(1)(ii) of this section.
(6) Each carrier contracting with a U.S.-based tour wholesaler is
responsible for notifying CBP of each flight or voyage so contracted,
the number of spaces contracted for on each flight or voyage, and the
name, address and taxpayer identification number of the tour wholesaler,
within 31 days after the close of the calendar quarter in which such a
flight or voyage occurred.
(7) Maintenance of records. Each air or sea carrier, travel agent,
tour wholesaler, or other party affected by this
[[Page 579]]
paragraph must maintain all such documentation necessary for CBP to
verify the accuracy of fee calculations and to otherwise determine
compliance under the law. Such documentation must be maintained in the
United States for a period of 5 years from the date of fee calculation.
Each such affected party must provide to CBP the name, address, and
telephone number of a responsible officer who is able to verify any
statements or records required to be filed or maintained under this
section, and must promptly notify Customs of any changes in the
identifying information previously submitted.
(8) Limitation on charges. Except in the case of costs reimbursed
under Sec. 24.17(a)(14) of this part, customs services provided to
passengers arriving in the United States on scheduled airline flights
(as defined in Sec. 122.1(k) of this chapter and operating within the
requirements of subpart D of part 122 of this chapter) will be provided
at no cost to airlines and airline passengers other than the fee
specified in paragraph (g)(1) of this section.
(h) Annual customs broker permit fee. Customs brokers are subject to
an annual fee for each district permit and for a national permit held by
an individual, partnership, association, or corporation, as provided in
Sec. 111.96(c) of this chapter. The annual fee for each district permit
must be submitted to the port through which the broker was granted the
permit. The annual fee for a national permit must be submitted to the
port through which the broker's license is delivered.
(i) Information submission and fee remittance procedures. In
addition to any information specified elsewhere in this section, each
payment made by mail must be accompanied by information identifying the
person or organization remitting the fee, the type of fee being remitted
(for example, railroad car, commercial truck, private vessel), and the
time period to which the payment applies and must be mailed to the
following address: U.S. Customs and Border Protection, Revenue Division,
Attn: User Fee Team, 6650 Telecom Drive, Suite 100, Indianapolis, IN
46278. All fee payments required under this section in U.S. dollars, and
must be paid in accordance with the provisions of Sec. 24.1. The fees
may be made using any payment method authorized by Sec. 24.1 and for
which the CBP location receiving the payment is equipped to process, and
are subject to any restrictions as described elsewhere in this section.
To pay railroad user fees on Pay.gov, an email must be sent to the
Office of Administration, Revenue Division to establish a Pay.gov
account. The email address for this purpose is [email protected].
Once the Pay.gov account is established, payments may be made directly
on Pay.gov without a further need to contact CBP. Where payment is made
at a CBP port, credit cards will be accepted only where the port is
equipped to accept credit cards for the type of payment being made.
Check or money orders must be made payable to U.S. Customs and Border
Protection and must be annotated with the appropriate class code. The
applicable class codes and payment locations for each fee are as
follows:
(1) Fee under paragraph (b)(1) of this section (commercial vessels
of 100 net tons or more other than barges and other bulk carriers from
Canada or Mexico): class code 491. Payment location: port of arrival for
each individual arrival (fee to be collected by CBP at the time of
arrival) or prepayment at the port in accordance with paragraph (b)(3)
of this section;
(2) Fee under paragraph (b)(2) of this section (barges and other
bulk carriers from Canada or Mexico): class code 498. Payment location:
port of arrival for each individual arrival (fee to be collected by CBP
at the time of arrival) or prepayment at the port in accordance with
paragraph (b)(3) of this section;
(3) Fee under paragraph (c) of this section (commercial vehicles):
for each individual arrival, class code 492 for the CBP fee and class
code 482 for the APHIS/AQI fee; for prepayment of the maximum calendar
year fee, class code 902 for the CBP fee and class code 483 for the
APHIS/AQI fee. Payment location: port of arrival for each individual
arrival (fee to be collected by CBP at the time of arrival) or
prepayment in accordance with paragraph (c)(3) of this section;
[[Page 580]]
(4) Fee under paragraph (d) of this section (railroad cars): for
each individual arrival (under the monthly payment and statement filing
procedure), class code 493; for prepayment of the maximum calendar year
fee, class code 903. Payment location: for individual arrivals (monthly
payment and statement filing), see paragraph (d)(4)(ii) of this section;
for prepayment, see paragraph (d)(3) of this section;
(5) Fee under paragraph (e) of this section (private vessels and
aircraft): for private vessels, class code 904; for private aircraft,
class code 494. Payment location: port of arrival for each individual
arrival (fee to be collected by CBP at the time of arrival) or
prepayment in accordance with paragraph (e)(2) of this section;
(6) Fee under paragraph (f) of this section (dutiable mail): class
code 496. Payment location: see paragraph (f) of this section;
(7) Fee under paragraph (g)(1)(i) of this section (the $5.50 fee for
commercial vessel and commercial aircraft passengers): class code 495.
Payment location: see paragraph (g)(5) of this section;
(8) Fee under paragraph (g)(1)(ii) of this section (the $1.93 fee
for commercial vessel passengers): class code 484. Payment location: see
paragraph (g)(5) of this section; and
(9) Fee under paragraph (h) of this section (customs broker
permits): for district permits, class code 497; for national permits,
class code 997. Payment location: see paragraph (h) of this section.
(j) Treatment of fees as customs duty--(1) Administration and
enforcement. Unless otherwise specifically provided in this chapter, all
administrative and enforcement provisions under the customs laws and
regulations, other than those laws and regulations relating to drawback,
will apply with respect to any fee provided for under this section, and
with respect to any person liable for the payment of such fee, as if
such fee is a customs duty. For purposes of this paragraph, any penalty
assessable in relation to an amount of customs duty, whether or not any
such duty is in fact due and payable, will be assessed in the same
manner with respect to any fee required to be paid under this section.
(2) Jurisdiction. For purposes of determining the jurisdiction of
any court or agency of the United States, any fee provided for under
this section will be treated as if such fee is a Customs duty.
[T.D. 93-85, 58 FR 54282, Oct. 21, 1993, as amended by T.D. 94-1, 58 FR
69470, Dec. 30, 1993; 59 FR 8853, Feb. 24, 1994; T.D. 98-56, 63 FR
32944, June 16, 1998; CBP Dec. 03-13, 68 FR 43627, July 24, 2003; 72 FR
3733, Jan. 26, 2007; CBP Dec. 13-03, 78 FR 5136, Jan. 24, 2013]
Sec. 24.23 Fees for processing merchandise.
(a) Definitions. The following definitions apply for the purposes of
this section:
(1) Centralized hub facility. A centralized hub facility is a
separate, unique, single purpose facility normally operating outside of
CBP operating hours approved by the port director for entry filing,
examination, and release of express consignment shipments, as provided
for in part 128 of this chapter on July 30, 1990.
(2) Entered or released. Merchandise is entered or released if the
merchandise is:
(i) Released under a special permit for immediate delivery under 19
U.S.C. 1448(b);
(ii) Entered or released from CBP custody under 19 U.S.C.
1484(a)(1)(A); or
(iii) Withdrawn from warehouse for consumption.
(3) Express consignment carrier facility. An express consignment
carrier facility is a separate or shared specialized facility approved
by the port director solely for the examination and release of express
consignment shipments, as provided for in part 128 of this chapter on
July 30, 1990.
(4) Manual entry or release. Any reference to a manual formal or
informal entry or release must not include:
(i) Any formal or informal entry or release filed by an importer or
broker who is operational for cargo release through the Automated Broker
Interface (ABI) of the CBP Automated Commercial System (ACS) at any port
within the United States;
(ii) Any formal or informal entry or release filed at a port where
cargo selectivity is not fully implemented if
[[Page 581]]
filed by an importer or broker who is operational for ABI entry summary;
or
(iii) Any informal entry or any Line Release filed at a part where
cargo selectivity is fully implemented if filed by an importer or broker
who is operational for ABI entry summary.
(5) Small airport or other facility. A small airport or other
facility is any airport or other facility which has been designated as a
user fee facility under 19 U.S.C. 58b and at which more than 25,000
informal entries were processed during the preceding fiscal year.
(b) Fees--(1) Formal entry or release--(i) Ad valorem fee--(A)
General. Except as provided in paragraph (c) of this section,
merchandise that is formally entered or released is subject to the
payment to CBP of an ad valorem fee of 0.3464 percent. The 0.3464 ad
valorem fee is due and payable to CBP by the importer of record of the
merchandise at the time of presentation of the entry summary and is
based on the value of the merchandise as determined under 19 U.S.C.
1401a. In the case of an express consignment carrier facility or
centralized hub facility, each shipment covered by an individual air
waybill or bill of lading that is formally entered and valued at $2,500
or less is subject to a $1.00 per individual air waybill or bill of
lading fee and, if applicable, to the 0.3464 percent ad valorem fee in
accordance with paragraph (b)(4) of this section.
(B) Maximum and minimum fees. Subject to the provisions of
paragraphs (b)(1)(ii) and (d) of this section relating to the surcharge
and to aggregation of the ad valorem fee respectively, the ad valorem
fee charged under paragraph (b)(1)(i)(A) of this section must not exceed
$485 and must not be less than $25.
(ii) Surcharge for manual entry or release. In the case of any
formal manual entry or release of merchandise, a surcharge of $3 will be
assessed and will be in addition to any ad valorem fee charged under
paragraphs (b)(1)(i)(A) and (B) of this section.
(2) Informal entry or release. Except in the case of merchandise
covered by paragraph (b)(3) or paragraph (b)(4) of this section, and
except as otherwise provided in paragraph (c) of this section,
merchandise that is informally entered or released is subject to the
payment to CBP of a fee of:
(i) $2 if the entry or release is automated and not prepared by CBP
personnel;
(ii) $6 if the entry or release is manual and not prepared by CBP
personnel; or
(iii) $9 if the entry or release, whether automated or manual, is
prepared by CBP personnel.
(3) Small airport or other facility. With respect to the processing
of letters, documents, records, shipments, merchandise, or any other
item that is valued at $2,500 or less, or any higher amount prescribed
for purposes of informal entry in Sec. 143.21 of this chapter, a small
airport or other facility must pay to CBP an amount equal to the
reimbursement (including overtime) which the facility is required to
make during the fiscal year under Sec. 24.17.
(4) Express consignment carrier and centralized hub facilities. Each
carrier or operator using an express consignment carrier facility or a
centralized hub facility must pay to CBP a fee in the amount of $1.00
per individual air waybill or individual bill of lading for the
processing of airway bills for shipments arriving in the U.S. In
addition, if merchandise is formally entered and valued at $2,500 or
less, the importer of record must pay to CBP the ad valorem fee
specified in paragraph (b)(1) of this section, if applicable. An
individual air waybill or individual bill of lading is the individual
document issued by the carrier or operator for transporting and/or
tracking an individual item, letter, package, envelope, record,
document, or shipment. An individual air waybill is the bill at the
lowest level, and is not a master bill or other consolidated document.
An individual air waybill or bill of lading is a bill representing an
individual shipment that has its own unique bill number and tracking
number, where the shipment is assigned to a single ultimate consignee,
and no lower bill unit exists. Payment must be made to CBP on a
quarterly basis and must cover the individual fees for all subject
transactions that occurred during a calendar quarter. The following
additional requirements and conditions apply to
[[Page 582]]
each quarterly payment made under this section:
(i) The quarterly payment must conform to the requirements of
Sec. 24.1, must be mailed to Customs and Border Protection, Revenue
Division/Attention: Reimbursables, 6650 Telecom Drive, Suite 100,
Indianapolis, Indiana 46278, and must be received by CBP no later than
the last day of the month that follows the close of the calendar quarter
to which the payment relates.
(ii) The following information must be included with the quarterly
payment:
(A) The identity of the calendar quarter to which the payment
relates;
(B) The identity of the facility for which the payment is made and
the port code that applies to that location and, if the payment covers
multiple facilities, the identity of each facility and its port code and
the portion of the payment that pertains to each port code; and
(C) The total number of individual air waybills and individual bills
of lading covered by the payment, and a breakdown of that total for each
facility covered by the payment according to the number covered by
formal entry procedures, the number covered by informal entry procedures
specified in Sec. Sec. 128.24(e) and 143.23(j) of this chapter, and the
number covered by other informal entry procedures.
(iii) Overpayments or underpayments may be accounted for by an
explanation in, and adjustment of, the next due quarterly payment to
CBP. In the case of an overpayment or underpayment that is not accounted
for by an adjustment of the next due quarterly payment to CBP, the
following procedures apply:
(A) In the case of an overpayment, the carrier or operator may
request a refund by writing to Customs and Border Protection, Revenue
Division/Attention: Reimbursables, 6650 Telecom Drive, Suite 100,
Indianapolis, Indiana 46278. The refund request must specify the grounds
for the refund and must be received by CBP within one year of the date
the fee for which the refund is sought was paid to CBP; and
(B) In the case of an underpayment, interest will accrue on the
amount not paid from the date payment was initially due to the date that
payment to CBP is made.
(iv) The underpayment or failure of a carrier or operator using an
express consignment carrier facility or a centralized hub facility to
pay all applicable fees owed to CBP pursuant to paragraph (b)(4) of this
section may result in the assessment of penalties under 19 U.S.C. 1592,
liquidated damages, and any other action authorized by law.
(c) Exemptions and limitations. (1) The ad valorem fee, surcharge,
and specific fees provided for under paragraphs (b)(1) and (b)(2) of
this section will not apply to:
(i) Except as provided in paragraph (c)(2) of this section, articles
provided for in chapter 98, Harmonized Tariff Schedule of the United
States (HTSUS; 19 U.S.C. 1202);
(ii) Products of insular possessions of the U.S. (General Note
3(a)(iv), HTSUS);
(iii) Products of beneficiary countries under the Caribbean Basin
Economic Recovery Act (General Note 7, HTSUS);
(iv) Products of least-developed beneficiary developing countries
(General Note 4(b)(i), HTSUS); and
(v) Merchandise described in General Note 19, HTSUS, merchandise
released under 19 U.S.C. 1321, and merchandise imported by mail.
(2) In the case of any article provided for in subheading 9802.00.60
or 9802.00.80, HTSUS:
(i) The surcharge and specific fees provided for under paragraphs
(b)(1)(ii) and (b)(2) of this section will remain applicable; and
(ii) The ad valorem fee provided for under paragraph (b)(1)(i) of
this section will be assessed only on that portion of the cost or value
of the article upon which duty is assessed under subheadings 9802.00.60
and 9802.00.80.
(3) The ad valorem, surcharge, and specific fees provided for under
paragraphs (b)(1) and (b)(2) of this section will not apply to goods
originating in Canada or Mexico within the meaning of General Note 12,
HTSUS (see also 19 U.S.C. 3332), where such goods qualify to be marked,
respectively, as goods of Canada or Mexico pursuant to Annex 311 of the
North American Free Trade Agreement and without regard to whether the
goods are marked. For
[[Page 583]]
qualifying goods originating in Mexico, the exemption applies to goods
entered or released (as defined in this section) after June 29, 1999.
Where originating goods as described above are entered or released with
other goods that are not originating goods, the ad valorem, surcharge,
and specific fees will apply only to those goods which are not
originating goods.
(4) In the case of agricultural products of the U.S. that are
processed and packed in a foreign trade zone, the ad valorem fee
provided for under paragraph (b)(1)(i) of this section will be applied
only to the value of any material used to make the container for such
merchandise, but only if that merchandise is subject to entry and the
container is of a kind normally used for packing such merchandise.
(5) The ad valorem fee, surcharge, and specific fees provided for
under paragraphs (b)(1) and (b)(2) of this section will not apply to
products of Israel that are entered, or withdrawn from warehouse for
consumption, on or after September 16, 1998 (the effective date of a
determination published in the Federal Register on September 1, 1998,
under section 112 of the Customs and Trade Act of 1990).
(6) The ad valorem fee, surcharge, and specific fees provided under
paragraphs (b)(1) and (b)(2)(i) of this section will not apply to goods
that qualify as originating goods under Sec. 202 of the United States-
Singapore Free Trade Agreement Implementation Act (see also General Note
25, HTSUS) that are entered, or withdrawn from warehouse for
consumption, on or after January 1, 2004.
(7) The ad valorem fee, surcharge, and specific fees provided under
paragraphs (b)(1) and (b)(2)(i) of this section will not apply to goods
that qualify as originating goods under Sec. 202 of the United States-
Chile Free Trade Agreement Implementation Act (see also General Note 26,
HTSUS) that are entered, or withdrawn from warehouse for consumption, on
or after January 1, 2004.
(8) The ad valorem fee, surcharge, and specific fees provided under
paragraphs (b)(1) and (b)(2)(i) of this section will not apply to goods
that qualify as originating goods under Sec. 202 of the United States-
Bahrain Free Trade Agreement Implementation Act (see also General Note
30, HTSUS) that are entered, or withdrawn from warehouse for
consumption, on or after August 1, 2006.
(9) The ad valorem fee, surcharge, and specific fees provided under
paragraphs (b)(1) and (b)(2)(i) of this section will not apply to goods
that qualify as originating goods under section 203 of the Dominican
Republic-Central America-United States Free Trade Agreement
Implementation Act (see also General Note 29, HTSUS) that are entered,
or withdrawn from warehouse for consumption, on or after March 1, 2006.
(10) The ad valorem fee, surcharge, and specific fees provided under
paragraphs (b)(1) and (b)(2)(i) of this section will not apply to goods
that qualify as originating goods under Sec. 202 of the United States--
Oman Free Trade Agreement Implementation Act (see also General Note 31,
HTSUS) that are entered, or withdrawn from warehouse for consumption, on
or after January 1, 2009.
(11) The ad valorem fee, surcharge, and specific fees provided under
paragraphs (b)(1) and (b)(2)(i) of this section will not apply to goods
that qualify as originating goods under Sec. 203 of the United States-
Peru Trade Promotion Agreement Implementation Act (see also General Note
32, HTSUS) that are entered, or withdrawn from warehouse for
consumption, on or after February 1, 2009.
(12) The ad valorem fee, surcharge, and specific fees provided under
paragraphs (b)(1) and (b)(2)(i) of this section will not apply to goods
that qualify as originating goods under Sec. 203 of the United States-
Korea Free Trade Agreement (see also General Note 33, HTSUS) that are
entered, or withdrawn from warehouse for consumption, on or after March
15, 2012.
(13) The ad valorem fee, surcharge, and specific fees provided under
paragraphs (b)(1) and (b)(2)(i) of this section will not apply to goods
that qualify as originating goods under section 203 of the United
States-Colombia Trade Promotion Agreement Implementation Act (see also
General Note 34, HTSUS that are entered, or withdrawn from
[[Page 584]]
warehouse for consumption, on or after May 15, 2012.
(14) The ad valorem fee, surcharge, and specific fees provided under
paragraphs (b)(1) and (b)(2)(i) of this section will not apply to goods
that qualify as originating goods under section 203 of the United
States-Panama Trade Promotion Agreement Implementation Act (see also
General Note 35, HTSUS) that are entered, or withdrawn from warehouse
for consumption, on or after October 29, 2012.
(d) Aggregation of ad valorem fee. (1) Notwithstanding any other
provision of this section, in the case of entries of merchandise made
under any temporary monthly entry program established by CBP before July
1, 1989, for the purpose of testing entry processing improvements, the
ad valorem fee charged under paragraph (b)(1)(i) of this section for
each day's importations at an individual port will be the lesser of the
following, provided that those importations involve the same importer
and exporter:
(i) $400; or
(ii) The amount determined by applying the ad valorem rate under
paragraph (b)(1)(i)(A) of this section to the total value of such daily
importations.
(2) The fees as determined under paragraph (d)(1) of this section
must be paid to CBP at the time of presentation of the monthly entry
summary. Interest will accrue on the fees paid monthly in accordance
with section 6621 of the Internal Revenue Code of 1986.
(e) Treatment of fees as customs duty--(1) Administration and
enforcement. Unless otherwise specifically provided in this chapter, all
administrative and enforcement provisions under the customs laws and
regulations, other than those laws and regulations relating to drawback,
will apply with respect to any fee provided for under this section, and
with respect to any person liable for the payment of such fee, as if
such fee is a customs duty. For purposes of this paragraph, any penalty
assessable in relation to an amount of customs duty, whether or not any
such duty is in fact due and payable, will be assessed in the same
manner with respect to any fee required to be paid under this section.
(2) Jurisdiction. For purposes of determining the jurisdiction of
any court or agency of the United States, any fee provided for under
this section will be treated as if such fee is a customs duty.
[T.D. 91-33, 56 FR 15039, Apr. 15, 1991]
Editorial Note: For Federal Register citations affecting Sec. 24.23,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 24.24 Harbor maintenance fee.
(a) Fee. Commercial cargo loaded on or unloaded from a commercial
vessel is subject to a port use fee of 0.125 percent (.00125) of its
value if the loading or unloading occurs at a port within the definition
of this section, unless exempt under paragraph (c) of this section or
one of the special rules in paragraph (d) of this section is applicable.
(b) Definitions. For the purpose of this section:
(1) Port means any channel or harbor (or component thereof) in the
customs territory of the United States which is not an inland waterway
and is open to public navigation and at which Federal funds have been
used since 1977 for construction, maintenance or operation. It does not
include channels or harbors deauthorized by Federal law before 1985. A
complete list of the ports subject to the harbor maintenance fee is set
forth below:
Port Codes, Names, and Descriptions of Ports Subject to Harbor
Maintenance Fee
[Section 1402 of Pub. L. 99-662, as amended]
------------------------------------------------------------------------
Port code, port name and state Port descriptions and notations
------------------------------------------------------------------------
Alabama
1901--Mobile
Alaska
3126--Anchorage..................... Includes Seldovia Harbor, and
Homer. Movements between these
points are intraport.
3106--Dalton Cache.................. Includes Haines Harbor.
3101--Juneau........................ Includes only Hoonah Harbor. Fee
does not apply to Juneau Harbor.
[[Page 585]]
3102--Ketchikan..................... Includes Metlakatla Harbor. Fee
does not apply to Wades Cove.
3127--Kodiak
3112--Petersburg.................... Includes Wrangell Narrows.
3125--Sand Point.................... Includes Humboldt, King Cove and
Iliuliuk Harbor. Fee does not
apply to Dutch Harbor.
3115--Sitka......................... Includes Sergius-Whitestone
Narrows.
--St. Paul
California
2802--Eureka........................ Includes Crescent City.
Los Angeles/Long Beach Ports........ Includes Ventura, Port Hueneme,
2709--Long Beach Harbor......... Channel Islands Harbor, Santa
2704--Los Angeles............... Barbara, Marina Del Ray, Los
2713--Port Hueneme.............. Angeles and Long Beach. Movements
2712--Ventura................... between these points are
intraport.
2805--Monterrey
2719--Moro Bay...................... Includes only Moro Bay.
2501--San Diego..................... Includes San Diego River and
Mission Bay, and Oceanside
Harbor.
2707--San Luis
San Francisco Bay Area Ports *...... Includes all points inshore of the
2813--Alameda................... Golden Gate Bridge on the bays
2830--Carquinez Strait.......... and the straits and on the Napa,
2815--Crockett.................. Sacramento and San Joaquin
2820--Martinez.................. Rivers, and on the deep water
2811--Oakland................... channels to Sacramento and
2821--Redwood City.............. Stockton. Movements between
2812--Richmond.................. points above Suisun Bay
2816--Sacramento................ (Longitude 122 degrees West at
2809--San Francisco............. Port Chicago) are intraport.
2828--San Joaquin............... Movements between points below
2829--San Pablo Bay............. Longitude 122 degrees West and
2827--Selby..................... the Golden Bridge are all
2810--Stockton.................. intraport. All other movements
2831--Suisun Bay................ are interport.
Connecticut
0410--Bridgeport.................... Includes Housatonic River, and
Stamford Harbor, and Wilson Point
Harbor. Movements between these
points are intraport.
0411--Hartford...................... Includes all points on the
Connecticut River between
Hartford and Long Island Sound.
Movements within this area are
intraport.
0412--New Haven
0413--New London.................... Includes all points on the Thames
River from the mouth to, and
including Norwich, CT. Also
includes Groton, CT.
Delaware
Delaware River Ports, DE, NJ, PA *.. Includes all points on the
1102--Chester, PA............... Delaware River from Trenton to
1107--Camden, NJ................ the sea at a line between Cape
1113--Gloucester, NJ............ Henlopen and Cape May, all points
1118--Marcus Hook, PA........... on the lower four miles of the
1105--Paulsboro, NJ............. Christina River, Delaware, and
1101--Philadelphia, PA.......... all points on the lower six miles
1103--Wilmington, DE............ of Schuylkill River,
Pennsylvania. Fee applies to all
movements on the Chesapeake and
Delaware Canal east of U.S.
Highway 13. Includes Absecon
Inlet (Atlantic City) and Cold
Spring Inlet. Movements within
this area are intraport.
District of Columbia
Potomac River Ports, DC, MD, VA *... Includes all points on the Potomac
5402--Alexandria, VA............ River (see Chesapeake Bay Ports
5401--Washington, DC............ map) from a line between Point
Lookout and the Little Wicomico
River at Chesapeake Bay to and
including Washington and
Alexandria. Movements between
these points are intraport.
Florida
1807--Boca Grande
1805--Fernandina Beach
5205--Fort Pierce
1803--Jacksonville
5202--Key West
[[Page 586]]
5201--Miami
1818--Panama City................... For HMF purposes, also includes
1819--Pensacola................. Carrabelle and Port St. Joe.
1816--Port Canaveral............
5203--Port Everglades...........
Tampa Bay Ports *................... Includes Alafia River, Port
1814--St Petersburg............. Manatee, Port Sutton, Port Tampa
1801--Tampa..................... Weedon Island, and all other
points on or approached using the
Tampa Harbor Channel inshore of
the Sunshine Skyway Bridge.
Movements between these points
are intraport.
5204--West Palm Beach
Georgia
1701--Brunswick..................... Includes St. Marys River.
1703--Savannah
Hawaii
3202--Hilo.......................... Includes Kawaihae.
3201--Honolulu...................... Includes Barbers Point Harbor.
3203--Kahului....................... Includes Kaunakakai Harbor.
3204--Nawiliwili-Port Allen......... Includes both Nawiliwili and Port
Allen.
Illinois
Southern Lake Michigan Ports........ Includes Waukegan Harbor, IL,
3901--Chicago, IL............... Indiana Harbor (East Chicago, IN)
3904--East Chicago, IN.......... Calumet Harbor, the Chicago River
3905--Gary, IN.................. (up to the North Avenue Bridge)
and the Chicago Harbor. Fee
applies at the ports of Michigan
City and Burns Waterway Harbor,
IN. Fee does not apply at
Buffington Harbor or Gary Harbor.
Movements within an area from
Waukegan, IL to Michigan City, IN
are intraport.
Indiana
Southern Lake Michigan Ports........ Includes Waukegan Harbor, IL.
3901--Chicago, IL............... Indiana Harbor (East Chicago, IN)
3904--East Chicago, IN.......... Calumet Harbor, the Chicago River
3905--Gary, IN.................. (up to the North Avenue Bridge)
and the Chicago Harbor. Fee
applies at the ports of Michigan
City and Burns Waterway Harbor,
IN. Fee does not apply at
Buffington Harbor or Gary Harbor.
Movements within an area from
Waukegan, IL to Michigan City, IN
are intraport.
Louisiana
2017--Lake Charles.................. Includes all points on the
Calcasieu River and Pass. Also
includes Mermentau River from
Catfish Point Control Structure
to the Gulf.
Mississippi River Ports/Baton Rouge Includes all river points from
and Vicinity *. River Mile 115 Above Head of
2004--Baton Rouge............... Passes (AHP) at the St. Charles
2010--Gramercy.................. Parish-Jefferson Parish line, to
River Mile 233.9 AHP at Baton
Rouge. Includes Destrehan, Good
Hope, and St. Rose. Movements
between these points are
intraport.
Mississippi River Ports/New Orleans Includes all river points from
and Vicinity *. River mile 115 Above Head of
2002--New Orleans............... Passes (AHP) to Mile 21.6 Below
2005--Port Sulphur.............. Head of Passes (BHP) via
Southwest Pass and to Mile 14.7
BHP via South Pass. Also includes
all points on the Inner Harbor
Navigation Canal, Avondale, and
the Mississippi River Gulf
Outlet. Movements between these
points are intraport.
2001--Morgan City *................. Includes Atchafalaya River from
Morgan City to the Gulf. Includes
all points on the Houma
Navigation Canal, and points on
the Gulf Intra-coastal Waterway
between Mile 49.8 West and Mile
107.0 West. Movements between
these points are intraport.
Maine
0102--Bangor
0111--Bath
0131--Portsmouth, NH
0132--Belfast....................... Includes all Penobscot River
points (Bucksport and
Winterport), and Georges River.
Fee does not apply at Belfast,
Searsport, Sandy Point, or
Castine Harbor.
0101--Portland
Maryland
Chesapeake Bay Ports, MD *.......... Includes all Maryland points on
1303--Baltimore................. the Chesapeake Bay and its
1302--Cambridge................. tributary waters except for the
1301--Annapolis................. Potomac Rivers. Also includes the
Waterway from the Delaware River
to the Chesapeake Bay west of
U.S. 13 highway bridge. Movements
between these points are
intraport. (Also see Chesapeake
Bay Ports: VA.)
Massachusetts
0401--Boston........................ Includes all of the Port of Boston
inshore of Castle Island on the
Inner Harbor and Chelsea and
Mystic River and all points on
the Weymouth Fore, and Town and
Black Rivers, and Dorchester Bay.
Also includes Plymouth Harbor.
Movements between points on the
Saugus River in the North and
Plymouth Harbor in the South are
intraport.
0404--Gloucester
0407--Fall River
[[Page 587]]
Michigan
3843--Alpena........................ Fee does not apply to Stoneport.
Monroe/Detroit/Harbor Beach Includes Monroe, Detroit, and the
3801--Detroit Detroit River, St. Clair River,
3802--Port Huron Port Huron and all points on the
Rouge and Black Rivers. Fee also
applies at Harbor Beach, MI. All
movements within this area
between Monroe and Harbor Beach,
MI are intraport.
3808--Escanaba...................... Fee applies at all points on the
little Bay de Noc above Escanaba,
including Gladstone and Kipling.
Movements within an area from
Escanaba to the Mackinac Bridge
are intraport. Fee does not apply
at Escanaba.
South Central Lake Superior Ports... Includes Ontonagon Harbor, all
3809--Marquette................. points on the Harbor, all points
3842--Presque Isle.............. on the Keweenaw Waterway, Presque
Isle Harbor and Marquette and
Grand Marais. Movements between
all Michigan ports on Lake
Superior are intraport.
Eastern Lake Michigan Ports......... Fee applies at Charlevoix,
3815--Muskegon.................. Frankfort, Portage Lake, Manatee,
3816--Grand Haven............... Ludington, Pentwater Harbor,
3844--Ferrysburg................ Ferrysburg, White Lake Harbor,
Muskegon, Grand Haven, and South
Haven, Holland, and St. Joseph/
Benton Harbor, MI. All movements
between Eastern Lake Michigan
ports are intraport.
Upper Lake Huron Ports.............. Includes all points on the St.
3803--Sault Ste. Marie.......... Mary's River, the ports of
3804--Saginaw-Flint-Bay City.... Cheyboygan, Alpena, Bay City, and
3843--Alpena.................... Saginaw River. Does not include
Alabaster, Cacit, Port Dolomite,
Port Inland, Port Gypum or
Stoneport. Movements within an
area from Sault Ste. Marie and
the Saginaw River are intraport.
Minnesota
Duluth/Superior Area Ports.......... Fee applies at Two Harbors and
3601--Duluth.................... Duluth, MN, and Superior, WI. Fee
3602--Ashland................... also applies at Ashland and Port
3608--Superior.................. Wing, WI and Grand Marais, MN.
3614--Silver Bay................ Fee does not apply at Taconite,
or Silver Bay, MN. All movements
between Silver Bay, MN and
Ashland, WI are considered
intraport.
Mississippi
1902--Gulfport...................... Does not include Bienville.
1903--Pascagoula
New Hampshire
0131--Portsmouth, NH
New Jersey
Delaware River Ports, DE, NJ, PA *.. Includes all points on the
1102--Chester, PA............... Delaware River from Trenton to
1107--Camden, NJ................ the sea at a line between Cape
1113--Gloucester, NJ............ Henlopen and Cape May, all points
1118--Marcus Hook, PA........... on the lower four miles of the
1105--Paulsboro, NJ............. Christina River, Delaware, and
1101--Philadelphia, PA.......... all points on the lower six miles
1103--Wilmington, DE............ of the Schuylkill River, PA. Fee
applies to all movements on the
Chesapeake and Delaware Canal
east of U.S. Highway 13. Includes
Absecon Inlet (Atlantic City) and
Cold Spring Inlet. Movements
between these points are
intraport.
1003--Newark........................ See New York Harbor.
1004--Perth Amboy................... See New York Harbor.
New York
New York Harbor, NY, NJ *........... Includes all points in New York
1001--New York.................. and New Jersey with the Port of
1003-Newark..................... New York on the waters inshore of
1004--Perth Amboy............... a line between Sandy Hook and
Rockaway Point and south of
Tappan Zee Bridge on the Hudson
and west of Throgs Neck Bridge of
the East River. Movements between
these and all points within the
New York Port District boundaries
described in New York Code
(Chapter 154, Laws of New York,
1921), are intraport.
1002--Albany *...................... Includes all points on the Hudson
River between Tappan Zee Bridge
and the Troy Lock and Dam.
Movements between points within
this area are intraport.
0901--Buffalo-Niagara Falls......... Includes Buffalo Harbor, Black
Rock Channel and Tonawanda
Harbor, and all points on
Cattaraugus Creek, and Dunkirk
Harbor. Movements between these
points are intraport.
0706--Cape Vincent
0701--Ogdensburg
0904--Oswego
0903--Rochester
0905--Sodus Point................... Includes Little Sodus Bay Harbor,
and Great Sodus Bay Harbor.
North Carolina
1511--Beaufort-Morehead City........ Includes Ocracoke Inlet. Movements
within this area are intraport.
[[Page 588]]
1501--Wilmington................ Includes all points on the Cape
Fear and Northeast Cape Fear
Rivers inshore of the Atlantic
Ocean entrance. Movements within
this area are intraport.
Ohio
Lake Erie Ports..................... Includes Toledo, Sandusky, Huron,
4108--Ashtabula................. Lorain, Cleveland, Fairport,
4101--Cleveland................. Ashtabula, Conneaut and Erie.
4109--Conneaut.................. Movements between these points
4106--Erie, PA.................. are intraport. Fee does not apply
4111--Fairport.................. at Marblehead.
4117-Huron......................
4121--Lorain....................
4105--Toledo-Sandusky...........
Oregon
Columbia River Ports, OR, WA........ Includes all points on the
2901--Astoria, OR............... Columbia River downstream of
2904--Portland, OR.............. Bonneville Dam, and all points on
2909--Kalama, WA................ the Willamette River downstream
2905--Longview, WA.............. of River Mile 21. Includes the
2908--Vancouver, WA............. Multnoma Channel, the Skipanon
Channel, and Oregon Slough.
Movements between points within
this area are intraport.
2903--Coos Bay...................... Includes Port Orford, the Siuslaw
River, and Umpaqua River.
Movements between these points
are intraport.
2902--Newport....................... Includes Tillamook Bay, and
Yaguina Bay and Harbor.
Pennsylvania
Delaware River Ports, DE, NJ, PA *.. Includes all points on the
1102--Chester, PA............... Delaware River from Trenton to
1107--Camden, NJ................ the sea at a line between Cape
1113--Gloucester, NJ............ Henlopen and Cape May, all points
1118--Marcus Hook, PA........... on the lower four miles of the
1105--Paulsboro, NJ............. Christina River, Delaware, and
1101--Philadelphia, PA.......... all points on the lower six miles
1103--Wilmington, DE............ of the Schuykill River,
Pennsylvania. Fee applies to all
movements on the Chesapeake and
Delaware Canal east of U.S.
Highway 13. Includes Absecon
Inlet (Atlantic City) and Cold
Spring Inlet. Movements between
these points are intraport.
Puerto Rico
4907--Mayaguez
4908--Ponce......................... Does not include Guayanilla and
Tallaboa.
4909--San Juan...................... Includes Arecibo.
Rhode Island
0502--Providence.................... Federal project limit: Providence
River East of Prudence Island
just above Dyer Island and ending
at Hurricane Barrier at Fox
Point. The areas west of Prudence
Island, including Quonset Point,
Patience Island, Warwick Neck and
Greenwich Bay are not subject to
the fee.
South Carolina
1601--Charleston.................... Includes the Ashley River, Cooper
River, Shipyard River, and Port
Royal Harbor. Movements within
this area are intraport.
1602--Georgetown
Texas
2301--Brownsville................... Includes Port Isabel and Brazos
Island Harbor. Movements between
these points are intraport.
5312--Corpus Christi
5311--Freeport
Galveston Bay Ports *............... Includes Port Bolivar and all
points on Galveston Bay in
Galveston County. Movements
between points within this area
are intraport.
5310--Galveston
5306--Texas City
5301--Houston *..................... Includes Bayport, Baytown, and all
other points on or accessed via
the Houston Ship Channel from the
Liberty/Chambers county line on
the north to the Chambers/
Galveston county line to the
south. Movements within this area
are intraport.
5313--Port Lavaca................... Includes Matagorda Ship Channel.
Sabine Ports *...................... Includes Port Neches, Sabine Pass
2104--Beaumont.................. and all other points on the
2103--Orange.................... Sabine-Neches Waterway. Movements
2101--Port Arthur............... between these points are
2102--Sabine.................... intraport.
[[Page 589]]
Virginia
Potomac River Ports, DC, MD, VA *... Includes all points on the Potomac
5402--Alexandria, VA................ River (see Chesapeake Bay Ports
5401--Washington, DC................ map) from a line between Point
Lookout and the Little Wicomico
River at Chesapeake Bay to and
including Washington and
Alexandria. Movements between
these points are intraport.
Chesapeake Bay Ports,VA *........... Includes all Virginia points on
1406--Cape Charles.................. the Chesapeake Bay inshore of a
1402--Newport News.................. line from Cape Henry to Cape
1401--Norfolk....................... Charles, and tributary waters
including the ports of Hampton
Roads. Does not include the
Potomac River or the James River
above the James River Bridge at
Newport News. Movements between
points within this area are
intraport. (Also see Chesapeake
Bay Ports, MD.)
James River Ports, VA............... Includes all points on the James
1408--Hopewell...................... River above the James River
1404--Richmond/Petersburg........... Bridge at Newport News. Movements
between these points are
intraport.
Washington
3003--Aberdeen...................... Includes Grays Harbor and Yaguina
Bay and Harbor. Movements between
these points are intraport.
Puget Sound Ports, WA*.............. Fee applies only at ports listed.
3005--Bellingham................ Bellingham includes all of
3006--Everett................... Bellingham Bay and tributary
3007--Port Angeles.............. waters north of Chuchanut Bay on
3001--Seattle................... the east, and Portage Island on
3002--Tacoma.................... the west. Port Everett includes
3026--Olympia................... all of Port Dardner (an arm of
Possession Sound) between Elliott
Point on the south to, and
including, the Snahomish River on
the north. The port of Olympia
includes all points on Budd Inlet
extending from Cooper and
Dofflemyer Point on the north to,
and including, the city of
Olympia on the south. The fee
applies to all points within the
Inner Harbor of the Port of
Seattle, including Salmon Bay,
Lakes Union and Washington, the
Lake Washington Ship Canal, and
Kenmore Navigation Channel.
Includes all points on Elliott
Bay and tributary waters between
West Point on the north and
Duwamish Head on the south. Fee
applies at all points within
Tacoma Harbor including all of
Commensement Bay and tributary
waters between Browns Point on
the east and Point Defiance on
the west. Movements between these
ports and any other U.S. points
on Puget Sound or the Strait of
Juan de Fuca east of Cape
Flattery are intraport.
3010--Anacortes..................... Includes only access channel and
berthing areas adjacent to
Anacortes Industrial Park off
30th Street.
Columbia River Ports, WA, OR.... Includes all points on the
2901--Astoria, OR........... Columbia River downstream of
2904--Portland, OR.......... Bonneville Dam, and all points on
2909--Kalama, WA............ the Willamette River downstream
2905--Longview, WA.......... of River mile 21. Includes the
2908--Vancouver, WA......... Multnoma Channel, the Skipanon
Channel, and Oregon Slough.
Movements between points within
this area are intraport.
Wisconsin
3602--Ashland................... See Duluth/Superior Area Ports,
MN.
Green Bay/Marinette Area Ports...... Fee applies to all movements
3703--Green Bay................. between points along the Sturgeon
3702--Marinette................. Bay and Lake Michigan Ship Canal.
Fee also applies to Green Bay,
Oconto, and Menominee/Marinette.
Movements between points from
Menominee and points along the
Sturgeon Bay and Lake Michigan
Ship Canal are intraport.
Western Lake Michigan Ports......... Includes the ports of Milwaukee,
3701--Milwaukee................. Racine, and Sheboygan, MN. All
3708--Racine.................... movements between these points
3707--Sheboygan................. are intraport.
------------------------------------------------------------------------
*Indicates that a map of this area is available from the Budget
Division, Office of Finance, U.S. Customs Service, Room 6328, 1301
Constitution Ave., NW., Washington, DC 20229; tel. 202-927-0034.
(2) Commercial cargo means, unless exempted by paragraphs (c) (1)
and (2) of this section, merchandise transported on a commercial vessel
and passengers transported for compensation or hire. Whenever the term
``cargo'' is used, it means merchandise, but not passengers.
(3) Commercial vessel means, unless exempted by paragraph (c)(3) of
this section, any vessel used in transporting commercial cargo by water
for compensation or hire, or in transporting commercial cargo by water
in the business of the owner, lessee or operator of the vessel.
[[Page 590]]
(4) Ferry means any vessel which arrives in the U.S. on a regular
schedule during its operating season at intervals of at least once each
business day.
(5) Humanitarian assistance is considered to be assistance which is
required for the survival of the affected population in cases of, or in
preparation for, emergencies of all kinds. Such relief assistance would
include, but is not limited to: food items, shelter, clothing, basic
home utensil kits, and small electric generators.
(6) Development assistance is considered to be assistance similar to
that provided for pursuant to chapter 1 of part 1 of the 1961 Foreign
Assistance Act, as amended, 22 U.S.C. 2151-1(b). Such development
assistance would include, but is not limited to, aid to promote:
Agricultural productivity, reduction of infant mortality, reduction of
rates of unemployment and underemployment, and an increase in literacy.
(7) Non-profit means an organization or cooperative exempt from
income taxation pursuant to 26 U.S.C. 501(c)(3).
(c) Exemptions. The following are not subject to the fee:
(1) Bunker fuel, ship's stores, sea stores and vessel equipment.
(2) Fish or other aquatic animal life, caught and not previously
landed on shore.
(3) Ferries engaged primarily in the transport of passengers and
their vehicles between points within the U.S. or between the U.S. and
contiguous countries.
(4) Certain loadings and unloadings of cargo in Alaska, Hawaii, or
the possessions of the U.S. as defined in this paragraph.
(i) Descriptions of exempt loadings/unloadings:
(A) Cargo loaded on a vessel in a port in the U.S. mainland for
transportation to Alaska, Hawaii, or any possession of the U.S. for
ultimate use or consumption in Alaska, Hawaii, or any possession of the
U.S.
(B) Cargo loaded on a vessel in Alaska, Hawaii, or any possession of
the U.S. for transportation to the U.S. mainland for ultimate use or
consumption in the U.S. mainland.
(C) Cargo described in paragraph (c)(4)(i)(A) of this section
unloaded in Alaska, Hawaii, or any possession of the U.S.
(D) Cargo described in paragraph (c)(4)(i)(B) of this section
unloaded in the U.S. mainland.
(E) Cargo loaded on a vessel in Alaska, Hawaii, or a possession of
the U.S. and unloaded in the state or possession in which loaded.
(ii) For purposes of paragraph (c)(4) of this section:
(A) Cargo does not include crude oil with respect to Alaska.
(B) U.S. mainland means the continental U.S. excluding Alaska.
(C) Possessions of the U.S. means Puerto Rico, Guam, American Samoa,
U.S. Virgin Islands, the Northern Mariana Islands and the Pacific Trust
Territories.
(5) Commercial vessels, if any fuel used to move the cargo is
subject to the Inland Waterway Fuel Tax (See section 4042, Internal
Revenue Code of 1954, as amended by Pub. L. 95-502 and Pub. L. 99-662).
(6) Cargo entering the U.S. in bond for transportation and direct
exportation to a foreign country, unless, with respect to cargo exported
to Canada or Mexico;
(i) The Secretary of the Treasury determines that Canada or Mexico
has imposed a substantially equivalent port use fee on commercial
vessels or commercial cargo using ports of their countries; or
(ii) A study made pursuant to the Water Resources Development Act of
1986 (Pub. L. 99-662) finds that the fee is not likely to cause
significant economic loss to a U.S. port or diversion of a significant
amount of cargo to a port in a contiguous country.
(7) Cargo or vessels of the U.S. or any agency or instrumentality of
the U.S.
(8) Cargo owned or financed by nonprofit organizations or
cooperatives which is certified by the CBP as intended for use in
humanitarian or development assistance overseas, including contiguous
countries.
(i) The donated cargo is required to be certified as intended for
use in humanitarian or development assistance overseas by CBP.
Subsequent to payment of the fee, a refund request may be made by
electronically submitting to CBP the Harbor Maintenance Fee
[[Page 591]]
Amended Quarterly Summary Report (CBP Form 350), as well as the Harbor
Maintenance Fee Quarterly Summary Report (CBP Form 349) for the quarter
covering the payment to which the refund request relates, using the
Automated Clearinghouse (ACH) via an Internet account established by the
payer and located at http://www.pay.gov. In the alternative, the
requisite forms may be mailed to the Office of Administration, Revenue
Division, Customs and Border Protection, using the current address
posted at Forms.CBP.gov. Upon request by CBP, the party requesting the
refund must also submit to CBP, via mail, any supporting documentation
deemed necessary by CBP to certify that the entity donating the cargo is
a nonprofit organization or cooperative and that the cargo was intended
for humanitarian or development assistance overseas (including
contiguous countries). A description of the cargo listed in the shipping
documents and a brief summary of the intended use of the goods, if such
use in not reflected in the documents, are acceptable evidence for
certification purposes. Approved HMF refund payments will be made via
ACH to those payers who are enrolled in the ACH refund program; all
others will receive HMF refund payments via mail.
(ii) Each nonprofit organization or cooperative claiming the
exemption under this subpart must maintain documentation pertaining to
the exemption for a period of 5 years. The documentation must be made
available for inspection by CBP in accordance with the provisions of
Sec. Sec. 162.1a through 162.1i of this chapter.
(d) Special rules--(1) Intraport. The fee is not to be assessed on
the mere movement of commercial cargo within a port.
(2) Same vessel, same cargo. If a fee is assessed when cargo is
loaded on a vessel, the unloading of the same cargo from that vessel is
not subject to the fee. If a fee is assessed when cargo is unloaded from
a vessel, the reloading of the same cargo on that vessel is not subject
to the fee.
(3) De minimis for individual shipments. The fee will not be
assessed on loadings or unloadings of cargo in which:
(i) For imported cargo: The shipment would be entitled to be entered
under informal entry procedures as provided for in Sec. 143.21 of this
chapter.
(ii) For domestic cargo: The value of the shipment does not exceed
$1,000.
(4) De minimis for quarterly payments. Quarterly payment is not
required if the total value of all shipments for which a fee was
assessed for the quarter does not exceed $10,000.
(e) Collections, supplemental payments, and refunds--(1) Domestic
vessel movements--(i) Time and place of liability. Subject to the
exemptions and special rules of this section, when cargo is loaded on a
commercial vessel at a port within the definition of this section to be
transported between ports in the U.S. or is unloaded from a commercial
vessel at a port within the definition of this section after having been
transported between ports in the U.S., the shipper (the person or
corporation who pays the freight) of that cargo is liable for the
payment of the port use fee at the time of unloading. The fee will be
imposed only once on a movement pursuant to paragraph (d)(2) of this
section. The fee is to be based upon the value of the cargo as
determined by standard commercial documentation where such documentation
is available. Otherwise, the value is to be determined under 19 U.S.C.
1401a as if it were imported merchandise. The Vessel Operation Report
(Army Corps of Engineers Form 3925) is to be completed and submitted to
the Army Corps of Engineers in accordance with the procedures set forth
in 33 CFR Ch. II, part 207. The shipper's name, either the internal
revenue service or social security number of the shipper and the tax
exemption code (as it appears in the Vessel Operation Report
instructions) claimed for the shipment are to be included on the Vessel
Operation Report.
(ii) Fee payment. The shipper whose name appears on the Vessel
Operation Report must pay all accumulated fees for which he is liable on
a quarterly basis in accordance with paragraph (f) of this section by
submitting to CBP a Harbor Maintenance Fee Quarterly Summary Report, CBP
Form 349. The CBP Form 349 must either be submitted electronically to
CBP using the Automated Clearinghouse (ACH) via an
[[Page 592]]
Internet account established by the payer and located at http://
www.pay.gov or, alternatively, mailed with a single check or money order
payable to U.S. Customs and Border Protection to the Office of
Administration, Revenue Division, Customs and Border Protection, using
the current address posted at Forms.CBP.gov.
(2) Import vessel movements--(i) Time and place of liability.
Subject to the exemptions and special rules of this section, when
imported cargo is unloaded from a commercial vessel at a port within the
definition of this section, and destined for either consumption,
warehousing, or foreign trade zone admission, the importer of that
cargo, or in the case of foreign trade zones, the person or corporation
responsible for bringing merchandise into the zone, is liable for the
payment of the port use fee at the time of unloading. The fee is based
on the CBP appraised value of the shipment pursuant to 19 U.S.C. 1401a,
the same basis as that used for duty payment. The fee will be collected
on all formal entries, including warehouse entries and temporary
importation under bond entries, and admissions into foreign trade zones.
(ii) Fee payment. The port use fee on unloading of imported cargo
must be paid in accordance with the normal CBP collection procedures set
forth in Sec. Sec. 24.1 and 141.1 of this chapter, except as provided
for merchandise admitted into foreign trade zones in paragraph
(e)(2)(iii) of this section. The CBP Entry Summary Form (CBP Form 7501),
is to be completed with the amount of the fee shown and identified on
the form. The fee must be paid by the importer by adding it to any
normal duty, tax or fee payable at the time of formal entry processing.
If no other duty, tax, or fee is imposed on the shipment, and the fee
exceeds $3, a check or money order for the amount of the fee must be
attached to the CBP entry forms submitted.
(iii) Foreign Trade Zones. In cases where imported cargo is unloaded
from a commercial vessel at a port within the definition of this section
and admitted into a foreign trade zone, the applicant for admission (the
person or corporation responsible for bringing merchandise into the
zone) who becomes liable for the fee at the time of unloading pursuant
to paragraph (e)(3)(i) of this section, must pay all fees for which he
is liable on a quarterly basis in accordance with paragraph (f) of this
section by submitting to CBP a Harbor Maintenance Fee Quarterly Summary
Report, CBP Form 349. The CBP Form 349 must either be submitted
electronically to CBP using the Automated Clearinghouse (ACH) via an
Internet account established by the payer and located at http://
www.pay.gov or, alternatively, mailed with a single check or money order
payable to U.S. Customs and Border Protection to the Office of
Administration, Revenue Division, Customs and Border Protection, using
the current address posted at Forms.CBP.gov. Fees must be paid for all
shipments unloaded and admitted to the zone, or in the case of direct
deliveries under Sec. Sec. 146.39 and 146.40 of this chapter, unloaded
and received in the zone under the bond of the foreign trade zone
operator.
(3) Passengers--(i) Time and place of liability. Subject to the
exemptions and special rules of this section, when a passenger boards or
disembarks a commercial vessel at a port within the definition of this
section, the operator of that vessel is liable for the payment of the
port use fee. The fee is to be based upon the value of the actual charge
for transportation paid by the passenger or on the prevailing charge for
comparable service if no actual charge is paid. The vessel operator on
each cruise is liable only once for the port use fee for each passenger.
(ii) Fee payment. The operator of the passenger-carrying vessel must
pay the accumulated fees for which he is liable on a quarterly basis in
accordance with paragraph (f) of this section by submitting to CBP a
Harbor Maintenance Fee Quarterly Summary Report, CBP Form 349. The CBP
Form 349 must either be submitted electronically to CBP using the
Automated Clearinghouse (ACH) via an Internet account established by the
payer and located at http://www.pay.gov or, alternatively, mailed with a
single check or money order payable to U.S. Customs and Border
Protection to the Office of Administration, Revenue Division, Customs
and
[[Page 593]]
Border Protection, using the current address posted at Forms.CBP.gov.
(4) Refunds and supplemental payments--(i) General. To make
supplemental payments or seek refunds of harbor maintenance fees paid
relative to the unloading of imported cargo, the procedures applicable
to supplemental payments or refunds of ordinary duties must be followed.
To seek refunds of quarterly-paid harbor maintenance fees pertaining to
export movements, the procedures set forth in paragraph (e)(4)(iv) of
this section must be followed. To make supplemental payments on any
quarterly-paid harbor maintenance fee or seek refunds of quarterly-paid
harbor maintenance fees pertaining to other than export movements, the
procedures set forth in paragraph (e)(4)(iii) must be followed.
(ii) Time limit for refund requests. A refund request must be
received by CBP within one year of the date the fee for which the refund
is sought was paid to CBP or, in the case of fees paid relative to
imported merchandise admitted into a foreign trade zone and subsequently
withdrawn from the zone under 19 U.S.C. 1309, within one year of the
date of withdrawal from the zone.
(iii) For fees paid on other than export movements. If a
supplemental payment is made for any quarterly-paid harbor maintenance
fee or a refund is requested relative to quarterly fee payments
previously made regarding the loading or unloading of domestic cargo,
the unloading of cargo destined for admission into a foreign trade zone,
or the boarding or disembarking of passengers, the refund request or
supplemental payment must be accompanied by a Harbor Maintenance Fee
Amended Quarterly Summary Report, CBP Form 350, along with a copy of the
Harbor Maintenance Fee Quarterly Summary Report, CBP Form 349, for the
quarter(s) covering the payment to which the refund request or
supplemental payment relates. A request for a refund must specify the
grounds for the refund. Supplemental payments and HMF refund requests,
accompanied by the requisite CBP Forms 350 and 349 and, if applicable,
supporting documentation, must be submitted electronically to CBP using
the Automated Clearinghouse (ACH) via an Internet account established by
the payer and located at http://www.pay.gov or, alternatively, mailed to
the Office of Administration, Revenue Division, Customs and Border
Protection, using the current address posted at Forms.CBP.gov. If a
supplemental payment is mailed, a single check or money order payable to
U.S. Customs and Border Protection must be attached to each CBP Form
350. Approved HMF refund payments will be made via ACH to those payers
who are enrolled in the ACH refund program; all others will receive HMF
refund payments via mail.
(iv) For fees paid on export movements. CBP will process refund
requests relative to fee payments previously made regarding the loading
of cargo for export as follows:
(A) Refund request. For export fee payments made prior to July 1,
1990, the exporter (the name that appears on the SED or equivalent
documentation authorized under 15 CFR 30.39(b)) or its agent must submit
a letter of request for a refund specifying the grounds for the refund
and identifying the specific payments made. The letter must be
accompanied by the proof of payment set forth in paragraph (e)(4)(iv)(C)
of this section. For export fee payments made on or after July 1, 1990,
supporting documentation is not required with the refund request. For
these payments, the request must specify the grounds for the refund,
identify the quarters for which a refund is sought, and contain the
following additional information: the exporter's name, address, and
employer identification number (EIN); the name and EIN of any freight
forwarder or other agent that made export fee payments on the exporter's
behalf; and a name, telephone number, and facsimile number of a contact
person. Refund requests must either be submitted electronically to CBP
using the Automated Clearinghouse (ACH) via an Internet account
established by the payer and located at http://www.pay.gov or,
alternatively, mailed to the Office of Administration, Revenue Division,
Customs and Border Protection, using the current address posted at
Forms.CBP.gov. Approved HMF refund payments will be made using the ACH
to those payers who are enrolled in the
[[Page 594]]
ACH refund program; all others will receive HMF refund payments via
mail.
(B) Refund procedure--(1) Processing order; power of attorney.
Generally, a properly filed refund request will be processed in the
chronological order of its receipt. A refund request filed on behalf of
an exporter by an agent other than a freight forwarder must be supported
by a power of attorney or letter signed by the exporter authorizing the
representation. A refund request filed by an agent other than a freight
forwarder that lacks a power of attorney or authorization letter will
not be processed unless one or the other is submitted. A refund request
filed by a freight forwarder does not require a power of attorney or
authorization letter to be processed; however, if CBP has not received a
power of attorney or authorization letter for an exporter covered in a
freight forwarder's refund request and that exporter has filed a
separate refund request on its own behalf, that freight forwarder's
entire refund request will be removed from the chronological processing
order and processed after the processing of all exporter refund requests
is completed.
(2) HMT Payment Report and Report/Certification. In processing a
request for a refund, CBP will conduct a search of its records (CBP
electronic database and paper document sources) and produce for issuance
to the exporter (or its agent, as appropriate) a ``Harbor Mantenance Tax
Payment Report'' (HMT Payment Report) that lists all payments reflected
in those records for the entire period the fee was in effect. CBP will
also produce for issuance to the exporter a ``Harbor Maintenance Tax
Refund Report and Certification'' (Report/Certification) that lists all
payments supported by paper documentation, either retained by CBP
(relative to payments made on and after July 1, 1990) or submitted by
the exporter with its refund request (relative to payments made at any
time the fee was in effect). Where a refund request was filed on the
exporter's behalf by an agent other than a freight forwarder, a power of
attorney or authorization letter must be filed with CBP before CBP will
issue these reports. The Report/Certification sets forth the total
amount of the refund that CBP believes it owes the exporter for the
payments listed in that report (minus any previous refunds). Pre-July 1,
1990, payments listed in the HMT Payment Report for which paper
documentation has not been provided by the exporter will not be listed
in the Report/Certification. The exporter has 120 days from the date the
HMT Payment Report and the Report/Certification are issued (the 120-day
period) to sign and return to CBP the Report/Certification in order to
receive the refund set forth in that report and/or to submit to CBP a
request for a Revised Report/Certification. Where the exporter chooses
to receive the refund set forth in the Report/Certification, the
exporter must sign and return the report to CBP. CBP will issue the
refund upon receipt of the signed report.
(3) Revised Report/Certification. A request for a Revised Report/
Certification must be accompanied by documentation to support any
payments not listed in the Report/Certification or corrections to listed
payments. See paragraph (e)(4)(iv)(C) of this section regarding
acceptable documentation. If an exporter (or its agent, as appropriate)
both signs and returns to CBP a Report/Certification and requests a
Revised Report/Certification, CBP will not, when reviewing the request
for a Revised Report/Certification, approve for refund any corrections
to the payments that were listed in the signed Report/Certification; CBP
will, however, in that circumstance, consider approving any additional
payments that were not listed in the signed Report/Certification. If an
exporter does not sign and return to CBP a Report/Certification, but
requests a Revised Report/Certification, CBP will consider approving for
refund corrections to the payments listed in the Report/Certification
and additional payments. Where the exporter requests a Revised Report/
Certification, CBP will review the documentation submitted with the
request, make a determination, and, within 60 days of the request's
receipt, issue a Revised Report/Certification that lists all payments
approved for refund and the total amount of the refund owed. In order to
receive the refund set forth in a Revised Report/Certification, the
exporter must sign and
[[Page 595]]
return it to CBP. CBP will issue the refund upon its receipt of the
signed report. An exporter, within the 120-day period, may submit
additional requests for a Revised Report/Certification, with appropriate
documentation, to cover any payments not approved for refund in a
Revised Report/Certification previously issued by CBP.
(4) Protest. For purposes of filing a protest under 19 U.S.C. 1514
(and 19 CFR part 174), unless issuance of a Revised Report/Certification
is pending, any payments not approved for refund in a Report/
Certification or a Revised Report/Certification issued by CBP within the
120-day period will be considered denied as of the date the period
expires; a protest covering such payments must be filed within 180 days
of that date. For any payments not approved for refund in a Revised
Report/Certification issued after expiration of the 120-day period, a
protest may be filed within 180 days of that report's issuance.
(5) Significance of signed Report/Certification and Revised Report/
Certification. A Report/Certification or Revised Report/Certification
must be signed by an officer of the company duly authorized to bind the
company or by an agent (such as a broker or freight forwarder)
representing the exporter in seeking a refund under this section. A
Report/Certification or Revised Report/Certification signed by the
exporter or its agent and received by CBP constitutes the exporter's
agreement that the amount of the refund set forth in the report is
accurate and CBP's payment of that refund amount is in full accord and
satisfaction of all payments approved for refund in the report. The
signed Report/Certification or Revised Report/Certification also
represents the exporter's release, waiver, and abandonment of all
claims, excluding claims for interest, against the Government, its
officers, agents, and assigns for costs, attorney fees, expenses,
compensatory damages, and exemplary damages arising out of the payments
approved for refund in the report. When an agent, including a freight
forwarder, signs a Report/Certification or Revised Report/ Certification
on behalf of an exporter(s), the agent certifies that it is acting on
the exporter's behalf and will use due diligence to forward the refund
to the exporter, and, in the event the agent does not forward the refund
to the exporter, will notify CBP and return the refund to CBP within one
year of its receipt of the refund. Upon receipt of the signed Report/
Certification or Revised Report/Certification, CBP releases, waives, and
abandons all claims other than fraud against the exporter, its officers,
agents, or employees arising out of all payments approved for refund in
the report.
(C) Documentation. For payments made prior to July 1, 1990,
supporting documentation is required to obtain a refund and must be
submitted in accordance with paragraphs (e)(4)(iv)(A) and/or (B)(3) of
this section. For payments made on and after July 1, 1990, supporting
documentation is not required to obtain a refund, unless the exporter
seeks to prove corrections of payments listed in the Report/
Certification (if the exporter did not sign and return it to CBP) and/or
additional payments not listed in a Report/Certification, in accordance
with paragraph (e)(4)(iv)(B)(3) of this section. The supporting
documentation that CBP will accept as establishing entitlement to a
refund, whether submitted with a refund request or a request for a
Revised Report/Certification, is whichever of the following documents
CBP accepted with the payment at the time it was made: a copy of the
Export Vessel Movement Summary Sheet; where an Automated Summary Monthly
Shipper's Export Declaration was filed, a copy of a letter containing
the exporter's identification, its employer identification number (EIN),
the Census Bureau reporting symbol, and, the quarter for which the
payment was made; or a copy of a Harbor Maintenance Fee Quarterly
Summary Report, CBP Form 349, for the quarter covering the refund
requested. CBP also will consider other documentation offered as proof
of payment of the fee, such as cancelled checks and/or affidavits from
exporters attesting to the fact that all quarterly harbor maintenance
tax payments made by the exporter were made exclusively for exports, and
will accept that other documentation as establishing entitlement for a
refund only if it
[[Page 596]]
clearly proves the payments were made for export harbor maintenance fees
in the amounts sought to be refunded and were made by the party
requesting the refund or the party on whose behalf the refund was
requested.
(f) Quarterly payments. All quarterly payments required by this
section must be received no later than 31 days after the close of the
quarter being paid. Quarterly periods end on the last day of March,
June, September, and December.
(g) Maintenance of records. Each importer, applicant for admission
of cargo into a foreign trade zone, shipper and cruise vessel operator
affected by this section must maintain all such documentation necessary
for CBP to verify the accuracy of fee computations and to otherwise
determine compliance under the law. Such documentation must be
maintained for a period of 5 years from the date of fee calculation. The
affected parties must advise the Director, Revenue Division, U.S.
Customs and Border Protection, at the current address posted at
Forms.CBP.gov, of the name, address, email and telephone number of a
responsible officer who is able to verify any records required to be
maintained under this paragraph. The Director, Revenue Division, must be
promptly notified of any changes in the identifying information
submitted. The records must be maintained and made available for
inspection, copying, reproduction or other official use by CBP in
accordance with the provisions of part 163 of this chapter.
(h) Penalties/liquidated damages for failure to pay harbor
maintenance fee and file summary sheet--(1) Amount of penalty or
damages. Any party (including the importer, or shipper) who fails to pay
the harbor maintenance fee and file the summary sheet at the time
specified by regulation will incur a penalty equal to the amount of
liquidated damages assessable for late filing of an entry summary
pursuant to the provisions of Sec. 142.15 of this chapter. An importer
will be liable for payment of liquidated damages under the basic
importation and entry bond, for failure to pay the harbor maintenance
fee, as provided in such bond.
(2) Application for relief. The party must follow the procedures set
forth in part 171 of this chapter in filing an application for relief.
Any application to cancel liquidated damages incurred must be made in
accordance with part 172 of this chapter.
(3) Mitigation. Any penalty assessed under this provision will be
mitigated in a manner consistent with guidelines relating to
cancellation of claims for liquidated damages for late filing of entry
summaries. Any liquidated damages assessed under this provision will be
mitigated in a manner consistent with guidelines published by the
authority of the Commissioner of CBP for cancellation of claims for
untimely payment of estimated duties, taxes and charges.
(i) Privacy Act notice. Whenever an identification number is
requested on the summary sheets provided for in paragraph (e) of this
section, the disclosure of the social security number is mandatory when
an internal revenue service number is not disclosed. Identification
numbers are solicited under the authority of Executive Order 9397 and
Pub. L. 99-662. The identification number provides unique identification
of the party liable for the payment of the harbor maintenance fee. The
number will be used to compare the information on the summary sheets
with information submitted to the government on other forms required in
the course of shipping or importing merchandise, which contain the
identification number, e.g., Vessel Operation Report, to verify that the
information submitted is accurate and current. Failure to disclose an
identification number may cause a penalty pursuant to paragraph (h) of
this section. The above information is set forth pursuant to the Privacy
Act of 1974 (Pub. L. 93-579).
[T.D. 87-44, 52 FR 10201, Mar. 30, 1987]
Editorial Note: For Federal Register citations affecting Sec. 24.24,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 24.25 Statement processing and Automated Clearinghouse.
(a) Description. Statement processing is a voluntary automated
program for
[[Page 597]]
participants in the Automated Broker Interface (ABI), allowing the
grouping of entry/entry summaries and entry summaries on a daily basis.
The related duties, taxes, fees, and interest may be paid with a single
payment. The preferred method of payment is by Automated Clearinghouse
(ACH) debit or ACH credit, except where the importer of record has
provided a separate check payable to the ``U.S. Customs Service'' for
Customs charges (duties, taxes, or other debts owed Customs (see
Sec. 111.29(b) of this chapter)). A particular statement payment must be
accomplished entirely through ACH or completely by check or cash. A
mixing of payment methods for a single statement will not be accepted.
ACH debit (see paragraph (b)(2) of this section) is an arrangement in
which the filer electronically provides payment authorization for the
Treasury-designated ACH processor to perform an electronic debit to the
payer's bank account; ACH credit is described in Sec. 24.26. The payment
amount will then be automatically credited to the account of the
Department of the Treasury. If a filer chooses to use statement
processing for entries of quota-class merchandise and other special
classes of merchandise designated by Customs Headquarters under
Sec. 142.13(b) of this chapter, he must also use statement processing as
a normal course of business for the largest possible portion (see
Sec. 24.25(d)) of his eligible non-special class entries; further, he
must use the ACH payment mechanism to pay all his ABI statements
containing entries for quota-class merchandise. In no circumstance will
check or cash be acceptable for payment of ABI statements containing
entries for quota-class merchandise.
(b) How to elect participation--(1) Statement processing. An ABI
filer must notify Customs in writing of the intention to utilize
statement processing.
(2) Automated Clearinghouse debit. If an ABI filer pays his
statements through ACH debit, rather than by check, he must provide to
Customs the bank routing number and the bank account number for each
account from which ACH payments are to be electronically debited. Upon
the determination by Customs that the ABI filer has the necessary
software to participate and otherwise qualifies to participate in ACH,
Customs shall assign a unique identifying payer's unit number to the
participant and the Treasury-designated ACH processor. This unique
number assigned by Customs will alert the ACH processor as to which bank
and account to issue the electronic debit. If a client of a ABI filer
opts to pay Customs charges from his own account through an ABI filer,
the client must provide directly to Customs the bank transit routing
number and the bank account number for each of his accounts from which
ACH payments can be electronically debited. Customs will then assign a
unique payer's unit number to each of his accounts and provide the
assigned unit number directly to the client and the Treasury-designated
ACH processor. The client would then provide the appropriate payer's
unit number to his broker to pay his statements through ABI. It is the
responsibility of the participant to ensure that all bank account
information is accurate and that the correct unique payer's unit number
is utilized for each ACH transaction.
(c) Procedure for filer. (1) The filer shall transmit entry/entry
summary and entry summary data through ABI indicating whether payment
for a particular entry summary will be by individual check or by using
statement processing. If statement processing is indicated, the filer
shall designate whether the entry summary is to be grouped by importer
or broker, and shall provide a valid scheduled statement date (within 10
days of entry, but not a Saturday, Sunday or holiday).
(2) Customs shall provide a preliminary statement to the ABI filer
on the scheduled statement date. The preliminary statement shall contain
all entry/entry summaries and entry summaries scheduled for that
statement date. The preliminary statement shall be printed by the filer,
who will review the statement entries and the statement totals, assemble
the required entry summaries as listed in the statement, and present
them to Customs with the preliminary statement. This presentation must
be made within 10 working days after entry of the merchandise. If a
filer elects to perform deletions from the preliminary statement (other
than
[[Page 598]]
items related to special classes of merchandise provided for in
Sec. 142.13(b) of this chaper), the filer shall notify Customs in such
manner as designated by Customs Headquarters. Any entry number deleted
from a statement may be paid by an individual check or scheduled for
another statement by transmitting the entry summary data through ABI
with a future payment date.
(3) The ABI filer using statement processing is responsible for
ensuring that payment is made within 10 days of the entry of the related
merchandise.
(4) When payments are made through ACH, Customs shall, upon
acceptance of the ACH debit payment authorization or ACH credit payment,
identify the preliminary statement as paid and shall post the
appropriate amounts to the related entries. The final statement
generally shall be available to the filer the day following the
acceptance of the ACH payment; this final statement may be utilized as
evidence that statement payment has occurred through an ACH transaction.
In other instances, a cancelled check may serve as evidence of payment.
(d) Choice of excluding certain entries from statement processing.
An ABI filer using statement processing, generally, has the right to
inform Customs electronically whether he desires that a particular entry
summary be paid by individual payment or through statement processing.
If a filer opts to use statement processing for entry/entry summaries
for quota-class and other special classes of merchandise defined in
Sec. 142.13(b) of this chapter, he shall use statement processing in the
normal course of business for the largest possible portion of his
eligible non-special class entries also; further, he shall pay for these
entry/entry summaries through ACH. If a filer opts to use statement
processing and, therefore, ACH for entry/entry summaries for special
classes of merchandise defined in Sec. 142.13(b) of this chapter, these
entry/entry summaries cannot be deleted from a statement. A filer who
excludes or deletes entries from the statement process and ACH should be
prepared to articulate a sound business reason why these exclusions or
deletions have occurred. If Customs believes that a broker is using ACH
for his quota-class entries and not using statement processing and ACH
for the largest possible portion of his eligible non-special class
entries, the ABI participant may be consulted by Customs as to why he
has not used statement processing and ACH for certain entries. If
Customs is not satisfied, after such consultation, that there were sound
articulable business reasons for the exclusion or deletion of non-
special class entries, Customs may disqualify the participant from using
statement processing/ACH for quota-class entries.
(e) Scheduled statement date. Entry/entry summaries and entry
summaries must be designated for statement processing within 10 working
days after the date of entry. It is the responsibility of the ABI filer
using statement processing to ensure that the elected scheduled
statement date is within that 10-day timeframe. Customs will not warn
the filer if the scheduled statement date given is late.
[T.D. 89-104, 54 FR 50497, Dec. 7, 1989, as amended by T.D. 98-51, 63 FR
29125, May 28, 1998; T.D. 99-75, 64 FR 56439, Oct. 20, 1999; CBP Dec.
03-13, 68 FR 43630, July 24, 2003]
Sec. 24.26 Automated Clearinghouse credit.
(a) Description. Automated Clearinghouse (ACH) credit is an optional
payment method that allows a payer to transmit statement processing
payments (see Sec. 24.25) or deferred tax payments (see Sec. 24.4) or
bill payments (see Sec. 24.3) electronically, through its financial
institution, directly to the CBP account maintained by the Department of
the Treasury.
(b) Enrollment procedure. A payer interested in enrolling in the ACH
credit program must indicate such interest by providing the following
information to the National Finance Center, U.S. Customs and Border
Protection, Office of Administration, Revenue Division, 6650 Telecom
Drive, Suite 100, Indianapolis, IN 46278: Payer name and address; payer
contact name(s); payer telephone number(s) and facsimile number; payer
identification number (importer number or Social Security number or CBP
assigned number); and 3-digit filer code.
[[Page 599]]
(c) Routing and format instructions. Following receipt of the
enrollment information, the National Finance Center will provide the
payer with specific ACH credit routing and format instructions and will
advise the payer that the following information must be provided to its
financial institution when originating its payments: Company name;
company contact person name and telephone number; company identification
number (coded Internal Revenue Service employer identification number or
DUNS number or CBP assigned number); company payment description;
effective date; receiving company name; transaction code; CBP transit
routing number and CBP account number; payment amount; payer identifier
(importer number or Social Security number or CBP assigned number or
filer code if the payer is a broker who is the importer of record);
document number (daily statement number, entry or warehouse withdrawal
number for a deferred tax payment, or bill number); payment type code;
settlement date; and document payment amount.
(d) Prenotification procedure. Before effecting any payments of
funds through the ACH credit process, the payer must follow a
prenotification procedure, involving a non-funds message transmission
through its financial institution to the CBP account, in order to
validate the routing instructions. When the routing instructions are
validated, the National Finance Center will notify the payer that the
prenotification transaction has been accepted and that payments may be
originated on or after the tenth calendar day following the
prenotification acceptance date.
(e) Payment origination procedures--(1) General. Once the payer has
received authorization to begin originating ACH credit payments under
paragraph (d) of this section, the payer, through its financial
institution, must originate each payment transaction to the CBP account
no later than one business day prior to the payment due date. The
payer's account will be charged by the financial institution on the
settlement date identified in the transaction. The payer is responsible
for following the routing and format instructions provided by CBP and
for ensuring the accuracy of the information when originating each
payment. Improperly formatted or erroneous information provided by the
payer will delay the prompt posting of the payment to the receivable.
(2) Procedures for daily statement filers. The procedures set forth
in Sec. 24.25(c) for ABI filers using statement processing remain
applicable when payment is effected through ACH credit. However, when
the ABI filer is a customs broker who is not the importer of record and
thus is not responsible for the payment, the ABI filer must provide the
statement number and statement amount to the importer of record at least
one business day prior to the due date so that the importer of record
can originate the payment.
(f) Date of collection. The date that the ACH credit payment
transaction is received by CBP shall be the collection date which
equates to the settlement date. The appropriate daily statement or entry
or warehouse withdrawal or bill shall be identified as paid as of that
collection date.
(g) Removal from the ACH credit program. If a payer repeatedly
provides improperly formatted or erroneous information when originating
ACH credit payments, the National Finance Center may advise the payer in
writing to refrain from using ACH credit and to submit its payments by
bank draft or check pursuant to Sec. 24.1 or, in the case of daily
statement payments, to use the ACH debit payment method under
Sec. 24.25.
[T.D. 98-51, 63 FR 29125, May 28, 1998, as amended by CBP Dec. 12-21, 77
FR 73308, Dec. 10, 2012]
Sec. 24.32 Claims; unpaid compensation of deceased employees and death
benefits.
(a) A claim made by a designated beneficiary or a surviving spouse
for unpaid compensation due an officer or employee at the time of his
death shall be executed on standard Form 1153, Claim of Designated
Beneficiary and/or Surviving Spouse for Unpaid Compensation of Deceased
Civilian Employee. A claim made by anyone other than a designated
beneficiary or surviving spouse for unpaid compensation
[[Page 600]]
due an officer or employee at the time of his death shall be executed on
standard Form 1155, Claim for Unpaid Compensation of Deceased Civilian
Employee. The claims shall be forwarded to the Customs office where the
deceased was employed.
(b) Claims for death benefits, either in the form of an annuity or
lump-sum payment of the amount to the credit of the deceased officer or
employee in the Retirement and Disability Fund shall be executed on
standard Form 100, Application for Death Benefit, and forwarded together
with a certified copy of the public record of death directly to the
Office of Personnel Management, Washington, DC 20415.
[28 FR 14808, Dec. 31, 1963, as amended by T.D. 91-77, 56 FR 46114,
Sept. 10, 1991]
Sec. 24.34 Vouchers; vendors' bills of sale; invoices.
(a) Vouchers or invoices for transportation and related services
which are intended for payment from official funds shall contain the
following certification signed by the claimant:
I certify that the above bill is correct and just and that payment
has not been received.
Vouchers, vendors' bills of sale, or invoices for purchases or services
other than personal do not require the foregoing certification.
(b) Every voucher shall be in the name of the person or persons
furnishing the service or supplies, except in the case of a service or
supplies paid for in an emergency by a Customs officer or employee, in
which case the voucher may be in the name of the officer or employee who
made the payment.
(c) The signature of a claimant made by a mark shall be attested in
each case by a disinterested witness.
(d) The dates appearing on vouchers and on receipts filed in support
thereof shall always be the actual dates of the transactions recorded or
action taken thereon. As many copies in memorandum form, duly
authenticated if desired, may be prepared as administrative or other
requirements demand.
(e) When an erasure, interlineation, or change of any kind is made
in a voucher after it has been certified by the claimant, such
correction or change shall be initialed and dated by the claimant.
(f)(1) Vouchers for passenger transportation furnished Customs
officers or employees on Government transportation requests, standard
Form 1169, and vouchers for transportation of freight and express
furnished on Government bills of lading, standard Form 1103, issued by
Customs officers or employees shall be rendered on Public Voucher for
Transportation Charges, standard Form 1171 or 1113, respectively, to the
Customs office to be billed as indicated on the transportation request
or bill of lading.
(2) Charges for freight or express must not be included on the same
vouchers with charges for passenger transportation. The words
``Passenger,'' ``Freight,'' or ``Express,'' as the case may be, should
be printed or otherwise placed by the carrier immediately above the
title of the voucher form. Original Government bills of lading, standard
Form 1103, or transportation requests, standard Form 1169, or
certificates in lieu thereof, standard Forms 1108 or 1172, respectively,
shall be attached to these vouchers.
Sec. 24.36 Refunds of excessive duties, taxes, etc.
(a) When it is found upon, or prior to, liquidation or reliquidation
of an entry or reconciliation that a refund of excessive duties, taxes,
fees or interest (at the rate determined in accordance with
Sec. 24.3a(c)(1)) is due, a refund shall be prepared in the name of the
person to whom the refund is due, as determined under paragraphs (b) and
(c) of this section. If an authority to mail checks to someone other
than the payee, Customs Form 4811, is on file, the address of the payee
shall be shown as in care of the address of the authorized persons. If a
power of attorney is on file, the address of the payee may be shown as
in care of the address of such attorney, if requested. A Form 4811
received by Customs will not be effective if a Customs transaction
requiring the use of the owner's importer number has not been made
within 3 years from the date the Form 4811 was filed or if there is no
unliquidated entry on file to which such number is to be associated. For
purposes of this section:
[[Page 601]]
(1) Except as otherwise provided in paragraphs (a)(1)(i) through
(a)(1)(iii) of this section, the refund shall include interest on the
excess moneys deposited with Customs, and such interest shall accrue
from the date the duties, taxes, fees or interest were deposited or, in
a case in which a proper claim is filed under 19 U.S.C. 1520(d) and
subpart D of Part 181 of this chapter, from the date such claim is
filed, to the date of liquidation or reliquidation of the applicable
entry or reconciliation. An example follows:
Example: Entry liquidates for a refund
[GRAPHIC] [TIFF OMITTED] TR20OC99.005
Importer is owed a refund of $600 plus interest as follows:
The importer makes a $1,000 initial deposit (January 1) and the entry
liquidates for $400 (December 1). Upon liquidation, the importer will be
owed a refund of $600 plus interest. The interest will accrue from the
date of deposit (January 1) to the date of liquidation (December 1).
(i) If an additional deposit of duties, taxes, fees or interest was
made prior to liquidation or reliquidation and if any portion of that
additional deposit was in excess of the amount required to be deposited,
in addition to any other interest accrued under this paragraph (a)(1),
the refund also shall include interest accrued on the excess additional
deposit from the date of the additional deposit to the date of
liquidation or reliquidation of the applicable entry or reconciliation.
An example follows:
Example: Additional deposit made and entry liquidates for a refund
[GRAPHIC] [TIFF OMITTED] TR20OC99.006
Importer is owed a refund of $900 plus interest as follows:
The importer makes a $1,000 initial deposit (January 1) and an
additional pre-liquidation deposit of $200 (May 1) and the entry
liquidates for $300 (December 1). Upon liquidation, the importer will be
refunded $900 plus interest. The interest accrues in two segments: (1)
On the additional deposit overpayment ($200), from the date of the
additional deposit (May 1) to the date of liquidation (December 1); and
(2) on the initial deposit overpayment ($700), from the date of deposit
(January 1) to the date of liquidation (December 1).
(ii) In the case of a refund of duties, taxes, fees or interest made
prior to liquidation, such a refund will include only principal amounts
and not any interest thereon. Interest on such principal amounts will be
computed at the time of liquidation or reliquidation and shall accrue as
follows:
(A) Interest shall only accrue on the amount refunded from the date
the duties, taxes, fees or interest were deposited to the date of the
refund if the amount refunded is determined upon liquidation or
reliquidation of the applicable entry or reconciliation to constitute
the true excess amount deposited with Customs. An example follows:
Example: Pre-liquidation refund and entry liquidates for net amount
collected
[[Page 602]]
[GRAPHIC] [TIFF OMITTED] TR20OC99.007
Importer is owed a refund of interest on $200 as follows:
The importer makes a $1,000 initial deposit (January 1) and receives a
pre-liquidation refund of $200 (May 1) and the entry liquidates for $800
(December 1). Upon liquidation, the importer will be refunded interest
on the $200 overpayment from the date of the initial deposit (January 1)
to the date of the pre-liquidation refund (May 1).
(B) If the amount refunded is determined upon liquidation or
reliquidation of the applicable entry or reconciliation to constitute
less than the true excess amount deposited with Customs, in addition to
any other interest accrued under this paragraph (a)(1), interest also
shall accrue on the remaining excess deposit from the date the duties,
taxes, fees or interest were deposited to the date of liquidation or
reliquidation. An example follows:
Example: Pre-liquidation refund and entry liquidates for an
additional refund
[GRAPHIC] [TIFF OMITTED] TR20OC99.008
Importer is owed a refund of $700 plus interest as follows:
The importer makes a $1,000 initial deposit (January 1) and receives a
pre-liquidation refund of $200 (May 1) and the entry liquidates for $100
(December 1). Upon liquidation, the importer will be refunded $700 plus
interest. The interest accrues in two segments: (1) On the pre-
liquidation refund ($200), from the date of deposit (January 1) to the
date of the pre-liquidation refund (May 1); and (2) on the remaining
overpayment ($700), from the date of deposit (January 1) to the date of
liquidation (December 1).
(C) If an entry or reconciliation is determined upon liquidation or
reliquidation to involve both an initial underpayment and an additional
excess deposit, interest in each case shall be computed separately and
the resulting amounts shall be netted for purposes of determining the
final amount of interest to be reflected in the refund. An example
follows:
Example: Additional deposit made and entry liquidates for a refund
[GRAPHIC] [TIFF OMITTED] TR20OC99.009
Importer is owed a refund of $200 plus or minus net interest as follows:
The importer makes a $1,000 initial deposit on the required date
(January 1) and an additional pre-liquidation deposit of $300 (May 1)
and the entry liquidates for $1,100 (December 1). Upon liquidation, the
importer will be refunded $200 plus or minus net interest. The interest
accrues in two segments: (1) Interest accrues in favor of the Government
on the initial underpayment ($100) from the date deposit was required
(January 1) to the date of the additional deposit (May 1); and (2)
interest accrues in favor of the importer on the
[[Page 603]]
overpayment ($200) from the date of the additional deposit (May 1) to
the date of liquidation (December 1).
(D) If the amount refunded or any portion thereof exceeds the amount
properly refundable as determined upon liquidation or reliquidation of
the applicable entry or reliquidation, the excess amount refunded shall
be treated as an underpayment of duties, taxes, fees or interest on
which interest shall accrue as provided in Sec. 24.3a.
(2) A refund determined to be due upon liquidation or reliquidation,
including a refund consisting only of interest that has accrued in
accordance with paragraph (a)(1)(ii) of this section, shall be paid
within 30 days of the date of liquidation or reliquidation of the
applicable entry or reconciliation.
(3) If a refund, including any interest thereon, is not paid in full
within the applicable 30-day period specified in paragraph (a)(2) of
this section, the refund shall be considered delinquent thereafter and
interest shall accrue on the unpaid balance by 30-day periods until the
full balance is paid. However, no interest will accrue during the 30-day
period in which the refund is paid.
(b) Refunds of excessive duties, taxes, fees or interest shall be
certified for payment to the importer of record unless a transferee of
the right to withdraw merchandise from bonded warehouse is entitled to
receive the refund under section 557(b), Tariff Act of 1930, as amended,
or an owner's declaration has been filed in accordance with section
485(d), Tariff Act of 1930, or a surety submits evidence of payment to
Customs, upon default of the principal, of amounts previously determined
to be due on the same entry or transaction. The certification of a
refund for payment to a nominal consignee may be made prior to the
expiration of the 90-day period within which an owner's declaration may
be filed as prescribed in section 485(d) of the Tariff Act, provided the
nominal consignee waives in writing his right to file such declaration.
If an owner's declaration has been duly filed, the refund shall be
certified for payment to the actual owner who executed the declaration,
except that, irrespective of whether an owner's declaration has been
filed, refunds shall be certified for payment to a transferee provided
for in section 557(b), Tariff Act of 1930, as amended, if the moneys
with respect to which the refund was allowed were paid by such
transferee. If a surety submits evidence of payment to Customs, upon
default of the principal, for an amount previously determined to be due
on an entry or transaction the refund shall be certified to that surety
up to the amount paid by it or shall be applied to other obligations of
the surety.
(c) If the nominal consignee has become bankrupt, refunds of duties,
taxes, fees or interest on merchandise entered in the name of such
nominal consignee for the account of the actual owner shall be withheld
from payment pending the receipt of a claim therefor and the
establishment of rights thereto, unless the declaration of the actual
owner has been filed with the port director under section 485(d), Tariff
Act of 1930.
(d) The authority of port directors to make refunds pursuant to
paragraphs (a), (b), and (c) of this section of excessive deposits of
alcohol or tobacco taxes, as defined in section 6423(e)(1), Internal
Revenue Code of 1954 (26 U.S.C. 6423(e)(1)), is confined to cases of the
types which are excepted from the application of section 6423, Internal
Revenue Code of 1954 (26 U.S.C. 6423). The excepted types of cases and,
therefore, the types in which the port director is authorized to make
refunds of such taxes are those in which:
(1) The tax was paid or collected on an article imported for the
personal or household use of the importer;
(2) The refund is made pursuant to provisions of laws and
regulations for drawback;
(3) The tax was paid or collected on an imported article withdrawn
from the market, returned to bond, or lost or destroyed, when any law
expressly provides for refund in such case;
(4) The tax was paid or collected on an imported article which has
been lost, where a suit or proceeding was instituted before June 15,
1957;
(5) The refund of tax is pursuant to a claim based solely on errors
of computation of the quantity of the imported article, or on
mathematical errors in computation of the tax due;
[[Page 604]]
(6) The tax was paid or collected on an imported article seized and
forfeited, or destroyed, as contraband;
(7) The tax was paid or collected on an imported article refused
admission to Customs territory and exported or destroyed in accordance
with section 558, Tariff Act of 1930, as amended;
(8) The refund of tax is pursuant to a reliquidation of an entry
under section 520(c)(1), Tariff Act of 1930, as amended, and does not
involve a rate of tax applicable to an imported article; or
(9) The tax was paid or collected on a greater quantity of imported
articles than that actually imported and the fact of the deficiency is
established to the port directors' satisfaction before liquidation of
the entry becomes final.
(e) In any instance in which a refund of an alcohol or tobacco tax
is not of a type covered by paragraph (d) of this section the following
procedure shall apply:
(1) The port director shall issue a notice of refund for duty only
and shall place the following statement on the notice of refund issued
for duty: ``Claim or refund of any overpayment of internal revenue tax
on this entry must be executed and filed with the assistant regional
commissioner (alcohol, tobacco and firearms) of the internal revenue
region in which the claimant is located, in accordance with internal
revenue regulations (Title 26 of the Code of Federal Regulations).'' On
request of the claimant, the port director shall issue a certified
statement on Customs letterhead identifying the entry, showing the
amount of internal revenue tax deposited with respect to each entry for
which a claim on internal revenue Form 843 is to be made, and showing
the date of issuance of the notice of refund of duty.
(2) The claim shall be executed on internal revenue Form 843
(original only) which may be procured from offices of the Internal
Revenue Service and shall be filed with the assistant regional
commissioner (alcohol, tobacco and firearms) of the internal revenue
region in which the claimant is located. The certified statement shall
be attached to and filed in support of such claim which may include
refunds under more than one entry but shall be limited to refunds under
entries filed at the same port and the same internal revenue region. The
data to be shown on the claim shall be as prescribed in internal revenue
regulations, with the exception that any data on the certified statement
also required to be shown in the claim need not be restated in the
claim.
(3) The date of allowance of refund or credit in respect of such tax
for the purposes of section 6407, Internal Revenue Code of 1954 (26
U.S.C. 6407) shall be that date on which a claim is perfected and the
refund is authorized for scheduling under the applicable internal
revenue regulations.
[28 FR 14808, Dec. 31, 1963, as amended by T.D. 67-33, 32 FR 494, Jan.
18, 1967; T.D. 71-289, 36 FR 23150, Dec. 4, 1971; T.D. 89-1, 53 FR
51254, Dec. 21, 1988; T.D. 99-27, 64 FR 13675, Mar. 22, 1999; T.D. 99-
75, 64 FR 56439, Oct. 20, 1999]
Sec. 24.70 Claims; deceased or incompetent public creditors.
(a) Claims for amounts due individual deceased public creditors of
the United States (except civilian officers and employees subject to the
provisions of section 61f-61k, Title 5, United States Code), should be
made on standard Form No. 1055--Revised. Such claims include claims for
payments due deceased contractors for articles furnished or services
performed, and claims for payments due deceased importers or owners of
merchandise on account of refunds of excessive duties, or taxes, or for
payment of drawback, etc. Claims for payment of Government checks drawn
on the Treasurer of the United States or other authorized Government
depositary to the order of such public creditors, which cannot be paid
because of the death of the payee, should be stated on standard Form
1055--Revised. Information should be furnished regarding the disposition
of these checks in case they are not in possession of the claimant,
otherwise they should accompany the claim.
(b) No form is prescribed for use of a guardian or committee of an
estate of an incompetent in making claim for sums due from the United
States. Such guardian or committee may submit in letter form, over his
address and signature, an application for amounts due an estate of an
incompetent, setting
[[Page 605]]
forth the incompetent's connection with the United States Customs
Service. This application should be supported by a short certificate of
the court showing the appointment and qualification of the claimant as
guardian or committee. In case the total amount due the estate of the
incompetent is small, and no guardian or committee of the estate has
been or will be appointed, the application may be submitted by the
person or persons having care or custody of the incompetent, or by close
relatives who will hold any amount found due for the use and benefit of
the incompetent. Applications for recurring payments need not be
accompanied by an additional certificate of the court, but should be
supported by a statement that the appointment is still in full force and
effect. All Government checks drawn on the Treasurer of the United
States or other authorized Government depository to the order of
individuals which cannot be paid because of incompetency of the payee
should accompany the claim, otherwise an explanation should be given as
to the disposition of the check.
(c) Claims for payments due deceased or incompetent contractors
should be submitted to the Customs field officer at whose order the
articles were furnished or services performed. Claims for refunds of
excessive duties, or taxes, or for payment of drawback and other similar
claims due deceased or incompetent public creditors shall be submitted
to the port director. The Customs field officer may grant necessary
assistance to claimants to insure proper execution of standard Form
1055--Revised in the case of deceased public creditors, and in the case
of incompetent public creditors to insure submission of the application
in proper form. The port director shall settle the claim unless there is
a doubtful question of fact or law, in which case the claim shall be
forwarded to the Accounting Services Division, Accounts Receivable
Group, Indianapolis, Indiana, with originals or certified copies of any
necessary documents and with an appropriate report and recommendation.
[28 FR 14808, Dec. 31, 1963, as amended by T.D. 68-142, 33 FR 8225, June
1, 1968; T.D. 91-77, 56 FR 46114, Sept. 10, 1991]
Sec. 24.71 Claims for personal injury or damages to or loss of
privately owned property.
Procedures for the settlement of claims arising from actions of
Treasury Department employees are published in 31 CFR part 3.
Sec. 24.72 Claims; set-off.
When an importer of record or other party has a judgment or other
claim allowed by legal authority against the United States, and he is
indebted to the United States, either as principal or surety, for an
amount which is legally fixed and undisputed, the port director shall
set off so much of the judgment or other claim as will equal the amount
of the debt due the Government.
[T.D. 56388, 30 FR 4671, Apr. 10, 1965]
Sec. 24.73 Miscellaneous claims.
Every claim of whatever nature arising under the Customs laws which
is not otherwise provided for shall be forwarded directly to
Headquarters, U.S. Customs Service, together with all supporting
documents and information available.
PART 54_CERTAIN IMPORTATIONS TEMPORARILY FREE OF DUTY
Metal Articles Imported to be Used in Remanufacture by Melting, or to be
Processed by Shredding, Shearing, Compacting, or Similar Processing
Which Renders Them Fit Only for the Recovery of the Metal Content
Sec.
54.5 Scope of exemptions; nondeposit of estimated duty.
54.6 Proof of intent; bond; proof of use; liquidation.
Authority: 19 U.S.C. 66, 1202 (General Note 3(i); Section XV, Note
5, Harmonized Tariff Schedule of the United States), 1623, 1624.
[[Page 606]]
Metal Articles Imported to be Used in Remanufacture by Melting, or to be
Processed by Shredding, Shearing, Compacting, or Similar Processing
Which Renders Them Fit Only for the Recovery of the Metal Content
Sec. 54.5 Scope of exemptions; nondeposit of estimated duty.
(a) Except as otherwise provided in this section, articles
predominating by weight of metal to be used in remanufacture by melting,
or to be processed by shredding, shearing, compacting, or similar
processing which renders them fit only for the recovery of the metal
content, and actually so used, shall be entitled to free entry upon
compliance with Sec. 54.6, if entered, or withdrawn from warehouse for
consumption, during the effective period of subheadings 9817.00.80 and
9817.00.90, Harmonized Tariff Schedule of the United States (HTSUS) (19
U.S.C. 1202). This provision does not apply to:
(1) Articles of lead, zinc, or tungsten;
(2) Metal-bearing materials provided for in section VI, Chapter 26
or subheading 8548.10, HTSUS; or
(3) Unwrought metal provided for in Section XV, HTSUS.''
(b) No deposit of estimated duty shall be required upon the entry,
or withdrawal from warehouse for consumption, of the articles described
in paragraph (a) of this section if the port director is satisfied at
the time of entry, or withdrawal, by written declaration of the importer
that the merchandise is being imported to be used in remanufacture by
melting, or to be processed by shredding, shearing, compacting, or
similar processing which renders it fit only for the recovery of the
metal content.
[T.D. 80-151, 45 FR 38041, June 6, 1980, as amended by T.D. 87-75, 52 FR
20067, May 29, 1987; T.D. 89-1, 53 FR 51254, Dec. 21, 1988; T.D. 98-4,
62 FR 68165, Dec. 31, 1997]
Sec. 54.6 Proof of intent; bond; proof of use; liquidation.
Articles predominating by weight of metal, described in Sec. 54.5(a)
shall be admitted free of duty upon compliance with the following
conditions:
(a) There shall be filed in connection with the entry a statement of
the importer consistent with the requirements of Sec. 10.134 of this
chapter.
(b) If the articles are entered for consumption or warehouse, a bond
shall be filed on Customs Form 301, containing the bond conditions set
forth in Sec. 113.62 of this chapter. Withdrawals from warehouse shall
be made on Customs Form 7501. The liquidation of the consumption or
warehouse entry shall be suspended pending proof of use or other
disposition of the articles within the time prescribed in paragraph (c)
of this section.
(c) Within 3 years from the date of entry, or withdrawal from
warehouse for consumption, the importer shall submit to the director of
the port of entry, a statement from the superintendent or manager of the
plant at which the articles were used in remanufacture by melting, or
were processed by shredding, shearing, compacting, or similar processing
which rendered them fit only for the recovery of the metal content,
showing:
(1) The name and location of the plant;
(2) The entry number, date, and port of entry (if the person making
the statement is not in possession of this information, a reference to
invoices, purchase orders, or other documents which will identify the
shipment with the entry may be substituted);
(3) The date or inclusive dates of the remanufacture or processing
of the articles; and
(4) A description of the remanufacture or processing in sufficient
detail to enable the port director to determine whether it constituted a
use in remanufacture by melting, or processing by shredding, shearing,
compacting, or similar processing which rendered the articles fit only
for the recovery of the metal content. In appropriate cases, the
remanufacture or processing of the articles covered by more than one
entry may be included in one statement. The statement shall be based on
adequate and carefully kept plant and import records which shall be
available during normal business hours to any Customs officer. The
importer and plant manager shall maintain the import and plant records
for 5 years from the date of the related entry of the merchandise. The
burden
[[Page 607]]
shall be on the importer or plant manager to keep these records so that
the claim of actual use can be established readily.
(d) If satisfactory proof of use of the articles in remanufacture by
melting, or in processing by shredding, shearing, compacting, or similar
processing which rendered them fit only for the recovery of the metal
content, is furnished within the prescribed time, the entry shall be
liquidated without the assessment of duty on the covered articles. If
proof is not filed within 3 years from the date of entry, or withdrawal
from warehouse for consumption, or the use does not warrant the
classification claimed, the entry shall be liquidated without any
exemption from duty under subheading 9817.00.80 or 9817.00.90, HTSUS.
As used in this section, the phrase ``in connection with the entry''
means any time before liquidation of the entry or within the period
during which a reliquidation may be completed (Sec. 113.43(c)).
Therefore, a claim for free entry under subheading 9817.00.80 or
9817.00.90, HTSUS, supported by a statement of intent may be filed at
any time before liquidation of the entry or within the period during
which a valid reliquidation may be completed.
(R.S. 251, as amended, secs. 623, as amended, 624, 46 Stat. 759, as
amended (19 U.S.C. 66, 1623, 1624))
[T.D. 80-151, 45 FR 38041, June 6, 1980, as amended by T.D. 84-213, 49
FR 41170, Oct. 19, 1984; T.D. 87-75, 52 FR 20067, May 29, 1987; T.D. 89-
1, 53 FR 51255, Dec. 21, 1988; T.D. 95-81, 60 FR 52295, Oct. 6, 1995]
PART 101_GENERAL PROVISIONS
Sec.
101.0 Scope.
101.1 Definitions.
101.2 Authority of Customs officers.
101.3 Customs service ports and ports of entry.
101.4 Entry and clearance of vessels at Customs stations.
101.5 CBP preclearance offices in foreign countries.
101.6 Hours of business.
101.7 Customs seal.
101.8 Identification cards.
101.9 Test programs or procedures; alternate requirements.
Authority: 5 U.S.C. 301; 6 U.S.C. 203; 19 U.S.C. 2 & note, 66, 1202
(General Note 3(i), Harmonized Tariff Schedule of the United States),
1623, 1624, 1646a.
Section 101.3 and 101.4 also issued under 19 U.S.C. 1 and 58b;
Section 101.5 also issued under 19 U.S.C. 1629;
Section 101.9 also issued under 19 U.S.C. 1411-1414.
Source: T.D. 77-241, 42 FR 54937, Oct. 12, 1977, unless otherwise
noted.
Sec. 101.0 Scope.
This part sets forth general regulations governing the authority of
Customs officers, and the location of Customs ports of entry, service
ports and Customs stations. It further sets forth regulations concerning
the entry and clearance of vessels at Customs stations and a listing of
Customs preclearance offices in foreign countries. In addition, this
part contains provisions concerning the hours of business of Customs
offices, the Customs seal, and the identification cards issued to
Customs officers and employees.
[T.D. 77-241, 42 FR 54937, Oct. 12, 1977, as amended by T.D. 99-27, 64
FR 13675, Mar. 22, 1999]
Sec. 101.1 Definitions.
As used in this chapter, the following terms shall have the meanings
indicated unless either the context in which they are used requires a
different meaning or a different definition is prescribed for a
particular part or portion thereof:
Business day. A ``business day'' means a weekday (Monday through
Friday), excluding national holidays as specified in Sec. 101.6(a).
Customs station. A ``Customs station'' is any place, other than a
port of entry, at which Customs officers or employees are stationed,
under the authority contained in article IX of the President's Message
of March 3, 1913 (T.D. 33249), to enter and clear vessels, accept
entries of merchandise, collect duties, and enforce the various
provisions of the Customs and navigation laws of the United States.
Customs territory of the United States. ``Customs territory of the
United States'' includes only the States, the District of Columbia, and
Puerto Rico.
[[Page 608]]
Date of entry. The ``date of entry'' or ``time of entry'' of
imported merchandise shall be the effective time of entry of such
merchandise, as defined in Sec. 141.68 of this chapter.
Date of exportation. ``Date of exportation'' or ``time of
exportation'' shall be as defined in Sec. 152.1(c) of this chapter.
Date of importation. ``Date of importation'' means, in the case of
merchandise imported otherwise than by vessel, the date on which the
merchandise arrives within the Customs territory of the United States.
In the case of merchandise imported by vessel, ``date of importation''
means the date on which the vessel arrives within the limits of a port
in the United States with intent then and there to unlade such
merchandise.
Duties. ``Duties'' means Customs duties and any internal revenue
taxes which attach upon importation.
Entry or withdrawal for consumption. ``Entry or withdrawal for
consumption'' means entry for consumption or withdrawal from warehouse
for consumption.
Exportation. ``Exportation'' means a severance of goods from the
mass of things belonging to this country with the intention of uniting
them to the mass of things belonging to some foreign country. The
shipment of merchandise abroad with the intention of returning it to the
United States with a design to circumvent provisions of restriction or
limitation in the tariff laws or to secure a benefit accruing to
imported merchandise is not an exportation. Merchandise of foreign
origin returned from abroad under these circumstances is dutiable
according to its nature, weight, and value at the time of its original
arrival in this country.
Importer. ``Importer'' means the person primarily liable for the
payment of any duties on the merchandise, or an authorized agent acting
on his behalf. The importer may be:
(1) The consignee, or
(2) The importer of record, or
(3) The actual owner of the merchandise, if an actual owner's
declaration and superseding bond has been filed in accordance with
Sec. 141.20 of this chapter, or
(4) The transferee of the merchandise, if the right to withdraw
merchandise in a bonded warehouse has been transferred in accordance
with subpart C of part 144 of this chapter.
Port and port of entry. The terms ``port'' and ``port of entry''
refer to any place designated by Executive Order of the President, by
order of the Secretary of the Treasury, or by Act of Congress, at which
a Customs officer is authorized to accept entries of merchandise to
collect duties, and to enforce the various provisions of the Customs and
navigation laws. The terms ``port'' and ``port of entry'' incorporate
the geographical area under the jurisdiction of a port director. (The
Customs ports in the Virgin Islands, although under the jurisdiction of
the Secretary of the Treasury, have their own Customs laws (48 U.S.C.
1406(i)). These ports, therefore, are outside the Customs territory of
the United States and the ports thereof are not ``ports of entry''
within the meaning of these regulations).
Principal field officer. A ``principal field officer'' is an officer
in the field service whose immediate supervisor is located at Customs
Service Headquarters.
Service port. The term ``service port'' refers to a Customs location
having a full range of cargo processing functions, including
inspections, entry, collections, and verification.
Shipment. ``Shipment'' means the merchandise described on the bill
of lading or other document used to file or support entry, or in the
oral declaration when applicable.
[T.D. 77-241, 42 FR 54937, Oct. 12, 1977, as amended by T.D. 84-213, 49
FR 41170, Oct. 19, 1984; 49 FR 44867, Nov. 9, 1984; T.D. 94-51, 59 FR
30294, June 13, 1994; T.D. 95-77, 60 FR 50011, Sept. 27, 1995; T.D. 99-
57, 64 FR 40987, July 28, 1999]
Sec. 101.2 Authority of Customs officers.
(a) Supremacy of delegated authority. Action taken by any person
pursuant to authority delegated to him by the Secretary of the Treasury,
whether directly or by subdelegation, shall be valid despite the
existence of any statute or regulation, including any provision of this
chapter, which provides that such action shall be taken by
[[Page 609]]
some other person. Any person acting under such delegated authority
shall be deemed to have complied with any statute or regulation which
provides or indicates that it shall be the duty of some other person to
perform such action.
(b) Consolidation of functions. Any reorganization of the Customs
Service or consolidation of the functions of two or more persons into
one office which results in the failure of a designated Customs officer
to perform an action required by statute or regulation, shall not
invalidate the performance of that action by any other Customs officer.
(c) Customs supervision. Whenever anything is required by the
regulations in this chapter or by any provision of the customs or
navigation laws to be done or maintained under the supervision of
Customs officers, such supervision shall be carried out as prescribed in
the regulations of this chapter or by instructions from the Secretary of
the Treasury or the Commissioner of Customs in particular cases. In the
absence of a governing regulation or instruction, supervision shall be
direct and continuous or by such occasional verification as the
principal Customs field officer shall direct if such officer shall
determine that less intensive supervision will ensure proper enforcement
of the law and protection of the revenue. Nothing in this section shall
be deemed to warrant any failure to direct and furnish required
supervision or to excuse any failure of a party in interest to comply
with prescribed procedures for obtaining any required supervision.
[T.D. 77-241, 42 FR 54937, Oct. 12, 1977, as amended by T.D. 98-22, 63
FR 11825, Mar. 11, 1998]
Sec. 101.3 Customs service ports and ports of entry.
(a) Designation of Customs field organization. The Deputy Assistant
Secretary (Regulatory, Tariff, and Trade Enforcement), pursuant to
authority delegated by the Secretary of the Treasury, is authorized to
establish, rearrange or consolidate, and to discontinue Customs ports of
entry as the needs of the Customs Service may require.
(b) List of Ports of Entry and Service Ports. The following is a
list of Customs Ports of Entry and Service Ports. Many of the ports
listed were created by the President's message of March 3, 1913,
concerning a reorganization of the Customs Service pursuant to the Act
of August 24, 1912 (37 Stat. 434; 19 U.S.C. 1). Subsequent orders of the
President or of the Secretary of the Treasury which affected these
ports, or which created (or subsequently affected) additional ports, are
cited following the name of the ports.
(1) Customs ports of entry. A list of Customs ports of entry by
State and the limits of each port are set forth below:
----------------------------------------------------------------------------------------------------------------
Ports of entry Limits of port
----------------------------------------------------------------------------------------------------------------
Alabama
----------------------------------------------------------------------------------------------------------------
Birmingham
Huntsville..................................... T.D. 83-196.
Mobile......................................... Including territory described in T.D. 76-259.
----------------------------------------------------------------------------------------------------------------
Alaska
----------------------------------------------------------------------------------------------------------------
Alcan.......................................... T.D. 71-210.
Anchorage...................................... T.D.s 55295 and 68-50.
Dalton Cache................................... T.D. 79-74.
Fairbanks...................................... E.O. 8064, Mar. 9, 1939 (4 FR 1191).
Juneau
Ketchikan...................................... Including territory described in T.D. 74-100.
Kodiak......................................... T.D. 98-65.
Sitka.......................................... Including territory described in T.D. 55609.
Skagway
Valdez......................................... Including territory described in T.D. 79-201.
Wrangell....................................... Including territory described in T.D. 56420.
----------------------------------------------------------------------------------------------------------------
Arizona
----------------------------------------------------------------------------------------------------------------
Douglas........................................ Including territory described in E.O. 9382, Sept. 25, 1943 (8
FR 13083).
Lukeville...................................... E.O. 10088, Dec. 3, 1949 (14 FR 7287).
Naco
[[Page 610]]
Nogales........................................ Including territory described in T.D. 77-285.
Phoenix........................................ T.D. 71-103.
San Luis....................................... E.O. 5322, Apr. 9, 1930.
Sasabe......................................... E.O. 5608, Apr. 22, 1931.
Tucson......................................... Including territory described in T.D. 89-102.
----------------------------------------------------------------------------------------------------------------
Arkansas
----------------------------------------------------------------------------------------------------------------
Little Rock-North Little Rock.................. T.D. 70-146. (Restated in T.D. 84-126).
----------------------------------------------------------------------------------------------------------------
California
----------------------------------------------------------------------------------------------------------------
Andrade........................................ E.O. 4780, Dec. 13, 1927.
Calexico
Eureka
Fresno......................................... Including territory described in T.D. 74-18.
Los Angeles-Long Beach......................... Including territory described in T.D. 78-130.
Port Hueneme................................... T.D. 92-10.
Port San Luis T.D. 35546.
Sacramento..................................... CBP Dec. 06-23.
San Diego...................................... T.D. 85-163.
+ San Francisco-Oakland........................ CBP Dec. 06-23.
San Jose....................................... 95-80
Tecate......................................... E.O. 4780, Dec. 13, 1927.
----------------------------------------------------------------------------------------------------------------
Colorado
----------------------------------------------------------------------------------------------------------------
Denver......................................... T.D. 80-180.
----------------------------------------------------------------------------------------------------------------
Connecticut
----------------------------------------------------------------------------------------------------------------
Bridgeport..................................... Including territory described in T.D. 68-224.
Hartford....................................... Including territory described in T.D. 68-224.
New Haven...................................... Including territory described in T.D. 68-224.
New London..................................... Including territory described in T.D. 68-224.
----------------------------------------------------------------------------------------------------------------
Delaware
----------------------------------------------------------------------------------------------------------------
Wilmington..................................... Included in the Consolidated Port of the Delaware River and Bay
described in T.D. 96-4.
----------------------------------------------------------------------------------------------------------------
District of Columbia
----------------------------------------------------------------------------------------------------------------
Washington..................................... Including territory described in T.D. 68-67.
----------------------------------------------------------------------------------------------------------------
Florida
----------------------------------------------------------------------------------------------------------------
Fernandina Beach............................... Including St. Mary's, GA; T.D. 53033.
Fort Myers..................................... T.D. 99-9
Jacksonville................................... T.D. 69-45.
Key West....................................... Including territory described in T.D. 53994.
Miami.......................................... Including territory described in T.D. 53514.
Orlando........................................ T.D. 76-306.
Orlando-Sanford Airport........................ T.D. 97-64.
Panama City.................................... E.O. 3919, Nov. 1, 1923.
Pensacola
Port Canaveral................................. Including territory described in T.D. 66-212.
Port Everglades................................ E.O. 5770, Dec. 31, 1931; including territory described in T.D.
53514. Mail: Fort Lauderdale, FL.
Port Manatee................................... T.D. 88-14.
St. Petersburg................................. E.O. 7928, July 14, 1938 (3 FR 1749); including territory
described in T.D. 53994.
Tampa.......................................... Including territory described in T.D. 68-91.
West Palm Beach................................ E.O. 4324, Oct. 15, 1925; including territory described in T.D.
53514.
----------------------------------------------------------------------------------------------------------------
Georgia
----------------------------------------------------------------------------------------------------------------
Atlanta........................................ Including territory described in T.D. 55548.
Brunswick...................................... Including territory described in T.D. 86-162.
Fernandina Beach, FL........................... Including St. Mary's, GA; T.D. 53033.
Savannah....................................... Including territory described in E.O. 8367, Mar. 5, 1940 (5 FR
985).
----------------------------------------------------------------------------------------------------------------
Hawaii
----------------------------------------------------------------------------------------------------------------
Hilo........................................... T.D. 95-11.
Honolulu....................................... Including territory described in T.D. 90-59.
Kahului........................................ T.D. 95-11.
[[Page 611]]
Nawiliwili-Port Allen.......................... E.O. 4385, Feb. 25, 1926; including territory described in T.D.
56424.
----------------------------------------------------------------------------------------------------------------
Idaho
----------------------------------------------------------------------------------------------------------------
Boise.......................................... Pub.L. 98-573; T.D. 85-22.
Eastport
Porthill
----------------------------------------------------------------------------------------------------------------
Illinois
----------------------------------------------------------------------------------------------------------------
+ Chicago...................................... Including territory described in CBP Dec. 04-24.
Davenport, IA-Moline and Rock Island, IL....... T.D.s 86-76 and 89-10.
Peoria......................................... Including territory described in T.D.72-130.
Rockford....................................... CBP Dec. 05-38.
----------------------------------------------------------------------------------------------------------------
Indiana
----------------------------------------------------------------------------------------------------------------
Cincinnati, OH-Lawrenceburg, IN................ Consolidated port, T.D. 84-91.
Indianapolis................................... CBP Dec. 13-13.
Owensboro, KY-Evansville, IN................... Consolidated port, T.D. 84-91.
----------------------------------------------------------------------------------------------------------------
Iowa
----------------------------------------------------------------------------------------------------------------
Davenport,IA-Moline and Rock Island, IL........ T.D.s 86-76 and 89-10.
Des Moines..................................... T.D. 75-104.
----------------------------------------------------------------------------------------------------------------
Kansas
----------------------------------------------------------------------------------------------------------------
Wichita........................................ T.D. 74-93.
----------------------------------------------------------------------------------------------------------------
Kentucky
----------------------------------------------------------------------------------------------------------------
Louisville..................................... Including territory described in T.D. 77-232.
Owensboro, KY-Evansville, IN................... Consolidated port, T.D. 84-91.
----------------------------------------------------------------------------------------------------------------
Louisiana
----------------------------------------------------------------------------------------------------------------
Baton Rouge.................................... E.O. 5993, Jan. 13, 1933; including territory described in
T.D.s 53514 and 54381. (Restated in T.D. 84-126).
Gramercy....................................... T.D. 82-93.
Lake Charles................................... E.O. 5475, Nov. 3, 1930; including territory described in T.D.
54137.
Morgan City.................................... T.D. 54682; including territory described in T.D.s 66-266 and
94-77. (Restated in T.D. 84-126).
New Orleans.................................... E.O. 5130, May 29, 1929; including territory described in T.D.
74-206. (Restated in T.D. 84-126).
Shreveport-Bossier City........................ Including territory described in T.D. 86-145.
----------------------------------------------------------------------------------------------------------------
Maine
----------------------------------------------------------------------------------------------------------------
Bangor......................................... Including Brewer, ME, E.O. 9297, Feb. 1, 1943 (8 FR 1479).
Bar Harbor..................................... Including Mount Desert Island, the city of Ellsworth, and the
townships of Hancock, Sullivan, Sorrento, Gouldsboro, and
Winter Harbor and Trenton, E.O. 4572, Jan. 27, 1927, and T.D.
78-130.
Bath........................................... Including Booth Bay and Wiscasset, E.O. 4356, Dec. 15, 1925.
Belfast........................................ Including Searsport, E.O. 6754, June 28, 1934.
Bridgewater.................................... E.O. 8079, Apr. 4, 1939 (4 FR 1475).
Calais......................................... Including townships of Calais, Robbinston, and Baring, E.O.
6284, Sept. 13, 1933.
Eastport....................................... Including Lubec and Cutler, E.O. 4296, Aug. 26, 1925.
Fort Fairfield
Fort Kent
Houlton........................................ E.O. 4156, Feb. 14, 1925.
Jackman........................................ Including townships of Jackman, Sandy Bay, Bald Mountain,
Holeb, Attean, Lowelltown, Dennistown, and Moose River, T.D.
54683.
Jonesport...................................... Including towns (townships) of Beals, Jonesboro, Roque Bluffs,
and Machiasport, E.O. 4296, Aug. 26, 1925; E.O. 8695, Feb. 25,
1941 (6 FR 1187).
Limestone
Madawaska
Portland....................................... Including territory described in CBP Dec. 03-08.
Portsmouth, N.H................................ Including Kittery, ME.
Rockland
Van Buren
Vanceboro
----------------------------------------------------------------------------------------------------------------
[[Page 612]]
Maryland
----------------------------------------------------------------------------------------------------------------
Annapolis
Baltimore...................................... Including territory described in T.D. 68-123.
Cambridge...................................... E.O. 3888, Aug. 13, 1923; Crisfield.
----------------------------------------------------------------------------------------------------------------
Massachusetts
----------------------------------------------------------------------------------------------------------------
Boston......................................... Including territory and waters adjacent thereto described in
T.D. 56493.
Fall River..................................... Including territory described in T.D. 54476.
Gloucester
Lawrence....................................... E.O. 5444, Sept. 16, 1930; E.O. 10088, Dec. 3, 1949 (14 FR
7287); including territory described in T.D. 71-12.
New Bedford
Plymouth
Salem.......................................... Including Beverly, Marblehead, and Lynn; including Peabody,
E.O. 9207, July 29, 1942 (7 FR 5931).
Springfield.................................... T.D. 69-189.
Worcester
----------------------------------------------------------------------------------------------------------------
Michigan
----------------------------------------------------------------------------------------------------------------
Battle Creek................................... T.D. 72-233.
Detroit........................................ Including territory described in E.O. 9073, Feb. 25, 1942 (7 FR
1588), and T.D. 53738.
Grand Rapids................................... T.D. 77-4.
Marinette, WI.................................. Including Menominee, MI.
Muskegon....................................... E.O. 8315, Dec. 22, 1939 (4 FR 4941); including territory
described in T.D. 56230.
Port Huron..................................... Including territory described in T.D. 87-117.
Saginaw-Bay City-Flint......................... Consolidated port, T.D. 79-74; including territory described in
T.D. 82-9.
Sault Ste. Marie............................... Including territory described in T.D. 79-74.
----------------------------------------------------------------------------------------------------------------
Minnesota
----------------------------------------------------------------------------------------------------------------
Baudette....................................... E.O. 4422, Apr. 19, 1926.
Duluth, MN and Superior, WI.................... Including territory described in T.D. 55904.
Grand Portage.................................. T.D. 56073.
International Falls-Ranier..................... Including territory described in T.D. 66-246.
Minneapolis-St. Paul........................... Including territory described in T.D. 69-15.
Pinecreek...................................... E.O. 7632, June 15, 1937 (2 FR 1245).
Roseau......................................... E.O. 7632, June 15, 1937 (2 FR 1245).
Warroad
----------------------------------------------------------------------------------------------------------------
Mississippi
----------------------------------------------------------------------------------------------------------------
Greenville..................................... T.D. 73-325. (Restated in T.D. 84-126).
Gulfport
Pascagoula..................................... Including territory described in T.D. 86-68.
Vicksburg...................................... T.D. 72-123; including territory described in T.D. 93-32.
(Restated in T.D. 84-126).
----------------------------------------------------------------------------------------------------------------
Missouri
----------------------------------------------------------------------------------------------------------------
Kansas City.................................... Including Kansas City, KS and North Kansas City, MO, E.O. 8528,
Aug. 27, 1940 (5 FR 3403); including territory described in
T.D. 67-56.
Spirit of St. Louis Airport.................... Including territory described in T.D. 97-7.
Springfield.................................... Including all territory within Greene and Christian Counties,
T.D. 84-84.
St. Joseph
St. Louis...................................... CBP Dec. 09-16.
----------------------------------------------------------------------------------------------------------------
Montana
----------------------------------------------------------------------------------------------------------------
Butte.......................................... T.D. 73-121.
Del Bonita..................................... E.O. 7947, Aug. 9, 1938 (3 FR 1965); Mail: Cut Bank, MT.
Great Falls
Morgan......................................... E.O. 7632, June 15, 1937 (2 FR 1245); Mail: Loring, MT.
Opheim......................................... E.O. 7632, June 15, 1937 (2 FR 1245).
Piegan......................................... E.O. 7632, June 15, 1937 (2 FR 1245); Mail: Babb, MT.
Raymond........................................ E.O. 7632, June 15, 1937 (2 FR 1245).
Roosville...................................... E.O. 7632, June 15, 1937 (2 FR 1245); Mail: Eureka, MT.
Scobey......................................... E.O. 7632, June 15, 1937 (2 FR 1245).
Sweetgrass
Turner......................................... E.O. 7632, June 15, 1937 (2 FR 1245).
Whitlash....................................... E.O. 7632, June 15, 1937 (2 FR 1245).
----------------------------------------------------------------------------------------------------------------
[[Page 613]]
Nebraska
----------------------------------------------------------------------------------------------------------------
Omaha.......................................... Including territory described in T.D. 73-228.
----------------------------------------------------------------------------------------------------------------
Nevada
----------------------------------------------------------------------------------------------------------------
Las Vegas...................................... Including territory described in T.D. 79-74.
Reno........................................... Including territory described in T.D. 73-56.
----------------------------------------------------------------------------------------------------------------
New Hampshire
----------------------------------------------------------------------------------------------------------------
Portsmouth..................................... Including Kittery, ME.
----------------------------------------------------------------------------------------------------------------
New Jersey
----------------------------------------------------------------------------------------------------------------
Camden, Gloucester City, and Salem............. Included in the Consolidated Port of the Delaware River and Bay
described in T.D. 96-4.
Perth Amboy
----------------------------------------------------------------------------------------------------------------
New Mexico
----------------------------------------------------------------------------------------------------------------
Albuquerque.................................... Including territory described in T.D. 74-304.
Columbus
Santa Teresa................................... T.D. 94-34.
----------------------------------------------------------------------------------------------------------------
New York
----------------------------------------------------------------------------------------------------------------
Albany
Alexandria Bay................................. Including territory described in E.O. 10042, Mar. 10, 1949 (14
FR 1155).
Buffalo-Niagara Falls.......................... T.D. 56512.
Cape Vincent
Champlain-Rouses Point......................... Including territory described in T.D. 67-68.
Clayton
Massena........................................ T.D. 54834.
+ New York..................................... Including territory described in E.O. 4205, Apr. 15, 1925 (T.D.
40809).
Ogdensburg
Oswego
Rochester
Sodus Point
Syracuse
Trout River.................................... Consolidated port includes Chateaugay and Fort Covington, T.D.
83-253.
Utica
----------------------------------------------------------------------------------------------------------------
North Carolina
----------------------------------------------------------------------------------------------------------------
Beaufort-Morehead City......................... Including territory described in T.D. 87-76.
Charlotte...................................... T.D. 56079.
Durham......................................... E.O. 4876, May 3, 1928; including territory described in E.O.
9433, Apr. 4, 1944 (9 FR 3761), and T.D. 82-9.
Reidsville..................................... E.O. 5159, July 18, 1929; including territory described in E.O.
9433, Apr. 6, 1944 (9 FR 3761).
Wilmington..................................... Including townships of Northwest, Wilmington, and Cape Fear,
E.O. 7761, Dec. 3, 1937 (2 FR 2679); including territory
described in E.O. 10042, Mar. 10, 1949 (14 FR 1155).
Winston-Salem.................................. Including territory described in T.D. 87-64.
----------------------------------------------------------------------------------------------------------------
North Dakota
----------------------------------------------------------------------------------------------------------------
Ambrose........................................ E.O. 5835, April 13, 1932.
Antler
Carbury........................................ E.O. 5137, June 17, 1929.
Dunseith....................................... E.O. 7632, June 15, 1937 (2 FR 1245).
Fargo.......................................... CBP Dec. 03-09.
Fortuna........................................ E.O. 7632, June 15, 1937 (2 FR 1245).
Hannah
Hansboro
Maida.......................................... E.O. 7632, June 15, 1937 (2 FR 1245).
Neche
Noonan......................................... E.O. 7632, June 15, 1937 (2 FR 1245).
Northgate T.D. 37386, T.D. 37439
Pembina........................................ CBP Dec. 06-15.
Portal
Sarles
Sherwood
St. John....................................... E.O. 5835, Apr. 13, 1932.
Walhalla
[[Page 614]]
Westhope....................................... E.O. 4236, June 1, 1925.
----------------------------------------------------------------------------------------------------------------
Ohio
----------------------------------------------------------------------------------------------------------------
Ashtabula/Conneaut............................. Consolidated port, T.D. 77-232.
Cincinnati, OH-Lawrenceburg, IN................ Consolidated port, T.D. 84-91.
Cleveland...................................... Including territory described in T.D. 77-232; consolidated
port, T.D. 87-123.
Columbus....................................... CBP Dec. 09-35.
Dayton......................................... CBP Dec. 09-19.
Toledo-Sandusky................................ Consolidated port, T.D. 84-89.
----------------------------------------------------------------------------------------------------------------
Oklahoma
----------------------------------------------------------------------------------------------------------------
Oklahoma City.................................. Including territory described in T.D. 66-132.
Tulsa.......................................... T.D. 69-142.
----------------------------------------------------------------------------------------------------------------
Oregon
----------------------------------------------------------------------------------------------------------------
Astoria........................................ Including territory described in T.D. 73-338.
Coos Bay....................................... E.O. 4094, Oct. 28, 1924; E.O. 5193, Sept. 14, 1929; E.O. 5445,
Sept. 16, 1930; E.O. 9533, Mar. 23, 1945 (10 FR 3173).
Newport
Portland
----------------------------------------------------------------------------------------------------------------
Pennsylvania
----------------------------------------------------------------------------------------------------------------
Chester........................................ Included in the Consolidated Port of the Delaware River and Bay
described in T.D. 96-4.
Erie........................................... Including territory described in T.D. 77-5.
Harrisburg..................................... T.D. 71-233.
Lehigh Valley.................................. T.D. 93-75.
Philadelphia................................... Included in the Consolidated Port of the Delaware River and Bay
described in T.D. 96-4.
Pittsburgh..................................... Including territory described in T.D. 67-197.
Wilkes-Barre/Scranton.......................... T.D. 75-64.
----------------------------------------------------------------------------------------------------------------
Puerto Rico
----------------------------------------------------------------------------------------------------------------
Aguadilla T.D. 22305.
Fajardo
Guanica
Humacao........................................ Including territory described in T.D. 70-157.
Jobos.......................................... E.O. 9162, May 13, 1942 (7 FR 3569).
Mayaguez....................................... T.D. 22305.
Ponce.......................................... Including territory described in T.D. 54017.
San Juan....................................... Including territory described in T.D. 54017.
----------------------------------------------------------------------------------------------------------------
Rhode Island
----------------------------------------------------------------------------------------------------------------
Newport
Providence..................................... Including territory described in T.D. 67-3.
----------------------------------------------------------------------------------------------------------------
South Carolina
----------------------------------------------------------------------------------------------------------------
Charleston..................................... Including territory described in T.D. 76-142.
Columbia....................................... Including all territory in Richland and Lexington Counties,
T.D. 82-239.
Georgetown
Greenville-Spartanburg......................... T.D. 70-148.
----------------------------------------------------------------------------------------------------------------
South Dakota
----------------------------------------------------------------------------------------------------------------
Sioux Falls.................................... T.D. 96-3.
----------------------------------------------------------------------------------------------------------------
Tennessee
----------------------------------------------------------------------------------------------------------------
Chattanooga.................................... (Restated in T.D. 84-126).
Knoxville...................................... T.D. 75-128. (Restated in T.D. 84-126).
Memphis........................................ CBP Dec. 04-22.
Nashville...................................... (Restated in T.D. 84-126).
Tri-Cities, TN/VA.............................. CBP Dec. 06-14.
----------------------------------------------------------------------------------------------------------------
Texas
----------------------------------------------------------------------------------------------------------------
Amarillo....................................... T.D. 75-129.
Austin......................................... T.D. 81-170.
Beaumont, Orange, Port Arthur, Sabine.......... Consolidated port, T.D. 74-231; including territory described
in T.D. 81-160.
[[Page 615]]
Brownsville.................................... Including territory described in T.D. 79-254.
Corpus Christi................................. E.O. 8288, Nov. 22, 1939 (4 FR 4691), and territory described
in T.D. 78-130.
Dallas-Fort Worth.............................. T.D. 73-297; T.D. 79-232; T.D. 81-170.
Del Rio
Eagle Pass..................................... Including territory described in T.D. 91-93.
El Paso........................................ T.D. 54407, including territory described in T.D. 78-221.
Fabens......................................... E.O. 4869, May 1, 1928.
Freeport....................................... E.O. 7632, June 15, 1937 (2 FR 1245).
Hidalgo........................................ T.D. 85-164.
+ Houston-Galveston............................ Consolidated port includes territory lying within corporate
limits of both Houston and Galveston, and remaining territory
in Harris and Galveston Counties, T.D.s 81-160 and 82-15.
Laredo......................................... Including territory described in T.D. 90-69.
Lubbock........................................ T.D. 76-79.
Port Lavaca-Point Comfort...................... T.D. 56115.
Presidio....................................... E.O. 2702, Sept. 7, 1917.
Progreso....................................... T.D. 85-164.
Rio Grande City................................ Including territory described in T.D. 92-43.
Roma........................................... E.O. 4830, Mar. 14, 1928.
San Antonio
----------------------------------------------------------------------------------------------------------------
Utah
----------------------------------------------------------------------------------------------------------------
Salt Lake City................................. T.D. 69-76.
----------------------------------------------------------------------------------------------------------------
Vermont
----------------------------------------------------------------------------------------------------------------
Beecher Falls
Burlington..................................... Including town of South Burlington, T.D. 54677.
Derby Line
Highgate Springs/Alburg........................ E.O. 7632, June 15, 1937 (2 FR 1245); includes territory
described in T.D. 77-165.
Norton......................................... T.D. 73-249.
Richford
St. Albans..................................... Including township of St. Albans, E.O. 3925, Nov. 13, 1923;
E.O. 7632, June 15, 1937 (2 FR 1245); T.D. 77-165.
----------------------------------------------------------------------------------------------------------------
Virginia
----------------------------------------------------------------------------------------------------------------
Alexandria, VA................................. T.D. 68-67.
Front Royal.................................... T.D. 89-63.
New River Valley............................... CBP Dec. 06-10.
Norfolk-Newport News........................... Consolidated port includes waters and shores of Hampton Roads.
Richmond-Petersburg............................ Consolidated port, T.D. 68-179.
----------------------------------------------------------------------------------------------------------------
Virgin Islands, U.S.
----------------------------------------------------------------------------------------------------------------
Charlotte Amalie, St. Thomas
Christiansted, St. Croix
Coral Bay, St. John
Cruz Bay, St. John
Frederiksted, St. Croix
----------------------------------------------------------------------------------------------------------------
Washington
----------------------------------------------------------------------------------------------------------------
Aberdeen....................................... Including territory described in T.D.s 56229, 79-169, and 84-
90.
Blaine......................................... E.O. 5835, Apr. 13, 1932.
Boundary....................................... T.D. 67-65.
Danville
Ferry
Frontier....................................... T.D. 67-65.
Laurier
Longview....................................... Including territory described in T.D. 73-338.
Lynden......................................... E.O. 7632, June 15, 1937 (2 FR 1245).
Metaline Falls................................. E.O. 7632, June 15, 1937 (2 FR 1245).
Nighthawk T.D. 39882
Oroville....................................... E.O. 5206, Oct. 11, 1929.
Point Roberts.................................. T.D. 78-272.
Puget Sound.................................... Consolidated port includes Seattle, Anacortes, Bellingham,
Everett, Friday Harbor, Neah Bay, Olympia, Port Angeles, Port
Towsend, and Tacoma, T.D. 00-35.
Spokane
Sumas
----------------------------------------------------------------------------------------------------------------
West Virginia
----------------------------------------------------------------------------------------------------------------
Charleston..................................... T.D. 73-170 and including territory described in T.D. 73-212.
----------------------------------------------------------------------------------------------------------------
[[Page 616]]
Wisconsin
----------------------------------------------------------------------------------------------------------------
Ashland
Duluth, MN and Superior, WI.................... Including territory described in T.D. 55904.
Green Bay...................................... CBP Dec. 13-2.
Manitowoc
Marinette...................................... Including Menominee, MI.
Milwaukee...................................... Including territory described in T.D. 72-105.
Racine......................................... Including city of Kenosha and townships of Mount Pleasant and
Somers, T.D. 54884.
Sheboygan
----------------------------------------------------------------------------------------------------------------
+ Indicates Drawback unit/office.
(2) Customs service ports. A list of Customs service ports and the
States in which they are located is set forth below:
------------------------------------------------------------------------
State Service ports
------------------------------------------------------------------------
Alabama................................... Mobile.
Alaska.................................... Anchorage.
Arizona................................... Nogales.
California................................ Los Angeles.
LAX.
San Diego.
San Francisco.
Colorado.................................. Denver.
Florida................................... Miami.
Tampa.
Georgia................................... Savannah.
Hawaii.................................... Honolulu.
Illinois.................................. Chicago.
Louisiana................................. New Orleans.
Maine..................................... Portland.
Maryland.................................. Baltimore.
Massachusetts............................. Boston.
Michigan.................................. Detroit.
Minnesota................................. Duluth.
Minneapolis.
Missouri.................................. St. Louis.
Montana................................... Great Falls.
New Jersey................................ New York/Newark.
New York.................................. Buffalo.
Champlain.
JFK.
New York/Newark.
North Carolina............................ Charlotte.
North Dakota.............................. Pembina.
Ohio...................................... Cleveland.
Oregon.................................... Portland.
Pennsylvania.............................. Philadelphia.
Puerto Rico............................... San Juan.
Rhode Island.............................. Providence.
South Carolina............................ Charleston.
Texas..................................... Dallas.
El Paso.
Houston.
Laredo.
Vermont................................... St. Albans.
Virginia.................................. Dulles.
Norfolk.
Virgin Islands............................ Charlotte Amalie.
Washington................................ Blaine.
Seattle.
Wisconsin................................. Milwaukee.
------------------------------------------------------------------------
[T.D. 95-77, 60 FR 50011, Sept. 27, 1995]
Editorial Note: For Federal Register citations affecting Sec. 101.3,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 101.4 Entry and clearance of vessels at Customs stations.
(a) Entry at Customs station. A vessel shall not be entered or
cleared at a Customs station, or any other place that is not a port of
entry, unless entry or clearance is authorized by the director of the
port under whose jurisdiction the station or place falls pursuant to the
provisions of section 447, Tariff Act of 1930, as amended (19 U.S.C.
1447).
(b) Authorization to enter. Authorization to enter or be cleared at
a Customs station shall be granted by the director of the port under
whose jurisdiction the station or place falls provided the port director
is notified in advance of the arrival of the vessel concerned and the
following conditions are met:
(1) Such Customs supervision as may be necessary can be provided.
(2) All applicable Customs and navigation laws and regulations are
complied with.
(3) The owner, master or agent of a vessel sought to be entered at a
Customs station reimburses the Government for the salary and expenses of
the Customs officer or employee stationed at or sent to such Customs
station or other place which is not a port of entry for services
rendered in connection with the entry or clearance of such vessel, and
(4) Except as otherwise provided by these regulations, the
Government is reimbursed by the interested parties for the expenses,
including any per diem allowed in lieu of subsistence, but not the
salary of a Customs officer or employee for services rendered in
connection with the entry or delivery of merchandise.
[[Page 617]]
(c) Customs stations designated. The Customs stations and the ports
of entry having supervision thereof are listed below:
------------------------------------------------------------------------
Customs station Supervisory port of entry
------------------------------------------------------------------------
Alaska
------------------------------------------------------------------------
Barrow.................................... Fairbanks.
Dutch Harbor.............................. Anchorage.
Eagle..................................... Alcan.
Fort Yukon................................ Fairbanks.
Haines.................................... Dalton Cache.
Hyder..................................... Ketchikan.
Kaktovik (Barter Island).................. Fairbanks.
Kenai (Nikiski)........................... Anchorage.
Northway.................................. Alcan.
Pelican................................... Juneau.
Petersburg................................ Wrangell.
------------------------------------------------------------------------
California
------------------------------------------------------------------------
Campo..................................... Tecate.
Otay Mesa................................. San Diego.
San Ysidro................................ San Diego.
------------------------------------------------------------------------
Colorado
------------------------------------------------------------------------
Colorado Springs.......................... Denver.
------------------------------------------------------------------------
Delaware
------------------------------------------------------------------------
Lewes..................................... Philadelphia, PA.
------------------------------------------------------------------------
Florida
------------------------------------------------------------------------
Fort Pierce............................... West Palm Beach.
Green Cove Springs........................ Jacksonville.
Port St. Joe.............................. Panama City.
------------------------------------------------------------------------
Indiana
------------------------------------------------------------------------
Fort Wayne................................ Indianapolis.
------------------------------------------------------------------------
Maine
------------------------------------------------------------------------
Bucksport................................. Belfast.
Coburn Gore............................... Jackman.
Daaquam................................... Jackman.
Easton.................................... Fort Fairfield.
Estcourt.................................. Fort Kent.
Forest City............................... Houlton.
Hamlin.................................... Van Buren.
------------------------------------------------------------------------
Maryland
------------------------------------------------------------------------
Salisbury................................. Baltimore.
------------------------------------------------------------------------
Massachusetts
------------------------------------------------------------------------
Provincetown.............................. Plymouth.
------------------------------------------------------------------------
Michigan
------------------------------------------------------------------------
Alpena.................................... Saginaw-Bay City-Flint.
Detour.................................... Sault Ste. Marie.
Escanaba.................................. Sault Ste. Marie.
Grand Haven............................... Muskegon.
Houghton.................................. Sault Ste. Marie.
Marquette................................. Sault Ste. Marie.
Rogers City............................... Saginaw-Bay City-Flint.
------------------------------------------------------------------------
Minnesota
------------------------------------------------------------------------
Crane Lake................................ Duluth, MN-Superior, WI.
Ely....................................... Duluth, MN-Superior, WI.
Lancaster................................. Noyes.
Oak Island................................ Warroad.
------------------------------------------------------------------------
Mississippi
------------------------------------------------------------------------
Biloxi.................................... Mobile, AL.
------------------------------------------------------------------------
Montana
------------------------------------------------------------------------
Wild Horse................................ Great Falls.
Willow Creek.............................. Great Falls.
------------------------------------------------------------------------
New Jersey
------------------------------------------------------------------------
Atlantic City............................. Philadelphia-Chester, PA and
Wilmington, DE.
Port Norris............................... Philadelphia-Chester, PA and
Wilmington, DE.
Tuckerton................................. Philadelphia-Chester, PA and
Wilmington, DE, PA.
------------------------------------------------------------------------
New York
------------------------------------------------------------------------
Cannons Corners........................... Champlain-Rouses Point.
Churubusco................................ Trout River.
Jamieson's Line........................... Trout River.
------------------------------------------------------------------------
New Hampshire
------------------------------------------------------------------------
Pittsburg................................. Beecher Falls, VT.
Monticello................................ Houlton, ME.
Orient.................................... Houlton, ME.
Ste. Aurelie.............................. Jackman, ME.
St. Pamphile.............................. Jackman, ME.
------------------------------------------------------------------------
New Mexico
------------------------------------------------------------------------
Antelope Wells (Mail: Hachita, NM)........ Columbus, NM.
------------------------------------------------------------------------
North Dakota
------------------------------------------------------------------------
Grand Forks............................... Pembina.
Minot..................................... Pembina.
------------------------------------------------------------------------
Ohio
------------------------------------------------------------------------
Akron..................................... Cleveland.
Fairport Harbor........................... Ashtabula/Conneaut.
Lorain.................................... Sandusky.
Marblehead-Lakeside....................... Sandusky.
Put-in-Bay................................ Sandusky.
------------------------------------------------------------------------
Oklahoma
------------------------------------------------------------------------
Muskogee.................................. Tulsa.
------------------------------------------------------------------------
Texas
------------------------------------------------------------------------
Amistad Dam............................... Del Rio.
Boquillas................................. Presidio.
Falcon Dam................................ Roma.
Fort Hancock.............................. Fabens.
Los Ebanos................................ Rio Grande City.
Marathon.................................. El Paso.
------------------------------------------------------------------------
Vermont
------------------------------------------------------------------------
Beebe Plaine.............................. Derby Line.
Canaan.................................... Beecher Falls.
East Richford............................. Richford.
Newport................................... Derby Line.
North Troy................................ Derby Line.
West Berkshire............................ Richford.
------------------------------------------------------------------------
[[Page 618]]
(d) Temporary Customs stations. Customs stations may be designated
for a temporary time only, to provide Customs facilities where needed
because of certain large-scale operations. Because these designations
change from time to time they are not listed. However, current
information as to the existence of such stations may be obtained from
the local port director.
[T.D. 77-241, 42 FR 54937, Oct. 12, 1977]
Editorial Note: For Federal Register citations affecting Sec. 101.4,
see the List of CFR Sections Affected, which appears in the Finding Aids
section of the printed volume and at www.fdsys.gov.
Sec. 101.5 CBP preclearance offices in foreign countries.
Listed below are the preclearance offices in foreign countries where
CBP officers are located. A Director, Preclearance, located in the
Office of Field Operations at CBP Headquarters, is the responsible CBP
officer exercising supervisory control over all preclearance offices.
------------------------------------------------------------------------
Country CBP office
------------------------------------------------------------------------
Aruba.......................... Orangestad.
The Bahamas.................... Freeport.
Nassau.
Bermuda........................ Kindley Field.
Canada......................... Calgary, Alberta.
Edmonton, Alberta.
Halifax, Nova Scotia.
Montreal, Quebec.
Ottawa, Ontario.
Toronto, Ontario.
Vancouver, British Columbia.
Winnipeg, Manitoba.
Ireland........................ Dublin.
Shannon.
------------------------------------------------------------------------
[CBP Dec. 11-08, 76 FR 22805, Apr. 25, 2011]
Sec. 101.6 Hours of business.
Except as specified in paragraphs (a) through (g) of this section,
each CBP office shall be open for the transactions of general CBP
business between the hours of 8:30 a.m. and 5 p.m. on all days of the
year:
(a) Saturdays, Sundays and national holidays. In addition to
Saturdays, Sundays, and any other calendar day designated as a holiday
by Federal statute or Executive Order, CBP offices shall be closed on
the following national holidays:
(1) The first day of January.
(2) The third Monday of January.
(3) The third Monday of February.
(4) The last Monday of May.
(5) The fourth day of July.
(6) The first Monday of September.
(7) The second Monday of October.
(8) The eleventh day of November.
(9) The fourth Thursday of November.
(10) The twenty-fifth day of December.
If a holiday falls on Saturday, the day immediately preceding such
Saturday will be observed. If a holiday falls on Sunday, the day
immediately following such Sunday will be observed. (5 U.S.C.
6103(b)(1)); (E.O. No. 11582, Jan. 1, 1971; 34 FR 2957; 3 CFR Ch. 11)
(b) Local conditions requiring different hgurs. If, because of local
conditions, different but equivalent hours are required to maintain
adequate service, such hours shall be observed provided the Commissioner
of Customs and Border Protection approves them and provided further that
a notice of business hours is prominently displayed at the principal
entrance and in each public room of the CBP office.
(c) Fixing of hours. At each port or station where there is no full-
time CBP employee, the port director shall fix the hours during which
the CBP office will be open for the transaction of general CBP business.
Notice of such hours shall be prominently displayed at the principal
entrance of the office.
(d) State and local holidays. Each CBP office shall be open for the
transaction of business on all State and local holidays occurring on
days other than Saturdays, Sundays, and national holidays listed in
paragraph (a) of this section. The appropriate principal field officer
may excuse any employee(s) without charge to leave when a state or local
holiday interferes with the performance of his work in a CBP office.
(e) Services performed outside a CBP office. CBP services required
to be performed outside a CBP office shall be furnished between the
hours of 8 a.m. and 5 p.m. (or between the corresponding hours at ports
where different but equivalent hours are required for the maintenance of
adequate service) on all days when the CBP office is open for the
transaction of general CBP business.
[[Page 619]]
(f) CBP services not within prescribed hours. Where there is a
regularly recurring need for CBP services outside the hours prescribed
in paragraphs (a) through (e) of this section and the volume and
duration of the required services are uniformly such as to require, of
themselves or in immediately consecutive combination with other
essential CBP activities of the port, the full time of one or more CBP
employees, the necessary number of regular tours of duty to furnish such
services on all days of the year except Sundays and national holidays
may be established with the approval of the Commissioner of CBP.
(g) CBP services furnished private interests. Other than as
specified in this section. CBP services shall be furnished private
interests only in accordance with the provisions of Sec. 24.16 of this
chapter.
[T.D. 77-241, 42 FR 54937, Oct. 12, 1977, as amended by T.D. 82-145, 47
FR 35478, Aug. 16, 1982; T.D. 95-77, 60 FR 50019, Sept. 27, 1995; CBP
Dec. 08-25, 73 FR 40726, July 16, 2008]
Sec. 101.7 Customs seal.
(a) Design. According to the design furnished by the Department of
the Treasury, the Customs seal of the United States shall consist of the
seal of the Department of the Treasury surrounded by an outer circle in
which appear the words ``Treasury'' at the top and ``U.S. Customs
Service'' at the bottom.
(b) Use of the Customs seal. The Customs seal currently in official
use, including the dies, rolls, plates, and like devices now in the
possession of the Bureau of Engraving and Printing, shall continue to be
equally effective as the official seal of the United States Customs
Service and shall continue to be so used by each Customs officer and
employee having possession of the seal until that particular device
requires replacing and is replaced. Use of the United States Customs
seal shall be restricted in the following manner:
(1) The Customs seal of the United States shall be impressed upon
all official documents requiring the impress of a seal. It shall be
impressed upon all marine documents and landing certificates,
certificates of weight, gauge, or measure, and similar classes of
documents for outside interests.
(2) The impress of the seal is not necessary on documents passing
within the Customs Service nor shall the seal be used in the manner of a
notary seal to indicate authority to administer oaths.
Sec. 101.8 Identification cards.
Each Customs employee shall be issued an appropriate identification
card with that employee's photograph and signature, signed by the
appropriate issuing officer.
Sec. 101.9 Test programs or procedures; alternate requirements.
(a) General testing. For purposes of conducting a test program or
procedure designed to evaluate the effectiveness of new technology or
operational procedures regarding the processing of passengers, vessels,
or merchandise, the Commissioner of CBP may impose requirements
different from those specified in the CBP Regulations, but only to the
extent that such different requirements do not affect the collection of
the revenue, public health, safety, or law enforcement. The imposition
of any such different requirements will be subject to the following
conditions:
(1) Defined purpose. The test is limited in scope, time, and
application to such relief as may be necessary to facilitate the conduct
of a specified program or procedure;
(2) Prior publication requirement. Whenever a particular test allows
for deviation from any regulatory requirements, notice will be published
in the Federal Register not less than thirty days prior to implementing
such test, followed by publication in the Customs Bulletin. The notice
will invite public comments concerning the methodology of the test
program or procedure, and inform interested members of the public of the
eligibility criteria for voluntary participation in the test and the
basis for selecting participants.
(b) NCAP testing. For purposes of conducting an approved test
program or procedure designed to evaluate planned components of the
National Customs Automation Program (NCAP), as described in section
411(a)(2) of the Tariff Act of 1930, as amended (19 U.S.C. 1411),
[[Page 620]]
the Commissioner of CBP may impose requirements different from those
specified in the CBP Regulations, but only to the extent that such
different requirements do not affect the collection of the revenue,
public health, safety, or law enforcement. In addition to the
requirement of paragraph (a)(1) of this section, the imposition of any
such different requirements will be subject to the following conditions:
(1) Prior publication requirement. For tests affecting the NCAP,
notice will be published in the Federal Register not less than thirty
days prior to implementing such test, followed by publication in the
Customs Bulletin. The notice will invite public comments concerning any
aspect of the test program or procedure, and inform interested members
of the public of the eligibility criteria for voluntary participation in
the test and the basis for selecting participants; and,
(2) Post publication requirement. Within a reasonable time period
following the completion of the test, a complete description of the
results will be published in both the Federal Register and the Customs
Bulletin.
[T.D. 95-21, 60 FR 14214, Mar. 16, 1995, as amended by CBP Dec. 12-21,
77 FR 73309, Dec. 10, 2012]
PART 102_RULES OF ORIGIN
Sec.
102.0 Scope.
Subpart A_General
102.1 Definitions.
Subpart B_Rules of Origin
102.11 General rules.
102.12 Fungible goods.
102.13 De Minimis.
102.15 Disregarded materials.
102.17 Non-qualifying operations.
102.18 Rules of interpretation.
102.19 NAFTA preference override.
102.20 Specific rules by tariff classification.
102.21 Textile and apparel products.
102.22 Rules of origin for textile and apparel products of Israel.
102.23 Origin and Manufacturer Identification.
102.24 Entry of textile or apparel products.
102.25 Textile or apparel products under the North American Free Trade
Agreement.
Appendix to Part 102--Textile and Apparel Manufacturer Identification
Authority: 19 U.S.C. 66, 1202 (General Note 3(i), Harmonized Tariff
Schedule of the United States), 1624, 3314, 3592.
Source: T.D. 94-4, 59 FR 113, Jan. 3, 1994, unless otherwise noted.
Sec. 102.0 Scope.
With the exception of Sec. Sec. 102.21 through 102.25, this part
sets forth rules for determining the country of origin of imported goods
for the purposes specified in paragraph 1 of Annex 311 of the North
American Free Trade Agreement (``NAFTA''). These specific purposes are:
country of origin marking; determining the rate of duty and staging
category applicable to originating textile and apparel products as set
out in Section 2 (Tariff Elimination) of Annex 300-B (Textile and
Apparel Goods); and determining the rate of duty and staging category
applicable to an originating good as set out in Annex 302.2 (Tariff
Elimination). The rules set forth in Sec. Sec. 102.1 through 102.21 of
this part will also apply for purposes of determining whether an
imported good is a new or different article of commerce under
Sec. 10.769 of the United States-Morocco Free Trade Agreement
regulations and Sec. 10.809 of the United States-Bahrain Free Trade
Agreement regulations. The rules for determining the country of origin
of textile and apparel products set forth in Sec. 102.21 apply for the
foregoing purposes and for the other purposes stated in that section.
Section 102.22 sets forth rules for determining whether textile and
apparel products are considered products of Israel for purposes of the
customs laws and the administration of quantitative limitations.
Sections 102.23 through 102.25 set forth certain procedural requirements
relating to the importation of textile and apparel products.
[CBP Dec. 05-32; 70 FR 58013, Oct. 5, 2005, as amended by CBP Dec. 07-
81, 72 FR 58522, Oct. 16, 2007; CBP Dec. 08-29, 73 FR 45354, Aug. 5,
2008]
Subpart A_General
Sec. 102.1 Definitions.
(a) Advanced in value. ``Advanced in value'' means an increase in
the value of a good as a result of production with
[[Page 621]]
respect to that good, other than by means of those ``minor processing''
operations described in paragraphs (m)(5), (m)(6), and (m)(7) of this
section.
(b) Commingled. ``Commingled'' means physically combined or mixed.
(c) Direct physical identification. ``Direct physical
identification'' means identification by visual or other organoleptic
examination.
(d) Domestic material. ``Domestic material'' means a material whose
country of origin as determined under these rules is the same country as
the country in which the good is produced.
(e) Foreign material. ``Foreign material'' means a material whose
country of origin as determined under these rules is not the same
country as the country in which the good is produced.
(f) Fungible goods or fungible materials. ``Fungible goods or
fungible materials'' means goods or materials that are interchangeable
for commercial purposes and whose properties are essentially identical.
(g) A good wholly obtained or produced. A good ``wholly obtained or
produced'' in a country means:
(1) A mineral good extracted in that country;
(2) A vegetable or plant good harvested in that country;
(3) A live animal born and raised in that country;
(4) A good obtained from hunting, trapping or fishing in that
country;
(5) A good (fish, shellfish and other marine life) taken from the
sea by vessels registered or recorded with that country and flying its
flag;
(6) A good produced on board factory ships from the goods referred
to in paragraph (g)(5) of this section, provided such factory ships are
registered or recorded with that country and fly its flag;
(7) A good taken by that country or a person of that country from
the seabed or beneath the seabed outside territorial waters, provided
that country has rights to exploit such seabed;
(8) A good taken from outer space, provided they are obtained by
that country or a person of that country;
(9) Waste and scrap derived from:
(i) Production in a country, or
(ii) Used goods collected in that country provided such goods are
fit only for the recovery of raw materials; and
(10) A good produced in that country exclusively from goods referred
to in paragraphs (g)(1) through (10) of this section or from their
derivatives, at any stage of production.
(h) Harmonized System. ``Harmonized System'' means the Harmonized
Commodity Description and Coding System, including its general rules of
Interpretation, Section Notes and Chapter Notes, as adopted and
implemented by the United States.
(i) Improved in condition. ``Improved in condition'' means the
enhancement of the physical condition of a good as a result of
production with respect to that good, other than by means of those
``minor processing'' operations described in paragraphs (m)(5), (m)(6),
and (m)(7) of this section.
(j) Incorporated. ``Incorporated'' means physically incorporated
into a good as a result of production with respect to that good.
(k) Indirect materials. ``Indirect materials'' means a good used in
the production, testing or inspection of another good but not physically
incorporated into that other good, or a good used in the maintenance of
buildings or the operation of equipment associated with the production
of that other good, including:
(1) Fuel and energy;
(2) Tools, dies and molds;
(3) Spare parts and materials used in the maintenance of equipment
and buildings;
(4) Lubricants, greases, compounding materials and other materials
used in production or used to operate equipment and buildings;
(5) Gloves, glasses, footwear, clothing, safety equipment and
supplies;
(6) Equipment, devices, and supplies used for testing or inspecting
the goods;
(7) Catalysts and solvents; and
(8) Any other goods that are not incorporated into the good but
whose use in the production of the good can reasonably be demonstrated
to be a part of that production.
(l) Material. ``Material'' means a good that is incorporated into
another good as a result of production with respect to that other good,
and includes parts,
[[Page 622]]
ingredients, subassemblies, and components.
(m) Minor processing. ``Minor processing'' means the following:
(1) Mere dilution with water or another substance that does not
materially alter the characteristics of the good;
(2) Cleaning, including removal of rust, grease, paint, or other
coatings;
(3) Application of preservative or decorative coatings, including
lubricants, protective encapsulation, preservative or decorative paint,
or metallic coatings;
(4) Trimming, filing or cutting off small amounts of excess
materials;
(5) Unloading, reloading or any other operation necessary to
maintain the good in good condition;
(6) Putting up in measured doses, packing, repacking, packaging,
repackaging;
(7) Testing, marking, sorting, or grading;
(8) Ornamental or finishing operations incidental to textile good
production designed to enhance the marketing appeal or the ease of care
of the product, such as dyeing and printing, embroidery and appliques,
pleating, hemstitching, stone or acid washing, permanent pressing, or
the attachment of accessories notions, findings and trimmings; or
(9) Repairs and alterations, washing, laundering, or sterilizing.
(n) Production. ``Production'' means growing, mining, harvesting,
fishing, trapping, hunting, manufacturing, processing or assembling a
good.
(o) Simple assembly. ``Simple assembly'' means the fitting together
of five or fewer parts all of which are foreign (excluding fasteners
such as screws, bolts, etc.) by bolting, gluing, soldering, sewing or by
other means without more than minor processing.
(p) Value. ``Value'' means, with respect to Sec. 102.13:
(1) In the case of a good, its customs value or transaction value
within the meaning of the appendix to part 181 of this chapter; or
(2) In the case of a material, its customs value or value within the
meaning of the appendix to part 181 of this chapter.
[T.D. 96-48, 61 FR 28955, June 6, 1996]
Subpart B_Rules of Origin
Sec. 102.11 General rules.
The following rules shall apply for purposes of determining the
country of origin of imported goods other than textile and apparel
products covered by Sec. 102.21.
(a) The country of origin of a good is the country in which:
(1) The good is wholly obtained or produced;
(2) The good is produced exclusively from domestic materials; or
(3) Each foreign material incorporated in that good undergoes an
applicable change in tariff classification set out in Sec. 102.20 and
satisfies any other applicable requirements of that section, and all
other applicable requirements of these rules are satisfied.
(b) Except for a good that is specifically described in the
Harmonized System as a set, or is classified as a set pursuant to
General Rule of Interpretation 3, where the country of origin cannot be
determined under paragraph (a) of this section:
(1) The country of origin of the good is the country or countries of
origin of the single material that imparts the essential character to
the good, or
(2) If the material that imparts the essential character to the good
is fungible, has been commingled, and direct physical identification of
the origin of the commingled material is not practical, the country or
countries of origin may be determined on the basis of an inventory
management method provided under the appendix to part 181 of this
chapter.
(c) Where the country of origin cannot be determined under paragraph
(a) or (b) of this section and the good is specifically described in the
Harmonized System as a set or mixture, or classified as a set, mixture
or composite good pursuant to General Rule of Interpretation 3, the
country of origin of the good is the country or countries of origin of
all materials that merit equal consideration for determining the
essential character of the good.
(d) Where the country of origin of a good cannot be determined under
paragraph (a), (b) or (c) of this section, the
[[Page 623]]
country of origin of the good shall be determined as follows:
(1) If the good was produced only as a result of minor processing,
the country of origin of the good is the country or countries of origin
of each material that merits equal consideration for determining the
essential character of the good;
(2) If the good was produced by simple assembly and the assembled
parts that merit equal consideration for determining the essential
character of the good are from the same country, the country of origin
of the good is the country of origin of those parts; or
(3) If the country of origin of the good cannot be determined under
paragraph (d)(1) or (d)(2) of this section, the country of origin of the
good is the last country in which the good underwent production.
[T.D. 96-48, 61 FR 28956, June 6, 1996]
Sec. 102.12 Fungible goods.
When fungible goods of different countries of origin are commingled
the country of origin of the goods:
(a) Is the countries of origin of those commingled goods; or
(b) If the good is fungible, has been commingled, and direct
physical identification of the origin of the commingled good is not
practical, the country or countries of origin may be determined on the
basis of an inventory management method provided under the appendix to
part 181 of the Customs Regulations.
Sec. 102.13 De Minimis.
(a) Except as otherwise provided in paragraphs (b) and (c) of this
section, foreign materials that do not undergo the applicable change in
tariff classification set out in Sec. 102.20 or satisfy the other
applicable requirements of that section when incorporated into a good
shall be disregarded in determining the country of origin of the good if
the value of those materials is no more than 7 percent of the value of
the good or 10 percent of the value of a good of Chapter 22, Harmonized
System.
(b) Paragraph (a) of this section does not apply to a foreign
material incorporated in a good provided for in Chapter 1, 2, 3, 4, 7,
8, 11, 12, 15, 17, or 20 of the Harmonized System.
(c) Foreign components or materials that do not undergo the
applicable change in tariff classification set out in Sec. 102.21 or
satisfy the other applicable requirements of that section when
incorporated into a textile or apparel product covered by that section
shall be disregarded in determining the country of origin of the good if
the total weight of those components or materials is not more than 7
percent of the total weight of the good.
[T.D. 96-48, 61 FR 28956, June 6, 1996]
Sec. 102.15 Disregarded materials.
(a) The following materials shall be disregarded when determining
whether the good undergoes the applicable change in tariff
classification set out in Sec. 102.20 or Sec. 102.21, or satisfies the
other applicable requirements of those sections:
(1) Packaging materials and containers in which a good is packaged
for retail sale that are classified with the good;
(2) Accessories, spare parts or tools delivered with the good that
are classified with the good and shipped with the good;
(3) Packing materials and containers in which a good is packed for
shipment; and
(4) Indirect materials.
(b) [Reserved]
[T.D. 96-48, 61 FR 28956, June 6, 1996]
Sec. 102.17 Non-qualifying operations.
A foreign material shall not be considered to have undergone an
applicable change in tariff classification specified in Sec. 102.20 or
Sec. 102.21 or to have met any other applicable requirements of those
sections merely by reason of one or more of the following:
(a) A change in end-use;
(b) Dismantling or disassembly;
(c) Simple packing, repacking or retail packaging without more than
minor processing;
(d) Mere dilution with water or another substance that does not
materially alter the characteristics of the material; or
(e) Collecting parts that, as collected, are classifiable in the
same tariff provision as an assembled good pursuant to General Rule of
Interpretation
[[Page 624]]
2(a), without any additional operation other than minor processing.
[T.D. 96-48, 61 FR 28956, June 6, 1996]
Sec. 102.18 Rules of interpretation.
(a) When General Rule of Interpretation (GRI) 2(a) is referred to in
Sec. 102.20 as an exception to an allowed change in tariff
classification, this means that such change will not be acceptable for
purposes of that section if the change results from the assembly of
parts into an incomplete or unfinished good which is classifiable in the
same manner as a complete or finished good pursuant to GRI 2(a).
(b) (1) For purposes of identifying the material that imparts the
essential character to a good under Sec. 102.11, the only materials that
shall be taken into consideration are those domestic or foreign
materials that are classified in a tariff provision from which a change
in tariff classification is not allowed under the Sec. 102.20 specific
rule or other requirements applicable to the good. For purposes of this
paragraph (b)(1):
(i) The materials to be considered must be classified in a tariff
provision from which a change in tariff classification is not allowed
under the specific rule or other requirements applicable to the good
under consideration. For example, in the case of a good classified in
HTSUS subheading 8607.11 (the rule for which specifies a change to
subheading 8607.11 from any other subheading, except from subheading
8607.12, and except from subheading 8607.19 when that change is pursuant
to GRI 2(a)), the only materials that may be considered for purposes of
identifying the materials that impart the essential character to the
good are those that are classified in subheadings 8607.11, 8607.12 and,
if the tariff shift is pursuant to GRI 2(a), 8607.19;
(ii) Materials that may be considered include materials produced by
the producer of the good and incorporated in the good. For example, if a
producer of a good purchases raw materials and converts those raw
materials into a component that is incorporated in the good, that
component is a material that may be considered for purposes of
identifying the materials that impart the essential character to the
good, provided that the component is classified in a tariff provision
from which a change in tariff classification is not allowed under the
specific rule or other requirements applicable to the good; and
(iii) If there is only one material that is classified in a tariff
provision from which a change in tariff classification is not allowed
under the Sec. 102.20 specific rule or other requirements applicable to
the good, then that material will represent the single material that
imparts the essential character to the good under Sec. 102.11.
(2) For purposes of determining which one of two or more materials
described in paragraph (b)(1) of this section imparts the essential
character to a good under Sec. 102.11, various factors may be examined
depending upon the type of good involved. These factors include, but are
not limited to, the following:
(i) The nature of each material, such as its bulk, quantity, weight
or value; and
(ii) The role of each material in relation to the use of the good.
[T.D. 96-48, 61 FR 28957, June 6, 1996]
Sec. 102.19 NAFTA preference override.
(a) Except in the case of goods covered by paragraph (b) of this
section, if a good which is originating within the meaning of
Sec. 181.1(q) of this chapter is not determined under Sec. 102.11(a) or
(b) or Sec. 102.21 to be a good of a single NAFTA country, the country
of origin of such good is the last NAFTA country in which that good
underwent production other than minor processing, provided that a
Certificate of Origin (see Sec. 181.11 of this chapter) has been
completed and signed for the good.
(b) If, under any other provision of this part, the country of
origin of a good which is originating within the meaning of
Sec. 181.1(q) of this chapter is determined to be the United States and
that good has been exported from, and returned to, the United States
after having been advanced in value or improved in condition in another
NAFTA country, the country of origin of such good for Customs duty
purposes is the last NAFTA country in which that
[[Page 625]]
good was advanced in value or improved in condition before its return to
the United States.
[T.D. 96-48, 61 FR 28957, June 6, 1996]
Sec. 102.20 Specific rules by tariff classification.
The following rules are the rules specified in Sec. 102.11(a)(3) and
other sections of this part. Where a rule under this section permits a
change to a subheading from another subheading of the same heading, the
rule will be satisfied only if the change is from a subheading of the
same level specified in the rule.
------------------------------------------------------------------------
HTSUS Tariff shift and/or other requirements
------------------------------------------------------------------------
(a) Section I: Chapters 1 through 5
------------------------------------------------------------------------
0101-0106............. A change to heading 0101 through 0106 from any
other chapter.
0201-0209............. A change to heading 0201 through 0209 from any
other chapter.
0210.11-0210.20....... A change to subheading 0210.11 through 0210.20
from any other chapter.
0210.91-0210.99....... A change to subheading 0210.91 through 0210.99
from any other chapter; or
A change to edible meals and flours of
subheading 0210.91 through 0210.99 from any
product other than edible meals and flours of
Chapter 2.
0301-0303............. A change to heading 0301 through 0303 from any
other chapter.
0304.................. A change to heading 0304 from any other chapter;
or
A change to fillets of heading 0304 from any
other heading.
0305.10............... A change to subheading 0305.10 from any other
subheading.
0305.20............... A change to subheading 0305.20 from any other
chapter.
0305.31-0305.39....... A change to subheading 0305.31 through 0305.39
from any other subheading outside that group,
except from fillets of heading 0304.
0305.41-0305.79....... A change to subheading 0305.41 through 0305.79
from any other chapter.
0306.................. A change to heading 0306, other than a change to
smoked goods of heading 0306, from any other
chapter; or A change to smoked goods of heading
0306 from other goods of chapter 3 or from any
other chapter, except from chapter 16; or A
change to any good of heading 0306 from a
smoked good of heading 0306.
0307.................. A change to heading 0307, other than a change to
smoked goods of heading 0307, from any other
chapter; or A change to edible meals and flours
from within chapter 3; or A change to smoked
goods of heading 0307 from other goods of
chapter 3 or from any other chapter, except
from chapter 16; or A change to any good of
heading 0307 from a smoked good of heading
0307.
0308.................. A change to heading 0308, other than a change to
smoked goods of heading 0308, from any other
chapter; or A change to edible meals and flours
from within chapter 3; or A change to smoked
goods of heading 0308 from any other good of
chapter 3 or from any other chapter, except
from chapter 16; or A change to any good of
heading 0308 from a smoked good of heading
0308.
0401.................. A change to heading 0401 from any other chapter.
0402.10-0402.29....... A change to subheading 0402.10 through 0402.29
from any other chapter.
0402.91-0402.99....... A change to subheading 0402.91 through 0402.99
from any other chapter.
0403.10............... A change to subheading 0403.10 from any other
subheading.
0403.90............... A change to subheading 0403.90 from any other
chapter; or
A change to sour cream or kephir from any other
product of Chapter 4.
0404.................. A change to heading 0404 from any other heading.
0405.10............... A change to subheading 0405.10 from any other
heading.
0405.20............... A change to subheading 0405.20 from any other
chapter, except from subheading 1901.90; or
A change to subheading 0405.20 from any other
subheading, provided that the good contains no
more than 50 percent by weight of milk solids.
0405.90............... A change to subheading 0405.90 from any other
heading.
0406.................. A change to heading 0406 from any other heading.
0407-0410............. A change to heading 0407 through 0410 from any
other chapter.
0501-0511............. A change to heading 0501 through 0511 from any
other chapter.
------------------------------------------------------------------------
(b) Section II: Chapters 6 through 14
------------------------------------------------------------------------
Note: Notwithstanding the specific rules of this section, an
agricultural or horticultural good grown in the territory of a country
shall be treated as a good of that country even if grown from seed or
bulbs, root stock, cuttings, slips or other live parts of plants, or
from whole plants, imported from a foreign country.
0601-0602............. A change to heading 0601 through 0602 from any
other heading, including another heading within
that group.
0603-0604............. A change to heading 0603 through 0604 from any
other heading, including another heading within
that group, except from heading 0602.
0701-0709............. A change to heading 0701 through 0709 from any
other chapter.
0710.................. A change to heading 0710 from any other chapter.
0711.................. A change to heading 0711 from any other chapter.
0712.................. A change to heading 0712 from any other chapter;
or
A change to powdered vegetables of heading 0712
from any other product of Chapter 7, if put up
for retail sale.
0713-0714............. A change to heading 0713 through 0714 from any
other chapter.
0801-0810............. A change to heading 0801 through 0810 from any
other chapter.
[[Page 626]]
0811.................. A change to heading 0811 from any other chapter.
0812.................. A change to heading 0812 from any other chapter.
0813.................. A change to heading 0813 from any other chapter.
0814.................. A change to heading 0814 from any other chapter.
0901.11-0901.12....... A change to subheading 0901.11 through 0901.12
from any other chapter.
0901.21-0901.22....... A change to subheading 0901.21 through 0901.22
from any subheading outside that group.
0901.90............... A change to subheading 0901.90 from any other
chapter.
0902-0903............. A change to heading 0902 through 0903 from any
other chapter.
0904-0910............. A change to heading 0904 through 0910 from any
other chapter; or
A change to crushed, ground, or powdered
products of heading 0904 through 0910 from
within Chapter 9, if put up for retail sale; or
A change to subheading 0910.91 from any other
subheading, provided that a single spice
ingredient of foreign origin constitutes no
more than 60 percent by weight of the good.
1001-1008............. A change to heading 1001 through 1008 from any
other chapter.
1101-1106............. A change to heading 1101 through 1106 from any
other chapter.
1107.................. A change to heading 1107 from any other chapter.
1108-1109............. A change to heading 1108 through 1109 from any
other heading, including another heading within
that group.
1201-1207............. A change to heading 1201 through 1207 from any
other chapter.
1208.................. A change to heading 1208 from any other heading.
1209-1214............. A change to heading 1209 through 1214 from any
other chapter.
1301-1302............. A change to heading 1301 through 1302 from any
other chapter, except from concentrates of
poppy straw of subheading 2939.11.
1401-1404............. A change to heading 1401 through 1404 from any
other chapter.
------------------------------------------------------------------------
(c) Section III: Chapter 15
------------------------------------------------------------------------
1501-1516............. A change to heading 1501 through 1516 from any
other chapter.
1517.10............... A change to subheading 1517.10 from any other
heading.
1517.90............... A change to subheading 1517.90 from any other
chapter, except from heading 3823; or
A change to subheading 1517.90 from any other
heading, provided that no single oil ingredient
of foreign origin constitutes more than 60
percent by weight of the good.
1518.................. A change to heading 1518 from any other heading.
1520.................. A change to heading 1520 from any other heading,
except from subheading 2905.45 and heading
3823.
1521-1522............. A change to heading 1521 through 1522 from any
other chapter, except from heading 3823.
------------------------------------------------------------------------
(d) Section IV: Chapters 16 through 24
------------------------------------------------------------------------
1601-1605............. A change to heading 1601 through 1605 from any
other chapter, except from smoked products of
heading 0306 through 0308.
1701-1702............. A change to heading 1701 through 1702 from any
other chapter.
1703.................. A change to heading 1703 from any other chapter.
1704.................. A change to heading 1704 from any other heading.
1801-1803............. A change to heading 1801 through 1803 from any
other chapter.
1804.................. A change to heading 1804 from any other heading,
except from heading 1803.
1805.................. A change to heading 1805 from any other heading,
except from subheading 1803.20.
1806.10............... A change to subheading 1806.10 from any other
heading, except from heading 1805 or from
Chapter 17; or
A change to subheading 1806.10 from Chapter 17,
provided that the good contains less than 65
percent by dry weight of sugar.
1806.20............... A change to subheading 1806.20 from any other
heading, except from Chapter 17; or
A change to subheading 1806.20 from Chapter 17,
provided that the good contains less than 65
percent by dry weight of sugar.
1806.31............... A change to subheading 1806.31 from any other
subheading.
1806.32............... A change to subheading 1806.32 from any other
subheading.
1806.90............... A change to subheading 1806.90 from any other
subheading.
1901.10............... A change to subheading 1901.10 from any other
subheading.
1901.20............... A change to subheading 1901.20 from any other
subheading.
1901.90............... A change to subheading 1901.90 from any other
heading.
1902.11-1902.19....... A change to subheading 1902.11 through 1902.19
from any other heading.
1902.20............... A change to subheading 1902.20 from any other
subheading.
1902.30-1902.40....... A change to subheading 1902.30 through 1902.40
from any other heading.
1903.................. A change to heading 1903 from any other heading.
1904.10............... A change to subheading 1904.10 from any other
heading.
1904.20............... A change to subheading 1904.20 from any other
subheading.
1904.30............... A change to subheading 1904.30 from any other
heading.
1904.90............... A change to subheading 1904.90 from any other
heading, except from heading 1006 or wild rice
of subheading 1008.90.
1905.................. A change to heading 1905 from any other heading.
Chapter 20 Note: Notwithstanding the specific rules of this chapter,
fruit, nut and vegetable preparations of Chapter 20 that have been
prepared or preserved merely by freezing, by packing (including canning)
in water, brine or natural juices, or by roasting, either dry or in oil
(including processing incidental to freezing, packing, or roasting),
shall be treated as a good of the country in which the fresh good was
produced.
[[Page 627]]
2001-2007............. A change to heading 2001 through 2007 from any
other chapter.
2008.11............... A change to subheading 2008.11 from any other
chapter, provided that the change is not the
result of mere blanching of peanuts.
2008.19-2008.99....... A change to subheading 2008.19 through 2008.99
from any other chapter, provided that the
change is not the result of mere blanching of
nuts.
2009.11-2009.39....... A change to subheading 2009.11 through 2009.39
from any other chapter.
2009.41-2009.80....... A change to subheading 2009.41 through 2009.89
from any other chapter.
2009.90............... A change to subheading 2009.90 from any other
chapter; or
A change to subheading 2009.90 from any other
subheading, provided that a single juice
ingredient of foreign origin, or juice
ingredients from a single foreign country,
constitute in single strength form no more than
60 percent by volume of the good.
2101.................. A change to heading 2101 from any other heading.
2102.................. A change to heading 2102 from any other heading.
2103.10............... A change to subheading 2103.10 from any other
heading.
2103.20............... A change to subheading 2103.20 from any other
heading.
2103.30............... A change to subheading 2103.30 from any other
subheading; or
A change to prepared mustard of subheading
2103.30 from mustard flour or meal.
2103.90............... A change to subheading 2103.90 from any other
subheading.
2104.10............... A change to subheading 2104.10 from any other
subheading.
2104.20............... A change to subheading 2104.20 from any other
subheading.
2105.................. A change to heading 2105 from any other heading.
2106.10............... A change to subheading 2106.10 from any other
subheading.
2106.90............... A change to a good of subheading 2106.90, other
than to compound alcoholic preparations, from
any other subheading, except from Chapter 4,
Chapter 17, heading 2009, subheading 1901.90 or
subheading 2202.90; or
A change to subheading 2106.90 from Chapter 4 or
subheading 1901.90, provided that the good
contains no more than 50 percent by weight of
milk solids; or
A change to subheading 2106.90 from Chapter 17,
provided that the good contains less than 65
percent by dry weight of sugar; or
A change to subheading 2106.90 from heading 2009
or subheading 2202.90, provided that a single
juice ingredient of foreign origin, or juice
ingredients from a single foreign country,
constitute in single strength form no more than
60 percent by volume of the good; or
A change to compound alcoholic preparations of
subheading 2106.90 from any other subheading,
except from subheading 2208.20 through 2208.50.
2201.................. A change to heading 2201 from any other chapter.
2202.10............... A change to sweetened and/or flavored waters of
subheading 2202.10 from any other chapter; or
A change to other beverages of subheading
2202.10 from any other heading.
2202.90............... A change to subheading 2202.90 from any other
subheading, except from Chapter 4 or heading
1901, 2009, or 2106; or
A change to subheading 2202.90 from Chapter 4 or
heading 1901, provided that the good contains
no more than 50 percent by weight of milk
solids; or
A change to subheading 2202.90 from heading 2009
or subheading 2106.90, provided that a single
juice ingredient of foreign origin, or juice
ingredients from a single foreign country,
constitute in single strength form no more than
60 percent by volume of the good.
2203.................. A change to heading 2203 from any other heading.
2204.10-2204.29....... A change to subheading 2204.10 through 2204.29
from any other subheading outside that group.
2204.30............... A change to subheading 2204.30 from any other
heading.
2205.................. A change to heading 2205 from any other heading,
except from heading 2204; or
A change to vermouth of heading 2205 from
heading 2204.
2206.................. A change to heading 2206 from any other heading.
2207.................. A change to heading 2207 from any other heading,
except from compound alcoholic preparations of
subheading 2106.90 or heading 2208.
2208.20-2208.70....... A change to subheading 2208.20 through 2208.70
from any other subheading outside that group,
except from subheading 2106.90; or
A change to liqueurs or cordials of subheading
2208.70 from any other product.
2208.90............... A change to subheading 2208.90 from any other
subheading, except from subheading 2106.90; or
A change to kirschwasser or ratafia of
subheading 2208.90 from any other product.
2209.................. A change to heading 2209 from any other heading.
2301-2308............. A change to heading 2301 through 2308 from any
other chapter.
2309.10............... A change to subheading 2309.10 from any other
heading.
2309.90............... A change to subheading 2309.90 from any other
heading, except from Chapter 4 or heading 1901;
or
A change to subheading 2309.90 from Chapter 4 or
heading 1901, provided that the good contains
no more than 50 percent by weight of milk
solids.
2401.................. A change to heading 2401 from any other chapter.
2402-2403............. A change to heading 2402 through 2403 from any
other heading, including another heading within
that group.
------------------------------------------------------------------------
(e) Section V: Chapters 25 through 27
------------------------------------------------------------------------
2501-2516............. A change to heading 2501 through 2516 from any
other heading, including another heading within
that group.
2517.10-2517.20....... A change to subheading 2517.10 through 2517.20
from any other heading.
2517.30............... A change to subheading 2517.30 from any other
subheading.
2517.41-2517.49....... A change to subheading 2517.41 through 2517.49
from any other heading.
[[Page 628]]
2518-2530............. A change to heading 2518 through 2530 from any
other heading, including another heading within
that group.
2601-2621............. A change to heading 2601 through 2621 from any
other heading, including another heading within
that group.
Chapter 27 Note: For purposes of this chapter, a ``chemical reaction''
is defined as a process in which chemical bonds in molecules are broken
and new chemical bonds are formed between the fragmented molecules and/
or added elements so that one or more of the original bond/s no longer
link the same chemical element/s or functional group/s.
2701-2706............. A change to heading 2701 through 2706 from any
other heading, including any heading within
that group.
2707.10-2707.99....... A change to subheading 2707.10 through 2707.99
from any other heading; or
A change to subheading 2707.10 through 2707.99
from any other subheading, including any
subheading within that group, provided that the
good resulting from such change is the product
of a chemical reaction.
2707.10-2707.99....... A change to subheading 2707.10 through 2707.99
from any other heading; or
A change to phenols of subheading 2707.99 from
any other subheading or from any other good of
subheading 2707.99, provided that the good
resulting from such change is the product of a
chemical reaction; or
A change to any other good of subheading 2707.99
from phenols of subheading 2707.99 or from any
other subheading, provided that the good
resulting from such change is the product of a
chemical reaction; or
A change to subheading 2707.10 through 2707.99
from any other subheading, including any
subheading within that group, provided that the
good resulting from such change is the product
of a chemical reaction.
2708-2709............. A change to heading 2708 through 2709 from any
other heading, including another heading within
that group.
2710.................. A change to heading 2710 from any other heading;
or
A change to any good of heading 2710 from any
other good of heading 2710, provided that the
good resulting from such change is the product
of a chemical reaction.
2711.11............... A change to subheading 2711.11 from any other
subheading, except from subheading 2711.21.
2711.12-2711.19....... A change to subheading 2711.12 through 2711.19
from any other subheading, including another
subheading within that group, except from
subheading 2711.29.
2711.21............... A change to subheading 2711.21 from any other
subheading, except from subheading 2711.11.
2711.29............... A change to subheading 2711.29 from any other
subheading, except from subheading 2711.12
through 2711.21.
2712-2714............. A change to heading 2712 through 2714 from any
other heading, including another heading within
that group.
2715.................. A change to heading 2715 from any other heading,
except from heading 2714 or subheading 2713.20.
2716.................. A change to heading 2716 from any other heading.
------------------------------------------------------------------------
(f) Section VI: Chapters 28 through 38
------------------------------------------------------------------------
Notes: 1. Chemical reaction origin rule--
Any good of Chapters 28, 29, 31, 32 or 38, except a good of heading
3823, that is the product of a chemical reaction shall be considered to
be a good of the country in which the reaction occurred.
A chemical reaction is defined as a process in which chemical bonds in
molecules are broken and new chemical bonds are formed between the
fragmented molecules and/or added elements so that one or more of the
original bonds no longer link the same chemical element/s or functional
group/s.
Notwithstanding any of the line-by-line rules, the ``chemical
reaction'' rule may be applied to any good classified in the above
chapters.
2. Separation prohibition--
A foreign material/component will not be deemed to have satisfied all
applicable requirements of these rules by reason of a change from one
classification to another merely as the result of the separation of one
or more individual materials or components from a man-made mixture
unless the isolated material/component, itself, also underwent a
chemical reaction.
2801.10-2801.30....... A change to subheading 2801.10 through 2801.30
from any other subheading, including another
subheading within that group.
2802.................. A change to heading 2802 from any other heading,
except from heading 2503.
2803.................. A change to heading 2803 from any other heading.
2804.10-2804.50....... A change to subheading 2804.10 through 2804.50
from any other subheading, including another
subheading within that group.
2804.61-2804.69....... A change to subheading 2804.61 through 2804.69
from any other subheading outside that group.
2804.70-2804.90....... A change to subheading 2804.70 through 2804.90
from any other subheading, including another
subheading within that group.
2805.................. A change to heading 2805 from any other heading.
2806.10-2806.20....... A change to subheading 2806.10 through 2806.20
from any other subheading,
including another
subheading within
that group..
2807-2808............. A change to heading 2807 through 2808 from any
other heading, including another heading within
that group.
2809.10-2809.20....... A change to subheading 2809.10 through 2809.20
from any other subheading, including another
subheading within that group.
2810.................. A change to heading 2810 from any other heading.
2811.11............... A change to subheading 2811.11 from any other
subheading.
[[Page 629]]
2811.19............... A change to subheading 2811.19 from any other
subheading, except from subheading 2811.22.
2811.21............... A change to subheading 2811.21 from any other
subheading.
2811.22............... A change to subheading 2811.22 from any other
subheading, except from subheading 2505.10,
2506.10, or 2811.19.
2811.29............... A change to sulphur dioxide of subheading
2811.29 from any other good of subheading
2811.29 or from any other subheading; or
A change to any other good of subheading 2811.29
from sulphur dioxide of subheading 2811.29 or
from any other subheading.
2812.10-2813.90....... A change to subheading 2812.10 through 2813.90
from any other subheading, including another
subheading within that group.
2814.................. A change to heading 2814 from any other heading.
2815.11-2815.12....... A change to subheading 2815.11 through 2815.12
from any other subheading outside that group.
2815.20-2815.30....... A change to subheading 2815.20 through 2815.30
from any other subheading, including another
subheading within that group.
2816.10............... A change to subheading 2816.10 from any other
subheading.
2816.40............... A change to subheading 2816.40 from any other
subheading, except a change to oxides,
hydroxides and peroxides of strontium of
subheading 2816.40 from subheading 2530.90.
2817.................. A change to heading 2817 from any other heading,
except from heading 2608.
2818.10-2818.30....... A change to subheading 2818.10 through 2818.30
from any other subheading, including another
subheading within that group, except from
heading 2606 or subheading 2620.40.
2819.10-2819.90....... A change to subheading 2819.10 through 2819.90
from any other subheading, including another
subheading within that group.
2820.10-2820.90....... A change to subheading 2820.10 through 2820.90
from any other subheading, including another
subheading within that group, except from
subheading 2530.90 or heading 2602.
2821.10............... A change to subheading 2821.10 from any other
subheading.
2821.20............... A change to subheading 2821.20 from any other
subheading, except from earth color mineral
substances of 2530.90 or from subheading
2601.11 through 2601.20.
2822.................. A change to heading 2822 from any other heading,
except from heading 2605.
2823.................. A change to heading 2823 from any other heading.
2824.10-2824.90....... A change to red lead or to orange lead of
subheading 2824.90 from any other good of
subheading 2824.90 or from any other
subheading, except from heading 2607; or
A change to any other good of subheading 2824.90
from red lead or from orange lead of subheading
2824.90 or from any other subheading, except
from heading 2607; or
A change to subheading 2824.10 through 2924.90
from any other subheading, including another
subheading within that group, except from
heading 2607.
2825.10-2825.40....... A change to subheading 2825.10 through 2825.40
from any other subheading, including another
subheading within that group.
2825.50............... A change to subheading 2825.50 from any other
subheading, except from heading 2603.
2825.60............... A change to subheading 2825.60 from any other
subheading, except from subheading 2615.10.
2825.70............... A change to subheading 2825.70 from any other
subheading, except from subheading 2613.10.
2825.80............... A change to subheading 2825.80 from any other
subheading, except from subheading 2617.10.
2825.90............... A change to subheading 2825.90 from any other
subheading, provided that the good classified
in subheading 2825.90 is the product of a
``chemical reaction'' as defined in Note 1.
2826.12-2833.19....... A change to fluorides of ammonium or of sodium
of subheading 2826.19 from any other good of
subheading 2826.19 or from any other
subheading; or
A change to any other good of subheading 2826.19
from fluorides of ammonium or of sodium of
subheading 2826.19 or from any other
subheading; or
A change to fluorosilicates of sodium or of
potassium of subheading 2826.90 from any other
good of subheading 2826.90 or from any other
subheading; or
A change to any other good of subheading 2826.90
from fluorosilicates of sodium or of potassium
of subheading 2826.90 or from any other
subheading; or
A change to chlorides of iron of subheading
2827.39 from any other good of subheading
2827.39 or from any other subheading; or
A change to chlorides of cobalt of subheading
2827.39 from any other good of subheading
2827.39 or from any other subheading; or
A change to chlorides of zinc of subheading
2827.39 from any other good of subheading
2827.39 or from any other subheading; or
A change to any other good of subheading 2827.39
from chlorides of iron, of cobalt, or of zinc
of subheading 2827.39 or from any other
subheading; or
A change to zinc sulphide of subheading 2830.90
from any other good of subheading 2830.90 or
from any other subheading; or
A change to cadmium sulphide of subheading
2830.90 from any other good of subheading
2830.90 or from any other subheading; or
A change to any other good of subheading 2830.90
from zinc sulphide or cadmium sulphide of
subheading 2830.90 or from any other
subheading; or
A change to subheading 2826.12 through 2833.19
from any other subheading, including another
subheading within that group, except for a
change from sulphides and polysulphides, of
subheading 2852.90 to subheading 2830.90.
2833.21............... A change to subheading 2833.21 from any other
subheading, except from subheading 2530.20.
2833.22-2833.25....... A change to subheading 2833.22 through 2833.25
from any other subheading, including another
subheading within that group.
2833.27............... A change to subheading 2833.27 from any other
subheading, except from subheading 2511.10.
2833.29............... A change to chromium sulphate of subheading
2833.29 from any other good of subheading
2833.29 or from any other subheading; or
[[Page 630]]
A change to zinc sulphate of subheading 2833.29
from any other good of subheading 2833.29 or
from any other subheading; or
A change to any other good of subheading 2833.29
from chromium sulphate or zinc sulphate of
subheading 2833.29 or from any other
subheading, except from heading 2520.
2833.30-2833.40....... A change to subheading 2833.30 through 2833.40
from any other subheading, including another
subheading within that group.
2834.10-2834.29....... A change to subheading 2834.10 through 2834.29
from any other subheading, including another
subheading within that group.
2835.10-2835.25....... A change to subheading 2835.10 through 2835.25
from any other subheading, including another
subheading within that group.
2835.26............... A change to subheading 2835.26 from any other
subheading, except from heading 2510.
2835.29-2835.39....... A change to phosphates of trisodium of
subheading 2835.29 from any other good of
subheading 2835.29 or from any other
subheading; or
A change to any other good of subheading 2835.29
from phosphates of trisodium of subheading
2835.29 or from any other subheading; or
A change to subheading 2835.29 through 2835.39
from any other subheading, including another
subheading within that group, except for a
change from phosphinates (hypophosphites),
phosphonates (phosphites) and phosphates, and
polyphosphates of subheading 2852.90 to
subheading 2835.39.
2836.20............... A change to subheading 2836.20 from any other
subheading, except from subheading 2530.90.
2836.30-2836.40....... A change to subheading 2836.30 through 2836.40
from any other subheading, including another
subheading within that group.
2836.50............... A change to subheading 2836.50 from any other
subheading, except from heading 2509,
subheading 2517.41 or 2517.49, heading 2521, or
subheading 2530.90.
2836.60............... A change to subheading 2836.60 from any other
subheading, except from subheading 2511.20.
2836.91............... A change to subheading 2836.91 from any other
subheading.
2836.92............... A change to subheading 2836.92 from any other
subheading, except from subheading 2530.90.
2836.99............... A change to bismuth carbonate of subheading
2836.99 from commercial ammonium carbonate or
other ammonium carbonates or from lead
carbonates of subheading 2836.99 or from any
other subheading, except from subheading
2617.90; or
A change to commercial ammonium carbonate or to
other ammonium carbonates of subheading 2836.99
from any other good of subheading 2836.99 or
from any other subheading; or
A change to lead carbonates of subheading
2836.99 from any other good of subheading
2836.99 or from any other subheading, except
from heading 2607; or
A change to any other good of subheading 2836.99
from commercial ammonium carbonate or other
ammonium carbonates or from lead carbonates of
subheading 2836.99 or from any other
subheading, provided that the good classified
in subheading 2836.99 is the product of a
``chemical reaction'' as defined in Note 1.
2837.11-2837.20....... A change to subheading 2837.11 through 2837.20
from any other subheading, including another
subheading within that group.
2839.11-2839.19....... A change to subheading 2839.11 through 2839.19
from any other subheading outside that group.
2839.90............... A change to silicates of potassium of subheading
2839.90 from any other good of subheading
2839.90 or from any other subheading; or
A change to any other good of subheading 2839.90
from silicates of potassium of subheading
2839.90 or from any other subheading.
2840.11-2840.20....... A change to subheading 2840.11 through 2840.20
from any other subheading outside that group,
except from subheading 2528.10.
2841.30............... A change to subheading 2841.30 from any other
subheading.
2841.50............... A change to chromates of zinc or of lead from
any other good of subheading 2841.50 or from
any other subheading; or
2841.61-2841.69....... A change to subheading 2841.61 through 2841.69
from any other subheading outside that group.
2841.70............... A change to subheading 2841.70 from any other
subheading, except from subheading 2613.90.
2841.80............... A change to subheading 2841.80 from any other
subheading, except from heading 2611.
2841.90............... A change to aluminates from any other good of
subheading 2841.90 or from any other
subheading; or
A change to any other good of subheading 2841.90
from aluminates of subheading 2841.90 or from
any other subheading, provided that the good
classified in subheading 2841.90 is the product
of a ``chemical reaction'' as defined in Note
1.
2842.10............... A change to subheading 2842.10 from any other
subheading, except for a change from double or
complex silicates, including aluminosilicates,
of subheading 2852.90 to subheading 2842.10.
2842.90............... A change to fulminates, cyanates and
thiocyanates of subheading 2842.90 from any
other good of subheading 2842.90 or from any
other subheading; or
A change to any other good of subheading 2842.90
from fulminates, cyanates and thiocyanates of
subheading 2842.90 or from any other
subheading, provided that the good classified
in subheading 2842.90 is the product of a
``chemical reaction'' as defined in Note 1.
2843.10............... A change to subheading 2843.10 from any other
subheading, except from heading 7106, 7108,
7110, or 7112.
2843.21-2843.29....... A change to subheading 2843.21 through 2843.29
from any other subheading, including another
subheading within that group.
2843.30-2843.90....... A change to subheading 2843.30 through 2843.90
from any other subheading, including another
subheading within that group, except from
subheading 2616.90.
2844.10............... A change to subheading 2844.10 from any other
subheading, except from subheading 2612.10.
2844.20............... A change to subheading 2844.20 from any other
subheading.
2844.30............... A change to subheading 2844.30 from any other
subheading, except from subheading 2844.20.
[[Page 631]]
2844.40-2844.50....... A change to subheading 2844.40 through 2844.50
from any other subheading, including another
subheading within that group.
2845.................. A change to heading 2845 from any other heading.
2846.................. A change to heading 2846 from any other heading,
except from subheading 2530.90.
2847.................. A change to heading 2847 from any other heading.
2848.................. A change to heading 2848 from any other heading,
except for a change from phosphides, excluding
ferrophosphorus, of subheading 2852.90.
2849.10-2849.90....... A change to subheading 2849.10 through 2849.90
from any other subheading, including another
subheading within that group, except for a
change from carbides of 2852.90.
2850.................. A change to heading 2850 from any other heading,
except for a change from hydrides, nitrides,
azides, silicides, and borides (other than
compounds which are also carbides of heading
28.49) of subheading 2852.90.
2852.................. A change to other metal oxides, hydroxides or
peroxides of heading 2852 from any other good
of heading 2852 or from any other heading,
provided that the good is the product of a
``chemical reaction``, as defined in Note 1,
except from subheading 2825.90; or
A change to other fluorides of heading 2852 from
any other good of heading 2852 or from any
other heading, except from subheading 2826.19;
or
A change to other chlorides of heading 2852 from
any other good of heading 2852 or from any
other heading, except from subheading 2827.39;
or
A change to other bromides or to bromide oxides
from any other good of heading 2852 or from any
other heading, except from subheading 2827.59;
or
A change to iodides or to iodide oxides of
heading 2852 from any other good of heading
2852 or from any other heading, except from
subheading 2827.60; or
A change to other chlorates of heading 2852 from
any other good of heading 2852 or from any
other heading, except from subheading 2829.19;
or
A change to other perchlorates, bromotes,
perbromates, iodates or periodates of heading
2852 from any other good of heading 2852 or
from any other heading, except from subheading
2829.90; or
A change to other sulphides or polysulphides,
whether or not chemically defined, of heading
2852 from any other good of heading 2852
(except for sulphides or polysulphides of
subheading 2852.90) or from any other heading,
except from subheading 2830.90; or
A change to other sulfates of heading 2852 from
any other good of heading 2852 or from any
other heading, except from heading 2520 or from
subheading 2833.29; or
A change to other nitrates of heading 2852 from
any other good of heading 2852 or from any
other heading, except from subheading 2834.29;
or
A change to other phosphates from any other good
of heading 2852 or from any other heading,
except from subheading 2835.29; or
A change to polyphosphates other than those of
sodium triphosphate (sodium tripolyphosphate)
of subheading 2852.90 from any other good of
heading 2852 or from any other heading, except
from subheading 2835.39; or
A change to other cyanides or to cyanide oxides
of heading 2852 from any other good of heading
2852 or from any other heading, except from
subheading 2837.19; or
A change to complex cyanides of heading 2852
from any other good of heading 2852 or from any
other heading, except from subheading 2837.20;
or
A change to fulminates, cyanates or thiocyanates
of heading 2852 from any other good of heading
2852 or from any other heading; or
A change to any other good of subheading 2852.90
from fulminates, cyanates, and thiocyanates of
subheading 2852.90 or from any other
subheading, provided that the good classified
in subheading 2852.90 is the product of a
``chemical reaction'' as defined in Note 1; or
A change to other chromates, dichromates or
peroxochromates of heading 2852 from any other
good of heading 2852 or any other heading,
except from heading 2610, or from subheading
2841.50; or
A change to double or complex silicates,
including aluminosilicates, of subheading
2852.90 from any other good of heading 2852 or
from any other heading, except from subheading
2842.10; or
A change to other salts of inorganic acids or to
peroxoacids, other than azides, of heading 2852
from any other good of heading 2852 or from any
other heading, provided that the good
classified in heading 2852 is the product of a
``chemical reaction'' as defined in Note 1,
except from subheading 2842.90; or
A change to other silver compounds of heading
2852 from any other good of heading 2852 or
from any other heading, except from subheading
2843.29; or
A change to phosphides, excluding
ferrophosphorus, of subheading 2852.90 from any
other good of heading 2852 or any other
heading, except from heading 2848; or
A change to carbides of 2852.90 from any other
good of heading 2852 or any other heading,
except from subheading 2849.90; or
A change to hydrides, nitrides, azides,
silicides and borides, other than compounds
which are also carbides of heading 2849, of
subheading 2852.90 from any other good of
heading 2852 or any other heading, except from
heading 2850; or
A change to derivatives containing only sulpho
groups, their salts and esters from any other
good of heading 2852 or from any other heading,
except from heading 2908; or
A change to palmitic acid, stearic acid, their
salts or their esters from any other good of
heading 2852 or from any other heading, except
from subheading 2915.70; or
A change to oleic, linolenic or linolenic acids,
their salts or their esters from any other good
of heading 2852 or from any other heading,
except from subheading 2916.15; or
A change to benzoic acid, its salts or its
esters from any other good of heading 2852 or
from any other heading, except from subheading
3301.90 or subheading 2916.31; or
[[Page 632]]
A change to lactic acid, its salts or its esters
from any other good of heading 2852 or from any
other heading, except 2918.11; or
A change to other organo-inorganic compounds of
heading 2852 from any other good of heading
2852 or from any other heading, except from
heading 2931; or
A change to nucleic acids and their salts or
other heterocyclic compounds of subheading
2852.90 from any other good of heading 2852 or
any other heading, except from subheading
2934.99; or
A change to tanning extracts of vegetable origin
or tannins and their salts, ethers, esters, and
other derivatives of 2852.90 from any other
good of heading 2852 or any other heading,
except from subheading 3201.90; or
A change to caseinate and other casein
derivatives or casein glues of subheading
2852.90 from any other good of heading 2852 or
any other heading, except from subheading
3501.90; or
A change to albumins, albuminates, and other
albumin derivatives of subheading 2852.90 from
any other good of heading 2852 or any other
heading, except from subheading 3502.90; or
A change to peptones and their derivatives,
other protein substances and their derivatives,
not elsewhere specified or included, or hide
powder of subheading 2852.90 from any other
good of heading 2852 or any other heading,
except from heading 3504; or
A change to naphthenic acids, their water-
insoluble salts, or their esters of subheading
2852.90 from any other good of heading 2852 or
any other heading; or
A change to prepared binders for foundry moulds
or cores or chemical products and preparations
of the chemical or allied industries of
subheading 2852.90 from naphthenic acids, their
water-insoluble salts, or their esters of
subheading 2852.90 or any other subheading,
provided that no more than 60 percent by weight
of the good classified in this subheading is
attributable to one substance or compound,
except from other chemical products or
preparations of the chemical or allied
industries (including those consisting of
mixtures of natural products), not elsewhere
specified or included, of subheading 3824.71,
or 3824.73 through 3824.79; or
A change to prepared binders for foundry moulds
or cores or chemical products and preparations
of the chemical or allied industries of
subheading 2852.90 from any other subheading,
provided that no more than 60 percent by weight
of the good classified in this subheading is
attributable to one substance or compound.
2853.................. A change to heading 2853 from any other heading.
2901.10-2901.29....... A change to subheading 2901.10 through 2901.29
from any other subheading, including another
subheading within that group, except from
acyclic petroleum oils of heading 2710 or from
subheading 2711.13, 2711.14, 2711.19, or
2711.29.
2902.11............... A change to subheading 2902.11 from any other
subheading.
2902.19............... A change to subheading 2902.19 from any other
subheading, except from non-aromatic cyclic
petroleum oils of subheading 2707.50, 2707.99,
or heading 2710.
2902.20............... A change to subheading 2902.20 from any other
subheading, except from subheading 2707.10,
2707.50, or 2707.99.
2902.30............... A change to subheading 2902.30 from any other
subheading, except from subheading 2707.20,
2707.50, or 2707.99.
2902.41-2902.44....... A change to subheading 2902.41 through 2902.44
from any other subheading, including another
subheading within that group, except from
subheading 2707.30, 2707.50 or 2707.99.
2902.50............... A change to subheading 2902.50 from any other
subheading.
2902.60............... A change to subheading 2902.60 from any other
subheading, except from subheading 2707.30,
2707.50, 2707.99, or heading 2710.
2902.70-2902.90....... A change to subheading 2902.70 through 2902.90
from any other subheading, including another
subheading within that group, except from
subheading 2707.50, 2707.99, or heading 2710.
2903.11-2903.39....... A change to subheading 2903.31 through 2903.39
from any subheading outside that group; or
A change to any other good of subheading 2903.11
through 2903.39 from any other subheading,
including another subheading within that group.
2903.71-2903.79....... A change to subheading 2903.71 through 2903.79
from any other subheading outside that group.
2903.81-2904.90....... A change to aldrin (ISO), chlordane (ISO) or
heptachlor (ISO) of subheading 2903.82 from any
other subheading, except from subheading
2903.89; or A change to any other good of
subheading 2903.89 from any other subheading,
except from subheading 2903.82; or A change to
subheading 2903.81 through 2904.90 from any
other subheading within that group.
2905.11-2905.19....... A change to pentanol (amyl alcohol) and isomers
thereof of subheading 2905.19 from any other
good of subheading 2905.19 or from any other
subheading; or
A change to any other good of subheading 2905.19
from pentanol (amyl alcohol) and isomers
thereof of subheading 2905.19 or from any other
subheading; or
A change to any other good of subheading 2905.11
through 2905.19 from any other subheading,
including another subheading within that group.
2905.22-2905.29....... A change to subheading 2905.22 through 2905.29
from any other subheading, including another
subheading within that group, except from
subheading 1301.90, 3301.90, or 3805.90.
2905.31-2905.44....... A change to subheading 2905.31 through 2905.44
from any other subheading, including another
subheading within that group.
2905.45............... A change to subheading 2905.45 from any other
subheading, except from heading 1520.
2905.49-2905.59....... A change to subheading 2905.49 through 2905.59
from any other subheading, including another
subheading within that group.
2906.11............... A change to subheading 2906.11 from any other
subheading, except from subheading 3301.24 or
3301.25.
2906.12-2906.13....... A change to subheading 2906.12 through 2906.13
from any other subheading, including another
subheading within that group.
2906.19............... A change to terpineols of subheading 2906.19
from any other good of subheading 2906.19 or
from any other subheading, except from heading
3805; or
[[Page 633]]
A change to any other good of subheading 2906.19
from terpineols of subheading 2906.19 or from
any other subheading, except from subheading
3301.90 or 3805.90.
2906.21............... A change to subheading 2906.21 from any other
subheading.
2906.29............... A change to subheading 2906.29 from any other
subheading, except from subheading 2707.60 or
3301.90.
2907.11............... A change to subheading 2907.11 from any other
subheading, except from subheading 2707.60.
2907.12-2907.22....... A change to xylenols or their salts of
subheading 2907.19 from any other good of
subheading 2907.19 or from any other
subheading, except from subheading 2707.99; or
A change to any other good of subheading 2907.19
from xylenols and their salts of subheading
2907.19 or from any other subheading, except
from subheading 2707.99; or
A change to any other good of subheading 2907.12
through 2907.22 from any other subheading,
including another subheading within that group,
except from subheading 2707.99.
2907.23............... A change to subheading 2907.23 from any other
subheading.
2907.29............... A change to subheading 2907.29 from any other
subheading, including a change to phenol-
alcohols of subheading 2907.29, from
polyphenols of subheading 2907.29, or a change
to polyphenols of subheading 2907.29 from
phenol-alcohols of subheading 2907.29, except a
change from subheading 2707.99.
2908.................. A change to heading 2908 from any other heading.
2909.11-2909.49....... A change to monomethyl ethers of ethylene glycol
or of diethylene glycol of subheading 2909.44
through 2909.49 from any other good of
subheading 2909.44 through 2909.49 or from any
other subheading; or
A change to any other good of subheading 2909.44
through 2909.49 from monomethyl ethers of
ethylene glycol or of diethylene glycol of
subheading 2909.44 through 2909.49 or from any
other subheading; or
A change to any other good of subheading 2909.11
through 2909.49 from any other subheading,
including another subheading within than group.
2909.50............... A change to subheading 2909.50 from any other
subheading, except from subheading 3301.90.
2909.60............... A change to subheading 2909.60 from any other
subheading.
2910.10-2910.90....... A change to dieldrin (ISO, INN) of subheading
2910.40 from any other subheading, except from
subheading 2910.90; or
A change to subheading 2910.90 from any other
subheading, except from subheading 2910.40; or
A change to any other good of subheading 2910.10
through 2910.90 from any other subheading,
including another subheading within that group.
2912.11-2912.12....... A change to subheading 2912.11 through 2912.12
from any other subheading, including another
subheading within that group.
2912.19-2912.49....... A change to butanal (butyraldehyde, normal
isomer) of subheading 2912.19 from any other
good of subheading 2912.19 or from any other
subheading; or
A change to any other good of subheading 2912.19
from butanal (butyraldehyde, normal isomer) of
subheading 2912.19 or from any other
subheading, except from subheading 3301.90; or
A change to any other good of subheading 2912.19
through 2912.49 from any other subheading,
including another subheading within that group,
except from subheading 3301.90.
2912.50-2912.60....... A change to subheading 2912.50 through 2912.60
from any other subheading, including another
subheading within that group.
2913.................. A change to heading 2913 from any other heading.
2914.11-2914.19....... A change to subheading 2914.11 through 2914.19
from any other subheading, including another
subheading within that group, except from
subheading 3301.90.
2914.22............... A change to subheading 2914.22 from any other
subheading, including another subheading within
that group.
2914.23............... A change to subheading 2914.23 from any other
subheading, except from subheading 3301.90.
2914.29............... A change to subheading 2914.29 from any other
subheading, except from subheading 3301.90 or
3805.90.
2914.31-2914.39....... A change to subheading 2914.31 through 2914.39
from any other subheading outside that group,
except from subheading 3301.90.
2914.40-2914.70....... A change to subheading 2914.40 through 2914.70
from any other subheading, including another
subheading within that group, except from
subheading 3301.90.
2915.11-2915.33....... A change to sodium acetate of subheading 2915.29
from any other good of subheading 2915.29 or
from any other subheading; or
A change to cobalt acetates of subheading
2915.29 from any other good of subheading
2915.29 or from any other subheading; or
A change to any other good of subheading 2915.29
from sodium acetate or cobalt acetates of
subheading 2915.29 or from any other
subheading; or
A change to any other good of subheading 2915.11
through 2915.33 from any other subheading,
including another subheading within that group.
2915.36............... A change to subheading 2915.36 from any other
subheading, except from subheading 2915.90.
2915.39............... A change to isobutyl acetate of subheading
2915.39 from any other good of subheading
2915.39 or from any other subheading; or
A change to 2-Ethoxyethyl acetate of subheading
2915.39 from any other good of subheading
2915.39 or from any other subheading; or
A change to any other good of subheading 2915.39
from isobutyl acetate or 2-Ethoxyethyl acetate
of subheading 2915.39 or from any other
subheading, except from subheading 3301.90.
2915.39............... A change to subheading 2915.39 from any other
subheading, except from subheading 3301.90.
2915.40-2915.90....... A change to subheading 2915.40 through 2915.90
from any other subheading, including another
subheading within that group.
[[Page 634]]
2916.11-2916.20....... A change to subheading 2916.11 through 2916.20
from any other subheading, including another
subheading within that group.
2916.31-2916.39....... A change to subheading 2916.31 through 2916.39
from any other subheading, including another
subheading within that group, except from
subheading 3301.90.
2917.11-2917.39....... A change to dibutyl orthophthalates of
subheading 2917.34 from any other good of
subheading 2917.34 or from any other
subheading; or
A change to any other good of subheading 2917.34
from dibutyl orthophthalates of subheading
2917.34 or from any other subheading; or
A change to any other good of subheading 2917.11
through 2917.39 from any other subheading,
including another subheading within that group.
2918.11-2918.22....... A change to subheading 2918.18 from any other
subheading, except from subheading 2918.19; or
A change to any other good of subheading 2918.19
from any other subheading, except from
subheading 2918.18; or
A change to subheading 2918.11 through 2918.22
from any other subheading, including another
subheading within that group.
2918.23............... A change to subheading 2918.23 from any other
subheading, except from subheading 3301.90.
2918.29-2918.30....... A change to subheading 2918.29 through 2918.30
from any other subheading, including another
subheading within that group.
2918.91-2918.99....... A change to subheading 2918.91 through 2918.99
from any other subheading outside that group,
except from subheading 3301.90.
2919.................. A change to heading 2919 from any other heading.
2920.11-2926.90....... A change to subheading 2920.11 through 2920.19
from any subheading outside that group; or
A change to diethylamine and its salts of
subheading 2921.19 from any other good of
subheading 2921.19 or any other subheading; or
A change to any other good of subheading 2921.19
from diethylamine and its salts of subheading
2921.19 or from any other subheading; or
A change to anisidines, dianisidines,
phenetidines, and their salts of subheading
2922.29 from any other good of subheading
2922.29 or any other subheading; or
A change to any other good of subheading 2922.29
from anisidines, dianisidines, phenetidines,
and their salts of subheading 2922.29 or from
any other subheading; or
A change to subheading 2924.12 from any other
subheading, except from subheading 2924.19; or
A change to subheading 2924.19 from any other
subheading, except from subheading 2924.12; or
A change to subheading 2925.21 through 2925.29
from any subheading outside that group; or
A change to any other good of subheading 2920.11
through 2926.90 from any other subheading,
including another subheading within that group.
2927-2928............. A change to heading 2927 through 2928 from any
other heading, including another heading within
that group.
2929.10-2930.90....... A change to subheading 2930.50 from any other
subheading, except from subheading 2930.90; or
A change to dithiocarbonates (xanthates) of
subheading 2930.90 from any other good of
subheading 2930.90 or from any other
subheading;
A change to any other good of subheading 2930.90
from dithiocarbonates (xanthates) of subheading
2930.90 or from any other subheading, except
from subheading 2930.50; or
A change to any other good of subheading 2929.10
through 2930.90 from any other subheading,
including another subheading within that group.
2931.................. A change to heading 2931 from any other heading.
2932.11-2932.99....... A change to subheading 2932.11 through 2932.99
from any other subheading, including another
subheading within that group, except from
subheading 3301.90.
2933.11-2934.99....... A change to subheading 2933.11 through 2934.99
from any other subheading, including another
subheading within that group, except for a
change to subheading 2933.29 from heterocyclic
compounds with nitrogen hetero-atom(s) only of
subheading 3002.10 and except for a change to
subheading 2934.99 from nucleic acids and their
salts or other heterocyclic compounds of
subheading 2852.90 or subheading 3002.10.
2935.................. A change to heading 2935 from any other heading.
2936.21-2936.29....... A change to subheading 2936.21 through 2936.29
from any other subheading, including another
subheading within that group.
2936.90............... A change to unmixed provitamins of subheading
2936.90 from any other good of subheading
2936.90 or from any other subheading; or
A change to any other good of subheading 2936.90
from any other subheading, except from
subheading 2936.21 through 2936.29.
2937-2941............. A change to heading 2937 through 2941 from any
other heading, including another heading within
that group, except a change to concentrates of
poppy straw of subheading 2939.11 from poppy
straw extract of subheading 1302.19 and except
for a change to subheading 2937.90 from other
hormones, prostagladins, thromboxanes and
leukotrienes, natural or reproduced by
synthesis, derivatives and structural analogues
thereof, including chain modified polypeptides,
used primarily as hormones of subheading
3002.10.
2942.................. A change to heading 2942 from any other chapter.
3001.10-3001.90....... A change to subheading 3001.20 through 3001.90
from any other subheading, including another
subheading within that group, except a change
from subheading 3006.80.
3001.20-3001.90....... A change to glands and other organs, dried,
whether or not powdered, of subheading 3001.90
from any other good of subheading 3001.90 or
from any other subheading, except from
subheading 0206.10 through 0208.90 or 0305.20,
heading 0504 or 0510, or subheading 0511.99 if
the change from these provisions is not to a
gland or other organ powder classified in
subheading 3001.90, and except a change from
subheading 3006.92; or
[[Page 635]]
A change to any other good of subheading 3001.90
from glands and other organs, dried, whether or
not powdered, of subheading 3001.90 or from any
other subheading, except from subheading
3006.92; or
A change to any other good of subheading 3001.20
through 3001.90 from any other subheading,
including another subheading within that group,
except a change from subheading 3006.92.
3002.10-3002.90....... A change to subheading 3002.10 through 3002.90
from any other subheading including another
subheading within that group, except a change
from subheading 3006.92; or
A change to imines and their derivatives, and
salts thereof, other than chlordimeform (ISO)
of subheading 3002.10 from any other
subheading, except subheadings 2925.21 through
2925.29; or
A change to compounds containing an unfused
imidazole ring (whether or not hydrogenated) in
the structure of subheading 3002.10 from any
other subheading, except from subheading
2933.29; or
A change to nucleic acids and their salts or
other heterocyclic compounds (other than those
classified in subheadings 2934.10 through
2934.91) of subheading 3002.10 from any other
subheading, except from subheading 2934.99; or
A change to hormones, prostaglandins,
thromboxanes and leukotrienes, natural or
reproduced by synthesis or derivatives, and
structural analogues thereof, including chain
modified polypeptides, used primarily as
hormones (other than those classified in
subheadings 2937.11 through 2937.50) of
subheading 3002.10 from any other heading,
except from heading 2937; or
A change to other polyethers of subheading
3002.10 from any other heading, except from
heading 3907, provided that the domestic
polymer content is no less than 40 percent by
weight of the total polymer count.
3003.10............... A change to subheading 3003.10 from any other
subheading, except from subheading 2941.10,
2941.20, 3003.20, or 3006.92.
3003.20............... A change to subheading 3003.20 from any other
subheading, except from subheading 2941.30
through 2941.90, or 3006.92.
3003.31............... A change to subheading 3003.31 from any other
subheading, except from subheading 2937.12 or
3006.92.
3003.39............... A change to subheading 3003.39 from any other
subheading, except from hormones or their
derivatives classified in Chapter 29, or except
from subheading 3006.92.
3003.40............... A change to subheading 3003.40 from any other
subheading, except from heading 1211,
subheading 1302.11, 1302.19, 1302.20, 1302.39,
or 3006.92, or alkaloids or derivatives thereof
classified in Chapter 29.
3003.90............... A change to subheading 3003.90 from any other
subheading, provided that the domestic content
of the therapeutic or prophylactic component is
no less than 40 percent by weight of the total
therapeutic or prophylactic content, or except
from subheading 3006.92.
3004.10............... A change to subheading 3004.10 from any other
subheading, except from subheading 2941.10,
2941.20, 3003.10, 3003.20, or 3006.92.
3004.20............... A change to subheading 3004.20 from any other
subheading, except from subheading 2941.30
through 2941.90, 3003.20, or 3006.92.
3004.31............... A change to subheading 3004.31 from any other
subheading, except from subheading 2937.12,
3003.31, 3003.39, or 3006.92.
3004.32............... A change to subheading 3004.32 from any other
subheading, except from subheading 3003.39 or
3006.92, or from adrenal corticosteroid
hormones classified in Chapter 29.
3004.39............... A change to subheading 3004.39 from any other
subheading, except from subheading 3003.39 or
3006.92, or from hormones or derivatives
thereof classified in Chapter 29.
3004.40............... A change to subheading 3004.40 from any other
subheading, except from heading 1211,
subheading 1302.11, 1302.19, 1302.20, 1302.39,
3003.40, or 3006.92, or alkaloids or
derivatives thereof classified in Chapter 29.
3004.50............... A change to subheading 3004.50 from any other
subheading, except from subheading 3003.90 or
3006.92, or vitamins classified in Chapter 29
or products classified in heading 2936.
3004.90............... A change to subheading 3004.90 from any other
subheading, except from subheading 3003.90 or
3006.92, and provided that the domestic content
of the therapeutic or prophylactic component is
no less than 40 percent by weight of the total
therapeutic or prophylactic content.
3005.10............... A change to subheading 3005.10 from any other
subheading, except from subheading 3006.92 or
3825.30.
3006.10............... A change to subheading 3006.10 from any other
subheading, except from subheading 1212.20,
3006.92, 3825.30, or from articles of catgut of
heading 4206.
3006.20-3006.60....... A change to subheading 3006.20 through 3006.60
from any other subheading, including another
subheading within that group, except from
subheading 3006.92 or 3825.30.
3006.70............... A change to subheading 3006.70 from any other
subheading, except from subheading 3006.92 or
3825.30, and provided no more than 60 percent
by weight of the good classified in this
subheading is attributable to one substance or
compound.
3006.91............... A change to subheading 3006.91 from any other
subheading, except from heading 3926.
3006.92............... A change to subheading 3006.92 from any other
chapter.
3101.................. A change to heading 3101 from any other heading,
except from subheading 2301.20 or from powders
and meals of subheading 0506.90, heading 0508,
or subheading 0511.91 or 0511.99.
3102.10-3102.21....... A change to subheading 3102.10 through 3102.21
from any other subheading, including another
subheading within that group.
3102.29............... A change to subheading 3102.29 from any other
subheading, except from subheading 3102.21 or
3102.30.
3102.30............... A change to subheading 3102.30 from any other
subheading.
3102.40............... A change to subheading 3102.40 from any other
subheading, except from subheading 3102.30.
3102.50............... A change to subheading 3102.50 from any other
subheading.
[[Page 636]]
3102.60............... A change to subheading 3102.60 from any other
subheading, except from subheading 2834.29 or
3102.30.
3102.80............... A change to subheading 3102.80 from any other
subheading, except from subheading 3102.10 or
3102.30.
3102.90............... A change to subheading 3102.90 from any other
subheading, except from subheading 3102.10
through 3102.80.
3102.90............... A change to calcium cyanamide of subheading
3102.90 from any other subheading or from any
other good of subheading 3102.90; or
A change to any other good of subheading 3102.90
from calcium cyanamide of subheading 3102.90 or
from any other subheading, except from
subheading 3102.10 through 3102.80.
3103.10............... A change to subheading 3103.10 from any other
subheading.
3103.90............... A change to basic slag of subheading 3103.90
from any other good of subheading 3103.90 or
from any other subheading; or
A change to any other good of subheading 3103.90
from basic slag of subheading 3103.90 or from
any other subheading, except from subheading
3103.10.
3104.20-3104.30....... A change to subheading 3104.20 through 3104.30
from any other subheading, including another
subheading within that group.
3104.90............... A change to carnallite, sylvite or other crude
natural potassium salts of subheading 3104.90
from any other good of subheading 3104.90 or
from any other subheading; or
A change to any other good of subheading 3104.90
from any other subheading, except from
subheading 3104.20 through 3104.30.
3104.90............... A change to subheading 3104.90 from any other
subheading, except from subheading 3104.10
through 3104.30.
3105.10............... A change to subheading 3105.10 from any other
subheading, except from Chapter 31.
3105.20............... A change to subheading 3105.20 from any other
heading, except from heading 3102 through 3104.
3105.30-3105.40....... A change to subheading 3105.30 through 3105.40
from any other subheading, including another
subheading within that group.
3105.51-3105.59....... A change to subheading 3105.51 through 3105.59
from any other subheading, including another
subheading within that group, except from
subheading 3102.10 through 3103.90 or 3105.30
through 3105.40.
3105.60............... A change to subheading 3105.60 from any other
subheading, except from heading 3103 through
3104.
3105.90............... A change to subheading 3105.90 from any other
chapter, except from subheading 2834.21.
3201.10-3202.90....... A change to subheading 3201.10 through 3202.90
from any other subheading, including another
subheading within that group, except for a
change to subheading 3201.90 from tanning
extracts of vegetable origin or tannins and
their salts, ethers, esters, and other
derivatives, of subheading 2852.90.
3203.................. A change to heading 3203 from any other heading.
3204.11-3204.17....... A change to subheading 3204.11 through 3204.17
from any other subheading, including another
subheading within that group.
3204.19............... A change to subheading 3204.19 from any other
subheading, except from subheading 3204.11
through 3204.17.
3204.20-3204.90....... A change to subheading 3204.20 through 3204.90
from any other subheading, including another
subheading within that group.
3205.................. A change to heading 3205 from any other heading.
3206.11-3206.19....... A change to subheading 3206.11 through 3206.19
from any other subheading outside that group.
3206.20-3209.90....... A change to pigments and preparations based on
cadmium compounds of subheading 3206.49 from
any other good of subheading 3206.49 or from
any other subheading; or
A change to pigments and preparations based on
hexacyanoferrates (ferrocyanides and
ferricyanides) from any other good of
subheading 3206.49 or from any other
subheading; or
A change to any other good of subheading 3206.49
from pigments and preparations based on cadmium
compounds or hexacyanoferrates (ferrocyanides
and ferricyanides) of subheading 3206.49 or
from any other subheading; or
A change to any other good of subheading 3206.20
through 3209.90 from any other subheading,
including another subheading within that group.
3210.................. A change to heading 3210 from any other heading.
3211.................. A change to heading 3211 from any other heading,
except from subheading 3806.20.
3212.10-3212.90....... A change to subheading 3212.10 through 3212.90
from any other subheading, including another
subheading within that group.
3213.................. A change to heading 3213 from any other heading.
3214.10-3214.90....... A change to subheading 3214.10 through 3214.90
from any other subheading, including another
subheading within that group, except from
subheading 3824.50.
3215.................. A change to heading 3215 from any other heading.
3301.12-3301.90....... A change to oil of bergamot of subheading
3301.19 from any other good of subheading
3301.19 or from any other subheading; or
A change to oil of lime of subheading 3301.19
from any other good of subheading 3301.19 or
from any other subheading; or
A change to any other good of subheading 3301.19
from oil of bergamot or of lime of subheading
3301.19 or from any other subheading; or
A change to oil of geranium of subheading
3301.29 from any other good of subheading
3301.29 or from any other subheading; or
A change to oil of jasmin of subheading 3301.29
from any other good of subheading 3301.29 or
from any other subheading; or
[[Page 637]]
A change to oil of lavender or of lavandin of
subheading 3301.29 from any other good of
subheading 3301.29 or from any other
subheading; or
A change to oil of vetiver of subheading 3301.29
from any other good of subheading 3301.29 or
from any other subheading; or
A change to any other good of subheading 3301.29
from oil of geranium, jasmine, lavender or
lavandin, or of vetiver of subheading 3301.29
or from any other subheading; or
A change to any other good of subheading 3301.12
through 3301.90 from any other subheading,
including another subheading within that group.
3302.................. A change to heading 3302 from any other heading,
except from subheading 2106.90 or heading 2207,
2208, or 3301.
3303.................. A change to heading 3303 from any other heading,
except from subheading 3302.90.
3304.10-3306.10....... A change to subheading 3304.10 through 3306.10
from any other subheading, including another
subheading within that group.
3306.20............... A change to subheading 3306.20 from any other
subheading, except from Chapter 54.
3306.90-3307.90....... A change to subheading 3306.90 through 3307.90
from any other subheading, including another
subheading within that group.
3401.................. A change to heading 3401 from any other heading.
3402.11............... A change to subheading 3402.11 from any other
subheading, except from mixed alkylbenzenes of
heading 3817.
3402.12-3402.20....... A change to subheading 3402.12 through 3402.20
from any other subheading, including another
subheading within that group.
3402.90............... A change to subheading 3402.90 from any other
heading.
3403.11-3403.19....... A change to subheading 3403.11 through 3403.19
from any other subheading, including another
subheading within that group, except from
heading 2710 or 2712.
3403.91-3403.99....... A change to subheading 3403.91 through 3403.99
from any other subheading, including another
subheading within that group.
3404.20............... A change to subheading 3404.20 from any other
subheading.
3404.90............... A change to artificial waxes and prepared waxes
of chemically modified lignite of subheading
3404.90 from any other good of subheading
3404.90 or from any other subheading; or
3405.10-3405.90....... A change to subheading 3405.10 through 3405.90
from any other subheading, including another
subheading within that group.
3406-3407............. A change to heading 3406 through 3407 from any
other heading, including another heading within
that group.
3501.10-3501.90....... A change to subheading 3501.10 through 3501.90
from any other subheading, including another
subheading within that group, except for a
change to subheading 3501.90 from caseinates
and other casein derivatives or casein glues of
subheading 2852.90.
3502.11-3502.19....... A change to subheading 3502.11 through 3502.19
from any other subheading outside that group,
except from heading 0407.
3502.20-3502.90....... A change to subheading 3502.20 through 3502.90
from any other subheading, including another
subheading within that group, except for a
change to subheading 3502.90 from albumins
(including concentrates of two or more whey
proteins, containing by weight more than 80
percent whey proteins, calculated on the dry
matter), albuminates, and other albumin
derivatives of 2852.90.
3503-3504............. A change to heading 3503 through 3504 from any
other heading, including another heading within
that group, except for a change to subheading
3504.00 from peptones and their derivatives or
other protein substances and their derivatives
or hide powder of 2852.90.
3505.10............... A change to subheading 3505.10 from any other
subheading.
3505.20............... A change to subheading 3505.20 from any other
subheading, except from heading 1108.
3506.10............... A change to subheading 3506.10 from any other
subheading, except from heading 3503 or
subheading 3501.90.
3506.91-3506.99....... A change to subheading 3506.91 through 3506.99
from any other subheading, including another
subheading within that group.
3507.................. A change to heading 3507 from any other heading.
3601-3606............. A change to heading 3601 through 3606 from any
other heading, including any other heading
within that group.
3701-3703............. A change to heading 3701 through 3703 from any
other heading outside that group.
3704-3706............. A change to heading 3704 through 3706 from any
other heading, including another heading within
that group.
3707.10-3707.90....... A change to subheading 3707.10 through 3707.90
from any other subheading, including another
subheading within that group.
3801.10............... A change to subheading 3801.10 from any other
subheading.
3801.20............... A change to subheading 3801.20 from any other
subheading, except from heading 2504 or
subheading 3801.10.
3801.30............... A change to subheading 3801.30 from any other
subheading.
3801.90............... A change to subheading 3801.90 from any other
subheading, except from heading 2504.
3802-3805............. A change to heading 3802 through 3805 from any
other heading, including another heading within
that group.
3806.10-3806.90....... A change to subheading 3806.10 through 3806.90
from any other subheading, including another
subheading within that group.
3807.................. A change to heading 3807 from any other heading.
3808.50............... A change to insecticides from any other
subheading, except from vegetable saps or
extracts of pyrethrum or of the roots of plants
containing rotenone of subheading 1302.19 or
from subheading 3808.91 or from any insecticide
classified in Chapter 28 or 29; or
A change to fungicides from any other
subheading, except from fungicides classified
in Chapter 28 or 29 or from subheading 3808.92;
or
[[Page 638]]
A change to herbicides, anti-sprouting products
and plant-growth regulators from any other
subheading, except from herbicides, anti-
sprouting products and plant-growth regulators
classified in Chapter 28 or 29 or from
subheading 3808.93; or
A change to a mixture of herbicides, anti-
sprouting products and plant-growth regulators
from any other subheading, provided that the
mixture is made from two or more active
ingredients and a domestic active ingredient
constitutes no less than 40 percent by weight
of the total active ingredients; or
A change to disinfectants from any other
subheading, except from subheading 3808.94; or
A change to any other good of subheading 3808.50
from any other good of subheading 3808.50 or
from any other subheading, except from
rodenticides and other pesticides classified in
Chapter 28 or 29 or from subheading 3808.99; or
A change to a mixture of subheading 3808.50 from
any other subheading, provided that the mixture
is made from two or more active ingredients and
a domestic active ingredient constitutes no
less than 40 percent by weight of the total
active ingredients, except from subheading
3808.99.
3808.91............... A change to subheading 3808.91 from any other
subheading, except from vegetable saps or
extracts of pyrethrum or of the roots of plants
containing rotenone of subheading 1302.19 or
from any insecticide classified in Chapter 28
or 29 or subheading 3808.50.
3808.92............... A change to subheading 3808.92 from any other
subheading, except from fungicides classified
in Chapter 28 or 29, or subheading 3808.50.
3808.93............... A change to subheading 3808.93 from any other
subheading, except from herbicides, anti-
sprouting products or plant-growth regulators
classified in Chapter 28 or 29 or subheading
3808.50; or
A change to a mixture of subheading 3808.93 from
any other subheading, provided that the mixture
is made from two or more active ingredients and
a domestic active ingredient constitutes no
less than 40 percent by weight of the total
active ingredients.
3808.94............... A change to subheading 3808.94 from any other
subheading, except from disinfectants of
subheading 3808.50.
3808.99............... A change to subheading 3808.99 from any other
subheading, except from rodenticides or other
pesticides classified in chapter 28 or 29 or
subheading 3808.50; or A change to a mixture of
subheading 3808.99 from any other subheading,
provided that the mixture is made from two or
more active ingredients and a domestic active
ingredient constitutes no less than 40 percent
by weight of the total active ingredients,
except from rodenticides or other pesticides
classified in chapter 28 or 29 or subheading
3808.50.
3809.10............... A change to subheading 3809.10 from any other
subheading, except from subheading 3505.10.
3809.91-3809.93....... A change to subheading 3809.91 through 3809.93
from any other subheading, including another
subheading within that group.
3808.99............... A change to subheading 3808.99 from any other
subheading, except from rodenticides or other
pesticides classified in chapter 28 or 29 or
subheading 3808.50; or A change to a mixture of
subheading 3808.99 from any other subheading,
provided that the mixture is made from two or
more active ingredients and a domestic active
ingredient constitutes no less than 40 percent
by weight of the total active ingredients,
except from rodenticides or other pesticides
classified in chapter 28 or 29 or subheading
3808.50.
3810-3816............. A change to heading 3810 through 3816 from any
other heading, including another heading within
that group.
3817.................. A change to heading 3817 from any other heading,
including changes from one product to another
within that heading, except from subheading
2902.90.
3818.................. A change to heading 3818 from any other heading.
3819.................. A change to heading 3819 from any other heading,
except from heading 2710.
3820.................. A change to heading 3820 from any other heading,
except from subheading 2905.31.
3821.................. A change to heading 3821 from any other heading.
3822.................. A change to heading 3822 from any other heading,
except from subheading 3002.10 or 3502.90 or
heading 3504.
3823.11-3823.13....... A change to subheading 3823.11 through 3823.13
from any other subheading, including another
subheading within that group, except from
heading 1520.
3823.19............... A change to subheading 3823.19 from any other
subheading.
3823.70............... A change to subheading 3823.70 from any other
subheading, except from heading 1520.
3824.10............... A change to subheading 3824.10 from any other
subheading, except from heading 3505,
subheading 3806.10 or 3806.20, or heading 3903,
3905, 3906, 3909, 3911, or 3913.
3824.30............... A change to subheading 3824.30 from any other
subheading, except from heading 2849.
3824.40............... A change to subheading 3824.40 from any other
subheading.
3824.50............... A change to subheading 3824.50 from any other
subheading, except from subheading 3214.90.
3824.60............... A change to subheading 3824.60 from any other
subheading.
3824.71-3824.90....... A change to subheading 3824.71 from other
chemical products or preparations of the
chemical or allied industries (including those
consisting of mixtures of natural products),
not elsewhere specified or included, of
subheading 3824.71 or from any other
subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound; or
A change to other chemical products or
preparations of the chemical or allied
industries (including those consisting of
mixtures of natural products), not elsewhere
specified or included of subheading 3824.71
from any other good of subheading 3824.71 or
from any other subheading, except from other
chemical products or preparations of the
chemical or allied industries (including those
consisting of mixtures of natural products),
not elsewhere specified or included, of
subheading 2852.90, 3824.73 through 3824.79,
3824.90, or 3826.00; or
[[Page 639]]
A change to subheading 3824.72 from any other
subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
mixtures containing perhalogenated derivatives
of acyclic hydrocarbons containing two or more
different halogens of subheading 3824.73
through 3824.79; or
A change to other mixtures of halogenated
hydrocarbons of subheading 3824.73 from any
other subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
chemical products or preparations of the
chemical or allied industries (including those
consisting of mixtures of natural products),
not elsewhere specified or included, of
subheading 2852.90, 3824.71, or 3824.74 through
3824.79, 3824.90, or 3826.00; or
A change to other mixtures containing
perhalogenated derivatives of acyclic
hydrocarbons containing two or more different
halogens of subheading 3824.73 from any other
subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
mixtures containing perhalogenated derivatives
of acyclic hydrocarbons containing two or more
different halogens of subheading 3824.72, or
3824.74 through 3824.79; or
A change to other mixtures of halogenated
hydrocarbons of subheading 3824.74 from any
other subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
chemical products or preparations of the
chemical or allied industries (including those
consisting of mixtures of natural products),
not elsewhere specified or included, of
subheading 2852.90, 3824.71, 3824.73, 3824.75
through 3824.79, or 3826.00, and except from
subheading 3824.90; or
A change to other mixtures containing
perhalogenated derivatives of acyclic
hydrocarbons containing two or more different
halogens of subheading 3824.73 from any other
subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
mixtures containing perhalogenated derivatives
of acyclic hydrocarbons containing two or more
different halogens of subheading 3824.72, or
3824.74 through 3824.79; or
A change to other mixtures of halogenated
hydrocarbons of subheading 3824.74 from any
other subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
chemical products or preparations of the
chemical or allied industries (including those
consisting of mixtures of natural products),
not elsewhere specified or included, of
subheading 2852.90, 3824.71, 3824.73, 3824.75
through 3824.79, or 3826.00, and except from
subheading 3824.90; or
A change to other mixtures containing
perhalogenated derivatives of acyclic
hydrocarbons containing two or more different
halogens of subheading 3824.74 from any other
subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
mixtures containing perhalogenated derivatives
of acyclic hydrocarbons containing two or more
different halogens of subheading 3824.72
through 3824.73 and subheading 3824.75 through
3824.79; or
A change to subheading 3824.75 from any other
subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
chemical products or preparations of the
chemical or allied industries (including those
consisting of mixtures of natural products),
not elsewhere specified or included, of
subheading 2852.90, 3824.71, 3824.73 through
3824.74, subheading 3824.76 through 3824.79,
3824.90, or 3826.00; or
A change to subheading 3824.76 from any other
subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
chemical products or preparations of the
chemical or allied industries (including those
consisting of mixtures of natural products),
not elsewhere specified or included, of
subheading 2852.90, 3824.71, 3824.73 through
3824.75, 3824.77 through 3824.79, 3824.90, or
3826.00; or
A change to subheading 3824.77 from any other
subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
chemical products or preparations of the
chemical or allied industries (including those
consisting of mixtures of natural products),
not elsewhere specified or included, of
subheading 2852.90, 3824.71, 3824.73 through
3824.76, 3824.78 through 3824.79, 3824.90, or
3826.00; or
A change to subheading 3824.78 from any other
subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
mixtures containing perhalogenated derivatives
of acyclic hydrocarbons containing two or more
different halogens of subheading 3824.72
through 3824.77 or 3824.79; or
A change to mixtures of halogenated hydrocarbons
of subheading 3824.79 from any other
subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
chemical products or preparations of the
chemical or allied industries (including those
consisting of mixtures of natural products),
not elsewhere specified or included of
subheading 2852.90, 3824.71, 3824.73 through
3824.78, or 3826.00, and except from subheading
3824.90; or
A change to other mixtures containing
perhalogenated derivatives of acyclic
hydrocarbons containing two or more different
halogens of subheading 3824.79 from any other
subheading, provided that no more than 60
percent by weight of the good classified in
this subheading is attributable to one
substance or compound, except from other
mixtures containing perhalogenated derivatives
of acyclic hydrocarbons containing two or more
different halogens of subheading 3824.72
through 3824.78;
[[Page 640]]
A change to naphthenic acids, their water-
insoluble salts or their esters of subheading
3824.90 from any other good of subheading
3824.90 or from any other subheading; or
A change to any other good of subheading 3824.90
from naphthenic acids, their water-insoluble
salts or their esters of subheading 3824.90 or
from any other subheading, provided that no
more than 60 percent by weight of the good
classified in this subheading is attributable
to one substance or compound, except from other
chemical products or preparations of the
chemical or allied industries (including those
consisting of mixtures of natural products),
not elsewhere specified or included, of
subheading 3824.71, or 3824.73 through 3824.79;
or
A change to any other good of subheading 3824.71
through 3824.90 from any other subheading,
including another subheading within that group,
provided that no more than 60 percent by weight
of the good classified in this subheading is
attributable to one substance or compound.
3825.10-3825.69....... A change to subheading 3825.10 through 3825.69
from any other chapter, except from Chapter 28
through 38, 40 or 90.
3825.90............... A change to subheading 3825.90 from any other
subheading, except from subheading 3824.90, and
provided that no more than 60 percent by weight
of the good classified in this subheading is
attributable to one substance or compound.
------------------------------------------------------------------------
3826.00............... A change to prepared binders for foundry moulds
or cores or chemical products and preparations
of the chemical or allied industries of
subheading 3826.00 from naphthenic acids, their
water-insoluble salts, or their esters of
subheading 3826.00 or any other subheading,
provided that no more than 60 percent by weight
of the good classified in this subheading is
attributable to one substance or compound,
except from other chemical products or
preparations of the chemical or allied
industries (including those consisting of
mixtures of natural products), not elsewhere
specified or included, of subheading 3824.71,
or 3824.73 through 3824.79; or
A change to prepared binders for foundry moulds
or cores or chemical products and preparations
of the chemical or allied industries of
subheading 3826.00 from any other subheading,
provided that no more than 60 percent by weight
of the good classified in this subheading is
attributable to one substance or compound.
(g) Section VII: Chapters 39 through 40
------------------------------------------------------------------------
Chapter 39 Note: The country of origin of goods classified in
subheadings 3921.12.15, 3921.13.15, and 3921.90.2550 shall be determined
under the provisions of Sec. 102.21.
3901-3915............. A change to heading 3901 through 3915 from any
other heading, including another heading within
that group, except a change to 3907 from other
polyethers of subheading 3002.10, provided that
the domestic polymer content is no less than 40
percent by weight of the total polymer content.
3916.10-3918.90....... A change to subheading 3916.10 through 3918.90
from any other subheading, including another
subheading within that group.
3919.10-3919.90....... A change to subheading 3919.10 through 3919.90
from any other subheading outside that group.
3920.10-3921.90....... A change to other plates, sheets, film, foil or
strip, of plastics, non-cellular and not
reinforced, laminated, supported or similarly
combined with other materials of cellulose or
its chemical derivatives, of vulcanized fiber,
of subheading 3920.79 from any other good of
subheading 3920.79 or from any other
subheading; or
A change to any other good of subheading 3920.79
from plates, sheets, film, foil or strip, of
plastics, non-cellular and not reinforced,
laminated, supported or similarly combined with
other materials of cellulose or its chemical
derivatives, of vulcanized fiber, of subheading
3920.79 or from any other subheading; or
A change to any other good of subheading 3920.10
through 3921.90 from any other subheading,
including another subheading within that group.
3922-3926............. A change to heading 3922 through 3926 from any
other subheading, including another heading
within that group, except for a change to
heading 3926 from articles of apparel and
clothing accessories, other articles of
plastics, or articles of other materials of
headings 3901 to 3914 of heading 9619.
4001.10-4001.22....... A change to subheading 4001.10 through 4001.22
from any other subheading, including another
subheading within that group.
4001.29............... A change to subheading 4001.29 from any other
subheading, except from subheading 4001.21 or
4001.22.
4001.30............... A change to subheading 4001.30 from any other
subheading.
4002.11-4002.70....... A change to subheading 4002.11 through 4002.70
from any other subheading, including another
subheading within that group.
4002.80-4002.99....... A change to subheading 4002.80 through 4002.99
from any other subheading, including another
subheading within that group, provided that the
domestic rubber content is no less than 40
percent by weight of the total rubber content.
4003-4004............. A change to heading 4003 through 4004 from any
other heading, including another heading within
that group.
4005.................. A change to heading 4005 from any other heading,
except from heading 4001 or 4002.
4006-4010............. A change to heading 4006 through 4010 from any
other heading, including another heading within
that group.
4011.10-4012.90....... A change to subheading 4011.10 through 4012.90
from any other subheading, including another
subheading within that group.
4013.................. A change to heading 4013 from any other heading.
4014.10-4014.90....... A change to subheading 4014.10 through 4014.90
from any other subheading, including another
subheading within that group.
4015.................. A change to heading 4015 from any other heading.
4016.10-4016.99....... A change to subheading 4016.10 through 4016.99
from any other subheading, including another
subheading within that group.
[[Page 641]]
4017.................. A change to heading 4017 from any other heading.
------------------------------------------------------------------------
(h) Section VIII: Chapters 41 through 43
------------------------------------------------------------------------
4101.................. A change to hides or skins of heading 4101 which
have undergone a tanning (including a pre-
tanning) process which is reversible from any
other good of heading 4101 or from any other
chapter; or
A change to any other good of heading 4101 from
any other chapter.
4102.................. A change to hides or skins of heading 4102 which
have undergone a tanning (including a pre-
tanning) process which is reversible from any
other good of heading 4102 or from any other
chapter; or
A change to any other good of heading 4102 from
any other chapter.
4103.................. A change to hides or skins of heading 4103 which
have undergone a tanning (including a pre-
tanning) process which is reversible from any
other good of heading 4103 or from any other
chapter; or
A change to any other good of heading 4103 from
any other chapter.
4104-4106............. A change to heading 4104 through 4106 from any
other heading, including another heading within
that group, except from hides or skins of
heading 4101 through 4103 which have undergone
a tanning (including a pre-tanning) process
which is reversible, or from heading 4107, 4112
or 4113.
4107.................. A change to heading 4107 from any other heading
except from hides or skins of heading 4101
which have undergone a tanning (including a pre-
tanning) process which is reversible, or from
heading 4104.
4112.................. A change to heading 4112 from any other heading
except from hides or skins of heading 4102
which have undergone a tanning (including a pre-
tanning) process which is reversible, or from
heading 4105.
4113.................. A change to heading 4113 from any other heading
except from hides or skins of heading 4103
which have undergone a tanning (including a pre-
tanning) process which is reversible, or from
heading 4106.
4114.10-4115.20....... A change to subheading 4114.10 through 4115.20
from any other subheading, including a
subheading within that group.
Chapter 42 Note: The country of origin of goods classified in
subheadings 4202.12.40 through 4202.12.80, 4202.22.40 through
4202.22.80, 4202.32.40 through 4202.32.95, 4202.92.05, 4202.92.15
through 4202.92.30, and 4202.92.60 through 4202.92.90 shall be
determined under the provisions of Sec. 102.21.
4201.................. A change to heading 4201 from any other heading.
4202.11............... A change to subheading 4202.11 from any other
heading.
4202.12-4202.22....... A change to subheading 4202.12 through 4202.22
from any other heading, provided that the
change does not result from the assembly of
foreign cut components.
4202.29............... A change to subheading 4202.29 from any other
heading.
4202.31-4202.32....... A change to subheading 4202.31 through 4202.32
from any other heading, provided that the
change does not result from the assembly of
foreign cut components.
4202.39............... A change to subheading 4202.39 from any other
heading.
4202.91-4202.99....... A change to subheading 4202.91 through 4202.99
from any other heading, provided that the
change does not result from the assembly of
foreign cut components.
4203-4206............. A change to articles of leather or of
composition leather, of a kind used in
machinery or mechanical appliances or for other
technical uses of heading 4205 from any other
good of heading 4205 or from any other heading;
or
A change to any other good of heading 4205 from
articles of leather or of composition leather,
of a kind used in machinery or mechanical
appliances or for other technical uses of
heading 4205 or from any other heading; or
A change to any other good of heading 4203
through 4206 from any other heading, including
another heading within that group.
4301.................. A change to heading 4301 from any other chapter.
4302.11-4302.20....... A change to subheading 4302.11 through 4302.20
from any other heading.
4302.30............... A change to subheading 4302.30 from any other
subheading, provided that the change does not
result from the assembly of foreign cut fur
components.
4303-4304............. A change to heading 4303 through 4304 from any
other heading, including another heading within
that group.
------------------------------------------------------------------------
(i) Section IX: Chapters 44 through 46
------------------------------------------------------------------------
4401-4411............. A change to heading 4401 through 4411 from any
other heading, including another heading within
that group; or
A change to strips continuously shaped along the
ends and also continuously shaped along the
edges or faces of heading 4409 from strips
continuously shaped only along the edges or
faces of heading 4409.
4412.................. A change to heading 4412 from any other heading,
except from plywood of subheading 4418.71
through 4418.79; or
A change to surface-covered plywood of heading
4412 from any other plywood that is not surface
covered or is surface-covered only with a clear
or transparent material which does not obscure
the grain, texture, or markings of the face
ply.
4413-4421............. A change to plywood of subheading 4418.71
through 4418.79 from any other good of heading
4418 or from any other heading, except from
heading 4412; or
A change to any other good of subheading 4418.71
through 4418.79 from plywood of subheading
4418.71 through 4418.79 or from any other
heading; or
[[Page 642]]
A change to any other good of heading 4413
through 4421 from any other heading, including
another heading within that group.
4501.................. A change to heading 4501 from any other heading.
4502.................. A change to heading 4502 from any other heading,
except from heading 4501.
4503-4504............. A change to heading 4503 through 4504 from any
other heading, including another heading within
that group.
4601.21-4601.99....... A change to subheading 4601.21 through 4601.29
from any subheading outside that group; or
A change to subheading 4601.92 through 4601.94
from any subheading outside that group; or
A change to subheading 4601.99 from any other
subheading.
4602.................. A change to heading 4602 from any other heading.
------------------------------------------------------------------------
(j) Section X: Chapters 47 through 49
------------------------------------------------------------------------
4701-4702............. A change to heading 4701 through 4702 from any
other heading, including another heading within
that group.
4703.11-4704.29....... A change to subheading 4703.11 through 4704.29
from any other subheading, including another
subheading within that group.
4705-4707............. A change to heading 4705 through 4707 from any
other heading, including another heading within
that group.
4801-4807............. A change to heading 4801 through 4807 from any
other heading, including another heading within
that group.
4808.10............... A change to subheading 4808.10 from any other
heading.
4808.40............... A change to subheading 4808.40 from any other
heading, except from heading 4804.
4808.90............... A change to subheading 4808.90 from any other
chapter.
4809.................. A change to heading 4809 from any other heading.
4810.................. A change to heading 4810 from any other heading.
4811.................. A change to paper or paperboard in strips or
rolls of a width not exceeding 15 cm of heading
4811 from strips or rolls of a width exceeding
15 cm of heading 4811 or any other heading,
except from heading 4817 through 4823;
A change to paper or paperboard in rectangular
(including square) sheets with the larger
dimension not exceeding 36 cm or the other
dimension not exceeding 15 cm in the unfolded
state of heading 4811 from strips or rolls of a
width exceeding 15 cm of heading 4811, paper or
paperboard in rectangular (including square)
sheets with the larger dimension exceeding 36
cm and the other dimension exceeding 15 cm in
the unfolded state of heading 4811 or any other
heading, except from heading 4817 through 4823;
or
A change to any other good of heading 4811 from
any other chapter.
4812-4814............. A change to heading 4812 through 4814 from any
other heading, including another heading within
that group.
4816.................. A change to heading 4816 from any other heading,
except from heading 4809.
4817-4822............. A change to heading 4817 through 4822 from any
other heading, including another heading within
that group, except for a change to heading 4818
from sanitary towels and tampons, napkin and
napkin liners for babies, and similar sanitary
articles, of paper pulp, paper, cellulose
wadding, or webs of cellulose fibers, of
heading 9619.
4823.20-4823.40....... A change to subheading 4823.20 through 4823.40
from any other chapter.
4823.61-4823.70....... A change to subheading 4823.61 through 4823.69
from any subheading outside that group; or
A change to any other good of subheading 4823.61
through 4823.70 from any other subheading,
including another subheading within that group.
4823.90............... A change to floor coverings on a base of paper
or of paperboard, whether or not cut to size,
from any other good of subheading 4823.90 or
from any other subheading; or
A change to self-adhesive paper, in strips or
rolls, from any other good of subheading
4823.90 or from any other subheading; or
A change to other gummed or adhesive paper, in
strips or rolls, from any other good of
subheading 4823.90 or from any other
subheading; or
A change to cards not punched and for punchcard
machines from any other chapter; or
A change to any other good of subheading 4823.90
from floor covering on base paper or of
paperboard, self-adhesive paper, other gummed
or adhesive paper, or from cards not punched
and for punchcard machines of subheading
4823.90, or from any other subheading.
4901-4908............. A change to heading 4901 through 4908 from any
other heading, including another heading within
that group.
4909.................. A change to heading 4909 from any other heading,
except from heading 4911 when the change is a
result of adding text.
4910-4911............. A change to heading 4910 through 4911 from any
other heading, including another heading within
that group.
(k) Section XII: Chapters 64 through 67
------------------------------------------------------------------------
Chapter 64 Note: For purposes of this chapter, the term ``formed
uppers'' means uppers, with closed bottoms, which have been shaped by
lasting, molding or otherwise but not by simply closing at the bottom.
The country of origin of goods classified in subheadings 6405.20.60,
6406.10.77, 6406.10.90, and 6406.99.15 shall be determined under the
provisions of Sec. 102.21.
6401-6405............. A change to heading 6401 through 6405 from any
other heading outside that group, except from
formed uppers.
6406.10............... A change to subheading 6406.10 from any other
subheading.
6406.20-6406.90....... A change to subheading 6406.20 through 6406.90
from any other chapter.
6505.00............... A change to hair-nets of subheading 6505.00 from
any other subheading.
6506.................. A change to heading 6506 from any other heading,
except from heading 6501 through 6502; or
[[Page 643]]
A change to heading 6506 from heading 6501 by
means of a blocking process; or
A change to heading 6506 from heading 6502,
provided that the change is the result of at
least three processing steps (e.g. dyeing,
blocking, trimming, or adding a sweatband).
6507.................. A change to heading 6507 from any other heading.
6602.................. A change to heading 6602 from any other heading.
6603.10............... A change to subheading 6603.10 from any other
heading.
6603.20............... A change to subheading 6603.20 from any other
heading; or
A change to subheading 6603.20 from subheading
6603.90, except when that change is pursuant to
General Rule of Interpretation 2(a).
6603.90............... A change to subheading 6603.90 from any other
heading.
6701.................. A change to heading 6701 from any other heading;
or
A change to articles of feather or down of
heading 6701 from feathers or down.
6702-6704............. A change to heading 6702 through 6704 from any
other heading, including another heading within
that group.
------------------------------------------------------------------------
(l) Section XIII: Chapters 68 through 70
------------------------------------------------------------------------
6801-6808............. A change to heading 6801 through 6808 from any
other heading, including another heading within
that group.
6809.11............... A change to subheading 6809.11 from any other
heading.
6809.19............... A change to subheading 6809.19 from any other
heading.
6809.90............... A change to subheading 6809.90 from any other
subheading.
6810.11-6810.19....... A change to subheading 6810.11 through 6810.19
from any other heading.
6810.91............... A change to subheading 6810.91 from any other
subheading.
6810.99............... A change to subheading 6810.99 from any other
heading.
6811.40............... A change to subheading 6811.40 from any other
heading.
6811.81............... A change to subheading 6811.81 from any other
heading.
6811.82............... A change to subheading 6811.82 from any other
heading.
6811.89............... A change to subheading 6811.89 from any other
heading.
6812.80............... A change to clothing, clothing accessories,
footwear or headgear of subheading 6812.80 or
from any other good of subheading 6812.80 or
from any other subheading, except from
subheading 6812.91; or
A change to paper, millboard or felt of
subheading 6812.80 from any other subheading or
from any other good of subheading 6812.80,
except from compressed asbestos fiber jointing
of subheading 6812.80 or from subheading
6812.92 through 6812.93; or
A change to compressed asbestos fiber jointing,
in sheets or rolls, of subheading 6812.80 from
any other subheading or from any other good of
subheading 6812.80, except from paper,
millboard or felt of subheading 6812.80 or from
subheading 6812.92 through 6812.93; or
A change to other fabricated asbestos fibers,
mixtures with a basis of asbestos and magnesium
carbonate, or to articles of such mixtures or
of asbestos, whether or not reinforced, other
than goods of heading 6811 or 6813 from any
other heading; or
A change to yarn or thread of subheading 6812.80
from any other subheading including from any
other good of subheading 6812.80; or
A change to cords or string, whether or not
plaited, of subheading 6812.80 from any other
subheading or from any other good of subheading
6812.80, except from yarn or thread of
subheading 6812.80; or
A change to woven or knitted fabric of
subheading 6812.80 from any other subheading
including from any other good of subheading
6812.80.
6812.91............... A change to subheading 6812.91 from any other
subheading, except from other clothing,
clothing accessories or headgear of subheading
6812.80.
6812.92-6812.93....... A change to subheading 6812.92 through 6812.93
from any subheading outside that group, except
from subheading 6812.80.
A change to subheading 6812.99 from any other
heading; or
6812.99............... A change to yarn or thread of subheading 6812.99
from any other subheading including from any
other good of subheading 6812.99; or
A change to cords or string, whether or not
plaited of subheading 6812.99 from any other
subheading or from any other good of subheading
6812.99, except from yarn or thread of
subheading 6812.99; or
A change to woven or knitted fabric of
subheading 6812.99 from any other subheading
including from any other good of subheading
6812.99.
6813.................. A change to heading 6813 from any other heading.
6814.10............... A change to subheading 6814.10 from any other
heading.
6814.90............... A change to subheading 6814.90 from any other
heading.
6815.10-6815.99....... A change to subheading 6815.10 through 6815.99
from any other subheading, including another
subheading within that group.
6901-6914............. A change to heading 6901 through 6914 from any
other chapter.
Chapter 70 Note: The country of origin of goods classified in
subheadings 7019.19.15 and 7019.19.28 shall be determined under the
provisions of Sec. 102.21.
7001.................. A change to heading 7001 from any other heading.
7002.................. A change to heading 7002 from any other heading.
7003-7006............. A change to heading 7003 through 7006 from any
other heading outside that group.
7007.................. A change to heading 7007 from any other heading.
7008.................. A change to heading 7008 from any other heading.
7009.10............... A change to subheading 7009.10 from any other
subheading.
[[Page 644]]
7009.91-7009.92....... A change to subheading 7009.91 through 7009.92
from any other heading.
7010.................. A change to heading 7010 from any other heading.
7011.................. A change to heading 7011 from any other heading,
except from subheading 7003.30.
7013-7018............. A change to heading 7013 through 7018 from any
other heading, including another heading within
that group; or
A change from uncut and unpolished glassware
blanks classified in heading 7013 to cut and
polished glassware classified in heading 7013,
provided that there has been a substantial
amount of both cutting and polishing operations
in a single country.
7019.11-7019.19....... A change to subheading 7019.11 through 7019.19
from any other heading.
7019.31-7019.32....... A change to subheading 7019.31 through 7019.32
from any other subheading outside that group.
7019.39............... A change to subheading 7019.39 from any other
subheading.
7019.40-7019.59....... A change to subheading 7019.40 through 7019.59
from any other subheading outside that group.
7019.90............... A change to subheading 7019.90 from any other
heading.
7020.................. A change to glass inners for vacuum flasks or
for other vacuum vessels of heading 7020 from
any other good of heading 7020 or from any
other heading; or
A change to any other good of heading 7020 from
any other heading, except from heading 7010
through 7018.
------------------------------------------------------------------------
(m) Section XIV: Chapter 71
------------------------------------------------------------------------
7101.................. A change to heading 7101 from any other heading,
except from heading 0307.
7102-7103............. A change to heading 7102 through 7103 from any
other chapter.
7104-7105............. A change to heading 7104 through 7105 from any
other heading, including another heading within
that group.
7106.................. A change to heading 7106 from any other chapter.
7107.................. A change to heading 7107 from any other chapter,
except from Chapter 72 through 76 or Chapter 78
through 83.
7108.................. A change to heading 7108 from any other chapter.
7109.................. A change to heading 7109 from any other chapter,
except from Chapter 72 through 76 or Chapter 78
through 83.
7110.................. A change to heading 7110 from any other chapter.
7111.................. A change to heading 7111 from any other chapter,
except from Chapter 72 through 76 or Chapter 78
through 83.
7112.................. A change to heading 7112 from any other heading.
7113.11-7115.90....... A change to subheading 7113.11 through 7115.90
from any other subheading, including another
subheading within that group.
7116.................. A change to heading 7116 from any other heading,
except that pearls strung but without the
addition of clasps or other ornamental features
of precious metals or stones, shall have the
origin of the pearls.
7117-7118............. A change to heading 7117 through 7118 from any
other heading, including another heading within
that group.
------------------------------------------------------------------------
(n) Section XV: Chapters 72 through 83
------------------------------------------------------------------------
Chapter 72 Note: Notwithstanding the specific rules of this chapter,
hot-rolled flat-rolled steel which is cold-reduced (by cold rolling)
shall be treated as a good of the country in which the cold-rolled steel
is produced.
7201-7206............. A change to heading 7201 through 7206 from any
other heading, including another heading within
that group.
7207.................. A change to heading 7207 from any other heading,
except from heading 7206.
7208.................. A change to heading 7208 from any other heading.
7209.................. A change to heading 7209 from any other heading,
except from heading 7208 or 7211.
7210.................. A change to heading 7210 from any other heading,
except from heading 7208 through 7212.
7211.................. A change to heading 7211 from any other heading,
except from heading 7208 through 7209.
7212.................. A change to heading 7212 from any other heading,
except from heading 7208 through 7211.
7213.................. A change to heading 7213 from any other heading.
7214.................. A change to heading 7214 from any other heading,
except from heading 7213.
7215.................. A change to heading 7215 from any other heading,
except from heading 7213 through 7214.
7216.................. A change to heading 7216 from any other heading,
except from heading 7208 through 7215.
7217.................. A change to heading 7217 from any other heading,
except from heading 7213 through 7215.
7218.................. A change to heading 7218 from any other heading.
7219-7220............. A change to heading 7219 through 7220 from any
other heading outside that group.
7221-7222............. A change to heading 7221 through 7222 from any
other heading outside that group.
7223.................. A change to heading 7223 from any other heading,
except from heading 7221 through 7222.
7224.................. A change to heading 7224 from any other heading.
7225-7226............. A change to heading 7225 through 7226 from any
other heading outside that group.
7227-7228............. A change to heading 7227 through 7228 from any
other heading outside that group.
7229.................. A change to heading 7229 from any other heading,
except from heading 7227 through 7228.
7301-7307............. A change to heading 7301 through 7307 from any
other heading, including another heading within
that group, or a change within heading 7307
from fitting forgings or flange forgings to
fittings or flanges made ready for commercial
use by:
(a) At least one of the following processes:
(1) Beveling;
(2) Threading of the bore;
(3) Center or step boring; and
[[Page 645]]
(b) At least two of the following processes:
(1) Heat treating;
(2) Recoining or resizing;
(3) Taper boring;
(4) Machining ends or surfaces other than a
gasket face;
(5) Drilling bolt holes; or
(6) Burring or shot blasting.
7308.................. A change to heading 7308 from any other heading,
except for changes resulting from the following
processes performed on angles, shapes, or
sections classified in heading 7216:
(a) drilling, punching, notching, cutting,
cambering, or sweeping, whether performed
individually or in combination;
(b) adding attachments or weldments for
composite construction;
(c) adding attachments for handling purposes;
(d) adding weldments, connectors or attachments
to H-sections or I-sections; provided that the
maximum dimension of the weldments, connectors,
or attachments is not greater than the
dimension between the inner surfaces of the
flanges of the H-sections or I-sections;
(e) painting, galvanizing, or otherwise coating;
or
(f) adding a simple base plate without
stiffening elements, individually or in
combination with drilling, punching, notching,
or cutting, to create an article suitable as a
column.
7309-7314............. A change to heading 7309 through 7314 from any
other heading, including another heading within
that group.
7315.11-7315.12....... A change to subheading 7315.11 through 7315.12
from any other heading; or
A change to subheading 7315.11 through 7315.12
from subheading 7315.19 or 7315.90, except when
that change is pursuant to General Rule of
Interpretation 2(a).
7315.19............... A change to subheading 7315.19 from any other
subheading.
7315.20-7315.89....... A change to subheading 7315.20 through 7315.89
from any other heading; or
A change to subheading 7315.20 through 7315.89
from subheading 7315.90, except when that
change is pursuant to General Rule of
Interpretation 2(a).
7315.90............... A change to subheading 7315.90 from any other
subheading.
7316.................. A change to heading 7316 from any other heading,
except from heading 7312 or 7315.
7317-7318............. A change to heading 7317 through 7318 from any
other heading, including another heading within
that group.
7319.................. A change to heading 7319 from any other heading.
7320.................. A change to heading 7320 from any other heading.
7321.11-7321.89....... A change to subheading 7321.11 through 7321.89
from any other heading; or
A change to subheading 7321.11 through 7321.89
from subheading 7321.90, except when that
change is pursuant to General Rule of
Interpretation 2(a).
7321.90............... A change to subheading 7321.90 from any other
heading.
7322-7323............. A change to heading 7322 through 7323 from any
other heading, including another heading within
that group.
7324.10-7324.29....... A change to subheading 7324.10 through 7324.29
from any other subheading, including another
subheading within that group.
7324.90............... A change to subheading 7324.90 from any other
subheading.
7325-7326............. A change to heading 7325 through 7326 from any
other heading, including another heading within
that group.
7401-7407............. A change to heading 7401 through 7407 from any
other heading, including another heading within
that group.
7408.................. A change to heading 7408 from any other heading,
except from heading 7407.
7409.................. A change to heading 7409 from any other heading.
7410.................. A change to heading 7410 from any other heading,
except from plate, sheet, or strip classified
in heading 7409 of a thickness less than 5mm.
7411-7418............. A change to cooking or heating apparatus of a
kind used for domestic purposes, non-electric
and parts thereof, of copper, of subheading
7418.10 from any other good of subheading
7418.10 or from any other subheading; or
A change to any other good of subheading 7418.10
from cooking or heating apparatus of a kind
used for domestic purposes, non-electric and
parts thereof, of copper, of subheading 7418.10
or from any other subheading; or
A change to any other good of heading 7411
through 7418 from any other heading, including
another heading within that group.
7501.................. A change to heading 7501 from any other heading.
7502.................. A change to heading 7502 from any other heading.
7503.................. A change to heading 7503 from any other heading.
7504.................. A change to heading 7504 from any other heading.
7505.................. A change to heading 7505 from any other heading.
7506.................. A change to heading 7506 from any other heading;
or
A change to foil, not exceeding 0.15 mm in
thickness, from any other good of heading 7506,
provided that there has been a reduction in
thickness of no less than 50 percent.
7507.11-7508.90....... A change to subheading 7507.11 through 7508.90
from any other subheading, including another
subheading within that group.
7601-7604............. A change to heading 7601 through 7604 from any
other heading, including another heading within
that group.
7605.................. A change to heading 7605 from any other heading,
except from heading 7604.
7606-7615............. A change to heading 7606 through 7615 from any
other heading, including another heading within
that group.
[[Page 646]]
7616.10-7616.99....... A change to subheading 7616.10 through 7616.99
from any other subheading, including another
subheading within that group.
7801-7802............. A change to heading 7801 through 7802 from any
other heading, including another heading within
that group.
7804.11-7804.20....... A change to subheading 7804.11 through 7804.20
from any other subheading, including another
subheading within that group; or
A change to any of the following goods
classified in subheading 7804.11 through
7804.20, including from materials also
classified in subheading 7804.11 through
7804.20: powder except from flakes; flakes
except from powder; plates except from sheets
or strip; sheets except from plate or strip;
strip except from sheets or plate.
7806.................. A change to any of the following goods
classified in heading 7806 from materials also
classified in heading 7806: tubes except from
pipes; pipes except from tubes; tube or pipe
fittings except from tubes or pipes; cables/
stranded wire/plaited bands; or
A change to lead bars, rods, profiles, or wire
of heading 7806 from any other good of heading
7806 or from any other heading; or
A change to any other good of heading 7806 from
lead bars, rods, profiles, or wire of heading
7806 or from any other heading.
7901-7905............. A change to any of the following goods
classified in heading 7901 through 7905,
including from materials also classified in
heading 7901 through 7905: Matte; unwrought;
powder, except from flakes; flakes except from
powder; bars except from rods or profiles; rods
except from bars or profiles; profiles except
from rods or bars; wire except from rod; plates
except from sheets or strip; sheets except from
plate or strip; strip except from sheets or
plate; foil except from sheet or strip; or
A change to any other good of heading 7901
through 7905 from any other heading, including
another heading within that group.
7907.................. A change to any of the following goods
classified in heading 7907 from materials also
classified in heading 7907: tubes except from
pipes; pipes except from tubes; tube or pipe
fittings except from tubes or pipes; or
A change to tubes, pipes and tube or pipe
fittings of heading 7907 from any other good of
heading 7907; or
A change to any other good of heading 7907 from
tubes, pipes or tube or pipe fittings of
heading 7907 or from any other heading.
8001.................. A change to heading 8001 from any other heading.
8002-8003............. A change to any of the following goods
classified in heading 8002 through 8003, from
materials also classified in heading 8002
through 8003: Bars except from rods or
profiles; rods except from bars or profiles;
profiles except from rods or bars; wire except
from rod; or
A change to heading 8002 through 8003 from any
other heading, including another heading within
that group.
8007.................. A change to any of the following goods
classified in heading 8007 from other materials
also classified in heading 8007: Tubes except
from pipes; pipes except from tubes; tube or
pipe fittings except from tubes or pipes;
cables/stranded wire/ plaited bands; plates
except from sheets or strip; sheets except from
plate or strip; strip except from sheet or
plate; or
A change to any of the following goods
classified in heading 8007 from other materials
also classified in heading 8007: foil from
powder or flakes; powder from foil; flakes from
foil; or
A change to foil, powder or flakes from any
other good of heading 8007 or from any other
heading; or
A change to plates, sheet or strip from any
other good of heading 8007 or from any other
heading; or
A change to any other good of heading 8007 from
plates, sheet, strip, foil, powder or flakes of
heading 8007 or from any other heading.
Chapter 81 Note: Waste and scrap are products of the country in which
they are collected.
8101.10-8101.94....... A change to subheading 8101.10 through 8101.94
from any other subheading, including another
subheading within that group; or
A change to any of the following goods
classified in subheading 8101.10 through
8101.94 from materials also classified in
subheading 8101.10 through 8101.94: Matte;
unwrought.
8101.96............... A change to subheading 8101.96 from any other
subheading, except from bars and rods, other
than those obtained by simple sintering,
profiles, plates, sheets, strip or foil of
subheading 8101.99.
8101.99............... A change to any of the following goods
classified in subheading 8101.99, including
from materials also classified in subheading
8101.99: Tubes except from pipes; pipes except
from tube; tube or pipe fittings except from
tubes or pipes; cables/stranded wire/ plaited
bands; bars, other than those obtained simply
by sintering, except from rods, other than
those obtained simply by sintering, or
profiles; rods, other than those obtained
simply by sintering, except from bars, other
than those obtained simply by sintering, or
profiles; profiles except from rods or bars,
other than those obtained simply by sintering;
plates except from sheets or strip; sheets
except from plate or strip; strip except from
sheets or plate; foil except from sheet or
strip; or
A change to any other good of subheading 8101.99
from bars or rods, other than those obtained
simply by sintering, profiles, plates, sheet,
strip or foil or from any other subheading.
8102.10-8102.95....... A change to subheading 8102.10 through 8102.95
from any other subheading, including another
subheading within that group; or
A change to any of the following goods
classified in subheading 8102.10 through
8102.95, including from materials also
classified in subheading 8102.10 through
8102.95: Matte; unwrought; bars except from
rods or profiles; rods except from bars or
profiles; profiles except from rods or bars;
plates except from sheets or strip; sheets
except from plate or strip; strip except from
sheets or plate; foil except from sheet or
strip.
8102.96............... A change to subheading 8102.96 from any other
subheading, except from subheading 8102.95.
8102.99............... A change to subheading 8102.99 from any other
subheading.
[[Page 647]]
8103.20-8113.00....... A change to germanium of subheading 8112.92
through 8112.99 from any other good of
subheading 8112.92 through 8112.99 or from any
other subheading; or
A change to vanadium of subheading 8112.92
through 8112.99 from any other good of
subheading 8112.92 through 8112.99 or from any
other subheading; or
A change to any other good of subheading 8112.92
through 8112.99 from germanium or vanadium of
subheading 8112.92 through 8112.99 or from any
other subheading; or
A change to any of the following goods
classified in subheading 8103.20 through
8113.00, including from materials also
classified in subheading 8103.20 through
8113.00: Matte; unwrought; powder except from
flakes; flakes except from powder; bars except
from rods or profiles; rods except from bars or
profiles; profiles except from rods or bars;
wire except from rod; plates except from sheets
or strip; sheets except from plate or strip;
strip except from sheets or plate; foil except
from sheet or strip; tubes except from pipes;
pipes except from tubes; tube or pipe fittings
except from tubes or pipes; cables/stranded
wire/plaited bands; or
A change to any other good of subheading 8103.20
through 8113.00 from any other subheading,
including another subheading within that group.
8201.10-8202.40....... A change to subheading 8201.10 through 8202.40
from any other subheading, including another
subheading within that group.
8202.91............... A change to subheading 8202.91 from any other
subheading, except from subheading 8202.99.
8202.99............... A change to subheading 8202.99 from any other
heading.
8203.10-8207.90....... A change to subheading 8203.10 through 8207.90
from any other subheading, including another
subheading within that group.
8208-8215............. A change to heading 8208 through 8215 from any
other heading, including another heading within
that group.
8301.10-8301.50....... A change to subheading 8301.10 through 8301.50
from any other subheading, including another
subheading within that group, except from
subheading 8301.60 when that change is pursuant
to General Rule of Interpretation 2(a).
8301.60-8301.70....... A change to subheading 8301.60 through 8301.70
from any other chapter.
8302.10-8302.60....... A change to subheading 8302.10 through 8302.60
from any other subheading, including another
subheading within that group.
8303-8304............. A change to heading 8303 through 8304 from any
other heading, including another heading within
that group.
8305.10-8305.90....... A change to subheading 8305.10 through 8305.90
from any other subheading, including another
subheading within that group.
8306-8307............. A change to heading 8306 through 8307 from any
other heading, including another heading within
that group.
8308.10-8308.90....... A change to subheading 8308.10 through 8308.90
from any other subheading, including another
subheading within that group.
8309-8310............. A change to heading 8309 through 8310 from any
other heading, including another heading within
that group.
8311.10-8311.90....... A change to subheading 8311.10 through 8311.90
from any other subheading, including another
subheading within that group.
------------------------------------------------------------------------
(o) Section XVI: Chapters 84 through 85
------------------------------------------------------------------------
8401.10............... A change to subheading 8401.10 from any other
subheading.
8401.20............... A change to subheading 8401.20 from any other
subheading; or
A change to completed machinery and apparatus
classified in subheading 8401.20 from parts
classified in subheading 8401.20.
8401.30............... A change to subheading 8401.30 from any other
subheading.
8401.40............... A change to subheading 8401.40 from any other
heading.
8402.11-8402.12....... A change to subheading 8402.11 through 8402.12
from any other subheading outside that group.
8402.19-8402.20....... A change to subheading 8402.19 through 8402.20
from any other subheading, including another
subheading within that group.
8402.90............... A change to subheading 8402.90 from any other
heading, except from heading 7303, 7304, 7305,
or 7306 unless the change from these headings
involves bending to shape.
8403.10............... A change to subheading 8403.10 from any other
subheading.
8403.90............... A change to subheading 8403.90 from any other
heading.
8404.10-8404.20....... A change to subheading 8404.10 through 8404.20
from any other subheading, including another
subheading within that group.
8404.90............... A change to subheading 8404.90 from any other
heading.
8405.10............... A change to subheading 8405.10 from any other
subheading.
8405.90............... A change to subheading 8405.90 from any other
heading.
8406.10............... A change to subheading 8406.10 from any other
subheading.
8406.81-8406.82....... A change to subheading 8406.81 through 8406.82
from any other subheading outside that group.
8406.90............... A change to subheading 8406.90 from any other
heading.
8407.................. A change to heading 8407 from any other heading.
8408.................. A change to heading 8408 from any other heading.
8409.10............... A change to subheading 8409.10 from any other
heading.
8409.91-8409.99....... A change to subheading 8409.91 through 8409.99
from any other heading, except a change
resulting from a simple assembly.
8410.11-8410.13....... A change to subheading 8410.11 through 8410.13
from any other subheading outside that group.
8410.90............... A change to subheading 8410.90 from any other
heading.
8411.11-8411.82....... A change to subheading 8411.11 through 8411.82
from any other subheading outside that group.
8411.91-8411.99....... A change to subheading 8411.91 through 8411.99
from any other heading.
[[Page 648]]
8412.10-8412.80....... A change to subheading 8412.10 through 8412.80
from any other subheading, including another
subheading within that group.
8412.90............... A change to subheading 8412.90 from any other
heading.
8413.11-8413.82....... A change to subheading 8413.11 through 8413.82
from any other subheading, including another
subheading within that group.
8413.91............... A change to subheading 8413.91 from any other
heading.
8413.92............... A change to subheading 8413.92 from any other
heading.
8414.10-8414.80....... A change to subheading 8414.10 through 8414.80
from any other subheading, including another
subheading within that group.
8414.90............... A change to subheading 8414.90 from any other
heading.
8415.10-8415.83....... A change to subheading 8415.10 through 8415.83
from any subheading, including another
subheading within that group, except a change
within that group resulting from a simple
assembly.
8415.90............... A change to subheading 8415.90 from any other
subheading, except from heading 7411, 7608,
8414, 8501, or 8535 through 8537 when resulting
from a simple assembly.
8416.10-8416.30....... A change to subheading 8416.10 through 8416.30
from any other subheading, including another
subheading within that group.
8416.90............... A change to subheading 8416.90 from any other
heading.
8417.10-8417.80....... A change to subheading 8417.10 through 8417.80
from any other subheading, including another
subheading within that group.
8417.90............... A change to subheading 8417.90 from any other
heading.
8418.10-8418.91....... A change to absorption-type electrical
refrigerators of subheading 8418.29 from any
other good of subheading 8418.29 or from any
other subheading; or
A change to any other good of subheading 8418.29
from absorption-type electrical refrigerators
of subheading 8418.29 or from any other
subheading; or
A change to heat pumps of subheading 8418.61
from any other subheading, except from
compression type units whose condensers are
heat exchangers of subheading 8418.69; or
A change to compression type units of subheading
8418.69 from any other subheading, except from
heat pumps of subheading 8418.61 or from any
other good of subheading 8418.69; or
A change to other refrigerating or freezing
equipment of subheading 8418.69 from any other
subheading, except from heat pumps of
subheading 8418.61; or
A change to any other good of subheading 8418.69
from compression type units of subheading
8418.69 or from any other subheading; or
A change to any other good of subheading 8418.10
through 8418.91 from any other subheading,
including another subheading within that group.
8418.99............... A change to subheading 8418.99 from any other
heading, except from heading 7303, 7304, 7305,
or 7306 unless the change from these headings
involves bending to shape.
8419.11-8419.89....... A change to subheading 8419.11 through 8419.89
from any other subheading, including another
subheading within that group.
8419.90............... A change to subheading 8419.90 from any other
heading, except from heading 7303, 7304, 7305,
or 7306 unless the change from these headings
involves bending to shape, and except from
heading 8501 when resulting from a simple
assembly.
8420.10............... A change to subheading 8420.10 from any other
subheading.
8420.91............... A change to subheading 8420.91 from any other
heading.
8420.99............... A change to subheading 8420.99 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8421.11-8421.39....... A change to subheading 8421.11 through 8421.39
from any other subheading, including another
subheading within that group.
8421.91............... A change to subheading 8421.91 from any other
heading.
8421.99............... A change to subheading 8421.99 from any other
heading.
8422.11-8422.40....... A change to subheading 8422.11 through 8422.40
from any other subheading, including another
subheading within that group.
8422.90............... A change to subheading 8422.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8423.10-8423.89....... A change to subheading 8423.10 through 8423.89
from any other subheading, including another
subheading within that group.
8423.90............... A change to subheading 8423.90 from any other
heading.
8424.10-8424.89....... A change to subheading 8424.10 through 8424.89
from any other subheading, including another
subheading within that group.
8424.90............... A change to subheading 8424.90 from any other
heading, except from subheading 8414.40 or
8414.80.
8425.11-8430.69....... A change to pit-head winding gears or to winches
specially designed for use underground of
subheading 8425.31 through 8425.39 from any
other good of subheading 8425.31 through
8425.39 or from any other subheading; or
A change to any other good of subheading 8425.31
through 8425.39 from pit-head winding gears or
to winches specially designed for use
underground of subheading 8425.31 through
8425.39 from any other good of subheading
8425.31 through 8425.39 or from any other
subheading; or
A change to mine wagon pushers, locomotive or
wagon traversers, wagon tippers and similar
railway wagon handling equipment of subheading
8428.90 from any other good of subheading
8428.90 or from any other subheading; or
A change to any other good of subheading 8428.90
from mine wagon pushers, locomotive or wagon
traversers, wagon tippers and similar railway
wagon handing equipment of subheading 8428.90
or from any other subheading; or
[[Page 649]]
A change to any other good of subheading 8425.11
through 8430.69 from any other subheading,
including another subheading within that group,
except for a change to subheading 8428.90 from
passenger boarding bridges of subheadings
8479.71 or 8479.79.
8431.................. A change to heading 8431 from any other heading,
except from heading 8501 when resulting from a
simple assembly.
8432.10-8432.80....... A change to subheading 8432.10 through 8432.80
from any other subheading, including another
subheading within that group.
8432.90............... A change to subheading 8432.90 from any other
heading.
8433.11-8433.60....... A change to subheading 8433.11 through 8433.60
from any other subheading, including another
subheading within that group.
8433.90............... A change to subheading 8433.90 from any other
heading, except from heading 8407 or 8408 when
resulting from a simple assembly.
8434.10-8434.20....... A change to subheading 8434.10 through 8434.20
from any other subheading, including another
subheading within that group.
8434.90............... A change to subheading 8434.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8435.10............... A change to subheading 8435.10 from any other
subheading.
8435.90............... A change to subheading 8435.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8436.10-8436.80....... A change to subheading 8436.10 through 8436.80
from any other subheading, including another
subheading within that group.
8436.91............... A change to subheading 8436.91 from any other
heading.
8436.99............... A change to subheading 8436.99 from any other
heading, except from heading 8407, 8408, or
8501 when resulting from a simple assembly.
8437.10-8437.80....... A change to subheading 8437.10 through 8437.80
from any other subheading, including another
subheading within that group.
8437.90............... A change to subheading 8437.90 from any other
heading, except from heading 8407, 8408, or
8501 when resulting from a simple assembly.
8438.10-8438.80....... A change to subheading 8438.10 through 8438.80
from any other subheading, including another
subheading within that group.
8438.90............... A change to subheading 8438.90 from any other
heading, except from heading 8407, 8408, or
8501 when resulting from a simple assembly.
8439.10-8439.30....... A change to subheading 8439.10 through 8439.30
from any other subheading, including another
subheading within that group.
8439.91............... A change to subheading 8439.91 from any other
heading, except from heading 8407, 8408, or
8501 when resulting from a simple assembly.
8439.99............... A change to subheading 8439.99 from any other
heading, except from heading 8407, 8408, or
8501 when resulting from a simple assembly.
8440.10............... A change to subheading 8440.10 from any other
subheading.
8440.90............... A change to subheading 8440.90 from any other
heading, except from heading 8407, 8408, or
8501 when resulting from a simple assembly.
8441.10-8441.80....... A change to subheading 8441.10 through 8441.80
from any other subheading, including another
subheading within that group.
8441.90............... A change to subheading 8441.90 from any other
heading, except from heading 8407, 8408, or
8501 when resulting from a simple assembly.
8442.30............... A change to subheading 8442.30 from any other
subheading.
8442.40............... A change to subheading 8442.40 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8442.50............... A change to subheading 8442.50 from any other
heading.
8443.11-8443.39....... A change to printing machinery of subheading
8443.11 through 8443.19 from any other
subheading outside that group, except from
machines for uses ancillary to printing of
subheading 8443.91; or
A change to printer units of ADP machines of
subheading 8443.31 through 8443.32 from any
other good of subheading 8443.31 through
8443.32 or from any other subheading, except
from parts and accessories suitable for use
solely or principally with the machines of
subheading 8443.31 through 8443.32 of
subheading 8443.99 when that change is the
result of simple assembly, or from subheading
8504.90 or heading 8473, when that change is
the result of simple assembly, and except from
other units of ADP machines of subheading
8517.62 through 8517.69 or heading 8528, or
from subheading 8471.60 through 8472.90; or
A change to facsimile machines of subheading
8443.31 through 8443.32 from any other good of
subheading 8443.31 through 8443.32 or from any
other subheading, except from teleprinters of
subheading 8443.32, or from subheading 8443.99
or 8517.70 when the change is the result of a
simple assembly, or from subheading 8517.11
through 8517.69; or
A change to teleprinters of subheading 8443.32
from any other good of subheading 8443.32 or
from any other subheading, except from
facsimile machines of subheading 8443.31
through 8443.32, and except from subheading
8443.99 or 8517.70 when the change is the
result of a simple assembly , or from
subheading 8517.11 through 8517.69; or
A change to printing machines of subheading
8443.39 from any other subheading, except from
subheading 8443.11 through 8443.39, or from
machines for uses ancillary to printing of
subheading 8443.91; or
A change to electrostatic photocopying apparatus
of subheading 8443.39 from any other good of
subheading 8443.39 or from any other
subheading; or
A change to other photocopying apparatus of
subheading 8443.39 from any other good of
subheading 8443.39 or from any other
subheading; or
[[Page 650]]
A change to thermo-copying apparatus of
subheading 8443.39 from any other good of
subheading 8443.39 or from any other
subheading.
8443.91............... A change to machines for uses ancillary to
printing from any other good of subheading
8443.91 or from any other subheading, except
subheading 8443.11 through 8443.19; or
A change to any other good from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8443.99............... A change to accessory or auxiliary machines
which are intended for attachment to an
electrostatic photocopier and which do not
operate independently of such photocopier from
any other good of subheading 8443.99, provided
that change is not the result of a simple
assembly, or from any other subheading, except
from subheading 8443.31 through 8443.32,
8471.60 through 8472.90, 8504.90 or from
heading 8473 or from other units of ADP
machines of subheading 8517.62 through 8517.69
or heading 8528 when that change is the result
of a simple assembly; or
A change to parts or accessories of printers of
subheading 8443.31 or 8443.32 from any other
heading except from heading 8414, 8501, 8504,
8534, 8541, or 8542 when resulting from a
simple assembly, or from heading 8473 or
subheading 8517.70; or
A change to parts of facsimile machines from any
other good of subheading 8443.99 or from any
other subheading, except from parts for
teleprinters, including teletypewriters, of
subheading 8443.99 or from heading 8517; or
A change to parts for teleprinters, including
teletypewriters, from any other good of
subheading 8443.99 or any other subheading,
except from parts of facsimile machines of
subheading 8443.99 or from heading 8517; or
A change to parts or accessories of photocopying
apparatus incorporating an optical system or of
the contact type or to thermocopying apparatus
from any other good of subheading 8443.99 or
from any other subheading.
8444.................. A change to heading 8444 from any other heading.
8445.11-8447.90....... A change to subheading 8445.11 through 8447.90
from any other subheading outside that group.
8448.11-8448.19....... A change to subheading 8448.11 through 8448.19
from any other subheading, including another
subheading within that group.
8448.20-8448.59....... A change to subheading 8448.20 through 8448.59
from any other heading, except from heading
8501 when resulting from a simple assembly.
8449.................. A change to heading 8449 from any other heading.
8450.11-8450.20....... A change to subheading 8450.11 through 8450.20
from any other subheading, including another
subheading within that group.
8450.90............... A change to subheading 8450.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8451.10-8451.80....... A change to subheading 8451.10 through 8451.80
from any other subheading, including another
subheading within that group.
8451.90............... A change to subheading 8451.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8452.10-8452.29....... A change to subheading 8452.10 through 8452.29
from any other subheading outside that group.
8452.30............... A change to subheading 8452.30 from any other
subheading.
8452.90............... A change to goods of subheading 8452.90, other
than a change to furniture, bases and covers
for sewing machines, and parts thereof, from
any other heading, except from heading 8501
when resulting from a simple assembly; or
A change to furniture, bases and covers for
sewing machines, and parts thereof from any
other good of 8452.90 or from any other
subheading.
8453.10-8453.80....... A change to subheading 8453.10 through 8453.80
from any other subheading, including another
subheading within that group.
8453.90............... A change to subheading 8453.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8454.10-8454.30....... A change to subheading 8454.10 through 8454.30
from any other subheading, including another
subheading within that group.
8454.90............... A change to subheading 8454.90 from any other
heading.
8455.10-8455.22....... A change to subheading 8455.10 through 8455.22
from any other subheading, including another
subheading within that group.
8455.30............... A change to subheading 8455.30 from any other
heading.
8455.90............... A change to subheading 8455.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8456.10-8456.90....... A change to subheading 8456.10 through 8456.90
from any other heading, other than a change to
water-jet cutting machines of subheading
8456.90, except from machine-tools for dry-
etching patterns on semiconductor materials of
subheading 8486.20; or
A change to water-jet cutting machines of
subheading 8456.90 from any other good of
subheading 8456.90 or from any other
subheading, except from subheading 8479.89 or
from subheading 8486.10 through 8486.40.
8457.10............... A change to subheading 8457.10 from any other
heading, except from heading 8458 through 8465
when resulting from a simple assembly.
8457.20-8465.99....... A change to subheading 8457.20 through 8465.99
from any other heading, including another
heading within that group.
8466.10-8466.94....... A change to subheading 8466.10 through 8466.94,
other than a change to parts of water-jet
cutting machines of subheading 8466.93, from
any other heading outside that group, except
from heading 8501 when resulting from a simple
assembly; or
A change to parts of water-jet cutting machines
of subheading 8466.93 from any other good of
heading 8466 or from any other heading, except
from heading 8479 or from heading 8501 when
resulting from a simple assembly.
[[Page 651]]
8467.11-8467.89....... A change to subheading 8467.11 through 8467.89
from any other subheading, including another
subheading within that group.
8467.91-8467.99....... A change to subheading 8467.91 through 8467.99
from any other heading, except from heading
8407, or except from heading 8501 when
resulting from a simple assembly.
8468.10-8468.80....... A change to subheading 8468.10 through 8468.80
from any other subheading, including another
subheading within that group.
8468.90............... A change to subheading 8468.90 from any other
heading.
8469.00............... A change to word-processing machines of heading
8469 from any other good of heading 8469 or
from any other subheading, except from
automatic typewriters of heading 8469; or
A change to automatic typewriters of heading
8469 from any other good of heading 8469 or
from any other subheading, except from word-
processing machines of heading 8469; or
A change to other electric typewriters of
heading 8469 from any other good of heading
8469 or from any other subheading, except from
other non-electric typewriters of heading 8469;
or
A change to other non-electric typewriters of
heading 8469 from any other good of heading
8469 or from any other subheading, except from
other electric typewriters of heading 8469.
8470.10-8471.50....... A change to accounting machines of subheading
8470.90 from any other good of subheading
8470.90, provided that the change is not the
result of a simple assembly; or
A change to any other good of subheading 8470.90
from accounting machines of subheading 8470.90,
provided that the change is not the result of a
simple assembly; or
A change to analog or hybrid automatic data
processing machines of subheading 8471.30
through 8471.50 from any other good of
subheading 8471.30 through 8471.50, provided
that the change is not the result of a simple
assembly; or
A change to any other good of subheading 8471.30
through 8471.50 from analog or hybrid automatic
data processing machines of subheading 8471.30
through 8471.50, provided that the change is
not the result of a simple assembly; or
A change to subheading 8470.10 through 8471.50
from any subheading within that group or from
heading 8473, provided that the change is not
the result of a simple assembly; or
A change to subheading 8470.10 through 8471.50
from any other subheading outside that group,
except from heading 8473.
8471.60-8472.90....... A change to addressing machines or address plate
embossing machines of subheading 8472.90 from
any other good of subheading 8472.90, provided
that the change is not the result of simple
assembly; or
A change to any other good of subheading 8472.90
from addressing machines and address plate
embossing machines of subheading 8472.90,
provided that the change is not the result of
simple assembly; or
A change to subheading 8471.60 through 8472.90
from any other subheading outside that group,
except from subheading 8504.40 or from heading
8473; or
A change to subheading 8471.60 through 8472.90
from any other subheading within that group or
from subheading 8504.90 or from heading 8473,
provided that the change is not the result of
simple assembly.
8473.................. A change to heading 8473 from any other heading,
except from heading 8414, 8501, 8504, 8534,
8541, or 8542 when resulting from a simple
assembly.
8474.10-8474.80....... A change to subheading 8474.10 through 8474.80
from any other subheading outside that group,
except from heading 8501; or
A change to subheading 8474.10 through 8474.80
from any other subheading within that group or
from heading 8501, provided that the change is
not the result of a simple assembly.
8474.90............... A change to subheading 8474.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8475.10............... A change to subheading 8475.10 from any other
subheading.
8475.21-8475.29....... A change to subheading 8475.21 through 8475.29
from any other subheading outside that group.
8475.90............... A change to subheading 8475.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8476.21-8476.89....... A change to subheading 8476.21 through 8476.89
from any other subheading outside that group.
8476.90............... A change to subheading 8476.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8477.10-8477.80....... A change to subheading 8477.10 through 8477.80
from any other subheading, including another
subheading within that group.
8477.90............... A change to subheading 8477.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8478.10............... A change to subheading 8478.10 from any other
subheading.
8478.90............... A change to subheading 8478.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8479.10-8479.89....... A change to subheading 8479.10 through 8479.89,
other than a change to passenger boarding
bridges of subheading 8479.71 or 8479.79, from
any other subheading, including another
subheading within that group, except from
subheading 8486.10 through 8486.40 and except
for a change to 8479.89 from water-jet cutting
machines of 8456.90; or
A change to passenger boarding bridges of
subheading 8479.71 or 8479.79 from any other
subheading.
8479.90............... A change to subheading 8479.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly and except
from parts of water-jet cutting machines of
heading 8466.
8480.................. A change to heading 8480 from any other heading.
8481.10-8481.80....... A change to subheading 8481.10 through 8481.80
from any other heading, or from subheading
8481.90 except when resulting from a simple
assembly.
8481.90............... A change to subheading 8481.90 from any other
heading.
[[Page 652]]
8482.10-8482.80....... A change to subheading 8482.10 through 8482.80
from any other heading; or
A change to subheading 8482.10 through 8482.80
from any other subheading, including another
subheading within that group, except from inner
or outer races or rings classified in
subheading 8482.99.05, 8482.99.15, or
8482.99.25.
8482.91-8482.99....... A change to subheading 8482.91 through 8482.99
from any other heading.
8483.10............... A change to subheading 8483.10 from any other
subheading.
8483.20............... A change to subheading 8483.20 from any other
subheading, except from subheading 8482.10
through 8482.80.
8483.30-8483.60....... A change to subheading 8483.30 through 8483.60
from any other subheading, including another
subheading within that group.
8483.90............... A change to subheading 8483.90 from any other
heading.
8484.10-8484.90....... A change to subheading 8484.10 through 8484.90
from any other subheading, including another
subheading within that group.
8486.10-8486.40....... A change to other machine-tools for working any
material by removal of material, by electro-
chemical, electron beam, ionic-beam or plasma
arc process of subheading 8486.10 from any
other good of subheading 8486.10 or from any
other subheading, except from other machine-
tools for working any material by removal of
material, by electro-chemical, electron beam,
ionic-beam or plasma arc process of subheading
8486.40, or from subheading 8456.90; or
A change to sawing machines of subheading
8486.10 from any other good of subheading
8486.10 or from any other subheading, except
from subheading 8464.10; or
A change to steam or sand blasting machines and
similar jet projecting machines of subheading
8486.20 from any other good of subheading
8486.20 or from any other subheading, except
from steam or sand blasting machines and
similar jet projecting machines of subheading
8424.30 or 8486.40; or
A change to ion implanters designed for doping
semiconductor materials of subheading 8486.20
from any other good of subheading 8486.20 or
from any other subheading, except from ion
implanters designed for doping semiconductor
materials of subheading 8543.10; or
A change to other machine tools for dry-etching
patterns on semiconductor materials of
subheading 8486.20 from any other good of
subheading 8486.20 or from any other
subheading, except from heading 8456; or
A change to direct write-on-wafer apparatus of
subheading 8486.20 from any other good of
subheading 8486.20 or from any other
subheading, except from step or repeat aligners
or other apparatus for the projection or
drawing of circuit patterns on sensitized
semiconductor materials of subheading 8486.20
or from subheading 9010.50; or
A change to step aligners of subheading 8486.20
from any other good of subheading 8486.20 or
from any other subheading, except from direct
write-on-wafer apparatus, repeat aligners, or
other apparatus for the projection or drawing
of circuit patterns on sensitized semiconductor
materials of subheading 8486.20 or from
subheading 9010.50; or
A change to repeat aligners of subheading
8486.20 from any other good of subheading
8486.20 or from any other subheading, except
from direct write-on-wafer apparatus, step
aligners, or other apparatus for the projection
or drawing of circuit patterns on sensitized
semiconductor materials of subheading 8486.20
or from subheading 9010.50; or
A change to other apparatus for the projection
or drawing of circuit patterns on sensitized
semiconductor materials of subheading 8486.20
from any other good of subheading 8486.20 or
from any other subheading, except from direct
write-on-wafer apparatus, step or repeat
aligners of subheading 8486.20 or from
subheading 9010.50; or
A change to centrifuges of subheading 8486.10
through 8486.20 from any other good of
subheading 8486.10 through 8486.20 or from any
other subheading, except from subheading
8421.19; or
A change to machine tools operated by laser or
other light or photon beam process of
subheading 8486.10 through 8486.20 from any
other good of subheading 8486.10 through
8486.20 or from any other subheading, except
from subheading 8456.10; or
A change to grinding or polishing machines of
subheading 8486.10 through 8486.20 from any
other good of subheading 8486.10 through
8486.20 or from any other subheading, except
from subheading 8464.20; or
A change to other electrical machines or
apparatus, having individual functions, of
subheading 8486.10 through 8486.20 from any
other good of subheading 8486.10 through
8486.20 or from any other subheading, except
from other electrical machines or apparatus of
subheading 8486.10 through 8486.20, 8486.90,
8543.70, 8542.31 through 8542.39, and except
from proximity cards or tags of subheading
8523.52; or
A change to other furnaces or ovens of
subheading 8486.10 through 8486.20 from any
other good of subheading 8486.10 through
8486.20 or from any other subheading, except
from subheading 8514.30; or
A change to other machine-tools for working
stone, ceramics or like mineral materials or
for cold working glass of subheading 8486.10
through 8486.30 from any other good of
subheading 8486.10 through 8486.30 or from any
other subheading, except from other machine-
tools for working stone, ceramics or like
mineral materials or for cold working glass of
subheading 8486.10 through 8486.30, or from
subheading 8464.90; or
A change to other mechanical appliances for
projecting, dispersing or spraying liquids or
powders of subheading 8486.10 through 8486.30
from any other good of subheading 8486.10
through 8486.30 or from any other subheading,
except from subheading 8424.89; or
A change to steam or sand blasting machines or
similar jet projecting machines of subheading
8486.40 from any other good of subheading
8486.40 or from any other subheading, except
from steam or sand blasting machines and
similar jet projecting machines of subheading
8424.30 or 8486.20; or
[[Page 653]]
A change to pneumatic elevators or conveyors of
subheading 8486.40 from any other good of
subheading 8486.40 or from other subheading,
except from subheading 8428.20; or
A change to other belt type continuous-action
elevators or conveyors for goods or materials
of subheading 8486.40 from any other good of
subheading 8486.40 or from any other
subheading, except from subheading 8428.33; or
A change to other continuous-action elevators or
conveyors for goods or materials of subheading
8486.40 from any other good of subheading
8486.40 or from any other subheading, except
from subheading 8428.39; or
A change to other lifting, handling, loading or
unloading machinery of subheading 8486.40 from
any other good of subheading 8486.40 or from
any other subheading, except from subheading
8428.90; or
A change to other machine-tools for working any
material by removal of material, by electro-
chemical, electron beam, ionic-beam or plasma
arc process of subheading 8486.40 from any
other good of subheading 8486.40 or from any
other subheading, except from other machine-
tools for working any material by removal of
material, by electro-chemical, electron beam,
ionic-beam or plasma arc process of subheading
8486.10, or from subheading 8456.90; or
A change to numerically controlled bending,
folding, straightening or flattening machines
of subheading 8486.40 from any other good of
subheading 8486.40 or from any other
subheading, except from subheading 8462.21; or
A change to other bending, folding,
straightening or flattening machines of
subheading 8486.40 from any other good of
subheading 8486.40 or from any other
subheading, except from subheading 8462.29; or
A change to other machines for working hard
materials of subheading 8486.40 from any other
good of subheading 8486.40 or from any other
subheading, except from subheading 8465.99; or
A change to injection-molding machines of
subheading 8486.40 from any other good of
subheading 8486.40 or from any other subheading
except from subheading 8477.10; or
A change to vacuum molding machines or other
thermoforming machines of subheading 8486.40
from any other good of subheading 8486.40 or
from any other subheading, except from
subheading 8477.40; or
A change to other machinery for molding or
otherwise forming of subheading 8486.40 from
any other good of subheading 8486.40 or from
any other subheading, except from subheading
8477.59; or
A change to parts of welding machines or of
electric machines and apparatus for hot
spraying of metals or cermets of subheading
8486.40 from any other good of subheading
8486.40 or from any other subheading, except
from subheading 8515.90; or
A change to pattern generating apparatus
designed to produce masks or reticles from
photoresist coated substrates of subheading
8486.40 from any other good of subheading
8486.40 or from any other subheading, except
from subheading 9017.20; or
A change to die attach apparatus, tape automated
bonders or wire bonders for assembly of
semiconductors of subheading 8486.40 from any
other good of subheading 8486.40 or from any
other subheading, except from subheading
8515.11 through 8515.80; or
A change to deflash machines for cleaning and
removing contaminants from the metal leads of
semiconductor packages prior to the
electroplating process (deflash by chemical
bath) of subheading 8486.40 from any other good
of subheading 8486.40 or from any other
subheading, except from subheading 8465.99; or
A change to other machines or mechanical
appliances of subheading 8486.10 through
8486.40 from any other good of subheading
8486.10 through 8486.40 or from any other
subheading, except from other machines or
mechanical appliances of subheading 8486.10
through 8486.40, 8479.89, 8508.11 through
8508.19 or 8508.60.
8486.90............... A change to parts or accessories of drawing,
marking-out or mathematical calculating
instruments or to instruments for measuring
length, for use in the hand, of subheading
8486.90 from any other good of subheading
8486.90 or from any other subheading, except
from heading 9017; or
A change to parts or accessories of apparatus
for the projection or drawing of circuit
patterns on sensitized semiconductor materials
or of other apparatus or equipment for
photographic laboratories or negatoscopes of
subheading 8486.90 from any other good of
subheading 8486.90 or from any other
subheading, except from heading 9010; or
A change to parts of electrical machines or
apparatus, having individual functions, of
subheading 8486.90 from any other good of
subheading 8486.90 or from any other
subheading, except from heading 8543; or
A change to parts of machinery for working
rubber or plastics or for the manufacture of
products from these materials of subheading
8486.90 from any other good of subheading
8486.90 or from any other subheading, except
from other parts of machinery for working
rubber or plastics or for the manufacture of
products from these materials of subheading
8486.90, or from subheading 8477.90, and except
from heading 8501 when resulting from a simple
assembly; or
A change to tool holders or to self-opening
dieheads of subheading 8486.90 from any other
good of subheading 8486.90 or from any other
subheading, except from subheading 8466.10
through 8466.94, work holders, dividing heads
or other special attachments of subheading
8486.90, and except from heading 8501 when
resulting from simple assembly; or
A change to work holders of subheading 8486.90
from any other good of subheading 8486.90,
except from tool holders, dividing heads or
other special attachments of subheading
8486.90, or from any other subheading, except
from subheading 8466.10 through 8466.94, and
except from heading 8501 when resulting from
simple assembly; or
[[Page 654]]
A change to dividing heads or to other special
attachments for machine tools of subheading
8486.90 from any other good of subheading
8486.90, except from tool holders or work
holders of subheading 8486.90, or from any
other subheading, except from subheading
8466.10 through 8466.94, and except from
heading 8501 when resulting from simple
assembly; or
A change to parts or accessories for machine
tools for working stone, ceramics, concrete,
asbestos-cement or like minerals or for cold
working glass of subheading 8486.90 from any
other good of subheading 8486.90, except from
parts or accessories of:
Machine-tools for working any
material by the removal of material, by laser or
other light or photon beam, ultrasonic, electro-
discharge, electro-chemical, electron beam,
ionic-beam or plasma arc processes, or
Machine-tools for drilling, boring,
milling, threading or tapping by removing metal,
or for deburring, sharpening, grinding, honing,
lapping, polishing or otherwise finishing metal
or cermets by means of grinding stones,
abrasives or polishing products, or
Machine-tools for planing, shaping,
slotting, broaching, gear cutting, gear grinding
or gear finishing, sawing, cutting-off, or for
working by removing metal or cermets, or
Machine-tools for working metal by
bending, folding, straightening, flattening
sheathing, punching or notching (including
presses), or
Machine-tools for working metal or
cermets, without removing material, or
Machine-tools for working wood, cork,
bone, hard rubber, hard plastics or similar hard
materials (including machines for nailing,
stapling, gluing or otherwise assembling), or
Machine-tools for working metal by
forging, hammering or die-stamping (including
presses), or
Machining centers, unit construction
machines (single station) or multi-station
transfer machines for working metal, or
Lathes (including turning centers),
for removing metal, or
Presses for metal or working metal
carbides,
of subheading 8486.90, or a change from any
other subheading, except from subheading
8466.10 through 8466.94, and except from
heading 8501 when resulting from simple
assembly; or
A change to parts or accessories of machine
tools (including machines for nailing,
stapling, gluing or otherwise assembling) for
working wood, cork, bone, hard rubber, hard
plastics or similar hard materials of
subheading 8486.90 from any other good of
subheading 8486.90, except from parts or
accessories of:
Machine-tools for working any
material by the removal of material, by laser or
other light or photon beam, ultrasonic, electro-
discharge, electro-chemical, electron beam,
ionic-beam or plasma arc processes, or
Machine-tools for drilling, boring,
milling, threading or tapping by removing metal,
or
Machine-tools for deburring,
sharpening, grinding, honing, lapping, polishing
or otherwise finishing metal or cermets by means
of grinding stones, abrasives or polishing
products, or
Machine-tools for planing, shaping,
slotting, broaching, gear cutting, gear grinding
or gear finishing, sawing, cutting-off, or for
working by removing metal or cermets, or
Machine-tools for working metal by
forging, hammering or die-stamping (including
presses), or
Machine-tools for working metal by
bending, folding, straightening, flattening
sheathing, punching or notching (including
presses), or
Machine-tools for working metal or
cermets, without removing material, or
Machine-tools for working stone,
ceramics, concrete, asbestos-cement or like
minerals or for cold working glass, or
Machining centers, unit construction
machines (single station) or multi-station
transfer machines for working metal, or
Lathes (including turning centers),
for removing metal, or of presses for working
metal or metal carbides,
of subheading 8486.90, or a change from any
other subheading, except from subheading
8466.10 through 8466.94, and except from
heading 8501 when resulting from simple
assembly; or
A change to parts or accessories of machine-
tools for working any material by the removal
of material, by laser or other light or photon
beam, ultrasonic, electro-discharge, electro-
chemical, electron beam, ionic-beam or plasma
arc processes, or for drilling, boring,
milling, threading or tapping by removing
metal, or for deburring, sharpening, grinding,
honing, lapping, polishing or otherwise
finishing metal or cermets by means of grinding
stones, abrasives or polishing products, or for
planing, shaping, slotting, broaching, gear
cutting, gear grinding or gear finishing,
sawing, cutting-off, or for working by removing
metal or cermets, or to parts and accessories
of machining centers, unit construction
machines (single station) or multi-station
transfer machines for working metal, or of
lathes (including turning centers), for
removing metal, of subheading 8486.90 from any
other good of subheading 8486.90 except from
parts or accessories of:
Machine-tools for working metal by
forging, hammering or die-stamping, or
Machine-tools for working metal by
bending, folding, straightening, flattening
sheathing, punching or notching (including
presses), or
Machine-tools for working metal or
cermets, without removing material, or
Machine-tools for working stone,
ceramics, concrete, asbestos-cement or like
minerals or for cold working glass, or for
working wood, cork, bone, hard rubber, hard
plastics or similar hard materials (including
machines for nailing, stapling, gluing or
otherwise assembling), or
Presses for working metal or metal
carbides,
of subheading 8486.90, or a change from any
other subheading, except from subheading
8466.10 through 8466.94, and except from
heading 8501 when resulting from simple
assembly; or
[[Page 655]]
A change to parts or accessories of machine
tools (including presses) for working metal by
forging, hammering or die-stamping, or for
working metal by bending, folding,
straightening, flattening sheathing, punching
or notching (including presses), or for working
metal or cermets, without removing material or
to parts or accessories of presses for working
metal carbide of subheading 8486.90 from any
other good of subheading 8486.90, except from
parts or accessories of:
Machine-tools for working any
material by the removal of material, by laser or
other light or photon beam, ultrasonic, electro-
discharge, electro-chemical, electron beam,
ionic-beam or plasma arc processes, or
Machine-tools for drilling, boring,
milling, threading or tapping by removing metal,
or
Machine-tools for deburring,
sharpening, grinding, honing, lapping, polishing
or otherwise finishing metal or cermets by means
of grinding stones, abrasives or polishing
products, or
Machine-tools for planing, shaping,
slotting, broaching, gear cutting, gear grinding
or gear finishing, sawing, cutting-off, or
Machine-tools for working by removing
metal or cermets, or
Machine-tools for working stone,
ceramics, concrete, asbestos-cement or like
minerals or for cold working glass, or
Machine-tools for working wood, cork,
bone, hard rubber, hard plastics or similar hard
materials (including machines for nailing,
stapling, gluing or otherwise assembling), or
Machining centers, unit construction
machines (single station) or multi-station
transfer machines for working metal, or
Lathes (including turning centers),
for removing metal,
of subheading 8486.90, or a change from any
other subheading, except from subheading
8466.10 through 8466.94, and except from
heading 8501 when resulting from simple
assembly; or
A change to parts suitable for use solely or
principally with lifting, handling, loading or
unloading machinery from any other good of
subheading 8486.90 or from any other
subheading, except from subheading 8431.39 and
except from heading 8501 when resulting from
simple assembly.
8487.................. A change to heading 8487 from any other heading.
8501.................. A change to heading 8501 from any other heading.
8502.................. A change to heading 8502 from any other heading.
8503.................. A change to heading 8503 from any other heading.
8504.10-8504.50....... A change to subheading 8504.10 through 8504.50
from any other subheading outside that group.
8504.90............... A change to subheading 8504.90 from any other
heading.
8505.11-8505.20....... A change to subheading 8505.11 through 8505.20
from any other subheading, including another
subheading within that group.
8505.90............... A change to electro-magnetic lifting heads of
subheading 8505.90 from any other subheading or
from any other good of subheading 8505.90; or
A change to any other good of subheading 8505.90
from any other heading.
8506.10............... A change to subheading 8506.10 from any other
subheading; or
A change to a primary cell or battery of
maganese dioxide of an external volume not
exceeding 300 cm\3\ of subheading 8506.10 from
any other good of subheading 8506.10; or
A change to a primary cell or battery of
maganese dioxide of an external volume
exceeding 300 cm\3\ of subheading 8506.10 from
any other good of subheading 8506.10.
8506.30............... A change to subheading 8506.30 from any other
subheading; or
A change to a primary cell or battery of
mercuric oxide of an external volume not
exceeding 300 cm\3\ of subheading 8506.30 from
any other good of subheading 8506.30; or
A change to a primary cell or battery of
mercuric oxide of an external volume exceeding
300 cm\3\ of subheading 8506.30 from any other
good of subheading 8506.30.
8506.40............... A change to subheading 8506.40 from any other
subheading; or
A change to a primary cell or battery of silver
oxide of an external volume not exceeding 300
cm\3\ of subheading 8506.40 from any other good
of subheading 8506.40; or
A change to a primary cell or battery of silver
oxide of an external volume exceeding 300 cm\3\
of subheading 8506.40 from any other good of
subheading 8506.40.
8506.50-8506.80....... A change to subheading 8506.50 through 8506.80
from any other subheading outside that group;
or
A change to a primary cell or battery of an
external volume not exceeding 300 cm\3\ of
subheading 8506.50 through 8506.80 from any
other good of subheading 8506.50 through
8506.80; or
A change to a primary cell or battery of an
external volume exceeding 300 cm\3\ of
subheading 8506.50 through 8506.80 from any
other good of subheading 8506.50 through
8506.80.
8506.90............... A change to subheading 8506.90 from any other
heading.
8507.10-8507.80....... A change to subheading 8507.10 through 8507.80
from any other subheading, including another
subheading within that group, except for a
change to subheading 8507.80 from subheading
8507.50 or 8507.60.
8507.90............... A change to subheading 8507.90 from any other
heading.
8508.11-8508.60....... A change to subheading 8508.11 through 8508.60
from any other subheading, including another
subheading within that group.
8508.70............... A change to subheading 8508.70 from any other
heading, except from heading 8501 when
resulting from simple assembly.
8509.40-8509.80....... A change to floor polishers or to kitchen waste
disposers of subheading 8509.80 from any other
good of subheading 8509.80 or from any other
subheading; or
A change to any other good of subheading 8509.80
from floor polishers or from kitchen waste
disposers of subheading 8509.80 or from any
other subheading; or
A change to any other good of subheading 8509.40
through 8509.80 from any other subheading,
including another subheading within that group.
8509.90............... A change to subheading 8509.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
[[Page 656]]
8510.10-8510.30....... A change to subheading 8510.10 through 8510.30
from any other subheading, including another
subheading within that group.
8510.90............... A change to subheading 8510.90 from any other
heading, except from heading 8501 when
resulting from a simple assembly.
8511.10-8511.80....... A change to subheading 8511.10 through 8511.80
from any other subheading, including another
subheading within that group.
8511.90............... A change to subheading 8511.90 from any other
heading.
8512.10-8512.30....... A change to subheading 8512.10 through 8512.30
from any other subheading outside that group.
8512.40............... A change to subheading 8512.40 from any other
subheading, except from subheading 8512.90 or
heading 8501 when resulting from a simple
assembly.
8512.90............... A change to subheading 8512.90 from any other
heading.
8513.10............... A change to subheading 8513.10 from any other
subheading.
8513.90............... A change to subheading 8513.90 from any other
heading.
8514.10-8514.40....... A change to subheading 8514.10 through 8514.40
from any other subheading, including another
subheading within that group.
8514.90............... A change to subheading 8514.90 from any other
heading.
8515.11-8515.80....... A change to subheading 8515.11 through 8515.80
from any other subheading outside that group.
8515.90............... A change to subheading 8515.90 from any other
heading.
8516.10-8516.79....... A change to subheading 8516.10 through 8516.79
from any other subheading, including another
subheading within that group.
8516.80............... A change to subheading 8516.80 from any other
heading.
8516.90............... A change to subheading 8516.90 from any other
heading.
8517.11-8517.69....... A change to subheading 8517.12 from any other
subheading, except from other transceivers,
other transmission apparatus or other
transmission apparatus incorporating reception
apparatus for radiotelephony or radiotelegraphy
of subheading 8517.61 through 8517.69, or
8525.50 through 8525.60; or
A change to other transmission apparatus for
radiotelephony or radiotelegraphy or to other
transmission apparatus incorporating reception
apparatus for radiotelephony or radiotelegraphy
of subheading 8517.61 through 8517.69 from any
other good of subheading 8517.61 through
8517.69 or from any other subheading, except
from subheading 8517.12, other transmission
apparatus for radiotelephony or radiotelegraphy
or from other transmission apparatus
incorporating reception apparatus for
radiotelephony or radiotelegraphy of subheading
8517.61 through 8517.69, or 8525.50 through
8525.60; or
A change to other units of automatic data
processing machines of subheading 8517.62
through 8517.69 from any other good of
subheading 8517.62 through 8517.69 or from any
other subheading, except from subheading
8504.90 or from heading 8473 or subheading
8517.70 when the change is the result of simple
assembly; or
A change to reception apparatus for
radiotelephony or radiotelegraphy of subheading
8517.69 from any other good of subheading
8517.69 or from any other subheading, except
from subheading 8527.99, or
A change to any other good of subheading 8517.11
through 8517.69 from any other subheading
outside that group, except from facsimile
machines or teleprinters of subheading 8443.31
through 8443.32, and except from subheading
8443.99 or 8517.70 when that change is the
result of simple assembly.
8517.70............... A change to parts or accessories of the machines
of heading 8471 not incorporating a cathode ray
tube from any other good of heading subheading
8517.70 or from any other subheading, except
from heading 8414, 8501, 8504, 8534, 8541, or
8542 when resulting from a simple assembly, and
except from heading 8473 or subheading 8443.99;
or
A change to antennas or antenna reflectors of a
kind suitable for use with apparatus for
radiotelephony or radiotelegraphy or to other
parts suitable for use solely or principally
with apparatus for radiotelephony or
radiotelegraphy from any other good of
subheading 8517.70 or from any other
subheading, except from heading 8529; or
A change to any other good of subheading 8517.70
from parts or accessories of the machines of
heading 8471 not incorporating a cathode ray
tube, or from antennas or antenna reflectors of
a kind suitable for use with apparatus for
radiotelephony or radiotelegraphy, or from
other parts suitable for use solely or
principally with the apparatus for
radiotelephony or radiotelegraphy of subheading
8517.70, or from any other heading.
8518.10-8518.50....... A change to subheading 8518.10 through 8518.50
from any other heading.
8518.90............... A change to subheading 8518.90 from any other
heading.
8519.20-8519.30....... A change to coin-or disc-operated record-players
of subheading 8519.20 from any other subheading
or from any other good of subheading 8519.20;
or
A change to turntables (record-decks) of
subheading 8519.30 from any other subheading or
from other turntables of subheading 8519.30; or
A change to any other good of subheading 8519.20
through 8519.30 from any other subheading,
including another subheading within that group.
8519.50............... A change to subheading 8519.50 from any other
subheading.
8519.81............... A change to transcribing machines from any other
subheading or from any other good of subheading
8519.81; or
A change to pocket-size cassette-players from
any other subheading or from any other goods of
subheading 8519.81, except from other cassette-
type sound reproducing apparatus; or
A change to other cassette-type sound
reproducing apparatus from any other subheading
or from any other goods of subheading 8519.81,
except from pocket-size cassette players; or
[[Page 657]]
A change to digital audio type magnetic tape
recorders incorporating sound reproducing
apparatus from any other subheading or from any
other good of subheading 8519.81, except from
other cassette-type magnetic tape recorders
incorporating sound reproducing apparatus of
subheading 8519.81; or
A change to other cassette-type magnetic tape
recorders incorporating sound reproducing
apparatus from any other subheading or from any
other good of subheading 8519.81, except from
digital audio type magnetic tape recorders
incorporating sound reproducing apparatus of
subheading 8519.81; or
A change to any other good of subheading 8519.81
from any other subheading or from any other
good of subheading 8519.81.
8519.89............... A change to other sound reproducing apparatus
from any other subheading or from any other
good of subheading 8519.89, except from other
sound reproducing apparatus of subheading
8519.89; or
A change to any other good of subheading 8519.89
from any other good of subheading 8519.89 or
from any other subheading.
8519.92-8519.93....... A change to subheading 8519.92 through 8519.93
from any other subheading outside that group.
8519.99............... A change to subheading 8519.99 from any other
subheading.
8521.10-8521.90....... A change to subheading 8521.10 through 8521.90
from any other subheading, including another
subheading within that group.
8522.................. A change to heading 8522 from any other heading.
8523.................. A change to cards incorporating an electronic
integrated circuit (``smart'' cards) of
subheading 8523.52 from any other subheading;
or
A change to proximity tags of subheading 8523.52
from any other subheading or from any other
good of heading 8523, except from subheading
8543.70; or
A change to prepared unrecorded media for sound
recording or similar recording or other
phenomena, other than products of chapter 37,
from records, tapes and other recorded media
for sound or other similarly recorded
phenomena, excluding products of chapter 37, or
from any other heading; or
A change to records, tapes and other recorded
media for sound or other similarly recorded
phenomenon, excluding products of chapter 37,
from prepared unrecorded media for sound
recording or similar recoding or other
phenomena, other than products of chapter 37.
8525.50-8525.60....... A change to subheading 8525.50 through 8525.60
from any other subheading outside that group,
except from subheading 8517.12, and 8517.61
through 8517.69.
8525.80............... A change to subheading 8525.80 from any other
subheading or from any other good of subheading
8525.80, except a change to video camera
recorders from television cameras.
8526.10-8526.92....... A change to subheading 8526.10 through 8526.92
from any other subheading, including another
subheading within that group.
8527.12-8527.13....... A change to subheading 8527.12 through 8527.13
from any other subheading outside that group.
8527.19-8527.99....... A change to other radio broadcast receivers of
subheading 8527.99 from any other good of
subheading 8527.99 or from any other
subheading; or
A change to any other good of subheading 8527.99
from radio broadcast receivers of subheading
8527.99 or from any other subheading; or
A change to any other good of subheading 8527.19
through 8527.99 from any other subheading,
including another subheading within that group.
8528.41............... A change to display units from any other
subheading, except from subheading 8471.60 or
8504.40, or from heading 8473 when the change
is the result of a simple assembly.
8528.49............... A change to color video monitors from any other
good of subheading 8528.49 or from any other
subheading, except from subheading 8540.11
through 8540.12; or
A change to black and white or other monochrome
video monitors from any other good of
subheading 8528.49 or from any other
subheading, except from subheading 8540.11
through 8540.12.
8528.51............... A change to display units from any other
subheading, except from subheading 8471.60 or
8504.40, or from heading 8473 when the change
is the result of a simple assembly.
8528.59............... A change to color video monitors from any other
good of subheading 8528.59 or from any other
subheading, except from subheading 8540.11
through 8540.12; or
A change to black and white or other monochrome
video monitors from any other good of
subheading 8528.59 or from any other
subheading, except from subheading 8540.11
through 8540.12.
8528.61............... A change to display units from any other
subheading, except from subheading 8471.60 or
8504.40, or from heading 8473 when the change
is the result of a simple assembly.
8528.69-8528.73....... A change to subheading 8528.69 through 8528.73
from any other subheading, including another
subheading within that group, except from
subheading 8540.11 through 8540.12.
8529.................. A change to heading 8529 from any other heading.
8530.10-8530.80....... A change to subheading 8530.10 through 8530.80
from any other subheading, including another
subheading within that group.
8530.90............... A change to subheading 8530.90 from any other
heading.
8531.10-8531.80....... A change to subheading 8531.10 through 8531.80
from any other subheading, including another
subheading within that group, except from
subheading 8531.90 when resulting from a simple
assembly.
8531.90............... A change to subheading 8531.90 from any other
heading.
8532.10-8532.30....... A change to subheading 8532.10 through 8532.30
from any other subheading, including another
subheading within that group.
8532.90............... A change to subheading 8532.90 from any other
heading.
8533.10-8533.40....... A change to subheading 8533.10 through 8533.40
from any other subheading, including another
subheading within that group.
8533.90............... A change to subheading 8533.90 from any other
heading.
8534.................. A change to heading 8534 from any other heading.
[[Page 658]]
8535.10-8535.90....... A change to subheading 8535.10 through 8535.90
from any other subheading, including another
subheading within that group.
8536.10-8536.90....... A change to other articles of plastics of
subheading 8536.70 from any other good of
subheading 8536.70 or from any other
subheading, except from heading 3926; or
A change to ceramic ferrules, not exceeding 3 mm
in diameter or 25 mm in length, having a fiber
channel opening and/or ceramic mating sleeves
of subheading 8536.70 from any other
subheading, except from heading 6901 through
6914; or
A change to any other good of subheading 8536.10
through 8536.90 from any other subheading,
including another subheading within that group.
8537.................. A change to heading 8537 from any other heading.
8538.................. A change to heading 8538 from any other heading.
8539.10-8539.31....... A change to subheading 8539.10 through 8539.31
from any other subheading, including another
subheading within that group.
8539.32-8539.39....... A change to subheading 8539.32 through 8539.39
from any other subheading outside that group.
8539.41-8539.49....... A change to subheading 8539.41 through 8539.49
from any other subheading outside that group.
8539.90............... A change to subheading 8539.90 from any other
heading.
8540.11-8540.20....... A change to subheading 8540.11 through 8540.20
from any other subheading, including another
subheading within that group.
8540.40-8540.60....... A change to subheading 8540.40 through 8540.60
from any other subheading outside that group.
8540.71-8540.89....... A change to subheading 8540.71 through 8540.89
from any other subheading, including another
subheading within that group.
8540.91-8540.99....... A change to subheading 8540.91 through 8540.99
from any other subheading, including another
subheading within that group, except when
resulting from a simple assembly.
8541-8542............. A change to multichips of subheading 8542.31
through 8542.39 from any other good of
subheading 8542.31 through 8542.39 or from any
other subheading, except from subheading
8523.52 or 8543.70; or
A change to a mounted chip, die or wafer
classified in heading 8541 or 8542 from an
unmounted chip, die, or wafer classified in
heading 8541 or 8542; or
A change to a programmed ``read only memory''
(ROM) chip from an unprogrammed ``programmable
read only memory'' (PROM) chip; or
A change to any other good of heading 8541
through 8542 from any other subheading,
including another subheading within that group.
8543.10............... A change to subheading 8543.10 from any other
subheading, except from ion implanters designed
for doping semiconductor material of subheading
8486.20.
8543.20-8543.30....... A change to subheading 8543.20 through 8543.30
from any other subheading, including another
subheading within that group.
8543.70............... A change to subheading 8543.70 from any other
subheading, except from proximity cards or tags
of subheading 8523.52 and except from other
machines or apparatus of subheading 8486.10
through 8486.20.
8543.90............... A change to subheading 8543.90 from any other
heading, except from parts of subheading
8486.90.
8544.11-8544.70....... A change to subheading 8544.42 from any other
good of subheading 8544.42, except when
resulting from simple assembly; or
A change to subheading 8544.49 from any other
good of subheading 8544.49, except when
resulting from simple assembly; or
A change to subheading 8544.11 through 8544.70
from any other subheading, including another
subheading within that group, except when
resulting from simple assembly.
8545.11-8547.90....... A change to subheading 8545.11 through 8547.90
from any other subheading, including another
subheading within that group.
8548.................. A change to heading 8548 from any other heading.
------------------------------------------------------------------------
(p) Section XVII: Chapters 86 through 89
------------------------------------------------------------------------
8601.................. A change to heading 8601 from any other heading.
8602.................. A change to heading 8602 from any other heading.
8603-8606............. A change to heading 8603 through 8606 from any
other heading, including another heading within
that group, except from heading 8607 when that
change is pursuant to General Rule of
Interpretation 2(a).
8607.11............... A change to subheading 8607.11 from any other
subheading, except from subheading 8607.12, and
except from subheading 8607.19 when that change
is pursuant to General Rule of Interpretation
2(a).
8607.12............... A change to subheading 8607.12 from any other
subheading, except from subheading 8607.11, and
except from subheading 8607.19 when that change
is pursuant to General Rule of Interpretation
2(a).
8607.19............... A change to subheading 8607.19 from any other
subheading.
8607.21-8607.99....... A change to subheading 8607.21 through 8607.99
from any other heading, except to mounted brake
linings and pads of subheading 8607.21 through
8607.99 from subheading 6813.10.
8608.................. A change to heading 8608 from any other heading.
8609.................. A change to heading 8609 from any other heading,
except from heading 7309 through 7311.
8701-8705............. A change to heading 8701 through 8705 from any
other heading, including another heading within
that group, except from heading 8706.
8706.................. A change to heading 8706 from any other heading.
8707.................. A change to heading 8707 from any other heading,
except from subheading 8708.29 when that change
is pursuant to General Rule of Interpretation
2(a).
[[Page 659]]
Note: Any change to heading 8708 from subheading 8709.90, 8716.90,
8431.20, or 8431.49 shall not be considered to satisfy a required change
in tariff classification.
8708.10............... A change to subheading 8708.10 from any other
subheading.
8708.29............... A change to subheading 8708.29 from any other
subheading, except from subheading 8708.95.
8708.30............... A change to mounted brake linings and pads from
any other heading, except from brake linings
and pads of subheading 6813.20 or 6813.81; or
A change to other brakes or servo-brakes or
parts thereof from any other heading.
8708.40............... A change to parts for power trains of subheading
8708.40 from any other good of subheading
8708.40 or from any other subheading, except
from parts or accessories of the goods of
subheading 8708.50, 8708.80 through 8078.92, or
8708.94 through 8708.99; or
A change to any other good of subheading 8708.40
from parts for power trains of subheading
8708.40, except when the change is pursuant to
General Rule of Interpretation 2(a), or from
any other subheading, except from parts or
accessories of the goods of subheading 8708.50,
8708.80 through 8078.92, or 8708.94 through
8708.99, when the change is pursuant to General
Rule of Interpretation 2(a).
8708.50............... A change to non-driving axles or parts thereof
from any other good of subheading 8708.50 or
from any other subheading; or
A change to half-shafts or drive shafts or to
other parts of tractors suitable for
agricultural use, half-shafts or drive shafts
or other parts of tractors (except road
tractors), cast-iron parts, half-shafts or
drive shafts, or to other parts for power
trains from any other good of subheading
8708.50 or from any other subheading, except
from parts or accessories of the goods of
subheading 8708.40, 8708.80 through 8708.92, or
8708.94 through 8708.99; or
A change to any other good of subheading 8708.50
from half-shafts or drive shafts or other parts
of tractors suitable for agricultural use, half-
shafts or drive shafts or other parts of
tractors (except road tractors), cast-iron
parts, half-shafts or drive shafts or from
other parts for power trains of subheading
8708.50, except when the change is pursuant to
General Rule of Interpretation 2(a), or from
non-driving axles and parts thereof of
subheading 8708.50, or from any other
subheading, except from parts or accessories of
subheading 8708.40, 8708.80 through 8708.92, or
8708.94 through 8708.99, when the change is
pursuant to General Rule of Interpretation
2(a).
8708.70............... A change to subheading 8708.70 from any other
subheading.
8708.80............... A change to parts for suspension systems for
tractors suitable for agricultural use, parts
for suspension systems for other tractors
(except road tractors), parts of cast iron, or
to other parts for suspension systems from any
other good of subheading 8708.80 or from any
other subheading, except from parts or
accessories of the goods of subheading 8708.40,
8708.50, 8708.91, 8708.92, or 8708.94 through
8708.99; or
A change to any other good of subheading 8708.80
from parts for suspension systems for tractors
suitable for agricultural use, parts for
suspension systems for other tractors (except
road tractors), parts of cast iron, or from
other parts for suspension systems, except when
the change is pursuant to General Rule of
Interpretation 2(a), or from any other
subheading, except from parts or accessories of
the goods of subheading 8708.40, 8708.50,
8708.91, 8708.92, or 8708.94 through 8708.99,
when the change is pursuant to General Rule of
Interpretation 2(a).
8708.91............... A change to parts of tractors suitable for
agricultural use, parts of other tractors
(except road tractors), parts of cast-iron or
to parts or accessories from any other good of
subheading 8708.91 or from any other
subheading, except from other parts or
accessories of subheading 8708.40, 8708.50,
8708.80, 8708.92, or 8708.94 through 8708.99;
or
A change to any other good of subheading 8708.91
from parts of tractors suitable for
agricultural use, parts of other tractors
(except road tractors), parts of cast-iron or
from parts or accessories of the goods of
subheading 8708.91, when that change is
pursuant to General Rule of Interpretation
2(a), or from any other subheading, except from
parts or accessories of the goods of subheading
8708.40, 8708.50, 8708.80, 8708.92, or 8708.94
through 8708.99, when the change is pursuant to
General Rule of Interpretation 2(a).
8708.92............... A change to parts of tractors suitable for
agricultural use, parts of other tractors
(except road tractors), parts of cast-iron or
to other parts or accessories from any other
good of subheading 8708.92 or from any other
subheading, except from parts or accessories of
the goods of subheading 8708.40, 8708.50,
8708.80, 8708.91, or 8708.94 through 8708.99;
or
A change to any other good of subheading 8708.92
from parts of tractors suitable for
agricultural use, parts of other tractors
(except road tractors), parts of cast-iron or
from other parts or accessories of subheading
8708.92 or from any other subheading.
8708.93............... A change to subheading 8708.93 from any other
subheading.
8708.94............... A change to parts for steering systems of
tractors suitable for agricultural use, parts
for steering systems of other tractors (except
road tractors), parts of cast-iron or to other
parts for steering systems from any other good
of subheading 8708.94 or from any other
subheading, except from parts or accessories of
the goods of subheading 8708.40, 8708.50,
8708.80, 8708.91, 8708.92, or 8708.95 through
8708.99; or
A change to any other good of subheading 8708.94
from parts for steering systems of tractors
suitable for agricultural use, parts for
steering systems of other tractors (except road
tractors), parts of cast-iron or from other
parts for steering systems of subheading
8708.94, except when the change is pursuant to
General Rule of Interpretation 2(a), or from
any other subheading, except from parts or
accessories of the goods of subheading 8708.40,
8708.50, 8708.80, 8708.91, 8708.92, or 8708.95
through 8708.99, when that change is pursuant
to General Rule of Interpretation 2(a).
8708.95............... A change to inflators or modules for airbags
from any other good of subheading 8708.95 or
from any other subheading, except from
subheading 8708.29; or
[[Page 660]]
A change to airbags or to other parts of
tractors suitable for agricultural use, airbags
or to other parts of other tractors (except
road tractors), other airbags, or to other
parts or accessories from inflators or modules
for airbags of subheading 8708.95 or from any
other subheading, except from parts or
accessories of the goods of subheading 8708.40,
8708.50, 8708.80, 8708.91, 8708.92, 8708.94, or
8708.99.
8708.99............... A change to subheading 8708.99 from any other
subheading, except from parts or accessories of
the goods of subheading 8708.40, 8708.50,
8708.80, 8708.91, 8708.92, 8708.94, or 8708.95.
8709.11-8709.19....... A change to subheading 8709.11 through 8709.19
from any other subheading outside that group,
except from subheading 8709.90 when that change
is pursuant to General Rule of Interpretation
2(a).
8709.90............... A change to subheading 8709.90 from any other
heading, except from subheading 8431.20 or
heading 8708.
8710.................. A change to heading 8710 from any other heading.
8711-8713............. A change to heading 8711 through 8713 from any
other heading, including another heading within
that group, except from heading 8714 when that
change is pursuant to General Rule of
Interpretation 2(a).
8714.................. A change to heading 8714 from any other heading,
except from subheading 6813.10 to mounted brake
linings or pads classified in heading 8714.
8715.................. A change to heading 8715 from any other heading.
8716.10-8716.80....... A change to subheading 8716.10 through 8716.80
from any other heading, or from subheading
8716.90 except when that change is pursuant to
General Rule of Interpretation 2(a).
8716.90............... A change to subheading 8716.90 from any other
heading, except from subheading 8709.90 or
8431.49.
8801-8802............. A change to heading 8801 through 8802 from any
other heading outside that group, except from
heading 8803 when that change is pursuant to
General Rule of Interpretation 2(a).
8803.10-8803.90....... A change to subheading 8803.10 through 8803.90
from any other subheading, including another
subheading within that group.
8805.................. A change to heading 8805 from any other heading.
8901-8903............. A change to heading 8901 through 8903 from any
other heading outside that group.
8904.................. A change to heading 8904 from any other heading.
8905.................. A change to heading 8905 from any other chapter.
8906-8907............. A change to heading 8906 through 8907 from any
other heading, including another heading within
that group, except from heading 8903 or 8905.
8908.................. A change to heading 8908 from any other chapter.
------------------------------------------------------------------------
(q) Section XVIII: Chapters 90 through 92
------------------------------------------------------------------------
9001.10............... A change to subheading 9001.10 from any other
subheading, except from subheading 8544.70 or
glass preforms of heading 7002.
9001.20-9001.30....... A change to subheading 9001.20 through 9001.30
from any other subheading, including another
subheading within that group.
9001.40-9001.90....... A change to subheading 9001.40 through 9001.90
from any other subheading, including another
subheading within that group, except from lens
blanks of heading 7014 or subheading 7015.10.
9002.11-9002.90....... A change to subheading 9002.11 through 9002.90
from any other subheading, including another
subheading within that group, except from
subheading 9001.90 or from lens blanks of
heading 7014.
9003.11-9003.19....... A change to subheading 9003.11 through 9003.19
from any other heading; or
A change to subheading 9003.11 through 9003.19
from any other subheading, including another
subheading within that group, except from
subheading 9003.90 if the temples or fronts are
not domestic materials.
9003.90............... A change to subheading 9003.90 from any other
heading.
9004.................. A change to heading 9004 from any other heading,
except from subheading 9001.40 or 9001.50.
9005.10-9005.80....... A change to subheading 9005.10 through 9005.80
from any other subheading, including another
subheading within that group.
9005.90............... A change to subheading 9005.90 from any other
heading, except from heading 9001 or 9002.
9006.10-9006.69....... A change to cameras of a kind used for recording
documents on microfilm, microfiche or other
microforms of subheading 9006.52 through
9006.59 from any other good of subheading
9006.52 through 9006.59 or from any other
subheading; or
A change to any other good of subheading 9006.52
through 9006.59 from cameras of a kind used for
recording documents on microfilm, microfiche or
other microforms of subheading 9006.52 through
9006.59 or from any other subheading; or
A change to flashbulbs, flashcubes or the like
of subheading 9006.69 from any other good of
subheading 9006.69 or from any other
subheading; or
A change to any other good of subheading 9006.10
through 9006.69 from any other subheading,
including another subheading within that group.
9006.91-9006.99....... A change to subheading 9006.91 through 9006.99
from any other heading.
9007.10............... A change to subheading 9007.10 from any other
good of subheading 9007.10 or from any other
subheading.
9007.20............... A change to subheading 9007.20 from any other
subheading; or
A change to a projector for film of less than
16mm width of subheading 9007.20 from any other
projector of subheading 9007.20; or
A change from a projector for film of less than
16mm width of subheading 9007.20 to any other
projector of subheading 9007.20.
9007.91-9007.92....... A change to subheading 9007.91 through 9007.92
from any other heading, except from lenses of
heading 9002 when resulting from a simple
assembly.
[[Page 661]]
9008.50............... A change to subheading 9008.50 from any other
good of subheading 9008.50 or from any other
subheading.
9008.90............... A change to subheading 9008.90 from any other
heading, except from lenses of heading 9002
when resulting from a simple assembly.
9010.10............... A change to subheading 9010.10 from any other
subheading.
9010.50............... A change to subheading 9010.50 from any other
subheading, except from apparatus for the
projection or drawing of circuit patterns on
sensitized semiconductor materials of
subheading 8486.20.
9010.60............... A change to subheading 9010.60 from any other
subheading.
9010.90............... A change to subheading 9010.90 from any other
heading, except from parts of apparatus for the
projection or drawing of circuit patterns on
sensitized semiconductor materials of
subheading 8486.90.
9011.10-9011.80....... A change to subheading 9011.10 through 9011.80
from any other subheading, including another
subheading within that group.
9011.90............... A change to subheading 9011.90 from any other
heading.
9012.10............... A change to subheading 9012.10 from any other
subheading, including another subheading within
that group.
9012.90............... A change to subheading 9012.90 from any other
heading.
9013.10............... A change to subheading 9013.10 from any other
subheading, except from optical telescopes of
subheading 9005.80.
9013.20-9013.80....... A change to subheading 9013.20 through 9013.80
from any other subheading, including another
subheading within that group.
9013.90............... A change to subheading 9013.90 from any other
subheading, except from subheading 9002.19 when
resulting from a simple assembly.
9014.10-9014.80....... A change to subheading 9014.10 through 9014.80
from any other subheading, including another
subheading within that group.
9014.90............... A change to subheading 9014.90 from any other
heading.
9015.10-9015.80....... A change to subheading 9015.10 through 9015.80
from any other subheading, including another
subheading within that group.
9015.90............... A change to subheading 9015.90 from any other
heading.
9016.................. A change to heading 9016 from any other heading.
9017.10-9017.80....... A change to subheading 9017.10 through 9017.80
from any other subheading, including another
subheading within that group.
9017.90............... A change to subheading 9017.90 from any other
heading.
9018.11............... A change to subheading 9018.11 from any other
subheading, except to electro-cardiographs from
printed circuit assemblies when resulting from
a simple assembly.
9018.12-9018.14....... A change to subheading 9018.12 through 9018.14
from any other subheading outside that group,
except from subheading 9018.19.
9018.19............... A change to subheading 9018.19 from any other
subheading, except to patient monitoring
systems from printed circuit assemblies when
resulting from a simple assembly.
9018.20-9018.32....... A change to subheading 9018.20 through 9018.32
from any other subheading, including another
subheading within that group.
9018.39............... A change to subheading 9018.39 from any other
subheading, except from surgical tubing of
subheading 4009.10 when resulting from a simple
assembly.
9018.41-9018.50....... A change to subheading 9018.41 through 9018.50
from any other subheading, including another
subheading within that group.
9018.90............... A change to subheading 9018.90 from any other
subheading, except from subheading 9001.90 or
synthetic rubber classified in heading 4002
when resulting from a simple assembly; or
A change to defibrillators from printed circuit
assemblies, except when resulting from a simple
assembly.
9019.10-9019.20....... A change to subheading 9019.10 through 9019.20
from any other subheading, including another
subheading within that group.
9020.................. A change to heading 9020 from any other heading.
9021.10............... A change to subheading 9021.10 from any other
subheading, except from nails classified in
heading 7317 or screws classified in heading
7318 when resulting from a simple assembly.
9021.21-9021.90....... A change to subheading 9021.21 through 9021.90
from any other subheading, including another
subheading within that group.
9022.12-9022.14....... A change to subheading 9022.12 through 9022.14
from any other subheading outside that group.
9022.19-9022.90....... A change to subheading 9022.19 through 9022.90
from any other subheading, including another
subheading within that group.
9023.................. A change to heading 9023 from any other heading.
9024.10-9024.80....... A change to subheading 9024.10 through 9024.80
from any other subheading, including another
subheading within that group.
9024.90............... A change to subheading 9024.90 from any other
heading.
9025.11-9025.80....... A change to subheading 9025.11 through 9025.80
from any other subheading, including another
subheading within that group.
9025.90............... A change to subheading 9025.90 from any other
heading.
9026.10-9026.80....... A change to subheading 9026.10 through 9026.80
from any other subheading, including another
subheading within that group.
9026.90............... A change to subheading 9026.90 from any other
heading.
9027.10-9027.90....... A change to exposure meters of subheading
9027.50 from any other good of subheading
9027.50 or from any other subheading; or
A change to any other good of subheading 9027.50
from exposure meters of subheading 9027.50; or
A change to any other good of subheading 9027.10
through 9027.90 from any other subheading,
including another subheading within that group.
[[Page 662]]
9028.10-9028.30....... A change to subheading 9028.10 through 9028.30
from any other subheading, including another
subheading within that group.
9028.90............... A change to subheading 9028.90 from any other
heading.
9029.10-9029.20....... A change to subheading 9029.10 through 9029.20
from any other subheading, including another
subheading within that group.
9029.90............... A change to subheading 9029.90 from any other
heading.
9030.10............... A change to subheading 9030.10 from any other
subheading.
9030.20............... A change to cathode ray tube oscilloscopes or
oscillographs of subheading 9030.20 from non-
cathode ray tube oscilloscopes or oscillographs
of subheading 9030.20 or from any other
subheading; or
A change to non-cathode ray tube oscilloscopes
or oscillographs of subheading 9030.20 from
cathode ray tube oscilloscopes or oscillographs
of subheading 9030.20 or from any other
subheading, except from subheading 9030.32,
9030.82, 9030.84, 9030.89, or 9030.90.
9030.31............... A change to subheading 9030.31 from any other
subheading.
9030.32............... A change to subheading 9030.32 from any other
subheading, except from non-cathode ray tube
oscilloscopes or oscillographs of subheading
9030.20, or from subheading 9030.82 or 9030.84.
9030.33............... A change to subheading 9030.33 from any other
subheading, except from subheading 9030.39.
9030.39............... A change to subheading 9030.39 from any other
subheading, except from non-cathode ray tube
oscilloscopes or oscillographs of subheading
9030.20, or from subheading 9030.32, 9030.82,
or 9030.84.
9030.40............... A change to subheading 9030.40 from any other
subheading.
9030.82-9030.84....... A change to subheading 9030.82 through 9030.84
from any other subheading outside that group,
except from other instruments or apparatus with
a recording device of subheading 9030.20,
9030.32 or 9030.39.
9030.89............... A change to subheading 9030.89 from any other
subheading, except from non-cathode ray tube
oscilloscopes or oscillographs of subheading
9030.20 or from subheading 9030.90.
9030.90............... A change to subheading 9030.90 from any other
subheading, except from non-cathode ray tube
oscilloscopes or oscillographs of subheading
9030.20 or from subheading 9030.89.
9031.10-9031.20....... A change to subheading 9031.10 through 9031.20
from any other subheading, including another
subheading within that group.
9031.41-9031.49....... A change to profile projectors of subheading
9031.49 from any other good of subheading
9031.49 or from any other subheading; or
A change to any other good of subheading 9031.49
from a profile projector of subheading 9031.49
or from any other subheading, except from
subheading 9031.41; or
A change to any other good of subheading 9031.41
through 9031.49 from any other subheading
outside that group.
9031.80............... A change to subheading 9031.80 from any other
subheading.
9031.90............... A change to subheading 9031.90 from any other
heading.
9032.10-9032.89....... A change to subheading 9032.10 through 9032.89
from any other subheading, including another
subheading within that group.
9032.90............... A change to subheading 9032.90 from any other
subheading, except from heading 8537 when
resulting from a simple assembly.
9033.................. A change to heading 9033 from any other heading.
Chapter 91 Note: The country of origin of goods classified in
subheading 9113.90.40 shall be determined under the provisions of Sec.
102.21.
9101-9107............. A change to heading 9101 through 9107 from any
other heading outside that group, except from
heading 9108 through 9110; or
A change to heading 9101 through 9107 from
complete movements, unassembled, classified in
subheading 9110.11 or 9110.90, or from rough
movements classified in subheading 9110.19 or
9110.90.
9108-9109............. A change to heading 9108 through 9109 from any
other heading outside that group, except from
heading 9110; or
A change to heading 9108 through 9109 from
complete movements, unassembled, classified in
subheading 9110.11 or 9110.90, or from rough
movements classified in subheading 9110.19 or
9110.90.
9110.................. A change to heading 9110 from any other heading,
except from subheading 9114.90.
9111.10-9111.80....... A change to subheading 9111.10 through 9111.80
from any other subheading outside that group,
except from subheading 9111.90 when that change
is pursuant to General Rule of Interpretation
2(a).
9111.90............... A change to subheading 9111.90 from any other
heading.
9112.20............... A change to subheading 9112.20 from any other
subheading, except from subheading 9112.90 when
that change is pursuant to General Rule of
Interpretation 2(a).
9112.90............... A change to subheading 9112.90 from any other
heading.
9113.................. A change to heading 9113 from any other heading.
9114.................. A change to heading 9114 from any other heading.
9201-9208............. A change to keyboard pipe organs, harmoniums or
other similar keyboard instruments with free
metal reeds of subheading 9205.90 from any
other good of subheading 9205.90 or from any
other subheading, except from heading 9209 when
that change is pursuant to General Rule of
Interpretation 2(a); or
A change to accordions and similar instruments,
or mouth organs of subheading 9205.90 from any
other good of subheading 9205.90 or from any
other subheading, except from heading 9209 when
that change is pursuant to General Rule of
Interpretation 2(a); or
[[Page 663]]
A change to any other good of subheading 9205.90
from keyboard pipe organs, harmoniums and other
similar keyboard instruments with free metal
reeds, accordions and similar instruments, or
mouth organs of subheading 9205.90 or from any
other subheading, except from heading 9209 when
that change is pursuant to General Rule of
Interpretation 2(a); or
A change to any other good of heading 9201
through 9208 from any other heading, including
another heading within that group, except from
heading 9209 when that change is pursuant to
General Rule of Interpretation 2(a).
9209.................. A change to heading 9209 from any other heading.
------------------------------------------------------------------------
(r) Section XIX: Chapter 93
------------------------------------------------------------------------
9301-9304............. A change to heading 9301 through 9304 from any
other heading, including another heading within
that group, except from heading 9305 when that
change is pursuant to General Rule of
Interpretation 2(a).
9305.................. A change to heading 9305 from any other heading.
9306.................. A change to heading 9306 from any other heading.
9307.................. A change to heading 9307 from any other heading.
------------------------------------------------------------------------
(s) Section XX: Chapters 94 through 96
------------------------------------------------------------------------
Chapter 94 Note: For a good classifiable in subheadings 9404.30
through 9404.90 which does not meet the appropriate tariff shift rule
specified for those subheadings, the country of origin is the country
where all cutting and sewing operations required to form the outer shell
were performed. If all cutting and sewing operations required to form
the outer shell were not performed in a single country, the country of
origin will be the single country where the component of the outer shell
which determines the classification of that good was produced. If a
single country did not produce a component of the outer shell which
determines the classification of that good, then the country of origin
will be the country in which the good last underwent a substantial
assembly process. Notwithstanding the foregoing provisions of this Note,
the country of origin of goods classified in subheadings 9404.90.10 and
9404.90.80 through 9404.90.95 shall be determined under the provisions
of Sec. 102.21.
9401.10-9401.80....... A change to subheading 9401.51 through 9401.59
from any subheading outside that group, except
from subheading 9401.10 through 9401.80,
subheading 9403.10 through 9403.89, and except
from subheading 9401.90 or 9403.90 when that
change is pursuant to General Rule of
Interpretation 2(a); or
A change to subheading 9401.10 through 9401.80
from any other subheading outside that group,
except from subheading 9403.10 through 9403.89,
and except from subheading 9401.90 or 9403.90,
when that change is pursuant to General Rule of
Interpretation 2(a).
9401.90............... A change to subheading 9401.90 from any other
heading, except from subheading 9403.90.
9402.................. A change to heading 9402 from any other heading,
except from heading 9401.10 through 9401.80 or
subheading 9403.10 through 9403.89, and except
from subheading 9401.90 or 9403.90 when that
change is pursuant to General Rule of
Interpretation 2(a).
9403.10-9403.89....... A change to subheading 9403.10 through 9403.89
from any other subheading outside that group,
except from subheading 9401.10 through 9403.89,
and except from subheading 9401.90 or 9403.90,
when that change is pursuant to General Rule of
Interpretation 2(a).
9403.90............... A change to subheading 9403.90 from any other
heading, except from subheading 9401.90.
9404.10-9404.29....... A change to subheading 9404.10 through 9404.29
from any other heading.
9404.30-9404.90....... A change to down- and/or feather-filled goods
classified in subheading 9404.30 through
9404.90 from any other heading; or
For all other goods classified in subheading
9404.30 through 9404.90, a change from any
other heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309 through
5311, 5407 through 5408, 5512 through 5516,
5602 through 5603, 5801 through 5804, 5806,
5809 through 5810, 5901, 5903 through 5904,
5906 through 5907, or 6001 through 6006, or
subheading 6307.90.
9405.10-9405.60....... A change to subheading 9405.10 through 9405.60
from any other subheading outside that group,
except from subheading 9405.91 through 9405.99
when that change is pursuant to General Rule of
Interpretation 2(a).
9405.91-9405.99....... A change to subheading 9405.91 through 9405.99
from any other heading.
9406.................. A change to heading 9406 from any other heading.
9503.................. A change to wheeled toys designed to ridden by
children or to dolls' carriages or dolls'
strollers, parts or accessories thereof from
any other chapter, except from heading 8714
when that change is pursuant to General Rule of
Interpretation 2(a); or
A change to dolls, whether or not dressed, from
any other subheading or from any other good of
heading 9503, except from skins for stuffed
dolls of heading 9503; or
A change to parts or accessories of dolls
representing only human beings from any other
heading or from any other good of heading 9503,
except from toys representing animals or non-
human creatures of heading 9503; or
A change to electric trains, including tracks,
signals and other accessories or parts thereof
from any other good of heading 9503 or from any
other subheading; or
A change to reduced-size (``scale'') model
assembly kits, (excluding electric trains) or
to parts or accessories thereof, from any other
good of heading 9503 or from any other
subheading; or
A change to other construction sets and
constructional toys or to parts or accessories
thereof from any other good of heading 9503 or
from any other subheading; or
A change to toys representing animals or non-
human creatures or to parts or accessories
thereof from wheeled toys designed to be ridden
by children, dolls' carriages, or dolls
representing only human beings of heading 9503
or from any other heading; or
[[Page 664]]
A change to toys representing animals or non-
human creatures from parts or accessories of
toys representing animals or non-human
creatures of heading 9503; or
A change to parts or accessories of toys
representing animals or non-human creatures
from wheeled toys designed to be ridden by
children, dolls' carriages, or dolls' strollers
of heading 9503 or from any other heading,
except from heading 6111 or 6209; or
A change to toy musical instruments and
apparatus from any other good of heading 9503
or from any other subheading; or
A change to puzzles from any other good of
heading 9503 or from any other subheading; or
A change to other toys, put up in sets or
outfits, or to other toys and models,
incorporating a motor, or to other toys from
any other chapter.
9504.20-9506.29....... A change to subheading 9504.20 through 9506.29
from any other subheading, including another
subheading within that group.
9506.31............... A change to subheading 9506.31 from any other
subheading, except from subheading 9506.39.
9506.32-9506.99....... A change to subheading 9506.32 through 9506.99
from any other subheading, including another
subheading within that group.
9507.10-9507.30....... A change to subheading 9507.10 through 9507.30
from any other chapter.
9507.90............... A change to subheading 9507.90 from any other
subheading, except from heading 5004 through
5006, 5404, 5406, or 5603, or from subheading
5402.11 through 5402.49.
9508.................. A change to heading 9508 from any other heading.
Chapter 96 Note: The country of origin of goods classified in
subheading 9612.10.9010 shall be determined under the provisions of Sec.
102.21.
9601.................. A change to heading 9601 from any other heading.
9602.................. A change to heading 9602 from any other heading.
9603.................. A change to heading 9603 from any other heading.
9604-9605............. A change to heading 9604 through 9605 from any
other heading, including another heading within
that group.
9606.10............... A change to subheading 9606.10 from any other
heading.
9606.21-9606.29....... A change to subheading 9606.21 through 9606.29
from any other heading.
9606.30............... A change to subheading 9606.30 from any other
heading.
9607.11-9607.19....... A change to subheading 9607.11 through 9607.19
from any other subheading, except from
subheading 9607.20 when that change is pursuant
to General Rule of Interpretation 2(a).
9607.20............... A change to subheading 9607.20 from any other
subheading.
9608.10-9608.40....... A change to subheading 9608.10 through 9608.40
from any other subheading, including another
subheading within that group; or
A change to India ink drawing pens of subheading
9608.30 from any other good of subheading
9608.30; or
A change to any other good of subheading 9608.30
from India ink drawing pens of subheading
9608.30.
9608.50............... A change to subheading 9608.50 from any other
heading.
9608.60-9608.99....... A change to subheading 9608.60 through 9608.99
from any other subheading, including another
subheading within that group.
9609.10............... A change to subheading 9609.10 from any other
subheading.
9609.20............... A change to subheading 9609.20 from any other
chapter.
9609.90............... A change to subheading 9609.90 from any other
chapter.
9610-9612............. A change to heading 9610 through 9612 from any
other heading, including another heading within
that group.
9613.10-9613.20....... A change to subheading 9613.10 through 9613.20
from any other subheading outside that group.
9613.30-9613.80....... A change to subheading 9613.30 through 9613.80
from any other subheading, including another
subheading within that group.
9613.90............... A change to subheading 9613.90 from any other
heading.
9614.00............... A change to pipes or pipe bowls from any other
subheading, except to roughly shaped blocks of
wood or root from heading 4407; or
A change to articles other than pipes or pipe
bowls from any other heading.
9615.11-9615.90....... A change to subheading 9615.11 through 9615.90
from any other subheading, including another
subheading within that group.
9616-9618............. A change to heading 9616 through 9618 from any
other heading, including another heading within
that group.
9619.00............... A change to a plastic good of subheading 9619.00
from any other heading, except from heading
3926; or
------------------------------------------------------------------------
A change to a paper good of subheading 9619.00
from any other heading, except from heading
4818.
(t) Section XXI: Chapter 97
------------------------------------------------------------------------
9701.10-9701.90....... A change to subheading 9701.10 through 9701.90
from any other subheading, including another
subheading within that group.
9702-9706............. A change to heading 9702 through 9706 from any
other heading, including another heading within
that group.
------------------------------------------------------------------------
[T.D. 96-48, 61 FR 28957, June 6, 1996; 61 FR 33846, July 1, 1996; 61 FR
41737, Aug. 12, 1996; T.D. 99-64, 64 FR 43266, Aug. 10, 1999; CBP Dec.
03-11, 68 FR 43631, July 24, 2003; CBP Dec. 08-42, 73 FR 64519, Oct. 30,
2008; 76 FR 54696, Sept. 2, 2011; CBP Dec. 12-15, 77 FR 58932, Sept. 25,
2012; CBP Dec. 12-21, 77 FR 73309, Dec. 10, 2012]
[[Page 665]]
Sec. 102.21 Textile and apparel products.
(a) Applicability. Except for purposes of determining whether goods
originate in Israel or are the growth, product, or manufacture of
Israel, and except as otherwise provided for by statute, the provisions
of this section will control the determination of the country of origin
of imported textile and apparel products for purposes of the Customs
laws and the administration of quantitative restrictions. The provisions
of this section will apply to goods entered, or withdrawn from
warehouse, for consumption on or after July 1, 1996.
(b) Definitions. The following terms will have the meanings
indicated when used in this section:
(1) Country of origin. The term country of origin means the country,
territory, or insular possession in which a good originates or of which
a good is the growth, product, or manufacture.
(2) Fabric-making process. A fabric-making process is any
manufacturing operation that begins with polymers, fibers, filaments
(including strips), yarns, twine, cordage, rope, or fabric strips and
results in a textile fabric.
(3) Knit to shape. The term knit to shape applies to any good of
which 50 percent or more of the exterior surface area is formed by major
parts that have been knitted or crocheted directly to the shape used in
the good, with no consideration being given to patch pockets, appliques,
or the like. Minor cutting, trimming, or sewing of those major parts
will not affect the determination of whether a good is ``knit to
shape.''
(4) Major parts. The term major parts means integral components of a
good but does not include collars, cuffs, waistbands, plackets, pockets,
linings, paddings, trim, accessories, or similar parts.
(5) Textile or apparel product. A textile or apparel product is any
good classifiable in Chapters 50 through 63, Harmonized Tariff Schedule
of the United States (HTSUS), and any good classifiable under one of the
following HTSUS headings or subheadings:
3005.90
3921.12.15
3921.13.15
3921.90.2550
4202.12.40-80
4202.22.40-80
4202.32.40-95
4202.92.04-08
4202.92.15-30
4202.92.60-90
6405.20.60
6406.10.77
6406.10.90
6406.99.15
6501
6502
6504
6505.90
6601.10-99
7019.19.15
7019.19.28
7019.40-59
8708.21
8804
9113.90.40
9404.90
9612.10.9010
(6) Wholly assembled. The term ``wholly assembled'' when used with
reference to a good means that all components, of which there must be at
least two, preexisted in essentially the same condition as found in the
finished good and were combined to form the finished good in a single
country, territory, or insular possession. Minor attachments and minor
embellishments (for example, appliques, beads, spangles, embroidery,
buttons) not appreciably affecting the identity of the good, and minor
subassemblies (for example, collars, cuffs, plackets, pockets), will not
affect the status of a good as ``wholly assembled'' in a single country,
territory, or insular possession.
(c) General rules. Subject to paragraph (d) of this section, the
country of origin of a textile or apparel product will be determined by
sequential application of paragraphs (c) (1) through (5) of this section
and, in each case where appropriate to the specific context, by
application of the additional requirements or conditions of
Sec. Sec. 102.12 through 102.19 of this part.
(1) The country of origin of a textile or apparel product is the
single country, territory, or insular possession in which the good was
wholly obtained or produced.
(2) Where the country of origin of a textile or apparel product
cannot be determined under paragraph (c)(1) of this section, the country
of origin of the good is the single country, territory, or insular
possession in which each foreign material incorporated in that good
underwent an applicable change in tariff classification, and/or met any
other requirement, specified for the good in paragraph (e) of this
section.
(3) Where the country of origin of a textile or apparel product
cannot be determined under paragraph (c) (1) or (2) of this section:
[[Page 666]]
(i) If the good was knit to shape, the country of origin of the good
is the single country, territory, or insular possession in which the
good was knit; or
(ii) Except for fabrics of chapter 59 and goods of heading 5609,
5807, 5811, 6213, 6214, 6301 through 6306, and 6308, and subheadings
6209.20.5040, 6307.10, 6307.90, and 9404.90, if the good was not knit to
shape and the good was wholly assembled in a single country, territory,
or insular possession, the country of origin of the good is the country,
territory, or insular possession in which the good was wholly assembled.
(4) Where the country of origin of a textile or apparel product
cannot be determined under paragraph (c) (1), (2) or (3) of this
section, the country of origin of the good is the single country,
territory, or insular possession in which the most important assembly or
manufacturing process occurred.
(5) Where the country of origin of a textile or apparel product
cannot be determined under paragraph (c) (1), (2), (3) or (4) of this
section, the country of origin of the good is the last country,
territory, or insular possession in which an important assembly or
manufacturing process occurred.
(d) Treatment of sets. Where a good classifiable in the HTSUS as a
set includes one or more components that are textile or apparel products
and a single country of origin for all of the components of the set
cannot be determined under paragraph (c) of this section, the country of
origin of each component of the set that is a textile or apparel product
will be determined separately under paragraph (c) of this section.
(e) Specific rules by tariff classification. (1) The following rules
will apply for purposes of determining the country of origin of a
textile or apparel product under paragraph (c)(2) of this section:
------------------------------------------------------------------------
HTSUS Tariff shift and/or other requirements
------------------------------------------------------------------------
3005.90...................... If the good contains pharmaceutical
substances, a change to subheading
3005.90 from any other heading; or If
the good does not contain pharmaceutical
substances, a change to subheading
3005.90 from any other heading, except
from heading 5007, 5111 through 5113,
5208 through 5212, 5309 through 5311,
5407 through 5408, 5512 through 5516,
5601 through 5603, 5801 through 5804,
5806, 5809, 5903, 5906 through 5907, and
6001 through 6006.
3921.12.15................... A change to subheading 3921.12.15 from
any other heading.
3921.13.15................... A change to subheading 3921.13.15 from
any other heading.
3921.90.2550................. A change to subheading 3921.90.2550 from
any other heading.
4202.12.40-4202.12.80........ A change to subheading 4202.12.40 through
4202.12.80 from any other heading,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
4202.22.40-4202.22.80........ A change to subheading 4202.22.40 through
4202.22.80 from any other heading,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
4202.32.40-4202.32.95........ A change to subheading 4202.32.40 through
4202.32.95 from any other heading,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
4202.92.04-4202.92.08........ A change to subheadings 4202.92.04
through 4202.92.08 from any other
heading, provided that the change is the
result of the good being wholly
assembled in a single country, territory
or insular possession.
4202.92.15-4202.92.30........ A change to subheading 4202.92.15 through
4202.92.30 from any other heading,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
4202.92.60-4202.92.90........ A change to subheading 4202.92.60 through
4202.92.90 from any other heading,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
5001-5002.................... A change to heading 5001 through 5002
from any other chapter.
5003......................... A change to heading 5003 from any other
heading, provided that the change is the
result of garnetting. If the change to
heading 5003 is not the result of
garnetting, the country of origin of the
good is the country of origin of the
good prior to its becoming waste.
5004-5006.................... (1) If the good is of staple fibers, a
change to heading 5004 through 5006 from
any heading outside that group, provided
that the change is the result of a
spinning process.
(2) If the good is of filaments, a change
to heading 5004 through 5006 from any
heading outside that group, provided
that the change is the result of an
extrusion process.
5007......................... (1) A change from greige fabric of
heading 5007 to finished fabric of
heading 5007 by both dyeing and printing
when accompanied by two or more of the
following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or,
(2) If the country of origin cannot be
determined under (1) above, a change to
heading 5007 from any other heading,
provided that the change is the result
of a fabric-making process.
5101-5103.................... A change to heading 5101 through 5103
from any other chapter.
[[Page 667]]
5104......................... A change to heading 5104 from any other
heading.
5105......................... A change to heading 5105 from any other
chapter.
5106-5110.................... A change to heading 5106 through 5110
from any heading outside that group,
provided that the change is the result
of a spinning process.
5111-5113.................... A change to heading 5111 through 5113
from any heading outside that group,
provided that the change is the result
of a fabric-making process.
5201......................... A change to heading 5201 from any other
chapter.
5202......................... A change to heading 5202 from any other
heading, provided that the change is the
result of garnetting. If the change to
heading 5202 is not the result of
garnetting, the country of origin of the
good is the country of origin of the
good prior to its becoming waste.
5203......................... A change to heading 5203 from any other
chapter.
5204-5207.................... A change to heading 5204 through 5207
from any heading outside that group,
provided that the change is the result
of a spinning process.
5208-5212.................... (1) A change from greige fabric of
heading 5208 through 5212 to finished
fabric of heading 5208 through 5212 by
both dyeing and printing when
accompanied by two or more of the
following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or
(2) If the country of origin cannot be
determined under (1) above, a change to
heading 5208 through 5212 from any
heading outside that group, provided
that the change is the result of a
fabric-making process.
5301-5305.................... (1) Except for waste, a change to heading
5301 through 5305 from any other
chapter.
(2) For waste, a change to heading 5301
through 5305 from any heading outside
that group, provided that the change is
the result of garnetting. If the change
is not the result of garnetting, the
country of origin of the good is the
country of origin of the good prior to
its becoming waste.
5306-5307.................... A change to heading 5306 through 5307
from any heading outside that group,
provided that the change is the result
of a spinning process.
5308......................... (1) Except for paper yarns, a change to
heading 5308 from any other heading,
provided that the change is the result
of a spinning process.
(2) For paper yarns, a change to heading
5308 from any other heading, except from
heading 4707, 4801 through 4806, 4811,
and 4818.
5309-5311.................... (1) A change from greige fabric of
heading 5309 through 5311 to finished
fabric of heading 5309 through 5311 by
both dyeing and printing when
accompanied by two or more of the
following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or
(2)If the country of origin cannot be
determined under (1) above, a change to
heading 5309 through 5311 from any
heading outside that group, provided
that the change is the result of a
fabric-making process.
5401-5406.................... A change to heading 5401 through 5406
from any other heading, provided that
the change is the result of an extrusion
process.
5407-5408.................... (1) A change from greige fabric of
heading 5407 through 5408 to finished
fabric of heading 5407 through 5408 by
both dyeing and printing when
accompanied by two or more of the
following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or
(2) If the country of origin cannot be
determined under (1) above, a change to
heading 5407 through 5408 from any
heading outside that group, provided
that the change is the result of a
fabric-making process.
5501-5502.................... A change to heading 5501 through 5502
from any other chapter, provided that
the change is the result of an extrusion
process.
5503-5504.................... A change to heading 5503 through 5504
from any other chapter, except from
Chapter 54.
5505......................... A change to heading 5505 from any other
heading, provided that the change is the
result of garnetting. If the change is
not the result of garnetting, the
country of origin of the good is the
country of origin of the good prior to
its becoming waste.
5506-5507.................... A change to heading 5506 through 5507
from any other chapter, except from
Chapter 54.
5508-5511.................... A change to heading 5508 through 5511
from any heading outside that group,
provided that the change is the result
of a spinning process.
5512-5516.................... (1) A change from greige fabric of
heading 5512 through 5516 to finished
fabric of heading 5512 through 5516 by
both dyeing and printing when
accompanied by two or more of the
following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or
(2) If the country of origin cannot be
determined under (1) above, a change to
heading 5512 through 5516 from any
heading outside that group, provided
that the change is the result of a
fabric-making process.
5601......................... (1) A change to wadding of heading 5601
from any other heading, except from
heading 5105, 5203, 5501 through 5507,
and articles of wadding of heading 9619.
(2) A change to flock, textile dust, mill
neps, or articles of wadding, of heading
5601 from any other heading or from
wadding of heading 5601.
5602-5603.................... (1) Except for fabric of wool or of fine
animal hair, a change from greige fabric
of heading 5602 through 5603 to finished
fabric of heading 5602 through 5603 by
both dyeing and printing when
accompanied by two or more of the
following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or
(2) If the country of origin cannot be
determined under (1) above, a change to
heading 5602 through 5603 from any
heading outside that group, provided
that the change is the result of a
fabric-making process.
[[Page 668]]
5604......................... (1) If the textile component is of
continuous filaments, including strips,
a change of those filaments, including
strips, to heading 5604 from any other
heading, except from heading 5001
through 5007, 5401 through 5408, and
5501 through 5502, and provided that the
change is the result of an extrusion
process.
(2) If the textile component is of staple
fibers, a change of those fibers to
heading 5604 from any other heading,
except from heading 5004 through 5006,
5106 through 5110, 5204 through 5207,
5306 through 5308, and 5508 through
5511, and provided that the change is
the result of a spinning process.
5605-5606.................... If the good is of continuous filaments,
including strips, a change of those
filaments, including strips, to heading
5605 through 5606 from any other
heading, except from heading 5001
through 5007, 5401 through 5408, and
5501 through 5502, and provided that the
change is the result of an extrusion
process; or
If the good is of staple fibers, a change
of those fibers to heading 5605 through
5606 from any other heading, except from
heading 5106 through 5110, 5204 through
5207, 5306 through 5308, and 5508
through 5511, and provided that the
change is the result of a spinning
process.
5607......................... If the good is of continuous filaments,
including strips, a change of those
filaments, including strips, to heading
5607 from any other heading, except from
heading 5001 through 5007, 5401 through
5406, and 5501 through 5511, and
provided that the change is the result
of an extrusion process; or
If the good is of staple fibers, a change
of those fibers to heading 5607 from any
other heading, except from heading 5106
through 5110, 5204 through 5207, 5306
through 5308, and 5508 through 5511, and
provided that the change is the result
of a spinning process.
5608......................... (1)(a) Except for netting of wool or of
fine animal hair, a change from greige
netting of heading 5608 to finished
netting of heading 5608 by both dyeing
and printing when accompanied by two or
more of the following finishing
operations: bleaching, shrinking,
fulling, napping, decating, permanent
stiffening, weighting, permanent
embossing, or moireing; or
(1)(b) If the country of origin cannot be
determined under (1)(a) above, a change
to netting of heading 5608 from any
other heading, except from heading 5804,
and provided that the change is the
result of a fabric-making process.
(2) A change to fishing nets or other
made up nets of heading 5608:
(a) If the good does not contain
nontextile attachments, from any other
heading, except from heading 5804 and
6002 through 6006, and provided that the
change is the result of a fabric-making
process; or
(b) If the good contains nontextile
attachments, from any heading, including
a change from another good of heading
5608, provided that the change is the
result of the good being wholly
assembled in a single country,
territory, or insular possession.
5609......................... (1) If of continuous filaments, including
strips, the country of origin of a good
classifiable under heading 5609 is the
country, territory, or insular
possession in which those filaments,
including strips, were extruded.
(2) If of staple fibers, the country of
origin of a good classifiable under
heading 5609 is the country, territory,
or insular possession in which those
fibers were spun into yarns.
5701-5705.................... A change to heading 5701 through 5705
from any other chapter.
5801-5803.................... (1) Except for fabric of wool or of fine
animal hair, a change from greige fabric
of heading 5801 through 5803 to finished
fabric of heading 5801 through 5803 by
both dyeing and printing when
accompanied by two or more of the
following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or
(2) If the country of origin cannot be
determined under (1) above, a change to
heading 5801 through 5803 from any other
heading, including a heading within that
group, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, 5512
through 5516, and 6002 through 6006, and
provided that the change is the result
of a fabric-making process.
5804.10...................... (1) Except for fabric of wool or of fine
animal hair, a change from greige fabric
of subheading 5804.10 to finished fabric
of subheading 5804.10 by both dyeing and
printing when accompanied by two or more
of the following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or
(2) If the country of origin cannot be
determined under (1) above, a change to
subheading 5804.10 from any other
heading, except from heading 5608, and
provided that the change is the result
of a fabric-making process.
5804.21-5804.30.............. (1) Except for lace of wool or of fine
animal hair, a change from greige lace
of subheading 5804.21 through 5804.30 to
finished lace of subheading 5804.21
through 5804.30 by both dyeing and
printing when accompanied by two or more
of the following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or
(2) If the country of origin cannot be
determined under (1) above, a change to
subheading 5804.21 through 5804.30 from
any other heading, provided that the
change is the result of a fabric-making
process.
5805......................... A change to heading 5805 from any other
heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, and
5512 through 5516, and provided that the
change is the result of a fabric-making
process.
5806......................... (1) Except for fabric of wool or of fine
animal hair, a change from greige fabric
of heading 5806 to finished fabric of
heading 5806 by both dyeing and printing
when accompanied by two or more of the
following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or
[[Page 669]]
(2) If the country of origin cannot be
determined under (1) above, a change to
heading 5806 from any other heading,
except from heading 5007, 5111 through
5113, 5208 through 5212, 5309 through
5311, 5407 through 5408, 5512 through
5516, and 5801 through 5803, and
provided that the change is the result
of a fabric-making process.
5807......................... The country of origin of a good
classifiable under heading 5807 is the
country, territory, or insular
possession in which the fabric
comprising the good was formed by a
fabric-making process.
5808.10...................... (1) If the good is of continuous
filaments, including strips, a change of
those filaments, including strips, to
subheading 5808.10 from any other
heading, except from heading 5001
through 5007, 5401 through 5406, 5501
through 5502, and 5604 through 5607, and
provided that the change is the result
of an extrusion process.
(2) If the good is of staple fibers, a
change of those fibers to heading
5808.10 from any other heading, except
from heading 5106 through 5113, 5204
through 5212, 5306 through 5311, 5401
through 5408, 5508 through 5516, and
5604 through 5607, and provided that the
change is the result of a spinning
process.
5808.90...................... (1) For ornamental fabric trimmings: (a)
A change from a greige good of
subheading 5808.90 to a finished good of
subheading 5808.90 by both dyeing and
printing when accompanied by two or more
of the following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or,
(b) If the country of origin cannot be
determined under (a) above, a change to
subheading 5808.90 from any other
chapter, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, and
5512 through 5516, and provided that the
change is the result of a fabric-making
process.
(2) For nonfabric ornamental trimmings:
(a) If the trimming is of continuous
filaments, including strips, a change to
subheading 5808.90 from any other
heading, except from heading 5001
through 5007, 5401 through 5408, 5501
through 5502, and 5604 through 5607, and
provided that the change is the result
of an extrusion process; or
(b) If the trimming is of staple fibers,
a change to subheading 5808.90 from any
other heading, except from heading 5106
through 5113, 5204 through 5212, 5306
through 5311, 5401 through 5408, 5508
through 5516, and 5604 through 5607, and
provided that the change is the result
of a spinning process.
(3) For tassels, pompons and similar
articles: (a) If the good has been
wholly assembled in a single country,
territory, or insular possession, a
change to subheading 5808.90 from any
other heading;
(b) If the good has not been wholly
assembled in a single country,
territory, or insular possession and the
good is of staple fibers, a change to
subheading 5808.90 from any other
heading, except from heading 5004
through 5006, 5106 through 5110, 5204
through 5207, 5306 through 5308, and
5508 through 5511, and 5604 through
5607, and provided that the change is
the result of a spinning process; or
(c) If the good has not been wholly
assembled in a single country,
territory, or insular possession and the
good is of filaments, including strips,
a change to subheading 5808.90 from any
other heading, except from heading 5001
through 5007, 5401 through 5406, and
5501 through 5502, and provided that the
change is the result of an extrusion
process.
5809......................... A change to heading 5809 from any other
heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, 5512
through 5516, 5801 through 5802, 5804,
and 5806, and provided that the change
is the result of a fabric-making
process.
5810.10...................... The country of origin of goods of
subheading 5810.10 is the single
country, territory, or insular
possession in which the embroidery was
performed.
5810.91-5810.99.............. (1) For embroidered fabric, the country
of origin is the country, territory, or
insular possession in which the fabric
was produced by a fabric-making process.
(2) For embroidered badges, emblems,
insignia, and the like, comprised of
multiple components, the country of
origin is the place of assembly,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
(3) For embroidered badges, emblems,
insignia, and the like, not comprised of
multiple components, a change to
subheading 5810.91 through 5810.99 from
any other chapter, except from heading
5007, 5111 through 5113, 5208 through
5212, 5309 through 5311, 5407 through
5408, 5512 through 5516, 5602 through
5603, 5608, 5903, 5907, 6001 through
6006, and provided that the change is
the result of a fabric-making process.
5811......................... The country of origin of a good
classifiable under heading 5811 is the
country, territory, or insular
possession in which the fabric
comprising the good was formed by a
fabric-making process.
5901-5903.................... (1) Except for fabric of wool or of fine
animal hair, a change from greige fabric
of heading 5901 through 5903 to finished
fabric of heading 5901 through 5903 by
both dyeing and printing when
accompanied by two or more of the
following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or,
(2) If the country of origin cannot be
determined under (1) above, a change to
heading 5901 through 5903 from any other
heading, including a heading within that
group, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, 5512
through 5516, 5803, 5806, 5808, and 6002
through 6006, and provided that the
change is the result of a fabric-making
process.
5904......................... (1) For goods that have been wholly
assembled by means of a lamination
process, a change to heading 5904 from
any other heading, provided that the
change is the result of the good being
wholly assembled in a single country,
territory, or insular possession.
(2) For all other goods, the country of
origin of the good will be determined by
application of Sec. 102.21(c)(4) or, if
the country of origin cannot be
determined under that section, by
application of Sec. 102.21(c)(5).
[[Page 670]]
5905......................... (1) Except for wall coverings consisting
of textile fabric of wool or of fine
animal hair treated on the back or
affixed by any means to a backing of any
material, a change from wall coverings
of greige fabric of heading 5905 to wall
coverings of finished fabric of heading
5905 by both dyeing and printing when
accompanied by two or more of the
following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or,
(2) If the country of origin cannot be
determined under (1) above, a change to
heading 5905 from any other heading,
except from heading 5007, 5111 through
5113, 5208 through 5212, 5309 through
5311, 5407 through 5408, 5512 through
5516, 5603, 5803, 5806, 5808, and 6002
through 6006, and provided that the
change is the result of a fabric-making
process.
5906-5907.................... (1) Except for fabric of wool or of fine
animal hair, a change from greige fabric
of heading 5906 through 5907 to finished
fabric of heading 5906 through 5907 by
both dyeing and printing when
accompanied by two or more of the
following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or,
(2) If the country of origin cannot be
determined under (1) above, a change to
heading 5906 through 5907 from any other
chapter, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, 5512
through 5516, 5803, 5806, 5808, and 6002
through 6006, and provided that the
change is the result of a fabric-making
process.
5908......................... (1) Except for yarns, twine, cord, and
braid, a change to heading 5908 from any
other heading, except from heading 5007,
5111 through 5113, 5208 through 5212,
5309 through 5311, 5407 through 5408,
5512 through 5516, 5801 through 5802,
5806, 5808, and 6001 through 6006.
(2) For yarns, twine, cord, and braid:
(a) If the good is of continuous
filaments, including strips, a change to
heading 5908 from any other heading,
except from heading 5001 through 5007,
5401 through 5406, and 5501 through
5502, and provided that the change is
the result of an extrusion process; or
(b) If the good is of staple fibers, a
change to heading 5908 from any other
heading, except from heading 5106
through 5110, 5204 through 5207, 5306
through 5308, and 5508 through 5511, and
5605 through 5607, and provided that the
change is the result of a spinning
process.
5909......................... A change to heading 5909 from any other
chapter, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, 5512
through 5516, 5603, 5801 through 5804,
5806, 5808, and 6001 through 6006, and
provided that the good does not contain
armor or accessories of nontextile
material and provided that the change is
the result of a fabric-making process;
or
A change to textile hosepiping with armor
or accessories of nontextile material,
of heading 5909, from any heading,
including a change from another good of
heading 5909, provided that the change
is the result of the good being wholly
assembled in a single country,
territory, or insular possession.
5910......................... (1) For belts and belting of braid, rope,
or cord:
(a) If the good is of continuous
filaments, including strips, a change of
those filaments, including strips, to
heading 5910 from any other heading,
except from heading 5001 through 5006,
5401 through 5406, and 5501 through
5502, and provided that the change is
the result of an extrusion process; or
(b) If the good is of staple fibers, a
change of those fibers to heading 5910
from any other heading, except from
heading 5106 through 5110, 5204 through
5207, 5306 through 5308, and 5508
through 5511, and provided that the
change is the result of a spinning
process.
(2) For fabric belting and belts, not
braids and not combined with nontextile
components, whether or not reinforced
with metal or other material, a change
to heading 5910 from any other heading,
except from heading 5007, 5111 through
5113, 5208 through 5212, 5309 through
5311, 5407 through 5408, 5512 through
5516, 5602 through 5603, 5801 through
5804, 5806, 5808 through 5809, and 6001
through 6006, and provided the change is
the result of a fabric-making process.
(3) For fabric belts, including belts of
braided materials, combined with
nontextile components, whether or not
reinforced with metal or other material,
a change to heading 5910 from any
heading, including a change from another
good of heading 5910, provided that the
change is the result of the good being
wholly assembled in a single country,
territory, or insular possession.
5911.10-5911.20.............. (1) Except for fabric of wool or of fine
animal hair, a change from greige fabric
of subheading 5911.10 through 5911.20 to
finished fabric of subheading 5911.10
through 5911.20 by both dyeing and
printing when accompanied by two or more
of the following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or,
(2) If the country of origin cannot be
determined under (1) above, a change to
subheading 5911.10 through 5911.20 from
any other heading, except from heading
5007, 5111 through 5113, 5208 through
5212, 5309 through 5311, 5407 through
5408, 5512 through 5516, 5602 through
5603, 5801 through 5804, 5806, and 6001
through 6006, and provided that the
change is the result of a fabric-making
process.
5911.31-5911.32.............. (1)(a) Except for fabric of wool or of
fine animal hair, a change from greige
fabric of subheading 5911.31 through
5911.32 to finished fabric of subheading
5911.31 through 5911.32 by both dyeing
and printing when accompanied by two or
more of the following finishing
operations: bleaching, shrinking,
fulling, napping, decating, permanent
stiffening, weighting, permanent
embossing, or moireing; or,
(1)(b) If the country of origin cannot be
determined under (1)(a) above, for goods
not combined with nontextile components,
a change to subheading 5911.31 through
5911.32 from any other heading, except
from heading 5007, 5111 through 5113,
5208 through 5212, 5309 through 5311,
5407 through 5408, 5512 through 5516,
5602 through 5603, 5801 through 5804,
5806, and 6001 through 6006, and
provided that the change is the result
of a fabric-making process.
[[Page 671]]
(2) For goods combined with nontextile
components, a change to subheading
5911.31 through 5911.32 from any other
heading, provided that the change is the
result of the good being wholly
assembled in a single country,
territory, or insular possession.
5911.40...................... (1) Except for fabric of wool or of fine
animal hair, a change from greige fabric
of subheading 5911.40 to finished fabric
of subheading 5911.40 by both dyeing and
printing when accompanied by two or more
of the following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or,
(2) If the country of origin cannot be
determined under (1) above, a change to
subheading 5911.40 from any other
heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, 5512
through 5516, 5602 through 5603, 5801
through 5804, 5806, and 6001 through
6006, and provided that the change is
the result of a fabric-making process.
5911.90...................... (1) For goods of yarn, rope, cord, or
braid:
(a)If the good is of continuous
filaments, including strips, a change of
those filaments, including strips, to
subheading 5911.90 from any other
heading, except from heading 5001
through 5006, 5401 through 5406, and
5501 through 5502, and provided that the
change is the result of an extrusion
process; or
(b) If the good is of staple fibers, a
change of those fibers to subheading
5911.90 from any other heading, except
from heading 5106 through 5110, 5204
through 5207, 5306 through 5308, and
5508 through 5511, and provided that the
change is the result of a spinning
process.
(2)(a) If the good is a fabric, except
for fabric of wool or of fine animal
hair, a change from greige fabric of
subheading 5911.90 to finished fabric of
subheading 5911.90 by both dyeing and
printing when accompanied by two or more
of the following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or,
(2)(b) If the country of origin cannot be
determined under (2)(a) above, if the
good is a fabric, a change to subheading
5911.90 from any other heading, except
from heading 5007, 5111 through 5113,
5208 through 5212, 5309 through 5311,
5407 through 5408, 5512 through 5516,
5602 through 5603, 5801 through 5804,
5806, 5809, and 6001 through 6006, and
provided that the change is the result
of a fabric-making process.
(3) If the good is a made up article
other than a good of yarn, rope, cord,
or braid, a change to subheading 5911.90
from any heading, including a change
from another good of heading 5911,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
6001-6006.................... (1) Except for fabric of wool or of fine
animal hair, a change from greige fabric
of heading 6001 through 6006 to finished
fabric of heading 6001 through 6006 by
both dyeing and printing when
accompanied by two or more of the
following finishing operations:
bleaching, shrinking, fulling, napping,
decating, permanent stiffening,
weighting, permanent embossing, or
moireing; or,
(2) If the country of origin cannot be
determined under paragraph (1) of this
entry, a change to heading 6001 through
6006 from any heading outside that
group, provided that the change is the
result of a fabric-making process.
6101-6117.................... (1) If the good is not knit to shape and
consists of two or more component parts,
except for goods of subheading 6117.10
provided for in paragraph (e)(2) of this
section, a change to an assembled good
of heading 6101 through 6117 from
unassembled components, provided that
the change is the result of the good
being wholly assembled in a single
country, territory, or insular
possession.
(2) If the good is not knit to shape and
does not consist of two or more
component parts, except for goods of
subheading 6117.10 provided for in
paragraph (e)(2) of this section, a
change to heading 6101 through 6117 from
any heading outside that group, except
from heading 5007, 5111 through 5113,
5208 through 5212, 5309 through 5311,
5407 through 5408, 5512 through 5516,
5806, 5809 through 5811, 5903, 5906
through 5907, 6001 through 6006, knitted
or crocheted articles of heading 9619,
and subheading 6307.90, and provided
that the change is the result of a
fabric-making process.
(3) If the good is knit to shape, except
for goods of subheading 6117.10 provided
for in paragraph (e)(2) of this section,
a change to 6101 through 6117 from any
heading outside that group, except from
knitted or crocheted articles of heading
9619, provided that the knit to shape
components are knit in a single country
territory or insular possession.
6201-6208.................... (1) If the good consists of two or more
component parts, a change to an
assembled good of heading 6201 through
6208 from unassembled components,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
(2) If the good does not consist of two
or more component parts, a change to
heading 6201 through 6208 from any
heading outside that group, except from
heading 5007, 5111 through 5113, 5208
through 5212, 5309 through 5311, 5407
through 5408, 5512 through 5516, 5602
through 5603, 5801 through 5806, 5809
through 5811, 5903, 5906 through 5907,
6217, subheading 6307.90, and from an
assembled women's or girls' singlet or
other undershirt, brief, panty,
negligee, bathrobe, dressing gown, or a
similar article of heading 9619, and
provided that the change is the result
of a fabric-making process.
6201-6208.................... (1) If the good consists of two or more
component parts, a change to an
assembled good of heading 6201 through
6208 from unassembled components,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
(2) If the good does not consist of two
or more component parts, a change to
heading 6201 through 6208 from any
heading outside that group, except from
heading 5007, 5111 through 5113, 5208
through 5212, 5309 through 5311, 5407
through 5408, 5512 through 5516, 5602
through 5603, 5801 through 5806, 5809
through 5811, 5903, 5906 through 5907,
and 6217, and subheading 6307.90, and
provided that the change is the result
of a fabric-making process.
[[Page 672]]
6209.20.1000-6209.20.5035.... (1) If the good consists of two or more
component parts, a change to an
assembled good of subheading
6209.20.1000 through 6209.20.5035 from
unassembled components, provided that
the change is the result of the good
being wholly assembled in a single
country, territory, or insular
possession.
(2) If the good does not consist of two
or more component parts, a change to
subheading 6209.20.1000 from any other
heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, 5512
through 5516, 5602 through 5603, 5801
through 5806, 5809 through 5811, 5903,
5906 through 5907, and 6217, and
subheading 6307.90, and provided that
the change is the result of a fabric-
making process.
6209.20.5040................. The country of origin of a good
classifiable in subheading 6209.20.5040
is the country, territory, or insular
possession in which the fabric
comprising the good was formed by a
fabric-making process.
6209.20.5045-6209.90.9000.... (1) If the good consists of two or more
component parts, a change to an
assembled good of subheading
6209.20.5045 through 6209.90.9000 from
unassembled components, provided that
the change is the result of the good
being wholly assembled in a single
country, territory, or insular
possession.
(2) If the good does not consist of two
or more component parts, a change to
subheading 6209.20.5045 through
6209.90.9000 from any heading, except
from heading 5007, 5111 through 5113,
5208 through 5212, 5309 through 5311,
5407 through 5408, 5512 through 5516,
5602 through 5603, 5801 through 5806,
5809 through 5811, 5903, 5906 through
5907, 6217, subheading 6307.90, and from
babies' garments and clothing
accessories of heading 9619, and
provided that the change is the result
of a fabric-making process.
6210-6212.................... (1) If the good consists of two or more
component parts, a change to an
assembled good of heading 6210 through
6212 from unassembled components,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
(2) If the good does not consist of two
or more component parts, a change to
heading 6210 through 6212 from any
heading outside that group, except from
heading 5007, 5111 through 5113, 5208
through 5212, 5309 through 5311, 5407
through 5408, 5512 through 5516, 5602
through 5603, 5801 through 5806, 5809
through 5811, 5903, 5906 through 5907,
6001 through 6006, and 6217, subheading
6307.90, and from an assembled women's
or girls' garment, made up of fabrics of
heading 5602, 5603, 5903, 5906, or 5907,
of heading 9619 or a girls', boys',
men's, or women's garment, other than
knitted or crocheted garments and other
than a women's or girls' singlet or
other undershirt, brief, panty,
negligee, bathrobe, dressing gown, or a
similar article from any other heading,
provided that the change is the change
is the result of a fabric-making
process.
6213-6214.................... Except for goods of heading 6213 through
6214 provided for in paragraph (e)(2) of
this section, the country of origin of a
good classifiable under heading 6213
through 6214 is the country, territory,
or insular possession in which the
fabric comprising the good was formed by
a fabric-making process.
6215-6217.................... (1) If the good consists of two or more
component parts, a change to an
assembled good of heading 6215 through
6217 from unassembled components,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
(2) If the good does not consist of two
or more component parts, a change to
heading 6215 through 6217 from any
heading outside that group, except from
heading 5007, 5111 through 5113, 5208
through 5212, 5309 through 5311, 5407
through 5408, 5512 through 5516, 5602
through 5603, 5801 through 5806, 5809
through 5811, 5903, 5906 through 5907,
and 6217, and subheading 6307.90, and
provided that the change is the result
of a fabric-making process.
6301-6306.................... Except for goods of heading 6302 through
6304 provided for in paragraph (e)(2) of
this section, the country of origin of a
good classifiable under heading 6301
through 6306 is the country, territory,
or insular possession in which the
fabric comprising the good was formed by
a fabric-making process.
6307.10...................... The country of origin of a good
classifiable under subheading 6307.10 is
the country, territory, or insular
possession in which the fabric
comprising the good was formed by a
fabric-making process.
6307.20...................... A change to subheading 6307.20 from any
other heading, provided that the change
is the result of the good being wholly
assembled in a single country,
territory, or insular possession.
6307.90...................... The country of origin of a good
classifiable under subheading 6307.90 is
the country, territory, or insular
possession in which the fabric
comprising the good was formed by a
fabric-making process.
6308......................... The country of origin of a good
classifiable under heading 6308 is the
country, territory, or insular
possession in which the woven fabric
component of the good was formed by a
fabric-making process.
6309-6310.................... The country of origin of a good
classifiable under heading 6309 through
6310 is the country, territory, or
insular possession in which the good was
last collected and packaged for
shipment.
6405.20.60................... A change to subheading 6405.20.60 from
any other heading, provided that the
change is the result of the good being
wholly assembled in a single country,
territory, or insular possession.
6406.10.77................... (1) If the good consists of two or more
components, a change to subheading
6406.10.77 from any other heading,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
(2) If the good does not consist of two
or more components, a change to
subheading 6406.10.77 from any other
heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, 5512
through 5516, 5602 through 5603, 5608,
5801 through 5804, 5806, 5808 through
5810, 5903, 5906 through 5907, and 6001
through 6006, and provided that the
change is the result of a fabric-making
process.
6406.10.90................... (1) If the good consists of two or more
components, a change to subheading
6406.10.90 from any other heading,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
[[Page 673]]
(2) If the good does not consist of two
or more components, a change to
subheading 6406.10.90 from any other
heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, 5512
through 5516, 5602 through 5603, 5608,
5801 through 5804, 5806, 5808 through
5810, 5903, 5906 through 5907, and 6001
through 6006, and provided that the
change is the result of a fabric-making
process.
6406.90.15................... (1) If the good consists of two or more
components, a change to subheading
6406.90.15 from any other heading,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession.
(2) If the good does not consist of two
or more components, a change to
subheading 6406.90.15 from any other
heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, 5512
through 5516, 5602 through 5603, 5608,
5801 through 5804, 5806, 5808 through
5810, 5903, 5906 through 5907, and 6001
through 6006, and provided that the
change is the result of a fabric-making
process.
6502......................... (1) If the good consists of two or more
components, a change to heading 6502
from any other heading, provided that
the change is the result of the good
being wholly assembled in a single
country, territory, or insular
possession.
(2) If the good does not consist of two
or more components, a change to heading
6502 from any other heading, except from
heading 5007, 5111 through 5113, 5208
through 5212, 5407 through 5408, 5512
through 5516, 5602 through 5603, 5608,
5801 through 5804, 5806, 5808 through
5810, 5903, 5906 through 5907, and 6001
through 6006, and provided that the
change is the result of a fabric-making
process.
6504......................... (1) If the good consists of two or more
components, a change to heading 6504
from any other heading, provided that
the change is the result of the good
being wholly assembled in a single
country, territory, or insular
possession.
(2) If the good does not consist of two
or more components, a change to heading
6504 from any other heading, except from
heading 5007, 5111 through 5113, 5208
through 5212, 5407 through 5408, 5512
through 5516, 5602 through 5603, 5608,
5801 through 5804, 5806, 5808 through
5810, 5903, 5906 through 5907, and 6001
through 6006, and provided that the
change is the result of a fabric-making
process.
6505.00...................... (1) For felt hats and other felt
headgear, made from the hat bodies,
hoods or plateaux of heading 6501,
whether or not lined or trimmed, if the
good consists of two or more components,
a change to subheading 6505.00 from any
other good of subheading 6505.00 or from
any other subheading, provided that the
change is the result of the good being
wholly assembled in a single country,
territory, or insular possession.
(2) For felt hats and other felt
headgear, made from the hat bodies,
hoods or plateaux of heading 6501,
whether or not lined or trimmed, if the
good does not consist of two or more
components, a change to subheading
6505.00 from any other subheading,
except from heading 5602, and provided
that the change is the result of a
fabric making process.
(3) For any other good, if the good
consists of two or more components, a
change to goods of subheading 6505.00,
other than hair-nets, from any other
heading, provided that the change is the
result of the good being wholly
assembled in a single country,
territory, or insular possession.
(4) For any other good, if the good does
not consist of two or more components, a
change to goods of subheading 6505.00,
other than hair-nets, from any other
heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5407
through 5408, 5512 through 5516, 5602
through 5603, 5609, 5801 through 5804,
5806, 5808 through 5811, 5903, 5906
through 5907, and 6001 through 6006, and
provided that the change is the result
of a fabric-making process.
6601.10-6601.91.............. A change to subheading 6601.10 through
6601.91 from any other heading, provided
that the change is the result of the
good being wholly assembled in a single
country, territory, or insular
possession.
7019.19.15................... (1) If the good is of filaments, a change
to subheading 7019.19.15 from any other
heading, provided that the change is the
result of an extrusion process.
(2) If the good is of staple fibers, a
change to subheading 7019.19.15 from any
other subheading, except from subheading
7019.19.30 through 7019.19.90,
7019.31.00 through 7019.39.50, and
7019.90, and provided that the change is
the result of a spinning process.
7019.19.28................... (1) If the good is of filaments, a change
to subheading 7019.19.28 from any other
heading, provided that the change is the
result of an extrusion process.
(2) If the good is of staple fibers, a
change to subheading 7019.19.28 from any
other subheading, except from subheading
7019.19.30 through 7019.19.90,
7019.31.00 through 7019.39.50, and
7019.90, and provided that the change is
the result of a spinning process.
7019.40-7019.59.............. A change to subheading 7019.40 through
7019.59 from any other subheading,
provided that the change is the result
of a fabric-making process.
8708.21...................... (1) For seat belts not combined with
nontextile components, a change to
subheading 8708.21 from any other
heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, and
5512 through 5516, and provided that the
change is the result of a fabric-making
process.
(2) For seat belts combined with
nontextile components, a change to an
assembled good of subheading 8708.21
from unassembled components, provided
that the change is the result of the
good being wholly assembled in a single
country, territory, or insular
possession.
8804......................... (1) If the good consists of two or more
component parts, a change to an
assembled good of heading 8804 from
unassembled components, provided that
the change is the result of the good
being wholly assembled in a single
country, territory, or insular
possession.
[[Page 674]]
(2) If the good does not consist of two
or more component parts, a change to
heading 8804 from any other heading,
except from heading 5007, 5111 through
5113, 5208 through 5212, 5309 through
5311, 5407 through 5408, 5512 through
5516, 5603, 5801 through 5804, 5806,
5809 through 5811, 5903, 5906 through
5907, and 6001 through 6006, and
subheading 6307.90, and provided that
the change is the result of a fabric-
making process.
9113.90.40................... (1) If the good consists of two or more
component parts, a change to an
assembled good of subheading 9113.90.40
from unassembled components, provided
that the change is the result of the
good being wholly assembled in a single
country, territory, or insular
possession.
(2) If the good does not consist of two
or more component parts, a change to
subheading 9113.90.40 from any other
heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, 5512
through 5516, 5603, 5801 through 5802,
5806, 5809, 5903, 5906 through 5907, and
6001 through 6006, and subheading
6307.90, and provided that the change is
the result of a fabric-making process.
9404.90...................... Except for goods of subheading 9404.90
provided for in paragraph (e)(2) of this
section, the country of origin of a good
classifiable under subheading 9404.90 is
the country, territory, or insular
possession in which the fabric
comprising the good was formed by a
fabric-making process.
9503.00.0080................. For garments and accessories thereof,
footwear or headgear of dolls
representing only human beings, a change
to an assembled good from unassembled
components, provided that the change is
the result of the good being wholly
assembled in a single country,
territory, or insular possession.
9612.10.9010................. A change to subheading 9612.10.9010 from
any other heading, except from heading
5007, 5111 through 5113, 5208 through
5212, 5309 through 5311, 5407 through
5408, 5512 through 5516, 5603, 5806,
5903, 5906 through 5907, and 6002
through 6006, and provided that the
change is the result of a fabric-making
process.
9619......................... (1) A change to articles of wadding of
heading 9619 from any other heading,
except from heading 5105, 5203, 5501
through 5507, and from 5601; or
(2) If the good is not knit to shape and
consists of two or more component parts,
except for goods of subheading 6117.10
provided for in paragraph (e)(2) of this
section, a change to an assembled
knitted or crocheted article of heading
9619, from unassembled components,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession; or
(3) If the good is not knit to shape and
does not consist of two or more
component parts, except for goods of
subheading 6117.10 provided for in
paragraph (e)(2) of this section, a
change to a knitted or crocheted article
of heading 9619 from any other heading,
except from heading 5007, 5111 through
5113, 5208 through 5212, 5309 through
5311, 5407 through 5408, 5512 through
5516, 5806, 5809 through 5811, 5903,
5906 through 5907, 6001 through 6006,
6101 through 6117; and subheading
6307.90, and provided that the change is
the result of a fabric-making process;
or
(4) If the good is knit to shape, except
for goods of subheading 6117.10 provided
for in paragraph (e)(2) of this section,
a change to a knitted or crocheted
article of heading 9619 from any other
heading, except from heading 6101
through 6117, provided that the knit to
shape components are knit in a single
country, territory, or insular
possession; or
(5) If the good consists of two or more
component parts, a change to an
assembled women's or girls' singlet or
other undershirt, brief, panty,
negligee, bathrobe, dressing gown, or a
similar article of heading 9619 from
unassembled components, provided that
the change is the result of the good
being wholly assembled in a single
country, territory, or insular
possession; or
(6) If the good does not consist of two
or more component parts, a change to a
women's or girls' singlet or other
undershirt, brief, panty, negligee,
bathrobe, dressing gown, or a similar
article of heading 9619 from any other
heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309
through 5311, 5407 through 5408, 5512
through 5516, 5602 through 5603, 5801
through 5806, 5809 through 5811, 5903,
5906 through 5907, 6201 through 6208,
and 6217, and subheading 6307.90, and
provided that the change is the result
of a fabric-making process; or
(7) The country of origin of a baby
diaper of cotton classifiable in heading
9619 is the country, territory, or
insular possession in which the fabric
comprising the good was formed by a
fabric-making process; or
(8) If the good consists of two or more
component parts, a change to an
assembled baby garment of synthetic
fiber or artificial fiber of heading
9619 from unassembled components,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession; or
(9) If the good does not consist of two
or more component parts, a change to a
baby garment of synthetic fiber or
artificial fiber of heading 9619 from
any other heading, except from heading
5007, 5111 through 5113, 5208 through
5212, 5309 through 5311, 5407 through
5408, 5512 through 5516, 5602 through
5603, 5801 through 5806, 5809 through
5811, 5903, 5906 through 5907, 6209, and
6217, and subheading 6307.90, and
provided that the change is the result
of a fabric-making process; or
(10) If the good consists of two or more
component parts, a change to an
assembled women's or girls' garment,
made up of fabrics of heading 5602,
5603, 5903, 5906, or 5907, of heading
9619 or a girls', boys', men's, or
women's garment, other than knitted or
crocheted garments and other than a
women's or girls' singlet or other
undershirt, brief, panty, negligee,
bathrobe, dressing gown, or a similar
article, from unassembled components,
provided that the change is the result
of the good being wholly assembled in a
single country, territory, or insular
possession;
[[Page 675]]
(11) If the good does not consist of two
or more component parts, a change to an
assembled women's or girls' garment,
made up of fabrics of heading 5602,
5603, 5903, 5906, or 5907, of heading
9619 or a girls', boys', men's, or
women's garment, other than knitted or
crocheted garments and other than a
women's or girls' singlet or other
undershirt, brief, panty, negligee,
bathrobe, dressing gown, or a similar
article from any other heading, except
from heading 5007, 5111 through 5113,
5208 through 5212, 5309 through 5311,
5407 through 5408, 5512 through 5516,
5602 through 5603, 5801 through 5806,
5809 through 5811, 5903, 5906 through
5907, 6001 through 6006, 6210 through
6212, and 6217, and subheading 6307.90,
and provided that the change is the
result of a fabric-making process; or
(12) The country of origin of an other
made up article of heading 9619 is the
country, territory, or insular
possession in which the woven fabric
component of the good was formed by a
fabric-making process.
------------------------------------------------------------------------
(2) For goods of HTSUS headings 6213 and 6214 and HTSUS subheadings
6117.10, 6302.22, 6302.29, 6302.52, 6302.53, 6302.59, 6302.92, 6302.93,
6302.99, 6303.92, 6303.99, 6304.19, 6304.93, 6304.99, 9404.90.85 and
9404.90.95, except for goods classified under those headings or
subheadings as of cotton or of wool or consisting of fiber blends
containing 16 percent or more by weight of cotton:
(i) The country of origin of the good is the country, territory, or
insular possession in which the fabric comprising the good was both dyed
and printed when accompanied by two or more of the following finishing
operations: bleaching, shrinking, fulling, napping, decating, permanent
stiffening, weighting, permanent embossing, or moireing;
(ii) If the country of origin cannot be determined under paragraph
(e)(2)(i) of this section, except for goods of HTSUS subheading 6117.10
that are knit to shape or consist of two or more component parts, the
country of origin is the country, territory, or insular possession in
which the fabric comprising the good was formed by a fabric-making
process; or
(iii) For goods of HTSUS subheading 6117.10 that are knit to shape
or consist of two or more component parts, if the country of origin
cannot be determined under paragraph (e)(2)(i) of this section:
(A) If the good is knit to shape, the country of origin of the good
is the country, territory, or insular possession in which a change to
HTSUS subheading 6117.10 from yarn occurs, provided that the knit to
shape components are knit in a single country, territory, or insular
possession; or
(B) If the good is not knit to shape and consists of two or more
component parts, the country of origin of the good is the country,
territory, or insular possession in which a change to an assembled good
of HTSUS subheading 6117.10 from unassembled components occurs, provided
that the change is the result of the good being wholly assembled in a
single country, territory, or insular possession.
[T.D. 95-69, 60 FR 46197, Sept. 5, 1995, as amended by T.D. 96-56, 61 FR
37818, July 22, 1996; T.D. 99-64, 64 FR 43266, Aug. 10, 1999; T.D. 01-
36, 66 FR 21661, May 1, 2001; 66 FR 23981, May 10, 2001; T.D. 02-47, 67
FR 51752, Aug. 9, 2002; T.D. 03-08, 68 FR 8713, Feb. 25, 2003; CBP Dec.
08-42, 73 FR 64538, Oct. 30, 2008; CBP Dec. 08-42, 73 FR 66171, Nov. 7,
2008; 76 FR 54697, Sept. 2, 2011; CBP Dec. 12-15, 77 FR 58938, Sept. 25,
2012]
Sec. 102.22 Rules of origin for textile and apparel products of Israel.
(a) Applicability. The provisions of this section will control for
purposes of determining whether a textile or apparel product, as defined
in Sec. 102.21(b)(5), is considered a product of Israel for purposes of
the customs laws and the administration of quantitative limitations. A
textile or apparel product will be a product of Israel if it is wholly
the growth, product, or manufacture of Israel. However, a textile or
apparel product that consists of materials produced or derived from, or
processed in, another country, or insular possession of the United
States, in addition to Israel, will be a product of Israel if it last
underwent a substantial transformation in Israel. A textile or apparel
product will be considered to have undergone a substantial
transformation if it has been transformed by means of substantial
manufacturing or processing operations into a new and different article
of commerce.
[[Page 676]]
(b) Criteria for determining country of origin for products of
Israel. The criteria in paragraphs (b)(1) and (b)(2) of this section
will be considered in determining whether an imported textile or apparel
product is a product of Israel. These criteria are not exhaustive. One
or any combination of criteria may be determinative, and additional
factors may be considered.
(1) A new and different article of commerce will usually result from
a manufacturing or processing operation if there is a change in:
(i) Commercial designation or identity;
(ii) Fundamental character; or
(iii) Commercial use.
(2) In determining whether merchandise has been subjected to
substantial manufacturing or processing operations, the following will
be considered:
(i) The physical change in the material or article as a result of
the manufacturing or processing operations in Israel or in Israel and a
foreign territory or country or insular possession of the U.S.;
(ii) The time involved in the manufacturing or processing operations
in Israel or in Israel and a foreign territory or country or insular
possession of the U.S.;
(iii) The complexity of the manufacturing or processing operations
in Israel or in Israel and a foreign territory or country or insular
possession of the U.S.;
(iv) The level or degree of skill and/or technology required in the
manufacturing or processing operations in Israel or in Israel and a
foreign territory or country or insular possession of the U.S.; and
(v) The value added to the article or material in Israel or in
Israel and a foreign territory or country or insular possession of the
U.S., compared to its value when imported into the U.S.
(c) Manufacturing or processing operations. (1) An article or
material usually will be a product of Israel when it has undergone in
Israel prior to importation into the United States any of the following:
(i) Dyeing of fabric and printing when accompanied by two or more of
the following finishing operations: bleaching, shrinking, fulling,
napping, decating, permanent stiffening, weighting, permanent embossing,
or moireing;
(ii) Spinning fibers into yarn;
(iii) Weaving, knitting or otherwise forming fabric;
(iv) Cutting of fabric into parts and the assembly of those parts
into the completed article; or
(v) Substantial assembly by sewing and/or tailoring of all cut
pieces of apparel articles which have been cut from fabric in another
foreign territory or country, or insular possession of the U.S., into a
completed garment (e.g., the complete assembly and tailoring of all cut
pieces of suit-type jackets, suits, and shirts).
(2) An article or material usually will not be considered to be a
product of Israel by virtue of merely having undergone any of the
following:
(i) Simple combining operations, labeling, pressing, cleaning or dry
cleaning, or packaging operations, or any combination thereof;
(ii) Cutting to length or width and hemming or overlocking fabrics
which are readily identifiable as being intended for a particular
commercial use;
(iii) Trimming and/or joining together by sewing, looping, linking,
or other means of attaching otherwise completed knit-to-shape component
parts produced in a single country, even when accompanied by other
processes (e.g., washing, drying, and mending) normally incident to the
assembly process;
(iv) One or more finishing operations on yarns, fabrics, or other
textile articles, such as showerproofing, superwashing, bleaching,
decating, fulling, shrinking, mercerizing, or similar operations; or
(v) Dyeing and/or printing of fabrics or yarns.
(d) Results of origin determination. If Israel is determined to be
the country of origin of a textile or apparel product by application of
the provisions in paragraphs (a), (b), and (c) of this section, the
inquiry into the origin of the product ends. However, if Israel is
determined not to be the country of origin of a textile or apparel
product by application of the provisions in paragraphs (a), (b), and (c)
of this section, the country of origin of the product
[[Page 677]]
will be determined under the rules of origin set forth in Sec. 102.21,
although the application of those rules cannot result in Israel being
the country of origin of the product.
[CBP Dec. 05-32, 70 FR 58013, Oct. 5, 2005]
Sec. 102.23 Origin and Manufacturer Identification
(a) Textile or apparel product manufacturer identification. All
commercial importations of textile or apparel products must identify on
CBP Form 3461 (Entry/Immediate Delivery) and CBP Form 7501 (Entry
Summary), and in all electronic data transmissions that require
identification of the manufacturer, the manufacturer of such products
through a manufacturer identification code (MID) constructed from the
name and address of the entity performing the origin-conferring
operations pursuant to Sec. 102.21 or Sec. 102.22 of this part, as
applicable. The code must be accurately constructed using the
methodology set forth in the appendix to this part, including the use of
the two-letter International Organization for Standardization (ISO) code
for the country of origin of such products. When a single entry is filed
for products of more than one manufacturer, the products of each
manufacturer must be separately identified. Importers must be able to
demonstrate to CBP their use of reasonable care in determining the
manufacturer. If an entry filed for such merchandise fails to include
the MID properly constructed from the name and address of the
manufacturer, the port director may reject the entry or take other
appropriate action. For purposes of this paragraph, ``textile or apparel
products'' means goods classifiable in Section XI, Harmonized Tariff
Schedule of the United States (HTSUS), and goods classifiable in any 10-
digit HTSUS number outside of Section XI with a three-digit textile
category number assigned to the specific subheading.
(b) Incomplete or insufficient information. If the port director is
unable to determine the country of origin of a textile or apparel
product, the importer must submit additional information as requested by
the port director. Release of the product from CBP custody will be
denied until a determination of the country of origin is made based upon
the information provided or the best information available.
(c) Date of exportation. For quota, visa or export license
requirements, and statistical purposes, the date of exportation for
textile or apparel products listed in Sec. 102.21(b)(5) will be the date
the vessel or carrier leaves the last port in the country of origin, as
determined by application of Sec. 102.21 or Sec. 102.22, as applicable.
Contingency of diversion in another foreign territory or country will
not change the date of exportation for quota, visa or export license
requirements or for statistical purposes.
[CBP Dec. 05-32, 70 FR 58013, Oct. 5, 2005, as amended at CBP Dec. 11-
09, 76 FR 14584, Mar. 17, 2011]
Sec. 102.24 Entry of textile or apparel products.
Textile or apparel products subject to section 204 of the
Agricultural Act of 1956, as amended (7 U.S.C. 1854), whether or not the
requirements set forth in Sec. 102.21 or Sec. 102.22, as applicable,
have been met, will be denied entry where the factory, producer,
manufacturer, or other company named in the entry documents for such
textile or apparel products is named in a directive published in the
Federal Register by the Committee for the Implementation of Textile
Agreements as a company found to be illegally transshipping, closed or
unable to produce records to verify production. In these circumstances,
no additional information will be accepted or considered by CBP for
purposes of determining the admissibility of such textile or apparel
products.
[CBP Dec. 05-32, 70 FR 58013, Oct. 5, 2005, as amended by CBP Dec. 12-
19, 77 FR 72719, Dec. 6, 2012]
Sec. 102.25 Textile or apparel products under the North American Free
Trade Agreement.
In connection with a claim for NAFTA preferential tariff treatment
involving non-originating textile or apparel products subject to the
tariff preference level provisions of appendix 6.B to Annex 300-B of the
NAFTA and Additional U.S. Notes 3 through 6 to
[[Page 678]]
Section XI, Harmonized Tariff Schedule of the United States, the
importer must submit to CBP a Certificate of Eligibility covering the
products. The Certificate of Eligibility must be properly completed and
signed by an authorized official of the Canadian or Mexican government
and must be presented to CBP at the time the claim for preferential
tariff treatment is filed under Sec. 181.21 of this chapter. If the port
director is unable to determine the country of origin of the products,
they will not be entitled to preferential tariff treatment or any other
benefit under the NAFTA for which they would otherwise be eligible.
[CBP Dec. 05-32, 70 FR 58013, Oct. 5, 2005]
Appendix to Part 102--Textile and Apparel Manufacturer Identification
Rules for Constructing the Manufacturer Identification Code (MID)
1. Pursuant to Sec. 102.23(a) of this part, all commercial
importations of textile or apparel products, as defined in that
paragraph, must identify on CBP Form 3461 (Entry/Immediate Delivery) and
CBP Form 7501 (Entry Summary), and in all electronic data transmissions
that require identification of the manufacturer, the manufacturer of
such products through a manufacturer identification code (MID)
constructed from the name and address of the entity performing the
origin-conferring operations. The MID may be up to 15 characters in
length, with no spaces inserted between the characters.
2. The first 2 characters of the MID consist of the ISO code for the
actual country of origin of the goods. The one exception to this rule is
Canada. ``CA'' is not a valid country code for the MID; instead, one of
the appropriate province codes listed below must be used:
ALBERTA--XA
BRITISH COLUMBIA--XC
MANITOBA--XM
NEW BRUNSWICK--XB
NEWFOUNDLAND (LABRADOR)--XW
NORTHWEST TERRITORIES--XT
NOVA SCOTIA--XN
NUNAVUT--XV
ONTARIO--XO
PRINCE EDWARD ISLAND--XP
QUEBEC--XQ
SASKATCHEWAN--XS
YUKON TERRITORY--XV
3. The next group of characters in the MID consists of the first
three characters in each of the first two ``words'' of the
manufacturer's name. If there is only one ``word'' in the name, then
only the first three characters from the name are to be used. For
example, ``Amalgamated Plastics Corp.'' would yield ``AMAPLA,'' and
``Bergstrom'' would yield ``BER.'' If there are two or more initials
together, they are to be treated as a single word. For example, ``A.B.C.
Company'' or ``A B C Company'' would yield ``ABCCOM,'' ``O.A.S.I.S.
Corp.'' would yield ``OASCOR,'' ``Dr. S.A. Smith'' would yield ``DRSA,''
and ``Shavings B L Inc.'' would yield ``SHABL.'' The English words
``a,'' ``an,'' ``and,'' ``of,'' and ``the'' in the manufacturer's name
are to be ignored. For example, ``The Embassy of Spain'' would yield
``EMBSPA.'' Portions of a name separated by a hyphen are to be treated
as a single word. For example, ``Rawles-Aden Corp.'' or ``Rawles--Aden
Corp.'' would both yield ``RAWCOR.'' Some names include numbers. For
example, ``20th Century Fox'' would yield ``20TCEN'' and ``Concept
2000'' would yield ``CON200.''
a. Some words in the title of the foreign manufacturer's name are
not to be used for the purpose of constructing the MID. For example,
most textile factories in Macau start with the same words, ``Fabrica de
Artigos de Vestuario,'' which means ``Factory of Clothing.'' For a
factory named ``Fabrica de Artigos de Vestuario JUMP HIGH Ltd,'' the
portion of the factory name that identifies it as a unique entity is
``JUMP HIGH.'' This is the portion of the name that should be used to
construct the MID. Otherwise, all of the MIDs from Macau would be the
same, using ``FABDE,'' which is incorrect.
b. Similarly, many factories in Indonesia begin with the prefix PT,
such as ``PT Morich Indo Fashion.'' In Russia, other prefixes are used,
such as ``JSC,'' ``OAO,'' ``OOO,'' and ``ZAO.'' These prefixes are to be
ignored for the purpose of constructing the MID.
4. The next group of characters in the MID consists of the first
four numbers in the largest number on the street address line. For
example, ``11455 Main Street, Suite 9999'' would yield ``1145.'' A suite
number or a post office box is to be used if it contains the largest
number. For example, ``232 Main Street, Suite 1234'' would yield
``1234.'' If the numbers in the street address are spelled out, such as
``One Thousand Century Plaza,'' no numbers representing the
manufacturer's address will appear in this section of the MID. However,
if the address is ``One Thousand Century Plaza, Suite 345,'' this would
yield ``345.'' When commas or hyphens separate numbers, all punctuation
is to be ignored and the number that remains is to be used. For example,
``12,34,56 Alaska Road'' and ``12-34-56 Alaska Road'' would yield
``1234.'' When numbers are separated by a space, both numbers are
recognized and the larger of the two numbers is to be selected. For
example, ``Apt. 509 2727 Cleveland St.'' would yield ``2727.''
[[Page 679]]
5. The last characters in the MID consist of the first three letters
in the city name. For example, ``Tokyo'' would yield ``TOK,'' ``St.
Michel'' would yield ``STM,'' ``18-Mile High'' would yield ``MIL,'' and
``The Hague'' would yield ``HAG.'' Numbers in the city name or line are
to be ignored. For city-states, the first three letters are to be taken
from the country name. For example, Hong Kong would yield ``HON,''
Singapore would yield ``SIN,'' and Macau would yield ``MAC.''
6. As a general rule, in constructing a MID, all punctuation, such
as commas, periods, apostrophes, and ampersands, are to be ignored. All
single character initials, such as the ``S'' in ``Thomas S. Delvaux
Company,'' are also to be ignored, as are leading spaces in front of any
name or address.
7. Examples of manufacturer names and addresses and their
corresponding MIDs are listed below:
LA VIE DE FRANCE, 243 Rue de la Payees, 62591 Bremond, France;
FRLAVIE243BRE
20TH CENTURY TECHNOLOGIES, 5 Ricardo Munoz, Suite 5880, Caracas,
Venezuela; VE20TCEN5880CAR
Fabrica de Artigos de Vestuario TOP JOB, Grand River Building, FI 2-4,
Macau; MOTOPJOB24MAC
THE GREENHOUSE, 45 Royal Crescent, Birmingham, Alabama 35204; USGRE45BIR
CARDUCCIO AND JONES, 88 Canberra Avenue, Sidney, Australia;
AUCARJON88SID
N. MINAMI & CO., LTD., 2-6, 8-Chome Isogami-Dori, Fukiai-Ku, Kobe,
Japan; JPMINCO26KOB
BOCCHACCIO S.P.A., Visa Mendotti, 61, 8320 Verona, Italy; ITBOCSPA61VER
MURLA-PRAXITELES INC., Athens, Greece; GRMURINCATH
SIGMA COY E.X.T., 4000 Smyrna, Italy, 1640 Delgado; ITSIGCOY1640SMY
COMPANHIA TEXTIL KARSTEN, Calle Grande, 25-27, 67890 Lisbon, Portugal,
PTKAR2527LIS
HURON LANDMARK, 1840 Huron Road, Windsor, ON, Canada N9C 2L5;
XOHURLAN1840WIN
A.B.C. COMPANY, 55-5 Hung To Road, P.O. Box 1234, Kowloon, Hong Kong;
HKABCCOM1234HON.
[CBP Dec. 05-32, 70 FR 58015, Oct. 5, 2005, as amended at CBP Dec. 11-
09, 76 FR 14584, Mar. 17, 2011]
PART 103_AVAILABILITY OF INFORMATION
Sec.
103.0 Scope.
Subpart A_Production of Documents/Disclosure of Information Under the
FOIA
103.1 Public reading rooms.
103.2 Information available to the public.
103.3 Publication of information in the Federal Register.
103.4 Public inspection and copying.
103.5 Specific requests for records.
103.6 Grant or denial of initial request.
103.7 Administrative appeal of initial determination.
103.8 Time extensions.
103.9 Judicial review.
103.10 Fees for services.
103.11 Specific Customs Service records subject to disclosure.
103.12 Exemptions.
103.13 Segregability of records.
Subpart B_Production or Disclosure in Federal, State, Local, and Foreign
Proceedings
103.21 Purpose and definitions.
103.22 Procedure in the event of a demand for CBP information in any
federal, state, or local civil proceeding or administrative
action.
103.23 Factors in determining whether to disclose information pursuant
to a demand.
103.24 Procedure in the event a decision concerning a demand is not
made prior to the time a response to the demand is required.
103.25 Procedure in the event of an adverse ruling.
103.26 Procedure in the event of a demand for CBP information in a
state or local criminal proceeding.
103.27 Procedure in the event of a demand for CBP information in a
foreign proceeding.
Subpart C_Other Information Subject to Restricted Access
103.31 Information on vessel manifests and summary statistical reports.
103.31a Advance electronic information for air, truck, and rail cargo.
103.32 Information concerning fines, penalties, and forfeitures cases.
103.33 Release of information to foreign agencies.
103.34 Sanctions for improper actions by Customs officers or employees.
103.35 Confidential commercial information; exempt.
Authority: 5 U.S.C. 301, 552, 552a; 19 U.S.C. 66, 1624; 31 U.S.C.
9701.
Section 103.31 also issued under 19 U.S.C. 1431;
Section 103.31a also issued under 19 U.S.C. 2071 note and 6 U.S.C.
943;
Section 103.33 also issued under 19 U.S.C. 1628;
Section 103.34 also issued under 18 U.S.C. 1905.
[[Page 680]]
Section 103.35 also issued under E.O. 12600 of June 23, 1987.
Source: T.D. 81-168, 46 FR 32565, June 24, 1981, unless otherwise
noted.
Sec. 103.0 Scope.
This part governs the production/disclosure of agency-maintained
documents/information requested pursuant to various disclosure laws and/
or legal processes. Thus, the extent of disclosure of requested
information may be dependent on whether the request is pursuant to the
provisions of the Freedom of Information Act (FOIA), as amended (5
U.S.C. 552), the Privacy Act of 1974, as amended (5 U.S.C. 552a), and/or
under other statutory or regulatory authorities, as required by
administrative and/or legal processes. The regulations for this part
contain a discussion of applicable fees for the search, duplication,
review, and other tasks associated with processing information requests
pursuant to the FOIA, and also provide for the appeal of agency
decisions and sanctions for the improper withholding and/or the untimely
release of requested information. As information obtained by Customs is
derived from a myriad of sources, persons seeking information should
consult with the appropriate field officer before invoking the formal
procedures set forth in this part. These regulations supplement the
regulations of the Department of the Treasury regarding public access to
records, which are found at 31 CFR part 1, and, in the event of any
inconsistency between these regulations and those of the Department of
the Treasury, the latter shall prevail. For purposes of this part, the
Office of the Chief Counsel is considered a part of the United States
Customs Service.
[T.D. 96-36, 61 FR 19838, May 3, 1996, as amended by T.D. 99-27, 64 FR
13675, Mar. 22, 1999]
Subpart A_Production of Documents/Disclosure of Information Under the
FOIA
Sec. 103.1 Public reading rooms.
Each office listed below will maintain a public reading room or
public reading area where the material required to be made available
under 5 U.S.C. 552(a)(2) and this part may be inspected and copied:
United States Customs Service (Headquarters), 1300 Pennsylvania Avenue,
NW., Washington, DC 20229
Boston, 10 Causeway Street, Boston, Massachusetts 02222
New York, One Penn Plaza, 10th Floor, New York, NY 10119
Chicago, Room 1501, 55 East Monroe Street, Chicago, Illinois 60603
Miami, 99 S.E. 5th Street, Miami, Florida 33131
New Orleans, Canal-LaSalle Building, Rm. 302, 423 Canal St., New
Orleans, Louisiana 70130
Houston, 5850 San Felipe, Houston, Texas 77057
Los Angeles, New Federal Building, 300 N. Los Angeles Street, Los
Angeles, California 90012.
The reading rooms are open to the public during regular business hours
unless other hours are posted, Monday through Friday of each week,
exclusive of national holidays. A fee for copies of requested material
is charged in accordance with Sec. 103.10.
[T.D. 81-168, 46 FR 32565, June 24, 1981, as amended by T.D. 83-209, 48
FR 45544, Oct. 6, 1983; T.D. 95-77, 60 FR 50019, Sept. 27, 1995; T.D.
99-27, 64 FR 13675, Mar. 22, 1999; CBP Dec. 07-76, 72 FR 52782, Sept.
17, 2007]
Sec. 103.2 Information available to the public.
(a) General. The Freedom of Information Act, as amended (5 U.S.C.
552), provides for access to information and records developed or
maintained by Federal agencies. Subject only to the exemptions set forth
in Sec. 103.12, the public generally or any individual member is
entitled to information or records which are described in paragraph (b)
of this section and which are in the possession of the United States
Customs Service. Access to that information is governed by the
regulations in this part.
(b) Three categories of information available. Generally, 5 U.S.C.
552 divides agency information into three major categories and provides
methods by which each category is available to the public. The three
major categories, for which the disclosure requirements of the United
States Customs Service are set forth in this part, are as follows:
[[Page 681]]
(1) Information required to be published in the Federal Register
(see Sec. 103.3).
(2) Information required to be made available for public inspection
and copying or, in the alternative, to be published and offered for sale
(see Sec. 103.4).
(3) Information required to be made available to any member of the
public upon specific request (see Sec. 103.5).
Sec. 103.3 Publication of information in the Federal Register.
(a) Requirements. Subject to the application of the exemptions
described in Sec. 103.12 and subject to the limitations provided in
paragraph (b) of this section, the United States Customs Service is
required, by 5 U.S.C. 552(a)(1), to separately state, publish and keep
current in the Federal Register for the guidance of the public the
following information:
(1) Descriptions of its central and field organization and the
established places at which, the persons from whom, and the methods
whereby, the public may obtain information, make submittals or requests,
or obtain decisions.
(2) A statement of the general course and method by which its
function are channeled and determined, including the nature and
requirements of all formal and informal procedures available.
(3) Rules of procedure, descriptions of forms available and the
places at which forms may be obtained, and instructions as to the scope
and contents of all papers, reports, or examinations.
(4) Substantive rules of general applicability adopted as authorized
by law, and statements of general policy or interpretations of general
applicability formulated and adopted by it.
(5) Each amendment, revision, or repeal of matters referred to in
paragraphs (a) (1) through (4) of this section.
(b) Limitations--(1) Incorporation by reference in the Federal
Register. Matter reasonably available to an affected class of persons,
whether published by a private organization or an agency of the United
States, is published in the Federal Register for purposes of paragraph
(a) of this section when it is incorporated by reference in the Federal
Register with the approval of the Director of the Federal Register. Any
matter which is incorporated by reference must be set forth in the
privately- or publicly-printed document substantially in its entirety
and not merely summarized or printed as a synopsis. There can be no
incorporation by reference in the Federal Register of any matter where
only a few persons having a special working knowledge of the activities
of the United States Customs Service are familiar with its location and
scope. The provisions of 5 U.S.C. 552(a)(1) and 1 CFR part 20 control
any incorporation of matter by reference.
(2) Effect of failure to publish. Except to the extent that a person
has actual and timely notice of the terms of any matter referred to in
paragraph (a) of this section which is required to be published in the
Federal Register, that person is not required in any manner to resort
to, or be adversely affected by, that matter if it is not published or
incorporated by reference. That is, any matter which imposes an
obligation and which is not published or incorporated by reference can
not adversely change or affect a person's rights.
Sec. 103.4 Public inspection and copying.
(a) In general. Subject to the application of the exemption
described in Sec. 103.12 the United States Customs Service is required,
by 5 U.S.C. 552(a)(2) and Sec. Sec. 174.32 and 177.10 of this chapter,
to make available for public inspection and copying or, in the
alternative, promptly publish and offer for sale, the following
information:
(1) Final opinions and orders, including concurring or dissenting
opinions, made in the adjudication of cases;
(2) Within 120 days of issuance, any precedential decision
(including any ruling letter, internal advice memorandum, or protest
review decision) issued under the Tariff Act of 1930, as amended, with
respect to any Customs transaction;
(3) Those statements of policy and interpretations which have been
adopted by the United States Customs Service but are not published in
the Federal Register; and
[[Page 682]]
(4) Administrative staff manuals and instructions to staff that
affect a member of the public.
(b) Indexes. The United States Customs Service is required by 5
U.S.C. 552(a)(2) to maintain and make available for public inspection
and copying those current indexes which identify any item described in
paragraphs (a) (1) through (3) of this section that is issued, adopted,
or promulgated after July 4, 1967, and that is required to be made
available for public inspection or published. Unless the Commissioner
determines by an order published in the Federal Register that
publication is unnecessary and impracticable, these indexes are
published on a quarterly or more frequent basis and are available for
purchase at each of the public reading rooms listed in Sec. 103.1, at a
cost not to exceed the direct cost of duplication.
(c) Effect of failure to publish or make available. No matter,
described in paragraphs (a) (1) through (3) of this section which is
required by this section to be made available for public inspection or
published, may be relied upon, used, or cited as precedent by the United
States Customs Service against a party, other than an agency, unless
that party has actual and timely notice of such matter or unless the
matter has been indexed and either made available for inspection or
published, as provided by this section. This paragraph applies only to
matters which have precedential significance and does not apply to
matters which have been made available pursuant to Sec. 103.3.
(d) Deletion of identifying details. To prevent an unwarranted
invasion of personal privacy, in accordance with 5 U.S.C. 552(a)(2),
identifying details contained in any matter described in paragraphs (a)
(1) through (3) of this section are deleted before making that matter
available for inspection or publication. However, in every case where
identifying details are deleted, the basis for the deletion is explained
in writing, giving specific reasons for the deletion and citing the
applicable provision of 5 U.S.C. 552 and Sec. 103.12, in an attachment
to the document from which the identifying details have been deleted.
(e) Public reading rooms. The United States Customs Service has
available for inspection and copying, in a reading room or otherwise,
the matters described in paragraphs (a) (1) through (3) of this section
which are required by paragraph (a) to be made available for public
inspection or published in the current indexes. Facilities are provided
whereby a person may inspect and obtain copies of the material. There is
no fee for access to materials, but a fee is charged in accordance with
Sec. 103.10 for a copy of any material provided.
Sec. 103.5 Specific requests for records.
(a) In general. Except with respect to the records made available
under Sec. Sec. 103.3 and 103.4, but subject to the application of the
exemptions described in Sec. 103.12, the United States Customs Service
is required, by 5 U.S.C. 552(a)(3), upon a request for reasonably-
described records that conforms in every respect to the rules and
procedures of this part, to make the requested records promptly
available to the requester. A request or an appeal from the initial
denial of a request which does not comply with the requirements set
forth in this part is not subject to the time limits of Sec. Sec. 103.6,
103.7, and 103.8 until amended so as to comply. Nevertheless, every
reasonable effort will be made to answer each request within the
applicable time limits or, if necessary, to promptly advise the
requester in what respect the request or appeal is deficient so that it
may be resubmitted or amended for consideration in accordance with this
part. This section applies only to existing records which are in the
possession or control of the United States Customs Service. There is no
requirement that records be created or data be processed in other than
the existing format in order to answer a request for records.
(b) Requests for records not in control of the United States Customs
Service--(1) Referral of request. Where the request is for a record in
the possession of, under the control of, or created by a constituent
unit of the Department of the Treasury other than the United States
Customs Service, the appropriate Customs officer shall transfer the
request to the appropriate constituent unit and notify the requester of
that transfer. Forwarding a request to another constituent unit is not a
denial of access
[[Page 683]]
within the meaning of these regulations. If the United States Customs
Service receives a request forwarded from another constituent unit of
the Department of the Treasury, the time limits for response set forth
in Sec. Sec. 103.6(b) and 103.8(a) commence upon receipt of the request
by the Disclosure Law Officer, U.S. Customs Service. If the United
States Customs Service receives a request for a record that is not in
the possession or control of any constituent unit of the Department of
the Treasury, the appropriate Customs officer shall return the request
to the sender with an explanation of that fact.
(2) Request for advice. If the Customs Service has a copy of a
requested unclassified record that was created by a Department or agency
other than a constituent unit of the Department of the Treasury, the
appropriate Customs officer shall ask that Department or agency for its
advice on the release of the record. The appropriate Customs officer
shall advise the other Department or agency that, in the absence of
timely guidance from it, the United States Customs Service will proceed
to make its own determination in accordance with this part. If it
becomes necessary to respond to a requester because of the time limits
set forth in Sec. Sec. 103.6(b) and 103.8(a) without the advice of the
other Department or agency, the appropriate Customs officer shall make
the determination in accordance with this part and advise the requester
accordingly. If the appropriate Customs officer denies access to the
record under one of the exemptions set forth in Sec. 103.12, that
officer shall advise the requester of the right to appeal the denial and
of the possibility of sending a request for the record directly to the
originating Department or agency. If a requester appeals from a denial
to the United States Customs Service, the appropriate Customs officer
shall ask the originating Department or agency for timely advice on
whether to release the records. Nevertheless, the ultimate decision on
the appeal from a denial of access to a record rests with the FOIA
Appeals Officer, as set forth in Sec. 103.7.
(3) Classified records. If the Customs Service has a copy of a
requested record created by a Department or agency other than a
constituent unit of the Department of the Treasury, and that record is
classified or contains both classified and unclassified material, the
request shall be referred to the originating Department or agency for a
direct response. The requester shall be notified immediately of the
referral. Such referral shall not constitute a denial of the request and
no appeal rights accrue to the requester.
(c) Form of request. Although no standard form is prescribed for a
request, in order to be subject to the provisions of this section and
Sec. Sec. 103.6 through 103.9, a request for records must:
(1) Be made in writing and signed by the person making that request;
(2) State that it is made pursuant to the Freedom of Information
Act, as amended (5 U.S.C. 552), or these regulations, and have
conspicuously printed on the face of the envelope the words ``Freedom of
Information Act Request'' or ``FOIA Request'';
(3) Be addressed to the appropriate office or officer of the United
States Customs Service, as set forth in paragraph (d) of this section;
(4) Reasonably describe the records in accordance with paragraph (e)
of this section.
(5) Set forth the address where the person making the request
desires to be notified of the determination as to whether the request
will be granted;
(6) State whether the requester wishes to inspect the records or
desires to have a copy made and furnished without first inspecting them;
and
(7) State the firm agreement of the requester to pay the fees for
search and duplication ultimately determined in accordance with
Sec. 103.10, or request that such fees be reduced or waived and state
the justification for such request (see Sec. 103.10(d)).
Where the initial request, rather than stating a firm agreement to pay
the fee ultimately determined in accordance with Sec. 103.10, places an
upper limit on the amount the requester agrees to pay and that upper
limit is likely to be lower than the estimated fee, or where the
requester asks for an estimate of the fees to be charged, or if the fees
are expected to exceed $50, the appropriate
[[Page 684]]
Customs officer shall promptly advise the requester of the estimated fee
due and ask the requester to agree to pay that amount. Where the initial
request includes a request for reduction or waiver of fees, the
appropriate Customs officer shall determine whether to grant the request
for reduction or waiver in accordance with Sec. 103.10(d) and notify the
requester of the decision. If the officer decides to charge the
requester for all or part of the fees normally due, the officer shall
ask the requester to agree to pay the amount so determined. The
requirements of this paragraph are not met until the requester agrees,
in writing, to pay the fees applicable to the request for records, if
any, or has made payment in advance of the fees estimated to be due.
(d) To whom requests for records should be addressed--(1)
Headquarters. Requests made by mail for records maintained at the
Headquarters of the United States Customs Service should be addressed to
``Freedom of Information Act Request,'' U.S. Customs Service, 1300
Pennsylvania Avenue, NW., Washington, DC 20229. Requests may be
delivered personally to the Disclosure Law Officer, U.S. Customs
Service, Headquarters, Washington, DC.
(2) Field offices. A person shall request records or information
maintained in a field office of the United States Customs Service by
either mailing or personally delivering the request to the director of
the service port, or if the records concern the Office of
Investigations, the special agent in charge, where the field office is
located.
(e) Reasonable description of records. A request for records must
describe the records in reasonably sufficient detail to enable a Customs
officer who is familiar with the subject area of the request to locate
the records without placing an unreasonably burden upon the United
States Customs Service. While no specific formula for a reasonable
description of a record can be established, the requirement is usually
satisfied if the requester gives the name, subject matter, and, if
known, the date and location of the requested record. However, a
requester should furnish any additional information which will more
clearly identify the requested records. If a request does not reasonably
describe the records being sought, the appropriate Customs officer shall
ask the requester to refine the request. If necessary a requester may be
granted a conference with knowledgeable Customs personnel. The
requirement for a reasonably description is not a device for improperly
withholding records from the public.
(f) Date of receipt of request. A request for records is considered
to have been received for purposes of this part on the later of the
dates on which:
(1) The requirements of paragraph (c) of this section have been
satisfied; and, where applicable,
(2) The requester has agreed in writing, by executing a separate
contract or otherwise, to pay the fees for search and duplication
determined to be due in accordance with Sec. 103.10; or
(3) The fees have been waived in accordance with Sec. 103.10(d); or
(4) Payment in advance has been received from the requester.
A Customs officer or employee who receives a request for records and a
separate agreement to pay, or a letter transmitting prepayment, or who
issues a final notification of waiver of fees, shall stamp the date of
receipt or dispatch by the responsible office on the materal. The latest
of those dates is the date of receipt of the request. As soon as the
date of receipt has been established, the appropriate Customs officer
shall acknowledge receipt and inform the requester of the title of the
Customs officer who is responsible for acting on the request.
(g) Search for record requested. Upon the receipt of a request, the
appropriate Customs officer shall attempt to identify and locate the
requested records. With respect to records maintained in computerized
form, a search for a record includes services functionally analogous to
searches for records which are maintained in a conventional form.
However, Customs personnel are not required to tabulate or compile
information for the purpose of creating a record. Only records in
existence at the time of the receipt of the request will be treated as
falling within the scope of the request and no request
[[Page 685]]
for the continuing production of documents created after receipt of the
request will be honored.
(h) ``Request for record'' defined. For purposes of uniformity in
recordkeeping a ``request for a record'' is defined as a written request
for a record of the U.S. Customs Service which has not been published in
the Federal Register, the Customs Bulletin, by press release, or
otherwise, or made available in a public reading room, or which has not
previously been customarily furnished to requesters, whether or not the
request makes reference to the Freedom of Information Act, as amended (5
U.S.C. 552).
[T.D. 81-168, 46 FR 32565, June 24, 1981; 46 FR 35084, July 7, 1981, as
amended by T.D. 91-77, 56 FR 46114, Sept. 10, 1991; T.D. 99-27, 64 FR
13675, Mar. 22, 1999]
Sec. 103.6 Grant or denial of initial request.
(a) Officers designated to make initial determinations--(1) Service
ports. The appropriate director of a service port, or in the case of
records of the Office of Investigations, the appropriate special agent
in charge (SAC), shall make any initial determination of a request for a
record which is maintained, respectively, at that service port or under
the SAC's jurisdiction.
(2) Headquarters. For records located at Customs Service
Headquarters, the initial determination to grant or deny a request shall
be made by the appropriate Division Director at Customs Service
Headquarters having custody of or functional jurisdiction over the
subject matter of the requested records. In the event the request
relates to records which are maintained in an office which is not within
a division, the initial determination shall be made by the individual
designated for that purpose by the Assistant Commissioner having
responsibility for that office.
(b) Time limit for initial determinations. The time limit for making
an initial determination to grant or deny a request for records,
including the time for notifying the requester of that determination, is
10 days (excepting Saturdays, Sundays, and legal public holidays) after
the date of receipt of the request (see Sec. 103.5(f)), unless the
designated officer invokes an extension pursuant to Sec. 103.8(a) or the
requester otherwise agrees to an extension.
(c) Grant of request. If the appropriate Customs officer grants a
request, and if the requester wants a copy of the requested records,
that officer shall mail a copy of those records to the requester
together with a statement of the fees for search and duplication at the
time of the determination or promptly thereafter. If a requester wants
to inspect the record, the appropriate Customs officer who grants the
request shall send written notice to the requester stating the time and
place of inspection and the amount of any fee involved in the request.
In such a case, the appropriate Customs officer shall make the record
available for inspection at the time and place stated, but in a manner
so as not to interfere with its use by the United States Customs Service
or to exclude other persons from making an inspection. In addition,
reasonable limitations may be placed on the number of records which may
be inspected by a person on any given date. The requester is not allowed
to remove a record from the inspection room. If, after making
inspection, the requester wants a copy of all or a portion of the
requested record, the appropriate Customs officer shall supply the
desired copy upon payment of the established fee prescribed in
Sec. 103.10.
(d) Denial of request. The Customs officer who denies a request for
records (whether in whole or in part) shall mail written notice of the
denial to the requester. The letter of notificatimn shall contain (1)
the physical location of the requested records, (2) the applicable
exemption(s) and reason for not granting the request, (3) the name and
title or position of the Customs officer who denied the request, (4)
advice on the right to administrative appeal in accordance with
Sec. 103.7, and (5) the title and address of the Customs officer who is
to decide any appeal.
(e) Inability to locate records within time limits. If a requested
record cannot be located and evaluated within the initial 10-day period
or the extension period allowed under Sec. 103.8(a), the Customs officer
who is responsible for the initial determination shall continue to
[[Page 686]]
search for the records. However, that officer shall also notify the
requester of the facts and inform the requester that he or she may
consider the notification to be a denial of access within the meaning of
paragraph (d) of this section, and provide the requester with the
address for the submission of an administrative appeal. The requester
may also be invited, in the alternative, to agree to a voluntary
extension of time in which to locate and evaluate the records. A
voluntary extension of time does not waive a requester's right to appeal
any ultimate denial of access or to appeal a failure to locate the
records within the voluntary extension period.
[T.D. 81-168, 46 FR 32565, June 24, 1981, as amended by T.D. 96-36, 61
FR 19838, May 3, 1996]
Sec. 103.7 Administrative appeal of initial determination.
(a) To whom appeals should be submitted. A requester may submit an
administrative appeal to the FOIA Appeals Officer at Headquarters,
within 35 days after the date of notification described in Sec. 103.6 or
the date of the letter transmitting the last records released, whichever
is later. A requester shall mail or personally deliver an appeal to the
United States Customs Service, 1300 Pennsylvania Avenue, NW.,
Washington, DC 20229.
(b) Form of appeal. The Administrative appeal shall:
(1) Be in writing and signed by the requester,
(2) Have conspicuously printed on the face of the envelope the words
``Freedom of Information Act Appeal'';
(3) Reasonably describe, in accordance with Sec. 103.5(e), the
records to which the appeal relates;
(4) Set forth the address where the requester desires to be notified
of the determination on appeal;
(5) Specify the date of the initial request and the date and control
number of the letter denying the initial request; and
(6) Petition the FOIA Appeals Officer at Headquarters, to grant the
request for records and state any arguments in support thereof.
(c) Disposition of appeal. The Customs officer or employee who
receives an appeal shall stamp the date of receipt on the appeal and the
stamped date is the date of receipt for purposes of the appeal. FOIA
Appeals Officer at Headquarters, shall acknowledge and advise the
appellant of the date of receipt and of the date that a response is due
under this paragraph. The FOIA Appeals Officer shall affirm the initial
denial (in whole or in part) or grant the request for records and notify
the appellant of that determination by letter mailed within 20 days
(exclusive of Saturdays, Sunday, and legal public holidays) after the
date of receipt of the appeal, unless extended pursuant to
Sec. 103.8(a). The purpose of the letter of denial is to inform the
appellant of the reason for the denial and the right to judicial review
of that denial under 5 U.S.C. 552(a)(4)(B). If the FOIA Appeals Officer
is unable to act on an appeal within the 20-day period (or any extension
thereof pursuant to Sec. 103.8(a)), the FOIA Appeals Officer shall send
written notice of that fact to the appellant. In those circumstances, an
appellant is entitled to commence an action in a district court as
provided in Sec. 103.9 despite any continuation in the processing of an
appeal. However, the appellant may also be invited, in the alternative,
to agree to a voluntary extension of time in which to decide the appeal.
A voluntary extension does not waive the right of the appellant to
ultimately commence an action in a United States district court on the
appellant's request.
[T.D. 81-168, 46 FR 32565, June 24, 1981, as amended by T.D. 99-27, 64
FR 13675, Mar. 22, 1999]
Sec. 103.8 Time extensions.
(a) Ten-day extension. In unusual circumstances, the Customs officer
who is responsible for deciding an initial request or an appeal may
extend the time limitations set in Sec. Sec. 103.6 and 103.7 after
written notice to the requester or appellant. This notice must state the
reason for the extension and the date on which the determination is
expected to be dispatched. Any extension or extensions of time are
limited to a cumulative total of not more than 10 additional working
days. (For example, if an extension pursuant to this paragraph is
invoked in connection with an initial determination, any unused days
[[Page 687]]
of the extension period may be invoked in connection with the
determination on administrative appeal by written notice from the FOIA
Appeals Officer, who is to make the appellate determination. If no
extension is sought for the initial determination, an extension of 10
days may be added to the ordinary 20-day period for appellant review.)
Generally, extensions will be invoked only to the extent reasonably
necessary to properly respond to a request. As used in this paragraph,
``unusual circumstances'' means at least one of the following:
(1) The need to search for and collect the requested records from
field facilities or other establishments in buildings other than the
building in which the office of the Customs officer to whom the request
is made is located.
(2) The need to search for, collect, and appropriately examine a
voluminous amount of separate and distinct records which are demanded in
a single request.
(3) The need for consultation, which shall be conducted with all
practicable speed, with another Department or agency having a
substantial interest in the determination of the request, among two or
more constituent units within the Department of the Treasury, or within
offices of the United States Customs Service (other than the legal staff
or Office of Congressional & Public Affairs) having substantial subject-
matter interest therein. Consultations with personnel of the Department
of Justice concerned with requests for records under the Freedom of
Information Act, as amended (5 U.S.C. 552), do not constitute a basis
for an extension under this paragraph.
(b) Extension by judicial review. If the United States Customs
Service fails to comply with the time limitations specified in
Sec. Sec. 103.6 and 103.7 and the requester commences an action under
Sec. 103.9, the court in which the suit was initiated may retain
jurisdiction and allow the United States Customs Service additional time
to review its records, if the Customs Service shows the existence of
exceptional circumstances and the exercise of due diligence in
responding to the request.
[T.D. 81-168, 46 FR 32565, June 24, 1981; 46 FR 35084, July 7, 1981, as
amended by T.D. 91-77, 56 FR 46114, Sept. 10, 1991]
Sec. 103.9 Judicial review.
(a) Failure to comply with time limitations. If the United States
Customs Service fails to comply with the time limitations specified in
Sec. Sec. 103.6, 103.7 or Sec. 103.8, a requester is considered to have
exhausted the administrative remedies with respect to the request.
(b) Procedure of initiating judicial review. If a request for
records is denied upon appeal pursuant to Sec. 103.7, or if no
determination is made within the 10-day or 20-day periods specified in
Sec. Sec. 103.6 and 103.7, respectively, together with an extension
pursuant to Sec. 103.8(a) or by agreement of the requester, the
requester may commence an action under 5 U.S.C. 552(a)(4)(B) in a United
States district court in the district (1) in which the requester
resides, (2) in which the requester's principal place of business is
located, (3) in which the records are situated, or (4) in the District
of Columbia. Service of process in that action is governed by the
Federal Rules of Civil Procedure (28 U.S.C. App.) applicable to actions
against an agency of the United States. The Chief Counsel, United States
Customs Service, 1300 Pennsylvania Avenue, NW., Washington, DC 20229 is
the officer designated to receive any service of process.
(c) Proceeding against officer or employee. Under 5 U.S.C.
552(a)(4)(F), the Special Counsel, Merit Systems Protection Board, has
authority, upon the issuance of a written finding by a court that the
Customs officer or employee who was primarily responsible for
withholding a record may have acted arbitrarily or capriciously, to
initiate a proceeding to determine whether disciplinary action is
warranted against that officer or employee. The Special Counsel, after
investigation and consideration of the evidence submitted, submits its
findings and recommendations to the Commissioner of Customs and the
Secretary of the Treasury. The Special Counsel also sends copies of the
findings and recommendations to the
[[Page 688]]
officer or employee or the representative of that officer or employee.
[T.D. 81-168, 46 FR 32565, June 24, 1981, as amended by T.D. 99-27, 64
FR 13675, Mar. 22, 1999]
Sec. 103.10 Fees for services.
(a) In general. (1) The fees prescribed in this section are for
search and duplication and under no circumstances is there a fee for
determining whether an exemption can or should be asserted, for deleting
exempt matter being withheld from records to be furnished, or for
monitoring a requester's inspection of records made available in this
manner.
(2) Customs publications which are available for sale through the
Government Printing Office are on the shelves of the reading rooms and
similar public inspection facilities, but those publications are not
available for sale at those facilities. Those publications may be
purchased from the Superintendent of Documents, U.S. Government Printing
Office, Washington, DC 20402. However, pages from those publications may
be copied at the public inspection facilities in accordance with the
schedule of fees set forth in paragraph (g) of this section.
(b) When charged. Unless charges are inapplicable, or are waived or
reduced in accordance with paragraph (c) or (d) of this section, fees
are charged in accordance with the schedule contained in paragraph (g)
of this section for services rendered in responding to requests for
records.
(c) Services performed without charge--(1) Certain classes of
records. The Commissioner of Customs or any of the Commissioner's
designees may determine, under the rulemaking procedures of 5 U.S.C.
553, which classes or records under their control may be provided to the
public without charge, or at a reduced charge.
(2) Records provided to government units. Normally, in accordance
with paragraph (d)(2)(ii) of this section, no charge is made for
providing records to Federal, State, or foreign governments,
international governmental organizations, or local governmental agencies
or offices.
(d) Waiver or reduction of fees--(1) Records unavailable or exempt.
Fees may be waived or reduced at the discretion of the Customs officer
who determines the availability of records, if the record is not found
or is exempt from disclosure.
(2) Request for waiver or reduction of fees. Fees may be waived or
reduced on a case by case basis in accordance with this paragraph by the
Customs officer who determines whether to release the record. A request
for a waiver or reduction of fees must be in writing. The appropriate
Customs officer shall waive or reduce a fee if the officer determines
either that:
(i) The records are being requested by, or on behalf of, an
individual who in writing, under penalty or perjury, demonstrates
indigency to the satisfaction of the officer and that compliance with
the request does not constitute an unreasonable burden on the United
States Customs Service; or
(ii) A waiver or reduction of the fees is in the public interest
because furnishing the information primarily benefits the general
public.
(3) Appeal from denial of request. An appeal from a denial of a
request for waiver or reduction of fees is decided under the criteria
set forth in paragraph (d)(2) of this section by the FOIA Appeals
Officer. An appeal shall be in writing and mailed to the FOIA Appeals
Officer within 35 days of the denial of the initial request for waiver
or reduction. An appeal under this paragraph is entitled to a prompt
decision.
(e) Avoidance of unexpected fees. In order to protect a requester
from unexpected fees, a requester is required to state in the request an
agreement to pay the fees determined in accordance with paragraph (g) of
this section or to state an acceptable upper limit on the cost of
processing the request. If the fee for processing the request is
estimated to exceed that limit, or if the requester has failed to state
a limit and the cost is estimated to exceed $50 and there is no decision
to waive or reduce the fees, the appropriate Customs officer shall:
(1) Inform the requester of the estimated costs;
(2) Extend an offer to the requester to confer with Customs
personnel in an attempt to reformulate the request in a manner which
will reduce the fee and
[[Page 689]]
still meet the needs of the requester, and
(3) Inform the requester that the running of the time period within
which a determination on the request must be made is suspended until the
request is reformulated in manner to reduce the cost or until the
requester pays or agrees to pay the estimated cost.
(f) Form of payment. (1) A requester shall pay by a check or money
order that is payable to the order of the United States Customs Service.
(2) If the estimated cost exceeds $50, the requester may be required
to enter into a contract for the payment of actual costs, as determined
in accordance with paragraph (g) of this section, which contract may
provide for prepayment of the estimated costs in whole or in part.
(g) Amount to be charged for specified services. A fee for a service
performed is imposed and collected as set forth in this paragraph. The
Commissioner of Customs or the Commissioner's designee may set an
appropriate fee for any service not described below. These extraordinary
fees are imposed and collected pursuant to 31 U.S.C. 483a, subject to
the constraints imposed by 5 U.S.C. 552(a)(4)(A).
(1) Duplication. (i) The charge for photocopies per page up to 8\1/
2\x14 is at the rate of $0.15 each.
(ii) The charge for photographs, films and other materials is their
actual cost. The Customs Service may furnish the records to be released
to a private contractor for copying and charge the person requesting the
records the actual cost of duplication charged by the private
contractor. No fee is charged where the requester furnishes the supplies
and equipment and makes the copies at the Government location.
(2) Unpriced printed materials. The charge for unpriced printed
material, which is available at the location where requested and which
does not require duplication for copies to be furnished, is at the rate
of $0.25 for each twenty-five pages or fraction thereof.
(3) Search services. The charge for services of personnel involved
in locating records is $10.00 for each hour or fraction thereof. If a
computer search is required because of the nature of the records sought
and the manner in which the records are stored, the fee is $10.00 for
each hour or fraction thereof of personnel time associated with the
search plus the actual cost of extracting the stored information in the
format in which it is normally produced. This actual cost of extracting
information is based on computer time and supplies necessary to comply
with the request.
(4) Searches requiring travel or transportation. The charge for
transporting a record from one location to another, or for transporting
a Customs officer or employee to the site of requested records when it
is necessary to locate rather then examine the records, is the actual
cost of the transportation.
[T.D. 81-168, 46 FR 32565, June 24, 1981, as amended by T.D. 84-149, 49
FR 28699, July 16, 1984]
Sec. 103.11 Specific Customs Service records subject to disclosure.
(a) Administrative staff manuals and instructions. Except as
exempted by Sec. 103.12, all administrative staff manuals and
instructions to staff that affect any member of the public, and indexes
thereto, are available for public inspection and copying in the Customs
Service public reference facilities (see Sec. 103.1), including the
following:
Forms Catalog. Customs and other agency forms currently available from
the Customs Service.
Legal Precedent Retrieval System. The directory is a listing by selected
keywords of all classification rulings issued since early 1974 that
affect a substantial volume of imports or transactions or are of general
interest or importance, and of all published classification rulings
issued since August 31, 1963, including classification decisions, and
classification rulings circulated within the Customs Service by the
Customs Information Exchange and the Office of Regulations and Rulings.
The directory also contains limited information on decisions and rulings
pertaining to entry, value, drawback, marking, country of origin, and
vessel repairs. The directory is maintained on microfiche and is
continually updated. Duplicate microfiche are available for 15[cent]
each, through subscription or in individual sets. The costs of a set
will depend upon the number of microfiche it contains.
Fines, Penalties, and Forfeitures Handbook. Collects in one document
information relating to the total management of the fines, penalties,
and forfeitures program.
[[Page 690]]
Inspector Rate Book. A ready reference guide for inspection personnel.
Contains an abbreviated Tariff Schedules of the United States and other
reference material.
Customs Issuance System (CIS) Index. The index provides a brief
description of circulars, manuals, legal rulings, decisions, and other
Customs documents.
Operational Handbook of Other Agency Requirements Enforced by the U.S.
Customs Service.
Customs Valuation under the Trade Agreements Act of 1979.
Fundamentals of Customs Tariff and Trade Operations Handbook. Material
relating to the duties and responsibilities of import specialists: entry
of merchandise, restrictions, prohibitions and other agency
requirements, special trade programs, invoicing and related
documentation, examination of merchandise, Customs valuation, tariff
classification, liquidation, protests, and miscellaneous import
specialist concerns.
(b) Other Customs records. In general, all other documents issued by
the Secretary of the Treasury, the Commissioner of Customs, or other
officers of the Department of the Treasury or of the United States
Customs Service in matters administered by the United States Customs
Service, if reasonably described, and unless exempted from disclosure
under Sec. 103.12, are available. The classes of records of the United
States Customs Service which may be made available under this paragraph
upon written request submitted in accordance with Sec. 103.5 include,
but are not limited to the following:
(1) Records relating to:
(i) Comments submitted by private parties (which are not considered
to include foreign governments) in response to a published notice of
proposed rulemaking and of proposed changes in tariff classification,
unless the submitter states that the information is privileged or
confidential, giving reasons therefor, and the Commissioner of Customs
agrees that the information contained therein is exempt from disclosure
under Sec. 103.12;
(ii) Advisory committees on Customs matters;
(iii) Rosters of licensed customhouse brokers;
(iv) Names of individual licensed customhouse brokers;
(v) Names and titles of all Customs personnel;
(vi) Performance awards;
(vii) Suggestion awards;
(viii) The administration of and decisions concerning import quotas;
and
(ix) Customs laboratory methods.
(2) Decisions concerning--(i) Matters arising under the Tariff
Schedules of the United States and the Harmonized Tariff Schedule of the
United States (19 U.S.C. 1202);
(ii) Whether or not specific items, articles, or merchandise qualify
for entry under the Trade Fair Act of 1959 (19 U.S.C. 1751 et seq.), and
the disposition of articles previously entered under the Trade Fair Act;
Customs participation and assistance at Trade Fairs;
(iii) The dutiable status of gifts pursuant to section 321, Tariff
Act of 1930, as amended (19 U.S.C. 1321);
(iv) The eligibility of vehicles used in international traffic
pursuant to section 332(a), Tariff Act of 1930 (19 U.S.C. 1322(a)), and
other instruments of international traffic generally for duty-free
entry;
(v) Prohibition from entry of merchandise produced by convict,
forced, or indentured labor (19 U.S.C. 1307);
(vi) The entry or valuation of merchandise;
(vii) Liens in cases arising under section 564, Tariff Act of 1930,
as amended (19 U.S.C. 1564);
(viii) Bills of lading, carriers' certificates, or rights in respect
of merchandise, cases arising under section 483 or 484(c), (h), or (i),
Tariff Act of 1930, as amended (19 U.S.C. 1483, 1484(c), (h), (i));
(ix) Trademarks, trade names, copyrights, patents, and related
matters;
(x) Country of origin marking requirements of section 304, Tariff
Act of 1930, as amended (19 U.S.C. 1304);
(xi) Psittacine or other birds, bird feathers, bird skins, monkeys,
dogs, cats, and other animals and pets prohibited entry or subject to
restrictions and controls on entry;
(xii) Entry of articles admitted temporarily free of duty under bond
as provided in Schedule 8, part 5C, Tariff Schedules of the United
States and Chapter 98, Subchapter XIII, HTSUS (19 U.S.C. 1202), and
entry of articles admitted temporarily free of duty under A.T.A.
Carnets, as provided in Sec. 114.22(a) of this chapter;
[[Page 691]]
(xiii) Tonnage taxes (regular, special, and discriminatory) and
light money;
(xiv) The entry, clearance and use of vessels and permits for them
to proceed coastwise;
(xv) The regulation of vessels in the foreign, coastal, fishing, and
other trades of the United States;
(xvi) The limitation of the use of foreign vessels in waters under
the jurisdiction of the United States;
(xvii) Salvage operations by vessels within the territorial waters
of the United States (46 U.S.C. 316);
(xviii) The assessment and collection of duties on equipment or
repairs of vessels or aircraft under section 466, Tariff Act of 1930, as
amended (19 U.S.C. 1466), and the remission or refund of such duties;
(xix) Requirements for entry, clearance, and use of aircraft;
(xx) The arrival or departure and the use of motor vehicles, railway
trains, or other vehicles;
(xxi) Adequacy of premises at Customs bonded warehouses and control
of the merchandise stored therein;
(xxii) Use of protective Customs seals and labels; and
(xxiii) The itineraries of foreign vessels which had been submitted
for an advisory ruling to determine whether the primary object of a
contemplated voyage would be considered to unlawful coastwise trade (see
Sec. 4.80a(d) of this chapter).
[T.D. 81-168, 46 FR 32565, June 24, 1981, as amended by T.D. 85-123, 50
FR 29954, July 23, 1985; T.D. 89-1, 53 FR 51255, Dec. 21, 1988; T.D. 97-
82, 62 FR 51770, Oct. 3, 1997]
Sec. 103.12 Exemptions.
Pursuant to 5 U.S.C. 552(b), the disclosure requirements of 5 U.S.C.
552(a) are not applicable to U.S. Customs Service records which relate
to the following:
(a) Matters kept secret pursuant to Executive order. Matters
specifically authorized under criteria established by an Executive order
to be kept secret in the interest of national defense or foreign policy
and which are, in fact, properly classified pursuant to such Executive
order (see 31 CFR part 2).
(b) Certain internal rules and procedures. Information relating
solely to the internal personnel rules and practices of an agency.
(c) Matters exempt from disclosure by statute. Information
specifically exempted from disclosure by statute (other than 5 U.S.C.
552b), if the statute (1) requires that the matters be withheld from the
public in such a manner as to leave no discretion on the issue, or (2)
establishes particular criteria for withholding or refers to particular
types of matters to be withheld.
(d) Privileged or confidential information. Trade secrets and
commercial or financial information obtained from any person which is
privileged or confidential.
(e) Certain inter-agency or intra-agency correspondence. Inter-
agency or intra-agency memoranda or letters which would not be available
by law to a private party in litigation with the agency.
(f) Material involving personal privacy. Personnel and medical files
and similar files the disclosure of which would constitute a clearly
unwarranted invasion of personal privacy.
(g) Certain investigatory records. Records or information compiled
for law enforcement purposes, but only to the extent that the production
of such enforcement records or information:
(1) Could reasonably be expected to interfere with enforcement
proceedings;
(2) Would deprive a person of a right to a fair trial or an
impartial adjudication;
(3) Could reasonably be expected to constitute an unwarranted
invasion of personal privacy;
(4) Could reasonably be expected to disclose the identity of a
confidential source, including a State, local or foreign agency or
authority or any private institution which furnished information on a
confidential basis, and, in the case of a record or information compiled
by a criminal law enforcement authority in the course of a criminal
investigation, or by an agency conducting a lawful national security
intelligence investigation, information furnished by a confidential
source;
(5) Would disclose techniques for law enforcement investigations or
prosecutions, or would disclose guidelines for law enforcement
investigations or
[[Page 692]]
prosecutions if such disclosure could reasonably be expected to risk
circumvention of the law; or
(6) Could reasonably be expected to endanger the life or physical
safety of any individual.
(h) Certain pending criminal investigations. Whenever a request is
made which involves access to records described in paragraph (g)(1) of
this section and)--
(1) The investigation or proceeding involves a possible violation of
criminal law; and
(2) There is reason to believe that the subject of the investigation
or proceeding is not aware of its pendency, and disclosure of the
existence of the records could reasonably be expected to interfere with
enforcement proceedings, Customs may, during only such times as that
circumstance continues, treat the records as not subject to the
requirements of this part.
(i) Certain informant records. Whenever informant records maintained
by Customs under an informant's name or personal identifier are
requested by a third party according to the informant's name or personal
identifier, Customs may treat the records as not subject to the
requirements of this part unless the informant's status as an informant
has been officially confirmed.
[T.D. 81-168, 46 FR 32565, June 24, 1981, as amended by T.D. 88-22, 53
FR 12937, Apr. 20, 1988]
Sec. 103.13 Segregability of records.
(a) Reasonably segregable portions. Where the record requested
contains information which is exempt from disclosure under 5 U.S.C.
552(b) and Sec. 103.12, the reasonably segregable portions of the record
shall be made available to the requester. For purposes of this section,
the term ``reasonably segregable portions'' means those portions of the
record: (1) Which are not exempt from disclosure by 5 U.S.C. 552(b) and
Sec. 103.12; (2) which, after deletion of the exempt material, still
convey meaningful and nonmisleading information; and (3) from which it
can reasonably be assumed that a skillful and knowledgeable person could
not reconstruct the exempt portions.
(b) Petitions by American manufacturers, producers, or wholesalers.
Identifying data is not to be deleted from petitions filed by American
manufacturers, producers, and wholesalers pursuant to section 516,
Tariff Act of 1930, as amended (19 U.S.C. 1516). See part 175 of this
chapter.
Subpart B_Production or Disclosure in Federal, State, Local, and Foreign
Proceedings
Source: T.D. 96-36, 61 FR 19838, May 3, 1996, unless otherwise
noted.
Sec. 103.21 Purpose and definitions.
(a) Purpose. (1) This subpart sets forth procedures to be followed
with respect to the production or disclosure of any documents contained
in CBP files, any information relating to material contained in CBP
files, any testimony by a CBP employee, or any information acquired by
any person as part of that person's performance of official duties as a
CBP employee or because of that person's official status, hereinafter
collectively referred to as ``information'', in all federal, state,
local, and foreign proceedings when a subpoena, notice of deposition
(either upon oral examination or written interrogatory), order, or
demand, hereinafter collectively referred to as a ``demand'', of a
court, administrative agency, or other authority is issued for such
information.
(2) This subpart does not cover those situations where the United
States is a party to the action. In situations where the United States
is a party to the action, CBP employees are instructed to follow
internal CBP policies and procedures.
(b) CBP employee. For purposes of this subpart, the term ``CBP
employee'' includes all present and former officers and employees of
U.S. Customs and Border Protection.
(c) CBP documents. For purposes of this subpart, the term ``CBP
documents'' includes any document (including copies thereof), no matter
what media, produced by, obtained by, furnished to, or coming to the
knowledge of, any CBP employee while acting in his/her official
capacity, or because of his/her official status, with respect to the
administration or enforcement of laws administered or enforced by CBP.
[[Page 693]]
(d) Originating component. For purposes of this subpart, the term
``originating component'' references the CBP official, or the official's
designee, in charge of the office responsible for the collection,
assembly, or other preparation of the information demanded or that, at
the time the person whose testimony is demanded acquired the information
in question, employs or employed the person whose testimony is demanded.
(e) Disclosure to government law enforcement or regulatory agencies.
Nothing in this subpart is intended to impede the appropriate disclosure
of information by CBP to federal, state, local, and foreign law
enforcement or regulatory agencies, in accordance with the
confidentiality requirements of the Privacy Act (5 U.S.C. 552a), the
Trade Secrets Act (18 U.S.C. 1905), and other applicable statutes.
(f) Disclosure to federal attorneys and the Court of International
Trade. Nothing in this subpart is intended to restrict the disclosure of
CBP information requested by the Court of International Trade, U.S.
Attorneys, or attorneys of the Department of Justice, for use in cases
which arise under the laws administered or enforced by, or concerning,
CBP and which are referred by the Department of Homeland Security to the
Department of Justice for prosecution or defense.
(g) Disclosure of non-CBP information. Nothing in the subpart is
intended to impede the appropriate disclosure of non-CBP information by
CBP employees in any proceeding in which they are a party or witness
solely in their personal capacities.
(h) Failure of CBP employee to follow procedures. The failure of any
CBP employee to follow the procedures specified in this subpart neither
creates nor confers any rights, privileges, or benefits on any person or
party.
(i) In camera inspection of records. Nothing in this subpart
authorizes CBP personnel to withhold records from a federal court,
whether civil or criminal, pursuant to its order for such records
appropriately made, for purposes of in camera inspection of the records
to determine the propriety of claimed exemption(s) from disclosure.
[61 FR 19838, May 3, 1996, as amended at 78 FR 70856, Nov. 27, 2013]
Sec. 103.22 Procedure in the event of a demand for CBP information in
any federal, state, or local civil proceeding or
administrative action.
(a) General prohibition against disclosure. In any federal, state,
or local civil proceeding or administrative action in which CBP is not a
party, no CBP employee shall, in response to a demand for CBP
information, furnish CBP documents or testimony as to any material
contained in CBP files, any information relating to or based upon
material contained in CBP files, or any information or material acquired
as part of the performance of that person's official duties (or because
of that person's official status) without the prior written approval of
the Chief Counsel, as described in paragraph (b) of this section.
(b) Employee notification to Counsel. Whenever a demand for
information is made upon a CBP employee, that employee shall immediately
prepare a report that specifically describes the testimony or documents
sought and notify the Assistant Chief Counsel or Associate Chief Counsel
for the area where the employee is located. If the employee is located
at Headquarters or outside of the United States, the employee shall
immediately notify the Chief Counsel. The CBP employee shall then await
instructions from the Chief Counsel concerning the response to the
demand.
(c) Requesting party's initial burden. A party seeking CBP
information shall serve on the appropriate CBP employee the demand, a
copy of the Summons and Complaint, and provide an affidavit, or, if that
is not feasible, a statement that sets forth a summary of the documents
or testimony sought and its relevance to the proceeding. Any disclosure
authorization for documents or testimony by a CBP employee shall be
limited to the scope of the demand as summarized in such affidavit or
statement. The Chief Counsel may, upon request and for good cause shown,
waive the requirements of this paragraph.
[[Page 694]]
(d) Requesting party's notification requirement. The demand for CBP
information, pursuant to the provisions of paragraph (c) of this
section, shall be served at least ten (10) working days prior to the
scheduled date of the production of the documents or the taking of
testimony.
(e) Counsel notification to originating component. Upon receipt of a
proper demand for CBP information, one which complies with the
provisions of paragraph (c) of this section, if the Chief Counsel
believes that it will comply with any part of the demand, it will
immediately advise the originating component.
(f) Conditions for authorization of disclosure. The Chief Counsel,
subject to the provisions of paragraph (h) of this section, may
authorize the production of CBP documents or the appearance and
testimony of a CBP employee if:
(1) Production of the demanded documents or testimony, in the
judgment of the Chief Counsel, are appropriate under the factors
specified in Sec. 103.23(a) of this subpart; and
(2) None of the factors specified in Sec. 103.23(b) of this subpart
exist with respect to the demanded documents or testimony.
(g) Limitations on the scope of authorized disclosure. (1) The Chief
Counsel shall authorize the disclosure of CBP information by a CBP
employee without further authorization from CBP officials whenever
possible, provided that:
(i) If necessary, Counsel has consulted with the originating
component regarding disclosure of the information demanded;
(ii) There is no objection from the originating component to the
disclosure of the information demanded; and
(iii) Counsel has sought to limit the demand for information to that
which would be consistent with the factors specified in Sec. 103.23 of
this part.
(2) In the case of an objection by the originating component, the
Chief Counsel shall make the disclosure determination.
(h) Disclosure of commercial information. In the case of a demand
for commercial information or commercial documents concerning
importations or exportations, the Chief Counsel shall obtain the
authorization of the Assistant Commissioner (Field Operations) or his/
her designee prior to the Chief Counsel authorizing the production/
disclosure of such documents/information.
[61 FR 19838, May 3, 1996, as amended at 78 FR 70856, Nov. 27, 2013]
Sec. 103.23 Factors in determining whether to disclose information
pursuant to a demand.
(a) General considerations. In authorizing disclosures pursuant to a
proper demand for CBP information, one which complies with the
provisions of Sec. 103.22(c), the Chief Counsel should consider the
following factors:
(1) Whether the disclosure would be appropriate under the relevant
substantive law concerning privilege;
(2) Whether the disclosure would be appropriate under the rules of
procedure governing the case or matter in which the demand arose; and,
(3) Whether the requesting party has demonstrated that the
information requested is:
(i) Relevant and material to the action pending, based on copies of
the summons and complaint that are required to be attached to the
subpoena duces tecum or other demand;
(ii) Genuinely necessary to the proceeding, i.e., a showing of
substantial need has been made;
(iii) Unavailable from other sources; and,
(iv) Reasonable in its scope, i.e., the documents, information, or
testimony sought are described with particularity.
(4) Whether consultation with the originating component requires
that the Chief Counsel make a separate determination as to the
disclosure of the information requested.
(b) Circumstances where disclosure will not be made. Among the
demands in response to which disclosure will not be authorized by the
Chief Counsel are those demands with respect to which any of the
following factors exist:
(1) Disclosure would violate a treaty, statute (such as the Privacy
Act, 5 U.S.C. 552a, the Trade Secrets Act, 18 U.S.C. 1905, or the income
tax laws, 26 U.S.C. 6103 and 7213), or a rule of procedure, such as the
grand jury secrecy rule, Fed.R.Crim.Proc. rule 6(e) (18 U.S.C.App.);
[[Page 695]]
(2) Disclosure would violate a specific regulation;
(3) Disclosure would reveal classified or confidential information;
(4) Disclosure would reveal a confidential source or informant;
(5) Disclosure would reveal investigatory records compiled for law
enforcement purposes, interfere with enforcement proceedings, or
disclose investigative techniques and procedures;
(6) Disclosure would improperly reveal confidential commercial
information without the owner's consent (e.g., entry information);
(7) Disclosure relates to documents which were produced by another
agency or entity;
(8) Disclosure would unduly interfere with the orderly conduct of
CBP business;
(9) CBP has no interest, records, or other official information
regarding the matter in which disclosure is sought;
(10) There is a failure to make proper service upon the United
States; or
(11) There is a failure to comply with federal, state, or local
rules of discovery.
[61 FR 19838, May 3, 1996, as amended at 78 FR 70856, Nov. 27, 2013]
Sec. 103.24 Procedure in the event a decision concerning a demand is
not made prior to the time a response to the demand is
required.
If response to a demand is required before the instructions from the
Chief Counsel are received, the U.S. Attorney, his/her assistant, or
other appropriate legal representative shall be requested to appear with
the CBP employee upon whom the demand has been made. The U.S. Attorney,
his/her assistant, or other appropriate legal representative shall
furnish the court or other authority with a copy of the regulations
contained in this subpart, inform the court or other authority that the
demand has been or is being, as the case may be, referred for the prompt
consideration of the Chief Counsel, and shall respectfully request the
court or authority to stay the demand pending receipt of the requested
instructions.
[61 FR 19838, May 3, 1996, as amended at 78 FR 70856, Nov. 27, 2013]
Sec. 103.25 Procedure in the event of an adverse ruling.
If the court or other authority declines to stay the demand in
response to a request made in accordance with Sec. 103.24 pending
receipt of instructions, or rules that the demand must be complied with
irrespective of instructions rendered in accordance with
Sec. Sec. 103.22, 103.23, 103.26, or 103.27 of this subpart not to
produce the documents or disclose the information sought, the CBP
employee upon whom the demand has been made shall, pursuant to this
subpart, respectfully decline to comply with the demand. See, United
States ex rel. Touhy v. Ragen, 340 U.S. 462 (1951).
[61 FR 19838, May 3, 1996, as amended at 78 FR 70856, Nov. 27, 2013]
Sec. 103.26 Procedure in the event of a demand for CBP information in a
state or local criminal proceeding.
Port directors, special agents in charge within the Office of
Internal Affairs, chief patrol agents, directors within the Office of
Air and Marine, directors of field laboratories, or any supervisor of
such officials may, in the interest of federal, state, and local law
enforcement, upon receipt of demands of state or local authorities, and
at the expense of the State, authorize employees under their supervision
to attend trials and administrative hearings on behalf of the government
in any state or local criminal case, to produce records, and to testify
as to facts coming to their knowledge in their official capacities.
However, in cases where a defendant in a state or local criminal case
demands testimony or the production of CBP documents or information,
authorization from the Chief Counsel is required as under Sec. 103.22 of
this subpart. No disclosure of information under this section shall be
made if any of the factors listed in Sec. 103.23(b) of this subpart are
present.
[61 FR 19838, May 3, 1996, as amended at 78 FR 70856, Nov. 27, 2013]
Sec. 103.27 Procedure in the event of a demand for CBP information in a
foreign proceeding.
(a) Required prior approval for disclosure. In any foreign
proceeding in
[[Page 696]]
which CBP is not a party, no CBP employee shall, in response to a
demand, furnish CBP documents or testimony as to any material contained
in CBP files, any information relating to or based upon material
contained in CBP files, or any information or material acquired as part
of the performance of that person's official duties (or because of that
person's official status) without the prior approval of the Chief
Counsel, as described in paragraph (b) of this section.
(b) Employee notification to Counsel. Whenever a demand in a foreign
proceeding is made upon a CBP employee concerning pre-clearance
activities within the territory of the foreign country, that employee
shall immediately notify the appropriate Associate Chief Counsel
responsible for the pre-clearance location. All other demands in a
foreign proceeding shall be reported by CBP employees to the Chief
Counsel. The CBP employee shall then await instructions from the Chief
Counsel concerning the response to the demand.
(c) Counsel notification to originating component. Upon receipt of a
proper demand for CBP information, one which complies with the
provisions of Sec. 103.22(c), if the Chief Counsel believes that it will
comply with any part of the demand, it will immediately advise the
originating component.
(d) Conditions for authorization of disclosure. The Chief Counsel,
subject to the terms of paragraph (e) of this section, may authorize the
disclosure of CBP documents or the appearance and testimony of a CBP
employee if:
(1) Production of the demanded documents or testimony, in the
judgment of the Chief Counsel, are appropriate under the factors
specified in Sec. 103.23(a) of this subpart; and
(2) None of the factors specified in Sec. 103.23(b) of this subpart
exist with respect to the demanded documents or testimony.
(e) Limitations on the scope of authorized disclosure. (1) The Chief
Counsel shall authorize the disclosure of CBP information by a CBP
employee without further authorization from CBP officials whenever
possible, provided that:
(i) If necessary, Counsel has consulted with the originating
component regarding disclosure of the information demanded;
(ii) There is no objection from the originating component to the
disclosure of the information demanded; and
(iii) Counsel has sought to limit the demand for information to that
which would be consistent with the factors specified in Sec. 103.23 of
this part.
(2) In the case of an objection by the originating component, the
Chief Counsel shall make the disclosure determination.
[61 FR 19838, May 3, 1996, as amended at 78 FR 70856, Nov. 27, 2013]
Subpart C_Other Information Subject to Restricted Access
Sec. 103.31 Information on vessel manifests and summary statistical
reports.
(a) Disclosure to members of the press. Accredited representatives
of the press, including newspapers, commercial magazines, trade
journals, and similar publications shall be permitted to examine vessel
manifests and summary statistical reports of imports and exports and to
copy therefrom for publication information and data subject to the
following rules:
(1) Of the information and data appearing on outward manifests, only
the name and address of the shipper, general character of the cargo,
number of packages and gross weight, name of vessel or carrier, port of
exit, port of destination, and country of destination may be copied and
published. However, if the Secretary of the Treasury makes an
affirmative finding on a shipment-by-shipment basis that disclosure of
the above information is likely to pose a threat of personal injury or
property damage, that information shall not be disclosed to the public.
(2) Commercial or financial information, such as the names of the
consignees, and marks and numbers shall not be copied from outward
manifests or any other papers.
(3) All the information appearing on the cargo declaration (Customs
Form 1302) of the inward vessel manifest may be copied and published.
However, if the Secretary of the Treasury makes
[[Page 697]]
an affirmative finding on a shipment-by-shipment basis that the
disclosure of the information contained on the cargo declaration is
likely to pose a threat of personal injury or property damage, that
information shall not be disclosed to the press.
(b) Review of data. All copies and notations from inward or outward
manifests shall be submitted for examination by a Customs officer
designated for that purpose.
(c) Disclosure to the public. Members of the public shall not be
permitted to examine vessel manifests. However, they may request and
obtain from Customs, information from vessel manifests, subject to the
rules set forth in paragraph (a) of this section. However, importers and
exporters, or their duly authorized brokers, attorneys, or agents may be
permitted to examine manifests with respect to any consignment of goods
in which they have a proper and legal interest as principal or agent,
but shall not be permitted to make any general examination of manifests
or make any copies or notations from them except with reference to the
particular importation or exportation in which they have a proper and
legal interest.
(d) Confidential treatment--(1) Inward manifest. An importer or
consignee may request confidential treatment of its name and address
contained in inward manifests, to include identifying marks and numbers.
In addition, an importer or consignee may request confidential treatment
of the name and address of the shipper or shippers to such importer or
consignee by using the following procedure:
(i) An importer or consignee, or authorized employee, attorney or
official of the importer or consignee, must submit a certification (as
described in paragraph (d)(1)(ii) of this section) claiming confidential
treatment of its name and address. The name and address of an importer
or consignee includes marks and numbers which reveal the name and
address of the importer or consignee. An importer or consignee may file
a certification requesting confidentiality for all its shippers.
(ii) There is no prescribed format for a certification. However, the
certification shall include the importer's or consignee's Internal
Revenue Service Employer Number, if available. There is no requirement
to provide sufficient facts to support the conclusion that the
disclosure of the names and addresses would likely cause substantial
harm to the competitive position of the importer or consignee.
(iii) The certification must be submitted to the Disclosure Law
Officer, Headquarters, U.S. Customs Service, 1300 Pennsylvania Avenue,
NW., Washington, DC 20229.
(iv) Each initial certification will be valid for a period of two
years from the date of receipt. Renewal certifications should be
submitted to the Disclosure Law Officer at least 60 days prior to the
expiration of the current certification. Information so certified may be
copied, but not published, by the press during the effective period of
the certification. An importer or consignee shall be given written
notification by Customs of the receipt of its certification of
confidentiality.
(2) Outward manifest. If a shipper wishes to request confidential
treatment by Customs of the shipper's name and address contained in an
outward manifest, the following procedure shall be followed:
(i) A shipper, or authorized employee or official of the shipper,
must submit a certification claiming confidential treatment of the
shipper's name and address. The certification shall include the
shipper's Internal Revenue Service Employer Number, if available.
(ii) There is no prescribed format for a certification.
(iii) The certification must be submitted to the Disclosure Law
Officer, Headquarters, U.S. Customs Service, 1300 Pennsylvania Avenue,
NW., Washington, DC 20229.
(iv) Each certification will be valid for a period of two (2) years
from the date of its approval.
(3) If any individual shall abuse the privilege granted him to
examining inward and outward manifests or shall make any improper use of
any information or data obtained from such manifests or other papers
filed in the customhouse, both he and the party or publication which he
represents shall
[[Page 698]]
thereafter be denied access to such papers.
(e) Availability of manifest data on CD-ROMS--(1) Availability.
Manifest data acquired from the Automated Manifest System (AMS) is
available to interested members of the public on CD-ROMS. This data,
compiled daily, will contain all manifest transactions made on the
nationwide system within the last 24 hour period. Data for which parties
have requested confidential treatment in accordance with paragraph (d)
of this section will not be included on the CD-ROMS. These CD-ROMS may
be purchased at the government's production cost. CD-ROMS are available
for specific days or on a subscription basis.
(2) Requests and subscriptions. Requests for CD-ROMS must be in
writing and submitted to: U.S. Customs and Border Protection, National
Finance Center, Collections Section, P.O. Box 68907, Indianapolis,
Indiana 46268, or 6026 Lakeside Blvd., Indianapolis, Indiana 46278.
Requests must include a check to cover the cost of the CD-ROMS
requested. Actual costs and other specific information should be
ascertained by contacting the Collections Section at (317) 614-4514.
Bills for subscriptions will be issued monthly, with the first month's
fee due in advance. Requested CD-ROMS will be mailed from the CBP
Technology Support Center, first class, on the next business day after
compilation. Parties desiring another form of delivery will have to make
their own arrangements and notify CBP in advance. Subscriptions may be
canceled provided CBP receives written notice at least 10 days prior to
the end of the month. The CBP Technology Support Center must be notified
in writing within seven days of technical problems with CD-ROMS or non-
receipt of CD-ROMS in order to receive a replacement or credit towards
future tape purchases. Refunds will not be provided. Information
regarding the technical specifications of the CD-ROMS, problem CD-ROMS
or the non-receipt of CD-ROMS should be directed to CBP Technology
Support Center at 1-800-927-8729.
(3) Data elements. The following are the data elements from the AMS
manifest which will be provided to the public via CD-ROMS:
1. Carrier code.
2. Vessel country code.
3. Vessel name.
4. Voyage number.
5. District/port of unlading.
6. Estimated arrival date.
7. Bill of lading number.
8. Foreign port of lading.
9. Manifest quantity.
10. Manifest units.
11. Weight.
12. Weight unit.
13. Shipper name. \1\
---------------------------------------------------------------------------
\1\ Designates data element which will be deleted where
confidentiality has been requested.
---------------------------------------------------------------------------
14. Shipper address. \1\
15. Consignee name. \1\
16. Consignee address. \1\
17. Notify party name. \1\
18. Notify party address. \1\
19. Piece count.
20. Description of goods.
21. Container number.
22. Seal number.
[T.D. 81-168, 46 FR 32565, June 24, 1981]
Editorial Note: For Federal Register citations affecting
Sec. 103.31, see the List of CFR Sections Affected, which appears in the
Finding Aids section of the printed volume and at www.fdsys.gov.
Sec. 103.31a Advance electronic information for air, truck, and rail
cargo; Importer Security Filing information for vessel cargo.
The following types of advance electronic information are per se
exempt from disclosure under Sec. 103.12(d), unless CBP receives a
specific request for such records pursuant to Sec. 103.5, and the owner
of the information expressly agrees in writing to its release:
(a) Advance cargo information that is electronically presented to
Customs and Border Protection (CBP) for inbound or outbound air, rail,
or truck cargo in accordance with Sec. 122.48a, 123.91, 123.92, or
192.14 of this chapter;
(b) Importer Security Filing information that is electronically
presented to CBP for inbound vessel cargo in accordance with Sec. 149.2
of this chapter;
(c) Vessel stow plan information that is electronically presented to
CBP for inbound vessels in accordance with Sec. 4.7c of this chapter;
and
(d) Container status message information that is electronically
presented
[[Page 699]]
for inbound containers in accordance with Sec. 4.7d of this chapter.
[CBP Dec. 08-46, 73 FR 71780, Nov. 25, 2008]
Sec. 103.32 Information concerning fines, penalties, and forfeitures
cases.
Except as otherwise provided in these regulations or in other
directives (including those published as Treasury Decisions), port
directors and other Customs officers shall refrain from disclosing facts
concerning seizures, investigations, and other pending cases until
Customs action is completed. After the penalty proceeding is closed by
payment of the claim amount, payment of a mitigated amount, or judicial
action, the identity of the violator, the section of the law violated,
the amount of penalty assessed, loss of revenue, mitigated amount (if
applicable), and the amount of money paid may be disclosed to the public
by the appropriate port director. Public disclosure of any other item of
information concerning such cases, whether open or closed, shall only be
made in conformance with the procedures provided in Sec. 103.5.
[T.D. 81-168, 46 FR 32565, June 24, 1981. Redesignated by T.D. 96-36, 61
FR 19838, May 3, 1996]
Sec. 103.33 Release of information to foreign agencies.
(a) The Commissioner or his designee may authorize Customs officers
to exchange information or documents with foreign customs and law
enforcement agencies if the Commissioner or his designee reasonably
believes the exchange of information is necessary to--
(1) Ensure compliance with any law or regulation enforced or
administered by Customs;
(2) Administer or enforce multilateral or bilateral agreements to
which the U.S. is a party;
(3) Assist in investigative, judicial and quasi-judicial proceedings
in the U.S.; and
(4) An action comparable to any of those described in paragraphs (a)
(1) through (3) of this section undertaken by a foreign customs or law
enforcement agency, or in relation to a proceeding in a foreign country.
(b)(1) Information may be provided to foreign customs and law
enforcement agencies under paragraph (a) of this section only if the
Commissioner or his designee obtains assurances from such agencies that
such information will be held in confidence and used only for the law
enforcement purposes for which such information is provided to such
agencies by the Commissioner or his designee.
(2) No information may be provided under paragraph (a) of this
section to any foreign customs or law enforcement agency that has
violated any assurances described in paragraph (b)(1) of this section.
[T.D. 86-196, 51 FR 40792, Nov. 10, 1986. Redesignated by T.D. 96-36, 61
FR 19838, May 3, 1996]
Sec. 103.34 Sanctions for improper actions by Customs officers or
employees.
(a) The improper disclosure of the confidential information
contained in Customs documents, or the disclosure of information
relative to the business of one importer or exporter that is acquired by
a Customs officer or employee in an official capacity to any person not
authorized by law or regulations to receive this information is a ground
for dismissal from the United States Customs Service, suspension, or
other disciplinary action, and if done for a valuable consideration
subjects that person to criminal prosecution.
(b) Sanctions for improper denials of information by Customs
officers or employees are set forth in Sec. 103.9(c).
[T.D. 81-168, 46 FR 32565, June 24, 1981. Redesignated by T.D. 96-36, 61
FR 19838, May 3, 1996]
Sec. 103.35 Confidential commercial information; exempt.
(a) In general. For purposes of this section, ``commercial
information'' is defined as trade secret, commercial, or financial
information obtained from a person. Commercial information provided to
CBP by a business submitter will be treated as privileged or
confidential and will not be disclosed pursuant to a Freedom of
Information Act (FOIA) request or otherwise made known in any manner
except as provided in this section.
(b) Notice to business submitters of FOIA requests for disclosure.
Except as
[[Page 700]]
provided in paragraph (b)(2) of this section, CBP will provide business
submitters with prompt written notice of receipt of FOIA requests or
appeals that encompass their commercial information. The written notice
will describe either the exact nature of the commercial information
requested, or enclose copies of the records or those portions of the
records that contain the commercial information. The written notice also
will advise the business submitter of its right to file a disclosure
objection statement as provided under paragraph (c)(1) of this section.
CBP will provide notice to business submitters of FOIA requests for the
business submitter's commercial information for a period of not more
than 10 years after the date the business submitter provides CBP with
the information, unless the business submitter requests, and provides
acceptable justification for, a specific notice period of greater
duration.
(1) When notice is required. CBP will provide business submitters
with notice of receipt of a FOIA request or appeal whenever:
(i) The business submitter has in good faith designated the
information as commercially- or financially-sensitive information. The
business submitter's claim of confidentiality should be supported by a
statement by an authorized representative of the business entity
providing specific justification that the information in question is
considered confidential commercial or financial information and that the
information has not been disclosed to the public; or
(ii) CBP has reason to believe that disclosure of the commercial
information could reasonably be expected to cause substantial
competitive harm.
(2) When notice is not required. The notice requirements of this
section will not apply if:
(i) CBP determines that the commercial information will not be
disclosed;
(ii) The commercial information has been lawfully published or
otherwise made available to the public; or
(iii) Disclosure of the information is required by law (other than 5
U.S.C. 552).
(c) Procedure when notice given--(1) Opportunity for business
submitter to object to disclosure. A business submitter receiving
written notice from CBP of receipt of a FOIA request or appeal
encompassing its commercial information may object to any disclosure of
the commercial information by providing CBP with a detailed statement of
reasons within 10 days of the date of the notice (exclusive of
Saturdays, Sundays, and legal public holidays). The statement should
specify all the grounds for withholding any of the commercial
information under any exemption of the FOIA and, in the case of
Exemption 4, should demonstrate why the information is considered to be
a trade secret or commercial or financial information that is privileged
or confidential. The disclosure objection information provided by a
person pursuant to this paragraph may be subject to disclosure under the
FOIA.
(2) Notice to FOIA requester. When notice is given to a business
submitter under paragraph (b)(1) of this section, notice will also be
given to the FOIA requester that the business submitter has been given
an opportunity to object to any disclosure of the requested commercial
information. The requester will be further advised that a delay in
responding to the request may be considered a denial of access to
records and that the requester may proceed with an administrative appeal
or seek judicial review, if appropriate. The notice will also invite the
FOIA requester to agree to a voluntary extension(s) of time so that CBP
may review the business submitter's disclosure objection statement.
(d) Notice of intent to disclose. CBP will consider carefully a
business submitter's objections and specific grounds for nondisclosure
prior to determining whether to disclose commercial information.
Whenever CBP decides to disclose the requested commercial information
over the objection of the business submitter, CBP will provide written
notice to the business submitter of CBP's intent to disclose, which will
include:
(1) A statement of the reasons for which the business submitter's
disclosure objections were not sustained;
(2) A description of the commercial information to be disclosed;
and,
[[Page 701]]
(3) A specified disclosure date which will not be less than 10 days
(exclusive of Saturdays, Sundays, and legal public holidays) after the
notice of intent to disclose the requested information has been issued
to the business submitter. Except as otherwise prohibited by law, CBP
will also provide a copy of the notice of intent to disclose to the FOIA
requester at the same time.
(e) Notice of FOIA lawsuit. Whenever a FOIA requester brings suit
seeking to compel the disclosure of commercial information covered by
paragraph (b)(1) of this section, CBP will promptly notify the business
submitter in writing.
[CBP Dec. 03-02, 68 FR 47454, Aug. 11, 2003]
PART 111_CUSTOMS BROKERS
Sec.
111.0 Scope.
Subpart A_General Provisions
111.1 Definitions.
111.2 License and district permit required.
111.3 [Reserved]
111.4 Transacting customs business without a license.
111.5 Representation before Government agencies.
Subpart B_Procedure To Obtain License or Permit
111.11 Basic requirements for a license.
111.12 Application for license.
111.13 Written examination for individual license.
111.14 Investigation of the license applicant.
111.15 Issuance of license.
111.16 Denial of license.
111.17 Review of the denial of a license.
111.18 Reapplication for license.
111.19 Permits.
Subpart C_Duties and Responsibilities of Customs Brokers
111.21 Record of transactions.
111.22 [Reserved]
111.23 Retention of records.
111.24 Records confidential.
111.25 Records must be available.
111.26 Interference with examination of records.
111.27 Audit or inspection of records.
111.28 Responsible supervision.
111.29 Diligence in correspondence and paying monies.
111.30 Notification of change of business address, organization, name,
or location of business records; status report; termination of
brokerage business.
111.31 Conflict of interest.
111.32 False information.
111.33 Government records.
111.34 Undue influence upon Department of Homeland Security employees.
111.35 Acceptance of fees from attorneys.
111.36 Relations with unlicensed persons.
111.37 Misuse of license or permit.
111.38 False representation to procure employment.
111.39 Advice to client.
111.40 Protests.
111.41 Endorsement of checks.
111.42 Relations with person who is notoriously disreputable or whose
license is under suspension, canceled ``with prejudice,'' or
revoked.
111.43-111.44 [Reserved]
111.45 Revocation by operation of law.
Subpart D_Cancellation, Suspension, or Revocation of License or Permit,
and Monetary Penalty in Lieu of Suspension or Revocation
111.50 General.
111.51 Cancellation of license or permit.
111.52 Voluntary suspension of license or permit.
111.53 Grounds for suspension or revocation of license or permit.
111.54 [Reserved]
111.55 Investigation of complaints.
111.56 Review of report on investigation.
111.57 Determination by Assistant Commissioner.
111.58 Content of statement of charges.
111.59 Preliminary proceedings.
111.60 Request for additional information.
111.61 Decision on preliminary proceedings.
111.62 Contents of notice of charges.
111.63 Service of notice and statement of charges.
111.64 Service of notice of hearing and other papers.
111.65 Extension of time for hearing.
111.66 Failure to appear.
111.67 Hearing.
111.68 Proposed findings and conclusions.
111.69 Recommended decision by hearing officer.
111.70 Additional submissions.
111.71 Immaterial mistakes.
111.72 Dismissal subject to new proceedings.
111.73 [Reserved]
111.74 Decision and notice of suspension or revocation or monetary
penalty.
111.75 Appeal from the Secretary's decision.
111.76 Reopening the case.
111.77 Notice of vacated or modified order.
111.78 Reprimands.
111.79 Employment of broker who has lost license.
111.80 [Reserved]
111.81 Settlement and compromise.
[[Page 702]]
Subpart E_Monetary Penalty and Payment of Fees
111.91 Grounds for imposition of a monetary penalty; maximum penalty.
111.92 Notice of monetary penalty.
111.93 Petition for relief from monetary penalty.
111.94 Decision on monetary penalty.
111.95 Supplemental petition for relief from monetary penalty.
111.96 Fees.
Authority: 19 U.S.C. 66, 1202 (General Note 3(i), Harmonized Tariff
Schedule of the United States), 1624, 1641.
Section 111.3 also issued under 19 U.S.C. 1484, 1498;
Section 111.96 also issued under 19 U.S.C. 58c, 31 U.S.C. 9701.
Source: T.D. 00-17, 65 FR 13891, Mar. 15, 2000, unless otherwise
noted.
Sec. 111.0 Scope.
This part sets forth regulations providing for the licensing of, and
granting of permits to, persons desiring to transact customs business as
customs brokers, including the qualifications required of applicants,
and the procedures for applying for licenses and permits. This part also
prescribes the duties and responsibilities of brokers, the grounds and
procedures for disciplining brokers, including the assessment of
monetary penalties, and the revocation or suspension of licenses and
permits.
Subpart A_General Provisions
Sec. 111.1 Definitions.
When used in this part, the following terms have the meanings
indicated:
Assistant Commissioner. ``Assistant Commissioner'' means the
Assistant Commissioner, Office of International Trade, U.S. Customs and
Border Protection, Washington, DC.
Broker. ``Broker'' means a customs broker.
Corporate compliance activity. ``Corporate compliance activity''
means activity performed by a business entity to ensure that documents
for a related business entity or entities are prepared and filed with
CBP using ``reasonable care'', but such activity does not extend to the
actual preparation or filing of the documents or their electronic
equivalents. For purposes of this definition, a ``business entity'' is
an entity that is registered or otherwise on record with an appropriate
governmental authority for business licensing, taxation, or other legal
purposes, and the term ``related business entity or entities''
encompasses a business entity that has more than a 50 percent ownership
interest in another business entity, a business entity in which another
business entity has more than a 50 percent ownership interest, and two
or more business entities in which the same business entity has more
than a 50 percent ownership interest.
Customs broker. ``Customs broker'' means a person who is licensed
under this part to transact customs business on behalf of others.
Customs business. ``Customs business'' means those activities
involving transactions with CBP concerning the entry and admissibility
of merchandise, its classification and valuation, the payment of duties,
taxes, or other charges assessed or collected by CBP on merchandise by
reason of its importation, and the refund, rebate, or drawback of those
duties, taxes, or other charges. ``Customs business'' also includes the
preparation, and activities relating to the preparation, of documents in
any format and the electronic transmission of documents and parts of
documents intended to be filed with CBP in furtherance of any other
customs business activity, whether or not signed or filed by the
preparer. However, ``customs business'' does not include the mere
electronic transmission of data received for transmission to CBP and
does not include a corporate compliance activity.
District. ``District'' means the geographic area covered by a
customs broker permit other than a national permit. A listing of each
district, and the ports thereunder, will be published periodically.
Employee. ``Employee'' means a person who meets the common law
definition of employee and is in the service of a customs broker.
Freight forwarder. ``Freight forwarder'' means a person engaged in
the business of dispatching shipments in foreign commerce between the
United States, its territories or possessions, and foreign countries,
and handling the
[[Page 703]]
formalities incident to such shipments, on behalf of other persons.
Officer. ``Officer'', when used in the context of an association or
corporation, means a person who has been elected, appointed, or
designated as an officer of an association or corporation in accordance
with statute and the articles of incorporation, articles of agreement,
charter, or bylaws of the association or corporation.
Permit. ``Permit'' means any permit issued to a broker under
Sec. 111.19.
Person. ``Person'' includes individuals, partnerships, associations,
and corporations.
Records. ``Records'' means documents, data and information referred
to in, and required to be made or maintained under, this part and any
other records, as defined in Sec. 163.1(a) of this chapter, that are
required to be maintained by a broker under part 163 of this chapter.
Region. ``Region'' means the geographic area covered by a waiver
issued pursuant to Sec. 111.19(d).
Responsible supervision and control. ``Responsible supervision and
control'' means that degree of supervision and control necessary to
ensure the proper transaction of the customs business of a broker,
including actions necessary to ensure that an employee of a broker
provides substantially the same quality of service in handling customs
transactions that the broker is required to provide. While the
determination of what is necessary to perform and maintain responsible
supervision and control will vary depending upon the circumstances in
each instance, factors which CBP will consider include, but are not
limited to: The training required of employees of the broker; the
issuance of written instructions and guidelines to employees of the
broker; the volume and type of business of the broker; the reject rate
for the various customs transactions; the maintenance of current
editions of CBP Regulations, the Harmonized Tariff Schedule of the
United States, and CBP issuances; the availability of an individually
licensed broker for necessary consultation with employees of the broker;
the frequency of supervisory visits of an individually licensed broker
to another office of the broker that does not have a resident
individually licensed broker; the frequency of audits and reviews by an
individually licensed broker of the customs transactions handled by
employees of the broker; the extent to which the individually licensed
broker who qualifies the district permit is involved in the operation of
the brokerage; and any circumstance which indicates that an individually
licensed broker has a real interest in the operations of a broker.
Department of Homeland Security or any representative of the
Department of Homeland Security. ``Department of Homeland Security or
any representative of the Department of Homeland Security'' means any
office, officer, or employee of the U.S. Department of Homeland
Security, wherever located.
[T.D. 00-17, 65 FR 13891, Mar. 15, 2000, as amended by CBP Dec. 03-15,
68 FR 47460, Aug. 11, 2003]
Sec. 111.2 License and district permit required.
(a) License--(1) General. Except as otherwise provided in paragraph
(a)(2) of this section, a person must obtain the license provided for in
this part in order to transact customs business as a broker.
(2) Transactions for which license is not required--(i) For one's
own account. An importer or exporter transacting customs business solely
on his own account and in no sense on behalf of another is not required
to be licensed, nor are his authorized regular employees or officers who
act only for him in the transaction of such business.
(ii) As employee of broker--(A) General. An employee of a broker,
acting solely for his employer, is not required to be licensed where:
(1) Authorized to sign documents. The broker has authorized the
employee to sign documents pertaining to customs business on his behalf,
and has executed a power of attorney for that purpose. The broker is not
required to file the power of attorney with the port director, but must
provide proof of its existence to Customs upon request; or
(2) Authorized to transact other business. The broker has filed with
the port director a statement identifying the employee as authorized to
transact
[[Page 704]]
customs business on his behalf. However, no statement will be necessary
when the broker is transacting customs business under an exception to
the district permit rule.
(B) Broker supervision; withdrawal of authority. Where an employee
has been given authority under paragraph (a)(2)(ii) of this section, the
broker must exercise sufficient supervision of the employee to ensure
proper conduct on the part of the employee in the transaction of customs
business, and the broker will be held strictly responsible for the acts
or omissions of the employee within the scope of his employment and for
any other acts or omissions of the employee which, through the exercise
of reasonable care and diligence, the broker should have foreseen. The
broker must promptly notify the port director if authority granted to an
employee under paragraph (a)(2)(ii) of this section is withdrawn. The
withdrawal of authority will be effective upon receipt by the port
director.
(iii) Marine transactions. A person transacting business in
connection with entry or clearance of vessels or other regulation of
vessels under the navigation laws is not required to be licensed as a
broker.
(iv) Transportation in bond. Any carrier bringing merchandise to the
port of arrival or any bonded carrier transporting merchandise for
another may make entry for that merchandise for transportation in bond
without being a broker.
(v) Noncommercial shipments. An individual entering noncommercial
merchandise for another party is not required to be a broker, provided
that the requirements of Sec. 141.33 of this chapter are met.
(vi) Foreign trade zone activities. A foreign trade zone operator or
user need not be licensed as a broker in order to engage in activities
within a zone that do not involve the transfer of merchandise to the
customs territory of the United States.
(b) District permit--(1) General. Except as otherwise provided in
paragraph (b)(2) of this section, a separate permit (see Sec. 111.19) is
required for each district in which a broker conducts customs business.
(2) Exceptions to district permit rule--(i) National permits. A
national permit issued to a broker under Sec. 111.19(f) will constitute
sufficient permit authority for the broker to act in any of the
following circumstances:
(A) Employee working in client's facility (employee implant). When a
broker places an employee in the facility of a client for whom the
broker is conducting customs business at one or more other locations
covered by a district permit issued to the broker, and provided that the
employee's activities are limited to customs business in support of that
broker and on behalf of that client but do not involve the filing of
entries or other documents with Customs, the broker need not obtain a
permit for the district within which the client's facility is located;
(B) Electronic drawback claims. A broker may file electronic
drawback claims in accordance with the electronic filing procedures set
forth in part 143 of this chapter even though the broker does not have a
permit for the district in which the filing is made;
(C) Electronic filing. A broker may electronically file entries for
merchandise from a remote location, pursuant to the terms set forth in
subpart E to part 143 of this chapter, and may electronically transact
other customs business even though the entry is filed, or other customs
business is transacted, within a district for which the broker does not
have a district permit; and
(D) Representations after entry summary acceptance. After the entry
summary has been accepted by Customs, and except when a broker filed the
entry as importer of record, a broker who did not file the entry, but
who has been appointed by the importer of record, may orally or in
person or in writing or electronically represent the importer of record
before Customs on any issue arising out of that entry or concerning the
merchandise covered by that entry even though the broker does not have a
permit for the district within which those representations are made,
provided that, if requested by Customs, the broker submits appropriate
evidence of his right to represent the client on the matter at issue.
[[Page 705]]
(ii) Filing of drawback claims. A broker granted a permit for one
district may file drawback claims manually or electronically at the
drawback office that has been designated by Customs for the purpose of
filing those claims, and may represent his client before that office in
matters concerning those claims, even though the broker does not have a
permit for the district in which that drawback office is located.
[T.D. 00-17, 65 FR 13891, Mar. 15, 2000, as amended by CBP Dec. 03-15,
68 FR 47460, Aug. 11, 2003;CBP Dec. 09-47, 74 FR 69018, Dec. 30, 2009]
Sec. 111.3 [Reserved]
Sec. 111.4 Transacting customs business without a license.
Any person who intentionally transacts customs business, other than
as provided in Sec. 111.2(a)(2), without holding a valid broker's
license, will be liable for a monetary penalty for each such transaction
as well as for each violation of any other provision of 19 U.S.C. 1641.
The penalty will be assessed in accordance with subpart E of this part.
Sec. 111.5 Representation before Government agencies.
(a) Agencies within the Department of Homeland Security. A broker
who represents a client in the importation or exportation of merchandise
may represent the client before the Department of Homeland Security or
any representative of the Department of Homeland Security on any matter
concerning that merchandise.
(b) Agencies not within the Department of Homeland Security. In
order to represent a client before any agency not within the Department
of Homeland Security, a broker must comply with any regulations of that
agency governing the appearance of representatives before it.
Subpart B_Procedure To Obtain License or Permit
Sec. 111.11 Basic requirements for a license.
(a) Individual. In order to obtain a broker's license, an individual
must:
(1) Be a citizen of the United States on the date of submission of
the application referred to in Sec. 111.12(a) and not an officer or
employee of the United States Government;
(2) Attain the age of 21 prior to the date of submission of the
application referred to in Sec. 111.12(a);
(3) Be of good moral character; and
(4) Have established, by attaining a passing (75 percent or higher)
grade on a written examination taken within the 3-year period before
submission of the application referred to in Sec. 111.12(a), that he has
sufficient knowledge of customs and related laws, regulations and
procedures, bookkeeping, accounting, and all other appropriate matters
to render valuable service to importers and exporters.
(b) Partnership. In order to qualify for a broker's license, a
partnership must have at least one member of the partnership who is a
broker.
(c) Association or corporation. In order to qualify for a broker's
license, an association or corporation must:
(1) Be empowered under its articles of association or articles of
incorporation to transact customs business as a broker; and
(2) Have at least one officer who is a broker.
Sec. 111.12 Application for license.
(a) Submission of application and fee. An application for a broker's
license must be submitted in duplicate to the director of the port where
the applicant intends to do business. The application must be under oath
and executed on Customs Form 3124. The application must be accompanied
by the $200 application fee prescribed in Sec. 111.96(a) and one copy of
the appropriate attachment required by the application form (Articles of
Agreement or an affidavit signed by all partners, Articles of Agreement
of the association, or the Articles of Incorporation). If the applicant
proposes to operate under a trade or fictitious name in one or more
States, evidence of the applicant's authority to use the name in each of
those States must accompany the application. An application for an
individual license must be submitted
[[Page 706]]
within the 3-year period after the applicant took and passed the written
examination referred to in Sec. Sec. 111.11(a)(4) and 111.13. The port
director may require an individual applicant to provide a copy of the
notification that he passed the written examination (see Sec. 111.13(e))
and will require the applicant to submit fingerprints on form FD 258 or
electronically at the time of filing the application. The port director
may reject an application as improperly filed if the application, on its
face, demonstrates that one or more of the basic requirements set forth
in Sec. 111.11 have not been met at the time of filing, in which case
the application and fee will be returned to the filer without further
action.
(b) Posting notice of application. Following receipt of the
application, the port director will post a notice that the application
has been filed. The notice will be posted conspicuously for at least 2
consecutive weeks in the customhouse at the port and similarly at any
other port where the applicant also proposes to maintain an office. The
notice also will be posted by appropriate electronic means. The notice
will give the name and address of the applicant and, if the applicant is
a partnership, association, or corporation, will state the names of all
members or officers who are licensed as brokers. The notice will invite
written comments or information regarding the issuance of the license.
(c) Withdrawal of application. An applicant for a broker's license
may withdraw the application at any time prior to issuance of the
license by providing written notice of the withdrawal to the port
director. However, withdrawal of the application does not entitle the
applicant to a refund of the $200 application fee.
[T.D. 00-17, 65 FR 13891, Mar. 15, 2000, as amended by T.D. 01-14, 66 FR
8767, Feb. 2, 2001]
Sec. 111.13 Written examination for individual license.
(a) Scope of examination. The written examination for an individual
broker's license will be designed to determine the individual's
knowledge of customs and related laws, regulations and procedures,
bookkeeping, accounting, and all other appropriate matters necessary to
render valuable service to importers and exporters. The examination will
be prepared and graded at Customs and Border Protection (CBP)
Headquarters, Washington, DC.
(b) Basic requirements, date, and place of examination. In order to
be eligible to take the written examination, an individual must on the
date of examination be a citizen of the United States who has attained
the age of 18 years and who is not an officer or employee of the United
States Government. Written examinations will be given on the first
Monday in April and October unless the regularly scheduled examination
date conflicts with a national holiday, religious observance, or other
foreseeable event and the agency publishes in the Federal Register an
appropriate notice of a change in the examination date. An individual
who intends to take the written examination must so advise the port
director in writing at least 30 calendar days prior to the scheduled
examination date and must remit the $200 examination fee prescribed in
Sec. 111.96(a) at that time. The port director will give notice of the
exact time and place for the examination.
(c) Special examination. If a partnership, association, or
corporation loses the required member or officer having an individual
broker's license (see Sec. Sec. 111.11(b) and (c)(2)) and its license
would be revoked by operation of law under the provisions of 19 U.S.C.
1641(b)(5) and Sec. 111.45(a) before the next scheduled written
examination, CBP may authorize a special written examination for a
prospective applicant for an individual license who would serve as the
required licensed member or officer. CBP may also authorize a special
written examination for an individual for purposes of continuing the
business of a sole proprietorship broker. A special written examination
for an individual may also be authorized by CBP if a brokerage firm
loses the individual broker who was exercising responsible supervision
and control over an office in another district (see Sec. 111.19(d)) and
the permit for that additional district would be revoked by operation of
law under the provisions of 19 U.S.C. 1641(c)(3) and Sec. 111.45(b)
before the next
[[Page 707]]
scheduled written examination. A request for a special written
examination must be submitted to the port director in writing and must
describe the circumstances giving rise to the need for the examination.
If the request is granted, the port director will notify the prospective
examinee of the exact time and place for the examination. If the
individual attains a passing grade on the special written examination,
the application for the license may be submitted in accordance with
Sec. 111.12. The examinee will be responsible for all additional costs
incurred by CBP in preparing and administering the special examination
that exceed the $200 examination fee prescribed in Sec. 111.96(a), and
those additional costs must be reimbursed to CBP before the examination
is given.
(d) Failure to appear for examination. If a prospective examinee
advises the port director at least 2 working days prior to the date of a
regularly scheduled written examination that he will not appear for the
examination, the port director will refund the $200 examination fee
referred to in paragraph (b) of this section. No refund of the
examination fee or additional reimbursed costs will be made in the case
of a special written examination provided for under paragraph (c) of
this section.
(e) Notice of examination result. CBP will provide to each examinee
written notice of the result of the examination taken under this
section. A failure of an examinee to attain a passing grade on the
examination will preclude the submission of an application under
Sec. 111.12 but will not preclude the examinee from taking an
examination again at a later date in accordance with paragraph (b) of
this section.
(f) Appeal of failing grade on examination. If an examinee fails to
attain a passing grade on the examination taken under this section, the
examinee may challenge that result by filing a written appeal with Trade
Policy and Programs, Office of International Trade, U.S. Customs and
Border Protection, Washington, DC 20005 within 60 calendar days after
the date of the written notice provided for in paragraph (e) of this
section. CBP will provide to the examinee written notice of the decision
on the appeal. If the CBP decision on the appeal affirms the result of
the examination, the examinee may request review of the decision on the
appeal by writing to the Assistant Commissioner, Office of International
Trade, U.S. Customs and Border Protection, within 60 calendar days after
the date of the notice on that decision.
[T.D. 00-17, 65 FR 13891, Mar. 15, 2000, as amended by T.D. 03-23, 68 FR
31977, May 29, 2003, CBP Dec. 09-38, 74 FR 52401, Oct. 13, 2009; CBP
Dec. 10-29, 75 FR 52458, Aug. 26, 2010]
Sec. 111.14 Investigation of the license applicant.
(a) Referral of application for investigation. The port director
will immediately refer an application for an individual, partnership,
association, or corporation license to the special agent in charge or
other entity designated by Headquarters for investigation and report.
(b) Scope of investigation. An investigation under this section will
ascertain facts relevant to the question of whether the applicant is
qualified and will cover, but need not be limited to:
(1) The accuracy of the statements made in the application;
(2) The business integrity of the applicant; and
(3) When the applicant is an individual (including a member of a
partnership or an officer of an association or corporation), the
character and reputation of the applicant.
(c) Referral to Headquarters. The port director will forward the
originals of the application and the report of investigation to the
Assistant Commissioner. The port director will also submit his
recommendation for action on the application.
(d) Additional investigation or inquiry. The Assistant Commissioner
may require further investigation to be conducted if additional facts
are deemed necessary to pass upon the application. The Assistant
Commissioner may also require the applicant (or in the case of a
partnership, association, or corporation, one or more of its members or
officers) to appear in person before him or before one or more
representatives of the Assistant Commissioner for the purpose of
undergoing further written or oral inquiry into the applicant's
qualifications for a license.
[[Page 708]]
Sec. 111.15 Issuance of license.
If the Assistant Commissioner finds that the applicant is qualified
and has paid all applicable fees prescribed in Sec. 111.96(a), he will
issue a license. A license for an individual who is a member of a
partnership or an officer of an association or corporation will be
issued in the name of the individual licensee and not in his capacity as
a member or officer of the organization with which he is connected. The
license will be forwarded to the port director, who will deliver it to
the licensee.
Sec. 111.16 Denial of license.
(a) Notice of denial. If the Assistant Commissioner determines that
the application for a license should be denied for any reason, notice of
denial will be given by him to the applicant and to the director of the
port at which the application was filed. The notice of denial will state
the reasons why the license was not issued.
(b) Grounds for denial. The grounds sufficient to justify denial of
an application for a license include, but need not be limited to:
(1) Any cause which would justify suspension or revocation of the
license of a broker under the provisions of Sec. 111.53;
(2) The failure to meet any requirement set forth in Sec. 111.11;
(3) A failure to establish the business integrity and good character
of the applicant;
(4) Any willful misstatement of pertinent facts in the application
for the license;
(5) Any conduct which would be deemed unfair in commercial
transactions by accepted standards; or
(6) A reputation imputing to the applicant criminal, dishonest, or
unethical conduct, or a record of that conduct.
Sec. 111.17 Review of the denial of a license.
(a) By the Assistant Commissioner. Upon the denial of an application
for a license, the applicant may file with the Assistant Commissioner,
in writing, a request that further opportunity be given for the
presentation of information or arguments in support of the application
by personal appearance, or in writing, or both. This request must be
received by the Assistant Commissioner within 60 calendar days of the
denial.
(b) By the Secretary. Upon the decision of the Assistant
Commissioner affirming the denial of an application for a license, the
applicant may file with the Secretary of Homeland Security, or his
designee, in writing, a request for any additional review that the
Secretary deems appropriate. This request must be received by the
Secretary within 60 calendar days of the Assistant Commissioner's
affirmation of the denial of the application for a license.
(c) By the Court of International Trade. Upon a decision of the
Secretary of Homeland Security, or his designee affirming the denial of
an application for a license, the applicant may appeal the decision to
the Court of International Trade, provided that the appeal action is
commenced within 60 calendar days after the date of entry of the
Secretary's decision.
Sec. 111.18 Reapplication for license.
An applicant who has been denied a license may reapply at any time
by complying with the provisions of Sec. 111.12.
Sec. 111.19 Permits.
(a) General. Each person granted a broker's license under this part
will be concurrently issued a permit for the district in which the port
through which the license was delivered to the licensee (see
Sec. 111.15) is located and without the payment of the $100 fee required
by Sec. 111.96(b), if it is shown to the satisfaction of the port
director that the person intends to transact customs business within
that district and the person otherwise complies with the requirements of
this part.
(b) Submission of application for initial or additional district
permit. A broker who intends to conduct customs business at a port
within another district for which he does not have a permit, or a broker
who was not concurrently granted a permit with the broker's license
under paragraph (a) of this section, and except as otherwise provided in
paragraph (f) of this section, must submit an application for a permit
in a letter to the director of the port at
[[Page 709]]
which he intends to conduct customs business. Each application for a
permit must set forth or attach the following:
(1) The applicant's broker license number and date of issuance;
(2) The address where the applicant's office will be located within
the district and the telephone number of that office;
(3) A copy of a document which reserves the applicant's business
name with the state or local government;
(4) The name of the individual broker who will exercise responsible
supervision and control over the customs business transacted in the
district;
(5) A list of all other districts for which the applicant has a
permit to transact customs business;
(6) The place where the applicant's brokerage records will be
retained and the name of the applicant's designated recordkeeping
contact (see Sec. Sec. 111.21 and 111.23); and
(7) A list of all persons who the applicant knows will be employed
in the district, together with the specific employee information
prescribed in Sec. 111.28(b)(1)(i) for each of those prospective
employees.
(c) Fees. Each application for a district permit under paragraph (b)
of this section must be accompanied by the $100 and $138 fees specified
in Sec. Sec. 111.96(b) and (c). In the case of an application for a
national permit under paragraph (f) of this section, the $100 fee
specified in Sec. 111.96(b) and the $138 fee specified in Sec. 111.96(c)
must be paid at the port through which the applicant's license was
delivered (see Sec. 111.15) prior to submission of the application. The
$138 fee specified in Sec. 111.96(c) also must be paid in connection
with the issuance of an initial district permit concurrently with the
issuance of a license under paragraph (a) of this section.
(d) Responsible supervision and control--(1) General. The applicant
for a district permit must have a place of business at the port where
the application is filed, or must have made firm arrangements
satisfactory to the port director to establish a place of business, and
must exercise responsible supervision and control over that place of
business once the permit is granted. Except as otherwise provided in
paragraph (d)(2) of this section, the applicant must employ in each
district for which a permit is granted at least one individual broker to
exercise responsible supervision and control over the customs business
conducted in the district.
(2) Exception to district rule. If the applicant can demonstrate to
the satisfaction of CBP that he regularly employs at least one
individual broker in a larger geographical area in which the district is
located and that adequate procedures exist for that individual broker to
exercise responsible supervision and control over the customs business
conducted in the district, CBP may waive the requirement for an
individual broker in that district. A request for a waiver under this
paragraph, supported by information on the volume and type of customs
business conducted, or planned to be conducted, and supported by
evidence demonstrating that the applicant is able to exercise
responsible supervision and control through the individual broker
employed in the larger geographical area, must be sent to the port
director in the district in which the waiver is sought. The port
director will review the request for a waiver and make recommendations
which will be sent to the Office of International Trade, CBP
Headquarters, for review and decision. A written decision on the waiver
request will be issued by the Office of International Trade and, if the
waiver is granted, the decision letter will specify the region covered
by the waiver.
(e) Action on application; list of permitted brokers. The port
director who receives the application will issue a written decision on
the district permit application and will issue the district permit if
the applicant meets the requirements of paragraphs (b), (c), and (d) of
this section. If the port director is of the opinion that the district
permit should not be issued, he will submit his written reasons for that
opinion to the Office of International Trade, CBP Headquarters, for
appropriate instructions on whether to grant or deny the district
permit. Each port director will maintain and make available to the
public an alphabetical list of brokers permitted through his port.
[[Page 710]]
(f) National permit. A broker who has a district permit issued under
paragraph (a) or paragraph (e) of this section may apply for a national
permit for the purpose of transacting customs business in any
circumstance described in Sec. 111.2(b)(2)(i). An application for a
national permit under this paragraph must be in the form of a letter
addressed to the Office of International Trade, U.S. Customs and Border
Protection, Washington, DC 20229, and must:
(1) Identify the applicant's broker license number and date of
issuance;
(2) Set forth the address and telephone number of the office
designated by the applicant as the office of record for purposes of
administration of the provisions of this part regarding all activities
of the applicant conducted under the national permit. That office will
be noted in the national permit when issued;
(3) Set forth the name, broker license number, office address, and
telephone number of the individual broker who will exercise responsible
supervision and control over the activities of the applicant conducted
under the national permit; and
(4) Attach a receipt or other evidence showing that the fees
specified in Sec. 111.96(b) and (c) have been paid in accordance with
paragraph (c) of this section.
(g) Review of the denial of a permit--(1) By the Assistant
Commissioner. Upon the denial of an application for a permit under this
section, the applicant may file with the Assistant Commissioner, in
writing, a request that further opportunity be given for the
presentation of information or arguments in support of the application
by personal appearance, or in writing, or both. This request must be
received by the Assistant Commissioner within 60 calendar days of the
denial.
(2) By the Court of International Trade. Upon a decision of the
Assistant Commissioner affirming the denial of an application for a
permit under this section, the applicant may appeal the decision to the
Court of International Trade, provided that the appeal action is
commenced within 60 calendar days after the date of entry of the
Assistant Commissioner's decision.
[T.D. 00-17, 65 FR 13891, Mar. 15, 2000, as amended by T.D. 01-14, 66 FR
8767, Feb. 2, 2001; CBP Dec. 03-13, 68 FR 43630, July 24, 2003; 72 FR
3734, Jan. 26, 2007]
Subpart C_Duties and Responsibilities of Customs Brokers
Sec. 111.21 Record of transactions.
(a) Each broker must keep current in a correct, orderly, and
itemized manner records of account reflecting all his financial
transactions as a broker. He must keep and maintain on file copies of
all his correspondence and other records relating to his customs
business.
(b) Each broker must comply with the provisions of this part and
part 163 of this chapter when maintaining records that reflect on his
transactions as a broker.
(c) Each broker must designate a knowledgeable company employee to
be the contact for Customs for broker-wide customs business and
financial recordkeeping requirements.
Sec. 111.22 [Reserved]
Sec. 111.23 Retention of records.
(a) Place of retention. A licensed customs broker may retain records
relating to its customs transactions at any location within the customs
territory of the United States in accordance with the provisions of this
part and part 163 of this chapter. Upon request by CBP to examine
records, the designated recordkeeping contact identified in the broker's
applicable permit application, in accordance with Sec. 111.19(b)(6) of
this chapter, must make all records available to CBP within 30 calendar
days, or such longer time as specified by CBP, at the broker district
that covers the CBP port to which the records relate.
(b) Period of retention. The records described in this section,
other than powers of attorney, must be retained for at least 5 years
after the date of entry. Powers of attorney must be retained until
revoked, and revoked powers of attorney and letters of revocation must
be retained for 5 years after the date of revocation or for 5 years
after
[[Page 711]]
the date the client ceases to be an ``active client'' as defined in
Sec. 111.29(b)(2)(ii), whichever period is later. When merchandise is
withdrawn from a bonded warehouse, records relating to the withdrawal
must be retained for 5 years from the date of withdrawal of the last
merchandise withdrawn under the entry.
[CBP Dec. 12-12, 77 FR 33966, June 8, 2012]
Sec. 111.24 Records confidential.
The records referred to in this part and pertaining to the business
of the clients serviced by the broker are to be considered confidential,
and the broker must not disclose their contents or any information
connected with the records to any persons other than those clients,
their surety on a particular entry, and the Field Director, Office of
International Trade, Regulatory Audit, the special agent in charge, the
port director, or other duly accredited officers or agents of the United
States, except on subpoena by a court of competent jurisdiction.
Sec. 111.25 Records must be available.
During the period of retention, the broker must maintain the records
referred to in this part in such a manner that they may readily be
examined. Records required to be made or maintained under the provisions
of this part must be made available upon reasonable notice for
inspection, copying, reproduction or other official use by CBP
regulatory auditors or special agents or other authorized CBP officers
within the prescribed period of retention or within any longer period of
time during which they remain in the possession of the broker. Records
subject to the requirements of part 163 of this chapter must be made
available to Customs in accordance with the provisions of that part.
Sec. 111.26 Interference with examination of records.
Except in accordance with the provisions of part 163 of this
chapter, a broker must not refuse access to, conceal, remove, or destroy
the whole or any part of any record relating to his transactions as a
broker which is being sought, or which the broker has reasonable grounds
to believe may be sought, by the Department of Homeland Security or any
representative of the Department of Homeland Security, nor may he
otherwise interfere, or attempt to interfere, with any proper and lawful
efforts to procure or reproduce information contained in those records.
Sec. 111.27 Audit or inspection of records.
The Field Director, Regulatory Audit, will make any audit or
inspection of the records required by this subpart to be kept and
maintained by a broker as may be necessary to enable the port director
and other proper officials of the Treasury Department to determine
whether or not the broker is complying with the requirements of this
part.
Sec. 111.28 Responsible supervision.
(a) General. Every individual broker operating as a sole proprietor
and every licensed member of a partnership that is a broker and every
licensed officer of an association or corporation that is a broker must
exercise responsible supervision and control (see Sec. 111.1) over the
transaction of the customs business of the sole proprietorship,
partnership, association, or corporation.
(b) Employee information--(1) Current employees--(i) General. Each
broker must submit, in writing, to the director of each port at which
the broker intends to transact customs business, a list of the names of
persons currently employed by the broker at that port. The list of
employees must be submitted upon issuance of a permit for an additional
district under Sec. 111.19, or upon the opening of an office at a port
within a district for which the broker already has a permit, and before
the broker begins to transact customs business as a broker at the port.
For each employee, the broker also must provide the social security
number, date and place of birth, current home address, last prior home
address, and, if the employee has been employed by the broker for less
than 3 years, the name and address of each former employer and dates of
employment for the 3-year period preceding current employment with the
broker. After the initial submission, an updated list, setting forth the
name, social security number, date
[[Page 712]]
and place of birth, and current home address of each current employee,
must be submitted with the status report required by Sec. 111.30(d).
(ii) New employees. In the case of a new employee, the broker must
submit to the port director the written information required under
paragraph (b)(1)(i) of this section within 10 calendar days after the
new employee has been employed by the broker for 30 consecutive days.
(2) Terminated employees. Within 30 calendar days after the
termination of employment of any person employed longer than 30
consecutive days, the broker must submit the name of the terminated
employee, in writing, to the director of the port at which the person
was employed.
(3) Broker's responsibility. Notwithstanding a broker's
responsibility for providing the information required in paragraph
(b)(1) of this section, in the absence of culpability by the broker,
Customs will not hold him responsible for the accuracy of any
information that is provided to the broker by the employee.
(c) Termination of qualifying member or officer. In the case of an
individual broker who is a qualifying member of a partnership for
purposes of Sec. 111.11(b) or who is a qualifying officer of an
association or corporation for purposes of Sec. 111.11(c)(2), that
individual broker must immediately provide written notice to the
Assistant Commissioner when his employment as a qualifying member or
officer terminates and must send a copy of the written notice to the
director of each port through which a permit has been granted to the
partnership, association, or corporation.
(d) Change in ownership. If the ownership of a broker changes and
ownership shares in the broker are not publicly traded, the broker must
immediately provide written notice of that fact to the Assistant
Commissioner and must send a copy of the written notice to the director
of each port through which a permit has been granted to the broker. When
a change in ownership results in the addition of a new principal to the
organization, and whether or not ownership shares in the broker are
publicly traded, Customs reserves the right to conduct a background
investigation on the new principal. The port director will notify the
broker if Customs objects to the new principal, and the broker will be
given a reasonable period of time to remedy the situation. If the
investigation uncovers information which would have been the basis for a
denial of an application for a broker's license and the principal's
interest in the broker is not terminated to the satisfaction of the port
director, suspension or revocation proceedings may be initiated under
subpart D of this part. For purposes of this paragraph, a ``principal''
means any person having at least a 5 percent capital, beneficiary or
other direct or indirect interest in the business of a broker.
Sec. 111.29 Diligence in correspondence and paying monies.
(a) Due diligence by broker. Each broker must exercise due diligence
in making financial settlements, in answering correspondence, and in
preparing or assisting in the preparation and filing of records relating
to any customs business matter handled by him as a broker. Payment of
duty, tax, or other debt or obligation owing to the Government for which
the broker is responsible, or for which the broker has received payment
from a client, must be made to the Government on or before the date that
payment is due. Payments received by a broker from a client after the
due date must be transmitted to the Government within 5 working days
from receipt by the broker. Each broker must provide a written statement
to a client accounting for funds received for the client from the
Government, or received from a client where no payment to the Government
has been made, or received from a client in excess of the Governmental
or other charges properly payable as part of the client's customs
business, within 60 calendar days of receipt. No written statement is
required if there is actual payment of the funds by a broker.
(b) Notice to client of method of payment--(1) All brokers must
provide their clients with the following written notification:
If you are the importer of record, payment to the broker will not
relieve you of liability for customs charges (duties, taxes, or other
[[Page 713]]
debts owed CBP) in the event the charges are not paid by the broker.
Therefore, if you pay by check, customs charges may be paid with a
separate check payable to the ``U.S. Customs and Border Protection''
which will be delivered to CBP by the broker.
(2) The written notification set forth in paragraph (b)(1) of this
section must be provided by brokers as follows:
(i) On, or attached to, any power of attorney provided by the broker
to a client for execution on or after September 27, 1982; and
(ii) To each active client no later than February 28, 1983, and at
least once at any time within each 12-month period after that date. An
active client means a client from whom a broker has obtained a power of
attorney and for whom the broker has transacted customs business on at
least two occasions within the 12-month period preceding notification.
Sec. 111.30 Notification of change of business address, organization,
name, or location of business records; status report;
termination of brokerage business.
(a) Change of address. When a broker changes his business address,
he must immediately give written notice of his new address to each
director of a port that is affected by the change of address. In
addition, if an individual broker is not actively engaged in transacting
business as a broker and changes his non-business mailing address, he
must give written notice of the new address in the status report
required by paragraph (d) of this section.
(b) Change in an organization. A partnership, association, or
corporation broker must immediately provide written notice of any of the
following to the director of each port through which it has been granted
a permit:
(1) The date on which a licensed member or officer ceases to be the
qualifying member or officer for purposes of Sec. 111.11(b) or (c)(2),
and the name of the broker who will succeed as the qualifying member or
officer; and
(2) Any change in the Articles of Agreement, Charter, or Articles of
Incorporation relating to the transaction of customs business, or any
other change in the legal nature of the organization (for example,
conversion of a general partnership to a limited partnership, merger
with another organization, divestiture of a part of the organization, or
entry into bankruptcy protection).
(c) Change in name. A broker who changes his name, or who proposes
to operate under a trade or fictitious name in one or more States within
the district in which he has been granted a permit and is authorized by
State law to do so, must submit to the Office of International Trade,
U.S. Customs and Border Protection, Washington, DC 20229, evidence of
his authority to use that name. The name must not be used until the
approval of Headquarters has been received. In the case of a trade or
fictitious name, the broker must affix his own name in conjunction with
each signature of the trade or fictitious name when signing customs
documents.
(d) Status report--(1) General. Each broker must file a written
status report with Customs on February 1, 1985, and on February 1 of
each third year after that date. The report must be accompanied by the
fee prescribed in Sec. 111.96(d) and must be addressed to the director
of the port through which the license was delivered to the licensee (see
Sec. 111.15). A report received during the month of February will be
considered filed timely. No form or particular format is required.
(2) Individual. Each individual broker must state in the report
required under paragraph (d)(1) of this section whether he is actively
engaged in transacting business as a broker. If he is so actively
engaged, he must also:
(i) State the name under which, and the address at which, his
business is conducted if he is a sole proprietor;
(ii) State the name and address of his employer if he is employed by
another broker, unless his employer is a partnership, association or
corporation broker for which he is a qualifying member or officer for
purposes of Sec. 111.11(b) or (c)(2); and
(iii) State whether or not he still meets the applicable
requirements of Sec. 111.11 and Sec. 111.19 and has not engaged in any
conduct that could constitute grounds for suspension or revocation under
Sec. 111.53.
(3) Partnership, association or corporation. Each corporation,
partnership or
[[Page 714]]
association broker must state in the report required under paragraph
(d)(1) of this section the name under which its business as a broker is
being transacted, its business address, the name and address of each
licensed member of the partnership or licensed officer of the
association or corporation who qualifies it for a license under
Sec. 111.11(b) or (c)(2), and whether it is actively engaged in
transacting business as a broker, and the report must be signed by a
licensed member or officer.
(4) Failure to file timely. If a broker fails to file the report
required under paragraph (d)(1) of this section by March 1 of the
reporting year, the broker's license is suspended by operation of law on
that date. By March 31 of the reporting year, the port director will
transmit written notice of the suspension to the broker by certified
mail, return receipt requested, at the address reflected in Customs
records. If the broker files the required report and pays the required
fee within 60 calendar days of the date of the notice of suspension, the
license will be reinstated. If the broker does not file the required
report within that 60-day period, the broker's license is revoked by
operation of law without prejudice to the filing of an application for a
new license. Notice of the revocation will be published in the Customs
Bulletin.
(e) Custody of records. Upon the permanent termination of a
brokerage business, written notification of the name and address of the
party having legal custody of the brokerage business records must be
provided to the director of each port where the broker was transacting
business within each district for which a permit has been issued to the
broker. That notification will be the responsibility of:
(1) The individual broker, upon the permanent termination of his
brokerage business;
(2) Each member of a partnership who holds an individual broker's
license, upon the permanent termination of a partnership brokerage
business; or
(3) Each association or corporate officer who holds an individual
broker's license, upon the permanent termination of an association or
corporate brokerage business.
Sec. 111.31 Conflict of interest.
(a) Former officer or employee of U.S. Government. A broker who was
formerly an officer or employee in U.S. Government service must not
represent a client before the Department of Homeland Security or any
representative of the Department of Homeland Security in any matter to
which the broker gave personal consideration or gained knowledge of the
facts while in U.S. Government service, except as provided in 18 U.S.C.
207.
(b) Relations with former officer or employee of U.S. Government. A
broker must not knowingly assist, accept assistance from, or share fees
with a person who has been employed by a client in a matter pending
before the Department of Homeland Security or any representative of the
Department of Homeland Security to which matter that person gave
personal consideration or gained personal knowledge of the facts or
issues of the matter while in U.S. Government service.
(c) Importations by broker or employee. A broker who is an importer
himself must not act as broker for an importer who imports merchandise
of the same general character as that imported by the broker unless the
client has full knowledge of the facts. The same restriction will apply
if a broker's employee is an importer.
Sec. 111.32 False information.
A broker must not file or procure or assist in the filing of any
claim, or of any document, affidavit, or other papers, known by such
broker to be false. In addition, a broker must not knowingly give, or
solicit or procure the giving of, any false or misleading information or
testimony in any matter pending before the Department of Homeland
Security or any representative of the Department of Homeland Security.
Sec. 111.33 Government records.
A broker must not procure or attempt to procure, directly or
indirectly, information from Government records or other Government
sources of any kind to which access is not granted by proper authority.
[[Page 715]]
Sec. 111.34 Undue influence upon Department of Homeland Security
employees.
A broker must not influence or attempt to influence the conduct of
any representative of the Department of Homeland Security in any matter
pending before the Department of Homeland Security or any representative
of the Department of Homeland Security by the use of duress or a threat
or false accusation, or by the offer of any special inducement or
promise of advantage, or by bestowing any gift or favor or other thing
of value.
Sec. 111.35 Acceptance of fees from attorneys.
With respect to customs transactions, a broker must not demand or
accept from any attorney (whether directly or indirectly, including, for
example, from a client as a part of any arrangement with an attorney) on
account of any case litigated in any court of law or on account of any
other legal service rendered by an attorney any fee or remuneration in
excess of an amount measured by or commensurate with the time, effort
and skill expended by the broker in performing his services.
Sec. 111.36 Relations with unlicensed persons.
(a) Employment by unlicensed person other than importer. When a
broker is employed for the transaction of customs business by an
unlicensed person who is not the actual importer, the broker must
transmit to the actual importer either a copy of his bill for services
rendered or a copy of the entry, unless the merchandise was purchased on
a delivered duty-paid basis or unless the importer has in writing waived
transmittal of the copy of the entry or bill for services rendered.
(b) Service to others not to benefit unlicensed person. Except as
otherwise provided in paragraph (c) of this section, a broker must not
enter into any agreement with an unlicensed person to transact customs
business for others in such manner that the fees or other benefits
resulting from the services rendered for others inure to the benefit of
the unlicensed person.
(c) Relations with a freight forwarder. A broker may compensate a
freight forwarder for referring brokerage business, subject to the
following conditions:
(1) The importer or other party in interest is notified in advance
by the forwarder or broker of the name of the broker selected by the
forwarder for the handling of his Customs transactions;
(2) The broker transmits directly to the importer or other party in
interest:
(i) A true copy of his brokerage charges if the fees and charges are
to be collected by or through the forwarder, unless this requirement is
waived in writing by the importer or other party in interest; or
(ii) A statement of his brokerage charges and an itemized list of
any charges to be collected for the account of the freight forwarder if
the fees and charges are to be collected by or through the broker;
(3) No part of the agreement of compensation between the broker and
the forwarder, nor any action taken pursuant to the agreement, forbids
or prevents direct communication between the importer or other party in
interest and the broker; and
(4) In making the agreement and in all actions taken pursuant to the
agreement, the broker remains subject to all other provisions of this
part.
Sec. 111.37 Misuse of license or permit.
A broker must not allow his license, permit or name to be used by or
for any unlicensed person (including a broker whose license or permit is
under suspension), other than his own employees authorized to act for
him, in the solicitation, promotion or performance of any customs
business or transaction.
Sec. 111.38 False representation to procure employment.
A broker must not knowingly use false or misleading representations
to procure employment in any customs matter. In addition, a broker must
not represent to a client or prospective client that he can obtain any
favors from the Department of Homeland Security or any representative of
the Department of Homeland Security.
[[Page 716]]
Sec. 111.39 Advice to client.
(a) Withheld or false information. A broker must not withhold
information relative to any customs business from a client who is
entitled to the information. Moreover, a broker must exercise due
diligence to ascertain the correctness of any information which he
imparts to a client, and he must not knowingly impart to a client false
information relative to any customs business.
(b) Error or omission by client. If a broker knows that a client has
not complied with the law or has made an error in, or omission from, any
document, affidavit, or other paper which the law requires the client to
execute, he must advise the client promptly of that noncompliance,
error, or omission.
(c) Illegal plans. A broker must not knowingly suggest to a client
or prospective client any illegal plan for evading payment of any duty,
tax, or other debt or obligation owing to the U.S. Government.
Sec. 111.40 Protests.
A broker must not act on behalf of any person, or attempt to
represent any person, regarding any protest unless he is authorized to
do so in accordance with part 174 of this chapter.
Sec. 111.41 Endorsement of checks.
A broker must not endorse or accept, without authority of his
client, any U.S. Government draft, check, or warrant drawn to the order
of the client.
Sec. 111.42 Relations with person who is notoriously disreputable or
whose license is under suspension, canceled ``with
prejudice,'' or revoked.
(a) General. Except as otherwise provided in paragraph (b) of this
section, a broker must not knowingly and directly or indirectly:
(1) Accept employment to effect a Customs transaction as associate,
correspondent, officer, employee, agent, or subagent from any person who
is notoriously disreputable or whose broker license was revoked for any
cause or is under suspension or was cancelled ``with prejudice;''
(2) Assist in the furtherance of any customs business or
transactions of any person described in paragraph (a)(1) of this
section;
(3) Employ, or accept assistance in the furtherance of any customs
business or transactions from, any person described in paragraph (a)(1)
of this section, without the approval of the Assistant Commissioner (see
Sec. 111.79);
(4) Share fees with any person described in paragraph (a)(1) of this
section; or
(5) Permit any person described in paragraph (a)(1) of this section
to participate, directly or indirectly and whether through ownership or
otherwise, in the promotion, control, or direction of the business of
the broker.
(b) Client exception. Nothing in this section will prohibit a broker
from transacting customs business on behalf of a bona fide importer or
exporter who may be notoriously disreputable or whose broker license is
under suspension or was cancelled ``with prejudice'' or revoked.
Sec. Sec. 111.43-111.44 [Reserved]
Sec. 111.45 Revocation by operation of law.
(a) License. If a broker that is a partnership, association, or
corporation fails to have, during any continuous period of 120 days, at
least one member of the partnership or at least one officer of the
association or corporation who holds a valid individual broker's
license, that failure will, in addition to any other sanction that may
be imposed under this part, result in the revocation by operation of law
of the license and any permits issued to the partnership, association,
or corporation. The Assistant Commissioner or his designee will notify
the broker in writing of an impending revocation by operation of law
under this section 30 calendar days before the revocation is due to
occur.
(b) Permit. If a broker who has been granted a permit for an
additional district fails, for any continuous period of 180 days, to
employ within that district (or region, as defined in Sec. 111.1, if an
exception has been granted pursuant to Sec. 111.19(d)) at least one
person who holds a valid individual broker's license, that failure will,
in addition to
[[Page 717]]
any other sanction that may be imposed under this part, result in the
revocation of the permit by operation of law.
(c) Notification. If the license or an additional permit of a
partnership, association, or corporation is revoked by operation of law
under paragraph (a) or (b) of this section, the Assistant Commissioner
or his designee will notify the organization of the revocation. If an
additional permit of an individual broker is revoked by operation of law
under paragraph (b) of this section, the Assistant Commissioner or his
designee will notify the broker. Notice of any revocation under this
section will be published in the Customs Bulletin.
(d) Applicability of other sanctions. Notwithstanding the operation
of paragraph (a) or (b) of this section, each broker still has a
continuing obligation to exercise responsible supervision and control
over the conduct of its brokerage business and to otherwise comply with
the provisions of this part. Any failure on the part of a broker to meet
that continuing obligation during the 120 or 180-day period referred to
in paragraph (a) or (b) of this section, or during any shorter period of
time, may result in the initiation of suspension or revocation
proceedings or the assessment of a monetary penalty under subpart D or
subpart E of this part.
Subpart D_Cancellation, Suspension, or Revocation of License or Permit,
and Monetary Penalty in Lieu of Suspension or Revocation
Sec. 111.50 General.
This subpart sets forth provisions relating to cancellation,
suspension, or revocation of a license or a permit, or assessment of a
monetary penalty in lieu of suspension or revocation, under section
641(d)(2)(B), Tariff Act of 1930, as amended (19 U.S.C. 1641(d)(2)(B)).
The provisions relating to assessment of a monetary penalty under
sections 641(b)(6) and (d)(2)(A), Tariff Act of 1930, as amended (19
U.S.C. 1641(b)(6) and (d)(2)(A)), are set forth in subpart E of this
part.
Sec. 111.51 Cancellation of license or permit.
(a) Without prejudice. The Assistant Commissioner may cancel a
broker's license or permit ``without prejudice'' upon written
application by the broker if the Assistant Commissioner determines that
the application for cancellation was not made in order to avoid
proceedings for the suspension or revocation of the license or permit.
If the Assistant Commissioner determines that the application for
cancellation was made in order to avoid those proceedings, he may cancel
the license or permit ``without prejudice'' only with authorization from
the Secretary of Homeland Security, or his designee.
(b) With prejudice. The Assistant Commissioner may cancel a broker's
license or permit ``with prejudice'' when specifically requested to do
so by the broker. The effect of a cancellation ``with prejudice'' is in
all respects the same as if the license or permit had been revoked for
cause by the Secretary except that it will not give rise to a right of
appeal.
Sec. 111.52 Voluntary suspension of license or permit.
The Assistant Commissioner may accept a broker's written voluntary
offer of suspension of the broker's license or permit for a specific
period of time under any terms and conditions to which the parties may
agree.
Sec. 111.53 Grounds for suspension or revocation of license or permit.
The appropriate Customs officer may initiate proceedings for the
suspension, for a specific period of time, or revocation of the license
or permit of any broker for any of the following reasons:
(a) The broker has made or caused to be made in any application for
any license or permit under this part, or report filed with Customs, any
statement which was, at the time and in light of the circumstances under
which it was made, false or misleading with respect to any material
fact, or has omitted to state in any application or report any material
fact which was required;
[[Page 718]]
(b) The broker has been convicted, at any time after the filing of
an application for a license under Sec. 111.12, of any felony or
misdemeanor which:
(1) Involved the importation or exportation of merchandise;
(2) Arose out of the conduct of customs business; or
(3) Involved larceny, theft, robbery, extortion, forgery,
counterfeiting, fraudulent concealment, embezzlement, fraudulent
conversion, or misappropriation of funds;
(c) The broker has violated any provision of any law enforced by
Customs or the rules or regulations issued under any provision of any
law enforced by Customs;
(d) The broker has counseled, commanded, induced, procured, or
knowingly aided or abetted the violations by any other person of any
provision of any law enforced by Customs or the rules or regulations
issued under any provision of any law enforced by Customs;
(e) The broker has knowingly employed, or continues to employ, any
person who has been convicted of a felony, without written approval of
that employment from the Assistant Commissioner;
(f) The broker has, in the course of customs business, with intent
to defraud, in any manner willfully and knowingly deceived, misled or
threatened any client or prospective client; or
(g) The broker no longer meets the applicable requirements of
Sec. Sec. 111.11 and 111.19.
Sec. 111.54 [Reserved]
Sec. 111.55 Investigation of complaints.
Every complaint or charge against a broker which may be the basis
for disciplinary action will be forwarded for investigation to the
special agent in charge of the area in which the broker is located. The
special agent in charge will submit a report on the investigation to the
director of the port and send a copy of it to the Assistant
Commissioner.
Sec. 111.56 Review of report on investigation.
The port director will review the report of investigation to
determine if there is sufficient basis to recommend that charges be
preferred against the broker. He will then submit his recommendation
with supporting reasons to the Assistant Commissioner for final
determination together with a proposed statement of charges when
recommending that charges be preferred.
Sec. 111.57 Determination by Assistant Commissioner.
The Assistant Commissioner will make a determination on whether or
not charges should be preferred, and he will notify the port director of
his decision.
Sec. 111.58 Content of statement of charges.
Any statement of charges referred to in this subpart must give a
plain and concise, but not necessarily detailed, description of the
facts claimed to constitute grounds for suspension or revocation of the
license or permit. The statement of charges also must specify the
sanction being proposed (that is, suspension of the license or permit or
revocation of the license or permit), but if a suspension is proposed
the charges need not state a specific period of time for which
suspension is proposed. A statement of charges which fairly informs the
broker of the charges against him so that he is able to prepare his
response will be deemed sufficient. Different means by which a purpose
might have been accomplished, or different intents with which acts might
have been done, so as to constitute grounds for suspension or revocation
of the license may be alleged in the alternative under a single count in
the statement of charges.
Sec. 111.59 Preliminary proceedings.
(a) Opportunity to participate. The port director will advise the
broker of his opportunity to participate in preliminary proceedings with
an opportunity to avoid formal proceedings against his license or
permit.
(b) Notice of preliminary proceedings. The port director will serve
upon the
[[Page 719]]
broker, in the manner set forth in Sec. 111.63, written notice that:
(1) Transmits a copy of the proposed statement of charges;
(2) Informs the broker that formal proceedings are available to him;
(3) Informs the broker that sections 554 and 558, Title 5, United
States Code, will be applicable if formal proceedings are necessary;
(4) Invites the broker to show cause why formal proceedings should
not be instituted;
(5) Informs the broker that he may make submissions and
demonstrations of the character contemplated by the cited statutory
provisions;
(6) Invites any negotiation for settlement of the complaint or
charge that the broker deems it desirable to enter into;
(7) Advises the broker of his right to be represented by counsel;
(8) Specifies the place where the broker may respond in writing; and
(9) Advises the broker that the response must be received within 30
calendar days of the date of the notice.
Sec. 111.60 Request for additional information.
If, in order to prepare his response, the broker desires additional
information as to the time and place of the alleged misconduct, or the
means by which it was committed, or any other more specific information
concerning the alleged misconduct, he may request that information in
writing. The broker's request must set forth in what respect the
proposed statement of charges leaves him in doubt and must describe the
particular language of the proposed statement of charges as to which
additional information is needed. If in the opinion of the port director
that information is reasonably necessary to enable the broker to prepare
his response, he will furnish the broker with that information.
Sec. 111.61 Decision on preliminary proceedings.
The port director will prepare a summary of any oral presentations
made by the broker or his attorney and forward it to the Assistant
Commissioner together with a copy of each paper filed by the broker. The
port director will also give to the Assistant Commissioner his
recommendation on action to be taken as a result of the preliminary
proceedings. If the Assistant Commissioner determines that the broker
has satisfactorily responded to the proposed charges and that further
proceedings are not warranted, he will so inform the port director who
will notify the broker. If no response is filed by the broker or if the
Assistant Commissioner determines that the broker has not satisfactorily
responded to all of the proposed charges, he will advise the port
director of that fact and instruct him to prepare, sign, and serve a
notice of charges and the statement of charges. If one or more of the
charges in the proposed statement of charges was satisfactorily answered
by the broker in the preliminary proceedings, the Assistant Commissioner
will instruct the port director to omit those charges from the statement
of charges.
Sec. 111.62 Contents of notice of charges.
The notice of charges must inform the broker that:
(a) Sections 554 and 558, Title 5, United States Code, are
applicable to the formal proceedings;
(b) The broker may be represented by counsel;
(c) The broker will have the right to cross-examine witnesses;
(d) Within 10 calendar days after service of this notice, the broker
will be notified of the time and place of a hearing on the charges; and
(e) Prior to the hearing on the charges, the broker may file, in
duplicate with the port director, a verified answer to the charges.
Sec. 111.63 Service of notice and statement of charges.
(a) Individual. The port director will serve the notice of charges
and the statement of charges against an individual broker as follows:
(1) By delivery to the broker personally;
(2) By certified mail addressed to the broker, with demand for a
return card signed solely by the addressee;
(3) By any other means which the broker may have authorized in a
written communication to the port director; or
[[Page 720]]
(4) If attempts to serve the broker by the methods prescribed in
paragraphs (a)(1) through (a)(3) of this section are unsuccessful, the
port director may serve the notice and statement by leaving them with
the person in charge of the broker's office.
(b) Partnership, association or corporation. The port director will
serve the notice of charges and the statement of charges against a
partnership, association, or corporation broker as follows:
(1) By delivery to any member of the partnership personally or to
any officer of the association or corporation personally;
(2) By certified mail addressed to any member of the partnership or
to any officer of the association or corporation, with demand for a
return card signed solely by the addressee;
(3) By any other means which the broker may have authorized in a
written communication to the port director; or
(4) If attempts to serve the broker by the methods prescribed in
paragraphs (b)(1) through (b)(3) of this section are unsuccessful, the
port director may serve the notice and statement by leaving them with
the person in charge of the broker's office.
(c) Certified mail; evidence of service. When the service under this
section is by certified mail, the receipt of the return card duly signed
will be satisfactory evidence of service.
Sec. 111.64 Service of notice of hearing and other papers.
(a) Notice of hearing. After service of the notice and statement of
charges, the port director will serve upon the broker and his attorney
if known, by one of the methods set forth in Sec. 111.63 or by ordinary
mail, a written notice of the time and place of the hearing. The hearing
will be scheduled to take place within 30 calendar days after service of
the notice of hearing.
(b) Other papers. Other papers relating to the hearing may be served
by one of the methods set forth in Sec. 111.63 or by ordinary mail or
upon the broker's attorney.
Sec. 111.65 Extension of time for hearing.
If the broker or his attorney requests in writing a delay in the
hearing for good cause, the hearing officer designated pursuant to
Sec. 111.67(a) may reschedule the hearing and in that case will notify
the broker or his attorney in writing of the extension and the new time
for the hearing.
Sec. 111.66 Failure to appear.
If the broker or his attorney fails to appear for a scheduled
hearing, the hearing officer designated pursuant to Sec. 111.67(a) will
proceed with the hearing as scheduled and will hear evidence submitted
by the parties. The provisions of this part will apply as though the
broker were present, and the Secretary of Homeland Security, or his
designee, may issue an order of suspension of the license or permit for
a specified period of time or revocation of the license or permit, or
assessment of a monetary penalty in lieu of suspension or revocation, in
accordance with Sec. 111.74 if he finds that action to be in order.
Sec. 111.67 Hearing.
(a) Hearing officer. The hearing officer must be an administrative
law judge appointed pursuant to 5 U.S.C. 3105.
(b) Rights of the broker. The broker or his attorney will have the
right to examine all exhibits offered at the hearing and will have the
right to cross-examine witnesses and to present witnesses who will be
subject to cross-examination by the Government representatives.
(c) Interrogatories. Upon the written request of either party, the
hearing officer may permit deposition upon oral or written
interrogatories to be taken before any officer duly authorized to
administer oaths for general purposes or in customs matters. The other
party to the hearing will be given a reasonable time in which to prepare
cross-interrogatories and, if the deposition is oral, will be permitted
to cross-examine the witness. The deposition will become part of the
hearing record.
(d) Transcript of record. The port director will provide a competent
reporter to make a record of the hearing. When the record of the hearing
has been transcribed by the reporter, the port director will deliver a
copy of the
[[Page 721]]
transcript of record to the hearing officer, the broker and the
Government representative without charge.
(e) Government representatives. The Assistant Commissioner will
designate one or more persons to represent the Government at the
hearing.
Sec. 111.68 Proposed findings and conclusions.
The hearing officer will allow the parties a reasonable period of
time after delivery of the transcript of record in which to submit
proposed findings and conclusions and supporting reasons for the
findings as contemplated by 5 U.S.C. 557(c).
Sec. 111.69 Recommended decision by hearing officer.
After review of the proposed findings and conclusions submitted by
the parties pursuant to Sec. 111.68, the hearing officer will make his
recommended decision in the case and certify the entire record to the
Secretary of Homeland Security, or his designee. The hearing officer's
recommended decision must conform to the requirements of 5 U.S.C. 557.
Sec. 111.70 Additional submissions.
Upon receipt of the record, the Secretary of Homeland Security, or
his designee, will afford the parties a reasonable opportunity to make
any additional submissions that are permitted under 5 U.S.C. 557(c) or
otherwise required by the circumstances of the case.
Sec. 111.71 Immaterial mistakes.
The Secretary of Homeland Security, or his designee, will disregard
an immaterial misnomer of a third person, an immaterial mistake in the
description of any person, thing, or place, or ownership of any
property, any other immaterial mistake in the statement of charges, or a
failure to prove immaterial allegations in the description of the
broker's conduct.
Sec. 111.72 Dismissal subject to new proceedings.
If the Secretary of Homeland Security, or his designee, finds that
the evidence produced at the hearing indicates that a proper disposition
of the case cannot be made on the basis of the charges preferred, he may
instruct the port director to serve appropriate charges as a basis for
new proceedings to be conducted in accordance with the procedures set
forth in this subpart.
Sec. 111.73 [Reserved]
Sec. 111.74 Decision and notice of suspension or revocation or monetary
penalty.
If the Secretary of Homeland Security, or his designee, finds that
one or more of the charges in the statement of charges is not
sufficiently proved, he may base a suspension, revocation, or monetary
penalty action on any remaining charges if the facts alleged in the
charges are established by the evidence. If the Secretary of Homeland
Security, or his designee, in the exercise of his discretion and based
solely on the record, issues an order suspending a broker's license or
permit for a specified period of time or revoking a broker's license or
permit or, except in a case described in Sec. 111.53(b)(3), assessing a
monetary penalty in lieu of suspension or revocation, the Assistant
Commissioner will promptly provide written notification of the order to
the broker and, unless an appeal from the Secretary's order is filed by
the broker (see Sec. 111.75), the Assistant Commissioner will publish a
notice of the suspension or revocation, or the assessment of a monetary
penalty, in the Federal Register and in the Customs Bulletin. If no
appeal from the Secretary's order is filed, an order of suspension or
revocation or assessment of a monetary penalty will become effective 60
calendar days after issuance of written notification of the order unless
the Secretary finds that a more immediate effective date is in the
national or public interest. If a monetary penalty is assessed and no
appeal from the Secretary's order is filed, payment of the penalty must
be tendered within 60 calendar days after the effective date of the
order, and, if payment is not tendered within that 60-day period, the
license or permit of the broker will immediately be suspended until
payment is made.
[[Page 722]]
Sec. 111.75 Appeal from the Secretary's decision.
An appeal from the order of the Secretary of Homeland Security, or
his designee, suspending or revoking a license or permit, or assessing a
monetary penalty, may be filed by the broker in the Court of
International Trade as provided in section 641(e), Tariff Act of 1930,
as amended (19 U.S.C. 1641(e)). The commencement of those proceedings
will, unless specifically ordered by the Court, operate as a stay of the
Secretary's order.
Sec. 111.76 Reopening the case.
(a) Grounds for reopening. Provided that no appeal is filed in
accordance with Sec. 111.75, a person whose license or permit has been
suspended or revoked, or against whom a monetary penalty has been
assessed in lieu of suspension or revocation, may make written
application in duplicate to the Assistant Commissioner to reopen the
case and have the order of suspension or revocation or monetary penalty
assessment set aside or modified on the ground that new evidence has
been discovered or on the ground that important evidence is now
available which could not be produced at the original hearing by the
exercise of due diligence. The application must set forth the precise
character of the evidence to be relied upon and must state the reasons
why the applicant was unable to produce it when the original charges
were heard.
(b) Procedure. The Assistant Commissioner will forward the
application, together with his recommendation for action thereon, to the
Secretary of Homeland Security, or his designee. The Secretary may grant
or deny the application to reopen the case and may order the taking of
additional testimony before the Assistant Commissioner. The Assistant
Commissioner will notify the applicant of the Secretary's decision. If
the Secretary grants the application and orders a hearing, the Assistant
Commissioner will set a time and place for the hearing and give due
written notice of the hearing to the applicant. The procedures governing
the new hearing and recommended decision of the hearing officer will be
the same as those governing the original proceeding. The original order
of the Secretary will remain in effect pending conclusion of the new
proceedings and issuance of a new order under Sec. 111.77.
Sec. 111.77 Notice of vacated or modified order.
If, pursuant to Sec. 111.76 or for any other reason, the Secretary
of Homeland Security, or his designee, issues an order vacating or
modifying an earlier order under Sec. 111.74 suspending or revoking a
broker's license or permit, or assessing a monetary penalty, the
Assistant Commissioner will notify the broker in writing and will
publish a notice of the new order in the Federal Register and in the
Customs Bulletin.
Sec. 111.78 Reprimands.
If a broker fails to observe and fulfill the duties and
responsibilities of a broker as set forth in this part but that failure
is not sufficiently serious to warrant initiation of suspension or
revocation proceedings, Headquarters, or the port director with the
approval of Headquarters, may serve the broker with a written reprimand.
The reprimand, and the facts on which it is based, may be considered in
connection with any future disciplinary proceeding that may be
instituted against the broker in question.
Sec. 111.79 Employment of broker who has lost license.
Five years after the revocation or cancellation ``with prejudice''
of a license, the ex-broker may petition the Assistant Commissioner for
authorization to assist, or accept employment with, a broker. The
petition will not be approved unless the Assistant Commissioner is
satisfied that the petitioner has refrained from all activities
described in Sec. 111.42 and that the petitioner's conduct has been
exemplary during the period of disability. The Assistant Commissioner
will also give consideration to the gravity of the misconduct which gave
rise to the petitioner's disability. In any case in which the misconduct
led to pecuniary loss to the Government or to any person, the Assistant
Commissioner will also take into account whether the petitioner has made
restitution of that loss.
[[Page 723]]
Sec. 111.80 [Reserved]
Sec. 111.81 Settlement and compromise.
The Assistant Commissioner, with the approval of the Secretary of
Homeland Security, or his designee, may settle and compromise any
disciplinary proceeding which has been instituted under this subpart
according to the terms and conditions agreed to by the parties
including, but not limited to, the assessment of a monetary penalty in
lieu of any proposed suspension or revocation of a broker's license or
permit.
Subpart E_Monetary Penalty and Payment of Fees
Sec. 111.91 Grounds for imposition of a monetary penalty; maximum
penalty.
Customs may assess a monetary penalty or penalties as follows:
(a) In the case of a broker, in an amount not to exceed an aggregate
of $30,000 for one or more of the reasons set forth in Sec. Sec. 111.53
(a) through (f) other than those listed in Sec. 111.53(b)(3), and
provided that no license or permit suspension or revocation proceeding
has been instituted against the broker under subpart D of this part for
any of the same reasons; or
(b) In the case of a person who is not a broker, in an amount not to
exceed $10,000 for each transaction or violation referred to in
Sec. 111.4 and in an amount not to exceed an aggregate of $30,000 for
all those transactions or violations.
Sec. 111.92 Notice of monetary penalty.
(a) Pre-penalty notice. If assessment of a monetary penalty under
Sec. 111.91 is contemplated, Customs will issue a written notice which
advises the broker or other person of the allegations or complaints
against him and explains that the broker or other person has a right to
respond to the allegations or complaints in writing within 30 days of
the date of mailing of the notice. The Fines, Penalties, and Forfeitures
Officer has discretion to provide additional time for good cause.
(b) Penalty notice. If the broker or other person files a timely
response to the written notice of the allegations or complaints, the
Fines, Penalties, and Forfeiture Officer will review this response and
will either cancel the case, issue a notice of penalty in an amount
which is lower than that provided for in the written notice of
allegations or complaints or issue a notice of penalty in the same
amount as that provided in the written notice of allegations or
complaints. If no response is received from the broker or other person,
the Fines, Penalties, and Forfeitures Officer will issue a notice of
penalty in the same amount as that provided in the written notice of
allegations or complaints.
[T.D. 00-57, 65 FR 53575, Sept. 5, 2000]
Sec. 111.93 Petition for relief from monetary penalty.
A broker or other person who receives a notice issued under
Sec. 111.92(b) may file a petition for relief from the monetary penalty
in accordance with the procedures set forth in part 171 of this chapter.
[T.D. 00-17, 65 FR 13891, Mar. 15, 2000, as amended by T.D. 00-57, 65 FR
53575, Sept. 5, 2000]
Sec. 111.94 Decision on monetary penalty.
Customs will follow the procedures set forth in part 171 of this
chapter in considering any petition for relief filed under Sec. 111.93.
After Customs has considered the allegations or complaints set forth in
the notice issued under Sec. 111.92 and any timely response made to the
notice by the broker or other person, the Fines, Penalties, and
Forfeitures Officer will issue a written decision to the broker or other
person setting forth the final determination and the findings of fact
and conclusions of law on which the determination is based. If the final
determination is that the broker or other person is liable for a
monetary penalty, the broker or other person must pay the monetary
penalty, or make arrangements for payment of the monetary penalty,
within 60 calendar days of the date of the written decision. If payment
or arrangements for payment are not timely made, Customs will refer the
matter to the Department of Justice for institution of appropriate
judicial proceedings.
[[Page 724]]
Sec. 111.95 Supplemental petition for relief from monetary penalty.
A decision of the Fines, Penalties, and Forfeitures Officer with
regard to any petition filed in accordance with part 171 of this chapter
may be the subject of a supplemental petition for relief. Any
supplemental petition also must be filed in accordance with the
provisions of part 171 of this chapter.
Sec. 111.96 Fees.
(a) License fee; examination fee; fingerprint fee. Each applicant
for a broker's license pursuant to Sec. 111.12 must pay a fee of $200 to
defray the costs to Customs in processing the application. Each
individual who intends to take the written examination provided for in
Sec. 111.13 must pay a $200 examination fee before taking the
examination. An individual who submits an application for a license must
also pay a fingerprint check and processing fee; the port director will
inform the applicant of the current Federal Bureau of Investigation fee
for conducting fingerprint checks and the Customs fingerprint processing
fee, the total of which must be paid to Customs before further
processing of the application will occur.
(b) Permit fee. A fee of $100 must be paid in connection with each
permit application under Sec. 111.19 to defray the costs of processing
the application, including an application for reinstatement of a permit
that was revoked by operation of law or otherwise.
(c) User fee. Payment of an annual user fee of $138 is required for
each permit, including a national permit under Sec. 111.19(f), granted
to an individual, partnership, association, or corporate broker. The
user fee is payable when an initial district permit is issued
concurrently with a license under Sec. 111.19(a), or in connection with
the filing of an application for a permit under Sec. 111.19 (b) or (f),
and for each subsequent calendar year at the port through which the
broker was granted the permit or at the port referred to in
Sec. 111.19(c) in the case of a national permit. The user fee must be
paid by the due date as published annually in the Federal Register, and
must be remitted in accordance with the procedures set forth in
Sec. 24.22(i) of this chapter. When a broker submits an application for
a permit or is issued an initial district permit under Sec. 111.19, the
full $138 user fee must be remitted with the application or when the
initial district permit is issued, regardless of the point during the
calendar year at which the application is submitted or the initial
district permit is issued. If a broker fails to pay the annual user fee
by the published due date, the appropriate port director will notify the
broker in writing of the failure to pay and will revoke the permit to
operate. The notice will constitute revocation of the permit.
(d) Status report fee. The status report required under
Sec. 111.30(d) must be accompanied by a fee of $100 to defray the costs
of administering the reporting requirement.
(e) Method of payment. All fees prescribed under this section must
be paid by check or money order payable to the United States Customs
Service.
[T.D. 00-17, 65 FR 13891, Mar. 15, 2000, as amended by CBP Dec. 03-13,
68 FR 43630, July 24, 2003; 72 FR 3734, Jan. 26, 2007]
PART 112_CARRIERS, CARTMEN, AND LIGHTERMEN
Sec.
112.0 Scope.
Subpart A_General Provisions
112.1 Definitions.
112.2 Bond or license required.
Subpart B_Authorization of Carriers To Carry Bonded Merchandise
112.11 Carriers which may be authorized.
112.12 Application for authorization.
112.13 Approval of applications.
112.14 Discontinuance of carrier bonds.
Subpart C_Licensing of Cartmen and Lightermen
112.21 License required.
112.22 Application for license.
112.23 Investigation of applicant.
112.24 Issuance of license.
112.25 Bonded carriers.
112.26 Duration of license.
112.27 Marking of vehicles and vessels.
112.28 Production of license.
112.29 Records.
112.30 Suspension or revocation of license.
Subpart D_Identification Cards
112.41 Identification cards required.
[[Page 725]]
112.42 Application for identification card.
112.43 Form of identification card.
112.44 Changes in information on identification cards.
112.45 Surrender of identification cards.
112.46 Report of loss or theft.
112.47 Wrongful presentation.
112.48 Revocation or suspension of identification cards.
112.49 Temporary identification cards.
Authority: 19 U.S.C. 66, 1551, 1565, 1623, 1624.
Source: T.D. 73-140, 38 FR 13551, May 23, 1973, unless otherwise
noted.
Sec. 112.0 Scope.
This part sets forth regulations providing for the bonding of
carriers which will receive merchandise for transportation in bond, the
licensing of cartmen and lightermen, and the procedures for applying for
such bonds and licenses. This part also sets forth the regulations
concerning the obtaining of identification cards by cartmen and
lightermen, and their employees and the procedures for revoking or
suspending licenses and identification cards. Provisions setting forth
the duties and responsibilities of cartmen and lightermen are set forth
in part 125 of this chapter.
[T.D. 73-140, 38 FR 13551, May 23, 1973, as amended by T.D. 94-81, 59 FR
51494, Oct. 12, 1994]
Subpart A_General Provisions
Sec. 112.1 Definitions.
When used in this part, the following terms shall have the meaning
indicated:
Carrier. A ``carrier'' is one who undertakes to transport goods,
merchandise or people.
Cartman. A ``cartman'' is one who undertakes to transport goods or
merchandise within the limits of the port.
Common carrier. A ``common carrier'' is a carrier owning or
operating a railroad, steamship, or other transportation line or route
which undertakes to transport goods or merchandise for all of the
general public who choose to employ him.
Contract carrier. A ``contract carrier'' is a carrier which
undertakes to transport specific goods or merchandise for a specific
person or group of persons, and is authorized to operate as such by any
agency of the United States.
District. ``District'' means the geographic area in which the
parties excepted by the last sentence of Sec. 112.2(b)(2) may operate
under their bonds without obtaining a cartage or lighterage license
issued under this part. A listing of each district, and the ports
thereunder, will be published on or before October 1, 1995, and whenever
updated.
Freight forwarder. A ``freight forwarder'' is one who engages in the
business of dispatching shipments on behalf of other persons, for a
consideration, in foreign or domestic commerce between the United
States, its territories or possessions, and foreign countries, and of
handling the formalities incident to such shipments, and is authorized
to operate as such by any agency of the United States.
Lighterman. A ``lighterman'' is one who transports goods or
merchandise on a barge, scow, or other small vessel to or from a vessel
within the port, or from place to place within a port.
Private carrier. A ``private carrier'' is a carrier of his own goods
or merchandise.
[T.D. 73-140, 38 FR 13551, May 23, 1973, as amended by T.D. 95-77, 60 FR
50019, Sept. 27, 1995]
Sec. 112.2 Bond or license required.
(a) Carriers. A bond provided for in this part is required to
transact business as a carrier receiving merchandise for transportation
in bond.
(b) Cartmen and lightermen--(1) Necessity for bond. A bond, as
provided for in this part, is required to transact business as a cartman
or lighterman. The cartage or lighterage of merchandise designated for
examination, entered for warehouse, taken to container stations or
centralized examination stations, taken into custody as unclaimed or
destined for admission to a foreign trade zone may be done under the
bond of a cartman or lighterman who is licensed pursuant to the
provisions of this part or that of a bonded carrier, as provided for in
paragraph (a) of this section. Foreign trade zone operators, bonded
warehouse proprietors, container station operators and centralized
examination station operators
[[Page 726]]
may engage in limited cartage or lighterage under their respective
bonds. A foreign trade zone operator may engage in cartage or lighterage
under his bond only for merchandise destined for his foreign trade zone
and may also transport merchandise to his zone from anywhere within the
district boundaries (see definition of ``district'' at Sec. 112.1) where
the foreign trade zone is located. A bonded warehouse proprietor may
engage in cartage or lighterage under his bond only for merchandise
destined for his bonded warehouse and may also transport merchandise to
his warehouse from anywhere within the district boundaries (see
definition of ``district'' at Sec. 112.1) where the bonded warehouse is
located. A container station operator may engage in cartage or
lighterage under his bond only for merchandise destined for his
container station and may also transport merchandise to his container
station from anywhere within the district boundaries (see definition of
``district'' at Sec. 112.1) where the container station is located. A
centralized examination station operator may engage in cartage or
lighterage under his bond only for merchandise destined for his
centralized examination station and may also transport merchandise to
his centralized examination station from anywhere within the district
boundaries (see definition of ``district'' at Sec. 112.1) where the
centralized examination station is located.
(2) Necessity for license. A license, as provided for in this part,
is required to transact business as a cartman or lighterman for the
cartage or lighterage of merchandise. Bonded carriers may engage in
cartage and lighterage under their bonds without obtaining a license.
Foreign trade zone operators, bonded warehouse proprietors, container
station operators and centralized examination station operators may
engage, under their bonds, in the limited cartage and lighterage and
other transportation described in this paragraph without obtaining a
license.
[T.D. 73-140, 38 FR 13551, May 23, 1973, as amended by T.D. 94-81, 59 FR
51494, Oct. 12, 1994; T.D. 95-77, 60 FR 50020, Sept. 27, 1995]
Subpart B_Authorization of Carriers To Carry Bonded Merchandise
Sec. 112.11 Carriers which may be authorized.
(a) From port to port in the United States. The port director may
authorize the following types of carriers to receive merchandise for
transportation in bond from one port to another in the United States
upon compliance with the provisions of this subpart:
(1) Common carriers.
(2) Contract carriers.
(3) Freight forwarders.
(4) Private carriers, if:
(i) The merchandise (including containerized merchandise) to be
transported is the property of the private carrier; and
(ii) The private carrier files a bond on Customs Form 301,
containing the bond conditions set forth in Sec. 113.63 of this chapter,
(b) Between ports in Canada or Mexico through the United States.
Canadian and Mexican motor vehicle common carriers may be authorized to
transport merchandise under bond between ports in Canada or Mexico
through the United States (see part 123 of this chapter), upon
compliance with the provisions of this subpart.
[T.D. 73-140, 38 FR 13551, May 23, 1973, as amended by T.D. 81-243, 46
FR 45602, Sept. 14, 1981; T.D. 84-213, 49 FR 41171, Oct. 19, 1984]
Sec. 112.12 Application for authorization.
(a) General requirements. All carriers and freight forwarders
desiring to be authorized to receive merchandise for transportation in
bond shall file with the port director concerned a bond on Customs Form
301, containing the bond conditions set forth in Sec. 113.63 of this
chapter, in a sum specified by the port director accompanied by a fee of
$50. A check or money order shall be made payable to the United States
Customs Service.
(b) Special requirements. In addition to the requirements in
paragraph (a) of this section, the specified carriers shall also file
with the port director the following documents:
(1) Common carriers other than railroad, steamship, or airline
companies. Common carriers other than railroad,
[[Page 727]]
steamship, or airline companies generally known to be engaged in common
carriage, shall file a certified extract of its articles of
incorporation or charter showing that it is authorized to engage in
common carriage, and a statement that it is operating or intends to
operate as a common carrier.
(2) Contract carriers and freight forwarders. Contract carriers and
freight forwarders shall file a certificate from the appropriate agency
of the United States showing that the applicant is authorized to operate
as a contract carrier or freight forwarder by that agency and a
statement showing that the applicant is operating or intends to operate
as such.
(3) Private carriers. The private carrier shall file the bond with
the director of the port where the private carrier intends to operate.
If the private carrier intends to operate in two or more Customs ports,
he shall file the bond with the director of one of the ports, send a
copy of the bond to the director for each additional port, and include
with the bond and copies of the bond a list of all Customs districts in
which he intends to operate. If the private carrier is the proprietor of
one or more Customs bonded warehouses or bonded container stations, or
the operator of a foreign trade zone, to which imported merchandise will
be transported, he shall accompany the bond and copies of the bond by a
statement showing the location of each warehouse, container station, or
zone.
(4) Motor carriers. All motor carriers shall file:
(i) A detailed description of the terminal facilities employed by
the principal at the points of origin and destination on the routes
covered; and
(ii) A statement showing that facilities are available for the
segregation and safeguarding of the packages designated by the port
director for examination from a particular shipment.
[T.D. 73-140, 38 FR 13551, May 23, 1973, as amended by T.D. 81-243, 46
FR 45602, Sept. 14, 1981; T.D. 84-213, 49 FR 41171, Oct. 19, 1984; T.D.
86-16, 51 FR 5063, Feb. 11, 1986]
Sec. 112.13 Approval of applications.
The port director shall approve an application for authorization as
carriers of bonded merchandise and the bond filed, authorizing the
applicant to act as a carrier of bonded merchandise provided he is
satisfied that:
(a) The amount of the bond is sufficient.
(b) All documents required by this subpart have been furnished and
are in proper form; and
(c) The fee prescribed has been paid.
Sec. 112.14 Discontinuance of carrier bonds.
Carrier bonds may be discontinued at any time by the Commissioner of
Customs or by the director of the port where the bond is filed.
Authorized carriers desiring to terminate such bonds shall make
application therefor to such port director.
Subpart C_Licensing of Cartmen and Lightermen
Sec. 112.21 License required.
A customhouse cartage or lighterage license issued by the port
director in accordance with this part or specific authorization of the
Commissioner of Customs shall be required to perform Customs cartage or
lighterage, except as provided in Sec. Sec. 18.3 and 125.12 of this
chapter or, as provided in Sec. 112.2(b), when such merchandise is to be
transported under the bond of the foreign trade zone operator, bonded
warehouse proprietor, centralized examination station operator,
container station operator, or a bonded carrier.
[T.D. 94-81, 59 FR 51495, Oct. 12, 1994]
Sec. 112.22 Application for license.
(a) General requirements. An applicant for a customhouse cartage or
lighterage license shall file with the director of the port where he
proposes to conduct business the following:
(1) A bond on Customs Form 301, containing the bond conditions set
forth in Sec. 113.63 of this chapter, in an amount specified by the port
director.
(2) Payment of a fee of $100. A check or money order shall be made
payable to the United States Customs Service.
(3) If required by the port director, a list showing the names and
addresses of the managing officers and members of the organization or of
the persons who will receive or transport imported
[[Page 728]]
merchandise which has not been released from Customs custody, or a list
of all such persons and their addresses.
(b) Special requirements--(1) Cartman licensed by city or State. Any
cartman licensed by city or State authorities shall present to the port
director his city or State license, after which such documents shall be
returned.
(2) Lighterman. A lighterman shall present his vessel's marine
documents, if any have been issued, to the port director for
examination, after which such documents shall be returned.
(c) Reapplication by certain terminated licensees. Where the
applicant for a customhouse cartage or lighterage license has previously
been issued such a license and the license has been terminated pursuant
to Sec. 113.56 of this chapter, the port director may waive the filing
of the items described in paragraphs (a)(2) and (a)(3) of this section,
as well as the investigation described in Sec. 112.23, provided the
application is made within 30 days of the effective date of the
termination of the previous license. Any requirements waived by the port
director under this paragraph will be deemed to have been complied with
for purposes of Sec. 112.24(b).
[T.D. 73-140, 38 FR 13551, May 23, 1973, as amended by T.D. 74-200, 39
FR 27128, July 25, 1974; T.D. 76-324, 41 FR 50822, Nov. 18, 1976; T.D.
84-213, 49 FR 41171, Oct. 19, 1984]
Sec. 112.23 Investigation of applicant.
The port director may refer the application for a cartman's or
lighterman's license to the appropriate special agent in charge where
investigation and report concerning the character, qualification, and
experience of the applicant as well as the nature and fitness of the
equipment to be used.
Sec. 112.24 Issuance of license.
The port director shall issue a customhouse cartage and lighterage
license on Customs Form 3857 provided he is satisfied that:
(a) The character, qualifications, and experience of the applicant
and fitness of his equipment are satisfactory.
(b) The applicant has complied with all the requirements of
Sec. 112.22.
Sec. 112.25 Bonded carriers.
A carrier or freight forwarder who has filed a bond on Customs Form
301 containing the bond conditions set forth in Sec. 113.63 of this
chapter may transport merchandise within a port for which the bond
provides coverage.
[T.D. 94-81, 59 FR 51495, Oct. 12, 1994]
Sec. 112.26 Duration of license.
A license issued in accordance with this subpart shall remain in
force and effect until the license is suspended or revoked pursuant to
Sec. 112.30 or until the required bond is terminated pursuant to
Sec. 113.27 of this chapter.
[T.D. 76-324, 41 FR 50822, Nov. 18, 1976, as amended by T.D. 84-213, 49
FR 41171, Oct. 19, 1984; 49 FR 44867, Nov. 9, 1984; T.D. 97-82, 62 FR
51770, Oct. 3, 1997]
Sec. 112.27 Marking of vehicles and vessels.
(a) Marking required. Every vehicle licensed by Customs for cartage
and every barge, scow, or other lighter licensed by Customs for
lighterage shall be marked with the legend ``Customhouse License No. --
------'', and the name of the person or firm to whom the license has
been issued. The abbreviated legend ``C.H.L. No. --------'' may be used.
(b) Size of marking. The marking required by this section shall
appear in letters and figures not less than 3 inches high.
(c) Place of marking--(1) Carts, trucks, drays, and other vehicles.
Every cart, truck, dray, or other vehicle used for Customs cartage by a
licensed cartman shall be marked with the required legend and name on
each side by painting directly onto the vehicle, or by the permanent
attachment of signs bearing the required marking. However, if such
marking is found by the port director to be impractical, he may
designate some other conspicuous place upon the vehicle where the
marking shall appear.
(2) Barges, scows, lighters, and other vessels. Every barge, scow,
lighter, or other vessel used for Customs lighterage by a licensed
lighterman shall be conspicuously marked with the required legend and
name.
[[Page 729]]
(d) Removal of marking upon termination of license. The markings
required by this section shall be removed upon termination of the
license.
[T.D. 73-140, 38 FR 13551, May 23, 1973, as amended by T.D. 84-213, 49
FR 41171, Oct. 19, 1984]
Sec. 112.28 Production of license.
Inspectors or other Customs officers may require any person claiming
to be a licensed customhouse cartman or lighterman to produce his
license for inspection.
Sec. 112.29 Records.
(a) Records of cartage and lighterage. The port director may require
that licensed Customs cartmen and lightermen shall make, keep, and
promptly submit for Customs inspection and examination upon request
therefor such current written records relating to cartage and lighterage
as may be needed for purposes of local Customs administration. Cartmen
and lightermen shall maintain these records for 3 years from the
expiration date of the related contract for cartage or lighterage.
(b) Current list of officers, members, or employees. The port
director may require a licensee to furnish, at such times and intervals
as the port director deems necessary, a current list showing the names
and addresses of the managing officers and members of the organization
or of the persons who will receive or transport imported merchandise
which has not been released from Customs custody, or a list of all such
persons and their addresses.
[T.D. 73-140, 38 FR 13551, May 23, 1973, as amended by T.D. 79-159, 44
FR 31968, June 4, 1979]
Sec. 112.30 Suspension or revocation of license.
(a) Grounds for suspension or revocation of licenses. The port
director may revoke or suspend the license of a cartman or lighterman
if:
(1) His license is not promptly produced upon demand;
(2) His vehicle or vessel is not properly marked, as required by
Sec. 112.27;
(3) The cartman or lighterman refuses or neglects to obey any proper
order of a Customs officer or any Customs order, rule, or regulation
relative to the cartage or lighterage of merchandise, including the
making, keeping, and submitting of current written records relating to
cartage and lighterage;
(4) The license was obtained through fraud or the misstatement of a
material fact;
(5) The holder of such a license or an officer of a corporation
holding such a license is convicted of or has committed acts which would
constitute a felony, or a misdemeanor involving theft, smuggling, or a
theft-connected crime. Any change in the employment status of the
corporate officer (e.g., discharge, resignation, demotion, or promotion)
prior to conviction of a misdemeanor involving theft, smuggling, or a
theft-connected crime, resulting from acts committed while a corporate
officer, will not preclude application of this provision;
(6) The holder of such license permits it to be used by any other
person;
(7) The holder of such license fails to surrender promptly, or
satisfactorily explain the failure to surrender, to the port director,
identification cards of persons no longer employed by him where
identification cards are required pursuant to Sec. 112,41;
(8) The holder of such license fails to furnish a current list of
names and addresses of officers and members or employees when required
by the port director pursuant to Sec. 112.29;
(9) The holder is guilty of any negligence, dishonest or deceptive
practices or carelessness in the conduct of his business; or
(10) The port director determines that the bond is not sufficient in
amount or lacks sufficient sureties, and a satisfactory new bond with
good and sufficient sureties is not furnished within a reasonable time.
(b) Notice of revocation or suspension. The port director shall
suspend or revoke a license by serving notice of the proposed action in
writing upon the holder of the license. Such notice shall be in the form
of a statement specifically setting forth the grounds for revocation or
suspension of the license and shall be final and conclusive upon the
licensee unless he shall file with the port director a written notice of
[[Page 730]]
appeal in accordance with paragraph (c) of this section.
(c) Notice of appeal. The licensee may file a written notice of
appeal from the revocation or suspension within 10 days following
receipt of the notice of revocation or suspension. The notice of appeal
shall be filed in duplicate, and shall set forth the response of the
licensee to the statement of the port director. The licensee in his
notice of appeal may request a hearing.
(d) Hearing on appeal--(1) Notification of and time of hearing. If a
hearing is requested, it shall be held before a hearing officer
designated by the Secretary of the Treasury or his designee within 30
days following application therefor. The licensee shall be notified of
the time and place of the hearing at least 5 days prior thereto.
(2) Conduct of hearing. The holder of the license may be represented
by counsel at the revocation or suspension hearing. All evidence and
testimony of witnesses in such proceeding, including substantiation of
charges and the answer thereto, shall be presented with both parties
having the right of cross-examination. A stenographic record of the
proceedings shall be made and a copy thereof shall be delivered to the
licensee. At the conclusion of such proceedings or review of a written
appeal, the hearing officer or the port director, as the case may be,
shall forthwith transmit all papers and the stenographic record of the
hearing, if held, to the Commissioner of Customs, together with his
recommendation for final action.
(3) Additional arguments. Following a hearing and within 10 calendar
days after delivery of a copy of the stenographic record, the licensee
may submit to the Commissioner of Customs in writing additional views
and arguments on the basis of such record.
(4) Failure to appear. If neither the licensee nor his attorney
appear for a scheduled hearing, the hearing officer shall conclude the
hearing and transmit all papers with his recommendation to the
Commissioner of Customs.
(e) Decision on the appeal. The Commissioner shall render his
decision, in writing, stating his reasons therefor, with respect to the
action proposed by the hearing officer or the port director. Such
decision shall be transmitted to the port director and served by him on
the licensee.
(f) Review by the Court of International Trade. Any licensee
adversely affected by a decision of the Commissioner of Customs may
appeal the decision in the Court of International Trade.
[T.D. 73-140, 38 FR 13551, May 23, 1973, as amended by T.D. 85-90, 50 FR
21431, May 24, 1985; T.D. 88-63, 53 FR 40220, Oct. 14, 1988]
Subpart D_Identification Cards
Sec. 112.41 Identification cards required.
A port director may require each licensed cartman or lighterman and
each employee thereof who receives, transports, or otherwise handles
imported merchandise which has not been released from Customs custody to
carry and display upon request of a Customs officer an identification
card issued by Customs. The card shall be in the possession of the
person in whose name it is issued at all times when he is engaged in
transactions with respect to imported merchandise. An identification
card shall not be issued to any person whose employment in connection
with the transportation of bonded merchandise will, in the judgment of
the port director, endanger the revenue.
[T.D. 73-140, 38 FR 13551, May 23, 1973, as amended by T.D. 99-64, 64 FR
43266, Aug. 10, 1999]
Sec. 112.42 Application for identification card.
An application for an identification card required pursuant to
Sec. 112.41 of this part, shall be filed personally by the applicant
with the port director on Customs Form 3078 together with two 1\1/
4\ x 1\1/4\ color photographs of the applicant.
The fingerprints of the applicant shall also be required on form FD 258
or electronically at the time of filing the application. The port
director shall inform the applicant of the current Federal Bureau of
Investigation user fee for conducting fingerprint checks and the Customs
administrative processing fee, the total of which must be tendered with
the application. The
[[Page 731]]
application may be referred for investigation and report concerning the
character of the applicant.
[T.D. 93-18, 58 FR 15772, Mar. 24, 1993, as amended by T.D. 01-14, 66 FR
8767, Feb. 2, 2001]
Sec. 112.43 Form of identification card.
The identification card shall be issued on Customs Form 3873 and
shall not be valid unless signed by the employee and a Customs officer
and the U.S. Customs seal is impressed thereon. The holder shall encase
the card in protective transparent plastic so that both sides are
clearly visible.
Sec. 112.44 Changes in information on identification cards.
Where there has been a change in the name, address, or employer of
the holder, the card shall be promptly submitted by the cardholder to
the port director, supported by application in proper form indicating
the change so that it may be officially changed on the Customs records.
New cards shall be issued when necessary.
Sec. 112.45 Surrender of identification cards.
The identification card shall be surrendered by the holder or
licensee to the port director when:
(a) The employee holder leaves the employment of the licensed
cartman or lighterman;
(b) The cartman or lighterman bond or license is terminated; or
(c) The card is revoked or suspended pursuant to Sec. 112.48.
Sec. 112.46 Report of loss or theft.
The loss or theft of an identification card shall be promptly
reported by the cardholder to the port director.
Sec. 112.47 Wrongful presentation.
If an identification card is presented by a person other than the
one to whom it was issued, such card shall be forthwith confiscated.
Sec. 112.48 Revocation or suspension of identification cards.
(a) Grounds for revocation or suspension of identification cards. An
identification card issued pursuant to this part may be revoked or
suspended by the port director for any of the following grounds:
(1) Such card was obtained through fraud or the misstatement of a
material fact;
(2) The holder of such card is convicted of a felony, or convicted
of a misdemeanor involving theft, smuggling, or any theft-connected
crime;
(3) The holder permits the card to be used by any other person, or
refuses to produce it upon the proper demand of a Customs officer; or
(4) The holder fails to abide by the rules and regulations
prescribed in Sec. 112.45 and part 125 of this chapter.
(b) Notice of revocation or suspension. The port director shall
suspend or revoke an identification card by serving notice of the
proposed action in writing upon the holder of the card. Such notice
shall be in the form of a statement specifically setting forth the
grounds for revocation or suspension of the card and shall be final and
conclusive upon the holder unless he shall file with the port director a
written notice of appeal in accordance with paragraph (c) of this
section.
(c) Notice of appeal. The holder may file a written notice of appeal
from the revocation or suspension within 10 days following receipt of
the notice of revocation or suspension. The notice of appeal shall be
filed, in duplicate, and shall set forth the response of the holder to
the statement of the port director. The holder in his notice of appeal
may request a hearing.
(d) Hearing on appeal--(1) Notification of and time of hearing. If a
hearing is requested, it shall be held before a hearing officer
designated by the Secretary of the Treasury or his designee within 30
days following application therefor. The holder shall be notified of the
time and place of hearing at least 5 days prior thereto.
(2) Conduct of hearing. The holder of the card may be represented by
counsel at the revocation or suspension hearing. All evidence and
testimony of witnesses in such proceeding, including substantiation of
charges and the answer thereto, shall be presented with both parties
having the right of cross-examination. A stenographic record of the
proceedings shall be made and a copy thereof shall be delivered to the
[[Page 732]]
cardholder. At the conclusion of such proceedings or review of a written
appeal, the hearing officer or the port director, as the case may be,
shall forthwith transmit all papers and the stenographic record of the
hearing, if held, to the Commissioner of Customs, together with his
recommendation for final action.
(3) Additional arguments. Following a hearing and within 10 calendar
days after delivery of a copy of the stenographic record, the holder of
the card may submit to the Commissioner of Customs in writing additional
views and arguments on the basis of such record.
(4) Failure to appear. If neither the cardholder nor his attorney
appear for a scheduled hearing, the hearing officer shall conclude the
hearing and transmit all papers with his recommendation to the
Commissioner of Customs.
(e) Decision on the appeal. The Commissioner shall render his
decision, in writing, stating his reasons therefor, with respect to the
action proposed by the hearing officer or the port director. Such
decision shall be transmitted to the port director and served by him on
the cardholder.
Sec. 112.49 Temporary identification cards.
(a) Issuance. When an identification card is required by the port
director under Sec. 112.41, and the port director determines that the
application for the identification card cannot be administratively
processed in a reasonable period of time, any licensed cartman or
lighterman may upon written request have a temporary identification card
issued by the port director to his employee if he can show to the
satisfaction of the port director that a hardship to his business would
result pending issuance of an identification card.
(b) Validity and renewal. The temporary identification card shall be
valid for a period of 60 days. The port director may renew the temporary
identification card for additional 30-day periods if he feels that the
circumstances under which the temporary identification card was
originally issued continue to exist. The temporary identification card
shall be returned by the holder or licensee to the port director when
the identification card is issued or the privileges granted thereby are
withdrawn.
(c) Withdrawal of temporary card. The temporary identification card
may be withdrawn at any time if in the judgment of the port director
continuation of the privileges granted thereby would endanger the
revenue or if the holder of the temporary identification card refuses or
neglects to obey any proper order of a Customs officer or any Customs
order, rule, or regulation.
(d) Bond. The licensed cartman or lighterman shall as a condition
precedent to the issuance of a temporary identification card to his
employee be required to post a bond in a penal sum, the amount to be
determined by the port director, to guarantee return of the temporary
identification card by the holder upon its withdrawal or upon issuance
of a permanent identification card and to cover any loss or damage
caused to the United States by the holder of the temporary
identification card. The bond shall be on Customs Form 301 and contain
the bond conditions set forth in Sec. 113.63 of this chapter and be in
such amount as determined by the port director.
[T.D. 73-140, 38 FR 13551, May 23, 1973, as amended by T.D. 84-213, 49
FR 41171, Oct. 19, 1984]
PART 113_CUSTOMS BONDS
Sec.
113.0 Scope.
Subpart A_General Provisions
113.1 Authority to require security or execution of bond.
113.2 Powers of Commissioner of Customs relating to bonds.
113.3 Liability of surety on a terminated bond.
113.4 Bonds and carnets.
Subpart B_Bond Application and Approval of Bond
113.11 Bond approval.
113.12 Bond application.
113.13 Amount of bond.
113.14 Approved form of bond inadequate.
113.15 Retention of approved bonds.
Subpart C_Bond Requirements
113.21 Information required on the bond.
[[Page 733]]
113.22 Witnesses required.
113.23 Changes made on the bond.
113.24 Riders.
113.25 Seals.
113.26 Effective dates of bonds and riders.
113.27 Effective dates of termination of bond.
Subpart D_Principals and Sureties
113.30 Information pertaining to principals and sureties on the bond.
113.31 Same party as principal and surety; attorney in fact.
113.32 Partnerships as principals.
113.33 Corporations as principals.
113.34 Co-principals.
113.35 Individual sureties.
113.36 Partner acting as surety on behalf of a partner or on behalf of
a partnership.
113.37 Corporate sureties.
113.38 Delinquent sureties.
113.39 Procedure to remove a surety from Treasury Department Circular
570.
113.40 Acceptance of cash deposits or obligations of the United States
in lieu of sureties on bonds.
Subpart E_Production of Documents
113.41 Entry made prior to production of documents.
113.42 Time period for production of documents.
113.43 Extension of time period.
113.44 Assent of sureties to an extension of a bond.
113.45 Charge for production of a missing document made against a
continuous bond.
Subpart F_Assessment of Damages and Cancellation of Bond
113.51 Cancellation of bond or charge against the bond.
113.52 Failure to satisfy the bond.
113.53 Waiver of Customs requirement supported by a bond.
113.54 Cancellation of erroneous charges.
113.55 Cancellation of export bonds.
Subpart G_Customs Bond Conditions
113.61 General.
113.62 Basic importation and entry bond conditions.
113.63 Basic custodial bond conditions.
113.64 International carrier bond conditions.
113.65 Repayment of erroneous drawback payment bond conditions.
113.66 Control of containers and instruments of international traffic
bond conditions.
113.67 Commercial gauger and commercial laboratory bond conditions.
113.68 Wool and fur products labeling acts and fiber products
identification act bond conditions.
113.69 Production of bills of lading bond conditions.
113.70 Bond condition to indemnify United States for detention of
copyrighted material.
113.71 Bond condition to observe neutrality.
113.72 Bond condition to pay court costs (condemned goods).
113.73 Foreign trade zone operator bond conditions.
113.74 Bond conditions to indemnify a complainant under section 337 of
Tariff Act of 1930, as amended.
113.75 Bond conditions for deferral of duty on large yachts imported
for sale at United States boat shows.
Appendix A to Part 113--Airport Customs Security Area Bond
Appendix B to Part 113--Bond To Indemnify Complainant Under Section 337,
Tariff Act of 1930, as Amended
Appendix C to Part 113--Bond for Deferral of Duty on Large Yachts
Imported for Sale at United States Boat Shows
Appendix D to Part 113--Importer Security Filing Bond
Authority: 19 U.S.C. 66, 1623, 1624.
Subpart E also issued under 19 U.S.C. 1484, 1551, 1565.
Section 113.74 also issued under 19 U.S.C. 1337.
Section 113.75 and appendix C also issued under 19 U.S.C. 1484b.
Source: T.D. 84-213, 49 FR 41171, Oct. 19, 1984, unless otherwise
noted.
Sec. 113.0 Scope.
This part sets forth the general requirements applicable to bonds.
It contains the general authority and powers of the Commissioner of
Customs in requiring bonds, bond approval and execution, bond
conditions, general and special bond requirements, the requirements
which must be met to be either a principal or a surety, the requirements
concerning the production of documents, the authority and manner of
assessing liquidated damages and requirements for cancelling the bond or
charges against a bond.
Subpart A_General Provisions
Sec. 113.1 Authority to require security or execution of bond.
Where a bond or other security is not specifically required by law,
the Commissioner of Customs, pursuant to
[[Page 734]]
Treasury Department Order No. 165 Revised, as amended (T.D. 53654, 19 FR
7241, November 6, 1954), may by regulation or specific instruction
require, or authorize the port director to require, such bonds or other
security considered necessary for the protection of the revenue or to
assure compliance with any pertinent law, regulation, or instruction.
Sec. 113.2 Powers of Commissioner of Customs relating to bonds.
Whenever a bond is required or authorized by law, regulation, or
instruction, the Commissioner of Customs may:
(a) Prescribe the conditions and form of the bond and fix the amount
of penalty, whether for the payment of liquidated damages, or of a penal
sum, except as otherwise specifically provided by law.
(b) Provide for the approval of the sureties on the bond, without
regard to any general provision of law.
(c) Authorize the execution of a term bond, the conditions of which
shall extend to and cover similar cases of importations over a period of
time, not to exceed one year or such longer period he may fix, when in
his opinion special circumstances warrant a longer period.
(d) Authorize the taking of a consolidated bond (single entry or
term) in lieu of separate bonds to assure compliance with two or more
provisions of law, regulation, or instruction. Such a consolidated bond
shall have the same force and effect as the separate bonds in lieu of
which it was taken. The Commissioner of Customs may fix the penalty for
violation of a consolidated bond without regard to any other provision
of law, regulation, or instruction.
Sec. 113.3 Liability of surety on a terminated bond.
The surety, as well as the principal, remains liable on a terminated
bond for obligations incurred prior to termination.
Sec. 113.4 Bonds and carnets.
(a) Bonds. All bonds required to be given under the Customs laws or
regulations shall be known as Customs bonds.
(b) Carnets. A carnet is an international customs document which
serves simultaneously as a customs entry document and as a customs bond.
Therefore, carnets, provided for in part 114 of this chapter, are
ordinarily acceptable without posting further security under the Customs
laws or regulations requiring bonds.
Subpart B_Bond Application and Approval of Bond
Sec. 113.11 Bond approval.
Each person who is required by law, regulation, or specific
instruction to post a bond to secure a Customs transaction or multiple
transactions must submit the bond on Customs Form 301. If the
transaction(s) will occur at one Customs port, the bond shall be filed
with and approved by the director of that port where the transaction(s)
will take place. If the transactions will occur in more than one port
the bond may be filed with and approved by any port director. Only one
continuous bond for a particular activity will be authorized for each
principal. The port director will determine whether the bond is in
proper form and provides adequate security for the transaction(s). A
bond relating to repayment of an erroneous drawback payment containing
the bond conditions set forth in Sec. 113.65 shall be filed with the
appropriate drawback office for approval.
Sec. 113.12 Bond application.
(a) Single entry bond application. In order to insure that the
revenue is adequately protected the port director may require a person
who will be engaged in a single Customs transaction relating to the
importation or entry of merchandise to file a written bond application
which may be in the form of a letter. The application shall identify the
value and nature of the merchandise involved in the transaction to be
secured. When the proper bond in a sufficient amount is filed with the
entry summary or with the entry, or when the entry summary is filed at
the time of entry, an application will not be required.
[[Page 735]]
(b) Continuous bond application. If a person wants to secure
multiple transactions relating to the importation or entry of
merchandise or the operation of a bonded smelting or refining warehouse,
a bond application, which may be in the form of a letter, shall be
submitted to the port director.
(1) Information required. The application shall contain the
following information:
(i) The general character of the merchandise to be entered; and
(ii) The total amount of ordinary Customs duties (including any
taxes required by law to be treated as duties) accruing on all
merchandise imported by the principal during the calendar year preceding
the date of the application, plus the estimated amount of any other tax
or taxes on the merchandise to be collected by Customs. The total amount
of duties and taxes shall be that which would have been required to be
deposited had the merchandise been entered for consumption even though
some or all of the merchandise may have been entered under bond. If the
value or nature of the merchandise to be imported will change in any
material respect during the next year the change shall be identified. If
no imports were made during the calendar year prior to the application,
a statement of the duties and taxes it is estimated will accrue on all
importations during the current year shall be submitted.
(2) Application updates. If the port director approves a bond based
upon the application, whenever there is a significant change in the
information provided under this paragraph, the principal on the bond
shall submit a new application containing an update of the information
required by paragraph (b)(1) of this section. The new application shall
be filed no later than 30 days after the new facts become known to the
principal.
(c) Certification. Any application submitted under this section
shall be signed by the applicant and contain the following
certification:
I certify that the factual information contained in this application
is true and accurate and any information provided which is based upon
estimates is based upon the best information available on the date of
this application.
Sec. 113.13 Amount of bond.
(a) Minimum amount of bond. The amount of any Customs bond shall not
be less than $100, except when the law or regulation expressly provides
that a lesser amount may be taken. Fractional parts of a dollar shall be
disregarded in computing the amount of a bond. The bond always shall be
stated as the next highest dollar.
(b) Guidelines for determining amount of bond. In determining
whether the amount of a bond is sufficient, the port director or
drawback office in the case of a bond relating to repayment of erroneous
drawback payment (see Sec. 113.11) should at least consider:
(1) The prior record of the principal in timely payment of duties,
taxes, and charges with respect to the transaction(s) involving such
payments;
(2) The prior record of the principal in complying with Customs
demands for redelivery, the obligation to hold unexamined merchandise
intact, and other requirements relating to enforcement and
administration of Customs and other laws and regulations;
(3) The value and nature of the merchandise involved in the
transaction(s) to be secured;
(4) The degree and type of supervision that Customs will exercise
over the transaction(s);
(5) The prior record of the principal in honoring bond commitments,
including the payment of liquidated damages; and
(6) Any additional information contained in any application for a
bond.
(c) Periodic review of bond sufficiency. The port directors and
drawback offices shall periodically review each bond filed in their
respective port or drawback office in the case of a bond relating to
repayment of erroneous drawback payment (see Sec. 113.11) to determine
whether the bond is adequate to protect the revenue and insure
compliance with the law and regulations. If the port director or
drawback office determines that the bond is inadequate, the principal
shall be immediately notified in writing. The principal shall have 30
days from the date of notification to remedy the deficiency.
[[Page 736]]
(d) Additional security. Notwithstanding the provisions of this
section or any other provision of this chapter, if a port director or
drawback office believes that acceptance of a transaction secured by a
continuous bond would place the revenue in jeopardy or otherwise hamper
the enforcement of Customs laws or regulations, he shall require
additional security.
Sec. 113.14 Approved form of bond inadequate.
If the port director believes that none of the conditions contained
in subpart G of this part is applicable to a transaction sought to be
secured, the port director shall draft conditions which will cover the
transaction, but before execution of the bond the conditions shall be
submitted to Headquarters, Attention: Director, Border Security and
Trade Compliance Division, Regulations and Rulings, Office of
International Trade, for approval.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 91-77, 56
FR 46115, Sept. 10, 1991; T.D. 99-27, 64 FR 13675, Mar. 22, 1999]
Sec. 113.15 Retention of approved bonds.
All bonds approved by the port director, except the bond containing
the agreement to pay court costs (condemned goods) (see Sec. 113.72)
shall remain on file in the port office unless the port director is
directed in writing by the Director, Border Security and Trade
Compliance Division as to other disposition. The bond containing the
agreement to pay court costs (condemned goods), shall be transmitted to
the United States attorney, as required by section 608, Tariff Act of
1930, as amended (19 U.S.C. 1608). The bond relating to repayment of
erroneous drawback payment containing the conditions set forth in
Sec. 113.65 shall be retained in the appropriate drawback office.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 91-77, 56
FR 46115, Sept. 10, 1991; T.D. 99-27, 64 FR 13675, Mar. 22, 1999]
Subpart C_Bond Requirements
Sec. 113.21 Information required on the bond.
(a)(1) Identification of principal and sureties. The names of the
principal and sureties and their respective places of residence shall
appear in the bond. In the case of a corporate principal or surety, its
legal designation and the address of its principal place of business
shall appear.
(2) Identification of trade names and unincorporated divisions of a
corporate principal. The principal may list on the bond trade names and
the names of unincorporated divisions of the corporate principal which
do not have a separate and distinct legal status who are authorized to
use the bond in their own name.
(b) Date of execution. Each bond shall bear the date it was actually
executed.
(c) Statement of the amount. The amount of the bond shall be stated
in figures.
(d) Use of abbreviations. Abbreviations shall not be used except in
dates and the state of incorporation of the principal or the surety.
(e) Blank spaces on the bond. Lines shall be drawn through all
spaces and blocks on the bond which are not filled in.
Sec. 113.22 Witnesses required.
(a) Generally. The signature of each party to a bond executed by a
noncorporate principal or surety shall be witnessed by two persons, who
shall sign their names as witnesses, and include their addresses.
(b) Witness for both principal and surety. When two persons signing
as witnesses act for both principal and surety, they shall so indicate
by stating on the bond ``as to both''.
(c) Corporate principal or surety. No witnesses are required where
bonds are executed by properly authorized officers or agents of a
corporate principal or corporate surety. For requirements concerning the
execution of a bond by an authorized officer or agent of a corporate
principal or surety, see Sec. Sec. 113.33 and 113.37 of this part.
[[Page 737]]
Sec. 113.23 Changes made on the bond.
(a) Definition of the types of changes--(1) Modification or
interlineation. Modifications or interlineations are changes which go to
the substance of the bond, or are basic revisions of the bond.
(2) Alterations or erasures. Alterations or erasures consist of
minor changes, such as the correction of typographical errors, or change
of address, which do not go to the substance, or result in basic
revision of the bond.
(b) Prior to signing. When erasures, alterations, modifications, or
interlineations are made on the bond prior to its signing by the parties
to the bond, a statement by an agent of the surety company or by the
personal sureties to that effect shall be placed upon the bond.
(c) After signing. If erasures or alterations are made after the
bond is signed, but prior to the approval of the bond by Customs, the
consent of all the parties shall be written on the bond. Except in cases
where a change in the bond is expressly authorized by regulation, or by
the Commissioner, no modification or interlineation shall be made on the
bond after execution. When a modification or interlineation is desired,
a new bond will be executed.
(d) After approval of the bond by Customs. Except in cases where a
change in the bond is expressly authorized by regulations, or
instructions from the Commissioner, the port director shall not permit a
change as defined in paragraph (a) of this section after the bond has
been approved by Customs. When changes are desired, a new bond is
required, which, when approved, shall supersede the existing bond.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984; 49 FR 44867, Nov. 9, 1984]
Sec. 113.24 Riders.
(a) Types of riders. The port director may accept the following
types of bond riders.
(1) Name change of principal. A bond rider to change the name of a
principal on a bond may be used only when the change in name does not
change the legal identity or status of the principal. If a new
corporation is created as a result of a merger, reorganization or
similar action, a bond rider for a name change of the principal can not
be used. A new bond would be required.
(2) Address change. A bond rider may be used to change the address
of a principal on a bond.
(3) Addition and deletion of trade names and unincorporated
divisions of a corporate principal. A bond rider may be used to add to
or delete from a bond trade names and the names of unincorporated
divisions of a corporate principal which do not have a separate and
distinct legal status.
(b) Where filed. A rider must be filed at the port where the bond
was approved.
(c) Attachment of rider to bond. All riders expressly authorized by
the Commissioner shall be securely attached to the related bond to
prevent their loss or misplacement.
(d) Format of rider. The riders shall be signed, sealed, witnessed,
executed, include a certificate as to corporate principal, if
applicable, and otherwise comply with the requirements of this part. The
riders shall contain the following conditions:
(1) Name change of principal.
By this rider to the Customs Form 301,---- (bond number), dated ----
, executed by ----, (former name), as principal, ----, (importer
number), the, ---- (new name), hereby certifies that it is the same
entity formerly known as ----, (former name), and the principal and
surety agree that they are responsible for any act secured by this bond
done under principal's former name. Principal and surety agree to be
bound under this bond to the same extent as if this bond had been
executed in the principal's new name. This rider is effective on ----
(date).
(2) Address change.
By this rider to Customs Form 301, ---- (bond number) executed on --
-- (date), by ----, (principal's name), as principal, ----, (importer
number), and ---- (surety's name and code), as surety, which is
effective on ---- (date), the principal, surety or both, intend that the
bond be amended to show ---- (new address) as their address. The
principal, surety or both, as may be appropriate agree to be bound as
though this bond has been executed with the new address(s) shown.
(3) Addition or deletion of trade names and unincorporated divisions
of a corporate principal--(i) Addition rider.
By this rider to the Customs Form 301, ----, (bond number), executed
on ----, (date), by ----, (principal's name), as principal, ----,
[[Page 738]]
(importer number) and ----, (surety's name and code), as surety, which
is effective on ---- (date), the principal and surety agree that the
below listed names are unincorporated units of the principal or are
trade or business names used by the principal in its business and that
this bond covers its business and that this bond covers any act done in
those names to the same extent as though done in the name of the
principal. The principal and surety agree that any such act shall be
considered to be the act of the principal.
(ii) Deletion rider.
By this rider to the Customs Form 301, ----, (bond number), executed
on ----, (date), by ----, (principals name) as principal, ----,
(importer number and ----, (surety's name and surety code), as surety,
which is effective on ----, (date), the principal and surety agree that
the below listed names of unincorporated units of the principal or trade
or business names used by the principal in its business are deleted from
the bond effective upon the date of approval of the rider by the
appropriate Customs bond approval official.
Sec. 113.25 Seals.
When a seal is required, the seal shall be affixed adjoining the
signatures of principal and surety, if individuals, and the corporate
seal shall be affixed close to the signatures of persons signing on
behalf of a corporation. Bonds shall be under seal in accordance with
the law of the state in which executed. However, when the charter or
governing statute of a corporation requires its acts to be evidenced by
its corporate seal, such seal is required.
Sec. 113.26 Effective dates of bonds and riders.
(a) General. Bonds including the application, if required by
Sec. 113.12, and riders may be filed up to 30 days before the effective
date in order to provide adequate time for Customs administrative review
and processing.
(b) Single transaction bond. A single transaction bond is effective
on the date of the transaction identified on the Customs Bond, Customs
Form 301.
(c) Continuous bond. A continuous bond is effective on the effective
date identified on the Customs Bond, Customs Form 301.
(d) Riders for name change of principal, address change, and
addition of trade names and unincorporated divisions of a corporate
principal. Riders for a name change of principal, address change, and
addition of trade names and unincorporated divisions of a corporate
principal are effective on the effective date identified on the rider.
(e) Rider to delete trade names and unincorporated divisions of a
corporate principal. A rider to delete trade names and unincorporated
divisions of a corporate principal is effective on the effective date
identified on the rider if the date is at least 10 business days after
the date the port receives the rider. If the rider is not received 10
business days before the identified effective date or no effective date
is identified on the rider, it will be effective on the close of
business of the tenth business day after it is received in the port.
Sec. 113.27 Effective dates of termination of bond.
(a) Termination by principal. A request by a principal to terminate
a bond shall be made in writing to the port director or drawback office
in the case of a bond relating to repayment of erroneous drawback
payment where the bond was approved. The termination shall take effect
on the date requested if the date is at least 10 business days after the
date of receipt of the request. Otherwise the termination shall be
effective on the close of business 10 business days after the request is
received at the port or drawback office. If no termination date is
requested, the termination shall take effect on the tenth business day
following the date of receipt of the request by the port director, or
drawback office in the case of bonds relating to repayment of erroneous
drawback payment.
(b) Termination by surety. A surety may, with or without the consent
of the principal, terminate a Customs bond on which it is obligated. The
surety shall provide reasonable written notice to both the director of
the port where the bond was approved or appropriate drawback office in
the case of bonds relating to repayment of an erroneous drawback payment
and the principal of the intent to terminate. The written notice shall
state the date on which the termination shall be effective and shall be
sent to both Customs and the principal by certified mail, with a return
receipt requested. Thirty
[[Page 739]]
days shall constitute reasonable notice unless the surety can show to
the satisfaction of the port director, or drawback office in the case of
bonds relating to repayment of an erroneous drawback payment, that a
lesser time is reasonable under the facts and circumstances.
(c) Effect of termination. If a bond is terminated no new Customs
transactions shall be charged against the bond. A new bond in an
appropriate amount on Customs Form 301, containing the appropriate bond
conditions set forth in subpart G of this part, shall be filed before
further Customs activity may be transacted.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984; 49 FR 44867, Nov. 9, 1984]
Subpart D_Principals and Sureties
Sec. 113.30 Information pertaining to principals and sureties on the
bond.
The general information pertaining to the principal and surety which
must be given in the body of the bond is set forth in Sec. 113.21.
Sec. 113.31 Same party as principal and surety; attorney in fact.
(a) Same party as principal and surety. The same person,
partnership, or corporation cannot be both principal and surety on a
bond.
(b) Attorney in fact for principal or surety. In executing a bond, a
person may act as:
(1) Attorney in fact for both principal and surety;
(2) Surety and attorney in fact for the principal; or
(3) Principal and attorney in fact for the surety.
Sec. 113.32 Partnerships as principals.
(a) Names of partners on the bond--(1) In general. Unless written
notice of the full names of all partners in the partnership has been
previously filed with the port director or drawback office in the case
of a bond relating to repayment of erroneous drawback payment, the names
of all persons composing the partnership shall appear in the body of the
bonds.
(2) Limited partnerships. Bonds submitted by limited partnerships
need only have the firm name and the names of the general partners
authorized to bind the firm on them. The bond must be accompanied by a
copy of the partnership agreement. For this purpose, a partnership or a
limited partnership means any business association recognized as such
under the laws of the state where the association is organized.
(b) Execution. Partnership bonds shall be executed in the firm name,
with the name of the member or attorney of the firm executing it
appearing immediately below the firm signature.
(c) Action of one principal binding on all principals of the
partnership. Pursuant to section 495, Tariff Act of 1930, as amended (19
U.S.C. 1495), when a bond is executed by any member of the partnership,
the bond shall be binding on the other partners in like manner and to
the same extent as if such other partners had personally joined in the
execution. However, in the case of a limited partnership, the limited
partners will not be bound by the actions of any other partner in the
firm, except as provided for in the partnership agreement.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 86-204, 51
FR 42998, Nov. 28, 1986]
Sec. 113.33 Corporations as principals.
(a) Name of corporation on the bonds. The name of a corporation
executing a Customs bond as a principal, may be printed or placed
thereon by means of a rubber stamp or otherwise, followed by the written
signature of the authorized officer or attorney.
(b) Signature and seal of the corporation on the bond. The bond of a
corporate principal shall be signed by an authorized officer or attorney
of the corporation and the corporate seal shall be affixed immediately
adjoining the signature of the person executing the bond, as provided
for in Sec. 113.25.
(c) Bond executed by an officer of corporation. When a bond is
executed by an officer of a corporation, a power of attorney shall not
be required if the person signing the bond on behalf of the corporation
is known to the port director or drawback office to be the president,
vice president, treasurer, or secretary of the corporation. The
officer's signature shall be prima facie evidence
[[Page 740]]
of that officer's authority to bind the corporation. When a power of
attorney is required it shall conform to the requirements of subpart C,
part 141, of this chapter.
(d) Bond executed by an attorney in fact. When an attorney in fact
executes a bond on behalf of a corporate principal and a power of
attorney has not been filed with the port director (unless exempted from
filing by Sec. 141.46 of this chapter), there shall be attached a power
of attorney executed by an officer of the corporation whose authority to
execute the power shall be shown as prescribed in paragraph (c) of this
section.
(e) Subsidiaries as co-principals. The provisions of this section
shall be applicable to each corporate subsidiary which joins its parent
corporation by signing the bond as co-principal.
Sec. 113.34 Co-principals.
A bond with a co-principal may be used by a person having a distinct
legal status (e.g., individual, partnership, corporation) to join
another person with the same distinct legal status on the bond. A bond
with a co-principal shall not be used to join an entity which does not
have a distinct legal status (e.g. an unincorporated division of a
corporation). However, an entity which does not have a distinct legal
status may use another bond if listed on the bond by the principal at
the time of execution or by subsequent rider (see Sec. 113.24). A bond
with co-principal may not be used to join different legal entities (e.g.
an individual and a corporation, a partnership and a corporation).
Sec. 113.35 Individual sureties.
(a) Number required. If individuals sign as sureties, there shall be
two sureties on the bond, unless the port director is satisfied that one
surety is sufficient to protect the revenue and insure compliance with
the law and regulations.
(b) Qualifications to act as surety--(1) Residency and citizenship.
Each individual surety on a Customs bond must be both a resident and
citizen of the United States.
(2) Married women. A married woman may be accepted as a surety,
unless the state in which the bond is executed prohibits her from acting
in that capacity.
(3) Granting of power of attorney. Any individual other than a
married woman in a state where she is prohibited from acting as a surety
may grant a power of attorney to sign as surety on Customs bonds. Unless
the power is unlimited, all persons to which the power relates shall be
named.
(4) Property requirements. Each individual surety must have property
available as security within the limits of the port where the contract
of suretyship is to be approved. The current market value of the
property less any encumbrance must be equal to or greater than the
amount of the bond. If one individual surety is accepted, the individual
surety must have property the value of which, less any encumbrance, is
equal to or greater than twice the amount of the bond.
(c) Oath and evidence of solvency. Before being accepted as a
surety, the individual shall:
(1) Take an oath on Customs Form 3579, setting forth:
(i) The amount of assets over and above all debts and liabilities
and such exemptions as may be allowed by law; and
(ii) The general description and the location of one or more pieces
of real estate owned within the limits of the port and the value thereof
over and above all encumbrances.
(2) Produce such evidence of solvency and financial responsibility
as the port director may require.
(d) Determination of financial responsibility. An individual surety
shall not be accepted on a bond until the port director is satisfied as
to the financial responsibility of the individual. The port director may
refer the matter to the special agent-in-charge for immediate
investigation to verify the financial responsibility of the surety.
(e) Continuancy of financial responsibility. In order to follow the
continued solvency and financial responsibility of individual sureties,
the port director shall require a new oath and determine the financial
responsibility of each individual surety as prescribed in paragraphs (c)
and (d) of this section at
[[Page 741]]
least once every 6 months, and more often if deemed advisable.
Sec. 113.36 Partner acting as surety on behalf of a partner or on
behalf of a partnership.
A member of a partnership shall not be accepted as an individual
surety on a bond executed by the partnership as principal. A partner may
be an individual surety for a fellow partner on a bond if (a) the
transaction is in an individual capacity and unrelated to the
partnership, (b) sufficient unencumbered nonpartnership property is
available as security, and (c) the individual qualifies as an individual
surety under the provisions of Sec. 113.35 of this part.
Sec. 113.37 Corporate sureties.
(a) Lists of corporations and limits of their bonds. Treasury
Department Circular 570 contains a list of corporations authorized to
act as sureties on bonds, with the amount in which each may be accepted.
Unless otherwise directed by the Commissioner of Customs, no corporation
shall be accepted as surety on a bond if not named in the current
Circular as amended by Federal Register notice and no bond shall be for
a greater amount than the respective limit stated in the Circular,
unless the excess is protected as prescribed in Sec. 223.11, Bureau of
Government Financial Operations Regulations (31 CFR 223.11).
(b) Name of corporation on the bond. The name of a corporation
executing a Customs bond, as a surety, may be printed or placed thereon
by means of a rubber stamp or otherwise, followed by the written
signature of the authorized officer or attorney.
(c) Name of agent or attorney on the bond. The agent or attorney
acting for a corporate surety shall have stamped, printed, or typed on
each bond executed by him, below his signature, his full name as it
appears on the bond.
(d) Social security number of agent or attorney on the bond. In the
appropriate place on each bond executed by the agent or attorney acting
for a corporate surety, the agent or attorney shall place his/her social
security number, as it appears on the corporate surety power of
attorney.
(e) Signature and seal of the corporation on the bond. A bond
executed by a corporate surety shall be signed by an authorized officer
or attorney of the corporation and the corporate seal shall be affixed
immediately adjoining the signature of the person executing the bond, as
provided for in Sec. 113.25.
(f) Two or more corporate sureties as sureties on the same
obligation. Two or more corporate sureties may be accepted as sureties
on any obligation the amount of which does not exceed the limitations of
their aggregate qualifying power as fixed and determined by the
Secretary of the Treasury. The amount for which each corporate surety
may act as surety in all cases must be within the limitation prescribed
by the Secretary, unless the excess is protected as prescribed in
Sec. 223.11, Bureau of Government Financial Operations Regulations (31
CFR 223.11). Each corporate surety shall limit its liability to a
definite specified amount, in terms, upon the face of the bond by
attaching the following:
Corporate Sureties Agreement for Limitation of Liability
---- (name of surety), ---- (surety code), a surety company
incorporated under laws of the State of ----, authorized to conduct a
surety business in the State of ----, and having its principal place of
business at ---- (address), and ---- (names of surety), ---- (surety
code), a surety company incorporated under the laws of the State of ----
and having its principal place of business at ---- (address), as
sureties, and ---- (name of principal), as principal, are jointly and
severally obligated to the United States in the amount of ---- ($ )
on a bond executed on ---- (date of execution) with each surety jointly
and severally obligate with the principal in the amounts listed below
and no more:
---- (name of surety) ----
($ )
---- (name of surety) ----
($ )
By this agreement the principal and sureties bind themselves and
agree that for the purpose of allowing a joint action against any or all
of them, and for that purpose only, this agreement and the bond under
which they are obligated and which is incorporated by reference into
this agreement, shall be treated as the joint and several as well as the
several obligation of each of the parties.
Signed and sealed this ------------ day of ------------19----
----Principal
----Surety
[[Page 742]]
----Surety
----Port Director (Drawback Office)
(g) Power of attorney for the agent or attorney of the surety.
Corporations may execute powers of attorney to act in their behalf in
the following manner:
(1) Execution and contents. The corporate surety power of attorney
shall be executed on Customs Form 5297, and shall contain the following
information:
(i) Corporate surety name and number,
(ii) Name and address of agent or attorney, and social security
number of agent or attorney,
(iii) Port(s) where the agent or attorney is authorized to act,
(iv) Date of execution of power of attorney,
(v) Seal of the corporate surety,
(vi) Signature of any two principal officers of corporation, and
(vii) Dollar amount of authorization.
(2) Filing. The corporate surety power of attorney executed on
Customs Form 5297 shall be filed with Customs. The original(s) of the
corporate surety power of attorney shall be retained at the port where
it(they) was(were) filed.
(3) Use at port where power of attorney not filed before receipt of
computer printout. If the grantee desires to use the power of attorney
at a port covered by the power of attorney, other than the one where the
power of attorney was filed, before the first computer printout
reflecting this power of attorney is received, the Customs Form 5297,
shall be filed in triplicate (original and two copies), rather than
duplicate. The second copy shall be validated by Customs and returned to
the grantee. The grantee, at the time of filing a bond at a port other
than the port where the power of attorney was filed, shall provide this
validated copy of the power of attorney as proof of the grant of
authority. The validity of this copy of the power of attorney shall
expire when the first computer printout reflecting this power of
attorney is received.
(4) Term and revocation. Corporate surety powers of attorney shall
continue in force and effect until revoked. Any surety desiring that a
designated agent or attorney be divested of a power of attorney must
execute a revocation on Customs Form 5297. The revocation shall take
effect on the close of business on the date requested provided the
corporate surety power of attorney is received 5 days before the date
requested; otherwise the revocation will be effective at the close of
business 5 days after the request is received at the port office.
(5) Change on the power of attorney. No change shall be made on the
Customs Form 5297 after it has been approved by Customs except the
following: (i) Grantee name change, (ii) grantee address change, and
(iii) the addition of port(s) to the corporate surety power of attorney
on file. To make any other change to the power of attorney two separate
Customs Forms 5297 shall be submitted, one revoking the previous power
of attorney, and one containing a new grant of authority.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984; 49 FR 44867, Nov. 9, 1984;
T.D. 95-77, 60 FR 50020, Sept. 27, 1995]
Sec. 113.38 Delinquent sureties.
(a) Acceptance as surety when in default as principal on another
Customs bond. No person shall be accepted as surety on any Customs bond
while in default as principal on any other Customs bond.
(b) Acceptance as surety when in default as surety on another
Customs bond. A surety on a Customs bond which is in default may be
accepted as surety on other Customs bonds only to the extent that the
surety assets are unencumbered by the default.
(c)(1) Nonacceptance of bond by port director. A port director may
refuse to accept a bond secured by an individual or corporate surety
when the surety, without just cause, is significantly delinquent either
in the number of outstanding bills or dollar amounts thereof. If the
port director believes that a substantial question of law exists as to
whether a breach of bond obligation has occurred he should request
internal advice under the provisions of Sec. 177.11 from the Director,
Border Security and Trade Compliance Division, CBP Headquarters.
(2) Nonacceptance of bond upon instructions by Commissioner. The
Commissioner may, when he believes the circumstances warrant, issue
instructions to the port directors that they
[[Page 743]]
shall not accept a bond secured by an individual or corporate surety
when that surety, without just cause, is significantly delinquent either
in the number of outstanding bills or dollar amounts thereof.
(3) Notice of surety. The appropriate Customs officer may take the
above actions only after the surety has been provided reasonable notice
with an opportunity to pay delinquent amounts, provide justification for
the failure to pay, or demonstrate the existence of a significant legal
issue justifying further delay in payment.
(4) Review and final decision. After a review of any submission made
by the surety under paragraph (c)(3) of this section, if the appropriate
CBP officer is still of the opinion bonds secured by the surety should
not be accepted, written notice of the decision shall be provided to the
surety in person or by certified mail, return receipt requested, at
least five days before the date that CBP will no longer accept the bonds
of the surety. When notice is sent to the surety of the decision not to
accept the surety's bonds the appropriate CBP officer shall notify the
Director, Border Security and Trade Compliance Division, CBP
Headquarters. Notice shall be given to the importing public by posting a
copy of the decision in the customhouse. The decision shall also be
published in the Customs Bulletin.
(5) Duration of decision. Any decision not to accept a given
surety's bond shall remain in effect for a minimum of five days or until
all outstanding delinquencies are resolved, whichever is later.
(6) Actions consistent with requirements. Any action not to accept
the bonds of a surety under paragraphs (c) (1) and (2) of this section
shall be consistent with the requirements of this section.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 91-77, 56
FR 46115, Sept. 10, 1991; T.D. 95-77, 60 FR 50020, Sept. 27, 1995; T.D.
99-27, 64 FR 13675, Mar. 22, 1999; T.D. 99-64, 64 FR 43266, Aug. 10,
1999]
Sec. 113.39 Procedure to remove a surety from Treasury Department
Circular 570.
If a port director or Fines, Penalties, and Forfeitures Officer is
unsatisfied with a surety company because the company has neglected or
refused to pay a valid demand made on the surety company's bond or
otherwise has failed to honor an obligation on that bond, the port
director may take the following steps to recommend that the surety
company be removed from Treasury Department Circular 570.
(a) Report to Headquarters. A port director or Fines, Penalties, and
Forfeitures Officer shall send the following evidence to Headquarters,
Attn: Director, Border Security and Trade Compliance Division.
(1) A copy of the bond in issue;
(2) A copy of the entry or other evidence which shows that there was
a default on the bond;
(3) A copy of all notices, demands or correspondence sent to the
surety company requesting the honoring of the bond obligation;
(4) A copy of all correspondence from the surety company; and
(5) A written report of the facts known to the port director or
Fines, Penalties, and Forfeitures Officer showing the unsatisfactory
performance by the surety company of the bond obligation(s).
(b) Review by Headquarters. The Director, Border Security and Trade
Compliance Division, shall review submitted evidence and determine
whether further action against the surety company is warranted. If it is
determined that further action is warranted, a report recommending
appropriate action will be submitted to the Fiscal Assistant Secretary,
Department of the Treasury, as required by Sec. 223.18(a), Bureau of
Government Financial Operations Regulations (31 CFR 223.18(a)). The port
director and Fines, Penalties, and Forfeitures Officer will be informed
in writing of Headquarters action regarding their request for removal of
the surety.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 91-77, 56
FR 46115, Sept. 10, 1991; T.D. 95-77, 60 FR 50020, Sept. 27, 1995; T.D.
99-27, 64 FR 13675, Mar. 22, 1999]
[[Page 744]]
Sec. 113.40 Acceptance of cash deposits or obligations of the United
States in lieu of sureties on bonds.
(a) General provision. In lieu of sureties on any bond required or
authorized by any law, regulation, or instruction which the Secretary of
the Treasury or the Commissioner of Customs is authorized to enforce,
the port director is authorized to accept United States money, United
States bonds (except for savings bonds), United States certificates of
indebtedness, Treasury notes, or Treasury bills in an amount equal to
the amount of the bond.
(b) Authority to sell United States obligations on default. At the
time of deposit of any obligation of the United States, other than
United States money, with the port director or other appropriate Customs
officer, the obligor shall deliver a duly executed power of attorney and
agreement authorizing the port director or other appropriate Customs
officer, as, in case of any default in the performance of any of the
conditions of the bond, to sell the obligation so deposited and to apply
the proceeds of sale, in whole or in part, to the satisfaction of any
damages, demands, or deficiency arising by reason of default. The format
of the power of attorney and agreement, when the obligor is a
corporation, is set forth below, and shall be modified as appropriate
when the obligor is either an individual or a partnership:
Power of Attorney and Agreement
(For Corporation)
----, (name of corporation) a corporation duly incorporated under
the laws of the State of ----, and having its principal office in the
City of ----, State of ----, as authorized by a resolution of the board
of directors of the corporation, passed on the ---- day of ----, 19--, a
duly certified copy of which is attached, does constitute and appoint --
-- (name and official title of bond-approving officer), and his
successors in office, as attorney for said corporation, for and in the
name of the corporation to collect or to sell, assign, and transfer the
securities described as follows:
________________________________________________________________________
The securities having been deposited by it as security for the
performance of the agreements undertaken in a bond with the United
States, executed on the date of --------, 19--, the terms and conditions
of which are incorporated by reference into this power of attorney and
agreement and made a part hereof. The undersigned agrees that in case of
any default in the performance of any of the agreements the attorney
shall have full power to collect the securities or any part thereof, or
to sell, assign, and transfer the securities or any part thereof at
public or private sale, without notice, free from any equity of
redemption and without appraisement or valuation, notice and right to
redeem being waived and to apply the proceeds of the sale or collection
in whole or in part to the satisfaction of any obligation arising by
reason of default. The undersigned further agrees that the authority
granted by this agreement is irrevocable. The corporation for itself,
its successors and assigns, ratifies and confirms whatever the attorney
shall do by virtue of this agreement.
Witnessed, signed, and sealed, this ------ day of --------------
19----.
[Corporate seal.]
By ----_________________________________________________________________
Before me, the undersigned, a notary public within and for the
County of ------------, in the State of ------------ (or the District of
Columbia), personally appeared ------------------------ (name and title
of officer) and for and in behalf of said --------------------, a
corporation, acknowledged the execution of the foregoing power of
attorney.
Witness my hand and notarial seal this -------- day of ------------
--, 19----;.
[Notarial seal.]
Notary Public --------------------
Note: Securities must be described by title, date of maturity, rate
of interest, denomination, serial number, and whether coupon or
registered. Failure to give a complete description will warrant
rejection of this power of attorney.
(c) Application of United States money on default. If cash is
deposited in lieu of sureties on the bond, the port director or other
appropriate Customs officer, as appropriate is authorized to apply the
cash, in whole or in part, to the satisfaction of any damages, demands,
or deficiency arising by reason of a default under the bond.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984; 49 FR 44867, Nov. 9, 1984]
Subpart E_Production of Documents
Sec. 113.41 Entry made prior to production of documents.
When entry is made prior to the production of a required document,
the importer shall indicate in the ``Missing
[[Page 745]]
Documents'' box (box 16) on Customs Form 7501 the missing document,
whether the importer gives a bond or stipulates to produce the document.
Sec. 113.42 Time period for production of documents.
Except when another period is fixed by law or regulations, any
document for the production of which a bond or stipulation is given
shall be delivered within 120 days from the date of notice from Customs
requesting such document, or within any extension of such time which may
be granted pursuant to Sec. 133.43(a). If the period ends on a Saturday,
Sunday, or holiday, delivery on the next business day shall be accepted
as timely.
[T.D. 85-167, 50 FR 40363, Oct. 3, 1985]
Sec. 113.43 Extension of time period.
(a) Application received within time period. If a document referred
to in Sec. 113.42 is not produced within 120 days from the date of the
transaction in connection with which the bond was given, the port
director, in his discretion, upon written application of the importer,
may extend the period for one further period of 2 months.
(b) Late application. No application for the extension of the period
of any bond given to assure the production of a missing document shall
be allowed by the port director if the application is received later
than 2 months after the expiration of the period of the bond, and any
extension shall not be allowed by the port director for a period of more
than 2 months from the date of expiration of the period.
(c) Acceptance of a free-entry or reduced-duty document prior to
liquidation. When a bond is given for the production of any free-entry
or reduced-duty document and a satisfactory document is produced prior
to liquidation of the entry or within the period during which a valid
reliquidation may be completed, provided the failure to file was not due
to willful negligence or fraudulent intent, it shall be accepted as
satisfying the requirement that it be filed in connection with the
entry, and the bond charge for its production shall be cancelled.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 85-167, 50
FR 40363, Oct. 3, 1985]
Sec. 113.44 Assent of sureties to an extension of a bond.
(a) Extension prescribed by law or regulations. The assent of the
sureties to any extension of the period prescribed in a bond is not
necessary when the extension is authorized by law or regulations.
(b) Other extension. The assent of the sureties shall be obtained
before any extension of the period prescribed in a bond other than an
extension authorized by law or regulation, is allowed.
Sec. 113.45 Charge for production of a missing document made against a
continuous bond.
When a continuous bond secures the production of a missing document
and the bond is breached by the principal's failure to timely produce
that document, the claim for liquidated damages shall be in an amount
equal to the amount of the single entry bond that would have been taken
had the transaction been covered by a single entry bond.
Subpart F_Assessment of Damages and Cancellation of Bond
Sec. 113.51 Cancellation of bond or charge against the bond.
The Commissioner of Customs may authorize the cancellation of any
bond provided for in this part or any charge that may have been made
against the bond, in the event of a breach of any condition of the bond,
upon payment of a lesser amount or penalty or upon such other terms and
conditions as may be deemed sufficient.
Sec. 113.52 Failure to satisfy the bond.
If any Customs bond, except one given only for the production of
free-entry or reduced-duty documents (see Sec. Sec. 113.43(c) of this
chapter), is unsatisfied upon the expiration of 90 days after liability
has accrued under the bond, the matter shall be reported
[[Page 746]]
to the Department of Justice for prosecution unless measures have been
taken to file an application for relief or protest in accordance with
the provisions of this chapter or to satisfactorily settle the matter.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 00-57, 65
FR 53575, Sept. 5, 2000]
Sec. 113.53 Waiver of Customs requirement supported by a bond.
(a) Waiver by the Commissioner of Customs. When a Customs
requirement supported by a bond is waived by the Commissioner of
Customs, the waiver may be:
(1) Unconditional, in which case the importer is relieved from the
payment of liquidated damages;
(2) Conditioned upon prior settlement of the bond obligation by
payment of liquidated damages; or
(3) Conditioned upon such other terms and conditions as the
Commissioner may deem sufficient.
(b) Waiver by the port director. When a Customs requirement
supported by a bond is waived by the port director pursuant to the
authority conferred by these regulations, the waiver shall be
unconditional.
Sec. 113.54 Cancellation of erroneous charges.
(a) Bonds. Section 172.11(b) of this chapter sets forth provisions
relating to the cancellation of charges against the bond when it is
determined that the act or omission forming the basis for the claim for
liquidated damages did not in fact occur.
(b) Carnets. Section 114.34 of this chapter sets forth provisions
relating to the cancellation of erroneous charges involving carnets.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 00-57, 65
FR 53575, Sept. 5, 2000]
Sec. 113.55 Cancellation of export bonds.
(a) Manner of cancellation. A bond to assure exportation as defined
in Sec. 101.1 of this chapter may be cancelled:
(1) Upon exportation. Upon the listing of the merchandise on the
outward manifest or outward bill of lading, the inspector's certificate
of lading, the record of clearance of the vessel or of the departure of
the vehicle, and the production of a foreign landing certificate if the
certificate is required by the port director.
(2) Upon payment of liquidated damages. Upon the payment of
liquidated damages.
(b) Cancellation of bond charges of an international carrier. The
conditions of the bond of an international carrier may be considered as
having been complied with upon the production of the applicable
documents listed in paragraph (a)(1) of this section.
(c) Foreign landing certificate. A foreign landing certificate, when
required, shall be produced within six months from the date of
exportation and shall be signed by a revenue officer of the foreign
country to which the merchandise is exported, unless it is shown that
the country has no Customs administration, in which case the certificate
may be signed by the consignee or by the vessel's agent at the place of
landing. Landing certificates are required in the following cases:
(1) Mandatory. A landing certificate shall be required in every case
to establish the exportation of narcotic drugs or any equipment, stores
(except such articles as are placed on board vessels or aircraft under
the provisions of section 309 or 317, Tariff Act of 1930, as amended (19
U.S.C. 1309, 1317)), or machinery for vessels.
(2) Optional with the port director. A landing certificate may be
required by the port director for merchandise exported from the United
States, or residue cargo, when a certificate is deemed necessary for the
protection of the revenue.
(3) Waiver. Except as provided in Sec. 4.88 of this chapter, in
cases where landing certificates are required and they cannot be
produced, an application for waiver thereof may be made to the
Commissioner of Customs through the port director, accompanied by such
proof of exportation and landing abroad as may be available.
(d) Articles less than $10. In the case of articles for which the
ordinary Customs duty estimated at the time of entry did not exceed $10
and which are exported without Customs supervision, but within the
period during which the articles are authorized to remain in the
[[Page 747]]
Customs territory of the United States under bond (including any lawful
extension), the bond may be cancelled upon production of evidence of
exportation satisfactory to the port director.
Subpart G_Customs Bond Conditions
Sec. 113.61 General.
Each section in this subpart identifies specific coverage for a
particular Customs activity. When an individual or organization files a
bond with Customs the activity in which they plan on engaging will be
identified on the bond. The bond conditions listed in this subpart which
correspond to that activity will be incorporated by reference into the
bond.
Sec. 113.62 Basic importation and entry bond conditions.
A bond for basic importation and entry shall contain the conditions
listed in this section and may be either a single entry or a continuous
bond.
Basic Importation and Entry Bond Conditions
(a) Agreement to Pay Duties, Taxes, and Charges. (1) If merchandise
is imported and released from Customs custody or withdrawn from a
Customs bonded warehouse into the commerce of, or for consumption in,
the United States, or under Sec. 181.53 of this chapter is withdrawn
from a duty-deferral program for exportation to Canada or Mexico or for
entry into a duty-deferral program in Canada or Mexico, the obligors
(principal and surety, jointly and severally) agree to:
(i) Deposit, within the time prescribed by law or regulation, any
duties, taxes, and charges imposed, or estimated to be due, at the time
of release or withdrawal; and
(ii) Pay, as demanded by Customs, all additional duties, taxes, and
charges subsequently found due, legally fixed, and imposed on any entry
secured by this bond.
(2) If the principal enters any merchandise into a Customs bonded
warehouse, the obligors agree;
(i) To pay any duties, taxes, and charges found to be due on any of
that merchandise which remains in the warehouse at the expiration of the
warehousing time limit set by law; and
(ii) That the obligation to pay duties, taxes, and charges on the
merchandise applies whether it is properly withdrawn by the principal,
or by the principal's transferee, or is unlawfully removed by the
principal or any other person, without regard to whether the merchandise
is manipulated, unless payment was made or secured to be made by some
other person.
(3) Under this agreement, the obligation to pay any and all duties,
taxes, and charges due on any entry ceases on the date the principal
timely files with the port director a bond of the owner in which the
owner agrees to pay all duties, taxes, and charges found due on that
entry; provided a declaration of the owner has also been properly filed.
(b) Agreement to Make or Complete Entry. If all or part of imported
merchandise is released before entry under the provisions of the special
delivery permit procedures under 19 U.S.C. 1448(b), released before
completion of the entry under 19 U.S.C. 1484(a), or withdrawn from
warehouse under 19 U.S.C. 1557(a) (see Sec. 10.62b of this chapter), the
principal agrees to file within the time and in the manner prescribed by
law and regulation, documentation to enable Customs to:
(1) Determine whether the merchandise may be released from Customs
custody;
(2) Properly assess duties on the merchandise;
(3) Collect accurate statistics with respect to the merchandise; and
(4) Determine whether applicable requirements of law and regulation
are met.
(c) Agreement to Produce Documents and Evidence. If merchandise is
released conditionally to the principal before all required documents or
other evidence is produced, the principal agrees to furnish Customs with
any document or evidence as required by law or regulation, and within
the time specified by law or regulations.
(d) Agreement to Redeliver Merchandise. If merchandise is released
conditionally from Customs custody to the principal before all required
evidence is produced, before its quantity and value
[[Page 748]]
are determined, or before its right of admission into the United States
is determined, the principal agrees to redeliver timely, on demand by
Customs, the merchandise released if it:
(1) Fails to comply with the laws or regulations governing admission
into the United States;
(2) Must be examined, inspected, or appraised as required by 19
U.S.C. 1499; or
(3) Must be marked with the country of origin as required by law or
regulation.
It is understood that any demand for redelivery will be made no later
than 30 days after the date that the merchandise was released or 30 days
after the end of the conditional release period (whichever is later).
(See Sec. Sec. 141.113(b), 12.73(b)(2), and 12.80 of this chapter.)
(e) Agreement to Rectify Any Non-Compliance with Provisions of
Admission. If merchandise is released conditionally to the principal
before its right of admission into the United States is determined, the
principal, after notification, agrees to mark, clean, fumigate, destroy,
export or do any other thing to the merchandise in order to comply with
the law and regulations governing its admission into the United States
within the time period set in the notification.
(f) Agreement for Examination of Merchandise. If the principal
obtains permission to have any merchandise examined elsewhere than at a
wharf or other place in charge of a Customs officer, the principal
agrees to:
(1) Hold the merchandise at the place of examination until the
merchandise is properly released;
(2) Transfer the merchandise to another place on receipt of
instructions from Customs made before release; and
(3) Keep any Customs seal or cording on the merchandise intact until
the merchandise is examined by Customs.
(g) Reimbursement and Exoneration of the United States. The obligors
agree to:
(1) Pay the compensation and expenses of any Customs officer, as
required by law or regulation; and
(2) Exonerate the United States and its officers from any risk,
loss, or expense arising out of principal's importation, entry, or
withdrawal of merchandise.
(h) Agreement on Duty-Free Entries or Withdrawals. If the principal
enters or withdraws any merchandise, without payment of duty and tax, or
at a reduced rate of duty and tax, as permitted under the law, the
principal agrees:
(1) To use and handle the merchandise in the manner and for the
purpose entitling it to duty-free treatment;
(2) If a fishing vessel, to present the original approved
application to Customs within 24 hours on each arrival of the vessel in
the Customs territory of the United States from a fishing voyage;
(3) To furnish timely proof to Customs that any merchandise entered
or withdrawn under any law permitting duty-free treatment was used in
accordance with that law; and
(4) To keep safely all withdrawn beverages remaining on board while
the vessel is in port, as may be required by Customs.
(i) Agreement to comply with Customs Regulations applicable to
Customs security areas at airports. If access to the Customs security
areas at airports is desired, the principal (including its employees,
agents, and contractors) agrees to comply with the Customs Regulations
in this chapter applicable to Customs security areas at airports. If the
principal defaults, the obligors (principal and surety, joint and
severally) agree to pay liquidated damages of $1000 for each default or
such other amount as may be authorized by law or regulation.
(j) The principal agrees to comply with all Importer Security Filing
requirements set forth in part 149 of this chapter including but not
limited to providing security filing information to Customs and Border
Protection in the manner and in the time period prescribed by
regulation. If the principal defaults with regard to any obligation, the
principal and surety (jointly and severally) agree to pay liquidated
damages of $5,000 for each violation.
(k) Agreement to comply with electronic entry and/or advance cargo
information filing requirements. (1) If the principal is qualified to
utilize electronic entry filing as provided for in part 143, of this
chapter, the principal agrees to comply with all conditions set forth in
part 143
[[Page 749]]
and to send and accept electronic transmissions without the necessity of
paper copies.
(2) If the principal elects to provide advance inward air or truck
cargo information to Customs and Border Protection (CBP) electronically,
the principal agrees to provide such cargo information to CBP in the
manner and in the time period required, respectively, under Sec. 122.48a
or 123.92 of this chapter. If the principal defaults with regard to
these obligations, the principal and surety (jointly and severally)
agree to pay liquidated damages of $5,000 for each violation.
(l) Agreement to ensure and establish issuance of softwood lumber
export permit and collection of export fees. In the case of a softwood
lumber product imported from Canada that is subject to the requirement
that the Government of Canada issue an export permit pursuant to the
Softwood Lumber Agreement, the principal agrees, as set forth in
Sec. 12.140 of this chapter, to assume the obligation to ensure within
10 working days of release of the merchandise, and establish to the
satisfaction of CBP, that the applicable export permit has been issued
by the Government of Canada.
(m) Consequence of default. (1) If the principal defaults on
agreements in this condition other than conditions in paragraphs (a),
(g), (i), (j), (k)(2), or (l) of this section the obligors agree to pay
liquidated damages equal to the value of the merchandise involved in the
default, or three times the value of the merchandise involved in the
default if the merchandise is restricted or prohibited merchandise or
alcoholic beverages, or such other amount as may be authorized by law or
regulation.
(2) It is understood and agreed that whether the default involves
merchandise is determined by Customs and that the amount to be collected
under these conditions shall be based upon the quantity and value of the
merchandise as determined by Customs. Value as used in these provisions
means value as determined under 19 U.S.C. 1401a.
(3) If the principal defaults on agreements in this condition other
than conditions (a) or (g) and the default does not involve merchandise,
the obligors agree to pay liquidated damages of $1,000 for each default
or such other amount as may be authorized by law or regulation.
(4) If the principal defaults on agreements in the condition set
forth in paragraph (a)(1)(i) of this section only, the obligors
(principal and surety, jointly and severally) agree to pay liquidated
damages equal to two times the unpaid duties, taxes and charges
estimated to be due or $1,000, whichever is greater. A default on the
condition set forth in paragraph (a)(1)(i) of this section shall be
presumed if any monetary instrument authorized for the payment of
estimated duties, taxes and charges by Sec. 24.1(a) of this chapter is
returned unpaid by a financial institution, or if a payment authorized
under Automated Clearinghouse (see Sec. 24.25 of this chapter) is not
transmitted electronically to Customs in a timely manner. If the
principal defaults on agreements in both of the conditions as set forth
in paragraphs (a)(1)(i) and (b) of this section, the measure of
liquidated damages assessed shall be as provided in paragraph (m)(1) of
this section for a default of the agreements in the condition set forth
in paragraph (b) of this section. For purposes of this paragraph, the
phrase ``unpaid duties, taxes and charges'' shall include any
appropriate ad valorem fees described in Sec. 24.23 of this chapter,
fees relating to dutiable mail described in Sec. 24.22(f) of this
chapter, and harbor maintenance fees described in Sec. 24.24(e)(3) (i)
and (ii) of this chapter.
(5) If the principal defaults on agreements in the condition set
forth in paragraph (l) of this section only, the obligors agree to pay
liquidated damages equal to $100 per thousand board feet of the imported
lumber.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984]
Editorial Note: For Federal Register citations affecting
Sec. 113.62, see the List of CFR Sections Affected, which appears in the
Finding Aids section of the printed volume and at www.fdsys.gov.
Sec. 113.63 Basic custodial bond conditions.
A basic custodial bond shall contain the conditions listed in this
section and shall be a continuous bond.
[[Page 750]]
Basic Custodial Bond Conditions
(a) Receipt of Merchandise. The principal agrees:
(1) To operate as a custodian of any bonded merchandise received,
including merchandise collected for transport to his facility, and to
comply with all regulations regarding the receipt, carriage,
safekeeping, and disposition of such merchandise;
(2) To accept only merchandise authorized under Customs Regulations;
(3) To maintain all records required by regulations relating to
merchandise received into bond, and to produce the records upon demand
by an authorized Customs officer;
(4) If authorized to use the alternative transfer procedure set
forth in Sec. 144.34(c) of this chapter, to operate as constructive
custodian for all merchandise transferred under those procedures,
thereby assuming primary responsibility for the continued proper custody
of the merchandise notwithstanding its geographical location;
(5) If authorized to operate a container station under the Customs
Regulations, to report promptly to Customs each arrival of a container
and its merchandise by delivery of the manifest and the application for
transfer, or by other approved notice.
(b) Carriage and Safekeeping of Merchandise. The principal agrees:
(1) If a bonded carrier, to use only authorized means of conveyance;
(2) To keep safe any merchandise placed in its custody including,
when approved by Customs, repacking and transferring such merchandise
when necessary for its safety or preservation;
(3) To comply with Customs Regulations relating to the handling of
bonded merchandise; and
(4) If authorized to use the alternative transfer procedure set
forth in Sec. 144.34(c) of this chapter, to keep safe any merchandise so
transferred.
(c) Disposition of Merchandise. The principal agrees:
(1) If a bonded carrier, to report promptly the arrival of
merchandise at the destination port by delivering to Customs the
manifest or other approved notice;
(2) If a cartage or lighterage business, to deliver promptly and
safely to Customs any merchandise placed in the principal's custody
together with any related cartage and lighterage ticket and manifest;
(3) To dispose of merchandise in a manner authorized by Customs
Regulations; and
(4) To file timely with Customs any report required by Customs
Regulations.
(5) In the case of Class 9 warehouses, to provide reasonable
assurance of exportation of merchandise withdrawn under the sales ticket
procedure of Sec. 144.37(h) of this chapter.
(d) Agreement to Redeliver Merchandise to Customs. If the principal
is designated a bonded carrier, or licensed to operate a cartage or
lighterage business, or authorized to use the alternative transfer
procedure set forth in Sec. 144.34(c) of this chapter, the principal
agrees to redeliver timely, on demand by Customs, any merchandise
delivered to unauthorized locations or to the consignee without the
permission of Customs. It is understood that the demand for redelivery
shall be made no later than 30 days after Customs discovers the improper
delivery.
(e) Compliance with Licensing and Operating Requirements. The
principal agrees to comply with all Customs laws and regulations
relating to principal's facilities, conveyances, and employees.
(f) Agreement to comply with Customs Regulations applicable to
Customs security areas at airports. If access to Customs security areas
at airports is desired, the principal (including its employee, agents,
and contractors) agrees to comply with the Customs Regulations
applicable to Customs security areas at airports. If the principal
defaults, the obligors (principal and surety, jointly and severally)
agree to pay liquidated damages of $1000 for each default or such other
amount as may be authorized by law or regulation.
(g) The principal agrees to comply with all Importer Security Filing
requirements set forth in part 149 of this chapter including but not
limited to providing security filing information to Customs and Border
Protection in the manner and in the time period prescribed by
regulation. If the principal defaults with regard to any obligation, the
principal and surety (jointly and
[[Page 751]]
severally) agree to pay liquidated damages of $5,000 per violation.
(h) Reimbursement and Exoneration of the United States. The
principal and surety agree to:
(1) Pay the compensation and expenses of any Customs officer as
required by law or regulation;
(2) Pay the cost of any locks, seals, and other fastenings required
by Customs Regulations for securing merchandise placed in the
principal's custody;
(3) Pay for any expenses connected with the suspension or
termination of the bonded status of the premises;
(4) Exonerate the United States and its officers from any risk,
loss, or expense arising out of the principal's custodial operation; and
(5) Pay any charges found to be due Customs arising out of the
principal's custodial operation.
(i) Consequence of Default. (1) If the principal defaults on
conditions (a) through (e) in this agreement, the obligors (principal
and surety, jointly and severally) agree to pay liquidated damages equal
to the value of the merchandise involved in the default or three times
the value of the merchandise involved in the default if the merchandise
is restricted or prohibited merchandise or alcoholic beverages, or such
other amount as may be authorized by law or regulation.
(2) It is understood and agreed that the amount to be collected
under conditions (a) through (e) of this agreement shall be based upon
the quantity and value of the merchandise as determined by Customs.
Value as used in these provisions means value as determined under 19
U.S.C. 1401a.
(3) If the principal defaults on conditions (a) through (e) in this
agreement and the default does not involve merchandise, the obligors
agree to pay liquidated damages of $1,000 for each default or such other
amount as may be authorized by law or regulation. It is understood and
agreed that whether the default involves merchandise is determined by
Customs.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984; 49 FR 44867, Nov. 9, 1984, as
amended by T.D. 86-178, 51 FR 34959, Oct. 1, 1986; T.D. 88-46, 53 FR
29230, Aug. 3, 1988; T.D. 88-72, 53 FR 45902, Nov. 15, 1988; 54 FR
33672, Aug. 16, 1989; T.D. 92-81, 57 FR 37701, Aug. 20, 1992; T.D. 94-
81, 59 FR 51495, Oct. 12, 1994; T.D. 97-19, 62 FR 15840, Apr. 3, 1997;
T.D. 01-26, 66 FR 16854, Mar. 28, 2001; CBP Dec. 08-46, 73 FR 71781,
Nov. 25, 2008]
Sec. 113.64 International carrier bond conditions.
A bond for international carriers shall contain the conditions
listed in this section and may be either a single entry or continuous
bond.
International Carrier Bond Conditions
(a) Agreement to Pay Penalties, Duties, Taxes, and Other Charges. If
any vessel, vehicle, or aircraft, or any master, owner, or person in
charge of a vessel, vehicle or aircraft, slot charterer, or any non-
vessel operating common carrier as defined in Sec. 4.7(b)(3)(ii) of this
chapter or other party as specified in Sec. 122.48a(c)(1)(ii)-(c)(1)(iv)
of this chapter, incurs a penalty, duty, tax or other charge provided by
law or regulation, the obligors (principal and surety, jointly and
severally) agree to pay the sum upon demand by Customs and Border
Protection (CBP). If the principal (carrier) fails to pay passenger
processing fees to Customs no later than 31 days after the close of the
calendar quarter in which they were collected pursuant to Sec. 24.22(g)
of this chapter, the obligors (principal and surety, jointly and
severally) agree to pay liquidated damages equal to two times the
passenger processing fees which have been collected but not timely paid
to Customs as prescribed by regulation. If the principal (carrier or
operator) fails to pay the fees for processing letters, documents,
records, shipments, merchandise, or other items on or before the last
day of the month that follows the close of the calendar quarter to which
the processing fees relate pursuant to Sec. 24.23(b)(4) of this chapter,
the obligors (principal and surety, jointly and severally) agree to pay
liquidated
[[Page 752]]
damages equal to two times the processing fees not timely paid to CBP as
prescribed by regulation.
(b) Agreement on Unlading, Safekeeping, and Disposition of
Merchandise, Supplies, Crew Purchases, Etc. The principal agrees to
comply with all laws and Customs Regulations applicable to unlading,
safekeeping, and disposition of merchandise, supplies, crew purchases,
and other articles on board the vehicle, vessel, or aircraft; and to
redeliver the foregoing to Customs upon demand as provided by Customs
Regulations. If principal defaults, obligors agree to pay liquidated
damages equal to the value of the merchandise involved in the default or
three times the value of the merchandise involved in the default if the
merchandise is restricted or prohibited merchandise or alcoholic
beverages, or such other amount as may be authorized by law or
regulation. It is understood and agreed that the amount to be collected
under this condition shall be based upon the quantity and value of the
merchandise as determined by Customs. Value as used in these provisions
means value as determined under 19 U.S.C. 1401a.
(c) Agreement to provide advance cargo information. The incoming
carrier agrees to provide advance cargo information to CBP in the manner
and in the time period required under Sec. Sec. 4.7 and 4.7a of this
chapter. If the incoming carrier, as principal, defaults with regard to
these obligations, the principal and surety (jointly and severally)
agree to pay liquidated damages of $5,000 for each violation, to a
maximum of $100,000 per conveyance arrival.
(d) Non-vessel operating common carrier (NVOCC); other party. If a
slot charterer, non-vessel operating common carrier (NVOCC) as defined
in Sec. 4.7(b)(3)(ii) of this chapter, or other party specified in
Sec. 122.48a(c)(1)(ii)-(c)(1)(iv) of this chapter, elects to provide
advance cargo information to CBP electronically, the NVOCC or other
party, as a principal under this bond, in addition to compliance with
the other provisions of this bond, also agrees to provide such cargo
information to CBP in the manner and in the time period required under
those respective sections. If the NVOCC or other party, as principal,
defaults with regard to these obligations, the principal and surety
(jointly and severally) agree to pay liquidated damages of $5,000 for
each violation, to a maximum of $100,000 per conveyance arrival.
(e) Agreement to comply with Importer Security Filing requirements.
If the principal elects to provide the Importer Security Filing
information to Customs and Border Protection (CBP), the principal agrees
to comply with all Importer Security Filing requirements set forth in
part 149 of this chapter including but not limited to providing security
filing information to CBP in the manner and in the time period
prescribed by regulation. If the principal defaults with regard to any
obligation, the principal and surety (jointly and severally) agree to
pay liquidated damages of $5,000 for each violation.
(f) Agreement to comply with vessel stow plan requirements. If the
principal causes a vessel to arrive within the limits of a port in the
United States, the principal agrees to submit a stow plan in the manner
and in the time period required pursuant to part 4.7c of this chapter.
If the principal defaults with regard to this obligation, the principal
and surety (jointly and severally) agree to pay liquidated damages of
$50,000 for each vessel arrival.
(g) Agreement to comply with container status message requirements.
If the principal causes a vessel to arrive within the limits of a port
in the United States, the principal agrees to submit container status
messages in the manner and in the time period required pursuant to part
4.7d of this chapter. If the principal defaults with regard to these
obligations, the principal and surety (jointly and severally) agree to
pay liquidated damages of $5,000 for each violation, to a maximum of
$100,000 per vessel arrival.
(h) Agreement to Deliver Export Documents. If the principal's
vessel, vehicle, or aircraft is granted clearance without filing a
complete outward manifest and all required export documents, the
principal agrees to file timely the required manifest and all required
export documents. If the principal defaults, the obligors agree to pay
liquidated damages of $50 per day for the first 3 days, and $100 per day
thereafter, up to $1,000 in total.
[[Page 753]]
(i) Agreement to comply with Customs Regulations applicable to
Customs security areas at airports. If access to Customs security areas
at airports is desired, the principal (including its employees, agents,
and contractors) agrees to comply with the Customs Regulations
applicable to Customs security areas at airports. If the principal
defaults, the obligors (principal and surety, jointly and severally)
agree to pay liquidated damages of $1000 for each default or such other
amount as may be authorized by law or regulation.
(j) Exoneration of the United States. The obligors agree to
exonerate the United States and its officers from any risk, loss, or
expense arising out of entry or clearance of the carrier, or handling of
the articles on board.
(k) Unlawful disposition. (1) Principal agrees that it will not
allow seized or detained merchandise, marked with warning labels of the
fact of seizure or detention, to be placed on board a vessel, vehicle,
or aircraft for exportation or to be otherwise disposed of without
written permission from Customs, and that if it fails to prevent such
placement or other disposition, it will redeliver the merchandise to
Customs within 30 days, upon demand made within 10 days of Customs
discovery of the unlawful placement or other disposition.
(2) Principal agrees that it will act, in regard to merchandise in
its possession on the date the redelivery demand is issued, in
accordance with any Customs demand for redelivery made within 10 days of
Customs discovery that there is reasonable cause to believe that the
merchandise was exported in violation of the export control laws.
(3) Obligors agree that if the principal defaults in either of these
obligations, they will pay, as liquidated damages, an amount equal to
three times the value of the merchandise which was not redelivered.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984]
Editorial Note: For Federal Register citations affecting
Sec. 113.64, see the List of CFR Sections Affected, which appears in the
Finding Aids section of the printed volume and at www.fdsys.gov.
Sec. 113.65 Repayment of erroneous drawback payment bond conditions.
A bond for repayment of erroneous drawback shall contain the
conditions listed in this section and may be either a single entry or
continuous bond.
Repayment of Erroneous Drawback Payment Bond Conditions
(a) Agreement Under Exporter's Summary Procedure. If the principal
is permitted to file drawback claims under the exporter's summary
procedure and the principal's drawback claims are paid before a final
determination that the principal:
(1) Is entitled to the drawback claimed.
(2) Correctly described the exported articles in the claim.
(3) Correctly stated the facts of exportation in the claim; the
principal and surety, jointly and severally agree to refund, on demand,
any money claimed by Customs to have been erroneously paid as a result
of an incorrect statement on the drawback claim, and
(4) The principal agrees to pay any charges due Customs as provided
by law or regulation.
(b) Agreement Under Accelerated Payment of Drawback. If the
principal receives an accelerated payment of drawback based on the
principal's calculation of the drawback claim, the principal and surety,
jointly and severally agree to refund on demand the full amount of any
overpayment, as determined on liquidation of the drawback claim.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 86-178, 51
FR 34959, Oct. 1, 1986; T.D. 88-72, 53 FR 45902, Nov. 15, 1988]
Sec. 113.66 Control of containers and instruments of international
traffic bond conditions.
A bond for control of containers and instruments of international
traffic shall contain the conditions listed in this section and shall be
a continuous bond.
[[Page 754]]
Control of Containers and Instruments of International Traffic Bond
Conditions
(a) Agreement to Enter Any Diverted Instrument of International
Traffic. If the principal brings in and takes out of the Customs
territory of the United States an instrument of international traffic
without entry and without payment of duty, as provided by the Customs
Regulations and section 322(a), Tariff Act of 1930, as amended, the
principal agrees to:
(1) Report promptly to Customs when the instrument is diverted to
point-to-point local traffic in the Customs territory of the United
States or when the instrument is otherwise withdrawn in the Customs
territory of the United States from its use as an instrument of
international traffic;
(2) Promptly enter the instrument unless exempt from entry; and
(3) Pay any duty due on the instrument at the rate in effect and in
its condition on the date of diversion or withdrawal.
(b) Agreement to Comply With the Provisions of subheading
9801.00.10, or 9803.00.50 Harmonized Tariff Schedule of the United
States (HTSUS). If the principal gets free release of any serially
numbered shipping container classifiable under subheading 9801.00.10 or
9803.00.50, HTSUS, the principal agrees:
(1) Not to advance the value or improve its condition abroad or
claim (or make a previous claim) drawback on, any container released
under subheading 9801.00.10, HTSUS;
(2) To pay the initial duty due and otherwise comply with every
condition in subheading 9803.00.50, HTSUS, on any container released
under that item;
(3) To mark that container in the manner required by Customs;
(4) To keep records which show the current status of that container
in service and the disposition of that container if taken out of
service; and
(5) To remove or strike out the markings on that container when it
is taken out of service or when the principal transfers ownership of it.
(c) Agreement to comply with application approved under 19 CFR
10.41b(b). If the principal establishes a program for the cross-border
movements of shipping devices based upon an application approved as
provided in Sec. 10.41b(b) of this chapter (19 CFR 10.41b(b)), the
principal agrees:
(1) To timely file complete and accurate reports on the shipping
devices, and to pay any applicable duty due on the devices and repairs
made to such devices, as provided in the approved application;
(2) To retain complete and accurate records regarding the shipping
devices, and to make such records available to Customs for inspection
and audit upon reasonable notice, as also required in the approved
application; and
(3) To otherwise comply with every other condition of the approved
application.
(d) Consequence of Default. (1) If the principal defaults on
agreements in these conditions, the obligors (principal and surety,
jointly and severally) agree to pay liquidated damages equal to the
value of the merchandise involved in the default or such other amount as
may be authorized by law or regulation.
(2) It is understood and agreed that the amount to be collected
under these conditions shall be based upon the quantity and value of the
merchandise as determined by Customs.
(3) If the principal defaults on the agreements in these conditions
and the default does not involve merchandise, the obligors agree to pay
liquidated damages of $1,000 for each default or such other amount as
may be authorized by law or regulation. It is understood and agreed that
whether the default involves merchandise is determined by Customs.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 88-72, 53
FR 45902, Nov. 15, 1988; T.D. 89-1, 53 FR 51255, Dec. 21, 1988; T.D. 96-
20, 61 FR 7990, Mar. 1, 1996]
Sec. 113.67 Commercial gauger and commercial laboratory bond
conditions.
Commercial Gauger Bond Conditions
(a) Commercial gauger bond conditions. A commercial gauger's bond
shall contain the conditions listed in this section and shall be a
continuous bond.
(1) If the principal is a commercial gauger whose reports of gauging
or
[[Page 755]]
whose samples are accepted for Customs purposes, the principal agrees
to:
(i) Gauge or sample merchandise according to the standards and
procedures set out in the Customs Regulations;
(ii) Abide by the requirements set out in Sec. 151.13(b) of this
chapter; and
(iii) Submit properly any required report, proof, abstract, or
sample to Customs.
(2)(i) If the principal defaults, the obligors (principal and
surety) agree to pay liquidated damages equal to the value of the
merchandise involved in the default or three times the value of the
merchandise involved in the default if the merchandise is restricted or
prohibited merchandise or alcoholic beverages or such other amount as
may be authorized by law or regulation.
(ii) If the principal defaults on the agreements in these conditions
and the default does not involve merchandise, the obligors agree to pay
liquidated damages of $1,000 for each default or such other amount as
may be authorized by law or regulation.
(iii) It is understood and agreed that whether the default involves
merchandise is determined by Customs, that the amount to be collected
under this condition shall be based on the quantity and value of the
merchandise as determined by Customs and that value as used in these
provisions means value as determined under 19 U.S.C. 1401a.
Commercial Laboratory Bond Conditions
(b) Commercial laboratory bond conditions. A commercial laboratory's
bond shall contain the conditions listed in this subsection and shall be
a continuous bond.
(1) If the principal is a commercial laboratory whose laboratory
analysis reports are accepted for Customs purposes, the principal agrees
to:
(i) Conduct laboratory analyses according to the standards and
procedures set out in the Customs Regulations;
(ii) Abide by the requirements set out in Sec. Sec. 151.12(c) and
151.14 of this chapter; and
(iii) Submit properly any required report, proof, abstract, or
sample to Customs.
(2)(i) If the principal defaults, the obligors (principal and
surety, jointly and severally) agree to pay liquidated damages equal to
the value of the merchandise involved in the default or three times the
value of the merchandise involved in the default if the merchandise is
restricted or prohibited merchandise or alcoholic beverages or such
other amount as may be authorized by law or regulation.
(ii) If the principal defaults on the agreements in these conditions
and the default does not involve merchandise, the obligors agree to pay
liquidated damages of $1,000 for each default or such other amount as
may be authorized by law or regulation.
(iii) It is understood and agreed that whether the default involves
merchandise is determined by Customs, that the amount to be collected
under this condition shall be based on the quantity and value of the
merchandise as determined by Customs and that value as used in these
provisions means value as determined under 19 U.S.C. 1401a.
[T.D. 87-39, 52 FR 9787, Mar. 26, 1987, as amended by T.D. 88-72, 53 FR
45902, Nov. 15, 1988; T.D. 99-67, 64 FR 48534, Sept. 7, 1999; T.D. 01-
26, 66 FR 16854, Mar. 28, 2001]
Sec. 113.68 Wool and fur products labeling acts and fiber products
identification act bond conditions.
A bond to comply with wool and fur products labeling acts and fiber
products identification act shall contain the conditions listed in this
section and shall be a single entry bond.
Wool and Fur Products Labeling Acts and Fiber Products Identification
Act
(a) If the principal obtains release from Customs custody of any
wool or fur product (hereafter ``merchandise'') that is subject to the
provisions of the Wool Products Labeling Act of 1939, the Fur Products
Labeling Act, or the Fiber Products Identification Act, the principal
guarantees that the merchandise complies with every provision of those
Acts, as applicable.
(b) If any of the released merchandise does not comply with each
applicable
[[Page 756]]
provision of the Wool Products Labeling Act of 1939, the Fur Products
Labeling Act, or the Fiber Products Identification Act, the obligors
(principal or surety, jointly and severally) agree to pay liquidated
damages equal to two times the value of the merchandise involved in the
default and duty thereon. It is understood and agreed that the amount to
be collected under this condition shall be based upon the quantity and
value of the merchandise as determined by Customs. Value as used in
these provisions means value as determined under 19 U.S.C. 1401a.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 88-72, 53
FR 45902, Nov. 15, 1988]
Sec. 113.69 Production of bills of lading bond conditions.
A bond to produce a bill of lading shall contain the conditions
listed in this section and shall be a single entry bond.
Production of Bill of Lading Bond Conditions
If the principal obtains release of any merchandise before filing a
valid bill of lading on that merchandise with Customs, the obligors
(principal and surety, jointly and severally) agree to:
(a) Produce timely a valid bill of lading for the merchandise; and
(b) Relieve the United States and its employees from all liability,
to indemnify the United States and its employees against loss, and
defend any action brought on a claim for loss based on the release
without production of a valid bill of lading.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 88-72, 53
FR 45902, Nov. 15, 1988]
Sec. 113.70 Bond condition to indemnify United States for detention of
copyrighted material.
A bond to indemnify the United States for detention of copyrighted
material shall contain the conditions listed in this section and shall
be a single entry bond.
Bond Condition To Indemnify United States for Detention of Copyrighted
Material
If Customs detains any articles alleged by the principal to be a
piratical copy of material covered by the principal's copyright pending
a final determination whether the articles are prohibited entry under
the copyright laws, the obligors (principal and surety, jointly and
severally) agree to hold the United States and its employees, and the
importer or owner of those articles, jointly and severally, harmless
from any material depreciation of those articles and any loss or damage
caused by the detention in the event it is finally determined that the
articles are not a piratical copy of the material.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 88-72, 53
FR 45902, Nov. 15, 1988]
Sec. 113.71 Bond condition to observe neutrality.
A bond to observe neutrality shall contain the conditions listed in
this section and shall be a single entry bond.
Bond Condition To Observe Neutrality
(a) If clearance is granted to the principal's vessel, which is
armed or is built for a war-like purpose, with a cargo of arms and
munitions, so that it is likely to be used to commit hostilities against
people or countries with whom the Government of the United States is at
peace, the principal guarantees that the vessel will not be used to
commit hostilities against any country, state, colony, or people with
whom the Government is at peace.
(b) If the principal defaults, the obligors (principal and surety,
jointly and severally) agree to pay liquidated damages equal to twice
the value of the vessel and cargo.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 88-72, 53
FR 45902, Nov. 15, 1988]
[[Page 757]]
Sec. 113.72 Bond condition to pay court costs (condemned goods).
A bond to pay court costs (condemned goods) shall contain the
condition listed in this section and shall be a single entry bond.
Bond Condition To Pay Court Costs (Condemned Goods)
If any seized goods belonging to principal are condemned the
obligors (principal and surety, jointly and severally) agree to pay all
costs of the condemnation proceedings.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 88-72, 53
FR 45902, Nov. 15, 1988]
Sec. 113.73 Foreign trade zone operator bond conditions.
A bond of a foreign trade zone operator shall contain the conditions
listed in this section and shall be a continuous bond.
Foreign Trade Zone Operator Bond Conditions
If the principal is authorized to operate a foreign trade zone or
subzone:
(a) Receipt, Handling, and Disposition of Merchandise. The principal
agrees to comply with:
(1) The law and Customs Regulations relating to the receipt
(including merchandise received and receipted for transport to his
zone), admission, status, handling, transfer, and removal of merchandise
from the foreign trade zone or subzone, and
(2) The Customs Regulations concerning the maintenance of inventory
control and recordkeeping systems covering merchandise in the foreign
trade zone or subzone. If the principal defaults and the default
involves merchandise other than domestic merchandise for which no permit
for admission is required, the obligors (principal and surety, jointly
and severally) agree to pay liquidated damages equal to the value of the
merchandise involved in the default, or three times the value of the
merchandise involved in the default if the merchandise is restricted or
prohibited merchandise or alcoholic beverages, or such other amount as
may be authorized by law or regulation. It is understood and agreed that
whether the default involves merchandise is a determination made by
Customs, that the amount to be collected under this condition shall be
based upon the quantity and value of the merchandise as determined by
Customs, and that value as used in these provisions means value as
determined under 19 U.S.C. 1401a. If the principal defaults and the
default does not involve merchandise, the obligors agree to pay
liquidated damages of $1,000 for each default, or such other amount as
may be authorized by law or regulations.
(b) Agreement to Pay Duties, Taxes, and Charges. The obligors agree
to pay any duties, taxes, and charges found to be due on any
merchandise, properly admitted to the foreign trade zone or subzone,
which is found to be missing from the zone or cannot be accounted for in
the zone, it being expressly understood and agreed that the amount of
said duties, taxes, and charges shall be determined solely by Customs.
(c) Agreement to comply with Importer Security Filing requirements.
The principal agrees to comply with all Importer Security Filing
requirements set forth in part 149 of this chapter including but not
limited to providing security filing information to Customs and Border
Protection (CBP) in the manner and in the time period prescribed by
regulation. If the principal defaults with regard to any obligation, the
principal and surety (jointly and severally) agree to pay liquidated
damages of $5,000 for each violation.
(d) Reimbursement and Exoneration of the United States. The obligors
agree to:
(1) Exonerate the United States and its officers from any risk,
loss, or expense arising from the principal's operation of the foreign
trade zone or subzone;
(2) Pay the compensation and expenses of any Customs officer, as
required by law or regulations.
(e) Payment of Annual Fee. The principal agrees to pay timely any
annual fee or fees as provided in the Customs Regulations. If the
principal defaults, the obligors agree to pay liquidated damages equal
to the amount of the annual fee due but not paid and an amount equal to
one percent of the annual fee for each of the first seven days
[[Page 758]]
the annual fee is in arrears, two percent of the annual fee for each of
the succeeding seven days the annual fee is in arrears, and three
percent of the annual fee for each day thereafter in which the annual
fee is in arrears.
[T.D. 84-213, 49 FR 41171, Oct. 19, 1984, as amended by T.D. 86-16, 51
FR 5063, Feb. 11, 1986; T.D. 88-72, 53 FR 45902, Nov. 15, 1988; T.D. 94-
81, 59 FR 51495, Oct. 12, 1994; T.D. 01-26, 66 FR 16854, Mar. 28, 2001;
CBP Dec. 08-46, 73 FR 71781, Nov. 25, 2008]
Sec. 113.74 Bond conditions to indemnify a complainant under section
337 of Tariff Act of 1930, as amended.
A bond to indemnify a complainant under section 337 of the Tariff
Act of 1930, as amended, must contain the conditions listed in appendix
B to this part. The bond must be a single entry bond and must be filed
in accordance with the provisions set forth in 19 CFR 12.39(b)(2). For
the forfeiture or return of this bond, the provisions of 19 CFR
210.50(d) will apply.
[T.D. 00-87, 65 FR 77815, Dec. 13, 2000]
Sec. 113.75 Bond conditions for deferral of duty on large yachts
imported for sale at United States boat shows.
A bond for the deferral of entry completion and duty deposit
pursuant to 19 U.S.C. 1484b for a dutiable large yacht imported for sale
at a United States boat show must conform to the terms of appendix C to
this part. The bond must be filed in accordance with the provisions set
forth in Sec. 4.94a of this chapter.
[68 FR 13626, Mar. 20, 2003]
Appendix A to Part 113--Airport Customs Security Area Bond
Airport Customs Security Area Bond
________________________________________________________________________
(name of principal)
of______________________________________________________________________
and_____________________________________________________________________
________________________________________________________________________
(name of surety)
of______________________________________________________________________
are held and firmly bound unto the United States of America in the sum
of -------- dollars ($----), for the payment of which we bind ourselves,
our heirs, executors, administrators, successors, and assigns, jointly
and severally, firmly by these presents.
WITNESS our hands and seals this ---------------- day of ----------
--, 19----.
WHEREAS, the principal (including the principal's employees, agents,
and contractors) desires access to Customs airports security areas
located at -------- Airport during the period of one year beginning on
the ------------ day of --------------, 19----, and ending on the ------
-------- day of --------, 19----, both dates inclusive;
Now, Therefore, the Condition of this Obligation is Such That--
The principal agrees to comply with the Customs Regulations
applicable to Customs security areas at airports.
If the principal defaults on the condition of this obligation, the
principal and surety jointly and severally, agree to pay liquidated
damages of $1,000 for each default or such other amount as may be
authorized by law or regulation.
Signed, Sealed, and Delivered in the Presence of--
________________________________________________________________________
________________________________________________________________________
Name
Address
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
Name
Address
Principal (SEAL)
________________________________________________________________________
________________________________________________________________________
Name
Address
________________________________________________________________________
________________________________________________________________________
Name
Address
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
Name
Address
Surety (SEAL)
________________________________________________________________________
________________________________________________________________________
Name
Address
[54 FR 10536, Mar. 14, 1989]
Appendix B to Part 113--Bond To Indemnify Complainant Under Section 337,
Tariff Act of 1930, as Amended
This appendix contains the bond to indemnify a complainant under
section 337 of the
[[Page 759]]
Tariff Act of 1930, as amended. The provisions contained in
Sec. Sec. 12.39(b)(2) and 113.74 of the Customs Regulations (19 CFR
Chapter I) and Sec. 210.50(d) of the U.S. International Trade Commission
Regulations (19 CFR Chapter II) apply.
Bond Toto Indemnify Complainant Under Section 337, Tariff Act of 1930,
As Amended
------------ as principal and -------- as surety, are held and bound
to ------------, as the complainant in U.S. International Trade
Commission case/investigation number --------, of unfair practices or
methods of competition in import trade in violation of section 337,
Tariff Act of 1930, as amended, in the sum of -------- dollars ($------
--), for payment of which we bind ourselves, our heirs, executors,
administrators, successors, and assigns, jointly and severally, by these
conditions.
Pursuant to the provisions of section 337, Tariff Act of 1930, as
amended, the principal and surety recognize that the Commission has,
according to the conditions described in its order, excluded from, or
authorized, entry into the United States of the following merchandise --
-------------------------------------- under entry number ------------,
dated ------------.
The principal and surety recognize that the Commission has excluded
that merchandise from entry until its investigation is completed, or
until its decision that there is a violation of section 337 becomes
final.
The principal and surety recognize that certain merchandise excluded
from entry by the Commission was, or may be, offered for entry into the
United States while the Commission's prohibition is in effect.
The principal and surety recognize that the principal desires to
obtain a release of that merchandise pending a final determination of
the merchandise's admissibility into the United States, as provided
under section 337, and, for that purpose, the principal and surety
execute this stipulation:
If it is determined, as provided in section 337 of the Tariff Act of
1930, as amended, to exclude that merchandise from the United States,
then, on notification from the port director of Customs, the principal
is obligated to export or destroy under Customs supervision the
merchandise released under this stipulation within 30 days from the date
of the port director's notification.
The principal and surety, jointly and severally, agree that if the
principal defaults on that obligation, the principal and surety shall
pay to the complainant an amount equal to the face value of the bond as
may be demanded by him/her under the applicable law and regulations.
Witness our hands and seals this -------- day of ------------
(month), -------- (year).
---------------- (seal)
Principal
---------------- (seal)
Surety
[T.D. 00-87, 65 FR 77815, Dec. 13, 2000; 65 FR 80497, Dec. 21, 2000]
Appendix C to Part 113--Bond for Deferral of Duty on Large Yachts
Imported for Sale at United States Boat Shows
Bond for Deferral of Duty on Large Yachts Imported for Sale at United
States Boat Shows
--------, as principal, and --------, as surety, are held and firmly
bound to the UNITED STATES OF AMERICA in the sum of -------- dollars
($--------), for the payment of which we bind ourselves, our heirs,
executors, administrators, successors, and assigns, jointly and
severally, firmly by these conditions.
Pursuant to the provisions of 19 U.S.C. 1484b, the principal has
imported at the port of -------- a dutiable large yacht (exceeding 79
feet in length, used primarily for recreation or pleasure, and
previously sold by a manufacturer or dealer to a consumer) identified as
-------- for sale at a boat show in the United States with deferral of
entry completion and duty deposit and has executed this obligation as a
condition precedent to that deferral.
A failure to inform Customs in writing of an exportation, or to
complete the required entry, within the 6-month bond period will give
rise to a claim for liquidated damages unless the principal informs
Customs of the exportation or completes the entry within the time limits
prescribed in 19 CFR 4.94a. If the principal fails to comply with any
condition of this obligation, which includes compliance with any
requirement or condition set forth in 19 U.S.C. 1484b or 19 CFR 4.94a,
the principal and surety jointly and severally agree to pay to Customs
an amount of liquidated damages equal to twice the amount of duty on the
large yacht that would otherwise be imposed under subheading 8903.91.00
or 8903.92.00 of the Harmonized Tariff Schedule of the United States.
For purposes of this paragraph, the term duty includes any duties,
taxes, fees and charges imposed by law.
The principal will exonerate and hold harmless the United States and
its officers from or on account of any risk, loss, or expense of any
kind or description connected with or arising from the failure to store
and deliver the large yacht as required, as well as from any loss or
damage resulting from fraud or negligence on the part of any officer,
agent, or other person employed by the principal.
WITNESS our hands and seals this -------- day of -------- (month),
-------- (Year).
[[Page 760]]
________________________
(Name) (Address)
________________________
________________________________________________________________________
------------------------------ [SEAL]
(Principal)
________________________________________________________________________
------------------------------ [SEAL]
(Name) (Address)
------------------------------ [SEAL]
(Surety)
Certificate as to Corporate Principal
I, ----------, certify that I am the* ---------- of the corporation
named as principal in the attached bond; that ----------, who signed the
bond on behalf of the principal, was then ---------- of that
corporation; that I know his signature, and his signature to the bond is
genuine; and that the bond was duly signed, sealed, and attested for and
in behalf of the corporation by authority to its governing body.
------------------------------
(CORPORATE SEAL)
(To be used when no power of attorney has been filed with the port
director of customs.)
*May be executed by the secretary, assistant secretary, or other
officer of the corporation.
[68 FR 13626, Mar. 20, 2003]
Appendix D to Part 113--Importer Security Filing Bond
This appendix contains the relevant terms and conditions for
Importer Security Filing Bonds.
Importer Security Filing Bond
KNOW ALL MEN BY THESE PRESENTS, that ---------------------- of ----
------------------------, as principal having Customs and Border
Protection (CBP) Identification Number ------------ and ----------------
, as surety are held and firmly bound unto the United States of America
up to the sum of ------------ dollars ($------------) for the payment of
which we bind ourselves, our heirs, executors, administrators,
successors, and assigns, jointly and severally, firmly by these
presents.
Whereas, the named principal (including the named principal's
employees, agents and contractors) agrees to comply with all Importer
Security Filing requirements set forth in 19 CFR part 149, including but
not limited to providing security filing information to CBP in the
manner and in the time period prescribed by regulation.
If the principal defaults on the conditions of this obligation, the
principal and surety jointly and severally, agree to pay liquidated
damages of $5,000 for each violation, or such other amount as may be
authorized by law or regulation upon demand by CBP.
[Complete this paragraph only for a single transaction bond]
This single transaction bond secures the single transaction
identified by Importer Security Filing transaction number --------------
-------- issued by CBP on ------------, 20------------.
[Complete this paragraph only for a continuous bond]
This continuous bond is effective ------------, 20------------, and
remains in force for one year beginning with the effective date and for
each succeeding annual period, or until terminated. This bond
constitutes a separate bond for each period in the amount listed above
for liabilities that accrue in each period. The intention to terminate
this bond must be conveyed within the period and manner prescribed in
the CBP Regulations.
This bond is executed on ----------------, 20------------.
SIGNED, SEALED AND DELIVERED
IN THE PRESENCE OF:
________________________
(Name) (Address)
________________________
(Name) (Address)
________________________
(Principal Name) (Seal)
________________________
________________________
(Principal Address)
________________________
(Surety Name) (Seal)
Surety No. --------
________________________
________________________
________________________
(Surety Mailing Address)
Surety Agent Name______________________________________________________
Surety Agent ID Number_________________________________________________
[74 FR 68377, Dec. 24, 2009]
PART 114_CARNETS
Sec.
114.0 Scope.
Subpart A_General Provisions
114.1 Definitions.
114.2 Customs Conventions and Agreements.
114.3 Carnets.
Subpart B_Issuing and Guaranteeing Associations
114.11 Approval.
[[Page 761]]
114.12 Termination of approval.
Subpart C_Processing of Carnets
114.21 Acceptance.
114.22 Coverage of carnets.
114.23 Maximum period.
114.24 Additions.
114.25 Replacement of carnets.
114.26 Discharge, nonacceptance, or cancellation of carnets.
Subpart D_Miscellaneous
114.31 Restrictions.
114.32 Samples for taking orders.
114.33 Action against carnet user.
114.34 Cancellation of erroneous charges.
Authority: 19 U.S.C. 66, 1202 (General Note 3(i), Harmonized Tariff
Schedule of the United States), 1623, 1624.
Source: T.D. 70-134, 35 FR 9261, June 13, 1970, unless otherwise
noted.
Sec. 114.0 Scope.
This part is concerned with the use of international Customs
documents known as carnets. It also contains provisions concerning the
approval of associations to issue carnets in the United States covering
merchandise to be exported and to guarantee carnets issued abroad
covering merchandise to be imported. The carnet serves simultaneously as
a Customs entry document and as a Customs bond.
Subpart A_General Provisions
Sec. 114.1 Definitions.
The following are general definitions for the purpose of part 114:
(a) Commissioner. ``Commissioner'' means the Commissioner of
Customs.
(b) Issuing association. ``Issuing association'' means an
association approved by the Commissioner for the issue of carnets in the
Customs territory of the United States under a Customs Convention or
bilateral Agreement to which the United States has acceded.
(c) Guaranteeing association. ``Guaranteeing association'' means an
association approved by the Commissioner to guarantee the payment of
obligations under carnets covering merchandise entering the Customs
territory of the United States under a Customs Convention or bilateral
Agreement to which the United States has acceded.
(d) A.T.A. carnet. ``A.T.A. carnet'' (Admission Temporaire--
Temporary Admission) means the document reproduced as the Annex to the
Customs Convention on the A.T.A. Carnet for the Temporary Admission of
Goods (TIAS 6631).
(e) [Reserved]
(f) TIR carnet. ``TIR carnet'' (Transport International Routier)
means the document reproduced as Annex 1 to the Customs Convention on
the International Transport of Goods under Cover of TIR Carnets.
(g) TECRO/AIT Carnet. ``TECRO/AIT carnet'' means the document issued
pursuant to the Bilateral Agreement between the Taipei Economic and
Cultural Representative Office (TECRO) and the American Institute in
Taiwan (AIT) to cover the temporary admission of goods.
[T.D. 70-134, 35 FR 9261, June 13, 1970, as amended by T.D. 71-70, 36 FR
4490, Mar. 6, 1971; T.D. 82-116, 47 FR 27262, June 24, 1982; T.D. 85-
180, 50 FR 42517, Oct. 21, 1985; T.D. 98-10, 63 FR 4168, Jan. 28, 1998]
Sec. 114.2 Customs Conventions and Agreements.
The regulations in this part relate to carnets provided for in the
following Customs Conventions and Agreements:
(a) Customs Convention on the A.T.A. Carnet for the Temporary
Admission of Goods (hereinafter referred to as A.T.A. Convention).
(b) [Reserved]
(c) Customs Convention on the International Transport of Goods Under
Cover of TIR Carnets, done at Geneva on November 14, 1975, as well as
the 1959 TIR Convention, TIAS 6633.
(d) Agreement Between the Taipei Economic and Cultural
Representative Office in the United States and the American Institute in
Taiwan on TECRO/AIT Carnet for the Temporary Admission of Goods
(hereinafter referred to as the Agreement).
[T.D. 70-134, 35 FR 9261, June 13, 1970, as amended by T.D. 82-116, 47
FR 27262, June 24, 1982; T.D. 85-180, 50 FR 42517, Oct. 21, 1985; T.D.
98-10, 63 FR 4168, Jan. 28, 1998]
Sec. 114.3 Carnets.
(a) Use. A carnet issued in conformity with the provisions of a
Convention or Agreement identified in Sec. 114.2 and with
[[Page 762]]
the regulations in this part shall serve as an entry document within the
scope contemplated by the applicable Convention or Agreement and as a
bond for the performance of acts in compliance with the provisions of
such Convention or Agreement and the Customs statutes and regulations
which are involved. Such carnet shall:
(1) Show the period for which it is valid,
(2) Be fully completed in accordance with the provisions of the
Convention or Agreement which provides for its issuance, and
(3) Include an English translation whenever the goods covered by a
carnet are described in another language.
(b) Area of validity. Carnets are valid in the customs territory of
the United States which includes only the States, the District of
Columbia, and Puerto Rico.
[T.D. 71-70, 36 FR 4490, Mar. 6, 1971, as amended by T.D. 98-10, 63 FR
4168, Jan. 28, 1998]
Subpart B_Issuing and Guaranteeing Associations
Sec. 114.11 Approval.
(a) Documents to be furnished. Before an association may be approved
to serve as issuing association or guaranteeing association in the
United States with respect to carnets authorized under a Customs
Convention or Agreement to which the United States has acceded, such
association shall furnish the Commissioner a written undertaking, in a
form satisfactory to the Commissioner, to perform the functions and
fulfill the obligations specified in the Convention or Agreement under
which carnets are to be issued or guaranteed. Evidence of affiliation
with an appropriate international organization shall also be required if
affiliation with such an organization is required by the Convention or
Agreement under which carnets are to be issued or guaranteed.
(b) Publication of notice of approval. Notice of the approval of an
issuing association or a guaranteeing association with respect to a
Customs Convention or Agreement to which the United States has acceded
will be published in the Federal Register by the Commissioner.
[T.D. 70-134, 35 FR 9261, June 13, 1970, as amended by T.D. 71-70, 36 FR
4490, Mar. 6, 1971; T.D. 98-10, 63 FR 4168, Jan. 28, 1998]
Sec. 114.12 Termination of approval.
(a) For cause. The Commissioner may suspend or revoke the approval
previously given to any issuing association or guaranteeing association
for failure or refusal to comply with the duties, obligations, or
requirements set forth in its written undertaking on which the approval
was based; in the applicable Customs Convention; or in the customs
regulations; or upon termination of the affiliation with an appropriate
international organization required by Sec. 114.11(a). Before such
suspension or revocation, the Commissioner shall give the association a
reasonable opportunity to refute the alleged failure of compliance.
(b) Withdrawal. To be relieved of future obligations, an approved
guaranteeing association must notify the Commissioner, in writing, not
less than 6 months in advance of a specified termination date that it
will not guarantee the payment of obligations under carnets accepted by
district directors of Customs after the specified date. The receipt of
such notice by the Commissioner will in no way affect the responsibility
of the guaranteeing association for payment of claims on carnets
accepted by district directors before the designated termination date.
(c) Notice. Notice of the suspension or revocation of the approval
of an issuing association or a guaranteeing association, or of the
withdrawal of an approved guaranteeing association, with respect to a
Customs Convention to which the United States has acceded will be
published in the Federal Register by the Commissioner.
[T.D. 70-134, 35 FR 9261, June 13, 1970, as amended by T.D. 71-70, 36 FR
4490, Mar. 6, 1971]
Subpart C_Processing of Carnets
Sec. 114.21 Acceptance.
A carnet executed in accordance with Sec. 114.3 shall be accepted
provided that
[[Page 763]]
when the carnet is presented an association for the guaranteeing of such
carnets has been approved in accordance with Sec. 114.11 and such
approval has not been terminated as provided for in Sec. 114.12.
Sec. 114.22 Coverage of carnets.
(a) A.T.A. carnet. The A.T.A. carnet is acceptable for goods to be
temporarily entered, or temporarily entered and transported, under:
(1) The Customs Convention on the Temporary Importation of
Professional Equipment, or
(2) The International Convention to Facilitate the Importation of
Commercial Samples and Advertising Material, which includes:
(i) Commercial samples, or
(ii) Motion picture advertising films not exceeding 16 mm.,
consisting essentially of photographs (with or without sound track)
showing the nature or operation of products or equipment whose qualities
cannot be adequately demonstrated by samples or catalogs. There shall be
presented with each carnet covering motion picture advertising films a
statement showing how each of the following requirements is met. The
films must:
(A) Relate to products or equipment offered for sale or for hire by
a person established in the territory of another contracting party;
(B) Be of a kind suitable for exhibition to the public; and
(C) Be imported in a packet which contains not more than one copy of
each film and which does not form part of a larger consignment of films.
(b) [Reserved]
(c) TIR carnet--(1) Use. The TIR carnet may be accepted at any port
of entry for the transport of merchandise in road vehicles or in
containers, even if the containers, without being loaded on road
vehicles, are carried by other means of transport for part of the
journey between the customs offices of departure and destination. The
TIR carnet may also be accepted for the transport of ``heavy or bulky
goods'' as defined in Article 1 of the TIR Convention. The TIR carnet
covers the transportation of merchandise for customs purposes only. Road
vehicles transporting merchandise under cover of a TIR carnet must also
comply with all other applicable requirements of Federal and State
agencies concerned with the regulations of such vehicles and their
personnel.
(2) Taken on charge. A TIR carnet is ``taken on charge'' by Customs
when it is accepted as a transportation entry and when the shipment
covered thereby is receipted for by the bonded carrier (see
Sec. Sec. 18.1, 18.2, and 18.10(a) of this chapter). Until the carnet is
``taken on charge,'' the guaranteeing association shall have no
liability to the United States under the carnet.
(d) TECRO/AIT carnet--(1) Use. The TECRO/AIT carnet is acceptable
for the following two categories of goods to be temporarily imported,
unless importation is prohibited under the laws and regulations of the
United States:
(i) Professional equipment; and
(ii) Commercial samples and advertising material imported for the
purpose of being shown or demonstrated with a view to soliciting orders.
(2) Issue and use. (i) Issuing associations shall indicate on the
cover of the TECRO/AIT carnet the customs territory in which it is valid
and the name and address of the guaranteeing association.
(ii) The period fixed for re-exportation of goods imported under
cover of a TECRO/AIT carnet shall not in any case exceed the period of
validity of that carnet.
(e) Excess liability. When the total of duties and taxes on any
shipment covered by a carnet exceeds the amount for which the
guaranteeing association is liable, the excess constitutes a charge
against the carrier's bond.
[T.D. 70-134, 35 FR 9261, June 13, 1970, as amended by T.D. 71-70, 36 FR
4490, Mar. 6, 1971; T.D. 82-116, 47 FR 27262, June 24, 1982; T.D. 98-10,
63 FR 4168, Jan. 28, 1998]
Sec. 114.23 Maximum period.
(a) A.T.A. carnet. No A.T.A. carnet with a period of validity
exceeding 1 year from date of issue shall be accepted. This period of
validity cannot be extended.
(b) TIR carnet. A TIR carnet may be accepted without limitation as
to time provided it is initially ``taken on charge by a customs
administration (United States or foreign) within the
[[Page 764]]
period of validity shown on its front cover.''
(c) TECRO/AIT carnet. A TECRO/AIT carnet shall not be issued with a
period of validity exceeding one year from the date of issue. This
period of validity cannot be extended and must be shown on the front
cover of the carnet.
[T.D. 71-70, 36 FR 4491, Mar. 6, 1971, as amended by T.D. 82-116, 47 FR
27262, June 24, 1982; T.D. 85-180, 50 FR 42517, Oct. 21, 1985; T.D. 98-
10, 63 FR 4168, Jan. 28, 1998]
Sec. 114.24 Additions.
When an A.T.A. or TECRO/AIT carnet has been issued, no extra item
shall be added to the list of goods enumerated on the reverse of the
cover of the carnet or on any continuation sheet annexed thereto.
[T.D. 70-134, 35 FR 9261, June 13, 1970, as amended by T.D. 82-116, 47
FR 27262, June 24, 1982; T.D. 98-10, 63 FR 4168, Jan. 28, 1998]
Sec. 114.25 Replacement of carnets.
In the case of destruction, loss, or theft of an A.T.A. or TECRO/AIT
carnet while the goods which it covers are in the Customs territory of
the United States, the director of the port where such goods were
imported may, upon request of the association which issued the carnet
abroad, accept a replacement document, the validity of which expires on
the same date as that of the carnet which it replaces, provided the port
director determines that the description of merchandise in the
replacement document fully corresponds to the description set forth in
the importation voucher from the carnet to be replaced.
[T.D. 70-134, 35 FR 9261, June 13, 1970, as amended by T.D. 82-116, 47
FR 27262, June 24, 1982; T.D. 98-10, 63 FR 4168, Jan. 28, 1998]
Sec. 114.26 Discharge, nonacceptance, or cancellation of carnets.
(a) Unconditional discharge. An A.T.A. or TECRO/AIT carnet shall be
discharged unconditionally by the port director when he is satisfied
that all merchandise covered thereby is reexported or destroyed. A TIR
carnet shall be discharged unconditionally when all merchandise covered
thereby has been properly entered, placed in general order, or exported
under customs supervision. In all other cases, any discrepancy shall be
noted on the appropriate counterfoil, and action shall be taken in
accordance with Sec. 10.39 or Sec. 18.6 of this chapter.
(b) Effect of discharge. When a port director has discharged a
carnet unconditionally by completion of the appropriate counterfoil, no
claim may be brought against the guaranteeing association for payment
under the carnet unless it can be established that the discharge was
obtained improperly or fraudulently or, in the case of an A.T.A. or
TECRO/AIT carnet, that there has been a breach of the conditions of
temporary importation.
(c) Nonacceptance or cancellation of TIR carnets. If a TIR carnet
presented to Customs is not accepted, it shall be stamped ``Not Taken on
Charge'' (see Sec. 114.22(c)(2)). If merchandise not required to be
transported in bond moving under cover of a TIR carnet is not exported,
the carnet shall be stamped ``Cancelled.''
[T.D. 71-70, 36 FR 4491, Mar. 6, 1971, as amended by T.D. 82-116, 47 FR
27262, June 24, 1982; T.D. 98-10, 63 FR 4168, Jan. 28, 1998]
Subpart D_Miscellaneous
Sec. 114.31 Restrictions.
(a) Mail importations. Carnets shall not be accepted for
importations by mail.
(b) Temporary importations. Merchandise not entitled to temporary
importation under bond shall not be imported under cover of an A.T.A. or
TECRO/AIT carnet.
(c) Transportation in bond. Except as provided in Sec. 18.43 of this
chapter, merchandise not entitled to transportation in bond shall not be
transported under cover of a TIR carnet.
[T.D. 71-70, 36 FR 4491, Mar. 6, 1971, as amended by T.D. 85-180, 50 FR
42517, Oct. 21, 1985; T.D. 98-10, 63 FR 4168, Jan. 28, 1998]
Sec. 114.32 Samples for taking orders.
A.T.A. or TECRO/AIT carnets may be accepted for unaccompanied
samples and samples imported by a natural person resident in the Customs
territory of the United States, as well as for samples imported by a
natural person resident in the territory of another
[[Page 765]]
contracting party to the A.T.A. Convention or TECRO/AIT Agreement.
[T.D. 70-134, 35 FR 9261, June 13, 1970, as amended by T.D. 82-116, 47
FR 27262, June 24, 1982; T.D. 98-10, 63 FR 4168, Jan. 28, 1998]
Sec. 114.33 Action against carnet user.
In the event of fraud, violation, or abuse of the privileges of a
Convention or Agreement, action may be taken against the users of
carnets for applicable duties and charges or liquidated damages, as the
case may be. Penalties to which such persons have thereby rendered
themselves liable may also be imposed.
[T.D. 70-134, 35 FR 9261, June 13, 1970, as amended by T.D. 98-10, 63 FR
4168, Jan. 28, 1998]
Sec. 114.34 Cancellation of erroneous charges.
(a) TIR carnet. When it is determined that liquidated damages
assessed or paid for any shortage, irregular delivery, or nondelivery of
merchandise covered by a TIR carnet did not in fact accrue, the
liquidated damages shall be cancelled by the port director and, if paid,
refunded, as provided by Sec. 18.8 of this chapter.
(b) A.T.A. or TECRO/AIT carnet. When it is determined that
liquidated damages assessed or paid for failure to properly reexport or
destroy merchandise temporarily imported under cover of an A.T.A. or
TECRO/AIT carnet did not in fact accrue, the liquidated damages shall be
cancelled by the port director and, if paid, refunded as provided by
Sec. 10.39 of this chapter.
(c) Determination dependent upon a construction of law. When the
determination of whether or not the charge was erroneously made depends
upon a construction of law, the charge shall not be cancelled without
the approval of the Commissioner of Customs, unless there is in force a
ruling by the Commissioner of Customs decisive of the issue.
[T.D. 74-227, 39 FR 32023, Sept. 4, 1974, as amended by T.D. 82-116, 47
FR 27262, June 24, 1982; T.D. 98-10, 63 FR 4168, Jan. 28, 1998; T.D. 00-
57, 65 FR 53575, Sept. 5, 2000]
PART 115_CARGO CONTAINER AND ROAD VEHICLE CERTIFICATION PURSUANT TO
INTERNATIONAL CUSTOMS CONVENTIONS
Subpart A_General
Sec.
115.1 Purpose.
115.2 Application.
115.3 Definitions.
115.4 Conflicting provisions.
Subpart B_Administration
115.6 Designated Certifying Authorities.
115.7 Designation of additional Certifying Authorities.
115.8 Certifying Authorities responsibilities--road vehicles.
115.9 Certifying Authorities responsibilities--containers.
115.10 Certificate of approval.
115.11 Establishment of fees.
115.12 Records maintained by Certifying Authority.
115.13 Records to be furnished Customs.
115.14 Meeting on program.
115.15 Reports by road vehicle or container manufacturer.
115.16 Notification of Certifying Authority by manufacturer.
115.17 Appeal to Commissioner of Customs.
115.18 Decision of Commissioner of Customs final.
Subpart C_Procedures for Approval of Containers by Design Type
115.25 General.
115.26 Eligibility.
115.27 Where to apply.
115.28 Application for approval.
115.29 Plan review.
115.30 Technical requirements for containers by design type.
115.31 Examination, inspection, and testing.
115.32 Approval plates.
115.33 Termination of approval.
Subpart D_Procedures for Approval of Containers After Manufacture
115.37 General.
115.38 Application.
115.39 Eligibility.
115.40 Technical requirements for containers.
115.41 Certificate of approval for containers approved after
manufacture.
115.42 Approval plates.
115.43 Termination of approval.
[[Page 766]]
Subpart E_Procedures for Approval of Individual Road Vehicles
115.48 General.
115.49 Application.
115.50 Eligibility.
115.51 Technical requirements.
115.52 Approval.
115.53 Certificate of approval.
115.54 Renewal of certificate.
115.55 Termination of approval.
Subpart F_Procedures for Approval of Road Vehicles by Design Type
115.60 General.
115.61 Eligibility.
115.62 Where to apply.
115.63 Application for approval.
115.64 Plan review.
115.65 Technical requirements for road vehicles by design type.
115.66 Examination, inspection, and testing.
115.67 Approval certificate.
115.68 Termination of approval.
Authority: 5 U.S.C. 301, 19 U.S.C. 66, 1624; E.O. 12445 of October
17, 1983.
Source: T.D. 86-92, 51 FR 16161, May 1, 1986, unless otherwise
noted.
Subpart A_General
Sec. 115.1 Purpose.
This chapter establishes procedures for certifying containers and
road vehicles in conformance with the Customs Convention on Containers
(1956) (TIAS 6634), the Customs Convention on the International
Transport of Goods Under Cover of TIR Carnets (1959) (TIAS 6633), the
Customs Convention on the International Transport of Goods Under Cover
of TIR Carnets, November 14, 1975 (TIAS), and the Customs Convention on
Containers, 1972 (TIAS), by applying the procedures and technical
conditions set forth in the annexes to these conventions.
Sec. 115.2 Application.
(a) Certification of containers and road vehicles for international
transport under Customs seal is voluntary. This chapter does not require
certification of containers and road vehicles.
(b) The Customs Convention on the International Transport of Goods
Under Cover of TIR Carnets (TIR Convention), January 15, 1959 (20 UST
184, TIAS 6633), requires that the approval of road vehicles be made by
competent authorities of the country in which the owner or carrier is a
resident or is established, and that containers should be either
similarly approved, or approved by the competent authority of the
country where it is first used for transport under Customs seal. The
Customs Convention on Containers, May 18, 1956 (20 UST 301, TIAS 6634),
requires that the approval of containers be made by competent
authorities of the country in which the owner is a resident or is
established or by those of the country where the container is used for
the first time for transport under Customs seal. The TIR Convention,
1975, generally provides that a road vehicle, for which approval at a
stage after manufacture is desired, shall be approved by the competent
authority where the vehicle owner or operator is established or located,
or where the vehicle is registered. Such approval under the TIR
Convention, 1975, or, for containers, the Customs Convention on
Containers, 1972, may be accomplished by the competent authority of the
country in which the owner or operator is able to produce the
conveyance. The 1975 TIR Convention and the Customs Convention on
Containers, 1972, also provide that the Certifying Authority of the
country of manufacture, if that country is a contracting party to the
Convention, may approve a series of road vehicles or containers
presented for design type approval. The procedures for applying for
certification are contained in Sec. Sec. 115.28, 115.38, 115.49, and
115.63 of this part.
Sec. 115.3 Definitions.
For the purpose of this part:
(a) Certifying Authority. ``Certifying Authority'' means a nonprofit
firm or association, incorporated or established in the U.S., which the
Commissioner finds competent to carry out the functions of this part and
which he designates to certify containers and road vehicles for
international transport under Customs seal.
(b) Commissioner. ``Commissioner'' means the Commissioner of
Customs.
(c) Container. ``Container'' means an article of transport equipment
(lift van, portable tank, or other similar structure).
[[Page 767]]
(1) Fully or partially enclosed to constitute a compartment intended
for containing goods;
(2) Of a permanent character and strong enough to be suitable for
repeated use;
(3) Specifically designed to facilitate the carriage of goods by one
or more modes of transport, without intermediate reloading;
(4) Designed for ready handling, particularly its transfer from one
mode of transport to another;
(5) Designed to be easily filled and emptied; and
(6) Having an internal volume of 1 cubic meter (35.3 cubic feet) or
more.
(d) Manufacturer. ``Manufacturer'' means an organization or person
constructing containers or road vehicles for certification in accordance
with this chapter.
(e) Prototype. ``Prototype'' means a sample unit of a series of
identical containers or road vehicles all built, so far as practical,
under the same conditions.
(f) Road vehicle. ``Road Vehicle'', as defined in Chapter 1, Article
1 of the Customs Convention on the International Transport of Goods
Under Cover of TIR Carnets (TIR Convention), November 14, 1975 (TIAS),
means not only any power-driven road vehicle but also any trailer or
semi-trailer designed to be coupled to it.
(g) Customs and TIR/Container Plan. ``Customs and TIR/Container
Plan'' means the designer's drawing of a vehicle (for TIR purposes) or
container (for TIR and Container Convention purposes) that illustrates
each requirement in Sec. Sec. 115.30, 115.40, 115.51, or 15.65, as
appropriate to this part.
(h) The definitions in the subject Conventions shall be considered
applicable to terms not specifically defined above.
Sec. 115.4 Conflicting provisions.
The provisions of the most recent TIR/Container Convention shall
apply in the event of conflict between it and an earlier TIR/Container
Convention covered by these regulations.
Subpart B_Administration
Sec. 115.6 Designated Certifying Authorities.
(a) Certifying Authorities for containers and road vehicles. The
Commissioner has designated the following Certifying Authorities for
containers and road vehicles as defined in this part:
(1) The American Bureau of Shipping, ABS Plaza, 16855 Northchase
Drive, Houston, Texas 77060-6008;
(2) International Cargo Gear Bureau, Inc., 321 West 44th Street, New
York, New York 10036;
(3) The National Cargo Bureau, Inc., 17 Battery Place, Suite 1232,
New York, New York 10004-1110.
(b) Certifying Authority for containers. The Commissioner has
designated Lloyd's Register North America, Inc., 1401 Enclave Parkway,
Suite 200, Houston, Texas 77077, as a Certifying Authority only for
containers as defined in this part.
[CBP Dec. 09-27, 74 FR 36926, July 27, 2009]
Sec. 115.7 Designation of additional Certifying Authorities.
(a) The Commissioner may designate as a Certifying Authority any
nonprofit firm or association that he finds competent to carry out the
functions of Sec. Sec. 115.8 through 115.14 of this subpart.
(b) Any designation as Certifying Authority may be terminated by the
Commissioner.
Sec. 115.8 Certifying Authorities responsibilities--road vehicles.
(a) General. Road vehicles may be approved individually or by design
type.
(b) Individual approval. The Certifying Authority to whom a road
vehicle is submitted for approval shall inspect such road vehicle
produced in accordance with the general rules contained in Annex 3 of
the TIR Convention, 1975.
(c) Design type approval. The Certifying Authority to whom a road
vehicle is submitted for design type approval shall examine the drawings
and detailed design specifications submitted with the application for
approval. The Certifying Authority shall advise the applicant of any
changes that must be made to the proposed design type in order that
approval may
[[Page 768]]
be granted. The Certifying Authority shall examine one or more vehicles
to confirm that such vehicles comply with the technical conditions
contained in Annex 2 of the TIR Convention, 1975. The Certifying
Authority shall notify the applicant of its decision to grant design
type approval, and it shall issue an approval certificate complying with
Annexes 3 and 4 of the TIR Convention, 1975.
(d) Supplementary examinations. If a road vehicle approved by design
type is the subject of an extended production run under one certificate
of approval, the Certifying Authority shall confirm by examination of
one or more road vehicles during the manufacturing process, or by other
means, that such vehicles continue to meet the approved drawings and
detailed design specifications and the technical requirements of Annex 2
of the TIR Convention, 1975.
For the purposes of this section, an extended production run shall
be considered a continuous run of many units over long periods of time,
as well as a new run following the completion of a previous run.
Sec. 115.9 Certifying Authorities responsibilities--containers.
(a) General. Containers may be approved for transport under seal by
design type at the manufacturing stage or, otherwise, at a stage
subsequent to manufacture.
(b) Design type approval. The Certifying Authority to whom a
container is submitted for design type approval shall examine the
drawings and detailed design specifications submitted with the
application for approval. The Certifying Authority shall advise the
applicant of any changes that must be made to the proposed design type
so that approval may be granted. The Certifying Authority shall examine
one or more containers to confirm that such containers comply with the
technical requirements of part 1, Annex 7, TIR Convention, 1975, and
Annex 4 of the Customs Convention on Containers, 1972. The Certifying
Authority shall issue a certificate authorizing the applicant to affix
an approval plate, as described in appendix 1 to part II, Annex 7 of the
TIR Convention, 1975, and Annex 5 of the Customs Convention on
Containers, 1972, for all containers manufactured in conformity with the
specifications of the type of container approved. This certificate shall
comply with the model certificate in appendix 2, part II, Annex 7 of the
TIR Convention, 1975, and appendix 2 of Annex 5 of the Customs
Convention on Containers, 1972.
(c) After manufacture. The Certifying Authority to whom containers
are submitted for approval after manufacture, shall examine as many
containers as necessary to ascertain that they comply with the technical
conditions prescribed in part 1, Annex 7, TIR Convention, 1975, and
Annex 5 of the Customs Convention on Containers, 1972. The Certifying
Authority shall issue a certificate of approval authorizing the
applicant to affix an approval plate to the specific number or series of
containers being approved. The certificate shall comply with the model
certificate of approval in appendix 3, Part II, Annex 7, TIR Convention,
1975, and appendix 3, Annex 5, Customs Convention on Containers, 1972.
(d) Supplementary examinations. If a container approved by design
type is the subject of an extended production run or several production
runs under one certificate of approval, the Certifying Authority shall
confirm by examination of one or more containers during the
manufacturing process, or by other means, that such containers continue
to meet the approved drawings and detailed design specifications and the
technical requirements of Annex 7 of the TIR Convention, 1975, and Annex
4 of the Customs Convention on Containers, 1972. For the purposes of
this section, an extended production run shall be considered as a
continuous run of many units over long periods of time, as well as a new
run following completion of a previous run.
Sec. 115.10 Certificate of approval.
A Certifying Authority shall issue a certificate of approval by
design type for a specified number or unlimited series of containers
that are approved in accordance with the procedures contained in
Sec. Sec. 115.29, 115.31, 115.38, and
[[Page 769]]
115.41, and road vehicles that are approved in accordance with the
procedures contained in Sec. Sec. 115.49, 115.52, 115.63, and 115.66 of
this part.
(a) Road vehicles. A Certifying Authority shall issue a certificate
of approval conforming to the model in Annex 4 of the 1975 TIR
Convention for vehicles submitted for individual or design type
approval, if satisfied that the vehicles comply with the technical
conditions prescribed in Annex 2 of the TIR Convention, 1975.
(b) Containers--(1) Approval after manufacture. A Certifying
Authority shall issue a certificate of approval conforming to the model
in appendix 3, Part II to Annex 7 of the TIR Convention, 1975, and
appendix 3 to Annex 5 of the Customs Convention on Containers, 1972, for
containers approved at a stage after manufacture, when it has been
ascertained that the containers comply with the technical conditions
prescribed in Annex 7 of the TIR Convention, 1975, and Annex 4 of the
Customs Convention on Containers, 1972. The certificate shall be valid
for the number of containers approved.
(2) Design type approved. A Certifying Authority shall issue a
single certificate of approval conforming to the model in appendix 2,
Part II to Annex 7 of the TIR Convention, 1975, and appendix 2 to Annex
5 of the Customs Convention on Containers, 1972, for containers approved
by design type when it has been ascertained that the container type
complies with the technical conditions prescribed in Annex 7 of the 1975
TIR Convention, and Annex 4 of the Customs Convention on Containers,
1972. The certificate shall be valid for all containers manufactured in
conformity with the specifications of the type approved.
(c) Provisions common to both approval procedures. The certificate
of approval issued pursuant to paragraphs (a) and (b) of this section
shall be valid for either the specific number of containers approved, or
for an unlimited series of containers of the approved type.
Sec. 115.11 Establishment of fees.
(a) Each Certifying Authority shall establish and file with the
Commissioner a schedule of fees for the performance of the certification
procedures under this chapter. The fees shall be based on the costs
(including transportation expense) actually incurred by the Certifying
Authority. The fees are subject to approval by the Commissioner before
their use by the Certifying Authority.
(b) Each Certifying Authority shall make available a schedule of its
fees approved by the Commissioner. In addition, the schedules of
approved fees for all the Certifying Authorities are available from the
Headquarters, U.S. Customs Service, Office of Field Operations, 1300
Pennsylvania Avenue, NW., Washington, DC 20229.
[T.D. 86-92, 51 FR 16161, May 1, 1986, as amended by T.D. 99-27, 64 FR
13675, Mar. 22, 1999]
Sec. 115.12 Records maintained by Certifying Authority.
(a) Each Certifying Authority shall maintain--
(1) A copy of each individual certificate of approval issued,
together with a copy of the plans and the application to which the
approval refers, along with any information submitted by the
manufacturer and/or owner or operator for the certification of a
container or a road vehicle.
(2) A record of each serial number assigned and affixed by the
manufacturer to the road vehicles and containers manufactured under a
design type approval, and containers approved at a stage after
manufacture.
(b) The Commissioner may examine the Certifying Authority's files
required by paragraph (a) of this section.
Sec. 115.13 Records to be furnished Customs.
Each Certifying Authority shall furnish the Headquarters, U.S.
Customs Service, Office of Field Operations, 1300 Pennsylvania Avenue,
NW., Washington, DC 20229, unless waived by Customs;
(a) A copy of each issued certificate of approval for containers and
road vehicles and a copy of the plans and application to which the
approval refers;
[[Page 770]]
(b) A copy of each issued individual approval for a container or
road vehicle.
[T.D. 86-92, 51 FR 16161, May 1, 1986, as amended by T.D. 99-27, 64 FR
13675, Mar. 22, 1999]
Sec. 115.14 Meeting on program.
If determined necessary by Customs, each Certifying Authority's
representative for certification functions shall meet, after notice,
with the Commissioner to review their administration of the
certification program.
Sec. 115.15 Reports by road vehicle or container manufacturer.
Each manufacturer shall forward to the appropriate Certifying
Authority, quarterly or when otherwise requested by that Authority:
(a) The registration number or other identifying information on road
vehicles, or serial numbers assigned to containers manufactured under a
certificate of approval by design type; and
(b) An attestation that each road vehicle or container to which a
serial number was assigned was manufactured in full compliance with the
certificate of approval by design type.
Sec. 115.16 Notification of Certifying Authority by manufacturer.
In order that the Certifying Authority can schedule an appropriate
inspection, a manufacturer shall give notification to that Authority
before each production run of road vehicles or containers to be built
pursuant either to plans approved by the Certifying Authority, or
revised plans (approved or unapproved).
Sec. 115.17 Appeal to Commissioner of Customs.
(a) Any manufacturer, carrier, or owner may, within 30 days after he
has been notified by a Certifying Authority of an adverse determination,
including any review provided, appeal that determination to the
Commissioner.
(b) Any determination which is appealed remains in effect pending a
decision by the Commissioner.
Sec. 115.18 Decision of Commissioner of Customs final.
The decision of the Commissioner on any matter appealed to him is
final.
Subpart C_Procedures for Approval of Containers by Design Type
Sec. 115.25 General.
The Certifying Authority shall, at the request of a manufacturer,
evaluate containers for approval by design type during the manufacturing
stage.
Sec. 115.26 Eligibility.
Any manufacturer of containers to be manufactured in a type series
from standard design and specifications so that each container has
identical characteristics, may apply for approval by design type.
Sec. 115.27 Where to apply.
A manufacturer may apply for approval of a container by design type
to a Certifying Authority of the country in which the container is
manufactured if such country is a contracting party to the TIR
Convention, 1975, or the Customs Convention on Containers, 1972.
Sec. 115.28 Application for approval.
Each application by a manufacturer or an owner for certification of
a container by design type must include:
(a) Three copies, each no larger than 3 feet by 4 feet, of the
customs and TIR/Container plan;
(b) Customs and TIR/Container plan number;
(c) Three copies of the specifications which include the following
information:
(1) The name and address of the manufacturer and the owner; and
(2) A description of the container including the--
(i) Type of construction;
(ii) Dimensions;
(iii) Material of construction;
(iv) Coating system used;
(v) Identification marks and numbers; and
(vi) Tare weight;
(d) The location and date for inspection; and
[[Page 771]]
(e) A statement signed by the manufacturer that:
(1) A container of the design type concerned is available for
inspection and approval by the Certifying Authority before, during, and
after the production run;
(2) Notification will be given to the Certifying Authority of each
change in the design before adoption; and
(3) Each container will be marked with:
(i) The metal plate required in Sec. 115.32;
(ii) The identification number or letter of the design type assigned
by the manufacturer; and
(iii) The serial number of the container assigned by the
manufacturer.
Sec. 115.29 Plan review.
(a) A manufacturer or owner who wants containers to be approved by
design type must submit the plans and specifications for the container
to the Certifying Authority.
(b) The Certifying Authority examining the plans and specifications
submitted in accordance with paragraph (a) of this section shall:
(1) Approve the plans and specifications in accordance with the
requirements of Sec. 115.30 and arrange to inspect a container in
accordance with Sec. 115.31; or
(2) Advise the applicant of any necessary changes to be made for
compliance with the requirements of Sec. 115.30.
(c) If changes in the design of the container are made during
production but after approval of the plans and specifications by the
Certifying Authority and furnish it with ``as-built'' drawings of the
container so that the plans can be reviewed and one or more containers
inspected during the production stage to confirm that they continue to
comply with the requirements of Sec. 115.30.
Sec. 115.30 Technical requirements for containers by design type.
The plans and specifications of a container submitted in accordance
with the requirements contained in Sec. 115.29, and the one or more
containers inspected in accordance with the requirements of Sec. 115.31,
must comply with the requirements of Annex 7 of the Customs Convention
on the International Transport of Goods Under Cover of TIR Carnets (TIR
Convention), November 14, 1975 (TIAS), and Annex 4 of the Customs
Convention on Containers (Container Convention), December 2, 1972.
Copies of Annex 7 and Annex 4 may be obtained from the Headquarters,
U.S. Customs Service, Office of Field Operations, 1300 Pennsylvania
Avenue, NW., Washington, DC 20229.
[T.D. 86-92, 51 FR 16161, May 1, 1986, as amended by T.D. 99-27, 64 FR
13675, Mar. 22, 1999]
Sec. 115.31 Examination, inspection, and testing.
(a) Before the issuance of a certificate of approval by design type,
the Certifying Authority shall:
(1) Make a physical examination of one or more containers of the
production series concerned;
(2) Assure itself as to the adequacy of the manufacturer's system to
control quality of materials used, manufacturing methods, and finished
containers; and
(3) Require the manufacturer to make available to the Certifying
Authority records of material, including affidavits furnished by
suppliers.
(b) The Certifying Authority shall conduct such examinations,
inspections, and tests of the production run containers as it deems
necessary.
Sec. 115.32 Approval plates.
The manufacturer shall affix, in a clearly visible place on or near
one of the doors or other main openings of each container manufactured
to the approved design, a metal approval plate measuring at least 20 by
10 centimeters (7.8 by 3.9 inches). The following shall be embossed on
or stamped into the surface of the approval plate:
(a) ``Approved for transport under Customs seal.''
(b) ``USA/(number of the certificate of approval)/(last two digits
of year of approval).'' (e.g. ``USA/1600/84'' means ``United States of
America certificate of approval number 1600, issued in 1984).'' A two
digit alpha suffix may be added to the certificate of approval number to
identify the Certifying Authority, e.g., USA/1600-AB/85, USA/1600-IB/85.
[[Page 772]]
(c) Identification of the type of container and of the number of the
container in the type series.
(d) The serial number assigned to the container by the manufacturer
(manufacturer's number).
Sec. 115.33 Termination of approval.
Any container, the essential features of which are changed, shall no
longer be covered by the design type approval. Such a container may be
made available to a Certifying Authority for inspection and individual
approval in accordance with subpart D of the part. However, repairs in
kind do not constitute a change of the essential features.
Subpart D_Procedures for Approval of Containers After Manufacture
Sec. 115.37 General.
This subpart provides for the approval and certification of
containers after manufacture, and for those altered so as to void their
design type approval.
Sec. 115.38 Application.
A written request for approval of a container after manufacture may
be made by the owner or operator to a Certifying Authority and must
include the following:
(a) Three copies, each no longer than 3 feet by 4 feet, of the
Customs and TIR/Container plan;
(b) Customs and TIR/Container plan number;
(c) Three copies of the specifications which include the following
information:
(1) Type of container;
(2) Name and business address of applicant;
(3) Identification marks and numbers;
(4) Tare weight;
(5) Nominal overall dimensions in centimeters;
(6) Type of construction and essential particulars of structure
(nature of materials, coating system used, parts which are reinforced,
whether bolts are riveted or welded, and similar matters); and
(7) Proposed location and date for inspection of the container.
Sec. 115.39 Eligibility.
The owner or operator may submit containers to be approved after the
manufacturing stage to:
(a) The Certifying Authority of the country of manufacture if such
country is a contracting party to the Convention.
(b) The Certifying Authority of the country where the owner or
operator is resident or established, when such Certifying Authority has
representatives located in the country of manufacture, which is a
noncontracting party to the Convention.
(c) The Certifying Authority of the country where a container is
used for the first time for transport of merchandise under Customs seal
or where it is otherwise physically located.
Sec. 115.40 Technical requirements for containers.
A container that is submitted for inspection for approval after
manufacture, must comply with the requirements of Annex 7 of the Customs
Convention on the International Transport of Goods Under Cover of TIR
Carnets (TIR Convention), November 14, 1975 (TIAS) and Annex 4 of the
Customs Convention on Containers (Container Convention), December 2,
1972. Copies of Annex 7 and Annex 4 may be obtained from the
Headquarters, U.S. Customs Service, Office of Field Operations, 1300
Pennsylvania Avenue, NW., Washington, DC 20229.
[T.D. 86-92, 51 FR 16161, May 1, 1986, as amended by T.D. 99-27, 64 FR
13675, Mar. 22, 1999]
Sec. 115.41 Certificate of approval for containers approved after
manufacture.
The Certifying Authority shall issue an individual certificate of
approval for each container that meets the requirements in Sec. 115.40.
Sec. 115.42 Approval plates.
(a) The owner or operator applicant shall, upon receipt of a
certificate of
[[Page 773]]
approval from the Certifying Authority, affix an approval plate in the
manner specified for containers approved by design type (see
Sec. 115.32).
(b) Although an entry is not required in the space provided for type
identifiers on an approval plate for containers approved after
manufacture, identification number and letters indicating that a series
of containers comply with the same specifications may be placed in such
space. This may be used to assist in the identification of a series of
containers in which a common defect may be discovered subsequent to
certification. In such case the approval number on the plate shall be
altered by an addition to the second or third element of such number.
The specific method of altering the approval number may be established
by each Certifying Authority, for containers approved by it, and
communicated to the U.S. Customs Service.
(c) Two possible methods of accomplishing this are:
(1) Placing an ``X'' in front of the numeric portion of the middle
element of the approval number, e.g., USA/X123-IB/85.
(2) Placing a suffix at the end of the approval number, e.g, USA/
123-AB/85-01.
Sec. 115.43 Termination of approval.
Approval of a container terminates upon a change in the container by
a major repair or alteration of any of the essential features required
in Sec. 115.40. Repairs by replacement in kind do not constitute a
change of the essential features.
Subpart E_Procedures for Approval of Individual Road Vehicles
Sec. 115.48 General.
This subpart provides for the approval and certification of
individual road vehicles that comply with the technical requirements in
Sec. 115.51.
Sec. 115.49 Application.
A written request for approval of an individual road vehicle may be
made by the owner, or carrier to a Certifying Authority and must
include:
(a) Three copies, each no larger than 3 feet by 4 feet, of the
Customs and TIR plan;
(b) Customs and TIR plan number;
(c) Three copies of the specifications which include the following
information:
(1) Type of vehicle;
(2) Name and business address of owner or operator;
(3) Name of the manufacturer;
(4) Chassis number;
(5) Engine number (if applicable);
(6) Registration number;
(7) Particulars of construction;
(8) Any photos or diagrams required by the Certifying Authority to
facilitate approval; and
(9) A proposed place and date for inspection of the road vehicle.
Sec. 115.50 Eligibility.
A road vehicle may be submitted for inspection by its owner or
operator to a Certifying Authority of the country in which the owner or
operator is a resident or is established, or where the vehicle is
registered.
Sec. 115.51 Technical requirements.
A road vehicle that is submitted for inspection for individual
approval must comply with the requirements of Annex 2 of the Customs
Convention on the International Transport of Goods Under Cover of TIR
Carnets (TIR Convention), November 14, 1975, (TIAS). Copies of Annex 2
may be obtained from the Headquarters, U.S. Customs Service, Office of
Field Operations, 1300 Pennsylvania Avenue, NW., Washington, DC 20229.
[T.D. 86-92, 51 FR 16161, May 1, 1986, as amended by T.D. 99-27, 64 FR
13675, Mar. 22, 1999]
Sec. 115.52 Approval.
The Certifying Authority shall issue a certificate of approval,
valid for 2 years, to each road vehicle that complies with the
applicable requirements in Sec. 115.51.
Sec. 115.53 Certificate of approval.
A certificate of approval must be kept on the vehicle as evidence of
approval.
[[Page 774]]
Sec. 115.54 Renewal of certificate.
A certificate of approval may be renewed if the Certifying Authority
determines by inspection every 2 years that the vehicle continues to
comply with the applicable requirements in Sec. 115.51.
Sec. 115.55 Termination of approval.
Approval of a road vehicle terminates:
(a) Upon expiration of the certificate of approval; or
(b) Upon a change in the road vehicle by a major repair or
alteration of any of the essential features required in Sec. 115.51.
Repairs by replacement in kind do not constitute a change of the
essential features.
Subpart F_Procedures for Approval of Road Vehicles by Design Type
Sec. 115.60 General.
This subpart provides for the approval and certification of road
vehicles manufactured by design type.
Sec. 115.61 Eligibility.
Any manufacturer of road vehicles which are being manufactured in a
type series from a standard design and specifications, so that each road
vehicle has identical characteristics, may apply for an approval by
design type.
Sec. 115.62 Where to apply.
A manufacturer may apply for approval of a road vehicle by design
type to a Certifying Authority of the country in which the road vehicle
is manufactured, if such country is a contracting party to the TIR
Convention, 1975.
Sec. 115.63 Application for approval.
Each application by a manufacturer for certification of a road
vehicle by design type must include:
(a) Three copies, each no larger than 3 feet by 4 feet, of the
Customs and TIR plan;
(b) Customs and TIR plan number;
(c) Three copies of the specifications which include the following
information:
(1) The name and address of the manufacturer and the owner; and
(2) A description of the road vehicle including the:
(i) Particulars of construction;
(ii) Dimensions;
(iii) Construction materials; and
(iv) Marks and numbers, including chassis, engine, and registration
numbers.
(d) A statement signed by the manufacturer that:
(1) It will present vehicles of the type concerned to the Certifying
Authority which that Authority may wish to examine;
(2) Permit the Certifying Authority to examine further units at any
time during or after the production run;
(3) Notify the Certifying Authority of each change in the design or
specifications before adoption;
(4) Mark the road vehicles in a visible place with the
identification number or letters of the design type and the serial
number of the vehicle in the type series manufacturer's number; and
(5) Keep a record of vehicles manufactured according to the design
type.
Sec. 115.64 Plan review.
(a) A manufacturer or owner who wants road vehicles to be approved
by design type must submit the plans and specifications of the road
vehicles to the Certifying Authority.
(b) The Certifying Authority that examines the plans and
specifications submitted in accordance with paragraph (a) of this
section shall:
(1) Approve the plans and specifications in accordance with the
requirements of Sec. 115.65 and arrange to inspect a road vehicle in
accordance with Sec. 115.66; or
(2) Advise the applicant of any necessary changes to be made for
compliance with the requirements of Sec. 115.65.
(c) If changes in design of the road vehicle are made during
production but after approval of the plans and specifications by the
Certifying Authority, the manufacturer shall immediately notify the
Certifying Authority and furnish it with ``as-built'' drawings of the
road vehicle so that the plans can be reviewed and one or more road
vehicles inspected during the production stage to confirm that they
continue to
[[Page 775]]
comply with the requirements of Sec. 115.65.
Sec. 115.65 Technical requirements for road vehicles by design type.
The plans and specifications of a road vehicle that are submitted in
accordance with the requirements contained in Sec. 115.64, and the one
or more road vehicles that are inspected in accordance with the
requirements of Sec. 115.66, must comply with the requirements of Annex
2 of the Customs Convention on the International Transport of Goods
Under Cover of TIR Carnets (TIR Convention), November 14, 1975 (TIAS).
Copies of Annex 2 may be obtained from the Headquarters, U.S. Customs
Service, Office of Field Operations, 1300 Pennsylvania Avenue, NW.,
Washington, DC 20229.
[T.D. 86-92, 51 FR 16161, May 1, 1986, as amended by T.D. 99-27, 64 FR
13675, Mar. 22, 1999]
Sec. 115.66 Examination, inspection, and testing.
(a) Before the issuance of a certificate of approval by design type,
the Certifying Authority shall:
(1) Make a physical examination of one or more vehicles of the
production series concerned;
(2) Assure itself as to the adequacy of the manufacturer's system to
control quality of materials used, manufacturing methods, and finished
road vehicles; and
(3) Require the manufacturer to make available to the Certifying
Authority records of materials, including affidavits furnished by
suppliers.
(b) The Certifying Authority shall conduct such examinations,
inspections, and testing of the production run road vehicles as it deems
necessary.
Sec. 115.67 Approval certificate.
The holder of the approval certificate shall, before using the
vehicle for the carriage of goods under the cover of a TIR Carnet, fill
in as may be required on the approval certificate:
(a) The registration number given to the vehicle (item No. 1); or
(b) In the case of a vehicle not subject to registration,
particulars of his name and business address (item No. 8). (See Annex 4
of the Convention for model of certificate of approval.)
Sec. 115.68 Termination of approval.
Any road vehicle whose essential features are changed shall no
longer be covered by the design type approval. Such a road vehicle may
be made available to a Certifying Authority for inspection and
individual approval in accordance with subpart E of this part. However,
repairs in kind do not constitute a change of the essential features.
PART 118_CENTRALIZED EXAMINATION STATIONS
Sec.
118.0 Scope.
Subpart A_General Provisions
118.1 Definition.
118.2 Establishment of a CES.
118.3 Written agreement.
118.4 Responsibilities of a CES operator.
118.5 Procedures for changes to a fee schedule.
Subpart B_Application To Establish a CES
118.11 Contents of application.
118.12 Action on application.
118.13 Notification of selection or nonselection.
Subpart C_Termination of a CES
118.21 Temporary suspension; permanent revocation of selection and
cancellation of agreement to operate a CES.
118.22 Notice of immediate suspension or proposed revocation and
cancellation action.
118.23 Appeal to the Assistant Commissioner; procedure; status of CES
operations.
Authority: 19 U.S.C. 66, 1499, 1623, 1624; 22 U.S.C. 401; 31 U.S.C.
5317.
Source: T.D. 93-6, 58 FR 5604, Jan. 22, 1993, unless otherwise
noted.
Sec. 118.0 Scope.
This part sets forth regulations providing for the making of
agreements between Customs and persons desiring to operate a centralized
examination station (CES). It covers the application process, the
responsibilities of the person or entity selected to be a CES operator,
the written agreement to operate
[[Page 776]]
a CES facility, the port director's discretion to immediately suspend a
CES operator's or entity's selection and the written agreement to
operate the CES or to propose the permanent revocation of a CES
operator's or entity's selection and cancellation of the written
agreement for specified conduct, and the appeal procedures to challenge
an immediate suspension or proposed revocation and cancellation action.
Procedures and requirements for the transfer of merchandise to a CES are
set forth in part 151 of this chapter.
[T.D. 93-6, 58 FR 5604, Jan. 22, 1993; 58 FR 6574, Jan. 29, 1993, as
amended by T.D. 96-57, 61 FR 39070, July 26, 1996]
Subpart A_General Provisions
Sec. 118.1 Definition.
A centralized examination station (CES) is a privately operated
facility, not in the charge of a Customs officer, at which merchandise
is made available to Customs officers for physical examination. A CES
may be established in any port or any portion of a port, or any other
area under the jurisdiction of a port director. To present outbound
cargo for inspection at a CES at a port other than the shipment's
designated port of exit, either proof of the shipper's consent to the
inspection must be furnished or a complete set of transportation
documents must accompany the shipment to evidence that exportation of
the goods is imminent and that the goods are committed to export,
thereby, making them subject to Customs examination.
[T.D. 93-6, 58 FR 5604, Jan. 22, 1993, as amended by T.D. 98-29, 63 FR
16684, Apr. 6, 1998]
Sec. 118.2 Establishment of a CES.
When a port director makes a preliminary determination that a new
CES should be established, or when the term of an existing CES is about
to expire and the port director believes that the need for a CES still
exists, he will announce, by written notice posted at the customhouse
and by any other written methods he may consider appropriate (such as
normal port information distribution channels, trade bulletins or local
newspapers), that applications to operate a CES are being accepted. This
notice will include the general criteria together with any local
criteria that applicants must meet (see Sec. 118.11 of this part), and
will invite the public to submit any relevant written comments on
whether a new CES should be established or on whether there is still a
need for a CES. Applications will be accepted only in response to the
port notice and must be received within 60 calendar days from the date
of the notice. Public comments must be received within 30 calendar days
from the date of the notice.
Sec. 118.3 Written agreement.
The applicant tentatively selected to operate a CES must sign a
written agreement with CBP before commencing operations. Failure to
execute a written agreement with CBP in a timely manner will result in
the revocation of that applicant's tentative selection and may result in
tentative selection of another applicant or republication of the notice
soliciting applications. In addition to the provisions described
elsewhere in this part, the agreement will specify the duration of the
authority to operate the CES. That duration will be not less than three
years nor more than five years. Such agreements cannot be transferred,
sold, inherited, or conveyed in any manner. At the expiration of the
agreement, an operator wishing to reapply may do so pursuant to this
part and his application will be considered de novo.
[T.D. 93-6, 58 FR 5604, Jan. 22, 1993, as amended at CBP Dec. 10-29, 75
FR 52452, Aug. 26, 2010]
Sec. 118.4 Responsibilities of a CES operator.
By signing the agreement and commencing operation of a CES, an
operator agrees to:
(a) Maintain the facility designated as the CES in conformity with
the security standards as outlined in the approved application;
(b) Provide adequate personnel and equipment to ensure reliable
service for the opening, presentation for inspection, and closing of all
types of cargo designated for examination by Customs. Such service must
be provided on a ``first come-first served'' basis;
[[Page 777]]
(c) Assess service fees as outlined in the fee schedule included in
the approved application or as changed under Sec. 118.5 of this part and
bill users directly for services rendered;
(d) Assume responsibility for any charges or expenses incurred in
connection with the operation of the CES;
(e) Maintain, at his own expense, adequate liability insurance with
respect to the property within his control and with respect to persons
having access to the CES;
(f) Keep current the list filed with the port director pursuant to
Sec. 118.11(f) of this part. Additions to or deletions from the list
must be submitted in writing to the port director within 10 calendar
days of the commencement or termination of employment;
(g) Maintain a Customs custodial bond in an amount set by the port
director. The CES operator will accept and keep safe all merchandise
delivered to the CES for examination. The bond will include liability
for transporting merchandise to the CES from within the district
boundaries (see definition of ``district'' at Sec. 112.1); such
liability is assumed by the CES operator when he picks up merchandise
for transportation to his facility. The operator also agrees to increase
the amount of the bond if deemed appropriate by the port director.
(h) Maintain and make available for Customs examination all records
connected with the operation of the CES in accordance with part 162 of
this chapter and retain such records for a period of not less than five
years from the date of the transaction or examination conducted pursuant
to the agreement to operate the CES;
(i) Submit, if requested by Customs, the fingerprints of all
employees involved in the CES operation;
(j) Provide office space, parking spaces, appropriate sanitary
facilities, and potable water to Customs personnel at no charge or a
charge of $1 per year; and
(k) Perform in accordance with any other reasonable requirements
imposed by the port director.
(l) Provide transportation for merchandise to the CES from within
the district boundaries (see definition of ``district'' at Sec. 112.1).
This responsibility is optional. If the CES operator chooses to provide
transportation, he shall receipt for the merchandise when he picks it up
and assume liability for the merchandise at that time.
[T.D. 93-6, 58 FR 5604, Jan. 22, 1993, as amended by T.D. 94-81, 59 FR
51495, Oct. 12, 1994; T.D. 95-77, 60 FR 50020, Sept. 27, 1995; T.D. 98-
29, 63 FR 16684, Apr. 6, 1998]
Sec. 118.5 Procedures for changes to a fee schedule.
Whenever a CES operator intends to increase, add to or otherwise
change the service fees set forth in the fee schedule referred to in
Sec. 118.4(c) of this part, the operator shall provide 90 calendar days
advance written notice to the port director of such proposed fee
schedule change and shall include in the notice a justification for any
increased or additional fee. Following receipt of this written notice,
the port director will advise the public of the proposed fee schedule
change and invite comments thereon under the public notice and comment
procedures set forth in Sec. 118.2 of this part. After a review of the
proposed fee schedule change and any public comments thereon, and based
on the principle of comparability set forth in Sec. 118.11(c) of this
part, the port director will decide whether to approve the change, will
notify the CES operator in writing of his decision, and will notify the
public of any approved fee schedule change by the same methods that were
used to provide the public with notice of the proposed change. A CES
operator shall remain bound by the existing fee schedule and shall not
implement any fee schedule change prior to receipt of written approval
of the change from the port director.
Subpart B_Application To Establish a CES
Sec. 118.11 Contents of application.
Each application to operate a CES shall consist of the following
information, any application not providing all of the specified
information will not be considered, and the responses to paragraphs (b),
(c), (d), (g) and (h) of this section shall constitute the criteria used
to judge the application:
(a) The name and address of the facility to be operated as the CES,
the
[[Page 778]]
names of all principals or corporate officers, and the name and
telephone number of an individual to be contacted for further
information;
(b) A description of the CES's accessibility within the port or
other location, and a floor plan of the facility actually dedicated to
the CES operation showing bay doors, office space, exterior features,
security features, and staging and work space. Where a significant
capital expenditure would be required in order for an existing facility
to meet security or other physical or equipment requirements necessary
for the CES operation, the applicant may request in the application time
to conform the facility to such requirements. The agreement referred to
in Sec. 118.3 of this part shall not be executed, in any event, until
the facility is conformed to meet the requirements;
(c) A schedule of fees clearly showing what the applicant will
charge for each type of service. Subject to any special costs incurred
by the applicant such as facility modifications to meet specific cargo
handling or storage requirements or to meet Customs security standards,
the fees set forth in the schedule shall be comparable to fees charged
for similar services in the area to be served by the CES;
(d) A detailed list of equipment showing that the applicant can make
a diverse variety of cargo available for examination in an efficient and
timely manner;
(e) A copy of an approved custodial bond on Customs Form 301. If the
applicant does not possess such a bond, a completed Customs Form 301
must be included with the application for approval as a prerequisite to
selection;
(f) A list of all employees involved in the CES operation setting
forth their names, dates of birth, and social security numbers.
(Providing social security numbers is voluntary; however, failure to
provide the number may hinder the investigation process.);
(g) Any information showing the applicant's experience in
international cargo operations and knowledge of Customs procedures and
regulations; and
(h) Any other information to address any local criteria that the
port director considers essential to the selection process based on port
conditions.
[T.D. 93-6, 58 FR 5604, Jan. 22, 1993; 58 FR 6574, Jan. 29, 1993, as
amended by T.D. 98-29, 63 FR 16684, Apr. 6, 1998]
Sec. 118.12 Action on application.
Following submission of all applications in accordance with
Sec. Sec. 118.2 and 118.11 of this part, the port director will advise
the public of the applications received and invite comments thereon
under the public notice and comment procedures set forth in Sec. 118.2;
with regard to each application, the notice will set forth the name of
the applicant, the address of the facility proposed to be operated as
the CES, the proposed fee schedule, the list of equipment at the
facility, and the number of employees to be involved in the CES
operation. The port director, based on a review of all applications
under the criteria set forth in Sec. 118.11 and any public comments
submitted under Sec. 118.2 or this section, shall determine whether a
CES operator should be selected and, if a CES operator is to be
selected, shall select the applicant that will best meet the examination
needs of Customs and facilitate the movement of merchandise.
[T.D. 93-6, 58 FR 5604, Jan. 22, 1993, as amended by T.D. 99-64, 64 FR
43266, Aug. 10, 1999]
Sec. 118.13 Notification of selection or nonselection.
The applicant selected to operate a CES will be notified in writing
by the port director of his tentative selection. The selection shall
become final upon execution of the written agreement between Customs and
the applicant under Sec. 118.3 of this part, and the port director will
advise the public of the final selection and of the date on which the
CES will commence operation under the agreement in accordance with the
notice procedures set forth in Sec. 118.2 of this part. Each applicant
not selected to be a CES operator will be so notified in writing and
with a statement of the reason of nonselection.
[[Page 779]]
Subpart C_Termination of a CES
Sec. 118.21 Temporary suspension; permanent revocation of selection and
cancellation of agreement to operate a CES.
The port director may immediately suspend or propose permanent
revocation and cancellation of CES operations for cause as provided in
this section.
(a) Immediate suspension. The port director may immediately suspend,
for a temporary period of time or until revocation and cancellation
proceedings are concluded pursuant to Sec. 118.23, a CES operator's or
entity's selection and the written agreement to operate the CES if:
(1) The selection and written agreement were obtained through fraud
or the misstatement of a material fact; or
(2) The CES operator or an officer of a corporation which is a CES
operator or a person the port director determines is exercising
substantial ownership or control over such operator or officer is
indicted for, convicted of, or has committed acts, which would
constitute a felony, or a misdemeanor involving theft or a theft-
connected crime. In the absence of an indictment or conviction, the port
director must have probable cause to believe the proscribed acts
occurred.
(b) Proposed revocation and cancellation. The port director may
propose to revoke the selection as operator and cancel the agreement to
operate a CES if:
(1) The CES operator refuses or otherwise fails to follow any proper
order of a Customs officer or any Customs order, rule, or regulation
relative to the operation of a CES, or fails to operate in accordance
with the terms of his agreement or to comply with any of the provisions
of Sec. 118.4 of this part;
(2) The CES operator fails to retain merchandise which has been
designated for examination;
(3) The CES operator does not provide secure facilities or properly
safeguard merchandise within the CES;
(4) The CES operator fails to furnish a current list of names,
addresses and other information required by Sec. 118.4 of this part; or
(5) The custodial bond required by Sec. 118.4 of this part is
determined to be insufficient in amount or lacking sufficient sureties,
and a satisfactory new bond with good and sufficient sureties is not
furnished within a reasonable time.
(6) The CES operator or an officer of a corporation which is a CES
operator or a person the port director determines is exercising
substantial ownership or control over such operator or officer is
indicted for, convicted of, or has committed acts, which would
constitute any of the offenses listed under paragraph (a) of this
section. Where adverse action is initiated by the port director pursuant
to paragraph (a) of this section and continued under this paragraph, the
suspension of CES activities remains in effect through the appeal
procedures provided under Sec. 118.23.
(c) Circumstance of change in employment not a bar to adverse
action. Any change in the employment status of a corporate officer (for
example, discharge, resignation, demotion, or promotion) prior to
indictment or conviction or after committing any acts which would
constitute the culpable behavior described under paragraph (a) of this
section, will not preclude application of this section, but may be taken
into account by the port director in exercising discretion to take
adverse action. If the person whose employment status changed remains in
a substantial ownership, control, or beneficial relationship with the
CES operator, this factor will also be considered in exercising
discretion under this section.
[T.D. 93-6, 58 FR 5604, Jan. 22, 1993; 58 FR 6574, Jan. 29, 1993, as
amended by T.D. 96-57, 61 FR 39071, July 26, 1996]
Sec. 118.22 Notice of immediate suspension or proposed revocation and
cancellation action.
Adverse action pursuant to the provisions of Sec. 118.21(a) or (b)
is initiated when the port director serves written notice on the
operator or entity selected to operate the CES. The notice shall be in
the form of a statement specifically setting forth the grounds for the
adverse action and shall inform the
[[Page 780]]
operator of the appeal procedures under Sec. 118.23 of this part.
[T.D. 96-57, 61 FR 39071, July 26, 1996]
Sec. 118.23 Appeal to the Assistant Commissioner; procedure; status of
CES operations.
(a) Appeal to the Assistant Commissioner. Appeal of a port
director's decision under Sec. 118.21(a) or (b) must be filed with the
Assistant Commissioner, Office of Field Operations, within 10 calendar
days of receipt of the written notice of the adverse action. The appeal
shall be filed in duplicate and shall set forth the CES operator's or
entity's responses to the grounds specified by the port director in his
written notice letter for the adverse action initiated. The Assistant
Commissioner, Office of Field Operations, or his designee, shall render
a written decision to the CES operator or entity, stating the reasons
for the decision, by letter mailed within 30 working days following
receipt of the appeal, unless the period for decision is extended with
due notification to the CES operator or entity.
(b) Status of CES operations during appeal. During this appeal
period, an immediate suspension of a CES operator's or entity's
selection and written agreement pursuant to Sec. 118.21(a) of this part
shall remain in effect. A proposed revocation of a CES operator's or
entity's selection and cancellation of the written agreement pursuant to
Sec. 118.21(b)(1) through (5) of this part shall not take effect unless
the appeal process under this paragraph has been concluded with a
decision adverse to the operator.
(c) Effect of suspension or revocation. Once a suspension or
revocation action takes effect, the CES operator must cease CES
operations. However, when CES operations are suspended or revoked and
cancelled by Customs, it is the CES operator's responsibility to ensure
that merchandise already at the CES is properly consigned to another
location for inspection, as directed by the importer and approved by the
port director.
[T.D. 96-57, 61 FR 39071, July 26, 1996]
PART 122_AIR COMMERCE REGULATIONS
Sec.
122.0 Scope
Subpart A_General Definitions and Provisions
122.1 General definitions.
122.2 Other Customs laws and regulations.
122.3 Availability of forms.
122.4 English language required.
122.5 Reproduction of Customs forms.
Subpart B_Classes of Airports
122.11 Designation as international airport.
122.12 Operation of international airports.
122.13 List of international airports.
122.14 Landing rights airport.
122.15 User fee airports.
Subpart C_Private Aircraft
122.21 Application.
122.22 Electronic manifest requirement for all individuals onboard
private aircraft arriving in and departing from the United
States; notice of arrival and departure information.
122.23 Certain aircraft arriving from areas south of the U.S.
122.24 Landing requirements for certain aircraft arriving from areas
south of U.S.
122.25 Exemption from special landing requirements.
122.26 Entry and clearance.
122.27 Documents required.
122.28 Private aircraft taken abroad by U.S. residents.
122.29 Arrival fee and overtime services.
122.30 Other Customs laws and regulations.
Subpart D_Landing Requirements
122.31 Notice of arrival.
122.32 Aircraft required to land.
122.33 Place of first landing.
122.35 Emergency or forced landing.
122.36 Responsibility of aircraft commander.
122.37 Precleared aircraft.
122.38 Permit and special license to unlade and lade.
Subpart E_Aircraft Entry and Entry Documents; Electronic Manifest
Requirements for Passengers, Crew Members, and Non-Crew Members Onboard
Commercial Aircraft Arriving In, Continuing Within, and Overflying the
United States
122.41 Aircraft required to enter.
122.42 Aircraft entry.
122.43 General declaration.
[[Page 781]]
122.44 Crew baggage declaration.
122.45 Crew list.
122.46 Crew purchase list.
122.47 Stores list.
122.48 Air cargo manifest.
122.48a Electronic information for air cargo required in advance of
arrival.
122.49 Correction of air cargo manifest or air waybill.
122.49a Electronic manifest requirement for passengers onboard
commercial aircraft arriving in the United States.
122.49b Electronic manifest requirement for crew members and non-crew
members onboard commercial aircraft arriving in, continuing
within, and overflying the United States.
122.49c Master crew member list and master non-crew member list
requirement for commercial aircraft arriving in, departing
from, continuing within, and overflying the United States.
122.49d Passenger Name Record (PNR) information.
122.50 General order merchandise.
Subpart F_International Traffic Permit
122.51 Aircraft of domestic origin registered in the U.S.
122.52 Aircraft of foreign origin registered in the U.S.
122.53 Aircraft of foreign registry chartered or leased to U.S. air
carriers.
122.54 Aircraft of foreign registry.
Subpart G_Clearance of Aircraft and Permission To Depart
122.61 Aircraft required to clear.
122.62 Aircraft not otherwise required to clear.
122.63 Scheduled airlines.
122.64 Other aircraft.
122.65 Failure to depart.
122.66 Clearance or permission to depart denied.
Subpart H_Documents Required for Clearance and Permission To Depart;
Electronic Manifest Requirements for Passengers, Crew Members, and Non-
Crew Members Onboard Commercial Aircraft Departing From the United
States
122.71 Aircraft departing with no commercial export cargo.
122.72 Aircraft departing with commercial export cargo.
122.73 General declaration and air cargo manifest.
122.74 Incomplete (pro forma) manifest.
122.75 Complete manifest.
122.75a Electronic manifest requirement for passengers onboard
commercial aircraft departing from the United States.
122.75b Electronic manifest requirement for crew members and non-crew
members onboard commercial aircraft departing from the United
States.
122.76 Shipper's Export Declarations and inspection certifications.
122.77 Clearance certificate.
122.78 Entry or withdrawal for exportation or for transportation and
exportation.
122.79 Shipments to U.S. possessions.
122.80 Verification of statement.
Subpart I_Procedures for Residue Cargo and Stopover Passengers
122.81 Application.
122.82 Bond requirements.
122.83 Forms required.
122.84 Intermediate airport.
122.85 Final airport.
122.86 Substitution of aircraft.
122.87 Other requirements.
122.88 Aircraft carrying domestic (stopover) passengers.
Subpart J_Transportation in Bond and Merchandise in Transit
122.91 Application.
122.92 Procedure at port of origin.
122.93 Procedure at destination or exportation airport.
122.94 Certificate of lading for exportation.
122.95 Other provisions.
Subpart K_Accompanied Baggage in Transit
122.101 Entry of accompanied baggage.
122.102 Inspection of baggage in transit.
Subpart L_Transit Air Cargo Manifest (TACM) Procedures
122.111 Application.
122.112 Definitions.
122.113 Form for transit air cargo manifest procedures.
122.114 Contents.
122.115 Labeling of cargo.
122.116 Identification of manifest sheets.
122.117 Requirements for transit air cargo transport.
122.118 Exportation from port of arrival.
122.119 Transportation to another U.S. port.
122.120 Transportation to another port for exportation.
Subpart M_Aircraft Liquor Kits
122.131 Application.
122.132 Sealing of aircraft liquor kits.
122.133 Stores list required on arrival.
122.134 When airline does not have in-bond liquor storeroom.
122.135 When airline has in-bond liquor storeroom.
122.136 Outgoing stores list.
[[Page 782]]
122.137 Certificate of use.
Subpart N_Flights to and From the U.S. Virgin Islands
122.141 Definitions.
122.142 Flights between the U.S. Virgin Islands and a foreign area.
122.143 Flights from the U.S. to the U.S. Virgin Islands.
122.144 Flights from the U.S. Virgin Islands to the U.S.
Subpart O_Flights to and From Cuba
122.151 Definitions.
122.152 Application.
122.153 Limitations on airport of entry or departure.
122.154 Notice of arrival.
122.155 Document to be presented upon arrival.
122.156 Release of passengers.
122.157 Documents required for clearance.
122.158 Other entry and clearance requirements.
Subpart P--Public Aircraft [Reserved]
Subpart Q_Penalties
122.161 In general.
122.162 Failure to notify and explain differences in air cargo
manifest.
122.163 Transit air cargo traveling to U.S. ports.
122.164 Transportation to another port for exportation.
122.165 Air cabotage.
122.166 Arrival, departure, discharge, and documentation.
122.167 Aviation smuggling.
Subpart R_Air Carrier Smuggling Prevention Program
122.171 Description of program.
122.172 Eligibility.
122.173 Application procedures.
122.174 Operational procedures.
122.175 Exemption from penalties.
122.176 Removal from ACSPP.
Subpart S_Access to Customs Security Areas
122.181 Definition of Customs security area.
122.182 Security provisions.
122.183 Denial of access.
122.184 Change of identification; change in circumstances of employee;
additional employer responsibilities.
122.185 Report of loss or theft of Customs access seal.
122.186 Presentation of Customs access seal by other person.
122.187 Revocation or suspension of access.
122.188 Issuance of temporary Customs access seal.
122.189 Bond liability.
Authority: 5 U.S.C. 301; 19 U.S.C. 58b, 66, 1431, 1433, 1436, 1448,
1459, 1590, 1594, 1623, 1624, 1644, 1644a, 2071 note.
Section 122.22 is also issued under 46 U.S.C. 60105.
Section 122.49a also issued under 8 U.S.C. 1101, 1221, 19 U.S.C.
1431, 49 U.S.C. 44909.
Section 122.49b also issued under 8 U.S.C. 1221, 19 U.S.C. 1431, 49
U.S.C. 114, 44909.
Section 122.49c also issued under 8 U.S.C. 1221, 19 U.S.C. 1431, 49
U.S.C. 114, 44909.
Section 122.49d also issued under 49 U.S.C. 44909(c)(3).
Section 122.75a also issued under 8 U.S.C. 1221, 19 U.S.C. 1431.
Section 122.75b also issued under 8 U.S.C. 1221, 19 U.S.C. 1431, 49
U.S.C. 114.
Source: T.D. 88-12, 53 FR 9292, Mar. 22, 1988, unless otherwise
noted.
Sec. 122.0 Scope.
(a) Applicability. The regulations in this part relate to the entry
and clearance of aircraft and the transportation of persons and cargo by
aircraft, and are applicable to all air commerce.
(b) Authority of Other Agencies. Nothing in this part is intended to
divest or diminish authority and operational control that are vested in
the FAA or any other agency, particularly with respect to airspace and
aircraft safety.
[CBP Dec. 08-43, 73 FR 68309, Nov. 18, 2008]
Subpart A_General Definitions and Provisions
Sec. 122.1 General definitions.
The following definitions apply in this part, unless otherwise
stated:
(a) Aircraft. An ``aircraft'' is any device now known, or hereafter
invented, used or designed for navigation or flight in the air. It does
not include hovercraft.
(b) Aircraft commander. An ``aircraft commander'' is any person
serving on an aircraft who is in charge or has command of its operation
and navigation.
(c) Agent. An ``agent'' is any person who is authorized to act for
or in place of:
(1) An owner or operator of a scheduled airline by written
authority; or
[[Page 783]]
(2) An owner or operator of a non-scheduled airline, by power of
attorney.
The authority to act shall be in writing and satisfactory to the port
director.
(d) Commercial aircraft. A ``commercial aircraft'' is any aircraft
transporting passengers and/or cargo for some payment or other
consideration, including money or services rendered.
(e) International airport. An ``international airport'' is any
airport designated by:
(1) The Secretary of the Treasury or the Commissioner of Customs as
a port of entry for aircraft arriving in the U.S. from any place outside
thereof and for the merchandise carried on such aircraft;
(2) The Attorney General as a port of entry for aliens arriving on
such aircraft; and
(3) The Secretary of Health and Human Services as a place for
quarantine inspection.
(f) Landing rights airport. A ``landing rights airport'' is any
airport, other than an international airport or user fee airport, at
which flights from a foreign area are given permission by Customs to
land.
(g) Preclearance. ``Preclearance'' is the examination and inspection
of air travelers and their baggage, at the request of an airline, at
foreign places where Customs personnel are stationed for that purpose.
Preclearance may be used only for air travelers and their baggage, not
for merchandise.
(h) Private aircraft. A ``private aircraft'' is any aircraft engaged
in a personal or business flight to or from the U.S. which is not:
(1) Carrying passengers and/or cargo for commercial purposes;
(2) Leaving the U.S. carrying neither passengers nor cargo in order
to lade passengers and/or cargo in a foreign area for commercial
purposes; or
(3) Returning to the U.S. carrying neither passengers nor cargo in
ballast after leaving with passengers and/or cargo for commercial
purposes;
(i) Public aircraft. A ``public aircraft'', is any aircraft owned
by, or under the complete control and management of the U.S. government
or any of its agencies, or any aircraft owned by or under the complete
control and management of any foreign government which exempts public
aircraft of the U.S. from arrival, entry and clearance requirements
similar to those provided in subpart C of this part, but not including
any government owned aircraft engaged in carrying persons or property
for commercial purposes. This definition applies if the aircraft is:
(1) Manned entirely by members of the armed forces or civil service
of such government, or by both;
(2) Transporting only property of such government, or passengers
traveling on official business of such government; or
(3) Carrying neither passengers nor cargo.
(j) Residue cargo. ``Residue cargo'' is any cargo on board an
aircraft arriving in the U.S. from a foreign area if the:
(1) Final delivery airport in the U.S. is not the port of arrival;
or
(2) Cargo remains on board the aircraft and travels from port to
port in the U.S., for final delivery in a foreign area.
(k) Scheduled airline. A ``scheduled airline'' is any individual,
partnership, corporation or association:
(1) Engaged in air transportation under regular schedules to, over,
away from, or within the U.S.; and
(2) Holding a Foreign Air Carrier Permit or a Certificate of Public
Convenience and Necessity, issued by the Department of Transportation
pursuant to 14 CFR parts 201 and 213.
(l) United States. Except when used in another context, ``U.S.''
means the territory of the several States, the District of Columbia, and
Puerto Rico, including the territorial waters and overlying airspace.
(m) User fee airport. A ``user fee airport'' is an airport so
designated by Customs. Flights from a foreign area may be granted
permission to land at a user fee airport rather than at an international
airport or a landing rights airport. An informational listing of user
fee airports is contained in Sec. 122.15.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 88-16, 53 FR
10371, Mar. 31, 1988; T.D. 92-90, 57 FR 43397, Sept. 21, 1992; T.D. 93-
66, 58 FR 44130, Aug. 19, 1993]
[[Page 784]]
Sec. 122.2 Other Customs laws and regulations.
Except as otherwise provided for in this chapter, and insofar as
such laws and regulations are applicable, aircraft arriving or having
arrived from or departing for any foreign port or place, and the persons
and merchandise, including baggage, carried thereon, shall be subject to
the laws and regulations applicable to vessels to the extent that such
laws and regulations are administered or enforced by Customs, as
provided in 19 U.S.C. 1644 and 1644a.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 98-74, 63 FR
51288, Sept. 25, 1998]
Sec. 122.3 Availability of forms.
The forms mentioned in this part may be purchased from the director
of port of entry. A small quantity of each form is set aside by port
directors for free distribution and official use.
Sec. 122.4 English language required.
A translation in the English language shall be attached to the
original and each copy of any form or document written or printed in a
foreign language.
Sec. 122.5 Reproduction of Customs forms.
(a) Specifications. Subject to approval by Customs, the forms
mentioned in this part may be printed by private parties if the
specified size, wording arrangement, style and size of type, and quality
of paper are used.
(b) Exceptions. Port directors may accept privately printed copies
of the General Declaration (Customs Form 7507) and air cargo manifest
(Customs Form 7509) which are different from the official forms. The
privately printed forms shall include all information required on the
official forms. The differences allowed are:
(1) General Declaration. Customs Form 7507 may be printed in several
languages, so long as the form includes an English version. The
instructions on the reverse side of the official form may be omitted.
(2) Air cargo manifest. Customs Form 7509 may be changed to allow
for additional information used by the airline.
Subpart B_Classes of Airports
Sec. 122.11 Designation as international airport.
(a) Procedure. International airports, as defined in Sec. 122.1(e),
will be designated after due investigation to establish that sufficient
need exists in any port to justify such designation and to determine the
airport best suited for such purpose. In each case, a specific airport
will be chosen. International airports will be publicly owned, unless
circumstances require otherwise
(b) Withdrawal of designation. The designation as an international
airport may be withdrawn for any of the following reasons:
(1) The amount of business clearing through the airport does not
justify maintenance of inspection equipment and personnel;
(2) Proper facilities are not provided or maintained by the airport;
(3) The rules and regulations of the Federal Government are not
followed; or
(4) Some other location would be more useful.
(c) Providing office space to the Federal Government. Each
international airport shall provide, without cost to the Federal
Government, proper office and other space for the sole use of Federal
officials working at the airport. A suitable paved loading area shall be
supplied by each airport at a place convenient to the office space. The
loading area shall be kept for the use of aircraft entering or clearing
through the airport.
Sec. 122.12 Operation of international airports.
(a) Entry, clearance and charges. International airports are open to
all aircraft for entry and clearance at no charge by Customs. However,
charges may be assessed by the airport for commercial or private use of
the airport.
(b) Servicing of aircraft. When an aircraft enters or clears through
an international airport, it shall be promptly serviced by airport
personnel solely on the basis of order of arrival or readiness for
departure. Servicing charges imposed by the airport operators shall not
be greater than the schedule of
[[Page 785]]
charges in effect at the airport in question.
(c) FAA rules; denial of permission to land--(1) Federal Aviation
Administration. International airports must follow and enforce any
requirements for airport operations, including airport rules that are
set out by the Federal Aviation Administration in 14 CFR part 91.
(2) Customs and Border Protection. CBP, based on security or other
risk assessments, may limit the locations where aircraft entering the
United States from a foreign port or place may land. Consistent with
Sec. 122.32(a) of this Title, CBP has the authority to deny aircraft
permission to land in the United States, based upon security or other
risk assessments.
(3) Commercial aircraft. Permission to land at an international
airport may be denied to a commercial aircraft if advance electronic
information for incoming foreign cargo aboard the aircraft has not been
received as provided in Sec. 122.48a except in the case of emergency or
forced landings.
(4) Private Aircraft. Permission to land at an international airport
will be denied if the pilot of a private aircraft arriving from a
foreign port or place fails to submit an electronic manifest and notice
of arrival pursuant to Sec. 122.22, except in the case of emergency or
forced landings.
(d) Additional requirements. Additional requirements may be put into
effect at a particular airport as the needs of the Customs port served
by the airport demand.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by CBP Dec. 03-32, 68
FR 68170, Dec. 5, 2003; CBP Dec. 08-43, 73 FR 68309, Nov. 18, 2008]
Sec. 122.13 List of international airports.
The following is a list of international airports of entry
designated by the Secretary of the Treasury.
Location and Name
Albany, N.Y.--Albany County Airport
Baudette, Minn.--Baudette International Airport
Bellingham, Wash.--Bellingham International Airport
Brownsville, Tex.--Brownsville International Airport
Burlington, Vt.--Burlington International Airport
Calexico, Calif.--Calexico International Airport
Caribou, Maine--Caribou Municipal Airport
Chicago, Ill.--Midway Airport
Cleveland, Ohio--Cleveland Hopkins International Airport
Cut Bank, Mont.--Cut Bank Airport
Del Rio, Tex.--Del Rio International Airport
Detroit, Mich.--Detroit City Airport
Detroit, Mich.--Detroit Metropolitan Wayne County Airport
Douglas, Ariz.--Bisbee-Douglas International Airport
Duluth, Minn.--Duluth International Airport
Duluth, Minn.--Sky Harbor Airport
El Paso, Tex.--El Paso International Airport
Fort Lauderdale, Fla.--Fort Lauderdale-Hollywood International Airport
Friday Harbor, Wash.--Friday Harbor Seaplane Base
Grand Forks, N. Dak.--Grand Forks International Airport
Great Falls, Mont.--Great Falls International Airport
Havre, Mont.--Havre City-County Airport
Houlton, Maine--Houlton International Airport
International Falls, Minn.--Falls International Airport
Juneau, Alaska--Juneau Municipal Airport
Juneau, Alaska--Juneau Harbor Seaplane Base
Ketchikan, Alaska--Ketchikan Harbor Seaplane Base
Key West, Fla.--Key West International Airport
Laredo, Tex.--Laredo International Airport
Massena, N.Y.--Richards Field
Maverick, Tex.--Maverick County Airport
McAllen, Tex.--Miller International Airport
Miami, Fla.--Chalk Seaplane Base
Miami, Fla.--Miami International Airport
Minot, N.Dak.--Minot International Airport
Nogales, Ariz.--Nogales International Airport
Ogdensburg, N.Y.--Ogdensburg Harbor
Ogdensburg, N.Y.--Ogdensburg International Airport
Oroville, Wash.--Dorothy Scott Airport
Oroville, Wash.--Dorothy Scott Seaplane Base
Pembina, N.Dak.--Pembina Municipal Airport
Port Huron, Mich.--St. Clair County International Airport
Port Townsend, Wash.--Jefferson County International Airport
Ranier, Minn.--Ranier Internatioal Seaplane Base
Rochester, N.Y.--Rochester-Monroe County Airport
Rouses Point, N.Y.--Rouses Point Seaplane Base
San Diego, Calif.--San Diego International Airport (Lindbergh Field)
Sandusky, Ohio--Griffing-Sandusky Airport
[[Page 786]]
Sault Ste. Marie, Mich.--Sault Ste. Marie City-County Airport
Seattle, Wash.--King County International Airport
Seattle, Wash.--Lake Union Air Service (Seaplanes)
Tampa, Fla.--Tampa International Airport
Tucson, Ariz.--Tucson International Airport
Watertown, N.Y.--Watertown New York International Airport
West Palm Beach, Fla.--Palm Beach International Airport
Williston, N. Dak.--Sloulin Field International Airport
Wrangell, Alaska--Wrangell Seaplane Base
Yuma, Ariz.--Yuma International Airport
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 96-44, 61 FR
25778, May 23, 1996; T.D. 99-40, 64 FR 18566, Apr. 15, 1999]
Sec. 122.14 Landing rights airport.
(a) Permission to land. Permission to land at a landing rights
airport may be given as follows:
(1) Scheduled flight. The scheduled aircraft of a scheduled airline
may be allowed to land at a landing rights airport. Permission is given
by the director of the port, or his representative, at the port nearest
to which first landing is made.
(i) Additional flights, charters or changes in schedule--Scheduled
aircraft. If a new carrier plans to set up a new flight schedule, or an
established carrier makes changes in its approved schedule, landing
rights may be granted by the port director.
(ii) Additional or charter flight. If a carrier or charter operator
wants to begin operating or to add flights, application must be made to
the port director for landing rights. All requests must be made not less
than 48 hours before the intended time of arrival, except in
emergencies. If the request is oral, it must be put in writing before or
at the time of arrival.
(2) Private aircraft. The pilots of private aircraft are required to
secure permission to land from CBP following transmission of the advance
notice of arrival via an electronic data interchange system approved by
CBP, pursuant to Sec. 122.22. Prior to departure as defined in
Sec. 122.22(a), from a foreign port or place, the pilot of a private
aircraft must receive a message from CBP that landing rights have been
granted for that aircraft at a particular airport.
(3) Other aircraft. Following advance notice of arrival pursuant to
Sec. 122.31, all other aircraft may be allowed to land at a landing
rights airport by the director of the port of entry or station nearest
the first place of landing.
(4) Denial or withdrawal of landing rights. Permission to land at a
landing rights airport may be denied or permanently or temporarily
withdrawn for any of the following reasons:
(i) Appropriate and/or sufficient Federal Government personnel are
not available;
(ii) Proper inspectional facilities or equipment are not available
at, or maintained by, the requested airport;
(iii) The entity requesting the landing rights has a history of
failing to abide by appropriate instructions given by a CBP officer;
(iv) Reasonable grounds exist to believe that applicable Federal
rules and regulations pertaining to safety, including cargo safety and
security, CBP, or other inspectional activities may not be adhered to;
or
(v) CBP has deemed it necessary to deny landing rights to an
aircraft.
(5) Appeal of denial or withdrawal of landing rights for commercial
scheduled aircraft as defined in section 122.1(d). In the event landing
rights are denied or subsequently permanently withdrawn by CBP, within
30 days of such decision, the affected party may file a written appeal
with the Assistant Commissioner, Office of Field Operations,
Headquarters.
(6) Emergency or forced landing. Permission to land is not required
for an emergency or forced landing (covered under Sec. 122.35).
(b) Payment of expenses. In the case of an arrival at a location
outside the limits of a port of entry, the owner, operator or person in
charge of the aircraft must pay any added charges for inspecting the
aircraft, passengers, employees and merchandise when landing rights are
given (see Sec. Sec. 24.17 and 24.22(e) of this chapter).
(c) Payment of expenses. In the case of an arrival at a location
outside the limits of a port of entry, the owner, operator or person in
charge of the aircraft shall pay any added charges for inspecting the
aircraft, passengers, employees and merchandise when landing
[[Page 787]]
rights are given (see Sec. Sec. 24.17 and 24.22(e) of this chapter).
(d) Denial or withdrawal of landing rights. Permission to land at a
landing rights airport may be denied or withdrawn for any of the
following reasons:
(1) Appropriate and/or sufficient Federal Government personnel are
not available;
(2) Proper inspectional facilities or equipment are not available
at, or maintained by, the requested airport;
(3) The entity requesting services has failed to abide by
appropriate instructions of a Customs officer;
(4) Advance cargo information has not been received as provided in
Sec. 122.48a;
(5) Other reasonable grounds exist to believe that Federal rules and
regulations pertaining to safety, including cargo safety and security,
and Customs, or other inspectional activities have not been followed; or
(6) The granting of the requested landing rights would not be in the
best interests of the Government.
(e) Appeal of denial or withdrawal. In the event landing rights are
denied or withdrawn by the port director, a written appeal of the
decision may be made to the Assistant Commissioner, Office of Field
Operations, Headquarters.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988. Redesignated and amended by T.D.
92-90, 57 FR 43397, Sept. 21, 1992; T.D. 95-77, 60 FR 50020, Sept. 27,
1995; T.D. 99-27, 64 FR 13675, Mar. 22, 1999; CBP Dec. 03-32, 68 FR
68170, Dec. 5, 2003; CBP Dec. 08-43, 73 FR 68309, Nov. 18, 2008]
Sec. 122.15 User fee airports.
(a) Permission to land. The procedures for obtaining permission to
land at a user fee airport are the same procedures as those set forth in
Sec. 122.14 for landing rights airports.
(b) List of user fee airports. The following is a list of user fee
airports designated by the Commissioner of Customs in accordance with 19
U.S.C. 58b. The list is subject to change without notice. Information
concerning service at any user fee airport can be obtained by calling
the airport or its authority directly.
------------------------------------------------------------------------
Location Name
------------------------------------------------------------------------
Addison, Texas......................... Addison Airport.
Ardmore, Oklahoma...................... Ardmore Industrial Airpark.
Bakersfield, California................ Meadows Field Airport.
Bedford, Massachusetts................. L.G. Hanscom Field.
Belgrade, Montana...................... Bozeman Yellowstone
International Airport.
Broomfield, Colorado................... Jefferson County Airport.
Carlsbad, California................... McClellan-Palomar Airport.
Dallas, Texas.......................... Dallas Love Field Municipal
Airport
Daytona Beach, Florida................. Daytona Beach International
Airport.
Decatur, Illinois...................... Decatur Airport.
Egg Harbor Township, New Jersey........ Atlantic City International
Airport.
Englewood, Colorado.................... Centennial Airport.
Fort Worth, Texas...................... Fort Worth Alliance Airport.
Fresno, California..................... Fresno Yosemite International
Airport.
Gypsum, Colorado....................... Eagle County Regional Airport.
Harlingen, Texas....................... Valley International Airport.
Hillsboro, Oregon...................... Hillsboro Airport.
Johnson City, New York................. Binghamton Regional Airport.
Lansing, Michigan...................... Capital Region International
Airport.
Leesburg, Florida...................... Leesburg Regional Airport.
Lexington, Kentucky.................... Blue Grass Airport.
Manchester, New Hampshire.............. Manchester Airport.
Mascoutah, Illinois.................... MidAmerica St. Louis Airport.
McKinney, Texas........................ Collin County Regional Airport.
Melbourne, Florida..................... Melbourne Airport.
Mesa, Arizona.......................... Williams Gateway Airport.
Midland, Texas......................... Midland International Airport.
Morristown, New Jersey................. Morristown Municipal Airport.
Moses Lake, Washington................. Grant County International
Airport.
Myrtle Beach, South Carolina........... Myrtle Beach International
Airport.
Naples, Florida........................ Naples Municipal Airport.
Orlando, Florida....................... Orlando Executive Airport.
Palm Springs, California............... Palm Springs International
Airport.
Rochester, Minnesota................... Rochester International
Airport.
Rogers, Arkansas....................... Rogers Municipal Airport.
St. Augustine, Florida................. St. Augustine Airport.
San Bernardino, California............. San Bernardino International
Airport.
San Antonio, Texas..................... Kelly Field Annex.
Sarasota, Florida...................... Sarasota/Bradenton
International Airport.
Scottsdale, Arizona.................... Scottsdale Airport.
Sugar Land, Texas...................... Sugar Land Regional Airport.
Trenton, New Jersey.................... Trenton Mercer Airport.
Victorville, California................ Southern California Logistics
Airport.
Waterford, Michigan.................... Oakland County International
Airport.
Waukegan, Illinois..................... Waukegan Regional Airport.
West Chicago, Illinois................. Dupage County Airport.
Wheeling, Illinois..................... Chicago Executive Airport.
Yoder, Indiana......................... Fort Wayne International
Airport.
Ypsilanti, Michigan.................... Willow Run Airport.
------------------------------------------------------------------------
(c) Withdrawal of designation. The designation as a user fee airport
shall be withdrawn under either of the following circumstances:
[[Page 788]]
(1) If either Customs or the airport authority gives 120 days
written notice of termination to the other party; or
(2) If any amounts due to be paid to Customs are not paid on a
timely basis.
[T.D. 92-90, 57 FR 43397]
Editorial Note: For Federal Register citations affecting
Sec. 122.15, see the List of CFR Sections Affected, which appears in the
Finding Aids section of the printed volume and at www.fdsys.gov.
Subpart C_Private Aircraft
Sec. 122.21 Application.
This subpart applies to all private aircraft as defined in
Sec. 122.1(h). No other provisions of this part apply to private
aircraft, except where stated in this subpart.
Sec. 122.22 Electronic manifest requirement for all individuals onboard
private aircraft arriving in and departing from the United
States; notice of arrival and departure information.
(a) Definitions. For purposes of this section:
Departure. ``Departure'' means the point at which the aircraft is
airborne and the aircraft is en route directly to its destination.
Departure Information. ``Departure Information'' refers to the data
elements that are required to be electronically submitted to CBP
pursuant to paragraph (c)(4) of this section.
Pilot. ``Pilot'' means the individual(s) responsible for operation
of an aircraft while in flight.
Travel Document. ``Travel Document'' means U.S. Department of
Homeland Security approved travel documents.
United States. ``United States'' means the continental United
States, Alaska, Hawaii, Puerto Rico, the Virgin Islands of the United
States, Guam and the Commonwealth of the Northern Mariana Islands.
(b) Electronic manifest requirement for all individuals onboard
private aircraft arriving in the U.S.; notice of arrival--(1) General
requirement. The private aircraft pilot is responsible for ensuring the
notice of arrival and manifest information regarding each individual
onboard the aircraft are transmitted to CBP. The pilot is responsible
for the submission, accuracy, correctness, timeliness, and completeness
of the submitted information, but may authorize another party to submit
the information on their behalf. Except as provided in paragraph (b)(7)
of this section, all data must be transmitted to CBP by means of an
electronic data interchange system approved by CBP and must set forth
the information specified in this section. All data pertaining to the
notice of arrival for the aircraft and the manifest data regarding each
individual onboard the aircraft must be transmitted at the same time via
an electronic data interchange system approved by CBP.
(2) Time for submission. The private aircraft pilot is responsible
for ensuring that the information specified in paragraphs (b)(3) and
(b)(4) of this section is transmitted to CBP:
(i) For flights originally destined for the United States, any time
prior to departure of the aircraft, but no later than 60 minutes prior
to departure of the aircraft from the foreign port or place; or
(ii) For flights not originally destined to the United States, but
diverted to a U.S. port due to an emergency, no later than 30 minutes
prior to arrival; in cases of non-compliance, CBP will take into
consideration that the carrier was not equipped to make the transmission
and the circumstances of the emergency situation.
(3) Manifest data required. For private aircraft arriving in the
United States the following identifying information for each individual
onboard the aircraft must be submitted:
(i) Full name (last, first, and, if available, middle);
(ii) Date of birth;
(iii) Gender (F=female; M=male);
(iv) Citizenship;
(v) Country of residence;
(vi) Status on board the aircraft;
(vii) DHS-Approved travel document type (e.g. passport; alien
registration card, etc.);
(viii) DHS-Approved travel document number, if a DHS-approved travel
document is required;
(ix) DHS-Approved travel document country of issuance; if a DHS-
approved travel document is required;
[[Page 789]]
(x) DHS-Approved travel document expiration date, where applicable;
(xi) Alien registration number, where applicable;
(xii) Address while in the United States (number and street, city,
state, and zip code). This information is required for all travelers
including crew onboard the aircraft.
(4) Notice of arrival. The advance notice of arrival must include
the following information about the aircraft and where applicable, the
pilot:
(i) Aircraft tail number;
(ii) Type of Aircraft;
(iii) Call sign (if available);
(iv) CBP issued decal number (if available);
(v) Place of last departure (ICAO airport code, when available);
(vi) Date of aircraft arrival;
(vii) Estimated time of arrival;
(viii) Estimated time and location of crossing U.S. border/
coastline;
(ix) Name of intended U.S. airport of first landing (as listed in
Sec. 122.24 if applicable, unless an exemption has been granted under
Sec. 122.25, or the aircraft was inspected by CBP Officers in the U.S.
Virgin Islands);
(x) Owner/Lessees name (if individual: Last, first, and, if
available, middle; or business entity name, if applicable);
(xi) Owner/Lessees address (number and street, city, state, zip/
postal code, country, telephone number, fax number, and email address);
(xii) Pilot/Private aircraft pilot name (last, first, middle, if
available);
(xiii) Pilot license number;
(xiv) Pilot street address (number and street, city, state, zip/
postal code, country, telephone number, fax number, and email address);
(xv) Country of issuance of pilot's license;
(xvi) Operator name (for individuals: last, first, and if available,
middle; or business entity name, if applicable);
(xvii) Operator street address (number and street, city, state, zip
code, country, telephone number, fax number, and e-mail address);
(xviii) Aircraft color(s);
(xix) Complete Itinerary (foreign airports landed at within past 24
hours prior to landing in United States); and
(xx) 24-hour Emergency point of contact (e.g., broker, dispatcher,
repair shop, or other third party contact or individual who is
knowledgeable about this particular flight) name (first, last, middle,
if available) and phone number.
(5) Reliable facilities. When reliable means for giving notice are
not available (for example, when departure is from a remote place) a
landing must be made at a foreign place where notice can be sent prior
to coming into the United States.
(6) Permission to land. Prior to departure from the foreign port or
place, the pilot of a private aircraft must receive a message from DHS
approving landing within the United States, and follow any instructions
contained therein prior to departure. Once DHS has approved departure,
and the pilot has executed all instructions issued by DHS, the aircraft
is free to depart with the intent of landing at the designated U.S. port
of entry.
(7) Changes to manifest. The private aircraft pilot is obligated to
make necessary changes to the arrival manifest after transmission of the
manifest to CBP. If changes to an already transmitted manifest are
necessary, an updated and amended manifest must be resubmitted to CBP.
Only amendments regarding flight cancellation, expected time of arrival
(ETA) or changes in arrival location, to an already transmitted manifest
may be submitted telephonically, by radio, or through existing processes
and procedures. On a limited case-by-case basis, CBP may permit a pilot
to submit or update notice of arrival and arrival/departure manifest
information telephonically when unforeseen circumstances preclude
submission of the information via eAPIS. Under such circumstances, CBP
will manually enter the notice of arrival and arrival/departure manifest
information provided by the pilot and the pilot is required to wait for
CBP screening and approval to depart. Changes in ETA and arrival
location must be coordinated with CBP at the new arrival location to
ensure that resources are available to inspect the arriving aircraft. If
a subsequent manifest is submitted less than 60 minutes prior to
departure to the United States, the private aircraft pilot must
[[Page 790]]
receive approval from CBP for the amended manifest containing added
passenger information and/or changes to information that were submitted
regarding the aircraft and all individuals onboard the aircraft, before
the aircraft is allowed to depart the foreign location, or the aircraft
may be, as appropriate, diverted from arriving in the United States, or
denied permission to land in the United States. If a subsequent, amended
manifest is submitted by the pilot, any approval to depart the foreign
port or location previously granted by CBP as a result of the original
manifest's submission is invalid.
(8) Pilot responsibility for comparing information collected with
travel document. The pilot collecting the information described in
paragraphs (b)(3) and (b)(4) of this section is responsible for
comparing the travel document presented by each individual to be
transported onboard the aircraft with the travel document information he
or she is transmitting to CBP in accordance with this section in order
to ensure that the information is correct, the document appears to be
valid for travel purposes, and the individual is the person to whom the
travel document was issued.
(c) Electronic manifest requirement for all individuals onboard
private aircraft departing from the United States; departure
information--(1) General requirement. The private aircraft pilot is
responsible for ensuring that information regarding private aircraft
departing the United States, and manifest data for all individuals
onboard the aircraft is timely transmitted to CBP. The pilot is
responsible for the accuracy, correctness, timeliness, and completeness
of the submitted information, but may authorize another party to submit
the information on their behalf. Data must be transmitted to CBP by
means of an electronic data interchange system approved by CBP, and must
set forth the information specified in paragraph (c)(3) and (c)(4) of
this section. All data pertaining to the aircraft, and all individuals
onboard the aircraft must be transmitted at the same time. On a limited
case-by-case basis, CBP may permit a pilot to submit or update notice of
arrival and arrival/departure manifest information telephonically to CBP
when unforeseen circumstances preclude submission of the information via
eAPIS. Under such circumstances, CBP will manually enter the notice of
arrival and arrival/departure manifest information provided by the pilot
and the pilot is required to wait for CBP screening and approval to
depart.
(2) Time for submission. The private aircraft pilot must transmit
the electronic data required under paragraphs (c)(3) and (c)(4) of this
section to CBP any time prior to departing the United States, but no
later than 60 minutes prior to departing the United States.
(3) Manifest data required. For private aircraft departing the
United States the following identifying information for each individual
onboard the aircraft must be submitted:
(i) Full name (last, first, and, if available, middle);
(ii) Date of birth;
(iii) Gender (F=female; M=male);
(iv) Citizenship;
(v) Country of residence;
(vi) Status on board the aircraft;
(vii) DHS-Approved travel document type (e.g. passport; alien
registration card, etc.);
(viii) DHS-Approved travel document number;
(ix) DHS-Approved travel document country of issuance, if a DHS-
Approved travel document is required;
(x) DHS-approved travel document expiration date, where applicable;
(xi) Alien registration number, where applicable;
(xii) Address while in the United States (number and street, city,
state, and zip/postal code). This information is required for all
travelers including crew onboard the aircraft.
(4) Notice of Departure information. For private aircraft and pilots
departing the United States, the following departure information must be
submitted by the pilot:
(i) Aircraft tail number;
(ii) Type of Aircraft;
(iii) Call sign (if available);
(iv) CBP issued decal number (if available);
(v) Place of last departure (ICAO airport code, when available);
(vi) Date of aircraft departure;
(vii) Estimated time of departure;
[[Page 791]]
(viii) Estimated time and location of crossing U.S. border/
coastline;
(ix) Name of intended foreign airport of first landing (ICAO airport
code, when available);
(x) Owner/Lessees name (if individual: last, first, and, if
available, middle; or business entity name if applicable);
(xi) Owner/Lessees street address (number and street, city, state,
zip/postal code, country, telephone number, fax number, and email
address);
(xii) Pilot/Private aircraft pilot name (last, first and, if
available, middle);
(xiii) Pilot license number;
(xiv) Pilot street address (number and street, city, state, zip/
postal code, country, telephone number, fax number, and email address);
(xv) Country of issuance of pilot's license;
(xvi) Operator name (if individual: last, first, and if available,
middle; or business entity name, if applicable);
(xvii) Operator street address (number and street, city, state, zip/
postal code, country, telephone number, fax number, and email address);
(xviii) 24-hour Emergency point of contact (e.g., broker,
dispatcher, repair shop, or other third party contact, or individual who
is knowledgeable about this particular flight) name (last, first,
middle, if available) and phone number;
(xix) Aircraft color(s); and
(xx) Complete itinerary (intended foreign airport destinations for
24 hours following departure).
(5) Permission to depart. Prior to departure for a foreign port or
place, the pilot of a private aircraft must receive a message from DHS
approving departure from the United States and follow any instructions
contained therein. Once DHS has approved departure, and the pilot has
executed all instructions issued by DHS, the aircraft is free to depart.
(6) Changes to manifest. If any of the data elements change after
the manifest is transmitted, the private aircraft pilot must update the
manifest and resubmit the amended manifest to CBP. Only amendments
regarding flight cancellation, expected time of departure or changes in
departure location, to an already transmitted manifest may be submitted
telephonically, by radio, or through existing processes and procedures.
If an amended manifest is submitted less than 60 minutes prior to
departure, the private aircraft pilot must receive approval from CBP for
the amended manifest containing added passenger information and/or
changes to information that were submitted regarding the aircraft before
the aircraft is allowed to depart the U.S. location, or the aircraft may
be denied clearance to depart from the United States. If a subsequent
amended manifest is submitted by the pilot, any clearance previously
granted by CBP as a result of the original manifest's submission is
invalid.
(7) Pilot responsibility for comparing information collected with
travel document. The pilot collecting the information described in
paragraphs (c)(3) and (c)(4) of this section is responsible for
comparing the travel document presented by each individual to be
transported onboard the aircraft with the travel document information he
or she is transmitting to CBP in accordance with this section in order
to ensure that the information is correct, the document appears to be
valid for travel purposes, and the individual is the person to whom the
travel document was issued.
[CBP Dec. 08-43, 73 FR 68310, Nov. 18, 2008]
Sec. 122.23 Certain aircraft arriving from areas south of the U.S.
(a) Application. (1) This section sets forth particular requirements
for certain aircraft arriving from south of the United States. This
section is applicable to all aircraft except:
(i) Public aircraft;
(ii) Those aircraft operated on a regularly published schedule,
pursuant to a certificate of public convenience and necessity or foreign
aircraft permit issued by the Department of Transportation, authorizing
interstate, overseas air transportation; and
(iii) Those aircraft with a seating capacity of more than 30
passenges or a maximum payload capacity of more than 7,500 pounds which
are engaged in air transportation for compensation or hire on demand.
(See 49 U.S.C. App. 1372 and 14 CFR part 298).
(2) The term ``place'' as used in this section means anywhere
outside of the
[[Page 792]]
inner boundary of the Atlantic (Coastal) Air Defense Identification Zone
(ADIZ) south of 30 degrees north latitude, anywhere outside of the inner
boundary of the Gulf of Mexico (Coastal) ADIZ, or anywhere outside of
the inner boundary of the Pacific (Coastal) ADIZ south of 33 degrees
north latitude.
(b) Notice of arrival. All aircraft to which this section applies
arriving in the Continental United States via the U.S./Mexican border or
the Pacific Coast from a foreign place in the Western Hemisphere south
of 33 degrees north latitude, or from the Gulf of Mexico and Atlantic
Coasts from a place in the Western Hemisphere south of 30 degrees north
latitude, from any place in Mexico, from the U.S. Virgin Islands, or
[notwithstanding the definition of ``United States'' in Sec. 122.1(l)]
from Puerto Rico, must furnish a notice of intended arrival. Private
aircraft must transmit an advance notice of arrival as set forth in
Sec. 122.22 of this part. Other than private aircraft, all aircraft to
which this section applies must communicate to CBP notice of arrival at
least one hour before crossing the U.S. coastline. Such notice must be
communicated to CBP by telephone, radio, other method or the Federal
Aviation Administration in accordance with paragraph (c) of this
section.
(c) Contents of notice. The advance notice of arrival shall include
the following:
(1) Aircraft registration number;
(2) Name of aircraft commander;
(3) Number of U.S. citizen passengers;
(4) Number of alien passengers;
(5) Place of last departure;
(6) Estimated time and location of crossing U.S. border/coastline;
(7) Estimated time of arrival;
(8) Name of intended U.S. airport of first landing, as listed in
Sec. 122.24, unless an exemption has been granted under Sec. 122.25, or
the aircraft has not landed in foreign territory or is arriving directly
from Puerto Rico, or the aircraft was inspected by Customs officers in
the U.S. Virgin Islands.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended at CBP Dec. 08-43, 73
FR 68312, Nov. 18, 2008]
Sec. 122.24 Landing requirements for certain aircraft arriving from
areas south of U.S.
(a) In general. Certain aircraft arriving from areas south of the
United States that are subject to Sec. 122.23 are required to furnish a
notice of intended arrival in compliance with Sec. 122.23. Subject
aircraft must land for CBP processing at the nearest designated airport
to the border or coastline crossing point as listed under paragraph (b)
unless exempted from this requirement in accordance with Sec. 122.25. In
addition to the requirements of this section, pilots of aircraft to
which Sec. 122.23 is applicable must comply with all other landing and
notice of arrival requirements. This requirement shall not apply to
those aircraft which have not landed in foreign territory or are
arriving directly from Puerto Rico, if the aircraft was inspected by CBP
officers in the U.S. Virgin Islands, or otherwise precleared by CBP
officers at designated preclearance locations.
(b) List of designated airports. Private aircraft required to
furnish a notice of intended arrival in compliance with Sec. 122.23
shall land for Customs processing at the nearest designated airport to
the border or coastline crossing point as listed in this paragraph
unless exempted from this requirement in accordance with Sec. 122.25. In
addition to the requirements of this section, private aircraft
commanders must comply with all other landing and notice of arrival
requirements. This requirement shall not apply to private aircraft which
have not landed in foreign territory or are arriving directly from
Puerto Rico or if the aircraft was inspected by Customs officers in the
U.S. Virgin Islands.
------------------------------------------------------------------------
Location Name
------------------------------------------------------------------------
Beaumont, Tex....................... Jefferson County Airport.
Brownsville, Tex.................... Brownsville International Airport.
Calexico, Calif..................... Calexico International Airport.
Corpus Christi, Tex................. Corpus Christi International
Airport.
Del Rio, Tex........................ Del Rio International Airport.
Douglas, Ariz....................... Bisbee-Douglas International
Airport.
Douglas, Ariz....................... Douglas Municipal Airport.
Eagle Pass, Tex..................... Eagle Pass Municipal Airport.
El Paso, Tex........................ El Paso International Airport.
Fort Lauderdale, Fla................ Fort Lauderdale Executive Airport.
Fort Lauderdale, Fla................ Fort Lauderdale-Hollywood
International Airport.
Fort Pierce, Fla.................... St. Lucie County Airport.
[[Page 793]]
Houston, Tex........................ William P. Hobby Airport.
Key West, Fla....................... Key West International Airport.
Laredo, Tex......................... Laredo International Airport.
McAllen, Tex........................ Miller International Airport.
Miami, Fla.......................... Miami International Airport.
Miami, Fla.......................... Opa-Locka Airport.
Miami, Fla.......................... Tamiami Airport.
Midland, TX......................... Midland International Airport.
New Orleans, La..................... New Orleans International Airport
(Moissant Field).
New Orleans, La..................... New Orleans Lakefront Airport.
Nogales, Ariz....................... Nogales International Airport.
Presidio, Tex....................... Presidio-Lely International
Airport.
San Antonio Tex..................... San Antonio International Airport.
San Diego, Calif.................... Brown Field.
Santa Teresa, N. Mex................ Santa Teresa Airport.
Tampa, Fla.......................... Tampa International Airport.
Tucson, Ariz........................ Tucson International Airport.
West Palm Beach, Fla................ Palm Beach International Airport.
Wilmington, NC...................... New Hanover County Airport
Yuma, Ariz.......................... Yuma International Airport.
------------------------------------------------------------------------
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by 89-2, Dec. 21,
1988; T.D. 89-2, 53 FR 51272, Dec. 21, 1988; T.D. 89-44, 54 FR 14214,
Apr. 10, 1989; T.D. 93-67, 58 FR 44444, Aug. 23, 1993; T.D. 94-34, 59 FR
16122, Apr. 6, 1994; T.D. 97-35, 62 FR 24815, May 7, 1997; CBP Dec. 08-
01, 73 FR 12262, Mar. 7, 2008; CBP Dec. 08-43, 73 FR 68312, Nov. 18,
2008]
Sec. 122.25 Exemption from special landing requirements.
(a) Request. Any company or individual that has operational control
over an aircraft required to give advance notice of arrival under
Sec. 122.23 may request an exemption from the landing requirements in
Sec. 122.24. Single overflight exemptions may be granted to entities
involved in air ambulance type operations when emergency situations
arise and in cases involving the non-emergency transport of persons
seeking medical treatment in the U.S. All approvals of requests for
overflight exemptions and the granting of authority to be exempted from
the landing requirements are at the discretion of the port director.
Exemptions may allow aircraft to land at any airport in the U.S. staffed
by Customs. Aircraft traveling under an exemption shall continue to
follow advance notice and general landing rights requirements.
(b) Procedure. An exemption request shall be made to the port
director at the airport at which the majority of Customs overflight
processing is desired by the applicant. Except for air ambulance
operations and other flights involving the non-emergency transport of
persons seeking medical treatment in the U.S., the requests shall be
signed by an officer of the company or by the requesting individual and
be notarized or witnessed by a Customs officer. The requests shall be
submitted:
(1) At least 30 days before the anticipated first arrival, if the
request is for an exemption covering a number of flights over a period
of one year, or
(2) At least 15 days before the anticipated arrival, if the request
is for a single flight, or
(3) In cases involving air ambulance operations when emergency
situations arise and other flights involving the non-emergency transport
of persons seeking medical treatment in the U.S., if time permits, at
least 24 hours prior to departure. If this cannot be accomplished,
Customs will allow receipt of the overflight exemption application up to
departure time. In cases of extreme medical emergency, Customs will
accept overflight exemption requests in flight through a Federal
Aviation Administration Flight Service Station.
(c) Content of request. All requests for exemption from special
landing requirements, with the exception of those for air ambulance
operations and other flights involving the non-emergency transport of
persons seeking medical treatment in the U.S., shall include the
following information. Requests for exemptions for air ambulance
operations and other flights involving the non-emergency transport of
persons for medical treatment in the U.S. shall include the following
information except for paragraphs (c)(5) and (c)(6) of this section:
(1) Aircraft registration number(s) and manufacturer's serial
number(s) for all aircraft owned or operated by the applicant that will
be utilizing the overflight exemption;
(2) Identification information for each aircraft including class,
manufacturer, type, number, color scheme, and type of engine (e.g.,
turbojet, turbofan, turboprop, reciprocating, helicopter, etc.);
(3) A statement that the aircraft is equipped with a functioning
mode C (altitude reporting) transponder which will be in use during
overflight, that
[[Page 794]]
the overflights will be made in accord with instrument flight rules
(IFR), and that the overflights will be made at altitudes above 12,500
feet mean sea level (unless otherwise instructed by Federal Aviation
Administration controllers);
(4) Name and address of the applicant operating the aircraft, if the
applicant is a business entity, the address of the headquarters of the
business (include state of incorporation if applicable), and the names,
addresses, Social Security numbers (if available), and dates of birth of
the company officer or individual signing the application. If the
aircraft is operated under a lease, include the name, address, Social
Security number (if available), and date of birth of the owner if an
individual, or the address of the headquarters of the business (include
state of incorporation if applicable), and the names, addresses, Social
Security numbers, and dates of birth of the officers of the business;
(5) Individual, signed applications from each usual or anticipated
pilot or crewmember for all aircraft for which an overflight exemption
is sought stating name, address, Social Security number (if available),
Federal Aviation Administration certificate number (if applicable), and
place and date of birth;
(6) A statement from the individual signing the application that the
pilot(s) and crewmember(s) responding to paragraph (c)(5) of this
section are those intended to conduct overflights, and that to the best
of the individual's knowledge, the information supplied in response to
paragraph (c)(5) of this section is accurate;
(7) Names, addresses, Social Security numbers (if applicable), and
dates of birth for all usual or anticipated passengers. An approved
passenger must be on board to utilize the overflight exemptions.
Note: Where the Social Security number is requested, furnishing of
the SSN is voluntary. The authority to collect the SSN is 19 U.S.C. 66,
1433, 1459 and 1624. The primary purpose for requesting the SSN is to
assist in ascertaining the identity of the individual so as to assure
that only law-abiding persons will be granted permission to land at
interior airports in the U.S. without first landing at one of the
airports designated in Sec. 122.24. The SSN will be made available to
Customs personnel on a need-to-know basis. Failure to provide the SSN
may result in a delay in processing of the application;
(8) Description of the usual or anticipated baggage or cargo if
known, or the actual baggage or cargo;
(9) Description of the applicant's usual business activity;
(10) Name(s) of the airport(s) of intended first landing in the U.S.
Actual overflights will only be permitted to specific approved airports;
(11) Foreign place or places from which flight(s) will usually
originate; and
(12) Reasons for request for overflight exemption.
(d) Procedure following exemption. (1) If an aircraft subject to
Sec. 122.23 is granted an exemption from the landing requirements as
provided in this section, the aircraft commander shall notify Customs at
least 60 minutes before:
(i) Crossing into the U.S. over a point on the Pacific Coast north
of 33 degrees north latitude; or
(ii) Crossing into the U.S. over a point of the Gulf of Mexico or
Atlantic Coast north of 30 degrees north latitude; or
(iii) Crossing into the U.S. over the Southwestern land border
(defined as the U.S.-Mexican border between Brownsville, Texas, and San
Diego, California). Southwestern land border crossings must be made
while flying in Federal Aviation Administration published airways.
(2) The notice shall be given to a designated airport specified in
Sec. 122.24. The notice may be furnished directly to Customs by
telephone, radio or other means, or may be furnished through the Federal
Aviation Administration to Customs. If notice is furnished pursuant to
this paragraph, notice pursuant to Sec. Sec. 122.23 and 122.24 is
unnecessary.
(3) All overflights must be conducted pursuant to an instrument
flight plan filed with the Federal Aviation Administration or equivalent
foreign aviation authority prior to the commencement of the overflight.
(4) The owner or aircraft commander of an aircraft subject to
Sec. 122.23 granted an exemption from the landing requirements must:
[[Page 795]]
(i) Notify Customs of a change of Federal Aviation Administration or
other (foreign) registration number for the aircraft;
(ii) Notify Customs of the sale, theft, modification or destruction
of the aircraft;
(iii) Notify Customs of changes of usual or anticipated pilots or
crewmembers as specified in paragraph (c)(5) of this section. Every
pilot and crewmember participating in an overflight must have prior
Customs approval either through initial application and approval, or
through a supplemental application submitted by the new pilot or
crewmember and approved by Customs before commencement of the pilot's or
crewmember's first overflight.
(iv) Request permission from Customs to conduct an overflight to an
airport not listed in the initial overflight application as specified in
paragraph (c)(10) of this section. The request must be directed to the
port director who approved the initial request for an overflight
exemption.
(v) Retain copies of the initial request for an overflight
exemption, all supplemental applications from pilots or crewmembers, and
all requests for additional landing privileges as well as a copy of the
letter from Customs approving each of these requests. The copies must be
carried on board any aircraft during the conduct of an overflight.
(5) The notification specified in paragraph (d)(4) of this section
must be given to Customs within 5 working days of the change, sale,
theft, modification, or destruction, or before a flight for which there
is an exemption, whichever occurs earlier.
(e) Inspection of aircraft having or requesting overflight
exemption. Applicants for overflight exemptions must agree to make the
subject aircraft available for inspection by Customs to determine if the
aircraft is capable of meeting Customs requirements for the proper
conduct of an overflight. Inspections may be conducted during the review
of an initial application or at any time during the term of an
overflight exemption.
[T.D. 89-24, 53 FR 5429, Feb. 3, 1989, as amended by T.D. 89-24, 53 FR
6884 and 6988, Feb. 15, 1989; CBP Dec. 08-43, 73 FR 68312, Nov. 18,
2008]
Sec. 122.26 Entry and clearance.
Private aircraft, as defined in Sec. 122.1(h), arriving in the
United States as defined in Sec. 122.22, are not required to formally
enter. No later than 60 minutes prior to departure from the United
States as defined in Sec. 122.22, to a foreign location, manifest data
for each individual onboard a private aircraft and departure information
must be submitted as set forth in Sec. 122.22(c). Private aircraft must
not depart the United States to travel to a foreign location until CBP
confirms receipt of the appropriate manifest and departure information
as set forth in Sec. 122.22(c), and grants electronic clearance via
electronic mail or telephone.
[CBP Dec. 08-43, 73 FR 68312, Nov. 18, 2008]
Sec. 122.27 Documents required.
(a) Crewmembers and passengers. Crewmembers and passengers on a
private aircraft arriving in the U.S. shall make baggage declarations as
set forth in part 148 of this chapter. An oral declaration of articles
acquired in foreign areas shall be made, unless a written declaration on
Customs Form 6059-B is found necessary by inspecting officers.
(b) Cargo. (1) On arrival, cargo and unaccompanied baggage not
carried for hire aboard a private aircraft may be listed on a baggage
declaration on Customs Form 6059-B, and shall be entered. If the cargo
or unaccompanied baggage is not listed on a baggage declaration, it
shall be entered in the same manner as cargo carried for hire into the
U.S.
(2) On departure, when a private aircraft leaves the U.S. carrying
cargo not for hire, the Bureau of Census (15 CFR part 30) and the Export
Administration Regulations (15 CFR parts 730 through 774) and any other
applicable export laws shall be followed. A foreign landing certificate
or certified copy of a foreign Customs entry is required as proof of
exportation if the cargo includes:
[[Page 796]]
(i) Merchandise valued at more than $500.00; or
(ii) More than one case of alcoholic beverages withdrawn from a
Customs bonded warehouse or otherwise in bond for direct exportation by
private aircraft.
A foreign landing certificate, when required, shall be produced within
six months from the date of exportation and shall be signed by a revenue
officer of the foreign country to which the merchandise is exported,
unless it is shown that the country has no Customs administration, in
which case the certificate may be signed by the consignee or by the
vessel's agent at the place of landing.
(c) Pilot certificate/license, certificate of registration--(1)
Pilot certificate/license. A commander of a private aircraft arriving in
the U.S. must present for inspection a valid pilot certificate/license,
medical certificate, authorization, or license held by that person, when
presentation for inspection is requested by a Customs officer.
(2) Certificate of registration. A valid certificate of registration
for private aircraft which are U.S.-registered must also be presented
upon arrival in the U.S., when presentation for inspection is requested
by a Customs officer. A so-called ``pink slip'' is a duplicate copy of
the Aircraft Registration Application (FAA Form AC 8050-1), and does not
constitute a valid certificate of registration authorizing travel
internationally.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 91-61, 56 FR
32086, July 15, 1991; CBP Dec. 04-28, 69 FR 52599, Aug. 27, 2004]
Sec. 122.28 Private aircraft taken abroad by U.S. residents.
An aircraft belonging to a resident of the U.S. which is taken to a
foreign area for non-commercial purposes and then returned to the U.S.
by the resident shall be admitted under the conditions and procedures
set forth in Sec. 148.32 of this chapter. Repairs made abroad, and
accessories purchased abroad shall be included in the baggage
declaration as required by Sec. 148.32(c), and may be subject to entry
and payment of duty as provided in Sec. 148.32.
Sec. 122.29 Arrival fee and overtime services.
Private aircraft may be subject to the payment of an arrival fee for
services provided as set forth in Sec. 24.22 of this chapter. For the
procedures to be followed in requesting overtime services in connection
with the arrival of private aircraft, see Sec. 24.16 of this chapter.
[T.D. 93-85, 58 FR 54286, Oct. 21, 1993]
Sec. 122.30 Other Customs laws and regulations.
Sections 122.2 and 122.161 apply to private aircraft.
Subpart D_Landing Requirements
Sec. 122.31 Notice of arrival.
(a) Application. Except as provided in paragraph (b) of this
section, all aircraft entering the United States from a foreign area
must give advance notice of arrival.
(b) Exceptions for scheduled aircraft of a scheduled airline.
Advance notice is not required for aircraft of a scheduled airline
arriving under a regular schedule. The regular schedule must have been
filed with the port director for the airport where the first landing is
made.
(c) Giving notice of arrival--(1) Procedure--(i) Private aircraft.
The pilot of a private aircraft must give advance notice of arrival in
accordance with Sec. 122.22 of this part.
(ii) Aircraft arriving from Cuba. Aircraft arriving from Cuba must
follow the advance notice of arrival procedures set forth in
Sec. 122.154 in subpart O of this part.
(iii) Certain aircraft arriving from areas south of the United
States. Certain aircraft arriving from areas south of the United States
(other than Cuba) must follow the advance notice of arrival procedures
set forth in Sec. 122.23 of this part.
(iv) Other aircraft. The commander of an aircraft not otherwise
covered by paragraphs (c)(1)(i), (c)(1)(ii) and (c)(1)(iii) of this
section must give advance notice of arrival as set forth in paragraph
(d) of this section. Notice must be given to the port director at the
place of first landing, either:
[[Page 797]]
(A) Directly by radio, telephone, or other method; or
(B) Through Federal Aviation Administration flight notification
procedure (see International Flight Information Manual, Federal Aviation
Administration).
(2) Reliable facilities. When reliable means for giving notice are
not available (for example, when departure is from a remote place) a
departure must be made at a place where notice can be sent prior to
coming into the U.S.
(d) Contents of notice. The advance notice of arrival required by
aircraft covered in paragraph (c)(1)(iv) of this section must include
the following information:
(1) Type of aircraft and registration number;
(2) Name (last, first, middle, if available) of aircraft commander;
(3) Place of last foreign departure;
(4) International airport of intended landing or other place at
which landing has been authorized by CBP;
(5) Number of alien passengers;
(6) Number of citizen passengers; and
(7) Estimated time of arrival.
(e) Time of notice. Notice of arrival as required pursuant to
paragraph (c)(1)(iv) of this section must be furnished far enough in
advance to allow inspecting CBP officers to reach the place of first
landing of the aircraft prior to the aircraft's arrival.
(f) Notice of other Federal agencies. When advance notice is
received, the port director will inform any other concerned Federal
agency.
[CBP Dec. 08-43, 73 FR 68312, Nov. 18, 2008]
Sec. 122.32 Aircraft required to land.
(a) Any aircraft coming into the U.S., from an area outside of the
U.S., is required to land, unless it is denied permission to land in the
U.S. by CBP pursuant to Sec. 122.12(c), or is exempted from landing by
the Federal Aviation Administration.
(b) Conditional permission to land. CBP has the authority to limit
the locations where aircraft entering the U.S. from a foreign area may
land. As such, aircraft must land at the airport designated in their
APIS transmission unless instructed otherwise by CBP or changes to the
airport designation are required for aircraft and/or airspace safety as
directed by the Federal Aviation Administration (FAA) flight services.
[CBP Dec. 08-43, 73 FR 68313, Nov. 18, 2008]
Sec. 122.33 Place of first landing.
(a) The first landing of an aircraft entering the United States from
a foreign area will be:
(1) At a designated international airport (see Sec. 122.13),
provided that permission to land has not been denied pursuant to
Sec. 122.12(c);
(2) At a landing rights airport if permission to land has been
granted (see Sec. 122.14); or
(3) At a designated user fee airport if permission to land has been
granted (see Sec. 122.15).
(b) Permission to land at a landing rights airport or user fee
airport is not required for an emergency or forced landing (see
Sec. 122.35).
[T.D. 92-90, 57 FR 43397, Sept. 21, 1992, as amended by CBP Dec. 03-32,
68 FR 68170, Dec. 5, 2003]
Sec. 122.35 Emergency or forced landing.
(a) Application. This section applies to emergency or forced
landings made by aircraft when necessary for safety or the preservation
of life or health, when such aircraft are:
(1) Travelling from airport to airport in the U.S. under a permit to
proceed (see Sec. Sec. 122.52, 122.54 and 122.83(d)), or a Customs Form
7509 (see Sec. 122.113); or
(2) Coming into the U.S. from a foreign area.
(b) Notice. When an emergency or forced landing is made, notice
shall be given:
(1) To the Customs Service at the intended place of first landing,
nearest international airport, or nearest port of entry, as soon as
possible;
(2) By the aircraft commander, other person in charge, or aircraft
owner, who shall make a full report of the flight and the emergency or
forced landing.
(c) Passengers and crewmembers. The aircraft commander or other
person in charge shall keep all passengers and crewmembers in a separate
place at the landing area until Customs officers arrive. Passengers and
crewmembers may
[[Page 798]]
be removed if necessary for safety, or for the purpose of contacting
Customs.
(d) Merchandise and baggage. The aircraft commander or other person
in charge shall keep all merchandise and baggage together and unopened
at the landing area until Customs officers arrive. The merchandise and
baggage may be removed for safety or to protect property.
(e) Mail. Mail may be removed from the aircraft, but shall be
delivered at once to an officer or employee of the Postal Service.
Sec. 122.36 Responsibility of aircraft commander.
If an aircraft lands in the U.S. and Customs officers have not
arrived, the aircraft commander shall hold the aircraft, and any
merchandise or baggage on the aircraft for inspection. Passengers and
crewmembers shall be kept in a separate place until Customs officers
authorize their departure.
Sec. 122.37 Precleared aircraft.
(a) Application. This section applies when aircraft carrying crew,
passengers and baggage, or merchandise which has been precleared
pursuant to Sec. 148.22 of this chapter at a location listed in
Sec. 101.5 of this chapter and makes an unscheduled or unintended
landing at an airport in the U.S.
(b) Notice. The aircraft commander or agent shall give written
notice to the Customs office at:
(1) The intended place of unlading; and
(2) The place of preclearance.
(c) Time of notice. Notice shall be given within 7 days of the
unscheduled or unintended landing unless other arrangements have been
made in advance between the carrier and the port director.
Sec. 122.38 Permit and special license to unlade and lade.
(a) Applicability. Before any passengers, baggage, or merchandise
may be unladen or laden aboard on arrival or departure of an aircraft
subject to these regulations, a permit and/or special license to unlade
or lade shall be obtained from Customs.
(1) Permit to unlade or lade. A permit is required to obtain Customs
supervision of unlading and lading during official Customs duty hours.
(2) Special license to unlade or lade. A special license is required
to obtain Customs supervision of unlading and lading at any time not
within official Customs duty hours (generally, during overtime hours,
Sundays or holidays).
(b) Authorization required. A permit or special license shall be
required for each arrival and departure unless a term permit or special
license has been granted. No permit or special license shall be issued
unless the carrier complies with the terminal facilities and employee
list requirements of Sec. 4.30 of this chapter.
(c) Term permit or special license. A term permit or special license
may be issued covering all arrivals and departures during a period of up
to one year, providing local arrangements have been made to notify
Customs before services are needed. The notice shall specify the kinds
of services requested, and the exact times they will be needed. No term
permit or special license shall be issued, and any term permit or
special license already issued shall be revoked, unless the carrier
complies with the terminal facilities and employee list requirements of
Sec. 4.30 of this chapter. In addition, a term permit or special license
to unlade or lade already issued will not be applicable to any inbound
or outbound flight, with respect to which Customs and Border Protection
(CBP) has not received the advance electronic cargo information
required, respectively, under Sec. 122.48a or 192.14(b)(1)(ii) of this
chapter (see paragraph (g) of this section).
(d) Procedures. The application for a permit and special license to
unlade or lade shall be made by the owner, operator, or agent for an
aircraft on Customs Form 3171, and shall be submitted to the port
director for the airport where the unlading and lading will take place.
The application shall be accompanied by a bond on Customs Form 301,
containing the bond conditions set forth in subpart G of part 113 of
this chapter, or a cash deposit, unless this requirement is waived under
paragraph (e) of this section.
(e) Waiver of bond. To insure prompt and orderly clearance of the
aircraft, passengers, baggage, or merchandise,
[[Page 799]]
the port director may waive the requirement under paragraph (d) of this
section that either a bond or a cash deposit be made, if he is convinced
the revenue is protected and that all Customs requirements are
satisfied.
(f) Automatic renewal of term permit or special license. Automatic
renewal of a term permit or special license may be requested by the
owner, operator, or agent for an aircraft when a bond on Customs Form
301 containing the appropriate bond conditions set forth in subpart G of
part 113 of this chapter is on file. The request shall be for successive
annual periods which conform to the automatic renewal periods of the
bond. An application will be approved by the port director unless
specific reasons exist for denial. If a request for automatic renewal is
not approved, the port director shall notify the requestor, and shall
state the reasons for the denial. To apply for automatic renewal, item
10 on Customs Form 3171 shall be changed by adding the following words
after the period of time indicated: ``And automatic annual renewal
thereof for so long as the bond is renewed and remains in effect.''
(g) Advance receipt of electronic cargo information. The CBP will
not issue a permit to unlade or lade cargo upon arrival or departure of
an aircraft, and a term permit or special license already issued will
not be applicable to any inbound or outbound flight, with respect to
which CBP has not received the advance electronic cargo information
required, respectively, under Sec. 122.48a or 192.14 of this chapter. In
cases in which CBP does not receive complete cargo information in the
time and manner and in the electronic format required by Sec. 122.48a or
192.14 of this chapter, as applicable, CBP may delay issuance of a
permit or special license to unlade or lade cargo, and a term permit or
special license to unlade or lade already issued may not apply, until
all required information is received. The CBP may also decline to issue
a permit or special license to unlade or lade, and a term permit or
special license already issued may not apply, with respect to the
specific cargo for which advance information is not timely received
electronically, as specified in Sec. 122.48a or 192.14(b)(1)(ii) of this
chapter.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 94-2, 58 FR
68526, Dec. 28, 1993; CBP Dec. 03-32, 68 FR 68170, Dec. 5, 2003]
Subpart E_Aircraft Entry and Entry Documents; Electronic Manifest
Requirements for Passengers, Crew Members, and Non-Crew Members Onboard
Commercial Aircraft Arriving In, Continuing Within, and Overflying the
United States
Sec. 122.41 Aircraft required to enter.
All aircraft coming into the United States from a foreign area must
make entry under this subpart except:
(a) Public and private aircraft;
(b) Aircraft chartered by, and transporting only cargo that is the
property of, the U.S. Department of Defense (DoD), where the DoD-
chartered aircraft is manned entirely by the civilian crew of the air
carrier under contract to DoD; and
(c) Aircraft traveling from airport to airport in the U.S. under
subpart I, relating to residue cargo procedures.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by CBP Dec. 03-32, 68
FR 68170, Dec. 5, 2003]
Sec. 122.42 Aircraft entry.
(a) By whom. Entry shall be made by the aircraft commander or an
agent.
(b) Place of entry--(1) First landing at international airport.
Entry shall be made at the international airport at which first landing
is made.
(2) First landing at another airport. If the first landing is not at
an international airport pursuant to Sec. Sec. 122.14, 122.15, or
122.35, the aircraft commander or agent shall make entry at the nearest
international airport or port of entry, unless some other place is
allowed for the purpose.
(c) Delivery of forms. When the aircraft arrives, the aircraft
commander or agent shall deliver any required forms to the Customs
officer at the place of entry at once.
(d) Exception to entry requirement. Except for flights to Cuba
(provided for in subpart O of this part), an aircraft of a scheduled
airline which stops only for
[[Page 800]]
refueling at the first place or arrival in the U.S. shall not be
required to enter provided:
(1) That such aircraft departs within 24 hours after arrival;
(2) No cargo, crew, or passengers are off-loaded; and
(3) Landing rights at that airport as either a regular or alternate
landing place shall have been previously secured.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended at CBP Dec. 10-29, 75
FR 52452, Aug. 26, 2010]
Sec. 122.43 General declaration.
(a) When required. A general declaration, Customs Form 7507, shall
be filed for all aircraft required to enter under Sec. 122.41 (Aircraft
required to enter).
(b) Exception. Aircraft arriving directly from Canada on a flight
beginning in Canada and ending in the U.S. need not file a general
declaration to enter. Instead, an air cargo manifest (see Sec. 122.48)
may be filed in place of the general declaration, regardless of whether
cargo is on board. The air cargo manifest shall state the following:
I certify to the best of my knowledge and belief that this manifest
contains an exact and true account of all cargo on board this aircraft.
Signature_______________________________________________________________
(Aircraft Commander or Agent)
(c) Form. The general declaration shall be on Customs Form 7507 or
on a privately printed form prepared under Sec. 122.5. The form shall
contain all required information, unless the information is given in
some other manner under subpart E of this part.
Sec. 122.44 Crew baggage declaration.
If an aircraft enters the U.S. from a foreign area, aircraft
crewmembers shall file a crew baggage declaration as provided in subpart
G, part 148 of this chapter.
Sec. 122.45 Crew list.
(a) When required. A crew list shall be filed by all aircraft
required to enter under Sec. 122.41.
(b) Exception. No crew list is required for aircraft arriving
directly from Canada on a flight beginning in Canada and ending in the
U.S. Instead, the total number of crewmembers may be shown on the
general declaration.
(c) Form. The crew list shall show the full name (last name, first
name, middle initial) of each crewmember, either:
(1) On the general declaration in the column headed ``Total Number
of Crew''; or
(2) On a separate, clearly marked document.
(d) Crewmembers returning as passengers. Crewmembers of any aircraft
returning to the U.S. as passengers on a commercial aircraft from a trip
on which they were employed as crewmembers shall be listed on the
aircraft general declaration or crew list.
Sec. 122.46 Crew purchase list.
(a) When required. A crew purchase list shall be filed with the
general declaration for any aircraft required to enter under
Sec. 122.41.
(b) Exception. A crew purchase list is not required for aircraft
arriving directly from Canada on a flight beginning in Canada and ending
in the U.S. If a written crew declaration is required for the aircraft
under subpart G of part 148 of this chapter (Crewmember Declarations and
Exemptions), it shall be attached to the air cargo manifest, along with
the number of any written crew declarations.
(c) Form. If a crewmember enters articles for which a written crew
declaration is not required (see subpart G, part 148 of this chapter),
the articles shall be listed next to the crewmember's name on the
general declaration, or on the attached crew purchase list. Articles
listed on a written crew declaration need not be listed on the crew
purchase list if:
(1) The crew declaration is attached to the general declaration, or
to the crew list which in turn is attached to the general declaration;
and
(2) The statement ``Crew purchases as per attached crew
declaration'' appears on the general declaration or crew list.
Sec. 122.47 Stores list.
(a) When required. A stores list shall be filed for all aircraft
required to enter under Sec. 122.41.
(b) Form. The aircraft stores shall be listed on the cargo manifest
or on a
[[Page 801]]
separate list. If the stores are listed on a separate list, the list
must be attached to the cargo manifest. The statement ``Stores List
Attached'' must appear on the cargo manifest.
(c) Contents--(1) Required listing. The stores list shall include
all of the following:
(i) Alcoholic beverages, cigars, cigarettes and narcotic drugs,
whether domestic or foreign;
(ii) Bonded merchandise arriving as stores;
(iii) Foreign merchandise arriving as stores; and
(iv) Equipment which must be licensed by the Secretary of State (see
Sec. 122.48(b)).
(2) Other articles. In the case of aircraft of scheduled airlines,
other domestic supplies and equipment (if not subject to license) and
fuel may be dropped from the stores list if the statement ``Domestic
supplies and equipment and fuel for immediate flight only, except as
noted'' appears on the cargo manifest or on the separate stores list.
The stores list shall be attached to the cargo manifest.
(d) Other statutes. Section 446, Tariff Act of 1930, as amended (19
U.S.C. 1446), which covers supplies and stores kept on board vessels,
applies to aircraft arriving in the U.S. from any foreign area.
Sec. 122.48 Air cargo manifest.
(a) When required. Except as provided in paragraphs (d) and (e) of
this section, an air cargo manifest need not be filed or retained aboard
the aircraft for any aircraft required to enter under Sec. 122.41.
However, an air cargo manifest for all cargo on board must otherwise be
available for production upon demand. The general declaration must be
filed as provided in Sec. 122.43.
(b) Exception. A cargo manifest is not required for merchandise,
baggage and stores arriving from and departing for a foreign country on
the same through flight. Any cargo manifest already on board may be
inspected. All articles on board which must be licensed by the Secretary
of State shall be listed on the cargo manifest. Company mail shall be
listed on the cargo manifest.
(c) Form. The air cargo manifest, Customs Form 7509, must contain
all required information regarding all cargo on board the aircraft,
except that a more complete description of the cargo shipped may be
provided by attaching to the manifest copies of the air waybills
covering the cargo on board, including, if a consolidated shipment, any
house air waybills. When copies of air waybills are attached, the
statement ``Cargo as per air waybills attached'' must appear on the
manifest. The manifest must reference an 11-digit air waybill number for
each air waybill it covers. The air waybill number must not be used by
the issuer for another air waybill for a period of one year after
issuance.
(d) Unaccompanied baggage. Unaccompanied baggage arriving in the
U.S. under a check number from any foreign country by air and presented
timely to Customs may be authorized for delivery by the carrier after
inspection and examination without preparation of an entry, declaration,
or being manifested as cargo. Such baggage must be found to be free of
duty or tax under any provision of Chapter 98, HTSUS (19 U.S.C. 1202),
and cannot be restricted or prohibited. Unaccompanied checked baggage
not presented timely to Customs or presented timely and found by Customs
to be dutiable, restricted, or prohibited may be subject to seizure.
Such unaccompanied checked baggage shall be added to the cargo list in
columns under the following headings:
--------------------------------------------------------------------------------------------------------------------------------------------------------
Name of examining
Check No. Description Where from Destination officer Disposition
--------------------------------------------------------------------------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------------------------------------------------------------------------
The two columns, headed ``Name of examining officer'' and
``Disposition,'' are provided on the cargo manifest for the use of
Customs officers. Unaccompained unchecked baggage arriving as air
express or freight shall be manifested as other air express or freight.
(e) Accompanied baggage in transit. This section applies when
accompanied baggage enters into the U.S. in one aircraft and leaves the
U.S. in another aircraft. When passengers do not have access to their
baggage while in transit
[[Page 802]]
through the U.S., the baggage is considered cargo and shall be listed on
Customs Form 7509, Air Cargo Manifest.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 89-1, 53 FR
51255, Dec. 21, 1988; T.D. 02-51, 67 FR 55721, Aug. 30, 2002; CBP Dec.
03-32, 68 FR 68170, Dec. 5, 2003]
Sec. 122.48a Electronic information for air cargo required in advance
of arrival.
(a) General requirement. Pursuant to section 343(a), Trade Act of
2002, as amended (19 U.S.C. 2071 note), for any inbound aircraft
required to enter under Sec. 122.41, that will have commercial cargo
aboard, Customs and Border Protection (CBP) must electronically receive
from the inbound air carrier and, if applicable, an approved party as
specified in paragraph (c)(1) of this section, certain information
concerning the incoming cargo, as enumerated, respectively, in
paragraphs (d)(1) and (d)(2) of this section. The CBP must receive such
information no later than the time frame prescribed in paragraph (b) of
this section. The advance electronic transmission of the required cargo
information to CBP must be effected through a CBP-approved electronic
data interchange system.
(1) Cargo remaining aboard aircraft; cargo to be entered under bond.
Air cargo arriving from and departing for a foreign country on the same
through flight and cargo that is unladen from the arriving aircraft and
entered, in bond, for exportation, or for transportation and exportation
(see subpart J of this part), are subject to the advance electronic
information filing requirement under paragraph (a) of this section.
(2) Diplomatic Pouches and Diplomatic Cargo. When goods comprising a
diplomatic or consular bag (including cargo shipments, containers, and
the like identified as Diplomatic Pouch) that belong to the United
States or to a foreign government are shipped under an air waybill, such
cargo is subject to the advance reporting requirements, but the
description of the shipment as Diplomatic Pouch will be sufficient
detail for description. Shipments identified as Diplomatic Cargo, such
as office supplies or unaccompanied household goods, are subject to the
advance reporting requirements of paragraph (a) of this section.
(b) Time frame for presenting data--(1) Nearby foreign areas. In the
case of aircraft under paragraph (a) of this section that depart for the
United States from any foreign port or place in North America, including
locations in Mexico, Central America, South America (from north of the
Equator only), the Caribbean, and Bermuda, CBP must receive the required
cargo information no later than the time of the departure of the
aircraft for the United States (the trigger time is no later than the
time that wheels are up on the aircraft, and the aircraft is en route
directly to the United States).
(2) Other foreign areas. In the case of aircraft under paragraph (a)
of this section that depart for the United States from any foreign area
other than that specified in paragraph (b)(1) of this section, CBP must
receive the required cargo information no later than 4 hours prior to
the arrival of the aircraft in the United States.
(c) Party electing to file advance electronic cargo data--(1) Other
filer. In addition to incoming air carriers for whom participation is
mandatory, one of the following parties meeting the qualifications of
paragraph (c)(2) of this section, may elect to transmit to CBP the
electronic data for incoming cargo that is listed in paragraph (d)(2) of
this section:
(i) An Automated Broker Interface (ABI) filer (importer or its
Customs broker) as identified by its ABI filer code;
(ii) A Container Freight Station/deconsolidator as identified by its
FIRMS (Facilities Information and Resources Management System) code;
(iii) An Express Consignment Carrier Facility as identified by its
FIRMS code; or,
(iv) An air carrier as identified by its carrier IATA (International
Air Transport Association) code, that arranged to have the incoming air
carrier transport the cargo to the United States.
(2) Eligibility. To be qualified to file cargo information
electronically, a party identified in paragraph (c)(1) of this section
must establish the communication protocol required by CBP for
[[Page 803]]
properly presenting cargo information through the approved data
interchange system. Also, other than a broker or an importer (see
Sec. 113.62(k)(2) of this chapter), the party must possess a Customs
international carrier bond containing all the necessary provisions of
Sec. 113.64 of this chapter.
(3) Nonparticipation by other party. If another party as specified
in paragraph (c)(1) of this section does not participate in advance
electronic cargo information filing, the party that arranges for and/or
delivers the cargo shipment to the incoming carrier must fully disclose
and present to the carrier the cargo information listed in paragraph
(d)(2) of this section; and the incoming carrier, on behalf of the
party, must present this information electronically to CBP under
paragraph (a) of this section.
(4) Required information in possession of third party. Any other
entity in possession of required cargo data that is not the incoming air
carrier or a party described in paragraph (c)(1) of this section must
fully disclose and present the required data for the inbound air cargo
to either the air carrier or other electronic filer, as applicable,
which must present such data to CBP.
(5) Party receiving information believed to be accurate. Where the
party electronically presenting the cargo information required in
paragraph (d) of this section receives any of this information from
another party, CBP will take into consideration how, in accordance with
ordinary commercial practices, the presenting party acquired such
information, and whether and how the presenting party is able to verify
this information. Where the presenting party is not reasonably able to
verify such information, CBP will permit the party to electronically
present the information on the basis of what that party reasonably
believes to be true.
(d) Non-consolidated/consolidated shipments. For non-consolidated
shipments, the incoming air carrier must transmit to CBP all of the
information for the air waybill record, as enumerated in paragraph
(d)(1) of this section. For consolidated shipments: the incoming air
carrier must transmit to CBP the information listed in paragraph (d)(1)
of this section that is applicable to the master air waybill; and the
air carrier must transmit cargo information for all associated house air
waybills as enumerated in paragraph (d)(2) of this section, unless
another party as described in paragraph (c)(1) of this section
electronically transmits this information directly to CBP.
(1) Cargo information from air carrier. The incoming air carrier
must present to CBP the following data elements for inbound air cargo
(an ``M'' next to any listed data element indicates that the data
element is mandatory in all cases; a ``C'' next to the listed data
element indicates that the data element is conditional and must be
transmitted to CBP only if the particular information pertains to the
inbound cargo):
(i) Air waybill number (M) (The air waybill number is the
International Air Transport Association (IATA) standard 11-digit
number);
(ii) Trip/flight number (M);
(iii) Carrier/ICAO (International Civil Aviation Organization) code
(M) (The approved electronic data interchange system supports both 3-
and 2-character ICAO codes, provided that the final digit of the 2-
character code is not a numeric value);
(iv) Airport of arrival (M) (The 3-alpha character ICAO code
corresponding to the first airport of arrival in the Customs territory
of the United States (for example, Chicago O'Hare = ORD; Los Angeles
International Airport = LAX));
(v) Airport of origin (M) (The 3-alpha character ICAO code
corresponding to the airport from which a shipment began its
transportation by air to the United States (for example, if a shipment
began its transportation from Hong Kong (HKG), and it transits through
Narita, Japan (NRT), en route to the United States, the airport of
origin is HKG, not NRT));
(vi) Scheduled date of arrival (M);
(vii) Total quantity based on the smallest external packing unit (M)
(for example, 2 pallets containing 50 pieces each would be considered as
100, not 2);
(viii) Total weight (M) (may be expressed in either pounds or
kilograms);
(ix) Precise cargo description (M) (for consolidated shipments, the
word ``Consolidation'' is a sufficient description for the master air
waybill record;
[[Page 804]]
for non-consolidated shipments, a precise cargo description or the 6-
digit Harmonized Tariff Schedule (HTS) number must be provided (generic
descriptions, specifically those such as ``FAK'' (``freight of all
kinds''), ``general cargo'', and ``STC'' (``said to contain'') are not
acceptable));
(x) Shipper name and address (M) (for consolidated shipments, the
identity of the consolidator, express consignment or other carrier, is
sufficient for the master air waybill record; for non-consolidated
shipments, the name of the foreign vendor, supplier, manufacturer, or
other similar party is acceptable (and the address of the foreign
vendor, etc., must be a foreign address); by contrast, the identity of a
carrier, freight forwarder or consolidator is not acceptable);
(xi) Consignee name and address (M) (for consolidated shipments, the
identity of the container station, express consignment or other carrier
is sufficient for the master air waybill record; for non-consolidated
shipments, the name and address of the party to whom the cargo will be
delivered is required, with the exception of ``FROB'' (Foreign Cargo
Remaining On Board); this party need not be located at the arrival or
destination port);
(xii) Consolidation identifier (C);
(xiii) Split shipment indicator (C) (see paragraph (d)(3) of this
section for the specific data elements that must be presented to CBP in
the case of a split shipment);
(xiv) Permit to proceed information (C) (this element includes the
permit-to-proceed destination airport (the 3-alpha character ICAO code
corresponding to the permit-to-proceed destination airport); and the
scheduled date of arrival at the permit-to-proceed destination airport);
(xv) Identifier of other party which is to submit additional air
waybill information (C);
(xvi) In-bond information (C) (this data element includes the
destination airport; the international/domestic identifier (the in-bond
type indicator); the in-bond control number, if there is one (C); and
the onward carrier identifier, if applicable (C)); and
(xvii) Local transfer facility (C) (this facility is a Container
Freight Station as identified by its FIRMS code, or the warehouse of
another air carrier as identified by its carrier code).
(2) Cargo information from carrier or other filer. The incoming air
carrier must present the following additional information to CBP for the
incoming cargo, unless another party as specified in paragraph (c)(1) of
this section elects to present this information directly to CBP.
Information for all house air waybills under a single master air waybill
consolidation must be presented electronically to CBP by the same party.
(An ``M'' next to any listed data element indicates that the data
element is mandatory in all cases; a ``C'' next to any listed data
element indicates that the data element is conditional and must be
transmitted to CBP only if the particular information pertains to the
inbound cargo):
(i) The master air waybill number and the associated house air
waybill number (M) (the house air waybill number may be up to 12
alphanumeric characters (each alphanumeric character that is indicated
on the paper house air waybill document must be included in the
electronic transmission; alpha characters may not be eliminated));
(ii) Foreign airport of origin (M) (The 3-alpha character ICAO code
corresponding to the airport from which a shipment began its
transportation by air to the United States (for example, if a shipment
began its transportation from Hong Kong (HKG), and it transits through
Narita, Japan (NRT), en route to the United States, the airport of
origin is HKG, not NRT));
(iii) Cargo description (M) (a precise description of the cargo or
the 6-digit Harmonized Tariff Schedule (HTS) number must be provided);
(iv) Total quantity based on the smallest external packing unit (M)
(for example, 2 pallets containing 50 pieces each would be considered as
100, not 2);
(v) Total weight of cargo (M) (may be expressed in either pounds or
kilograms);
(vi) Shipper name and address (M) (the name of the foreign vendor,
supplier, manufacturer, or other similar party is acceptable (and the
address of the foreign vendor, etc., must be a foreign address); by
contrast, the identity
[[Page 805]]
of a carrier, freight forwarder or consolidator is not acceptable);
(vii) Consignee name and address (M) (the name and address of the
party to whom the cargo will be delivered in the United States, with the
exception of ``FROB'' (Foreign Cargo Remaining On Board); this party
need not be located at the arrival or destination port); and
(viii) In-bond information (C) (this data element includes the
destination airport; the international/domestic identifier (the in-bond
type indicator); the in-bond control number, if there is one (C); and
the onward carrier identifier, if applicable (C)).
(3) Additional cargo information from air carrier; split shipment.
When the incoming air carrier elects to transport cargo covered under a
single consolidated air waybill on more than one aircraft as a split
shipment (see Sec. 141.57 of this chapter), the carrier must report the
following additional information for each house air waybill covered
under the consolidation (An ``M'' next to any listed data element
indicates that the data element is mandatory in all cases; a ``C'' next
to any listed data element indicates that the data element is
conditional and must be transmitted to CBP only if the particular
information pertains to the inbound cargo):
(i) The master and house air waybill number (M) (The master air
waybill number is the IATA standard 11-digit number; the house air
waybill number may be up to 12 alphanumeric characters (each
alphanumeric number that is indicated on the paper house air waybill
must be included in the electronic transmission; alpha characters may
not be eliminated));
(ii) The trip/flight number (M);
(iii) The carrier/ICAO code (M) (The approved electronic data
interchange system supports both 3- and 2-character ICAO codes, provided
that the final digit of the 2-character code is not a numeric value);
(iv) The airport of arrival (M) (The 3-alpha character ICAO code
corresponding to the first airport of arrival in the Customs territory
of the United States (for example, Chicago O'Hare = ORD; Los Angeles
International Airport = LAX));
(v) The airport of origin (M) (The 3-alpha character ICAO code
corresponding to the airport from which a shipment began its
transportation by air to the United States (for example, if a shipment
began its transportation from Hong Kong (HKG), and it transits through
Narita, Japan (NRT), en route to the United States, the airport of
origin is HKG, not NRT));
(vi) Scheduled date of arrival (M);
(vii) The total quantity of the cargo covered by the house air
waybill based on the smallest external packing unit (M) (For example, 2
pallets containing 50 pieces each would be considered as 100, not 2);
(viii) The total weight of the cargo covered by the house air
waybill (M) (May be expressed in either pounds or kilograms);
(ix) Description (M) (This description should mirror the precise
level of cargo description information that is furnished to the incoming
carrier by the other electronic filer, if applicable (see paragraph
(c)(1) of this section));
(x) Permit-to-proceed information (C) (This element includes the
permit-to-proceed destination airport (the 3-alpha character ICAO code
corresponding to the permit-to-proceed destination airport); and the
scheduled date of arrival at the permit-to-proceed destination airport);
(xi) Boarded quantity (C) (The quantity of the cargo covered by the
house air waybill (see paragraph (d)(3)(vii) of this section) that is
included in the incoming portion of the split shipment); and
(xii) Boarded weight (C) (The weight of the cargo covered by the
house air waybill (see paragraph (d)(3)(viii) of this section) that is
included in the incoming portion of the split shipment).
[CBP Dec. 03-32, 68 FR 68170, Dec. 5, 2003, as amended at CBP Dec. 08-
46, 73 FR 71782, Nov. 25, 2008; CBP Dec. 09-39, 74 FR 52677, Oct. 14,
2009]
Sec. 122.49 Correction of air cargo manifest or air waybill.
(a) Shortages--(1) Reporting. Shortages (merchandise listed on the
manifest or air waybill but not found) shall be reported to the port
director by the aircraft commander or agent. The report shall be made:
[[Page 806]]
(i) On a Customs Form 5931, filled out and signed by the importer
and the importing or bonded carrier; or
(ii) On a Customs Form 5931, filled out and signed by the importer
alone under Sec. 158.3 of this chapter; or
(iii) On a copy of the cargo manifest, which shall be marked
``Shortage Declaration,'' and must list the merchandise involved and the
reasons for the shortage.
(2) Time to file. Shortages shall be reported within the time set
out in part 158 of this chapter, or within 30 days of aircraft entry.
(3) Evidence. The aircraft commander or agent shall supply proof of
the claim that:
(i) Shortage merchandise was not imported, or was properly disposed
of; or
(ii) That corrective action was taken. This proof shall be kept in
the carrier file for one year from the date of aircraft entry.
(b) Overages--(1) Reporting. Overages (merchandise found but not
listed on the manifest or air waybill) shall be reported to the port
director by the aircraft commander or agent. The report shall be made:
(i) On a Customs Form 5931; or
(ii) On a separate copy of the cargo manifest which is marked ``Post
Entry'' and lists the overage merchandise and the reason for the
overage.
(2) Time to file. Overages shall be reported within 30 days of
aircraft entry.
(3) Evidence. Satisfactory proof of the reasons for the overage
shall be kept on file by the carrier for one year from the date of the
report.
(c) Statement on cargo manifest. If the air cargo manifest is used
to report shortages or overages, the Shortages Declaration or Post Entry
must include the signed statement of the aircraft commander or agent as
follows:
I declare to the best of my knowledge and belief that the
discrepancy described herein occurred for the reason stated. I also
certify that evidence to support the explanation of the discrepancy will
be retained in the carrier's files for a period of at least one year and
will be made available to Customs on demand.
Signature_______________________________________________________________
(Aircraft Commander or Agent)
(d) Notice by port director. The port director shall immediately
notify the aircraft commander or agent of any shortages or overages that
were not reported by the aircraft commander or agent. Notice shall be
given by sending a copy of Customs Form 5931 to the aircraft commander
or agent, or in any other appropriate way. The aircraft commander or
agent shall make a satisfactory reply within 30 days of entry of the
aircraft or receipt of the notice, whichever is later.
(e) Correction not required. A correction in the manifest or air
waybill is not required if:
(1) The port director is satisfied that the difference between the
quantity of bulk merchandise listed on the manifest or air waybill, and
the quantity unladen, is the usual difference caused by absorption or
loss of moisture, temperature, faulty weighing at the airport, or other
such reason; and
(2) The marks or numbers on merchandise packages are different from
the marks or numbers listed on the cargo manifest for those packages if
the quantity and description of the merchandise is given correctly.
(f) Statutes applicable. If an aircraft arrives in the U.S. from a
foreign area with merchandise and unaccompanied baggage for which a
manifest or air waybill must be filed, section 584 (concerning manifest
violations), Tariff Act of 1930, as amended (19 U.S.C. 1584, applies.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 98-74, 63 FR
51288, Sept. 25, 1998]
Sec. 122.49a Electronic manifest requirement for passengers onboard
commercial aircraft arriving in the United States.
(a) Definitions. The following definitions apply for purposes of
this section:
Appropriate official. ``Appropriate official'' means the master or
commanding officer, or authorized agent, owner, or consignee, of a
commercial aircraft; this term and the term ``carrier'' are sometimes
used interchangeably.
Carrier. See ``Appropriate official.''
Commercial aircraft. ``Commercial aircraft'' has the meaning
provided in Sec. 122.1(d) and includes aircraft engaged in passenger
flight operations, all-cargo flight operations, and dual flight
[[Page 807]]
operations involving the transport of both cargo and passengers.
Crew Member. ``Crew member'' means a person serving on board an
aircraft in good faith in any capacity required for normal operation and
service of the flight. In addition, the definition of ``crew member''
applicable to this section should not be applied in the context of other
customs laws, to the extent this definition differs from the meaning of
``crew member'' contemplated in such other customs laws.
Departure. ``Departure'' means the point at which the wheels are up
on the aircraft and the aircraft is en route directly to its
destination.
Emergency. ``Emergency'' means, with respect to an aircraft arriving
at a U.S. port due to an emergency, an urgent situation due to a
mechanical, medical, or security problem affecting the flight, or to an
urgent situation affecting the non-U.S. port of destination that
necessitates a detour to a U.S. port.
Passenger. ``Passenger'' means any person, including a Federal
Aviation Administration (FAA) Aviation Security Inspector with valid
credentials and authorization, being transported on a commercial
aircraft who is not a crew member.
Securing the aircraft. ``Securing the aircraft'' means the moment
the aircraft's doors are closed and secured for flight.
United States. ``United States'' means the continental United
States, Alaska, Hawaii, Puerto Rico, Guam, the Commonwealth of the
Northern Mariana Islands (beginning November 28, 2009), and the Virgin
Islands of the United States.
(b) Electronic arrival manifest--(1) General (i)--Basic requirement.
Except as provided in paragraph (c) of this section, an appropriate
official of each commercial aircraft (carrier) arriving in the United
States from any place outside the United States must transmit to the
Advance Passenger Information System (APIS; referred to in this section
as the Customs and Border Protection (CBP) system), the electronic data
interchange system approved by CBP for such transmissions, an electronic
passenger arrival manifest covering all passengers checked in for the
flight. A passenger manifest must be transmitted separately from a crew
member manifest required under Sec. 122.49b if transmission is in U.S.
EDIFACT format. The passenger manifest must be transmitted to the CBP
system at the place and time specified in paragraph (b)(2) of this
section, in the manner set forth under paragraph (b)(1)(ii) of this
section.
(ii) Transmission of manifests. A carrier required to make passenger
arrival manifest transmissions to the CBP system under paragraph
(b)(1)(i) of this section must make the required transmissions, covering
all passengers checked in for the flight, in accordance with either
paragraph (b)(1)(ii)(A), (B), (C), or (D) of this section, as follows:
(A) Non-interactive batch transmission option. A carrier that
chooses not to transmit required passenger manifests by means of a CBP-
certified interactive electronic transmission system under paragraph
(b)(1)(ii)(B), (C), or (D) of this section must make batch manifest
transmissions in accordance with this paragraph (b)(1)(ii)(A) by means
of a non-interactive electronic transmission system approved by CBP. The
carrier may make a single, complete batch manifest transmission
containing the data required under paragraph (b)(3) of this section for
all passengers checked in for the flight or two or more partial batch
manifest transmissions, each containing the required data for the
identified passengers and which together cover all passengers checked in
for the flight. After receipt of the manifest information, the CBP
system will perform an initial security vetting of the data and send to
the carrier by a non-interactive transmission method a ``not-cleared''
instruction for passengers identified as requiring additional security
analysis and a ``selectee'' instruction for passengers requiring
secondary screening (e.g., additional examination of the person and/or
his baggage) under applicable Transportation Security Administration
(TSA) requirements. The carrier must designate as a ``selectee'' any
passenger so identified during initial security vetting, in accordance
with applicable TSA requirements. The carrier must not issue a boarding
pass to, or
[[Page 808]]
load the baggage of, any passenger subject to a ``not-cleared''
instruction and must contact TSA to seek resolution of the ``not-
cleared'' instruction by providing, if necessary, additional relevant
information relative to the ``not-cleared'' passenger. TSA will notify
the carrier if the ``not-cleared'' passenger is cleared for boarding or
downgraded to ``selectee'' status based on the additional security
analysis.
(B) Interactive batch transmission option. A carrier, upon obtaining
CBP certification, in accordance with paragraph (b)(1)(ii)(E) of this
section, may make manifest transmissions by means of an interactive
electronic transmission system configured for batch transmission of data
and receipt from the CBP system of appropriate messages. A carrier
operating under this paragraph must make transmissions by transmitting a
single, complete batch manifest containing the data required under
paragraph (b)(3) of this section for all passengers checked in for the
flight or two or more partial batch manifests, each containing the
required data for the identified passengers and which together cover all
passengers checked in for the flight. In the case of connecting
passengers arriving at the connecting airport already in possession of
boarding passes for a U.S.-bound flight whose data have not been
collected by the carrier, the carrier must transmit all required
manifest data for these passengers when they arrive at the gate, or some
other suitable place designated by the carrier, for the flight. After
receipt of the manifest information, the CBP system will perform an
initial security vetting of the data and send to the carrier by
interactive electronic transmission, as appropriate, a ``cleared''
instruction for passengers not matching against the watch list, a ``not-
cleared'' instruction for passengers identified as requiring additional
security analysis, and a ``selectee'' instruction for passengers who
require secondary screening (e.g., additional examination of the person
and/or his baggage) under applicable TSA requirements. The carrier must
designate as a ``selectee'' any passenger so identified during initial
security vetting, in accordance with applicable TSA requirements. The
carrier must not issue a boarding pass to, or load the baggage of, any
passenger subject to a ``not-cleared'' instruction and, in the case of
connecting passengers (as described in this paragraph), the carrier must
not board or load the baggage of any such passenger until the CBP system
returns a ``cleared'' or ``selectee'' response for that passenger. Where
a ``selectee'' instruction is received for a connecting passenger, the
carrier must ensure that such passenger undergoes secondary screening
before boarding. The carrier must seek resolution of a ``not-cleared''
instruction by contacting TSA and providing, if necessary, additional
relevant information relative to the ``not-cleared'' passenger. Upon
completion of the additional security analysis, TSA will notify the
carrier if a ``not-cleared'' passenger is cleared for boarding or
downgraded to ``selectee'' status based on the additional security
analysis. No later than 30 minutes after the securing of the aircraft,
the carrier must transmit to the CBP system a message reporting any
passengers who checked in but were not onboard the flight. The message
must identify the passengers by a unique identifier selected or devised
by the carrier or by specific passenger data (e.g., name) and may
contain the unique identifiers or data for all passengers onboard the
flight or for only those passengers who checked in but were not onboard
the flight.
(C) Interactive individual passenger information transmission
option. A carrier, upon obtaining CBP certification, in accordance with
paragraph (b)(1)(ii)(E) of this section, may make manifest transmissions
by means of an interactive electronic transmission system configured for
transmitting individual passenger data for each passenger and for
receiving from the CBP system appropriate messages. A carrier operating
under this paragraph must make such transmissions as individual
passengers check in for the flight or, in the case of connecting
passengers arriving at the connecting airport already in possession of
boarding passes for a U.S.-bound flight whose data have not been
collected by the carrier, as these connecting passengers arrive at the
gate, or some other suitable place designated
[[Page 809]]
by the carrier, for the flight. With each transmission of manifest
information by the carrier, the CBP system will perform an initial
security vetting of the data and send to the carrier by interactive
electronic transmission, as appropriate, a ``cleared'' instruction for
passengers not matching against the watch list, a ``not-cleared''
instruction for passengers identified as requiring additional security
analysis, and a ``selectee'' instruction for passengers requiring
secondary screening (e.g., additional examination of the person and/or
his baggage) under applicable TSA requirements. The carrier must
designate as a ``selectee'' any passenger so identified during initial
security vetting, in accordance with applicable TSA requirements. The
carrier must not issue a boarding pass to, or load the baggage of, any
passenger subject to a ``not-cleared'' instruction and, in the case of
connecting passengers (as described in this paragraph), must not board
or load the baggage of any such passenger until the CBP system returns a
``cleared'' or ``selectee'' response for that passenger. Where a
``selectee'' instruction is received by the carrier for a connecting
passenger, the carrier must ensure that secondary screening of the
passenger is conducted before boarding. The carrier must seek resolution
of a ``not-cleared'' instruction by contacting TSA and providing, if
necessary, additional relevant information relative to the ``not-
cleared'' passenger. Upon completion of the additional security
analysis, TSA will notify the carrier if a ``not-cleared'' passenger is
cleared for boarding or downgraded to ``selectee'' status based on the
additional security analysis. No later than 30 minutes after the
securing of the aircraft, the carrier must transmit to the CBP system a
message reporting any passengers who checked in but were not onboard the
flight. The message must identify the passengers by a unique identifier
selected or devised by the carrier or by specific passenger data (name)
and may contain the unique identifiers or data for all passengers
onboard the flight or for only those passengers who checked in but were
not onboard the flight.
(D) Combined use of interactive methods. If certified to do so, a
carrier may make transmissions under both paragraphs (b)(1)(ii)(B) and
(C) of this section for a particular flight or for different flights.
(E) Certification. Before making any required manifest transmissions
under paragraph (b)(1)(ii)(B) or (C) of this section, a carrier must
subject its electronic transmission system to CBP testing, and CBP must
certify that the carrier's system is then presently capable of
interactively communicating with the CBP system for effective
transmission of manifest data and receipt of appropriate messages in
accordance with those paragraphs.
(2) Place and time for submission. The appropriate official
specified in paragraph (b)(1)(i) of this section (carrier) must transmit
the arrival manifest or manifest data as required under paragraphs
(b)(1)(i) and (ii) of this section to the CBP system (CBP Data Center,
CBP Headquarters), in accordance with the following:
(i) For manifests transmitted under paragraph (b)(1)(ii)(A) or (B)
of this section, no later than 30 minutes prior to the securing of the
aircraft;
(ii) For manifest information transmitted under paragraph
(b)(1)(ii)(C) of this section, no later than the securing of the
aircraft;
(iii) For flights not originally destined to the United States but
diverted to a U.S. port due to an emergency, no later than 30 minutes
prior to arrival; in cases of non-compliance, CBP will take into
consideration whether the carrier was equipped to make the transmission
and the circumstances of the emergency situation; and
(iv) For an aircraft operating as an air ambulance in service of a
medical emergency, no later than 30 minutes prior to arrival; in cases
of non-compliance, CBP will take into consideration whether the carrier
was equipped to make the transmission and the circumstances of the
emergency situation.
(3) Information required. Except as provided in paragraph (c) of
this section, the electronic passenger arrival manifest required under
paragraph (b)(1) of this section must contain the following information
for all passengers, except that the information specified in paragraphs
(b)(iv), (v), (x),
[[Page 810]]
(xii), (xiii), and (xiv) of this section must be included on the
manifest only on or after October 4, 2005:
(i) Full name (last, first, and, if available, middle);
(ii) Date of birth;
(iii) Gender (F = female; M = male);
(iv) Citizenship;
(v) Country of residence;
(vi) Status on board the aircraft;
(vii) Travel document type (e.g., P = passport; A = alien
registration card);
(viii) Passport number, if a passport is required;
(ix) Passport country of issuance, if a passport is required;
(x) Passport expiration date, if a passport is required;
(xi) Alien registration number, where applicable;
(xii) Address while in the United States (number and street, city,
state, and zip code), except that this information is not required for
U.S. citizens, lawful permanent residents, or persons who are in transit
to a location outside the United States;
(xiii) Passenger Name Record locator, if available;
(xiv) International Air Transport Association (IATA) code of foreign
port/place where transportation to the United States began (foreign port
code);
(xv) IATA code of port/place of first arrival (arrival port code);
(xvi) IATA code of final foreign port/place of destination for in-
transit passengers (foreign port code);
(xvii) Airline carrier code;
(xviii) Flight number; and
(xix) Date of aircraft arrival.
(c) Exception. The electronic passenger arrival manifest specified
in paragraph (b)(1) of this section is not required for active duty U.S.
military personnel being transported as passengers on arriving
Department of Defense commercial chartered aircraft.
(d) Carrier responsibility for comparing information collected with
travel document. The carrier collecting the information described in
paragraph (b)(3) of this section is responsible for comparing the travel
document presented by the passenger with the travel document information
it is transmitting to CBP in accordance with this section in order to
ensure that the information is correct, the document appears to be valid
for travel to the United States, and the passenger is the person to whom
the travel document was issued.
(e) Sharing of manifest information. Information contained in the
passenger manifests required by this section that is received by CBP
electronically may, upon request, be shared with other Federal agencies
for the purpose of protecting national security. CBP may also share such
information as otherwise authorized by law.
[CBP Dec. 05-12, 70 FR 17852, Apr. 7, 2005, as amended by CBP Dec. 07-
64, 72 FR 48342, Aug. 23, 2007; CBP Dec. 09-02, 74 FR 2836, Jan. 16,
2009; CBP Dec. 09-14, 74 FR 25388, May 28, 2009]
Sec. 122.49b Electronic manifest requirement for crew members and non-
crew members onboard commercial aircraft arriving in,
continuing within, and overflying the United States.
(a) Definitions. The definitions set forth below apply for purposes
of this section. The definitions set forth in Sec. 122.49a(a), other
than those for the terms set forth below, also apply for purposes of
this section:
All-cargo flight. ``All-cargo flight'' means a flight in operation
for the purpose of transporting cargo which has onboard only ``crew
members'' and ``non-crew members'' as defined in this paragraph.
Carrier. In addition to the meaning set forth in Sec. 122.49a(a),
``carrier'' includes each entity that is an ``aircraft operator'' or
``foreign air carrier'' with a security program under 49 CFR part 1544,
1546, or 1550 of the Transportation Security Administration regulations.
Crew member. ``Crew member'' means a pilot, copilot, flight
engineer, airline management personnel authorized to travel in the
cockpit, cabin crew, and relief crew (also known as ``deadheading
crew''). However, for all other purposes of immigration law and
documentary evidence required under the Immigration and Nationality Act
(8 U.S.C. 1101, et seq.), ``crew member'' (or ``crewman'') means a
person serving onboard an aircraft in good faith in any capacity
required for the normal operation and service of the flight (8 U.S.C.
1101(a)(10) and (a)(15)(D), as applicable). In addition, the definition
of
[[Page 811]]
``crew member'' applicable to this section should not be applied in the
context of other customs laws, to the extent this definition differs
from the meaning of ``crew member'' contemplated in such other customs
laws.
Flight continuing within the United States. ``Flight continuing
within the United States'' refers to the domestic leg of a flight
operated by a foreign air carrier that originates at a foreign port or
place, arrives at a U.S. port, and then continues to a second U.S. port.
Flight overflying the United States. ``Flight overflying the United
States'' refers to a flight departing from a foreign port or place that
enters the territorial airspace of the U.S. en route to another foreign
port or place.
Non-crew member. ``Non-crew member'' means air carrier employees and
their family members and persons traveling onboard a commercial aircraft
for the safety of the flight (such as an animal handler when animals are
onboard). The definition of ``non-crew member'' is limited to all-cargo
flights. (On a passenger or dual flight (passengers and cargo), air
carrier employees, their family members, and persons onboard for the
safety of the flight are considered passengers.)
Territorial airspace of the United States. ``Territorial airspace of
the United States'' means the airspace over the United States, its
territories, and possessions, and the airspace over the territorial
waters between the United States coast and 12 nautical miles from the
coast.
(b) Electronic arrival manifest--(1) General requirement. Except as
provided in paragraph (c) of this section, an appropriate official of
each commercial aircraft operating a flight arriving in or overflying
the United States, from a foreign port or place, or continuing within
the United States after arriving at a U.S. port from a foreign port or
place, must transmit to Customs and Border Protection (CBP) an
electronic crew member manifest and, for all-cargo flights only, an
electronic non-crew member manifest covering any crew members and non-
crew members onboard. Each manifest must be transmitted to CBP at the
place and time specified in paragraph (b)(2) of this section by means of
an electronic data interchange system approved by CBP and must set forth
the information specified in paragraph (b)(3) of this section. Where
both a crew member manifest and a non-crew member manifest are required
with respect to an all-cargo flight, they must be combined in one
manifest covering both crew members and non-crew members. Where a
passenger arrival manifest under Sec. 122.49a and a crew member arrival
manifest under this section are required, they must be transmitted
separately if the transmission is in US EDIFACT format.
(2) Place and time for submission; certification; changes to
manifest. (i) Place and time for submission. The appropriate official
specified in paragraph (b)(1) of this section must transmit the
electronic manifest required under paragraph (b)(1) of this section to
the CBP Data Center, CBP Headquarters:
(A) With respect to aircraft arriving in and overflying the United
States, no later than 60 minutes prior to departure of the aircraft from
the foreign port or place of departure, and with respect to aircraft
continuing within the United States, no later than 60 minutes prior to
departure from the U.S. port of arrival;
(B) For a flight not originally destined to arrive in the United
States but diverted to a U.S. port due to an emergency, no later than 30
minutes prior to arrival; in cases of noncompliance, CBP will take into
consideration that the carrier was not equipped to make the transmission
and the circumstances of the emergency situation; and
(C) For an aircraft operating as an air ambulance in service of a
medical emergency, no later than 30 minutes prior to arrival;
(ii) Certification. Except as provided in paragraph (c) of this
section, the appropriate official, by transmitting the manifest as
required under paragraph (b)(1) of this section, certifies that the
flight's crew members and non-crew members are included, respectively,
on the master crew member list or master non-crew member list previously
submitted to CBP in accordance with Sec. 122.49c. If a crew member or
non-crew member on the manifest is not also included on the appropriate
master list,
[[Page 812]]
the flight may be, as appropriate, denied clearance to depart, diverted
from arriving in the United States, or denied clearance to enter the
territorial airspace of the United States.
(iii) Changes to manifest. The appropriate official is obligated to
make necessary changes to the crew member or non-crew member manifest
after transmission of the manifest to CBP. Necessary changes include
adding a name, with other required information, to the manifest or
amending previously submitted information. If changes are submitted less
than 60 minutes before scheduled flight departure, the air carrier must
receive approval from TSA before allowing the flight to depart or the
flight may be, as appropriate, denied clearance to depart, diverted from
arriving in the United States, or denied clearance to enter the
territorial airspace of the United States.
(3) Information required. The electronic crew member and non-crew
member manifests required under paragraph (b)(1) of this section must
contain the following information for all crew members and non-crew
members, except that the information specified in paragraphs (b)(iii),
(v), (vi), (vii), (xiii), (xv), and (xvi) of this section must be
included on the manifest only on or after October 4, 2005:
(i) Full name (last, first, and, if available, middle);
(ii) Date of birth;
(iii) Place of birth (city, state--if applicable, country);
(iv) Gender (F = female; M = male);
(v) Citizenship;
(vi) Country of residence;
(vii) Address of permanent residence;
(viii) Status on board the aircraft;
(ix) Pilot certificate number and country of issuance (if
applicable);
(x) Travel document type (e.g., P = passport; A = alien registration
card);
(xi) Passport number, if a passport is required;
(xii) Passport country of issuance, if a passport is required;
(xiii) Passport expiration date, if a passport is required;
(xiv) Alien registration number, where applicable;
(xv) Passenger Name Record locator, if available;
(xvi) International Air Transport Association (IATA) code of foreign
port/place where transportation to the United States began or where the
transportation destined to the territorial airspace of the United States
began (foreign port code);
(xvii) IATA code of port/place of first arrival (arrival port code);
(xviii) IATA code of final foreign port/place of destination for
(foreign port code);
(xix) Airline carrier code;
(xx) Flight number; and
(xxi) Date of aircraft arrival.
(c) Exceptions. The electronic crew member or non-crew member
manifest requirement specified in paragraph (b)(1) of this section is
subject to the following conditions:
(1) Federal Aviation Administration (FAA) Aviation Safety Inspectors
with valid credentials and authorization are not subject to the
requirement, but the manifest requirement of Sec. 122.49a applies to
these inspectors on flights arriving in the United States, as they are
considered passengers on arriving flights;
(2) For crew members traveling onboard an aircraft chartered by the
U.S. Department of Defense that is arriving in the United States, the
provisions of this section apply regarding electronic transmission of
the manifest, except that:
(i) The manifest certification provision of paragraph (b)(2)(ii) of
this section is inapplicable; and
(ii) The TSA manifest change approval requirement of paragraph
(b)(2)(iii) of this section is inapplicable;
(3) For crew members traveling onboard an aircraft chartered by the
U.S. Department of Defense that is continuing a flight within the United
States or overflying the United States, the manifest is not required;
(4) For non-crew members traveling onboard an all-cargo flight
chartered by the U.S. Department of Defense that is arriving in the
United States, the manifest is not required, but the manifest
requirement of Sec. 122.49a applies to these persons, as, in this
instance, they are considered passengers on arriving flights; and
(5) For non-crew members traveling onboard an all-cargo flight
chartered
[[Page 813]]
by the U.S. Department of Defense that is continuing a flight within the
United States or overflying the United States, the manifest is not
required.
(d) Carrier responsibility for comparing information collected with
travel document. The carrier collecting the information described in
paragraph (b)(3) of this section is responsible for comparing the travel
document presented by the crew member or non-crew member with the travel
document information it is transmitting to CBP in accordance with this
section in order to ensure that the information is correct, the document
appears to be valid for travel to the United States, and the crew member
or non-crew member is the person to whom the travel document was issued.
(e) Sharing of manifest information. Information contained in the
crew member and non-crew member manifests required by this section that
is received by CBP electronically may, upon request, be shared with
other Federal agencies for the purpose of protecting national security.
CBP may also share such information as otherwise authorized by law.
(f) Superseding amendments issued by TSA. One or more of the
requirements of this section may be superseded by specific provisions
of, amendments to, or alternative procedures authorized by TSA for
compliance with an aviation security program, emergency amendment, or
security directive issued by the TSA to an air carrier subject to 49 CFR
part 1544, 1546, or 1550. The provisions or amendments will have
superseding effect only for the air carrier to which issued and only for
the period of time specified in the provision or amendment.
[CBP Dec. 05-12, 70 FR 17852, Apr. 7, 2005]
Sec. 122.49c Master crew member list and master non-crew member list
requirement for commercial aircraft arriving in, departing
from, continuing within, and overflying the United States.
(a) General requirement. Air carriers subject to the provisions of
Sec. 122.49b and Sec. 122.75b, with respect to the flights covered in
those sections, must electronically transmit to Customs and Border
Protection (CBP), by means of an electronic data interchange system
approved by CBP, a master crew member list and a master non-crew member
list containing the information set forth in paragraph (c) of this
section covering, respectively, all crew members and non-crew members
operating and servicing its flights. The initial transmission of a list
must be made at least two days in advance of any flight a crew member or
non-crew member on the list will be operating, serving on, or traveling
on and must contain the information set forth in paragraph (c) of this
section. After review of the master crew list and the master non-crew
list by TSA, TSA will advise the carrier of any crew members or non-crew
members that must be removed from the list. Only those persons on the
TSA-approved master crew and master non-crew lists will be permitted to
operate, serve on, or travel on flights covered by this section. Until a
carrier becomes a participant in the CBP-approved electronic interchange
system, it must submit the required information in a format provided by
TSA.
(b) Changes to master lists. After the initial transmission of the
master crew member and non-crew member lists to CBP, the carrier is
obligated to update the lists as necessary. To add a name to either
list, along with the required information set forth in paragraph (c) of
this section, or to add or change information relative to a name already
submitted, the carrier must transmit the information to CBP at least 24
hours in advance of any flight the added or subject crew member or non-
crew member will be operating, serving on, or traveling on. A carrier
must submit deletions from the lists as expeditiously as possible.
(c) Master list information. The electronic master crew lists
required under paragraph (a) of this section must contain the following
information with respect to each crew member or non-crew member that
operates, serves on, or travels on a carrier's flights that are covered
by this section except that the information specified in paragraphs
(c)(4), (5), (6), (7), and (10) of this section must be included on the
manifest only on or after October 4, 2005:
[[Page 814]]
(1) Full name (last, first, and, if available, middle);
(2) Gender;
(3) Date of birth;
(4) Place of birth (city, state--if applicable, and country);
(5) Citizenship;
(6) Country of residence;
(7) Address of permanent residence;
(8) Passport number, if passport required;
(9) Passport country of issuance, if passport required;
(10) Passport expiration date, if passport required;
(11) Pilot certificate number and country of issuance, if
applicable;
(12) Status onboard the aircraft.
(d) Exception. The master crew member and non-crew member list
requirements of this section do not apply to aircraft chartered by the
U.S. Department of Defense.
(e) Superseding amendments issued by TSA. One or more of the
requirements of this section may be superseded by specific provisions
of, amendments to, or alternative procedures authorized by TSA for
compliance with an aviation security program, emergency amendment, or
security directive issued by the TSA to an air carrier subject to the
provisions of 49 CFR part 1544, 1546, or 1550. The amendments will have
superseding effect only for the air carrier to which issued and only for
the period of time specified in the amendment.
[CBP Dec. 05-12, 70 FR 17854, Apr. 7, 2005]
Sec. 122.49d Passenger Name Record (PNR) information.
(a) General requirement. Each air carrier, foreign and domestic,
operating a passenger flight in foreign air transportation to or from
the United States, including flights to the United States where the
passengers have already been pre-inspected or pre-cleared at the foreign
location for admission to the U.S., must, upon request, provide Customs
with electronic access to certain Passenger Name Record (PNR)
information, as defined and described in paragraph (b) of this section.
In order to readily provide Customs with such access to requested PNR
information, each air carrier must ensure that its electronic
reservation/departure control systems correctly interface with the U.S.
Customs Data Center, Customs Headquarters, as prescribed in paragraph
(c)(1) of this section.
(b) PNR information defined; PNR information that Customs may
request--(1) PNR information defined. Passenger Name Record (PNR)
information refers to reservation information contained in an air
carrier's electronic reservation system and/or departure control system
that sets forth the identity and travel plans of each passenger or group
of passengers included under the same reservation record with respect to
any flight covered by paragraph (a) of this section.
(2) PNR data that Customs may request. The air carrier, upon
request, must provide Customs with electronic access to any and all PNR
data elements relating to the identity and travel plans of a passenger
concerning any flight under paragraph (a) of this section, to the extent
that the carrier in fact possesses the requested data elements in its
reservation system and/or departure control system. There is no
requirement that the carrier collect any PNR information under this
paragraph, that the carrier does not otherwise collect on its own and
maintain in its electronic reservation/departure control systems.
(c) Required carrier system interface with Customs Data Center to
facilitate Customs retrieval of requested PNR data--(1) Carrier
requirements for interface with Customs. Within the time specified in
paragraph (c)(2) of this section, each air carrier must fully and
effectively interface its electronic reservation/departure control
systems with the U.S. Customs Data Center, Customs Headquarters, in
order to facilitate Customs ability to retrieve needed Passenger Name
Record data from these electronic systems. To effect this interface
between the air carrier's electronic reservation/departure control
systems and the Customs Data Center, the carrier must:
(i) Provide Customs with an electronic connection to its reservation
system and/or departure control system. (This connection can be provided
directly to the Customs Data Center, Customs Headquarters, or through a
third party vendor that has such a connection to Customs.);
[[Page 815]]
(ii) Provide Customs with the necessary airline reservation/
departure control systems' commands that will enable Customs to:
(A) Connect to the carrier's reservation/departure control systems;
(B) Obtain the carrier's schedules of flights;
(C) Obtain the carrier's passenger flight lists; and
(D) Obtain data for all passengers listed for a specific flight; and
(iii) Provide technical assistance to Customs as required for the
continued full and effective interface of the carrier's electronic
reservation/departure control systems with the Customs Data Center, in
order to ensure the proper response from the carrier's systems to
requests for data that are made by Customs.
(2) Time within which carrier must interface with Customs Data
Center to facilitate Customs access to requested PNR data. Any air
carrier which has not taken steps to fully and effectively interface its
electronic reservation/departure control systems with the Customs Data
Center must do so, as prescribed in paragraphs (c)(1)(i)-(c)(1)(iii) of
this section, within 30 days from the date that Customs contacts the
carrier and requests that the carrier effect such an interface. After
being contacted by Customs, if an air carrier determines it needs more
than 30 days to properly interface its automated database with the
Customs Data Center, it may apply in writing to the Assistant
Commissioner, Office of Field Operations (OFO) for an extension.
Following receipt of the application, the Assistant Commissioner, OFO,
may, in writing, allow the carrier an extension of this period for good
cause shown. The Assistant Commissioner's decision as to whether and/or
to what extent to grant such an extension is within the sole discretion
of the Assistant Commissioner and is final.
(d) Sharing of PNR information with other Federal agencies.
Passenger Name Record information as described in paragraph (b)(2) of
this section that is made available to Customs electronically may, upon
request, be shared with other Federal agencies for the purpose of
protecting national security (49 U.S.C. 44909(c)(5)). Customs may also
share such data as otherwise authorized by law.
[T.D. 02-33, 67 FR 42712, June 25, 2002. Redesignated by CBP Dec. 05-12,
70 FR 17852, Apr. 7, 2005]
Sec. 122.50 General order merchandise.
(a) Any merchandise or baggage regularly landed but not covered by a
permit for its release shall be allowed to remain at the place of
unlading until the fifteenth calendar day after landing. No later than
20 calendar days after landing, the pilot or owner of the aircraft or
the agent thereof shall notify Customs of any such merchandise or
baggage for which entry has not been made. Such notification shall be
provided in writing or by any appropriate Customs-authorized electronic
data interchange system. Failure to provide such notification may result
in assessment of a monetary penalty of up to $1,000 per bill of lading
against the pilot or owner of the aircraft or the agent thereof. If the
value of the merchandise on the bill is less than $1,000, the penalty
shall be equal to the value of such merchandise.
(b) Any merchandise or baggage that is taken into custody from an
arriving carrier by any party under a Customs-authorized permit to
transfer or in-bond entry may remain in the custody of that party for 15
calendar days after receipt under such permit to transfer or 15 calendar
days after arrival at the port of destination. No later than 20 calendar
days after receipt under the permit to transfer or 20 calendar days
after arrival under bond at the port of destination, the party shall
notify Customs of any such merchandise or baggage for which entry has
not been made. Such notification shall be provided in writing or by any
appropriate Customs-authorized electronic data interchange system. If
the party fails to notify Customs of the unentered merchandise or
baggage in the allotted time, he may be liable for the payment of
liquidated damages under the terms and conditions of his custodial bond
(see Sec. 113.63(c)(4) of this chapter).
(c) In addition to the notification to Customs required under
paragraphs (a) and (b) of this section, the carrier (or any other party
to whom custody of the unentered merchandise has been
[[Page 816]]
transferred by a Customs authorized permit to transfer or in-bond entry)
shall provide notification of the presence of such unreleased and
unentered merchandise or baggage to a bonded warehouse certified by the
port director as qualified to receive general order merchandise. Such
notification shall be provided in writing or by any appropriate Customs-
authorized electronic data interchange system and shall be provided
within the applicable 20-day period specified in paragraph (a) or (b) of
this section. It shall then be the responsibility of the bonded
warehouse proprietor to arrange for the transportation and storage of
the merchandise or baggage at the risk and expense of the consignee. The
arriving carrier (or other party to whom custody of the merchandise was
transferred by the carrier under a Customs-authorized permit to transfer
or in-bond entry) is responsible for preparing a Customs Form (CF) 6043
(Delivery Ticket), or other similar Customs document as designated by
the port director or an electronic equivalent as authorized by Customs,
to cover the proprietor's receipt of the merchandise and its transport
to the warehouse from the custody of the arriving carrier (or other
party to whom custody of the merchandise was transferred by the carrier
under a Customs-authorized permit to transfer or in-bond entry) (see
Sec. 19.9 of this chapter). Any unentered merchandise or baggage shall
remain the responsibility of the carrier, pilot, or person in charge of
the importing aircraft, or the agent thereof, or party to whom the
merchandise has been transferred under a Customs authorized permit to
transfer or in-bond entry, until it is properly transferred from his
control in accordance with this paragraph. If the party to whom custody
of the unentered merchandise or baggage has been transferred by a
Customs-authorized permit to transfer or in-bond entry fails to notify a
Customs-approved bonded warehouse of such merchandise or baggage within
the applicable 20-calendar-day period, he may be liable for the payment
of liquidated damages of $1,000 per bill of lading under the terms and
conditions of his international carrier or custodial bond (see
Sec. Sec. 113.63(b), 113.63(c) and 113.64(b) of this chapter).
(d) If the carrier or any other party to whom custody of the
unentered merchandise has been transferred by a Customs-authorized
permit to transfer or in-bond entry fails to timely relinquish custody
of the merchandise to a Customs-approved bonded General Order warehouse,
the carrier or other party may be liable for liquidated damages equal to
the value of that merchandise under the terms and conditions of his
international carrier or custodial bond, as applicable.
(e) If the bonded warehouse operator fails to take possession of
unentered and unreleased merchandise or baggage within five calendar
days after receipt of notification of the presence of such merchandise
or baggage under this section, he may be liable for the payment of
liquidated damages under the terms and conditions of his custodial bond
(see Sec. 113.63(a)(1) of this chapter). If the port director finds that
the warehouse proprietor cannot accept the goods because they are
required by law to be exported or destroyed (see Sec. 127.28 of this
chapter), or for other good cause, the goods will remain in the custody
of the arriving carrier or other party to whom the goods have been
transferred under a Customs-authorized permit to transfer or in-bond
entry. In this event, the carrier or other party will be responsible
under bond for exporting or destroying the goods, as necessary (see
Sec. Sec. 113.63(c)(3) and 113.64(b) of this chapter).
(f) In ports where there is no bonded warehouse authorized to accept
general order merchandise, or if merchandise requires specialized
storage facilities that are unavailable in a bonded facility, the port
director, after having received notice of the presence of unentered
merchandise or baggage in accordance with the provisions of this
section, shall direct the storage of the merchandise by the carrier or
by any other appropriate means.
(g) Merchandise taken into the custody of the port director pursuant
to section 490(b), Tariff Act of 1930, as amended (19 U.S.C. 1490(b)),
shall be sent to a general order warehouse after 1 day after the day the
aircraft arrived,
[[Page 817]]
to be held there at the risk and expense of the consignee.
[T.D. 98-74, 63 FR 51288, Sept. 25, 1998, as amended by T.D. 02-65, 67
FR 68033, Nov. 8, 2002]
Subpart F_International Traffic Permit
Sec. 122.51 Aircraft of domestic origin registered in the U.S.
After Customs inspection of the aircraft, passengers, baggage and
merchandise at the entry airport, commercial aircraft of domestic origin
registered in the U.S. may be allowed to proceed to other airports in
the U.S. without permit.
Sec. 122.52 Aircraft of foreign origin registered in the U.S.
(a) Application. This section applies to commercial aircraft (as
defined in Sec. 122.1(d)) of foreign origin registered in the U.S. and
arriving in the U.S. from a foreign area.
(b) Aircraft entered as an imported article. If an aircraft covered
by this section is entered as an imported article, and any applicable
duty for the aircraft has been paid on a prior arrival, it may be
allowed to proceed as other than an imported article. In this instance,
the aircraft commander must file a declaration that states the:
(1) Port where entry was made;
(2) Date duty, if any, was paid; and
(3) Number of the entry.
(c) Aircraft not entered as imported article--(1) Treatment as other
than an imported article. A commercial aircraft covered by this section
which has not been entered as an imported article may travel from
airport to airport in the U.S. without payment of duty. Each commercial
aircraft shall proceed under a permit on Customs Form 7507 or 7509, as
provided in Sec. 122.54. Treatment of the aircraft as other than an
imported article shall continue for so long as the aircraft:
(i) Is used only for commercial purposes between the U.S. and
foreign areas; and
(ii) Will leave the U.S. for a foreign destination in commercial use
or carrying neither passengers nor cargo.
(2) Treatment as an imported article. Any aircraft covered by this
section which was not entered as an imported article shall make entry if
it:
(i) Is withdrawn from commercial use between the U.S. and foreign
areas; or
(ii) Is used in the U.S. in a way not reasonably related to
efficient commercial use of the aircraft between the U.S. and foreign
areas.
(3) Aircraft damage and duty payment--(i) Substantial damage to
commercial aircraft. If an accident causes substantial damage to a
commercial aircraft, no entry or duty payment is required for any part
of the wreckage.
(ii) Less than substantial damage and export. If an accident does
not cause substantial damage to a commercial aircraft, salvageable parts
of the wrecked aircraft may be exported. In this circumstance, the
aircraft, as a whole or in part, is not considered to be withdrawn from
commerical use and is not subject to entry or to duty as imported
merchandise.
(iii) Less than substantial damage and no export. If an accident
does not cause substantial damage to a commercial aircraft and the
wrecked aircraft or any salvageable part of it is not exported, then:
(A) Entry is required to be made for the damaged aircraft or any
salvageable part of it; and
(B) A duty payment, if applicable, based on the condition of the
aircraft following the accident, is required.
Sec. 122.53 Aircraft of foreign registry chartered or leased to U.S.
air carriers.
Aircraft of foreign registry leased or chartered to a U.S. air
carrier, while being operated by the U.S. air carrier under the
provisions of the Federal Aviation Administration regulations (14 CFR
121.153), shall be treated as U.S. registered aircraft for purposes of
this subpart.
Sec. 122.54 Aircraft of foreign registry.
(a) Application. For any commercial aircraft of foreign registry
arriving in the U.S., the aircraft commander or agent shall file for an
international traffic permit when the aircraft;
(1) Is not an imported article; and
(2) Is ferried (proceeds carrying neither passengers nor cargo) from
the airport of first arrival to one or more
[[Page 818]]
airports in the U.S. (For permit to proceed with residue cargo,
passengers, or crewmembers for discharge in the U.S., see subpart I of
this part).
(b) International traffic permit. The international traffic permit
shall be filed on Customs Form 7507 by the carrier or its agent. Customs
Form 7509 may be used if the aircraft arrives directly from Canada on a
flight beginning in Canada and ending in the U.S. Either form shall show
the following information and must be approved by the appropriate
Customs officer:
(1) Type of aircraft;
(2) Nationality and registration number of aircraft;
(3) Name and country of aircraft manufacturer;
(4) Name of aircraft commander;
(5) Country from which aircraft arrived;
(6) Name and location of airport where international traffic permit
is issued;
(7) Date international traffic permit is issued;
(8) Name and location of airport to which aircraft is proceeding;
(9) Purpose of stay in the U.S.;
(10) Signature of Customs officer giving permit.
(c) Permit on board. The international traffic permit shall be kept
on board the aircraft while in the U.S.
(d) Intermediate airports. For each airport at which the aircraft
lands, the Customs officer, or airport manager if there is no Customs
officer present, shall note the following information on the permit:
(1) Name and location of the airport;
(2) Date and arrival time;
(3) Purpose of the visit;
(4) Name and location of the next airport to be visited; and
(5) Date and time of departure.
(e) Final airport. The international traffic permit shall be given
to the Customs officer in charge at the airport of final clearance for a
foreign destination. Before clearance is given, the Customs officer
shall make sure that the aircraft was properly inspected by Customs in
the U.S.
(f) Port of issue. The international traffic permit shall be
returned after final clearance to the director of the port where the
permit was issued, to be kept on file.
(g) Enforcement. Once the permit to proceed has been issued for an
aircraft, the director of the port of issue must receive notice that the
aircraft has made final clearance. If notice is not received within 60
days, the port director shall report the matter to the Customs agent in
charge of the area for investigation.
Subpart G_Clearance of Aircraft and Permission To Depart
Sec. 122.61 Aircraft required to clear.
(a) Private aircraft leaving the United States as defined in
Sec. 122.22, for a foreign area are required to clear as set forth in
Sec. 122.26. All other aircraft, except for public aircraft leaving the
United States for a foreign area, are required to clear if:
(1) Carrying passengers and/or merchandise for hire; or
(2) Taking aboard or discharging passengers and/or merchandise for
hire in a foreign area.
(b) Any aircraft used by members of air travel clubs are required to
clear, and foreign aircraft traveling under a permit to proceed shall
also clear.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended at CBP Dec. 08-43, 73
FR 68313, Nov. 18, 2008]
Sec. 122.62 Aircraft not otherwise required to clear.
(a) Bureau of the Census. Under Bureau of the Census Regulations (15
CFR part 30), aircraft not required to clear by Sec. 122.61 shall obtain
permission to depart if carrying merchandise from the U.S. to Puerto
Rico or from Puerto Rico to the U.S.
(b) Bureau of Industry and Security. Aircraft leaving the U.S. for a
foreign area must be cleared by Customs if a validated license from the
Bureau of Industry and Security (Department of Commerce) is required for
the aircraft under the Export Administration Regulations (15 CFR parts
730 through 774). Aircraft are not required to clear if the Secretary of
Commerce issues a permit allowing departure without clearance.
(c) Department of State. Aircraft not covered by Export
Administration Regulations are subject to the Department
[[Page 819]]
of State export licensing authority as set out in 22 CFR parts 121 and
123. Such aircraft may depart from the U.S. only with the proper
Department of State license.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 93-61, 58 FR
41425, Aug. 4, 1993; CBP Dec. 04-28, 69 FR 52599, Aug. 27, 2004; 69 FR
54179, Sept. 2, 2004]
Sec. 122.63 Scheduled airlines.
The aircraft commander or agent shall request clearance or
permission to depart for aircraft of scheduled airlines covered by this
subpart.
(a) Clearance at other than airport of final departure. Aircraft may
clear at each airport where merchandise and/or passengers are taken on
board for transport outside of the U.S. The clearance applies only to
the merchandise and passengers boarding at each place. Clearance shall
be requested at the Customs port of entry (regardless of whether it is
an international airport) nearest to the place where merchandise and/or
passengers are taken on board.
(b) Clearance at final departure airport. Clearance or permission to
depart may be requested at the Customs port of entry (regardless of
whether it is an international airport) nearest the last departure
airport.
Sec. 122.64 Other aircraft.
Clearance or permission to depart shall be requested by the aircraft
commander or agent for aircraft covered by this subpart other than those
of scheduled airlines. The request must be made to the director of the
port of entry (regardless of whether it is an international airport)
nearest the final departure airport.
Sec. 122.65 Failure to depart.
Once an aircraft has been cleared or given permission to depart it
must depart within 72 hours. The aircraft commander or agent shall
report promptly to the port director if departure is delayed beyond or
cancelled within 72 hours after the aircraft received clearance or
permission to depart.
Sec. 122.66 Clearance or permission to depart denied.
If advance electronic air cargo information is not received as
provided in Sec. 192.14 of this chapter, Customs and Border Protection
may deny clearance or permission for the aircraft to depart from the
United States.
[CBP Dec. 03-32, 68 FR 68173, Dec. 5, 2003]
Subpart H_Documents Required for Clearance and Permission To Depart;
Electronic Manifest Requirements for Passengers, Crew Members, and Non-
Crew Members Onboard Commercial Aircraft Departing From the United
States
Sec. 122.71 Aircraft departing with no commercial export cargo.
(a) Application. This section applies to aircraft departing for
foreign territory with no export cargo, but not to those aircraft which
are themselves being exported.
(1) Such aircraft may clear by telephone in advance with the
director of the port of departure if departing empty or carrying only:
(i) Passengers for hire; or
(ii) Non-commercial cargo for which Shipper's Export Declarations
are not required.
(2) If not cleared by telephone, an air cargo manifest containing
the following statement, signed by the aircraft commander or agent,
shall be submitted to Customs:
I declare to the best of my knowledge and belief that there is no
cargo on board this aircraft.
Signature_______________________________________________________________
(Aircraft Commander or Agent)
(b) Timeliness. The request for telephone clearance must be received
by the Customs officer in charge with sufficient time remaining before
departure to ensure that Customs may undertake any necessary examination
of the aircraft and cargo.
(c) Documentation. If clearance is granted by telephone, the
aircraft commander is not required to file the documents required by
this subpart.
Sec. 122.72 Aircraft departing with commercial export cargo.
If an aircraft with export cargo leaves the U.S. for any foreign
area, a general declaration, if required, an air
[[Page 820]]
cargo manifest and any required Shipper's Export Declarations, shall be
filed in accordance with this subpart for all cargo on the aircraft, and
for the aircraft itself if exported as merchandise. See Sec. 122.79 for
special requirements regarding shipments to U.S. possessions.
Sec. 122.73 General declaration and air cargo manifest.
(a) General declaration--(1) Form. The general declaration shall be
on Customs Form 7507 and shall show all information required.
(2) Preparation and filing. The aircraft commander or agent shall
file two copies of the general declaration with Customs at the departure
airport.
(3) Exception. A general declaration shall not be required if the
air cargo manifest, Customs Form 7509, contains the statement shown in
paragraph (b) of this section.
(b) Air cargo manifest--(1) Form. The air cargo manifest shall be on
Customs Form 7509, and shall show all information required. If a general
declaration is not presented, the following statement, signed by the
aircraft commander or agent, shall appear on the form:
I declare that all statements contained in this manifest, including
the account of the cargo on board this aircraft, are complete, exact,
and true to the best of my knowledge.
Signature_______________________________________________________________
(Aircraft Commander or Agent)
(2) Preparation and filing. The aircraft commander or agent shall
file two copies of the air cargo manifest with the Customs at the
departure airport. Three copies of the air cargo manifest shall be filed
if the aircraft is covered by Sec. 122.77(b). The air cargo manifest
must be filed in:
(i) Complete form, with all required Shipper's Export Declarations
(see Sec. 122.75); or
(ii) Incomplete form (pro forma) under Sec. 122.74.
Sec. 122.74 Incomplete (pro forma) manifest.
(a) Application--(1) Shipments to foreign countries. Except for
aircraft bound for foreign locations referred to in paragraph (b) of
this section, clearance, or permission to depart may be given to an
aircraft bound for a foreign location by the Customs at the departure
airport before a complete manifest or all required Shipper's Export
Declarations have been filed, if a proper bond is filed on Customs Form
301, containing the bond conditions set forth in subpart G of part 113
of this chapter.
(2) Shipments to Puerto Rico. As provided in Sec. 122.79(b), any
required air cargo manifest or Shipper's Export Declarations for direct
flights between the U.S. and Puerto Rico shall be filed with the
appropriate Customs officer upon arrival in Puerto Rico. If any required
manifest or Shipper's Export Declarations are not filed with the
appropriate Customs officer within one business day after arrival in
Puerto Rico, a proper bond shall be filed at that time on Customs Form
301, containing the bond conditions set forth in subpart G of part 113
of this chapter.
(b) Exceptions. An incomplete manifest will not be accepted:
(1) During any time covered by a proclamation of the President that
a state of war exists between foreign nations; or
(2) If the aircraft is departing on a flight from the U.S. directly
or indirectly to a foreign country listed in Sec. 4.75 of this chapter.
In both cases, a complete air cargo manifest and all required Shipper's
Export Declarations shall be filed with the port director before the
aircraft will be cleared.
(c) Filing under bond. An incomplete set of documents may be filed
only when accompanied by the proper bond. Under the bond, a complete set
of documents shall be filed within whichever of the following time
periods is appropriate:
(1) Shipments to foreign countries. All required Shipper's Export
Declarations and a complete air cargo manifest shall be filed by the
airline not later than the fourth business day after clearance (when
clearance is required) or departure (when clearance is not required) of
the aircraft.
(2) Shipments to and from Puerto Rico. For shipments from the U.S.
to Puerto Rico, the complete manifest (when required) and all required
Shipper's Export Declarations shall be filed not later than the seventh
business day after arrival into Puerto Rico. For
[[Page 821]]
shipments from Puerto Rico to the U.S., the complete manifest (when
required) and all required Shipper's Export Declarations shall be filed
not later than the seventh business day after departure from Puerto
Rico.
(3) Shipments to U.S. possessions. For shipments between the U.S. or
Puerto Rico and possessions of the U.S., a complete manifest and all
required Shipper's Export Declarations shall be filed by the airline not
later than the seventh business day after departure. See Sec. 122.79.
(d) Declaration required. A declaration shall be made on the
incomplete manifest that:
(1) All required documents will be filed within the 4-day bond
period; or
(2) All required documents will be filed within the 7-day bond
period.
Once all documents have been filed, a statement as required by
Sec. 122.75(b) shall be made.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 93-61, 58 FR
41425, Aug. 4, 1993]
Sec. 122.75 Complete manifest.
(a) Contents. A complete air cargo manifest shall list all cargo
laden, and show for each item the air waybill number, or marks and
numbers on packages and the type of goods carried. If an item does not
require a Shipper's Export Declaration, it shall be noted on the air
cargo manifest.
(1) Shipments on an air waybill. A copy of each air waybill on which
shipments are listed may be attached to the air cargo manifest, and the
number of the air waybill may be listed on the air cargo manifest. The
statement ``Cargo as per Air Waybill Attached'' must appear on the air
cargo manifest if this is done.
(2) Direct departure. This subsection applies only to direct
departures of shipments requiring a Shipper's Export Declaration. A copy
of each declaration may be attached to the air cargo manifest, and the
number of each declaration shall be listed on the air cargo manifest in
the column for air waybill numbers. The statement ``Cargo as per Export
Declarations Attached'' must appear on the manifest if this is done.
(b) Statement required. (1) When all required documents are ready
for filing, the following statement must appear on the air cargo
manifest, or on the general declaration form if an air cargo manifest is
not required:
Attached Shipper's Export Declarations represent a full and complete
enumeration and description of the cargo carried in this flight except
that listed on the cargo manifest.
(2) If an incomplete set of documents has been filed and is later
completed, the following statement shall accompany the Shipper's Export
Declarations and any required air cargo manifests:
Attached Shipper's Export Declarations represent a full and complete
enumeration and description of the cargo carried on aircraft No. ------
--, Flight No. -------- cleared direct for --------, on -------- except
cargo listed on any cargo manifest required to be filed for such flight.
Airline_________________________________________________________________
Authorized Agent________________________________________________________
Sec. 122.75a Electronic manifest requirement for passengers onboard
commercial aircraft departing from the United States.
(a) Definitions. The definitions set forth in Sec. 122.49a(a) also
apply for purposes of this section.
(b) Electronic departure manifest--(1) General--(i) Basic
requirement. Except as provided in paragraph (c) of this section, an
appropriate official of each commercial aircraft (carrier) departing
from the United States en route to any port or place outside the United
States must transmit to the Advance Passenger Information System (APIS;
referred to in this section as the Customs and Border Protection (CBP)
system), the electronic data interchange system approved by CBP for such
transmissions, an electronic passenger departure manifest covering all
passengers checked in for the flight. A passenger manifest must be
transmitted separately from a crew member manifest required under
Sec. 122.75b if transmission is in U.S. EDIFACT format. The passenger
manifest must be transmitted to the CBP system at the place and time
specified in paragraph (b)(2) of this section, in the manner set forth
under paragraph (b)(1)(ii) of this section.
[[Page 822]]
(ii) Transmission of manifests. A carrier required to make passenger
departure manifest transmissions to the CBP system under paragraph
(b)(1)(i) of this section must make the required transmissions covering
all passengers checked in for the flight in accordance with either
paragraph (b)(1)(ii)(A), (B), (C), or (D) of this section, as follows:
(A) Non-interactive batch transmission option. A carrier that
chooses not to transmit required passenger manifests by means of a CBP-
certified interactive electronic transmission system under paragraph
(b)(1)(ii)(B), (C), or (D) of this section must make batch manifest
transmissions in accordance with this paragraph (b)(1)(ii)(A) by means
of a non-interactive electronic transmission system approved by CBP. The
carrier may make a single, complete batch manifest transmission
containing the data required under paragraph (b)(3) of this section for
all passengers checked in for the flight or two or more partial batch
manifest transmissions, each containing the required data for the
identified passengers and which together cover all passengers checked in
for the flight. After receipt of the manifest information, the CBP
system will perform an initial security vetting of the data and send to
the carrier by a non-interactive transmission method a ``not-cleared''
instruction for passengers identified as requiring additional security
analysis and a ``selectee'' instruction for passengers requiring
secondary screening (e.g., additional examination of the person and/or
his baggage) under applicable Transportation Security Administration
(TSA) requirements. The carrier must designate as a ``selectee'' any
passenger so identified during initial security vetting, in accordance
with applicable TSA requirements. The carrier must not issue a boarding
pass to, or load the baggage of, any passenger subject to the ``not-
cleared'' instruction and must contact the Transportation Security
Administration (TSA) to seek resolution of the ``not-cleared''
instruction by providing, if necessary, additional relevant information
relative to the ``not-cleared'' passenger. TSA will notify the carrier
if a ``not-cleared'' passenger is cleared for boarding or downgraded to
``selectee'' status based on the additional security analysis.
(B) Interactive batch transmission option. A carrier, upon obtaining
CBP certification, in accordance with paragraph (b)(1)(ii)(E) of this
section, may make manifest transmissions by means of an interactive
electronic transmission system configured for batch transmission of data
and receipt from the CBP system of appropriate messages. A carrier
operating under this paragraph must make manifest transmissions by
transmitting a single, complete batch manifest containing the data
required under paragraph (b)(3) of this section for all passengers
checked in for the flight or two or more partial batch manifests, each
containing the required data for the identified passengers and which
together cover all passengers checked in for the flight. In the case of
connecting passengers arriving at the connecting airport already in
possession of boarding passes for a flight departing from the United
States whose data have not been collected by the carrier, the carrier
must transmit required manifest data for these passengers when they
arrive at the gate, or some other suitable place designated by the
carrier, for the flight. After receipt of the manifest information, the
CBP system will perform an initial security vetting of the data and send
to the carrier by interactive electronic transmission, as appropriate, a
``cleared'' instruction for passengers not matching against the watch
list, a ``not-cleared'' instruction for passengers identified as
requiring additional security analysis, and a ``selectee'' instruction
for passengers who require secondary screening (e.g., additional
examination of the person and/or his baggage) under applicable TSA
requirements. The carrier must designate as a ``selectee'' any passenger
so identified during initial security vetting, in accordance with
applicable TSA requirements. The carrier must not issue a boarding pass
to, or load the baggage of, any passenger subject to a ``not-cleared''
instruction and, in the case of connecting passengers (as described in
this paragraph), the carrier must not board or load the baggage of any
such passenger until the CBP system returns a ``cleared'' or
[[Page 823]]
``selectee'' response for that passenger. Where a ``selectee''
instruction is received for a connecting passenger, the carrier must
ensure that such passenger undergoes secondary screening before
boarding. The carrier must seek resolution of a ``not-cleared''
instruction by contacting TSA and providing, if necessary, additional
relevant information relative to the ``not-cleared'' passenger. Upon
completion of the additional security analysis, TSA will notify the
carrier if a ``not-cleared'' passenger is cleared for boarding or
downgraded to ``selectee'' status based on the additional security
analysis. No later than 30 minutes after the securing of the aircraft,
the carrier must transmit to the CBP system a message reporting any
passengers who checked in but were not onboard the flight. The message
must identify the passengers by a unique identifier selected or devised
by the carrier or by specific passenger data (name) and may contain the
unique identifiers or data for all passengers onboard the flight or for
only those passengers who checked in but were not onboard the flight.
(C) Interactive individual passenger information transmission
option. A carrier, upon obtaining CBP certification, in accordance with
paragraph (b)(1)(ii)(E) of this section, may make manifest transmissions
by means of an interactive electronic transmission system configured for
transmitting individual passenger data for each passenger and for
receiving from the CBP system appropriate messages. A carrier operating
under this paragraph must make such transmissions as individual
passengers check in for the flight or, in the case of connecting
passengers arriving at the connecting airport already in possession of
boarding passes for a flight departing from the United States whose data
have not been collected by the carrier, as these connecting passengers
arrive at the gate, or some other suitable place designated by the
carrier for the flight. With each transmission of manifest information
by the carrier, the CBP system will perform an initial security vetting
of the data and send to the carrier by interactive electronic
transmission, as appropriate, a ``cleared'' instruction for passengers
not matching against the watch list, a ``not-cleared'' instruction for
passengers identified during initial security vetting as requiring
additional security analysis, and a ``selectee'' instruction for
passengers requiring secondary screening (e.g., additional examination
of the person and/or his baggage) under applicable TSA requirements. The
carrier must designate as a ``selectee'' any passenger so identified
during initial security vetting, in accordance with applicable TSA
requirements. The carrier must not issue a boarding pass to, or load the
baggage of, any passenger subject to a ``not-cleared'' instruction and,
in the case of connecting passengers (as described in this paragraph),
must not board or load the baggage of any such passenger until the CBP
system returns a ``cleared'' or ``selectee'' response for that
passenger. Where a ``selectee'' instruction is received for a connecting
passenger, the carrier must ensure that such passenger undergoes
secondary screening before boarding. The carrier must seek resolution of
a ``not-cleared'' instruction by contacting TSA and providing, if
necessary, additional relevant information relative to the ``not-
cleared'' passenger. Upon completion of the additional security
analysis, TSA will notify the carrier if a ``not-cleared'' passenger is
cleared for boarding or downgraded to ``selectee'' status based on the
additional security analysis. No later than 30 minutes after the
securing of the aircraft, the carrier must transmit to the CBP system a
message reporting any passengers who checked in but were not onboard the
flight. The message must identify the passengers by a unique identifier
selected or devised by the carrier or by specific passenger data (name)
and may contain the unique identifiers or data for all passengers
onboard the flight or for only those passengers who checked in but were
not onboard the flight.
(D) Combined use of interactive methods. If certified to do so, a
carrier may make transmissions under both paragraphs (b)(1)(ii)(B) and
(C) of this section for a particular flight or for different flights.
(E) Certification. Before making any required manifest transmissions
under
[[Page 824]]
paragraph (b)(1)(ii)(B) or (C) of this section, a carrier must subject
its electronic transmission system to CBP testing, and CBP must certify
that the carrier's system is then presently capable of interactively
communicating with the CBP system for effective transmission of manifest
data and receipt of appropriate messages under those paragraphs.
(2) Place and time for submission. The appropriate official
specified in paragraph (b)(1)(i) of this section (carrier) must transmit
the departure manifest or manifest data as required under paragraphs
(b)(1)(i) and (ii) of this section to the CBP system (CBP Data Center,
CBP Headquarters), in accordance with the following:
(i) For manifests transmitted under paragraph (b)(1)(ii)(A) and (B)
of this section, no later than 30 minutes prior to the securing of the
aircraft;
(ii) For manifest information transmitted under paragraph
(b)(1)(ii)(C) of this section, no later than the securing of the
aircraft; and
(iii) For an aircraft operating as an air ambulance in service of a
medical emergency, no later than 30 minutes after departure.
(3) Information required. The electronic passenger departure
manifest required under paragraph (b)(1) of this section must contain
the following information for all passengers, except that the
information specified in paragraphs (b)(3)(iv), (ix), and (xi) of this
section must be included on the manifest only on or after October 4,
2005:
(i) Full name (last, first, and, if available, middle);
(ii) Date of birth;
(iii) Gender (F = female; M = male);
(iv) Citizenship;
(v) Status on board the aircraft;
(vi) Travel document type (e.g., P = passport; A = alien
registration card);
(vii) Passport number, if a passport is required;
(viii) Passport country of issuance, if a passport is required;
(ix) Passport expiration date, if a passport is required;
(x) Alien registration number, where applicable;
(xi) Passenger Name Record locator, if available;
(xii) International Air Transport Association (IATA) departure port
code;
(xiii) IATA code of port/place of final arrival (foreign port code);
(xiv) Airline carrier code;
(xv) Flight number; and
(xvi) Date of aircraft departure.
(c) Exception. The electronic passenger departure manifest specified
in paragraph (b)(1) of this section is not required for active duty
military personnel traveling as passengers on board a departing
Department of Defense commercial chartered aircraft.
(d) Carrier responsibility for comparing information collected with
travel document. The carrier collecting the information described in
paragraph (b)(3) of this section is responsible for comparing the travel
document presented by the passenger with the travel document information
it is transmitting to CBP in accordance with this section in order to
ensure that the information is correct, the document appears to be valid
for travel purposes, and the passenger is the person to whom the travel
document was issued.
(e) Sharing of manifest information. Information contained in the
passenger manifest required under this section that is received by CBP
electronically may, upon request, be shared with other Federal agencies
for the purpose of protecting national security. CBP may also share such
information as otherwise authorized by law.
[CBP Dec. 05-12, 70 FR 17855, Apr. 7, 2005, as amended by CBP Dec. 07-
64, 72 FR 48344, Aug. 23, 2007]
Sec. 122.75b Electronic manifest requirement for crew members and non-
crew members onboard commercial aircraft departing from the
United States.
(a) Definitions. The definitions set forth in Sec. 122.49a(a) also
apply for purposes of this section, except that the definitions of
``all-cargo flight,'' ``carrier,'' ``crew member,'' and ``non-crew
member'' applicable to this section are found in Sec. 122.49b(a).
(b) Electronic departure manifest--(1) General requirement. Except
as provided in paragraph (c) of this section, an appropriate official of
each commercial aircraft departing from the United States to any port or
place outside the
[[Page 825]]
United States must transmit to Customs and Border Protection (CBP) an
electronic crew member departure manifest and, for all-cargo flights
only, an electronic non-crew member departure manifest covering any crew
members and non-crew members onboard. Each manifest must be transmitted
to CBP at the place and time specified in paragraph (b)(2) of this
section by means of an electronic data interchange system approved by
CBP and must set forth the information specified in paragraph (b)(3) of
this section. Where both a crew member departure manifest and a non-crew
member departure manifest are required for an all-cargo flight, they
must be combined in one departure manifest covering both crew members
and non-crew members. Where a passenger departure manifest under
Sec. 122.75a and a crew member departure manifest under this section are
required, they must be transmitted separately if the transmission is in
US EDIFACT format.
(2) Place and time for submission; certification; change to
manifest. (i) Place and time for submission. The appropriate official
specified in paragraph (b)(1) of this section must transmit the
electronic departure manifest required under paragraph (b)(1) of this
section to the CBP Data Center, CBP Headquarters, no later than 60
minutes prior to departure of the aircraft, except that for an air
ambulance in service of a medical emergency, the manifest must be
transmitted to CBP no later than 30 minutes after departure.
(ii) Certification. Except as provided in paragraph (c) of this
section, the appropriate official, by transmitting the manifest as
required under paragraph (b)(1) of this section, certifies that the
flight's crew members and non-crew members are included, respectively,
on the master crew member list or master non-crew member list previously
submitted to CBP in accordance with Sec. 122.49c. If a crew member or
non-crew member on the manifest is not also included on the appropriate
master list, the flight may be denied clearance to depart.
(iii) Changes to manifest. The appropriate official is obligated to
make necessary changes to the crew member or non-crew member departure
manifest after transmission of the manifest to CBP. Necessary changes
include adding a name, with other required information, to the manifest
or amending previously submitted information. If changes are submitted
less than 60 minutes before scheduled flight departure, the air carrier
must receive approval from TSA before allowing the flight to depart or
the flight may be denied clearance to depart.
(3) Information required. The electronic crew member and non-crew
member departure manifests required under paragraph (b)(1) of this
section must contain the following information for all crew members and
non-crew members, except that the information specified in paragraphs
(b)(iii), (v), (vi), (xii), and (xiv) of this section must be included
on the manifest only on or after October 4, 2005:
(i) Full name (last, first, and, if available, middle);
(ii) Date of birth;
(iii) Place of birth (city, state--if applicable, country);
(iv) Gender (F = female; M = male);
(v) Citizenship;
(vi) Address of permanent residence;
(vii) Status on board the aircraft;
(viii) Pilot certificate number and country of issuance (if
applicable);
(ix) Travel document type (e.g., P = passport; A = alien
registration card);
(x) Passport number, if a passport is required;
(xi) Passport country of issuance, if a passport is required;
(xii) Passport expiration date, if a passport is required;
(xiii) Alien registration number, where applicable;
(xiv) Passenger Name Record locator, if available;
(xv) International Air Transport Association (IATA) departure port
code;
(xvi) IATA code of port/place of final arrival (foreign port code);
(xvii) Airline carrier code;
(xviii) Flight number; and
(xix) Date of aircraft departure.
(c) Exceptions. The electronic departure manifest requirement
specified in paragraph (b)(1) of this section is subject to the
following conditions:
(1) Federal Aviation Administration (FAA) Aviation Safety Inspectors
with valid credentials and authorization are
[[Page 826]]
not subject to the requirement, but the manifest requirement of
Sec. 122.75a applies to these inspectors, as they are considered
passengers on departing flights;
(2) For crew members traveling onboard departing aircraft chartered
by the U.S. Department of Defense, the provisions of this section apply
regarding electronic transmission of the manifest, except that:
(i) The manifest certification provision of paragraph (b)(2)(ii) of
this section is inapplicable; and
(ii) The TSA manifest change approval requirement of paragraph
(b)(2)(iii) of this section is inapplicable; and
(3) For non-crew members traveling onboard a departing all-cargo
flight chartered by the U.S. Department of Defense, the manifest is not
required, but the manifest requirement of Sec. 122.75a applies to these
persons, as, in this instance, they are considered passengers on
departing flights.
(d) Carrier responsibility for comparing information collected with
travel document. The carrier collecting the information described in
paragraph (b)(3) of this section is responsible for comparing the travel
document presented by the crew member or non-crew member with the travel
document information it is transmitting to CBP in accordance with this
section in order to ensure that the information is correct, the document
appears to be valid for travel, and the crew member or non-crew member
is the person to whom the travel document was issued.
(e) Sharing of manifest information. Information contained in the
crew member and non-crew member manifests required under this section
that is received by CBP electronically may, upon request, be shared with
other Federal agencies for the purpose of protecting national security.
CBP may also share such information as otherwise authorized by law.
(f) Master crew member and non-crew member lists. Air carriers
subject to the requirements of this section must also comply with the
requirements of Sec. 122.49c pertaining to the electronic transmission
of a master crew member list and a master non-crew member list as
applied to flights departing from the United States.
(g) Superseding amendments issued by TSA. One or more of the
requirements of this section may be superseded by provisions of,
amendments to, or alternative procedures authorized by TSA for
compliance with an aviation security program, emergency amendment, or
security directive issued by the TSA to an air carrier subject to the
provisions of 49 CFR part 1544, 1546, or 1550. The amendments will have
superseding effect only for the airline to which issued and only for the
period of time they remain in effect.
[CBP Dec. 05-12, 70 FR 17855, Apr. 7, 2005]
Sec. 122.76 Shipper's Export Declarations and inspection certificates.
(a) Shipper's Export Declarations--(1) Other than shipments to
Puerto Rico. For shipments other than to Puerto Rico, at the time of
clearance, the aircraft commander or agent shall file with the port
director of the departure airport any Shipper's Export Declarations
required by the Bureau of the Census (see 15 CFR part 30).
(2) Shipments to Puerto Rico. For flights carrying shipments to
Puerto Rico from the U.S., the aircraft commander or agent shall file
any Shipper's Export Declarations required by the Bureau of the Census
(see 15 CFR part 30) upon arrival in Puerto Rico with the port director
there.
(b) Inspection certificates. The aircraft commander or authorized
agent shall deliver a proper export inspection certificate issued by the
Veterinary Service, Animal and Plant Inspection Service, Department of
Agriculture (9 CFR part 91), to the Customs officer in charge at the
time of departure of any aircraft carrying horses, mules, asses, cattle,
sheep, swine, or goats.
[T.D. 93-61, 58 FR 41426, Aug. 4, 1993]
Sec. 122.77 Clearance certificate.
(a) Aircraft departing from the U.S. One copy of the air cargo
manifest shall be used as a clearance certificate when endorsed by the
port director to show that clearance is granted.
(b) Scheduled aircraft. If a scheduled aircraft clears at an airport
which is not the airport at or nearest the place
[[Page 827]]
of final take-off from the U.S., two copies of the air cargo manifest
shall be filed. One copy shall be used as a clearance certificate when
endorsed by the director of the port where clearance is obtained, and
the second copy shall be attached to the first for use at subsequent
U.S. ports.
Sec. 122.78 Entry or withdrawal for exportation or for transportation
and exportation.
If a shipment is exported under an entry or withdrawal for
exportation, or for transportation and exportation, the air cargo
manifest, the air waybill, or the consignment note attached to the
manifest shall clearly show the following information for each entry or
withdrawal:
(a) Number;
(b) Date; and
(c) Class of entry or withdrawal, as follows:
(1) Transportation and exportation;
(2) Withdrawal for transportation and exportation;
(3) Immediate exportation;
(4) Withdrawal for exportation; or
(5) Withdrawal for transportation.
The name of the port where the entry or withdrawal was filed, if not the
port where the merchandise is laden for exportation, shall also appear
on the air cargo manifest.
Sec. 122.79 Shipments to U.S. possessions.
(a) Other than Puerto Rico. An air cargo manifest shall be filed for
aircraft transporting cargo between the U.S. and U.S. possessions.
Shipper's Export Declarations are not required for shipments from the
U.S. or Puerto Rico to the U.S. possessions, except to the U.S. Virgin
Islands or from a U.S. possession and destined to the U.S., Puerto Rico,
or another U.S. possession.
(b) Puerto Rico. When an aircraft carries merchandise on a direct
flight from the U.S. to Puerto Rico, any required air cargo manifest or
Shipper's Export Declarations shall be filed with the appropriate port
director at Puerto Rico.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 93-61, 58 FR
41426, Aug. 4, 1993]
Sec. 122.80 Verification of statement.
Customs officers may verify any of the statements required under
this subpart by examining the shipping records of the airline involved.
Subpart I_Procedures for Residue Cargo and Stopover Passengers
Sec. 122.81 Application.
(a) Aircraft arriving with cargo. Aircraft arriving in the U.S. from
a foreign area with cargo shown on the manifest to be traveling to other
airports in the U.S. or to foreign areas may proceed under the
provisions of this subpart.
(b) Aircraft arriving with no cargo. Aircraft arriving in the U.S.
from a foreign area with no cargo on board, and requesting immediate
examination and release, may proceed if a bond on Customs Form 301,
containing the bond conditions set forth in subpart G of part 113 of
this chapter, has been filed and covers the aircraft.
Sec. 122.82 Bond requirements.
A bond on Customs Form 301, containing the bond provisions set forth
in subpart G of part 113 of this chapter, shall be filed before an
aircraft is given a permit to proceed with residue cargo under this
subpart. The bond shall be filed in the correct amount with the director
of the entry airport.
Sec. 122.83 Forms required.
(a) Traveling general declaration and manifest. When applying for
examination and release from an airport or place of entry in the U.S.,
the aircraft commander or agent shall file a traveling general
declaration and manifest. The traveling general declaration and manifest
is one certified copy of the original inward general declaration, and
each air cargo manifest required when the aircraft entered. This
includes air waybills that were part of the manifest.
(b) Attachments to traveling general declaration and manifest--(1)
Crew purchase and stores list. The crew purchase and stores list, if
required when the aircraft enters under Sec. Sec. 122.46 and 122.47,
shall be attached to the traveling general declaration and manifest.
[[Page 828]]
(2) Crew purchases not listed on a crew purchase list. A crew
member's declaration shall be attached to the traveling general
declaration and manifest if:
(i) Crew purchases are listed on a crew declaration, Customs Form
5129, instead of on the crew purchase list, under Sec. 122.46(c)(2); and
(ii) The crew member has not left the aircraft with his or her
purchase at the first entry port.
The crew member's declaration must be attached at the port where the
articles listed on the declaration receive clearance.
(c) Abstract general declaration and manifest. The abstract general
declaration and manifest shall consist of one copy of the general
declaration, and one copy of each manifest (including air waybills)
covering residue cargo:
(1) Not yet examined and released by Customs or any other Federal
agency; and
(2) To be discharged at another domestic or foreign airport.
An abstract general declaration and manifest need not be filed at the
last domestic port of discharge.
(d) Permit to proceed. A permit to proceed from one domestic airport
to another shall be filed by the aircraft commander or agent with the
Customs officer in charge at the clearance airport. The permit to
proceed shall include a declaration by the aircraft commander or agent,
which shall be signed on entry at the next domestic airport. The permit
to proceed and declaration shall state substantially the following:
Permit To Proceed From One Airport to Another
Airport of Departure____________________________________________________
Date____________________________________________________________________
Permission is hereby given aircraft ---------- to proceed to ------
----
(Next Domestic Airport)
The aircraft which has arrived from and is destined to the places
shown in the general declaration, is proceeding to such places of
destination to discharge residue cargo, passengers, or crew members and
their purchases, as listed in the attached manifest. Bond was given at
the airport of arrival for the cargo retained on board. Items of cargo
manifested for delivery at this airport appear to have been landed.
Number of crew members not cleared by Customs --------.
Number of passengers not cleared by Customs --------.
Number of pages of the traveling
manifest --------.
________________________________________________________________________
(Customs Officer and Title)
Declaration on Entry of Aircraft at Following Airport
Airport of Arrival______________________________________________________
Date____________________________________________________________________
I, ----------, commander or authorized agent of the aircraft
identified in this document, declare and guarantee that there were not,
when such aircraft departed from the airport of --------, nor have been
since, nor now are, any more or other goods, wares, or merchandise on
board than was stated in the attached manifests.
________________________________________________________________________
(Signature and Title)
The permit to proceed and declaration must be stamped, mimeographed or
printed on:
(1) The abstract general declaration;
(2) The traveling general declaration when an abstract general
declaration is not required; or
(3) A separate sheet of paper.
(e) Permit to proceed for nonscheduled aircraft. For each permit to
proceed issued to a nonscheduled aircraft carrying residue cargo the
transit air cargo manifest procedures shall be followed. When the
aircraft arrives at the final port, the aircraft commander shall deliver
the permit to proceed to Customs.
(f) Use of form. When all of the documents required by this section
are in order, the permit to proceed shall be dated and signed by the
Customs officer in charge at the clearance airport. One copy of the
permit to proceed shall be delivered to the aircraft commander or agent
with the other required documents, for filing at the next international
airport.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988; T.D. 00-22, 65 FR 16518, Mar.
29, 2000]
Sec. 122.84 Intermediate airport.
(a) Application. The provisions of this section apply at any U.S.
airport to which an aircraft proceeds with residue cargo, and
passengers, or crewmembers and their purchases not cleared by Customs.
They do not apply to aircraft arriving at the last domestic port of
discharge.
[[Page 829]]
(b) Entry. When an aircraft arrives at the next airport, the
aircraft commander or agent shall make entry by filing the:
(1) Abstract general declaration and manifest;
(2) Traveling general declaration and manifest; and
(3) Permit to proceed.
The Declaration on Entry of Aircraft at Following Airport, found on the
permit to proceed, shall be properly signed before filing for entry.
(c) Crew declarations. The declarations and entries, Customs Form
5129, of any crewmembers who leave the aircraft with their purchases at
the intermediate airport shall be detached from the traveling general
manifest. The declaration and entries are to be detached by the Customs
officer in charge and are kept at the airport.
(d) Departure. When the aircraft leaves an intermediate airport
carrying residue cargo, and passengers or crewmembers and their
purchases are not yet cleared by Customs or another interested Federal
agency, the procedure is the same as at the first arrival airport. All
documents required by this section, except those detached under
paragraph (c) of this secticn, shall be returned to the aircraft
commander or agent for filing at the next entry airport.
Sec. 122.85 Final airport.
When an aircraft enters at the last domestic airport of discharge,
the traveling general declaration and manifest shall be filed with
Customs and kept at the airport. No abstract general declaration and
manifest is required.
Sec. 122.86 Substitution of aircraft.
(a) Application. The residue cargo procedure applies when an airline
must substitute aircraft to reach a destination due to weather
conditions or operational factors which prevent an aircraft on arrival
of the flight at the first port from continuing inbound to interior
ports scheduled for that flight.
(b) Clearance and entry. Clearance and entry of substitute aircraft
is required as provided in this subpart for other aircraft.
(c) Identification. An identification of all substitute aircraft
shall be clearly made on all clearance and entry documents.
(d) Transporting cargo--(1) Forwarding. The carrier may forward all
cargo which arrived on one aircraft by transferring it to another
aircraft of the same airline to complete the inbound flight. The
transfer shall be done under Customs supervision.
(2) Conditions. All of the residue cargo from more than one inbound
flight of an airline may be laden on one substitute aircraft of the
airline. The substitute aircraft shall finish the inbound transport of
the residue cargo.
Sec. 122.87 Other requirements.
Section 4.85 of this chapter, relating to vessels with residue cargo
for domestic ports, applies to aircraft residue cargo, except as stated
in this subpart.
Sec. 122.88 Aircraft carrying domestic (stopover) passengers.
Airlines that commingle domestic (stopover) passengers (that is,
passengers who have already cleared Customs at their port of arrival and
are continuing on another aircraft to a second U.S. destination) with
international passengers who are continuing on the flight to their port
of arrival and have not yet cleared Customs, must comply with certain
requirements before being issued a permit to proceed. The carriers
requirements are as follows:
(a) The domestic (stopover) passengers must be transported on U.S.-
registered aircraft, or foreign-registered aircraft of the same foreign
airline that brought them into the U.S.
(b) A $2.00 charge must be paid for each revenue producing domestic
(stopover) passenger reinspected in the U.S. (see Sec. 24.12 of this
chapter).
(c) Arrangements must be made for the checked baggage of all
passengers requiring inspection on the previously described flights to
be off-loaded and made available for examination in the Federal
inspection area at the destination port (intermediate or final) where an
inspection is to take place.
(d) All stopover passengers shall be notified in writing, prior to
boarding, that they will be subject to full reinspection by Customs.
This written notification shall contain the following
[[Page 830]]
language: ``Notice to all boarding passengers: You are boarding an
aircraft on which passengers will be arriving in the U.S. from foreign
destinations. These passengers have not yet cleared U.S. Customs.
Accordingly, you will be subject to a full reinspection by Customs at
your final U.S. port of entry.''
(e) Domestic (stopover) passengers shall be provided a Customs
declaration identified by the words ``Domestic Flight''. The domestic
(stopover) passenger is only required to complete items 1-4 on that
declaration.
(f) The carrier shall present to Customs, as otherwise required by
law, the permit to proceed and/or the general declaration, clearly
stating the number of domestic (stopover) passengers to be reinspected
upon arrival at the destination port (intermediate or final) where an
inspection of passengers is to take place.
Subpart J_Transportation in Bond and Merchandise in Transit
Sec. 122.91 Application.
This subpart applies to the transportation in bond of merchandise
arriving in the U.S. by aircraft and entered:
(a) For immediate transportation to another airport without
appraisement; or
(b) For transportation through the U.S. and later exportation by
aircraft.
Sec. 122.92 Procedure at port of origin.
(a) Forms required--(1) Customs Form 7512 or other document. Customs
Form 7512 or other Customs approved documents, such as an air waybill
(see paragraph (a)(3) of this section), shall be used for both entry and
manifest. Three copies of the form or other document are required to be
filed with Customs at the port of origin for merchandise for immediate
transportation without appraisement. Four copies of the form or other
document are required when merchandise for transportation and
exportation is entered. (See also, Sec. Sec. 18.11 and 18.20(a) of this
chapter). Each copy shall be signed by the carrier or its authorized
agent.
(2) Air Waybill. An air waybill may be used for both entry and
manifest. Three copies of the air waybill are required unless the port
director deems additional copies necessary. Photocopies of the original
air waybill are acceptable. Either preprinted stock air waybills or
electronically generated air waybills may be used. The air waybill must:
(i) Contain the information required of a universal air waybill as
recognized and accepted by the International Air Transport Association
(IATA), be legible and in the English language;
(ii) Display a unique 11-digit number, the first three digits being
the air carrier's identification code;
(iii) Display the number of packages based on the smallest external
packaging unit (e.g., 14 packages is acceptable, 1 pallet is
unacceptable);
(iv) Display the name of the final port of destination in the U.S.
or the name of the ultimate country of destination of the cargo
indicated by available air carrier shipping documents. The ultimate
destination must be shown even though the air transportation may be
scheduled to terminate in a country prior to the cargo's final
destination;
(v) Be modified to contain the following information which should
appear in a block or attachment in the upper right-hand corner as in
this example. The numbers 1-8 correspond to the descriptions that
follow; the numbers do not have to appear on the AWB:
(1)_____________________________________________________________________
Origin
(2)_____________________________________________________________________
Entry Type
(3)_____________________________________________________________________
Destination
(4)_____________________________________________________________________
Importing Carrier/Flight Number/Arrival Date
(5)_____________________________________________________________________
Bonded Carrier/Exporter
(6)_____________________________________________________________________
Date
(7)_____________________________________________________________________
Signature of Carrier's Agent
(or Exporter)
(8)_____________________________________________________________________
Customs Officer Date
The item numbers correspond to the following information:
Item 1--Origin-- The numeric port code as listed in Schedule D of
the Harmonized Tariff Schedules of the United States, or the port where
the in-bond entry is presented.
[[Page 831]]
Item 2--Entry type-- The appropriate in-bond code number such as
I.T./61 for Immediate Transportation, T&E/62 for Transportation and
Exportation, and I.E./63 for Immediate Exportation.
Item 3--Destination-- The numeric port code for the intended port of
destination for entry or exportation.
Item 4--Importing Carrier/Flight Number/Arrival Date-- This
information serves to identify the shipment in terms of the inward
foreign manifest of the importing carrier. The ``Arrival Date'' is the
date of arrival of the importing conveyance in the U.S. The information
must be supplied in all instances.
Item 5--Bonded Carrier/Exporter-- The bonded carrier or exporter who
will be liable for the proper movement, handling, and safekeeping of the
merchandise once the in-bond movement is authorized by Customs. If this
information is not supplied, the in-bond movement will be carried out
under the bond of the importing carrier. (See Item 7 for further
information on transfer of liability.)
Item 6--Date-- The date of the in-bond entry preparation. Since an
in-bond entry can be prepared before the date of entry presentation and/
or acceptance, and prior to the actual arrival of the importing
conveyance, this date should only be used for duty assessment purposes
when the date in Item 8 is left blank. If a date is not present, the
date of in-bond preparation will be deemed to be the date of arrival.
Item 7--Signature of Carrier's Agent (or Exporter)-- This signature
of the authorized agent of the bonded carrier or exporter identified
previously (See Item 5) constitutes acceptance of the liability for the
in-bond shipment by the party signing. A signature is required except
when the in-bond movement is under the bond of the importing carrier. If
unsigned, the submission to Customs of an AWB requesting such a movement
is evidence of the acceptance of liability if the AWB is approved by
Customs.
Item 8--Customs Officer/Date-- Signature of the Customs officer who
authorizes the initiation of the in-bond movement and the date of such
authorization. Customs will check to make sure merchandise is released
only to a bonded carrier. The date is used to start the time limit for
completion of the in-bond movement and for consumption entry purposes in
accord with Sec. 141.69(b) of this chapter. Customs authorization
procedures which use a perforation device are acceptable in lieu of the
appropriate Customs signature. The port director will determine whether
a signature will be required in this block prior to the time that the
cargo is allowed to move.
(b) Delivery of Customs form to carrier--(1) Merchandise entered for
immediate transportation without appraisement. When merchandise is
entered for immediate transportation without appraisement, two copies of
Customs Form 7512 or other Customs approved document shall be delivered
to the carrier.
(2) Merchandise entered for transportation and exportation. When
merchandise is entered for transportation and exportation, one copy of
Customs For 7512 and any other Customs approved document shall be
delivered to the carrier.
(3) After delivery. After delivery, the forms or other document
shall accompany the merchandise to the port of destination or
exportation.
(c) Receipt and supervision. The agent of a bonded air carrier shall
give a receipt for any merchandise delivered to it for transportation in
bond, and no supervision of the lading of the merchandise on the
transporting aircraft shall be required.
(d) Split shipment--(1) Departure within 24 hours. Merchandise
covered by a single entry and manifest (Customs Form 7512 or other
Customs approved document) may be sent to the destination airport on one
or more aircraft. A separate manifest for each aircraft is not required
if the whole shipment is sent within a single 24-hour period.
(2) Departure not within 24 hours. If any part of a shipment is sent
more than 24 hours after the first part was sent, the entry and manifest
copy which accompanies the first shipment shall state that the rest of
the shipment will follow by separate aircraft. A single manifest shall
be prepared for each part of the shipment sent by separate aircraft. The
manifest shall be
[[Page 832]]
used as notice of each arrival at the destination airport.
(e) Transhipment. Merchandise sent under bond may be transferred at
an intermediate airport to one or more aircraft of the same airline.
This may be done without Customs supervision and notice of the transfer
is not required. If merchandise covered by one entry and manifest is
transferred to more than one aircraft, paragraph (d) of this section
applies.
(f) Sealing not required. The sealing of aircraft, aircraft
compartments carrying bonded merchandise, or the cording and sealing of
bonded packages carried by the aircraft, is not required.
(g) Warning labels. The carrier shall supply and attach the warning
label, as described in Sec. 18.4(e) of this chapter, to each bonded
package.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 92-82, 57 FR
38276, Aug. 24, 1992; T.D. 00-22, 65 FR 16518, Mar. 29, 2000]
Sec. 122.93 Procedure at destination or exportation airport.
(a) Delivery to port director. When a bonded shipment arrives at the
destination or exportation airport, the aircraft commander or agent
shall deliver one copy of the entry and manifest (Customs Form 7512 or
other Customs approved document) covering the shipment to the port
director of that airport as notice of arrival. If the shipment was sent
by separate aircraft more than 24 hours after the first part of the
shipment was sent, then a manifest for each part of the shipment shall
be delivered to the port director.
(b) Delivery to consignee. When the merchandise is sent under an
entry for immediate transportation without appraisal, one copy of the
manifest covering the merchandise shall be delivered by the carrier to
the consignee. This copy is used to make entry, and may also be used as
a carrier certificate as provided in Sec. 141.11(a)(4) of this chapter.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988; T.D. 00-22, 65 FR 16518, Mar.
29, 2000]
Sec. 122.94 Certificate of lading for exportation.
(a) Required filing. This section applies to merchandise entered for
transportation and exportation by aircraft. A certificate of lading for
exportation and a Customs Form 7512 or other Customs approved document
(see Sec. 122.93 of this subpart) shall be filed when the merchandise
reaches the final departure airport. The form shall be filled out and
signed at the place where aircraft clearance for the merchandise is
given.
(b) Clearance not at place of final departure. If an aircraft is
cleared at a place other than the place of final departure from the
U.S., the aircraft commander or its authorized agent shall:
(1) Promptly report arrival of any bonded merchandise for export to
the Customs officer in charge at that place; and
(2) Submit to the Customs officer in charge the certificate received
at the place the merchandise was taken on board. The clearance
certificate is kept by the Customs officer in charge until departure.
This procedure shall be followed at each place of landing before final
departure.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988; T.D. 00-22, 65 FR 15618, Mar.
29, 2000]
Sec. 122.95 Other provisions.
Part 18 of this chapter (Transportation in Bond and Merchandise in
Transit) applies to the transportation of merchandise under this subpart
unless stated otherwise.
Subpart K_Accompanied Baggage in Transit
Sec. 122.101 Entry of accompanied baggage.
Passengers who enter the U.S. on one aircraft and depart to a
foreign area on another aircraft with accompanying baggage shall either:
(a) Submit their baggage to Customs for inspection; or
(b) Arrange with the importing carrier for the baggage to be
processed under regular in-transit procedures.
When passengers choose not to have access to their baggage while in the
U.S., the baggage shall be listed on the Air Cargo Manifest as provided
in Sec. 122.48.
[[Page 833]]
Sec. 122.102 Inspection of baggage in transit.
(a) General baggage in transit may be inspected upon arrival, while
in transit, and upon exportation. Carriers shall present in-transit
baggage for inspection at any time found necessary by the port director.
(b) In-transit baggage shall be presented to a Customs officer for
inspection and clearance before the baggage can be delivered to a
passenger while in the U.S.
Subpart L_Transit Air Cargo Manifest (TACM) Procedures
Sec. 122.111 Application.
Cargo (including manifested baggage) which arrives and is
transported under Customs control in, through, or from, the U.S. may be
transported in bond under this subpart. If cargo is not transported
under this subpart, it shall be transported under other provisions of
this chapter. (See subparts I and J of this part, and parts 18 and 123
of this chapter.)
Sec. 122.112 Definitions.
The following definitions apply in this subpart:
(a) Transit air cargo. ``Transit air cargo'' is cargo, including
manifested baggage, transported under the requirements of this subpart.
(b) Port of arrival. The ``port of arrival'' is the port in the U.S.
where imported cargo must be documented for further transportation under
this subpart.
(c) Transfer or transferred. ``Transfer or transferred'' means the
change of documentation of cargo to transit air cargo for
transportation. The terms also include the physical movement of the
cargo from one carrier to another, and thereafter by air or surface
movement to the port of destination.
(d) Transit air cargo manifest. ``Transit air cargo manifest'' is
used in this subpart as the shortened title for the transportation entry
and transit air cargo manifest.
Sec. 122.113 Form for transit air cargo manifest procedures.
A manifest on Customs Form 7509 is required for transit air cargo,
as provided in Sec. 122.48(c) of this part. The words ``Transportation
Entry and Transit Air Cargo Manifest'' shall be printed, stamped or
marked on the form and on all copies of the form required for transit
air cargo movement.
Sec. 122.114 Contents.
(a) Form duplicates original manifest. Each transit air cargo
manifest shall be a duplicate of the sheet presented as part of the
cargo manifest for the aircraft on which the cargo arrived in the U.S.
(b) Shipments shown on manifest--(1) Country of exportation. Each
transit air cargo manifest sheet may list:
(i) Only air cargo shipments from one exporting country, with the
name of the country shown in the heading; or
(ii) Air cargo shipments from several exporting countries, with the
name of the exporting country shown in the ``Nature of Goods'' column.
(2) Shipment to same port. Each transit air manifest sheet may list
only those shipments manifested by way of the port of arrival for:
(i) The same Customs port of destination;
(ii) The same Customs port for later exportation; or
(iii) Direct exportation from the port of arrival.
(c) Information required. Each air cargo manifest sheet shall show:
(1) The foreign port of lading;
(2) The date the aircraft arrived at the port of arrival;
(3) Each U.S. port where Customs services will be necessary due to
transit air cargo procedures; and
(4) The final port of destination in the U.S., or the foreign
country of destination, for each shipment. The foreign country
destination shown on the manifest must be the final destination, as
shown by airline shipping documents, even though airline transport may
be scheduled to end before the shipment arrives at the final
destination.
(d) Corrections. If corrections in the route shown on the original
manifest for the cargo are required at the port of
[[Page 834]]
arrival to make a manifest sheet workable as a transit air cargo
manifest, the director of the port of arrival may allow the corrections.
Sec. 122.115 Labeling of cargo.
A warning label, as required by Sec. 18.4(e) of this chapter, shall
be attached to all transit air cargo not directly exported from the port
of arrival before the cargo leaves the port of arrival.
Sec. 122.116 Identification of manifest sheets.
When the original cargo manifest for the aircraft on which the cargo
arrives is presented by the aircraft commander or its authorized agent
at the port of arrival, a manifest number will be given to the aircraft
entry documents by Customs. The number given shall be used by the
airline to identify all copies of the transit air cargo manifest. All
copies of the manifest shall be correctly numbered before cargo will be
released from the port of arrival as transit air cargo.
Sec. 122.117 Requirements for transit air cargo transport.
(a) Transportation--(1) Port to port. Transit air cargo may be
carried to another port only when a receipt is given, as provided in
paragraph (b) of this section. The receipt may be given only to an
airline which:
(i) Is a common carrier for the transportation of bonded
merchandise; and
(ii) Has the required Customs bond on file.
(2) Exportation from port of arrival. Transit air cargo may be
exported from the port of arrival only if covered by a bond on Customs
Form 301, containing the bond conditions set forth in subpart G of part
113 of this chapter, as provided in Sec. 18.25 of this chapter.
(b) Receipt--(1) Requirements. When air cargo is to move from the
port of arrival as transit air cargo, a receipt shall be given. The
receipt shall be made by the airline responsible for transport or export
within the general order period (see Sec. 122.50).
(2) Contents. The receipt shall appear on each copy of the transit
air cargo manifest, clearly signed and dated if required, in the
following form:
Received the cargo listed herein for delivery to Customs at the port
of destination or exportation shown above, or for direct exportation.
________________________
Name of carrier (or exporter)
________________________
Attorney or agent of carrier (or exporter)
________________________
Date
(c) Responsibility for transit air cargo--(1) Direct exportation.
The responsibility of the airline exporting transit air cargo for direct
exportation begins when a receipt, as provided in paragraph (b) of this
section, is presented to Customs.
(2) Other than direct exportation. When the transit air cargo is not
for direct exportation, the responsibility of the airline receiving the
cargo begins when a receipt, as provided in paragraph (b) of this
section, is presented to Customs.
(3) Carting. When carting is used to deliver transit air cargo to
receiving airlines, the importing airline is responsible for the cargo
under its own bond until a receipt is filed by the receiving airline.
This does not apply when the carting is done under part 112 of this
chapter, at the expense of the parties involved.
(4) Importing airlines. An importing airline which has qualified as
a carrier of bonded merchandise, whether registered in the U.S. or a
foreign area, may:
(i) Give a receipt for the air cargo;
(ii) File an appropriate bond; and
(iii) Deliver the cargo to an authorized domestic carrier for in-
bond transportation from the port of arrival. The importing carrier's
bond covers the transportation.
(d) Split shipments. A receipt shall be given by one airline for all
of the cargo shipments listed on one transit air cargo manifest sheet.
Cargo shipments so listed shall be transported from the port of arrival
on one aircraft or carrier unless the use of more than one aircraft or
carrier would be allowed:
(1) By Sec. 122.92(d) under a single combined entry and manifest;
(2) By Sec. 122.118(d); or
(3) By Sec. 122.119(e), permitting the use of a surface carrier for
transport.
[[Page 835]]
Otherwise, all shipments on the transit air cargo manifest shall be
separately documented and transported under the regular procedures for
transportation of merchandise in bond (See subpart J).
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 98-74, 63 FR
51289, Sept. 25, 1998]
Sec. 122.118 Exportation from port of arrival.
(a) Application. Transit air cargo may be transferred for
exportation from any port of arrival under this section. The port
director may require any supervision necessary to enforce the
regulations of other Federal agencies.
(b) Time. Transit air cargo shall be exported from the port of
arrival within 10 days from the date the exporting airline receives the
cargo. After the 10-day period, the individual cargo shipments must be
made the subject of individual entries, as appropriate.
(c) Transit air cargo manifest copies. Three copies of the transit
air cargo manifest shall be filed with Customs.
(1) Review copy. The importing airline shall file a copy of each
transit air cargo manifest sheet covering any cargo shipment that will
be transferred for direct exportation. This filing shall be made as soon
as the exporting airline has been chosen. The exporting airline need not
give receipt on the review copy for the cargo to be transferred, but the
name of the exporting airline shall be placed on the copy.
(2) Exportation copy. The exportation copy shall be filed by the
exporting airline when clearance documents are presented to Customs.
(3) Clearance copy. The clearance copy shall be filed with the
exporting aircraft's clearance documents.
The exportation and clearance copies shall show the exporting airline's
receipt for the cargo, aircraft number, flight number, and the date.
(d) Direct export on different aircraft. Transit air cargo shipments
which are listed on one aircraft transit air cargo manifest sheet may be
directly exported on different aircraft of the exporting airline. If
this occurs, two additional copies of the transit air cargo manifest
shall be filed for each shipment or group of shipments transported in
other aircraft. Each copy of the transit air cargo manifest shall be
clearly marked to show which shipment or shipments listed are covered by
the manifest copy.
(e) Direct export by another airline. If shipments listed on one
transit air cargo manifest sheet are not exported from the same port on
the same airline, separate export entries on Customs Form 7512, as
required by Sec. 18.25 of this chapter, shall be filed.
(f) Post entered air cargo. Air cargo not listed on the manifest
(i.e., overages) which has been post entered under Sec. 122.49(b) may be
exported from the port of origin under this subpart. If this occurs,
four copies of the air cargo manifest, Customs Form 7509, marked ``Post
Entry'', shall be provided. All requirements of Sec. 122.44(b) shall be
followed in using this procedure.
(g) Review. The review copy of the transit air cargo manifest sheets
must be reviewed by Customs as required for the carrier manifest copy in
Sec. 122.120(g). The reviewing officer shall take the proper action if a
license is necessary for any cargo. The exporting airline shall be
notified that any transit air cargo which is not covered by the required
license must be placed under constructive Customs custody in a special
area of the airline's terminal until the license is obtained.
Sec. 122.119 Transportation to another U.S. port.
(a) Application. Air cargo shipments may be transferred for
transportation as transit air cargo from the port of arrival to another
port in the U.S. under this section. The director of the port of arrival
may require Customs supervision of the transfer.
(b) Time. Transit air cargo traveling to a final port of destination
in the U.S. shall be delivered to Customs at its destination within 15
days from the date the receiving airline gives the receipt for the cargo
at the port of arrival.
(c) Transit air cargo manifest copies. Four copies of the transit
air cargo manifest, including a carrier manifest copy, shall be filed by
the airline giving a receipt for moving the cargo shipments to their
destination. The permit copy is used and kept by Customs at the port of
arrival.
[[Page 836]]
(d) Failure to deliver on time--(1) Procedure. If transit air cargo
does not arrive at the destination port on time, the director of the
port of arrival shall take action as provided in Sec. Sec. 18.6 and 18.8
of this chapter. The amount of duty and tax shall be decided at the port
of arrival on the basis of information:
(i) On the permit copy kept at the port of arrival; and
(ii) Obtained from the carriers as necessary.
The director of the port of arrival shall notify the airline that
presented a receipt for the cargo that there has been a failure to
deliver.
(2) Responsibility of airline. When the airline that presented a
receipt for the cargo receives notice of discrepancies, the airline
shall answer within 90 days of the date of such notice to the director
of the port of arrival. The answer shall provide any information or
documents related to the value and description of the cargo involved
that the receipting airline and the importing airline can produce.
(e) Surface movement to port of destination. If an aircraft arrives
at the port of arrival with cargo to be carried as transit air cargo,
the cargo may be transferred to another carrier for surface movement to
the port of destination. The transfer is allowed under the following
conditions:
(1) The bond of the party receiving the cargo for surface movement
must cover the transfer and surface movement;
(2) The description of the cargo on the transit air cargo manifest
must be complete;
(3) The entire shipment listed in the transit air cargo manifest
must be shipped from the port of arrival to the port of destination by
the same surface carrier; and
(4) The requirements of Sec. 122.114(b) must be followed.
[T.D. 88-12, 54 FR 9292, Mar. 22, 1988; T.D. 00-22, 65 FR 16518, Mar.
29, 2000]
Sec. 122.120 Transportation to another port for exportation.
(a) Application. Air cargo may be transferred as transit air cargo
at the port of arrival for transportation to another port in the U.S.
and later exportation under this section.
(b) Supervision--(1) From port of arrival to exportation port. The
director of the port of arrival shall order any supervision found
necessary for the transfer of transit air cargo for transportation to
another port for export.
(2) At exportation port. Customs shall be notified far enough in
advance to be able to make any required supervision of the lading of
cargo, and to enforce any other Federal agency requirements, when
transit air cargo is ready for lading on the exporting aircraft.
(c) Time. Transit air cargo covered by this section shall be
delivered to Customs at the port of exportation within 15 days from the
date of receipt by the forwarding airline.
(d) Transit air cargo manifest copies. Five copies of the transit
air cargo manifest shall be filed with Customs.
(1) Port of arrival. Two copies of the transit air cargo manifest,
marked separately as ``permit'' and ``control'' copies, shall be filed
with Customs at the port of arrival. Filing shall be made when the
arriving aircraft enters, or before the general order period ends, by
the airline which presents a receipt to transport the cargo from the
port of arrival to the port of destination.
(2) Port of exportation. Three copies of the transit air cargo
manifest shall be filed at the port of exportation.
(i) Carrier manifest copy. The carrier manifest copy shall be
attached to the listing of cargo shipments and submitted when the cargo
arrives at the exportation port.
(ii) Exportation and clearance copies. Two copies, marked separately
as ``exportation'' and ``clearance'' copies, shall be filed with Customs
at the exportation port.
(e) Delivery to exporting airline. When the transit air cargo
arrives at the exportation port, it may be delivered directly to the
exporting carrier, together with the exportation and clearance copies.
The name of the exporting carrier shall be clearly noted on the carrier
manifest copy, which shall then be delivered to Customs.
(f) Storage by exporting airline. The exporting carrier shall keep
all cargo listed on the transit air cargo manifest in one storage space.
This storage
[[Page 837]]
space shall be separate from the area in which special shipments which
require a license under paragraph (g) of this section are stored.
(g) Export license--(1) Review. A Customs officer shall review the
carrier manifest copy of the transit air cargo manifest to make sure
that the export licensing requirements of other Federal agencies have
been followed.
(2) Information inadequate. If the manifest information is not
enough for Customs to determine that a license or other requirement
applies, then the transit air cargo shall be checked by examination, or
by inspection of the air waybills or attached invoices.
(3) When license or other requirement applies. The exporting airline
shall be notified at once if Customs finds that the shipment cannot be
exported without a license or other approval. The shipment shall then be
put under constructive Customs custody in a special area set aside for
the shipment in the exporting airline's cargo terminal.
(h) Filing of exportation and clearance copies--(1) Information.
When filed with Customs, the exportation and clearance copies of the
transit air cargo manifest shall each show:
(i) The aircraft number;
(ii) The aircraft flight number; and
(iii) The date.
(2) Filing. The exporting airline shall file the exportation and
clearance copies before the aircraft that carries the transit air cargo
departs. The clearance copies shall be grouped together and not mixed in
with other outward manifest sheets. The exportation copies shall be
grouped together, and kept separate from the outward clearance
documents.
(i) Cargo not laden at same airport by same airline. If all the
cargo listed on one transit air cargo manifest sheet is not laden for
exportation from the same U.S. airport by the same airline, then
separate entries on Customs Form 7512 are required for each cargo
shipment listed:
(1) For transportation and exportation under subpart J of this part;
or
(2) For direct exportation under Sec. 18.25 of this chapter.
(j) Cargo laden on more than one aircraft of same airline. When any
cargo shipment listed on the same transit air cargo manifest must be
exported on more than one aircraft of the same airline, Sec. 122.118(d)
applies.
(k) Failure to deliver. If all or part of the cargo listed on the
transit air cargo manifest is not accounted for with an exportation copy
within 40 days, the director of the port of arrival shall take action as
provided in Sec. 122.119(d).
[T.D. 88-12, 53 FR 9292, Mar. 25, 1988, as amended by T.D. 98-74, 63 FR
51289, Sept. 25, 1998; T.D. 00-22, 65 FR 16518, Mar. 29, 2000]
Subpart M_Aircraft Liquor Kits
Sec. 122.131 Application.
(a) Liquor and tobacco. Subpart M applies to:
(1) Duty-free and tax-free liquor and tobacco; and
(2) Duty-paid and tax-paid liquor and tobacco which has been placed
in the same liquor kit as duty-free and tax-free liquor and tobacco.
(b) Aircraft. Subpart M applies to all commercial aircraft on
domestic or foreign flights operating into, from and between U.S.
airports, which are carrying:
(1) Duty-free and tax-free liquor and tobacco withdrawn from bond
under section 309, Tariff Act of 1930, as amended (19 U.S.C. 1309); or
(2) Other liquor or tobacco on which duty or taxes have not been
paid.
This includes any aircraft carrying duty-free and tax-free liquor under
19 U.S.C. 1309, or other Federal law, although the aircraft is not
required to enter, clear or report arrival.
Sec. 122.132 Sealing of aircraft liquor kits.
(a) Sealing required. Aircraft liquor kits shall be sealed on board
the aircraft by crewmembers before the aircraft lands in the U.S. The
liquor kits shall be kept under seal while on the ground unless taken to
an authorized airline in-bond liquor storeroom.
(b) Exception. When an aircraft is traveling between airports in the
U.S., in a trade for which duty-free and tax-free liquor is used during
flight, sealing the liquor kits on board during transporting stopovers
is not required if:
(1) The liquor kits are kept on board the aircraft; and
[[Page 838]]
(2) The port director finds that sealing is not required for revenue
protection.
(c) Seals to be used. Aircraft liquor kits shall be sealed with
serially numbered, Customs approved seals. The airline shall use seals
supplied by an approved manufacturer, as provided in part 24 of this
chapter. A small number of seals may be obtained from the port director.
(d) Removing seals. When sealed liquor kits are on the ground, the
Customs seals may be broken only by:
(1) A Customs officer; or
(2) Authorized airline personnel, in an authorized airline in-bond
liquor storeroom.
(e) Resealing. When a Customs officer breaks the seal of a liquor
kit to check the contents, the action shall be recorded on the liquor
kit stores list, and the liquor kit must be resealed with an approved
seal.
Sec. 122.133 Stores list required on arrival.
(a) When required, contents. Three copies of an incoming stores list
shall be prepared for each liquor kit on board before an aircraft lands.
The incoming stores list shall state for each type of liquor and bottle
size:
(1) Number of full bottles;
(2) Number of partially filled bottles; and
(3) Total number of bottles.
If the carrier chooses not to state the type of liquor for each size
bottle, any duty or taxes assessed for any shortage shall be set at the
highest rate available for the alcoholic beverages in the kit.
(b) Disposition of stores list copies. One copy of the incoming
stores list shall be placed in the liquor kit before it is sealed. The
remaining two copies shall be used as follows:
(1) One copy shall be filed with the inward cargo manifest; and
(2) One copy shall be kept for filing with the outward cargo
manifest if the liquor kit was laden for export.
(c) For aircraft not required to enter and/or clear. If an aircraft
is not required to enter and/or clear:
(1) One copy shall be given to the Customs officer upon arrival; and
(2) One copy shall be kept to be given to the Customs officer before
departure of the aircraft.
(d) When stores list not prepared. When a complete stores list is
not prepared before landing, liquor kits must be sealed on board, and
the seal number shall be recorded on the stores list. When the aircraft
lands, the liquor shall be taken at once to the Customs office and the
stores list shall be completed by crew members under Customs
supervision.
Sec. 122.134 When airline does not have in-bond liquor storeroom.
(a) Handling of liquor kits. An aircraft may land at an airport
where the airline involved does not have an authorized in-bond liquor
storeroom. When this occurs, the liquor kits, under any supervision
found necessary by the port director, may be:
(1) Kept on board the aircraft;
(2) Removed and replaced upon the aircraft; or
(3) Removed and replaced aboard another aircraft.
(b) Sealing of kits. Aircraft liquor kits covered by this section
shall remain sealed until departure. Customs officers may remove the
seal to check the contents of the liquor kits, but shall reseal the kits
as provided in Sec. 122.132(e).
(c) Restocking. Additional amounts of duty-free and tax-free liquor
and tobacco obtained in the U.S. shall be laden in a separate container
on any aircraft covered by this section. The lading shall be done under
any supervision the port director finds necessary. The additional liquor
and tobacco shall be shown on separate outward stores lists.
Sec. 122.135 When airline has in-bond liquor storeroom.
(a) Restocking. Liquor kits on board an aircraft landing at an
airport where the airline involved has an authorized in-bond liquor
storeroom may be removed and restocked in the storeroom.
(b) Inventory record. Each authorized airline in-bond liquor
storeroom shall keep an inventory record in a form that satisfies the
port director. The inventory record shall account for the receipt and
use of all aircraft liquor and
[[Page 839]]
tobacco stores on which duty and/or tax has not been paid.
(c) Airline employees. Any airline which has an authorized in-bond
liquor store room at an airport shall give the port director:
(1) A list of names of all airline employees authorized to break
Customs seals on liquor kits in the in-bond liquor storeroom; and
(2) Signature samples of the authorized employees.
(d) Opening of aircraft liquor kits. Aircraft liquor kits received
in an authorized storeroom shall be opened only by authorized airline
employees, or by Customs officers.
(e) Contents of liquor kits. The employees who break the seals on
aircraft liquor kits shall check the contents at once. The employees
shall immediately report to the port director any:
(1) Evidence of seal tampering;
(2) Difference between the seal numbers on the liquor kits and those
recorded on the stores list; and
(3) Differences in quantity as shown on the stores list.
(f) Handling the liquor kits--(1) Partial bottles. Partial bottles
of liquor may be removed from incoming liquor kits and kept in the in-
bond liquor storeroom to be destroyed or combined with other partial
bottles. This may be done only under Customs supervision. The costs of
Customs supervision shall be paid by the airline.
(2) Exportation. The contents of incoming liquor kits may be
commingled to restock outbound liquor kits. The commingling must take
place in the airline in-bond liquor storeroom, using liquor bottles on
which the seal has not been broken.
(3) Sealing. All liquor kits shall be sealed as provided in
Sec. 122.132(a) before removal from the in-bond liquor storeroom. All
seal numbers shall be listed on an outgoing stores list.
Sec. 122.136 Outgoing stores list.
(a) Preparation. Two copies of a serially numbered outgoing stores
list shall be prepared by the airline for all liquor and tobacco
withdrawn from bonded or non-tax-paid stock and added to liquor kits.
The outgoing stores list shall show the total number of bottles for each
type liquor, the brand, and the size of each bottle.
(b) Use of copies. The two copies of the outgoing stores list shall
be used as follows:
(1) One copy shall be placed and kept in the outgoing kits until the
aircraft leaves the U.S.; and
(2) One copy must be filed either with the outgoing cargo manifest
(for aircraft required to clear) or with Customs before departing, as
provided in Sec. 122.133(c).
In both cases, the third copy of the inward stores list shall be filed
with the outgoing stores list. (See Sec. 122.133(c)).
Sec. 122.137 Certificate of use.
Any liquor or tobacco withdrawn from the in-bond storeroom and shown
on the outgoing stores list shall be recorded, when exported, on a
certificate of use prepared by the airline.
Subpart N_Flights to and From the U.S. Virgin Islands
Sec. 122.141 Definitions.
Under subpart N, the following definitions apply:
(a) United States. The term ``U.S.'' includes the several States,
the District of Columbia and Puerto Rico.
(b) Foreign area. The term ``foreign area'' means any area other
than the several States, the District of Columbia and Puerto Rico.
Sec. 122.142 Flights between the U.S. Virgin Islands and a foreign
area.
(a) Aircraft arriving in the U.S. Virgin Islands. Aircraft arriving
in the U.S. Virgin Islands from a place other than the U.S. are governed
by the provisions of this part which apply to aircraft arriving in the
U.S. from a foreign area.
(b) Aircraft leaving the U.S. Virgin Islands. Aircraft leaving the
U.S. Virgin Islands for a place other than the U.S. are governed by the
provisions of this part that apply to aircraft leaving the U.S. for a
foreign area.
Sec. 122.143 Flights from the U.S. to the U.S. Virgin Islands.
(a) In general. Aircraft on flights from the U.S. to the U.S. Virgin
Islands are governed by the provisions of
[[Page 840]]
this part that apply to aircraft on a flight within the U.S.
(b) Bureau of the Census. When Bureau of the Census regulations (15
CFR part 30) apply to aircraft carrying merchandise to the U.S. Virgin
Islands from the U.S., permission to depart must be obtained from the
port director. Permission to depart shall not be given unless:
(1) A complete manifest and Shipper's Export Declarations as
required by 15 CFR part 30 are filed; or
(2) An incomplete manifest under 15 CFR 30.24 is filed and the
complete manifest and Shipper's Export Declarations are filed within 7
business days after departure.
Sec. 122.144 Flights from the U.S. Virgin Islands to the U.S.
(a) Aircraft not inspected. This paragraph applies to aircraft
departing from the U.S. Virgin Islands and arriving in the U.S., without
having been inspected prior to departure.
(1) On departure. Aircraft leaving the U.S. Virgin Islands for the
U.S. are governed by the provisions of this part that apply to aircraft
leaving the U.S. for a foreign area.
(2) On arrival. Aircraft departing from the U.S. Virgin Islands and
arriving in the U.S. are governed by the provisions of this part that
apply to aircraft arriving in the U.S. from a foreign area.
(b) Supervision. When aircraft are inspected by Customs in the U.S.
Virgin Islands, the port director may order any supervision found
necessary to protect the revenue and enforce the laws administered by
Customs. This includes the collection of duty and taxes on articles
bought in the U.S. Virgin Islands.
(c) Procedure. When an aircraft that was inspected in the U.S.
Virgin Islands arrives in the U.S. from the U.S. Virgin Islands, the
aircraft commander must be able to give evidence of the inspection to
Customs on request. Evidence of the inspection shall be given in the
following manner:
(1) A certificate on Customs Form 7507 shall be presented for
aircraft registered in the U.S.:
(i) Of domestic origin; or
(ii) Of foreign origin, if duty has been paid and the aircraft is
proceeding carrying neither passengers nor cargo, or with cargo and/or
passengers solely from the U.S. Virgin Islands.
Two copies of the certificate shall be given to the inspecting Customs
officers in the U.S. Virgin Islands by the aircraft commander. The
certificate shall be marked with the port and date of inspection, and
must be signed by the inspecting officer. The original of the
certificate must be returned to the aircraft commander, who must keep
the certificate for a reasonable time after the end of the flight to the
U.S. If requested, the certificate shall be presented to Customs. The
certificate may be destroyed or disposed of after a reasonable time at
the discretion of the aircraft commander or agent.
(2) A permit to proceed on Customs Form 7507 shall be presented for
aircraft registered in the U.S. which are:
(i) Of foreign origin;
(ii) Not duty paid; and
(iii) Proceeding carrying neither passengers nor cargo.
The permit to proceed, as required by subpart F of this part, shall be
marked with the port and date of inspection, and shall be signed by the
inspecting officer in the U.S. Virgin Islands.
(3) A permit to proceed on Customs Form 7507 shall be presented for
aircraft registered in a foreign country and proceeding carrying neither
passengers nor cargo. The permit to proceed, as required under subpart F
of this part, shall be marked with the port and date of inspection, and
shall be signed by the inspecting officer in the U.S. Virgin Islands.
(4) A permit to proceed, or other document, shall be filed as
required under subpart I of this part for an aircraft carrying residue
cargo and/or passengers. The permit to proceed shall be marked with the
port and date of inspection, and it must be signed by the inspecting
officer in the U.S. Virgin Islands.
[[Page 841]]
Subpart O_Flights to and From Cuba
Sec. 122.151 Definitions.
Under this subpart, the following definitions apply:
(a) United States. The term ``U.S.'' includes the several States,
the District of Columbia, the U.S. Virgin Islands, and Puerto Rico.
(b) Cuba. The term ``Cuba'' does not include the Guantanamo Bay
Naval Station.
Sec. 122.152 Application.
This subpart applies to all aircraft entering or departing the U.S.
to or from Cuba except public aircraft.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 97-82, 62 FR
51770, Oct. 3, 1997]
Sec. 122.153 Limitations on airport of entry or departure.
(a) Aircraft arrival and departure. The owner or person in command
of any aircraft clearing the United States for or entering the United
States from Cuba, whether the aircraft is departing on a temporary
sojourn or for export, must clear or obtain permission to depart from,
or enter at, the Miami International Airport, Miami, Florida; the John
F. Kennedy International Airport, Jamaica, New York; the Los Angeles
International Airport, Los Angeles, California; or any other airport
that has been approved by CBP pursuant to paragraph (b) of this section,
and must comply with the requirements in this part unless otherwise
authorized by the Assistant Commissioner, Office of Field Operations,
CBP Headquarters.
(b) CBP approval of airports of entry and departure.
(1) Airports eligible to apply. An international airport, landing
rights airport, or user fee airport (as defined in Sec. 122.1 and
described in subpart B of this part) that is equipped to facilitate
passport control and baggage inspection, and otherwise process
international flights and has an Office of Foreign Assets Control (OFAC)
licensed carrier service provider that is prepared to provide flights
between the airport and Cuba, may request CBP approval to become an
airport of entry and departure for aircraft traveling to or from Cuba.
(2) Application and approval procedure. The director of the port
authority governing the airport must send a written request to the
Assistant Commissioner, Office of Field Operations, CBP Headquarters,
requesting approval for the airport to be able to accept aircraft
traveling to or from Cuba. Upon determination that the airport is
suitable to provide such services, CBP will notify the requestor that
the airport has been approved to accept aircraft traveling to or from
Cuba, and that it may immediately begin to accept such aircraft. For
reference purposes, approved airports will be listed on the CBP Web site
and in updates to paragraph (c) of this section.
(c) List of airports authorized to accept aircraft traveling to or
from Cuba. For reference purposes, the following is a list of airports
that have been authorized by CBP to accept aircraft traveling between
Cuba and the United States.
------------------------------------------------------------------------
Location Name
------------------------------------------------------------------------
Atlanta, Georgia.......................... Hartsfield-Jackson Atlanta
International Airport.
Austin, Texas............................. Austin-Bergstrom
International Airport.
Baltimore, Maryland....................... Baltimore/Washington
International Thurgood
Marshall Airport.
Chicago, Illinois......................... O'Hare International
Airport.
Dallas, Texas............................. Dallas/Fort Worth
International Airport.
Fort Lauderdale, Florida.................. Fort Lauderdale-Hollywood
International Airport.
Fort Myers, Florida....................... Southwest Florida
International Airport.
Houston, Texas............................ George Bush Intercontinental
Airport.
Jamaica, New York......................... John F. Kennedy
International Airport.
Key West, Florida......................... Key West International
Airport.
Los Angeles, California................... Los Angeles International
Airport.
Miami, Florida............................ Miami International Airport.
New Orleans, Louisiana.................... Louis Armstrong New Orleans
International Airport.
Oakland, California....................... Oakland International
Airport.
Orlando, Florida.......................... Orlando International
Airport.
Pittsburgh, Pennsylvania.................. Pittsburgh International
Airport.
San Juan, Puerto Rico..................... San Juan Luis Mu[ntilde]oz
Mar[iacute]n International
Airport.
Tampa, Florida............................ Tampa International Airport.
West Palm Beach, Florida.................. Palm Beach International
Airport.
------------------------------------------------------------------------
[CBP Dec. 11-05, 76 FR 5060, Jan. 28, 2011, as amended at CBP Dec. 12-
08, 77 FR 23599, Apr. 20, 2012 ]
[[Page 842]]
Sec. 122.154 Notice of arrival.
(a) Application. All aircraft entering the U.S. from Cuba must give
advance notice of arrival, unless it is an Office of Foreign Assets
Control (OFAC) approved scheduled commercial aircraft of a scheduled
airline.
(b) Procedure for giving advance notice of arrival. The commander of
an aircraft covered by this section shall give the advance notice of
arrival not less than one (1) hour before crossing the U.S. coast or
border. Notice shall be given either:
(1) Through Federal Aviation Administration flight notification
procedure (see International Flight Information Manual, Federal Aviation
Administration); or
(2) Directly to the CBP officer in charge at the applicable airport
authorized pursuant to Sec. 122.153.
(c) Contents of notice. The advance notice of arrival shall state:
(1) Type of aircraft and registration number;
(2) Name of aircraft commander;
(3) Number of U.S. citizen passengers;
(4) Number of alien passengers;
(5) Place of last foreign departure;
(6) Estimated time and location of crossing the U.S. coast or
border; and
(7) Estimated time of arrival.
(d) Private Aircraft. In addition to these requirements, private
aircraft must also give notice of arrival pursuant to Sec. 122.22 of
this part.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 99-71, 64 FR
53628, Oct. 4, 1999; CBP Dec. 08-43, 73 FR 68313, Nov. 18, 2008; CBP
Dec. 11-05, 76 FR 5061, Jan. 28, 2011]
Sec. 122.155 Document to be presented upon arrival.
Upon arrival, the aircraft commander shall present:
(a) A manifest of all passengers on board, as required by the U.S.
Immigration and Naturalization Service pursuant to 8 CFR 231.1(b), to an
officer of the U.S. Immigration and Naturalization Service or to a
Customs officer acting as an Immigration officer;
(b) The documents required by subpart E of this part.
Sec. 122.156 Release of passengers.
No passengers arriving from Cuba by aircraft will be released by
Customs, nor will the aircraft be cleared or permitted to depart before
the passengers are released by an officer of the Immigration and
Naturalization Service or by a Customs officer acting on behalf of that
agency.
Sec. 122.157 Documents required for clearance.
As a condition precedent to clearance, the aircraft commander shall
present to Customs:
(a) The documents required by Subpart H of this part; and
(b) A validated license issued by the Department of Commerce, as
provided for in 15 CFR 371.19 or a license issued by the Department of
State, as provided in 22 CFR part 123.
Sec. 122.158 Other entry and clearance requirements.
All other provisions of this part relating to entry and clearance of
aircraft are applicable to aircraft subject to this subpart.
Subpart P--Public Aircraft [Reserved]
Subpart Q_Penalties
Sec. 122.161 In general.
Except as provided in subpart S of this part, any person who
violates any Customs requirements stated in this part, or any regulation
that applies to aircraft under Sec. 122.2, is, in addition to any other
applicable penalty, subject to civil penalty of $5,000 as provided by 19
U.S.C. 1644 and 1644a, except for overages, and failure to manifest
narcotics or marihuana, in which cases the penalties set forth in
section 584, Tariff Act of 1930, as amended (19 U.S.C. 1584) apply, or
for failure to report arrival or to present the documents required by
Sec. 122.27(c) of this part in which cases the penalties set forth in
section 436, Tariff Act of 1930, as amended (19 U.S.C. 1436) apply, and
any aircraft used in connection with any such violation shall be subject
to seizure and forfeiture, as provided for in the Customs laws. A
penalty or forfeiture may be
[[Page 843]]
mitigated under part 171 of this chapter.
[T.D. 91-61, 56 FR 32086, July 15, 1991, as amended by T.D. 98-74, 63 FR
51289, Sept. 25, 1998]
Sec. 122.162 Failure to notify and explain differences in air cargo
manifest.
(a) Application. Penalties shall be assessed if differences in an
air cargo manifest (overages or shortages) are discovered and:
(1) The required notice and explanation are not made in time;
(2) The port director is not satisfied that the differences were
caused by clerical error or other mistake;
(3) There has been a loss of revenue to the U.S.; or
(4) The port director is not satisfied that there was a valid reason
for delay in reporting any differences.
(b) Definition. Under this section, ``clerical error or other
mistake'' means a non-negligent, inadvertant, or typographical mistake
in the preparation, assembly, or submission (electronically or
otherwise) of the manifest.
(c) Repeated differences. If repeated differences are found in
manifests filed by the same person, it may be determined that the
differences were a result of negligence and not clerical error or other
mistake.
(d) Knowledge. A penalty may be assessed for differences in a
manifest that are unknown to the aircraft commander or owner.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 99-64, 64 FR
43266, Aug. 10, 1999]
Sec. 122.163 Transit air cargo traveling to U.S. ports.
(a) Application. If transit air cargo is traveling from the port of
arrival to another U.S. port under Sec. 122.119, a liability shall be
assessed, as set out in Sec. 18.8 of this chapter if there has been:
(1) Shortage in delivery;
(2) Irregular delivery; or
(3) Non-delivery.
(b) Liabilities assessed. The liabilities assessed under this
section are imposed as liquidated damages under a carrier's bond.
(c) Value of merchandise. The port director shall determine the
value of merchandise for assessment purposes based on the following
factors:
(1) Any data or documents available to the airline which presented a
receipt for the transit air cargo, and available to the importing
airline relating to the description and value of the cargo; and
(2) Other information available to the port director relating to the
same or similar merchandise. If the data or documents required by this
section are not submitted within 90 days of the date requested, the port
director shall determine value on the basis of other available
information. The transit air cargo manifest does not reflect value.
Sec. 122.164 Transportation to another port for exportation.
If transit air cargo is traveling from the port of arrival to
another U.S. port for later exportation, any liquidated damages for
shortages or irregular delivery shall be assessed as provided in
Sec. 122.163.
Sec. 122.165 Air cabotage.
(a) The air cabotage law (49 U.S.C. 41703) prohibits the
transportation of persons, property, or mail for compensation or hire
between points of the U.S. in a foreign civil aircraft. The term
``foreign civil aircraft'' includes all aircraft that are not of U.S.
registration except those foreign-registered aircraft leased or
chartered to a U.S. air carrier and operated under the authority of
regulations issued by the Department of Transportation, as provided for
in 14 CFR 121.153, and those aircraft used exclusively in the service of
any government.
(b) Customs officers detecting possible violations shall report the
matter to Headquarters, Attention: Entry Procedures and Carriers Branch.
Liability should not be assessed under 49 U.S.C. Chapter 463 pending
instructions from Headquarters since certain limited domestic
transportation by foreign civil aircraft is permitted under regulations
issued by the Department of Transportation.
[T.D. 88-12, 53 FR 9292, Mar. 22, 1988, as amended by T.D. 98-74, 63 FR
51289, Sept. 25, 1998; T.D. 99-27, 64 FR 13675, Mar. 22, 1999]
[[Page 844]]
Sec. 122.166 Arrival, departure, discharge, and documentation.
(a) Liability for civil penalties. Except as otherwise provided, any
aircraft pilot violation of the requirements of section 433, Tariff Act
of 1930, as amended, (19 U.S.C. 1433), with respect to the following
actions shall be liable for civil penalties as provided by section 436,
Tariff Act of 1930, as amended (19 U.S.C. 1436), and described in
paragraph (c) of this section:
(1) Advance notification of arrival;
(2) Report of arrival;
(3) Landing of aircraft;
(4) Presentation of documentation;
(5) Departure from the port, place, or airport of arrival without
authorization; or
(6) Discharge of passenger, or merchandise (to include baggage)
without authorization.
(b) Liability for criminal penalties. Upon conviction, any aircraft
pilot violating any of the Customs requirements described in paragraph
(a) of this section shall, in addition to civil penalties be subject to
criminal penalties as set forth in section 436, Tariff Act of 1930, as
amended, (19 U.S.C. 1436), and described in paragraph (c) of this
section. If the aircraft has or is discovered to have had on board any
merchandise (other than the equivalent, for a vessel, of sea stores) the
importation of which into the U.S. is prohibited, that person shall be
subject to an additional fine as set forth in 19 U.S.C. 1436 and
described in paragraph (c) of this section.
(c) Civil and criminal penalties described--(1) Civil penalty. The
pilot of any aircraft who fails to comply with the requirements of this
section is liable for a civil penalty of $5,000 for the first violation,
and $10,000 for each subsequent violation. Any aircraft used in
connection with any such violation is subject to seizure and forfeiture.
(2) Criminal penalty. In addition to the civil penalty prescribed
for violation of this section, the pilot of any aircraft who
intentionally fails to comply with the requirements of this section is
liable, upon conviction, for a fine of not more than $2,000 or
imprisonment for 1 year, or both. If the aircraft is found to have, or
to have had, on board any merchandise the importation of which is
prohibited, such individual is liable for an additional fine of not more
than $10,000 or imprisonment for not more than 5 years, or both.
(3) Additional civil penalty. If any merchandise, other than the
equivalent of vessel sea stores, is imported or brought into the U.S.
aboard an aircraft which has failed to comply with the requirements
prescribed by this section, the pilot of the aircraft shall be liable
for a civil penalty equal to the value of the merchandise, and the
merchandise may be seized and forfeited, unless properly entered by the
importer or consignee.
Sec. 122.167 Aviation smuggling.
(a) Civil penalties. Any aircraft pilot who transports, or any
person on board any aircraft who possesses prohibited or restricted
merchandise knowing, or intending, that the merchandise will be
introduced into the U.S. contrary to law shall be subject to a civil
penalty of twice the value of the merchandise involved, but not less
than $10,000, as prescribed in section 590, Tariff Act of 1930, as
amended (19 U.S.C. 1590). Any aircraft used in connection with, or in
aiding or facilitating, any violation of 19 U.S.C. 1590, whether or not
any person is charged in connection with such violation, may be seized
and forfeited in accordance with Customs laws.
(b) Criminal penalties. Any aircraft pilot or person who
intentionally violates 19 U.S.C. 1590 is, upon conviction, subject to
the criminal penalties of a fine of not more than $10,000 or
imprisonment for not more than 5 years, or both, if none of the
merchandise involved is a controlled substance. More severe penalties
are provided in 19 U.S.C. 1590 if the smuggled merchandise is a
controlled substance. In such case, a violator is liable for a fine of
not more than $250,000 or imprisonment for not more than 20 years, or
both.
(c) For purposes of imposing civil penalties under this section, any
of the following acts, when performed within 250 miles of the
territorial sea of the United States, shall be evidence that the
transportation or possession of merchandise was unlawful and shall
indicate that the purpose of the transfer
[[Page 845]]
was to make it possible for such merchandise, or any part of it, to be
introduced into the U.S. unlawfully. For purposes of seizure and
forfeiture, the following acts shall be evidence that an aircraft was
used in connection with, or to aid or facilitate, a violation of this
section;
(1) The operation of an aircraft without lights during such times as
lights are required to be displayed under applicable law.
(2) The presence on an aircraft of an auxiliary fuel tank which is
not installed in accordance with applicable law.
(3) The failure to correctly identify the aircraft by registration
number and country of registration, when requested to do so by a customs
officer or other government authority.
(4) The external display of false registration numbers or false
country of registration.
(5) The presence on board of unmanifested merchandise, the
importation of which is prohibited or restricted.
(6) The presence on board of controlled substances which are not
manifested or which are not accompanied by the permits or licenses
required under Single Convention on Narcotic Drugs or other
international treaty.
(7) The presence of any compartment or equipment which is built or
fitted out for smuggling.
Subpart R_Air Carrier Smuggling Prevention Program
Source: T.D. 91-25, 56 FR 12347, Mar. 25, 1991, unless otherwise
noted.
Sec. 122.171 Description of program.
The Air Carrier Smuggling Prevention Program (ACSPP) is designed to
enlist the cooperation of the air carriers, as defined in 19 U.S.C. 1584
note, in Customs efforts to prevent the smuggling of controlled
substances. If carriers develop and implement thorough and complete
internal security procedures at ACSPP designated terminals and foreign
departure and intermediate points, the opportunity for their conveyances
being used for transportation of controlled substances will be greatly
reduced. Participation in the program is voluntary, and may be limited
to specific routes. Should a controlled substance be introduced into the
United States on a conveyance owned or operated by a participating
carrier however, the carrier will be exempt from seizure and penalties
should it satisfy the provisions of Sec. 122.175 of this part. The
program will be operational for a period of 2 years from December 18,
1989, pursuant to 19 U.S.C. 1584 note.
Sec. 122.172 Eligibility.
Any air carrier whose international flights arrive at, or depart
from, any of the designated test airports, Miami International Airport,
Dallas-Fort Worth International Airport, or Los Angeles International
Airport, is eligible for participation in the ACSPP.
Sec. 122.173 Application procedures.
(a) Application. An air carrier which wishes to participate in the
ACSPP shall submit an application to the Assistant Commissioner, Office
of Field Operations, in which it:
(1) Identifies specific routes and designated departure points and
ACSPP airports for which application is made;
(2) Certifies that it has developed and will continue to maintain
standard operating procedures (SOP) which are designed to safeguard the
integrity of its employees, cargo and conveyances. The application shall
be accompanied by three (3) copies of the SOP developed by the air
carrier.
(b) Approval criteria. Upon receipt, each application will be
reviewed to determine whether the procedures contained therein meet the
requirements of the ACSPP. In determining whether a SOP submitted by an
applicant carrier contains sufficient detail to assure the proper level
of care and diligence required under the provisions of the ACSPP, the
Assistant Commissioner, Office of Field Operations, will apply uniform
standards and verify that, at a minimum, procedures are in place which:
(1) Assure positive security background checks are performed on all
carrier employees, both those employed within the United States and
without, who have access to baggage,
[[Page 846]]
cargo or secure areas on participating routes, to the extent permitted
by law;
(2) Assure a system of positive baggage and cargo identification is
employed at all terminals used by the carrier;
(3) Assure the carrier employs a system to assure that no
unmanifested cargo is placed on board the conveyance or brought into the
United States on any of their conveyances;
(4) Assure the carrier has specific procedures through which it will
notify Customs should it discover any unmanifested or improperly
manifested cargo on any of its conveyances or in any area subject to its
control;
(5) Assure the carrier has an effective and practical employee
awareness training program in place; and
(6) Assure thorough security measures are implemented at all foreign
departure points on ACSPP participating routes which will assure that
the carrier has control and knowledge of the baggage, cargo, passenger
and other materials placed on board its aircraft.
(c) Acceptance and notification. Upon verification by Customs that a
carrier's SOP meets all the criteria outlined in Sec. 122.173(b) of this
part, the carrier will be notified that its application to the ACSPP has
been accepted. Acceptance into the ACSPP is made with the understanding
and expectation that the carrier will continue to act with the highest
degree of care and diligence required under law and that it will abide
by and perform all elements of its approved SOP.
[T.D. 91-25, 56 FR 12347, Mar. 25, 1991, as amended by T.D. 91-77, 56 FR
46115, Sept. 10, 1991]
Sec. 122.174 Operational procedures.
(a) Participating carriers. Participating carriers are required to
develop and adhere to procedures whereby they will:
(1) Provide security personnel for every international arrival
participating in the ACSPP to conduct the following procedures:
(i) Perform a thorough internal and external search of the arriving
aircraft;
(ii) Maintain total control of all passengers and cargo being
discharged from the aircraft to either the Customs passenger hall or to
the carrier's cargo facility;
(iii) Verify that all cargo on aircraft is properly manifested,
marked and weighed and that piece counts are properly performed; and
(iv) Maintain physical security of the aircraft and ramp access to
the aircraft while it is being offloaded.
(2) Provide security personnel at the foreign point of departure for
every international departure which is participating in ACSPP to conduct
the following procedures:
(i) Perform a thorough internal and external search of the departing
aircraft;
(ii) Maintain total control of all passengers and cargo being loaded
on the aircraft from either the passenger terminal or the carrier's
cargo facility;
(iii) Verify that all cargo placed on the aircraft is properly
manifested, marked and weighed and that piece counts are properly
performed;
(iv) Maintain physical security of the aircraft and ramp access to
the aircraft while it is being loaded; and
(v) Maintain similar positive security measures at all foreign
intermediate airports prior to the arrival of the aircraft at an ACSPP
designated airport.
(b) U.S. Customs. U.S. Customs will:
(1) Retain all current options available regarding the search and
inspection of any and all passengers, cargo and conveyances; and
(2) Provide training to carrier personnel to assist the development
of proper operational procedures.
Sec. 122.175 Exemption from penalties.
Should a controlled substance be introduced into the United States
or discovered aboard an aircraft owned or operated by a participating
carrier, or in cargo carried by a participating carrier, on a route
identified by the carrier as one participating in the ACSPP and which
has been approved by Customs, the participating air carrier shall be
considered to have met the test of highest degree of care and diligence
required under law, and shall not be subject to the penalty or seizure
provisions of the Tariff Act of 1930, as amended, if the carrier
establishes at an oral presentation before the port director or his
designee, that the carrier
[[Page 847]]
was not grossly negligent nor engaged in willful misconduct, and that it
had complied with all the provisions of these regulations.
Sec. 122.176 Removal from ACSPP.
(a) Grounds for removal from ACSSPP. The Assistant Commissioner,
Office of Field Operations, may revoke or supend the privilege of
operating as a member of the ACSPP if:
(1) Acceptance into the program was gained through fraud or the
misstatement of a material fact;
(2) The carrier refuses or neglects to obey any proper order of a
Customs officer or any Customs order, rule, or regulation relative to
its cooperation within the program;
(3) An officer of the carrier or corporation which has been accepted
into the program is convicted of a felony or misdemeanor involving
theft, smuggling, or other theft-connected crime which was committed in
his or her official capacity as an officer of the carrier, or is
convicted of any Customs-related crime;
(4) The carrier fails to retain merchandise which has been
designated for examination;
(5) The carrier does not provide secure facilities or properly
safeguard merchandise within its area of control; or
(6) The carrier fails to observe any of the procedures which it had
set forth in the SOP which served as the basis for the carrier's
acceptance into the program; and
(7) The carrier has been notified in writing that it has been found
in noncompliance with a provision of the program and has failed to
correct such noncompliance after having been given a reasonable
opportunity to correct such noncompliance.
(b) Notice and appeal. The Assistant Commissioner, Office of Field
Operations, shall suspend or remove participants from the ACSPP by
serving notice of the proposed action upon the carrier in writing. The
notice shall be in the form of a statement specifically setting forth
the grounds for suspension or removal and shall provide the carrier with
notice that it may file a written notice of appeal from suspension or
revocation within 10 days following receipt of the notice of revocation
or suspension. The notice of appeal shall be filed in duplicate to the
office of the Assistant Commissioner, Field Operations, and shall set
forth response of the carrier to the statement of the Assistant
Commissioner.
(c) Notice of decision. The Assistant Commissioner, Office of Field
Operations, shall notify the participating carrier in writing of the
decision concerning continued participation in the program.
(d) Use of uniform criteria. When making any determination regarding
a carrier's participation or continuation in the ACSPP, the Assistant
Commissioner, Office of Field Operations, shall employ a uniform
standard of performance and evaluation.
[T.D. 91-25, 56 FR 12347, Mar. 25, 1991, as amended by T.D. 91-77, 56 FR
46115, Sept. 10, 1991; T.D. 99-27, 64 FR 13675, Mar. 22, 1999]
Subpart S_Access to Customs Security Areas
Source: T.D. 90-82, 55 FR 42557, Oct. 22, 1990, unless otherwise
noted.
Sec. 122.181 Definition of Customs security area.
For purposes of this section, the term ``Customs security area''
means the Federal inspection services area at any airport accommodating
international air commerce designated for processing passengers, crew,
their baggage and effects arriving from, or departing to, foreign
countries, as well as the aircraft deplaning and ramp area and other
restricted areas designated by the port director. These areas will be
posted as restricted to the extent possible and are established for the
purpose of prohibiting unauthorized entries or contact with persons or
objects.
[T.D. 90-82, 55 FR 42557, Oct. 22, 1990, as amended by T.D. 02-40, 67 FR
48984, July 29, 2002]
Sec. 122.182 Security provisions.
(a) Customs access seal required. With the exception of all Federal
and uniformed State and local law enforcement personnel and aircraft
passengers
[[Page 848]]
and crew, all persons located at, operating out of, or employed by any
airport accommodating international air commerce or its tenants or
contractors, including air carriers, who have unescorted access to the
Customs security area, must openly display or produce upon demand an
approved access seal issued by Customs. The approved Customs access seal
must be in the possession of the person in whose name it is issued
whenever the person is in the Customs security area and must be used
only in furtherance of that person's employment in accordance with the
description of duties submitted by the employer under paragraph (c)(1)
of this section. The Customs access seal remains the property of
Customs, and any bearer must immediately surrender it as provided in
paragraph (g) of this section or upon demand by any authorized Customs
officer for any cause referred to in Sec. 122.187(a). Unless surrendered
pursuant to paragraph (g) of this section or Sec. 122.187, each approved
Customs access seal issued under paragraph (c)(1) of this section will
remain valid for 2 years from January 1, 2002, in the case of a Customs
access seal issued prior to that date and for 2 years from the date of
issuance in all other cases. Retention of an approved Customs access
seal beyond the applicable 2-year period will be subject to the
reapplication provisions of paragraph (c)(2) of this section.
(b) Employers responsibility. Employers operating in Customs airport
security areas shall advise all employees of the provisions of the
Customs regulations relative to those areas, require employees to
familiarize themselves with those provisions and insure employee
compliance. The employer shall also advise the port director of any
changes of employment pursuant to Sec. 122.182(g).
(c) Application requirements--(1) Initial application. An
application for an approved Customs access seal, as required by this
section, must be filed by the applicant with the port director on
Customs Form 3078 and must be supported by a written request and
justification for issuance prepared by the applicant's employer that
describes the duties that the applicant will perform while in the
Customs security area. The application requirement applies to all
employees required to display an approved Customs access seal by this
section, regardless of the length of their employment. The application
must be supported by the bond of the applicant's employer or principal
on Customs Form 301 containing the bond conditions set forth in
Sec. 113.62, Sec. 113.63, or Sec. 113.64 of this chapter, relating to
importers or brokers, custodians of bonded merchandise, or international
carriers. If the applicant's employer is not the principal on a Customs
bond on Customs Form 301 for one or more of the activities to which the
bond conditions set forth in Sec. 113.62, Sec. 113.63, or Sec. 113.64
relate, the application must be supported by an Airport Customs Security
Area Bond, as set forth in appendix A of part 113 of this chapter. The
latter bond may be waived, however, for State or local government-
related agencies in the discretion of the port director. Waiver of this
bond does not relieve the agency in question or its employees from
compliance with all other provisions of this subpart. In addition, in
connection with an application for an approved Customs access seal under
this section:
(i) The port director may require the applicant to submit
fingerprints on form FD-258 or on any other approved medium either at
the time of, or following, the filing of the application. If required,
the port director will inform the applicant of the current Federal
Bureau of Investigation user fee for conducting fingerprint checks and
the Customs administrative processing fee, the total of which must be
tendered by, or on behalf of, the applicant with the application; and
(ii) Proof of citizenship or authorized residency and a photograph
may also be required.
(2) Reapplication. If a person wishes to retain an approved Customs
access seal for one or more additional 2-year periods beyond the 2-year
period referred to in paragraph (a) of this section, that person must
submit a new application no later than 30 calendar days prior to the
start of each additional period. The new application must be filed in
the manner specified in paragraph (c)(1) of this section for an initial
application,
[[Page 849]]
and the port director may also require the submission of fingerprints as
provided in paragraph (c)(1)(i) of this section. The new application
will be subject to review on a de novo basis as if it were an initial
application except that the written attestation referred to in paragraph
(d) of this section will not be required if there has been no change in
the employment of the applicant since the last attestation was submitted
to Customs.
(d) Background check. An authorized official of the employer must
attest in writing that a background check has been conducted on the
applicant, to the extent allowable by law. The background check must
include, at a minimum, references and employment history, to the extent
necessary to verify representations made by the applicant relating to
employment in the preceding 5 years. The authorized official of the
employer must attest that, to the best of his knowledge, the applicant
meets the conditions necessary to perform functions associated with
employment in the Customs security area. Additionally, the application
may be investigated by Customs and a report prepared concerning the
character of the applicant. Records of background investigations
conducted by employers must be retained for a period of one year
following cessation of employment and made available upon request of the
port director.
(e) Law Enforcement officers and other governmental officials. Law
enforcement officers and other Federal, State, or local officials whose
official duties require access to the Customs security area may request
from the port director the issuance of an approved Customs access seal.
They need not make application nor submit to background checks for
security area access. An Airport Customs Security Area Bond is not
required.
(f) Replacement access seal. A new Custom access seal may be
obtained from the port director in the following circumstances, without
the completion of an additional application, except as determined by the
port director in his discretion:
(1) A change in employee name or address;
(2) A change in the name or ownership of the employing company;
(3) A change in employer or airport authority identification card
format; or
(4) Loss or theft of the Customs access seal (see Sec. 122.185 of
this part).
(g) Surrender of access seal. Where the employee no longer requires
access to the Customs security area for an extended period of time at
the airport of issuance due to a change in duties, termination of
employment, or other reason, or where the 2-year period referred to in
paragraph (a) of this section expires and a new application under
paragraph (c)(2) of this section has not been approved, the employer
shall notify the port director in writing, at the time of such change,
and shall return the Customs access seal to Customs. The notification
shall include information regarding the disposition of the approved
Customs access seal of the employee.
[T.D. 90-82, 55 FR 42557, Oct. 22, 1990, as amended by T.D. 93-18, 58 FR
15773, Mar. 24, 1993; T.D. 02-40, 67 FR 48984, July 29, 2002; 67 FR
51928, Aug. 9, 2002]
Sec. 122.183 Denial of access.
(a) Grounds for denial. Access to the Customs security area will not
be granted, and therefore an approved Customs access seal will not be
issued, to any person whose access to the Customs security area will, in
the judgment of the port director, endanger the revenue or the security
of the area or pose an unacceptable risk to public health, interest or
safety, national security, or aviation safety. Specific grounds for
denial of access to the Customs security area include, but are not
limited to, the following:
(1) Any cause which would justify a demand for surrender of a
Customs access seal or the revocation or suspension of access under
Sec. 122.182(g) or Sec. 122.187;
(2) Evidence of a pending or past investigation establishing
probable cause to believe that the applicant has engaged in any conduct
which relates to, or which could lead to a conviction for, a
disqualifying offense listed under paragraph (a)(4) of this section;
(3) The arrest of the applicant for, or the charging of the
applicant with, a
[[Page 850]]
disqualifying offense listed under paragraph (a)(4) of this section on
which prosecution or other disposition is pending;
(4) A disqualifying offense committed by the applicant. For purposes
of this paragraph, an applicant commits a disqualifying offense if the
applicant has been convicted of, or found not guilty of by reason of
insanity, or has committed any act or omission involving, any of the
following in any jurisdiction during the 5-year period, or any longer
period that the port director deems appropriate for the offense in
question, prior to the date of the application submitted under
Sec. 122.182 or at any time while in possession of an approved Customs
access seal:
(i) Forgery of certificates, false marking of aircraft, and other
aircraft registration violation (49 U.S.C. 46306);
(ii) Interference with air navigation (49 U.S.C. 46308);
(iii) Improper transportation of a hazardous material (49 U.S.C.
46312);
(iv) Aircraft piracy in the special aircraft jurisdiction of the
United States (49 U.S.C. 46502(a));
(v) Interference with flight crew members or flight attendants (49
U.S.C. 46504);
(vi) Commission of certain crimes aboard aircraft in flight (49
U.S.C. 46506);
(vii) Carrying a weapon or explosive aboard aircraft (49 U.S.C.
46505);
(viii) Conveying false information and threats (49 U.S.C. 46507);
(ix) Aircraft piracy outside the special aircraft jurisdiction of
the United States (49 U.S.C. 46502(b));
(x) Lighting violations involving transportation of controlled
substances (49 U.S.C. 46315);
(xi) Unlawful entry into an aircraft or airport area that serves air
carriers or foreign air carriers contrary to established security
requirements (49 U.S.C. 46314);
(xii) Destruction of an aircraft or aircraft facility (18 U.S.C.
32);
(xiii) Murder;
(xiv) Assault with intent to murder;
(xv) Espionage;
(xvi) Sedition;
(xvii) Kidnapping or hostage taking;
(xviii) Treason;
(xix) Rape or aggravated sexual abuse;
(xx) Unlawful possession, use, sale, distribution, or manufacture of
an explosive or weapon;
(xxi) Extortion;
(xxii) Armed or felony unarmed robbery;
(xxiii) Distribution of, or intent to distribute, a controlled
substance;
(xxiv) Felony arson;
(xxv) Felony involving:
(A) A threat;
(B) Willful destruction of property;
(C) Importation or manufacture of a controlled substance;
(D) Burglary;
(E) Theft;
(F) Dishonesty, fraud, or misrepresentation;
(G) Possession or distribution of stolen property;
(H) Aggravated assault;
(I) Bribery; or
(J) Illegal possession of a controlled substance punishable by a
maximum term of imprisonment of more than one year;
(xxvi) Violence at an airport serving international civil aviation
(18 U.S.C. 37);
(xxvii) Embezzlement;
(xxviii) Perjury;
(xxix) Robbery;
(xxx) Crimes associated with terrorist activities;
(xxxi) Sabotage;
(xxxii) Assault with a deadly weapon;
(xxxiii) Illegal use or possession of firearms or explosives;
(xxxiv) Any violation of a U.S. immigration law;
(xxxv) Any violation of a Customs law or any other law administered
or enforced by Customs involving narcotics or controlled substances,
commercial fraud, currency or financial transactions, smuggling, failure
to report, or failure to declare;
(xxxvi) Airport security violations; or
(xxxvii) Conspiracy or attempt to commit any of the offenses or acts
referred to in paragraphs (a)(4)(i) through (a)(4)(xxxv) of this
section;
(5) Denial or suspension of the applicant's unescorted access
authority to a Security Identification Display Area
[[Page 851]]
(SIDA) pursuant to regulations promulgated by the U.S. Federal Aviation
Administration or other appropriate government agency; or
(6) Inability of the applicant's employer or Customs to complete a
meaningful background check or investigation of the applicant.
(b) Notification of denial. The port director shall give written
notification to any person whose application for access to the Customs
security area has been denied, fully stating the reasons for denial and
setting forth specific appeal procedures. The employer shall be notified
in writing that the applicant has been denied access to the area and
that the detailed reasons for the denial have been furnished to the
applicant. Detailed reasons regarding the denial, however, shall not be
furnished to the employer by Customs.
(c) Appeal of denial. The denial will be final unless the applicant
files with the port director a written notice of appeal within 10 days
following receipt of the notice of denial. The notice of appeal shall be
filed in duplicate and shall set forth the response of the applicant to
the statement of the port director. The port director will render his
decision on the appeal to the applicant in writing within 30 calendar
days of receipt of the notice of appeal and, if the application is
denied on appeal, the decision will advise the applicant of the
procedures for filing a further appeal pursuant to paragraph (d) of this
section.
(d) Further appeal of denial. Where the application on appeal is
denied by the port director, the applicant may file a further written
notice of appeal with the director of field operations at the Customs
Management Center having jurisdiction over the office of the port
director within 10 calendar days of receipt of the port director's
decision on the appeal. The further notice of appeal must be filed in
duplicate and must set forth the response of the applicant to the
decision of the port director. The director of field operations will
review the appeal and render a written decision. The final decision will
be transmitted to the port director and served by him on the applicant.
[T.D. 90-82, 55 FR 42557, Oct. 22, 1990, as amended by T.D. 02-40, 67 FR
48985, July 29, 2002]
Sec. 122.184 Change of identification; change in circumstances of
employee; additional employer responsibilities.
(a) Change of identification. The Customs access seal may be removed
from the employee by the port director where, for security reasons, a
change in the nature of the identification card or other medium on which
it appears is necessary.
(b) Change in circumstances of employee. If, after issuance of a
Customs access seal to an employee, any circumstance arises (for
example, an arrest or conviction for a disqualifying offense) that
constitutes a ground for denial of access to the Customs security area
under Sec. 122.183(a) or for revocation or suspension of access to the
Customs security area and surrender of the Customs access seal under
Sec. 122.187(a), the employee must within 24 hours advise the port
director in writing of that change in circumstance. In the case of an
arrest or prosecution for a disqualifying offense listed in
Sec. 122.183(a)(4), the employee also must within 5 calendar days advise
the port director in writing of the final disposition of that arrest or
prosecution. In addition, if an airport operator or an aircraft operator
suspends an employee's unescorted access authority to a Security
Identification Display Area pursuant to regulations promulgated by the
U.S. Federal Aviation Administration or other appropriate government
agency and the employee also has an approved Customs access seal, the
employee must within 24 hours advise the port director in writing of the
fact of, and basis for, the suspension.
(c) Additional employer responsibilities. If an employer becomes
aware of any change in the circumstances of its employee as described in
paragraph (b) of this section, the employer must immediately advise the
port director of that fact even though the employee may have separately
reported that fact to the port director under paragraph (b) of this
section. In addition, each employer must submit to the port director
during the first month of each calendar quarter a report setting forth a
current list of all its employees who have an approved Customs access
seal.
[[Page 852]]
The quarterly report must list separately all additions to, and
deletions from, the previous quarterly report. Moreover, each employer
must take appropriate steps to ensure that an employee uses an approved
Customs access seal only in connection with activities relating to his
employment.
[T.D. 02-40, 67 FR 48986, July 29, 2002; 67 FR 51928, Aug. 9, 2002]
Sec. 122.185 Report of loss or theft of Customs access seal.
The loss or theft of an approved Customs access seal must be
promptly reported in writing by the employee to the port director. The
Customs access seal may be replaced, as provided in Sec. 122.182(f).
[T.D. 02-40, 67 FR 48986, July 29, 2002]
Sec. 122.186 Presentation of Customs access seal by other person.
If an approved Customs access seal is presented by a person other
than the one to whom it was issued, the Customs access seal will be
removed and destroyed. An approved Customs access seal may be removed
from an employee by any Customs officer designated by the port director.
[T.D. 02-40, 67 FR 48986, July 29, 2002]
Sec. 122.187 Revocation or suspension of access.
(a) Grounds for revocation or suspension of access--(1) General. The
port director:
(i) Must immediately revoke or suspend an employee's access to the
Customs security area and demand the immediate surrender of the
employee's approved Customs access seal for any ground specified in
paragraph (a)(2) of this section; or
(ii) May propose the revocation or suspension of an employee's
access to the Customs security area and the surrender of the employee's
approved Customs access seal whenever, in the judgment of the port
director, it appears for any ground not specified in paragraph (a)(2) of
this section that continued access might pose an unacceptable risk to
public health, interest or safety, national security, aviation safety,
the revenue, or the security of the area. In this case the port director
will provide the employee with an opportunity to respond to the notice
of proposed action.
(2) Specific grounds. Access to the Customs security area will be
revoked or suspended, and surrender of an approved Customs access seal
will be demanded, in any of the following circumstances:
(i) There is probable cause to believe that an approved Customs
access seal was obtained through fraud, a material omission, or the
misstatement of a material fact;
(ii) The employee is or has been convicted of, or found not guilty
of by reason of insanity, or there is probable cause to believe that the
employee has committed any act or omission involving, an offense listed
in Sec. 122.183(a)(4);
(iii) The employee has been arrested for, or charged with, an
offense listed in Sec. 122.183(a)(4) and prosecution or other
disposition of the arrest or charge is pending;
(iv) The employee has engaged in any other conduct that would
constitute a ground for denial of access to the Customs security area
under Sec. 122.183;
(v) The employee permits the approved Customs access seal to be used
by any other person or refuses to openly display or produce it upon the
proper demand of a Customs officer;
(vi) The employee uses the approved Customs access seal in
connection with a matter not related to his employment or not
constituting a duty described in the written justification required by
Sec. 122.182(c)(1);
(vii) The employee refuses or neglects to obey any proper order of a
Customs officer, or any Customs order, rule, or regulation;
(viii) For all employees of the bond holder, if the bond required by
Sec. 122.182(c) is determined to be insufficient in amount or lacking
sufficient sureties, and a satisfactory new bond with good and
sufficient sureties is not furnished within a reasonable time;
(ix) The employee no longer requires access to the Customs security
area for an extended period of time at the airport of issuance because
of a change in duties, termination of employment, or other reason; or
(x) The employee or employer fails to provide the notification of a
change in
[[Page 853]]
circumstances as required under Sec. 122.184(b) or (c) or the employee
fails to report the loss or theft of a Customs access seal as required
under Sec. 122.185.
(b) Notice of revocation or suspension. The port director will
revoke or suspend access to the Customs security area and demand
surrender of the Customs access seal by giving notice of the revocation
or suspension and demand in writing to the employee, with a copy of the
notice to the employer. The notice will indicate whether the revocation
or suspension is effective immediately or is proposed.
(1) Immediate revocation or suspension. When the revocation or
suspension of access and the surrender of the Customs access seal are
effective immediately, the port director will issue a final notice of
revocation or suspension. The port director or his designee may deny
physical access to the Customs security area and may demand surrender of
an approved Customs access seal at any time on an emergency basis prior
to issuance of a final notice of revocation or suspension whenever in
the judgment of the port director or his designee an emergency situation
involving public health, safety, or security is involved and, in such a
case, a final notice of revocation or suspension will be issued to the
affected employee within 10 calendar days of the emergency action. A
final notice of revocation or suspension will state the specific grounds
for the immediate revocation or suspension, direct the employee to
immediately surrender the Customs access seal if that Customs access
seal has not already been surrendered, and advise the employee that he
may choose to pursue one of the following two options:
(i) Submit a new application for an approved Customs access seal, in
accordance with the provisions of Sec. 122.182(c), on or after the 180th
calendar day following the date of the final notice of revocation or
suspension; or
(ii) File a written administrative appeal of the final notice of
revocation or suspension with the port director in accordance with
paragraph (c) of this section within 30 calendar days of the date of the
final notice of revocation or suspension. The appeal may request that a
hearing be held in accordance with paragraph (d) of this section, and in
that case the appeal also must demonstrate that there is a genuine issue
of fact that is material to the revocation or suspension action.
(2) Proposed revocation or suspension--(i) Issuance of notice. When
the revocation or suspension of access and the surrender of the Customs
access seal is proposed, the port director will issue a notice of
proposed revocation or suspension. The notice of proposed revocation or
suspension will state the specific grounds for the proposed action,
inform the employee that he may continue to have access to the Customs
security area and may retain the Customs access seal pending issuance of
a final notice under paragraph (b)(2)(ii) of this section, and advise
the employee that he may file with the port director a written response
addressing the grounds for the proposed action within 10 calendar days
of the date the notice of proposed action was received by the employee.
The employee may respond by accepting responsibility, explaining
extenuating circumstances, and/or providing rebuttal evidence. The
employee also may ask for a meeting with the port director or his
designee to discuss the proposed action.
(ii) Final notice--(A) Based on nonresponse. If the employee does
not respond to the notice of proposed action, the port director will
issue a final notice of revocation or suspension within 30 calendar days
of the date the notice of proposed action was received by the employee.
The final notice of revocation or suspension will state the specific
grounds for the revocation or suspension, direct the employee to
immediately surrender the Customs access seal, and advise the employee
that he may choose to pursue one of the two options specified in
paragraphs (b)(1)(i) and (ii) of this section.
(B) Based on response. If the employee files a timely response, the
port director will issue a final determination regarding the status of
the employee's right of access to the Customs security area within 30
calendar days of the date the employee's response was received by the
port director. If this final
[[Page 854]]
determination is adverse to the employee, then the final notice of
revocation or suspension will state the specific grounds for the
revocation or suspension, direct the employee to immediately surrender
the Customs access seal, and advise the employee that he may choose to
pursue one of the two options specified in paragraphs (b)(1)(i) and (ii)
of this section.
(c) Appeal procedures--(1) Filing of appeal. The employee may file a
written appeal of the final notice of revocation or suspension with the
port director within 10 calendar days following receipt of the final
notice of revocation or suspension. The appeal must be filed in
duplicate and must set forth the response of the employee to the
statement of the port director. The port director may, in his
discretion, allow the employee additional time to submit documentation
or other information in support of the appeal.
(2) Action by port director--(i) If a hearing is requested. If the
appeal requests that a hearing be held, the port director will first
review the appeal to determine whether there is a genuine issue of fact
that is material to the revocation or suspension action. If a hearing is
required because the port director finds that there is a genuine issue
of fact that is material to the revocation or suspension action, a
hearing will be held, and a decision on the appeal will be rendered, in
accordance with paragraphs (d) through (f) of this section. If the port
director finds that there is no genuine issue of fact that is material
to the revocation or suspension action, no hearing will be held and the
port director will forward the administrative record as provided in
paragraph (c)(2)(ii) of this section for the rendering of a decision on
the appeal under paragraph (c)(3) of this section.
(ii) CMC review. If no hearing is requested or if the port director
finds that a requested hearing is not required, following receipt of the
appeal the port director will forward the administrative record to the
director of field operations at the Customs Management Center having
jurisdiction over the office of the port director for a decision on the
appeal. The transmittal of the port director must include a response to
any disputed issues raised in the appeal.
(3) Action by the director. Following receipt of the administrative
record from the port director, the director of field operations will
render a written decision on the appeal based on the record forwarded by
the port director. The decision will be rendered within 30 calendar days
of receipt of the record and will be transmitted to the port director
and served by the port director on the employee. A decision on an appeal
rendered under this paragraph will constitute the final administrative
action on the matter.
(d) Hearing. A hearing will be conducted in connection with an
appeal of a final notice of revocation or suspension of access to the
Customs security area only if the affected employee in writing requests
a hearing and demonstrates that there is a genuine issue of fact that is
material to the revocation or suspension action. If a hearing is
required, it must be held before a hearing officer designated by the
Commissioner, or his designee. The employee will be notified of the time
and place of the hearing at least 5 calendar days before the hearing.
The employee may be represented by counsel at the revocation or
suspension hearing. All evidence and testimony of witnesses in the
proceeding, including substantiation of charges and the answer to the
charges, must be presented. Both parties will have the right of
cross'examination. A stenographic record of the proceedings will be made
upon request and a copy furnished to the employee. At the conclusion of
the proceedings or review of a written appeal, the hearing officer must
promptly transmit all papers and the stenographic record to the director
of field operations, together with the recommendation for final action.
If neither the employee nor his attorney appears for a scheduled
hearing, the hearing officer must record that fact, accept any
appropriate testimony, and conclude the hearing. The hearing officer
must promptly transmit all papers, together with his recommendations, to
the director of field operations.
(e) Additional written views. Within 10 calendar days after delivery
of a copy
[[Page 855]]
of the stenographic record of the hearing to the director of field
operations, either party may submit to the director of field operations
additional written views and arguments on matters in the record. A copy
of any submission will be provided to the other party. Within 10
calendar days of receipt of the copy of the submission, the other party
may file a reply with the director of field operations, and a copy of
the reply will be provided to the other party. No further submissions
will be accepted.
(f) Decision. After consideration of the recommendation of the
hearing officer and any additional written submissions and replies made
under paragraph (e) of this section, the director of field operations
will render a written decision. The decision will be transmitted to the
port director and served by the port director on the employee. A
decision on an appeal rendered under this paragraph will constitute the
final administrative action on the matter.
[T.D. 02-40, 67 FR 48986, July 29, 2002; 67 FR 51928, Aug. 9, 2002; 67
FR 54023, Aug. 20, 2002]
Sec. 122.188 Issuance of temporary Customs access seal.
(a) Conditions for issuance. When an approved Customs access seal is
required under Sec. 122.182(a) of this part and the port director
determines that the application cannot be administratively processed in
a reasonable period of time, an employer may, upon written request, be
issued a temporary Customs access seal for his employee. The employer
must satisfy the port director that a hardship would result if the
request is not granted. Surety on the bond, as required by
Sec. 122.182(c), may be waived in the discretion of the port director
but only for the period of the temporary Customs access seal and its
renewal period.
(b) Validation period. The temporary Customs access seal shall be
valid for a period of 60 days. The port director may renew the temporary
Customs access seal for additional 30 day periods where the
circumstances under which the temporary Customs access seal was
originally issued continue to exist. The temporary Customs access seal
shall be destroyed by the port director when the permanent approved
Customs access seal is issued, or the privileges granted thereby are
withdrawn.
(c) Temporary employees and official visitors. The provisions of
this section shall also apply to temporary employees and official
visitors requiring access to the Customs security area. In the case of
temporary employees, the Customs access seal shall be valid for a period
of 30 days. In the case of official visitors, the temporary Customs
access seal shall be valid for the day of issuance only. Temporary
employee and official visitor Customs access seal are renewable for
periods equal to their original period of validity.
(d) Revocation of denial and access. The temporary Customs access
seal may be revoked and access to the Customs security area denied at
any time if the holder of the temporary Customs access seal refuses or
neglects to obey any proper order of a Customs officer, or any Customs
order, rule, or regulation, or if, in the judgment of the port director,
continuation of the privileges granted thereby would endanger the
revenue or pose a threat to the Customs security area.
[T.D. 90-82, 55 FR 42557, Oct. 22, 1990, as amended by T.D. 02-40, 67 FR
48988, July 29, 2002]
Sec. 122.189 Bond liability.
Any failure on the part of a principal to comply with the conditions
of the bond required under Sec. 122.182(c), including a failure of an
employer to comply with any requirement applicable to the employer under
this subpart, will constitute a breach of the bond and may result in a
claim for liquidated damages under the bond.
[T.D. 02-40, 67 FR 48988, July 29, 2002]
PART 123_CBP RELATIONS WITH CANADA AND MEXICO
Sec.
123.0 Scope.
Subpart A_General Provisions
123.1 Report of arrival from Canada or Mexico and permission to
proceed.
123.2 Penalty for failure to report arrival or for proceeding without a
permit.
123.3 Inward foreign manifest required.
123.4 Inward foreign manifest forms to be used.
[[Page 856]]
123.5 Certification and filing of inward foreign manifest.
123.6 Train sheet for arriving railroad trains.
123.7 Manifest used as an entry for unconditionally free merchandise
valued not over $250.
123.8 Permit or special license to unlade or lade a vessel or vehicle.
123.9 Explanation of a discrepancy in a manifest.
123.10 General order merchandise.
Subpart B_International Traffic
123.11 Supplies on international trains.
123.12 Entry of foreign locomotives and equipment in international
traffic.
123.13 Foreign repairs to domestic locomotives and other domestic
railroad equipment.
123.14 Entry of foreign-based trucks, busses, and taxicabs in
international traffic.
123.15 Vehicles of foreign origin used between communities of the
United States and Canada or Mexico.
123.16 Entry of returning trucks, busses, or taxicabs in international
traffic.
123.17 Foreign repairs to domestic trucks, busses, taxicabs and their
equipment.
123.18 Equipment and materials for constructing bridges or tunnels
between the United States and Canada or Mexico.
Subpart C_Shipments In Transit Through Canada or Mexico
123.21 Merchandise in transit.
123.22 In-transit manifest.
123.23 Train sheet for in-transit rail shipments.
123.24 Sealing of conveyances or compartments.
123.25 Certification and disposition of manifests.
123.26 Transshipment of merchandise moving through Canada or Mexico.
123.27 Feeding and watering animals in Canada.
123.28 Merchandise remaining in or exported to Canada or Mexico.
123.29 Procedure on arrival at port of re-entry.
Subpart D_Shipments in Transit Through the United States
123.31 Merchandise in transit.
123.32 Manifests.
123.33 [Reserved]
123.34 Certain vehicle and vessel shipments.
Subpart E_United States and Canada In-Transit Truck Procedures
123.41 Truck shipments transiting Canada.
123.42 Truck shipments transiting the United States.
Subpart F_Commercial Traveler's Samples in Transit Through the United
States or Canada
123.51 Commercial samples transported by automobile through Canada
between ports in the United States.
123.52 Commercial samples transported by automobile through the United
States between ports in Canada.
Subpart G_Baggage
123.61 Baggage arriving in baggage car.
123.62 Baggage in possession of traveler.
123.63 Examination of baggage from Canada or Mexico.
123.64 Baggage in transit through the United States between ports in
Canada or in Mexico.
123.65 Domestic baggage transiting Canada or Mexico between ports in
the United States.
Subpart H [Reserved]
Subpart I_Miscellaneous Provisions
123.81 Merchandise found in building on the boundary.
123.82 Treatment of stolen vehicles returned from Mexico.
Subpart J_Advance Information for Cargo Arriving by Rail or Truck
123.91 Electronic information for rail cargo required in advance of
arrival.
123.92 Electronic information for truck cargo required in advance of
arrival.
Authority: 19 U.S.C. 66, 1202 (General Note 3(i), Harmonized Tariff
Schedule of the United States (HTSUS)), 1431, 1433, 1436, 1448, 1624,
2071 note.
Section 123.1 also issued under 19 U.S.C. 1459;
Section 123.2 also issued under 19 U.S.C. 1459;
Section 123.3 also issued under 19 U.S.C. 1459;
Section 123.4 also issued under 19 U.S.C. 1484, 1498;
Section 123.7 also issued under 19 U.S.C. 1498;
Section 123.8 also issued under 19 U.S.C. 1450-1454, 1459;
Section 123.9 also issued under 19 U.S.C. 1460, 1584, 1618;
Section 123.12 also issued under 19 U.S.C. 1202 (Chapter 86,
Additional U.S. Note 1, HTSUS), 1322;
Sections 123.13-123.18 also issued under 19 U.S.C. 1322;
[[Page 857]]
Sections 123.21-123.23, 123.25-123.29, 123.41, 123.51 also issued
under 19 U.S.C. 1554;
Section 123.24 also issued under 19 U.S.C. 1551;
Sections 123.31-123.34, 123.42, 123.52, 123.64 also issued under 19
U.S.C. 1553;
Section 123.63 also issued under 19 U.S.C. 1461, 1462;
Section 123.81 also issued under 19 U.S.C. 1595.
Source: T.D. 70-121, 35 FR 8215, May 26, 1970, unless otherwise
noted.
Sec. 123.0 Scope.
This part contains special regulations pertaining to Customs
procedures at the Canadian and Mexican borders. Included are provisions
governing report of arrival, manifesting, unlading and lading,
instruments of international traffic, shipments in transit through
Canada or Mexico or through the United States, commercial traveler's
samples transiting the United States or Canada, and baggage arriving
from Canada or Mexico including baggage transiting the United States or
Canada or Mexico. Aircraft arriving from or departing for Canada or
Mexico are governed by the provisions of part 122 of this chapter. The
arrival of all vessels from, and clearance of all vessels departing for,
Canada or Mexico are governed by the provisions of part 4 of this
chapter. Fees for services provided in connection with the arrival of
aircraft, vessels, vehicles and other conveyances from Canada or Mexico
are set forth in Sec. 24.22 of this chapter. Regulations pertaining to
the treatment of goods from Canada or Mexico under the North American
Free Trade Agreement are contained in part 181 of this chapter.
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 88-12, 53 FR
9315, Mar. 22, 1988; T.D. 93-85, 58 FR 54286, Oct. 21, 1993; T.D. 93-96,
58 FR 67317, Dec. 21, 1993; T.D. 94-1, 58 FR 69471, Dec. 30, 1993; 59 FR
10283, Mar. 4, 1994]
Subpart A_General Provisions
Sec. 123.1 Report of arrival from Canada or Mexico and permission to
proceed.
(a) Individuals. Individuals arriving in the United States, unless
excepted by voluntary enrollment in and compliance with PORTPASS--a
joint Customs Service/Immigration and Naturalization Service facilitated
entry program (See, Immigration and Naturalization Regulations at 8 CFR
235.7), must report their arrival to Customs, and failure to report
arrival may result in the individual being liable for certain civil and
criminal penalties, as provided under 19 U.S.C. 1459, in addition to
other penalties applicable under other provisions of law. The specific
reporting requirements are as follows:
(1) Individuals not arriving by conveyance. Persons arriving
otherwise than by conveyance may enter the U.S. only at those locations
specified by the Commissioner of Customs, or his designee, and shall
then immediately report their arrival to Customs. Such persons shall not
depart from the Customs port or station until authorized to do so by the
appropriate Customs officer.
(2) Persons arriving aboard a conveyance that reported its arrival.
Persons aboard a conveyance the arrival of which has been reported to
Customs at locations specified by the Commissioner of Customs, or his
designee in accordance with section 1433, 1644 or 1644a of title 19,
United States Code (19 U.S.C. 1433, 1644, 1644a), shall remain on board
until authorized by Customs to depart, and shall then immediately report
to the designated Customs facility together with all articles
accompanying them.
(3) Persons arriving aboard a conveyance that has not reported its
arrival. Persons aboard a conveyance the arrival of which has not been
reported in accordance with the laws referred to in paragraph (a)(2) of
this section, shall immediately notify a Customs officer and report
their arrival, together with appropriate information concerning the
conveyance on or in which they arrived, at a location or locations
specified by the Commissioner of Customs, or his designee and shall
present themselves and their property for Customs inspection and
examination.
(b) Vehicles. Vehicles may arrive in the U.S. only at a designated
port of entry (see Sec. 101.3 of this chapter) or Customs station if the
Commissioner of Customs, or his designee authorizes entry at that
station (see Sec. 101.4 of this chapter). Upon arrival of the vehicle in
[[Page 858]]
the U.S., the driver, unless he or she and all of the vehicle's
occupants are excepted by enrollment in, and in compliance with,
PORTPASS--a joint Customs Service/Immigration and Naturalization Service
facilitated entry program (See, Immigration and Naturalization
Regulations at 8 CFR 235.1 and 286.8), immediately shall report such
arrival to Customs, and shall not depart or discharge any passenger or
merchandise (including baggage) without authorization by the appropriate
Customs officer.
(c) Vessels. For report of arrival requirements applicable to all
vessels, regardless of tonnage, and arriving from any location, see
Sec. 4.2 of this chapter.
(d) Method of reporting. Report of arrival under paragraphs (a),
(b), and (c) of this section shall be made in person unless the port
director, by local instructions, requires that it be made by some other
specific means. Such local instructions issued by the port director will
be made available to interested parties by posting in Customs offices,
publication in a newspaper of general circulation in the Customs port
that supervises the location, and/or other appropriate means.
[T.D. 93-96, 58 FR 67317, Dec. 21, 1993, as amended by T.D. 94-44, 59 FR
23795, May 9, 1994; T.D. 97-48, 62 FR 32031, June 12, 1997; T.D. 98-74,
63 FR 51289, Sept. 25, 1998; CBP Dec. 04-28, 69 FR 52599, Aug. 27, 2004]
Sec. 123.2 Penalty for failure to report arrival or for proceeding
without a permit.
(a) Persons. Any person arriving otherwise than by conveyance who
enters the U.S. at other than a designated port of entry, or Customs
station if authorization exists for entry at that station, who fails to
report arrival as required in Sec. 123.1(a) of this part, or who departs
from the port of entry or Customs station without authorization by the
appropriate Customs officer, whether or not intentionally, shall be
subject to such civil and criminal penalties as are prescribed under 19
U.S.C. 1459 and provided for in Sec. 123.1 of this part.
(b) Vessels. The penalty provisions applicable to vessels for
failure to report arrival or for proceeding without a permit are those
as provided in Sec. 4.3a.
(c) Vehicles--(1) Civil penalties. The person in charge of any
vehicle who--
(i) Enters the vehicle into the U.S. at other than a designated port
of entry, or Customs station if authorization exists for entry at that
station;
(ii) Fails to report arrival and present the vehicle and all persons
and merchandise (including baggage) on board for inspection as required
in Sec. 123.1(b) of this part;
(iii) Fails to file a manifest or any other document required to be
filed in connection with arrival in the U.S. under this part; or
(iv) Without authorization by the appropriate Customs officer,
removes such vehicle from the port of entry or Customs station or
discharges any passenger or merchandise (including baggage) shall be
subject to such civil penalties as are prescribed in section 436, Tariff
Act of 1930, as amended (19 U.S.C. 1436), and any conveyance used in
connection with any such violation shall be subject to seizure and
forfeiture. The person also may be subject to an additional civil
penalty equal to the value of the merchandise on the conveyance which
was not entered or reported as required by Sec. 123.1(b) of this part,
and that merchandise may be subject to seizure and forfeiture unless
properly entered by the importer or consignee. If the merchandise
consists of any controlled substances, additional penalties may be
assessed, as prescribed in section 584, Tariff Act of 1930, as amended
(19 U.S.C. 1584).
(2) Criminal penalties. Upon conviction, any person in charge of a
vehicle who intentionally commits any of the violations described in
paragraph (c)(1) of this section shall, in addition to the penalties
described therein, be subject to such additional criminal penalties as
are prescribed in section 436, Tariff Act of 1930, as amended (19 U.S.C.
1436). If the vehicle has or is discovered to have had on board any
merchandise (other than sea stores or the equivalent for conveyances
other than vessels) the importation of which into the U.S. is
prohibited, the person in charge of the vehicle is subject to such
additional criminal penalties as are prescribed in section 436, Tariff
Act of 1930, as amended (19 U.S.C. 1436).
[T.D. 93-96, 58 FR 67318, Dec. 21, 1993]
[[Page 859]]
Sec. 123.3 Inward foreign manifest required.
(a) General requirements. Baggage or other merchandise carried on a
vehicle or on a vessel of less than 5 net tons arriving otherwise than
by sea from Canada or Mexico shall be listed on a manifest as prescribed
by Sec. 123.4. Vessels which are required to make entry under Sec. 4.3
of this chapter because they are arriving by sea or are 5 net tons or
over shall have manifests on board as provided in Sec. 4.7(a) of this
chapter.
(b) Exception where in possession of traveler. When baggage arrives
in the actual possession of a traveler, his declaration will be accepted
in lieu of a manifest. Merchandise imported by a person otherwise than
in a vessel or vehicle need not be covered by a manifest but shall be
presented for inspection, and entry shall be made in accordance with the
applicable laws and regulations.
Sec. 123.4 Inward foreign manifest forms to be used.
The inward foreign manifest required by Sec. 123.3 for a vehicle or
a vessel of less than 5 net tons arriving in the United States from
Canada or Mexico otherwise than by sea with baggage or merchandise, must
be on CBP Form 7533, except as provided for shipments in transit in
subparts C, D, E, F, and G of this part, and in the following special
cases:
(a) For merchandise free of duty entered on CBP Form 7523, the same
form may be used as a manifest in lieu of other forms. (See Sec. 143.23
of this chapter.)
(b) For dutiable merchandise not exceeding $2,500 in value entered
on CBP Form 368 or 368A, (serially numbered) or CBP Form 7501 the same
form may be used as a manifest in lieu of other forms. (See Sec. 143.21
of this chapter.) The port director may also allow such merchandise to
be entered informally upon the presentation of a commercial invoice
which contains the following declaration, signed by the importer or his
agent:
I declare that the information on this invoice is accurate to the
best of my knowledge and belief; that the invoice quantities are true
and correct manifest quantities; and that I have not received and do not
know of any invoice other than this one.
(c) For a shipment not exceeding $250 in value consisting of
articles of American origin entered free of duty under the provisions of
Sec. 10.1(i) of this chapter and imported in a vehicle, CBP Form 3311
used in entering the goods, in duplicate, may be accepted in lieu of a
manifest.
(d) For baggage arriving in baggage cars, CBP Form 7533 must be
used. (See subpart G of this part.)
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 73-175, 38 FR
17447, July 2, 1973; T.D. 75-105, 40 FR 19813, May 7, 1975; T.D. 82-145,
47 FR 35478, Aug. 16, 1982; T.D. 87-75, 52 FR 26142, July 13, 1987; T.D.
92-56, 57 FR 24944, June 12, 1992; T.D. 94-47, 59 FR 25570, May 17,
1994; T.D. 98-28, 63 FR 16416, Apr. 3, 1998; 77 FR 72719, Dec. 6, 2012]
Sec. 123.5 Certification and filing of inward foreign manifest.
The manifest listing baggage and other merchandise, certified by the
master of the vessel or the person in charge of the vehicle, shall be
presented to the Customs officer at the time the report of arrival is
made. It shall be filed in the original only, unless additional copies
are required in this part.
Sec. 123.6 Train sheet for arriving railroad trains.
The conductor of a railroad train arriving from Canada or Mexico
shall present to the Customs officer at the port of arrival individual
car manifests and a train sheet, sometimes called a consist, bridge
sheet, or trip sheet, listing each car and showing the car numbers and
initials.
Sec. 123.7 Manifest used as an entry for unconditionally free
merchandise value not over $250.
When a shipment not exceeding $250 in value which is unconditionally
free of duty and not subject to quota or to internal revenue tax arrives
on a vessel of less than 5 net tons arriving otherwise than by sea, the
inward foreign manifest on Customs Form 7533 may be presented in
duplicate and used as an entry if:
[[Page 860]]
(a) No merchandise for a different entrant is listed on the same
page of the manifest,
(b) The country of exportation of the merchandise, its value, and
the provision of law under which free entry is claimed are noted
thereon, and
(c) Evidence of the right to make entry is furnished as required by
Sec. 141.11 of this chapter.
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 73-175, 38 FR
17447, July 2, 1973]
Sec. 123.8 Permit or special license to unlade or lade a vessel or
vehicle.
(a) Permission to unlade or lade. Before any passenger or
merchandise, including baggage, may be landed or discharged from any
vessel of less than 5 net tons arriving from Canada or Mexico by any
route, or from a vehicle, permission to unlade shall be obtained from a
Customs officer. Permission to unlade during overtime hours, on a Sunday
or holiday, or to lade during overtime hours on a Sunday or holiday
merchandise requiring Customs supervision, shall be obtained from the
port director. Permission to unlade or lade a truck will be denied for
any cargo with respect to which advance electronic information has not
been received as provided in Sec. 123.92 or 192.14 of this chapter, as
applicable. In cases in which CBP does not receive complete cargo
information in the time and manner and in the electronic format required
by Sec. 123.92 or 192.14 of this chapter, as applicable, CBP may delay
issuance of a permit or special license to unlade or lade a truck.
Permission to unlade is not required for a vessel of less than 5 net
tons arriving otherwise than by sea carrying no baggage or other
merchandise. For permission to unlade or lade for vessels of 5 net tons
or over, see Sec. 4.30 of this chapter.
(b) Application for permit or special license to unlade or lade--(1)
Permit to unlade during regular hours. Application for a permit to
unlade any vehicle or a vessel of less than 5 net tons may be made and
permission may be granted orally. The port director may require that the
application and permission to unlade be on Customs Form 3171.
(2) Special license to unlade or lade at night, on a Sunday or
holiday. Application for permission to unlade passengers or merchandise
from, or lade any merchandise requiring Customs supervision on, a vessel
of less than 5 net tons or a vehicle arriving from or departing for
Canada or Mexico by any route at night, on a Sunday or holiday, and
requests for any reimbursable overtime services shall be made on Customs
Form 3171. In the discretion of the port director and under such
condition as he may deem advisable the application may be made orally
for vessels of less than 5 net tons and vehicles not carrying persons or
property for hire, but requests for reimbursable overtime services shall
be on Customs Form 3171. The port director may authorize Customs
inspectors to approve the request for overtime services and to grant
oral permission to unlade or lade.
(c) Cash deposit or bond for overtime services. A request for
reimbursable overtime services shall not be approved unless the required
cash deposit or bond on Customs Form 301, containing the bond conditions
set forth in Sec. 113.64 of this chapter, is on file or is filed with
the request.
(d) Term permit or special license. A permit or special license
required by this section may be issued on a term basis in the manner,
and under the conditions applicable, described in Sec. 4.30 (f) or (g)
of this chapter. A term permit or special license to unlade or lade a
truck already issued will not be applicable as to any cargo with respect
to which advance electronic information has not been received as
provided in Sec. 123.92 or 192.14 of this chapter, as applicable.
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 84-213, 49 FR
41183, Oct. 19, 1984; T.D. 94-2, 58 FR 68526, Dec. 28, 1993; CBP Dec.
03-32, 68 FR 68173, Dec. 5, 2003]
Sec. 123.9 Explanation of a discrepancy in a manifest.
(a) Provisions applicable--(1) Overages. If any merchandise
(including sea stores or its equivalent) is found on board a vessel or
vehicle arriving in the U.S. that is not listed on a manifest filed in
accordance with Sec. 123.5 of this part, or after having been unladen
from such vessel or vehicle, is found not to have been included or
described in the
[[Page 861]]
manifest or does not agree therewith (an overage), the master, person in
charge, or owner of the vessel or vehicle or any person directly or
indirectly responsible for the discrepancy is subject to such penalties
as are prescribed in section 584, Tariff Act of 1930, as amended (19
U.S.C. 1584), and any such merchandise belonging or consigned to the
master, person in charge, or owner of the vehicle is subject to seizure
and forfeiture.
(2) Shortages. If merchandise is manifested but not found on board a
vessel or vehicle arriving in the U.S. (a shortage), the master, person
in charge, or owner of the vessel or vehicle or any person directly or
indirectly responsible for the discrepancy is subject to such penalties
as are prescribed in section 584, Tariff Act of 1930, as amended (19
U.S.C. 1584).
(3) Failure to file a manifest. The master or person in charge of a
vessel or vehicle arriving in the U.S. or the U.S. Virgin Islands who
fails to present a manifest to Customs is liable for civil penalties as
are provided by law, and the conveyance used in connection with the
failure to file is subject to seizure and forfeiture. A criminal
conviction for intentional failure to file shall make the master or
person in charge liable for criminal penalties, as provided by statute,
and if any merchandise is found or determined to have been on board
(other than sea stores or the equivalent for vehicles), the importation
of which is prohibited, additional penalties may apply.
(b) Report of discrepancies--(1) Discrepancies discovered by master,
person in charge, owner, agent, or person directly or indirectly
responsible. The master, person in charge, owner, or agent of the vessel
or vehicle, or any person directly or indirectly responsible for any
discrepancy between the merchandise and the manifest, shall report any
discrepancy to the port director within 60 days after the date of
arrival by completing a report for an overage or a declaration for a
shortage. The overage report or shortage declaration may be made on the
appropriate manifest form, as listed in Sec. 123.4, or on Customs Form
5931, Discrepancy Report and Declaration. If no manifest has been filed,
an original copy of the appropriate form, as listed in Sec. 123.4,
should be used. In each case in which a manifest form is used, the form
shall be marked or stamped ``Overage Report'' or ``Shortage
Declaration'', as appropriate. The form used shall list the merchandise
involved and state the reasons for the discrepancy.
(2) Discrepancies discovered by Customs. The port director
immediately shall advise the master, person in charge, owner, agent, or
any person directly or indirectly responsible for the discrepancy
between the merchandise and the manifest of any discrepancy discovered
by Customs officers which has not been reported. The person so notified
shall file an explanation of the discrepancy, as required by paragraph
(b)(1) of this section, within 30 days of notification, or within 60
days after arrival of the vessel or vehicle, whichever is later. The
port director may notify the master, person in charge, owner, agent, or
any person directly or indirectly responsible for the discrepancy by
furnishing a copy of Customs Form 5931 to that person, or by any other
appropriate written means. Use of Customs Form 5931 shall not preclude
assessment of any penalty or liability to forfeiture otherwise incurred.
(c) Statement on report of discrepancy required. The overage report
or shortage declaration shall bear the following statement signed by the
master of the vessel, the person in charge of the vehicle, the owner of
the vessel or vehicle, an authorized agent, or the person directly or
indirectly responsible for the discrepancy:
I declare to the best of my knowledge and belief that the
discrepancy described herein occurred for the reasons stated. I also
certify that evidence to support a claim of nonimportation or proper
disposition of merchandise will be retained in the carrier's files for a
period of at least one year from the date of this report of discrepancy
and will be made available to Customs upon demand.
(d) Action on the discrepancy report. (1) In accordance with the
proviso to 19 U.S.C. 1584, no penalty shall be incurred under that
section if--
(i) The manifest discrepancy relates only to a shortage;
(ii) There is timely filing of the discrepancy report;
[[Page 862]]
(iii) There has been no loss of revenue;
(iv) The port director is satisfied that the discrepancy resulted
from clerical error or other mistake; and
(v) In the case of a discrepancy not reported initially by the
master, person in charge, owner, agent, or the person directly or
indirectly responsible, the port director is satisfied that there is a
valid reason for failure to file the discrepancy report.
(2) If the criteria in paragraph (d)(1) of this section are not met,
applicable penalties under 19 U.S.C. 1584 shall be assessed.
(3) Any penalty or liability to forfeiture incurred under 19 U.S.C.
1584 may be mitigated or remitted under section 618, Tariff Act of 1930,
as amended (19 U.S.C. 1618).
(e) Penalty assessment. For the purpose of assessing penalties under
19 U.S.C. 1584, the value of the merchandise shall be determined as
described in section 162.43 of this chapter.
(f) Lack of knowledge does not relieve liability. The fact that the
master of the vessel, the person in charge of the vehicle, or the owner
of the vessel or vehicle had no knowledge of a discrepancy shall not
relieve the master, the person in charge, or the owner from a penalty,
or the vessel or vehicle from liability to forfeiture, incurred under 19
U.S.C. 1584.
(g) Clerical error or other mistake defined. For the purpose of this
section, the term ``clerical error or other mistake'' is defined as a
non-negligent, inadvertent, or typographical mistake in the preparation,
assembly, or submission of manifests. However, repeated similar manifest
discrepancies by the same persons may be considered the result of
negligence and not clerical error or other mistake.
[T.D. 80-236, 45 FR 64172, Sept. 29, 1980, as amended by T.D. 93-96, 58
FR 67318, Dec. 21, 1993]
Sec. 123.10 General order merchandise.
(a) Any merchandise or baggage regularly landed but not covered by a
permit for its release shall be allowed to remain at the place of
unlading until the fifteenth calendar day after landing. No later than
20 calendar days after landing, the owner or operator of the vehicle or
the agent thereof shall notify Customs of any such merchandise or
baggage for which entry has not been made. Such notification shall be
provided in writing or by any appropriate Customs-authorized electronic
data interchange system. Failure to provide such notification may result
in assessment of a monetary penalty of up to $1,000 per bill of lading
against the owner or operator of the vehicle or the agent thereof. If
the value of the merchandise on the bill is less than $1,000, the
penalty shall be equal to the value of such merchandise.
(b) Any merchandise or baggage that is taken into custody from an
arriving carrier by any party under a Customs-authorized permit to
transfer or in-bond entry may remain in the custody of that party for 15
calendar days after receipt under such permit to transfer or 15 calendar
days after arrival at the port of destination. No later than 20 calendar
days after receipt under the permit to transfer or 20 calendar days
after arrival under bond at the port of destination, the party shall
notify Customs of any such merchandise or baggage for which entry has
not been made. Such notification shall be provided in writing or by any
appropriate Customs-authorized electronic data interchange system. If
the party fails to notify Customs of the unentered merchandise or
baggage in the allotted time, he may be liable for the payment of
liquidated damages under the terms and conditions of his custodial bond
(see Sec. 113.63(c)(4) of this chapter).
(c) In addition to the notification to Customs required under
paragraphs (a) and (b) of this section, the carrier (or any other party
to whom custody of the unentered merchandise has been transferred by a
Customs authorized permit to transfer or in-bond entry) shall provide
notification of the presence of such unreleased and unentered
merchandise or baggage to a bonded warehouse certified by the port
director as qualified to receive general order merchandise. Such
notification shall be provided in writing or by any appropriate Customs-
authorized electronic data interchange system and shall be provided
within the applicable 20-day period specified in paragraph (a) or (b)
[[Page 863]]
of this section. It shall then be the responsibility of the bonded
warehouse proprietor to arrange for the transportation and storage of
the merchandise or baggage at the risk and expense of the consignee. The
arriving carrier (or other party to whom custody of the merchandise was
transferred by the carrier under a Customs-authorized permit to transfer
or in-bond entry) is responsible for preparing a Customs Form (CF) 6043
(Delivery Ticket), or other similar Customs document as designated by
the port director or an electronic equivalent as authorized by Customs,
to cover the proprietor's receipt of the merchandise and its transport
to the warehouse from the custody of the arriving carrier (or other
party to whom custody of the merchandise was transferred by the carrier
under a Customs-authorized permit to transfer or in-bond entry) (see
Sec. 19.9 of this chapter). Any unentered merchandise or baggage shall
remain the responsibility of the carrier, master, or person in charge of
the importing vehicle or the agent thereof or party to whom the
merchandise has been transferred under a Customs authorized permit to
transfer or in-bond entry until it is properly transferred from his
control in accordance with this paragraph. If the party to whom custody
of the unentered merchandise or baggage has been transferred by a
Customs-authorized permit to transfer or in-bond entry fails to notify a
Customs-approved bonded warehouse of such merchandise or baggage within
the applicable 20-calendar-day period, he may be liable for the payment
of liquidated damages of $1,000 per bill of lading under the terms and
conditions of his international carrier or custodial bond (see
Sec. Sec. 113.63(b), 113.63(c) and 113.64(b) of this chapter).
(d) If the carrier or any other party to whom custody of the
unentered merchandise has been transferred by a Customs-authorized
permit to transfer or in-bond entry fails to timely relinquish custody
of the merchandise to a Customs-approved bonded General Order warehouse,
the carrier or other party may be liable for liquidated damages equal to
the value of that merchandise under the terms and conditions of his
international carrier or custodial bond, as applicable.
(e) If the bonded warehouse operator fails to take possession of
unentered and unreleased merchandise or baggage within five calendar
days after receipt of notification of the presence of such merchandise
or baggage under this section, he may be liable for the payment of
liquidated damages under the terms and conditions of his custodial bond
(see Sec. 113.63(a)(1) of this chapter). If the port director finds that
the warehouse proprietor cannot accept the goods because they are
required by law to be exported or destroyed (see Sec. 127.28 of this
chapter), or for other good cause, the goods will remain in the custody
of the arriving carrier or other party to whom the goods have been
transferred under a Customs-authorized permit to transfer or in-bond
entry. In this event, the carrier or other party will be responsible
under bond for exporting or destroying the goods, as necessary (see
Sec. Sec. 113.63(c)(3) and 113.64(b) of this chapter).
(f) In ports where there is no bonded warehouse authorized to accept
general order merchandise, or if merchandise requires specialized
storage facilities which are unavailable in a bonded facility, the port
director, after having received notice of the presence of unentered
merchandise or baggage in accordance with the provisions of this
section, shall direct the storage of the merchandise by the carrier or
by any other appropriate means.
(g) Merchandise taken into the custody of the port director pursuant
to section 490(b), Tariff Act of 1930, as amended (19 U.S.C. 1490(b)),
shall be sent to a general order warehouse after 1 day after the day the
vehicle arrived, to be held there at the risk and expense of the
consignee.
[T.D. 98-74, 63 FR 51289, Sept. 25, 1998, as amended by T.D. 02-65, 67
FR 68033, Nov. 8, 2002]
Subpart B_International Traffic
Sec. 123.11 Supplies on international trains.
(a) Articles acquired abroad. Articles subject to internal revenue
tax and other merchandise acquired abroad constituting supplies arriving
on international trains crossing and recrossing the boundary line, for
which the train
[[Page 864]]
crew elects not to file an inventory as provided for in paragraph (b) of
this section, shall be subject to duty and tax unless locked or sealed
in a separate compartment or locker upon arrival, and the lock or seal
remains unbroken until the train departs from the United States at the
final port of exit.
(b) Inventory procedure. Supplies acquired abroad for which internal
revenue stamps are not required may be used in the United States under
the following procedure:
(1) Port of arrival. An inventory executed in duplicate consisting
of an itemized list showing the kind and quantity of each class of
supplies on hand in the car with space for a parallel column in which to
show at the port of exit the quantity used, shall be certified by the
person in charge of the car and furnished to the Customs officer upon
arrival. The Customs officer shall certify the correctness of both
copies of the inventory, return the original to the person in charge of
the car and retain the duplicate, or forward it to the port of exit if
this differs from the port of arrival.
(2) Port of exit. Upon arrival at the port of exit, the inventory
returned at the port of arrival to the person in charge of the car shall
be submitted to the Customs officer after completion by showing the
quantity of each item used in the United States, and being certified by
the person in charge of the car. Entries must be filed and applicable
duties and taxes paid at the port of exit on the quantity of supplies
consumed in the United States.
(c) Supplies purchased in the United States. Supplies purchased in
the United States shall be passed free of duty without inventory or
entry.
Sec. 123.12 Entry of foreign locomotives and equipment in international
traffic.
(a) Use on a continuous route. Foreign locomotives or other foreign
railroad equipment in use on a continuous route crossing the boundary
into the United States shall be admitted without formal entry or the
payment of duty to proceed to the end of the run and depart for a
foreign country, in accordance with the following:
(1) On inward trip. Unless formally entered and cleared through
Customs into the United States, or unless exempt from entry as provided
in Sec. 141.4(b)(4) of this chapter, a foreign locomotive shall be used
on the inward trip only in connection with taking the inbound train to
the last place in a continuous haul, including the switching of cars
which it has hauled into the United States. Other foreign railroad
equipment may proceed to the place of complete unloading for any
merchandise imported therein.
(2) On outward trip. Unless formally entered and cleared through
Customs into the United States, or unless exempt from entry as provided
in Sec. 141.4(b)(4) of this chapter, foreign locomotives may be used on
the outward trip only in connection with through trains crossing the
boundary, including switching to make up such trains. Other foreign
railroad equipment may be used in such trains or for such local traffic
as is reasonably incidental to its economical and prompt departure for a
foreign country.
(b) Admission of empty equipment. Empty foreign railroad equipment
shall be admitted to the United States without formal entry and payment
of duty only if:
(1) The passengers or goods to be loaded are to be transported
directly to or through a foreign country; or
(2) The equipment is exempt from entry as provided in
Sec. 141.4(b)(4) of this chapter.
(c) Penalty for improper use. The use of any foreign locomotive and
other foreign railroad equipment in violation of this section may result
in liabilities being incurred under section 592, Tariff Act of 1930, as
amended (19 U.S.C. 1592).
(d) Domestic and foreign locomotives and other railroad equipment
defined. For the purpose of this section and Sec. 123.13, locomotives or
other railroad equipment manufactured in, or regularly imported into,
the United States, shall be considered ``domestic'' if not subsequently
formally entered and cleared through foreign customs into another
country, nor used in foreign local traffic otherwise than as an incident
of the return of the equipment to the United States. Other locomotives
[[Page 865]]
and railroad equipment shall be considered ``foreign''.
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 73-73, 38 FR
6991, Mar. 15, 1973; T.D. 79-160, 44 FR 31956, June 4, 1979; T.D. 83-
118, 48 FR 23385, May 25, 1983; T.D. 94-51, 59 FR 30294, June 13, 1994]
Sec. 123.13 Foreign repairs to domestic locomotives and other domestic
railroad equipment.
A report of the first arrival in the United States of a domestic
locomotive or other railroad equipment after repairs have been made in a
foreign country other than those required to restore it to the condition
in which it last left the United States (``running repairs''), shall be
made promptly, in writing, to the Customs officer at the port of re-
entry. The report shall state the time and place of arrival, and the
nature and value of the repairs. Each such locomotive or other piece of
railroad equipment when withdrawn from international traffic shall be
subject to duty upon the value of the repairs (other than ``running
repairs''), made abroad at the rate at which the repaired article would
be dutiable if imported. For the appropriate determination as to whether
the locomotive or other railroad equipment should be considered
``domestic'' or ``foreign'', see Sec. 123.12(d).
[T.D. 73-73, 38 FR 6991, Mar. 15, 1973]
Sec. 123.14 Entry of foreign-based trucks, busses, and taxicabs in
international traffic.
(a) Admission without entry or payment of duty. Trucks, busses, and
taxicabs, however owned, which have their principal base of operations
in a foreign country and which are engaged in international traffic,
arriving with merchandise or passengers destined to points in the United
States, or arriving empty or loaded for the purpose of taking out
merchandise or passengers, may be admitted without formal entry or the
payment of duty. Such vehicles shall not engage in local traffic except
as provided in paragraph (c) of this section.
(b) Deposit of registration by vehicle not on regular trip. In any
case in which a foreign-based truck, bus, or taxicab admitted under this
section is not in use on a regularly scheduled trip, the port director
may require that the registration card for the vehicle be deposited
pending the return of the vehicle for departure to the country from
which it arrived, or the port director may take other appropriate
measures to assure the proper use and departure of the vehicle.
(c) Use in local traffic. Foreign-based trucks, busses, and taxicabs
admitted under this section shall not engage in local traffic in the
United States unless the vehicle comes within one of the following
exceptions:
(1) The vehicle may carry merchandise or passengers between points
in the United States if such carriage is incidental to the immediately
prior or subsequent engagement of that vehicle in international traffic.
Any such carriage by the vehicle in the general direction of an export
move or as part of the return of the vehicle to its base country shall
be considered incidental to its engagement in international traffic. An
alien driver will not be permitted to operate a vehicle under this
paragraph, unless the driver is in compliance with the applicable
regulations of the Immigration and Naturalization Service.
(2) A foreign-based truck trailer may carry merchandise between
points in the United States on its departure for a foreign country under
the same conditions as are prescribed for ``other foreign railroad
equipment'' in Sec. 123.12(a)(2).
(d) Penalty for improper use. The use of any vehicle referred to in
this section in violation of this section may result in liabilities
being incurred under section 592, Tariff Act of 1930, as amended (19
U.S.C. 1592).
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 79-160, 44 FR
31956, June 4, 1979; T.D. 83-118, 48 FR 23385, May 25, 1983; T.D. 99-10,
64 FR 7504, Feb. 16, 1999]
Sec. 123.15 Vehicles of foreign origin used between communities of the
United States and Canada or Mexico.
Vehicles of foreign origin which are used for commercial purposes
between adjoining or neighboring communities of the United States and
Canada or Mexico, such as delivery, peddlers', and service trucks, or
wagons, are subject
[[Page 866]]
to duty on first arrival, but may thereafter be admitted without formal
entry or the payment of duty so long as they are continuously employed
in such service.
Sec. 123.16 Entry of returning trucks, busses, or taxicabs in
international traffic.
(a) Admission without entry or payment of duty. Trucks, busses, and
taxicabs, whether of foreign or domestic origin, taking out merchandise
or passengers for hire or leaving empty for the purpose of bringing back
merchandise or passengers for hire shall on their return to the United
States be admitted without formal entry or the payment of duty upon
their identity being established by State registration cards.
(b) Use in local traffic. Trucks, busses, and taxicabs in use in
international traffic, which may include the incidental carrying of
merchandise or passengers for hire between points in a foreign country,
or between points in this country, shall be admitted under this section.
However, such vehicles taken abroad for commercial use between points in
a foreign country, otherwise than in the course of their use in
international traffic, shall be considered to have been exported and
must be regularly entered on return.
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 99-10, 64 FR
7504, Feb. 16, 1999]
Sec. 123.17 Foreign repairs to domestic trucks, busses, taxicabs and
their equipment.
(a) Domestic trucks, busses, and taxicabs and their equipment
defined. For the purpose of this section, trucks, busses, and taxicabs
and their equipment manufactured in, or regularly imported into the
United States, shall be considered ``domestic'' if not subsequently
formally entered and cleared through foreign customs into another
country, nor used in foreign local traffic otherwise than as an incident
of their return to the United States.
(b) Report of arrival and payment of duty on repairs. A report of
the first arrival in the United States of domestic trucks, busses, and
taxicabs and their equipment after repairs have been made in a foreign
country, other than those required to restore such vehicle or equipment
to the condition in which it last left the United States (``running
repairs''), shall be made by the driver or person in charge of the
vehicle promptly, in writing, to the Customs officer at the port of
reentry. The report shall state the time and place of arrival and the
nature and value of the repairs. Each such vehicle or its equipment when
withdrawn from international traffic shall be subject to duty upon the
value of the repairs (other than ``running repairs'') made abroad at the
rate at which the repaired article would be dutiable if imported.
Sec. 123.18 Equipment and materials for constructing bridges or tunnels
between the United States and Canada or Mexico.
(a) Admission of equipment and materials. Equipment for use in
construction of bridges or tunnels between the United States and Canada
or Mexico shall be admitted without entry or the payment of duty.
Materials for such use shall be admitted without entry or payment of
duty only for installation in the bridge or tunnel proper, and not in
the approaches on land at the United States end of such bridge or
tunnel.
(b) Customs supervision. All articles admitted under paragraph (a)
of this section shall be subject to Customs supervision at the expense
of the builder until installed, entered, or exported.
Subpart C_Shipments in Transit Through Canada or Mexico
Sec. 123.21 Merchandise in transit.
(a) Status. Merchandise may be transported from one port to another
in the United States through Canada or Mexico in accordance with the
regulations in this subpart or subparts E for trucks transiting Canada,
F for commercial traveler's samples, or G for baggage. Merchandise so
transported is not subject to treatment as an importation when returned
to the United States, and no inward foreign manifest is required for
merchandise returned under an in-transit manifest. In-transit
merchandise returned to the United States shall be treated as an
importation as are shipments made from Canada or Mexico if:
[[Page 867]]
(1) An in-transit manifest is not furnished for the merchandise upon
its return to the United States;
(2) The merchandise has been trans-shipped in foreign territory
without Customs supervision when the transshipment required the breaking
of Customs seals; or
(3) The Customs inspector finds any of the Customs seals applied to
the conveyance or compartment unlocked or missing.
(b) Use of certain vessels prohibited. Merchandise shall not be
transported from port to port in the United States through Canada or
Mexico by vessel in violation of the provisions of section 27, Merchant
Marine Act of 1920, as amended (46 U.S.C. 883), or section 588, Tariff
Act of 1930, as amended (19 U.S.C. 1588). (See Sec. 4.80 of this
chapter.)
(c) Regulations applicable. The provisions of this subpart shall
govern all merchandise transported from one port to another in the
United States through Canada or Mexico under in-transit procedures,
except as otherwise provided in this subpart or in subpart E for truck
shipments transiting Canada, subpart F for commercial traveler's samples
transiting Canada, and subpart G for baggage transiting Canada or
Mexico.
Sec. 123.22 In-transit manifest.
(a) Manifest required. A manifest in duplicate covering the in-
transit merchandise which is to proceed under the provisions of this
subpart shall be presented by the carrier to the Customs officer at each
port of lading of a vessel, or at the port of exit of a vehicle. Where
the merchandise is transported under Customs red in-bond seals and is
accompanied by a transportation in-bond manifest, a separate in-transit
manifest is not required.
(b) Additional copies. In the following cases additional copies of
the manifest shall be presented:
(1) When the merchandise is to be transshipped in foreign territory
under Customs supervision, a copy of the manifest for each place of
transshipment shall be presented.
(2) When a Customs officer requests an extra copy of the manifest as
a record of the transaction.
(c) Manifest forms to be used. The in-transit manifest forms to be
used are:
(1) For trucks, railroad cars or other overland carriers transiting
Mexico a manifest on Customs Form 7512-B or 7533-C shall be presented.
(2) For vessels of less than 5 net tons departing and arriving
otherwise than by sea, a manifest on Customs Form 7512-B or 7533-C shall
be presented. All other vessels are subject to the manifesting
requirements contained in Sec. 4.82 of this chapter.
(3) For rail cars transiting Canada, a manifest on Customs Form
7533-C (Canada A4-1/2) shall be presented. For trains which will remain
intact while transiting Canadian territory, a consolidated train
manifest containing all the information included in the individual car
manifests and the train sheet required by Sec. 123.23 may be used in
lieu of individual car manifests. For a number of cars which will
transit Canada as a group, a consolidated manifest may be used, but a
train sheet shall also be presented.
(4) In all other cases where no in-transit manifest form is
specified in this subpart, or in subpart E relating to truck shipments
on the Canadian border, subpart F relating to commercial traveler's
samples, and subpart G relating to baggage, Customs Form 7512-B or 7533-
C shall be presented.
(d) Contents of in-transit manifest. The information contained in
the manifest shall correspond to the information contained in the
waybill accompanying the shipment, except that:
(1) The conveyance shall be identified in a suitable manner in the
place provided for such identification.
(2) The description of ladings made up of several shipments which
are to go forward in a conveyance or compartment sealed with Customs
seals shall be ``miscellaneous shipments.''
(3) When an in-transit rail shipment will enter and reenter Canada
in a continuing movement en route to a final destination in the United
States, only the final United States port of reentry shall be shown on
the manifest.
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 82-145, 47 FR
35478, Aug. 16, 1982]
[[Page 868]]
Sec. 123.23 Train sheet for in-transit rail shipments.
Before an in-transit train proceeding under the provisions of this
subpart departs from the United States, the carrier shall furnish to the
customs officer at the port of exit a train sheet, sometimes called a
consist, bridge sheet or trip sheet, listing each car of the train and
specifically identifying the in-transit cars, unless a consolidated
manifest containing this information has been presented for a train
which will remain intact.
Sec. 123.24 Sealing of conveyances or compartments.
(a) Sealing required. Merchandise in transit proceeding under the
provisions of this subpart shall be transported in sealed conveyances or
compartments, except that:
(1) Less than load or compartment lots may be forwarded in unsealed
conveyances or compartments, without cording and sealing;
(2) The Commissioner of Customs may authorize treatment of full
loads or lots in the same manner as less than load or compartment lots;
(3) Live animals identifiable by specific description in the
manifest may be transported in the care of an attendant or customs
inspector at the expense of the parties in interest, in unsealed
conveyances or compartments.
(b) Seals to be affixed. The carrier shall affix blue in-transit
seals to all openings of conveyances and compartments containing in-
transit merchandise except that:
(1) Sealable carload shipments on the Canadian border shall be
sealed with yellow in-transit seals.
(2) Conveyances or compartments sealed with U.S. Customs red in-
bound seals may go forward without additional seals.
(c) Carrier relieved of responsibility. The port director may
relieve the carrier of the responsibility of affixing in-transit seals
by notification in writing that Customs inspectors will assume it.
Sec. 123.25 Certification and disposition of manifests.
(a) Certification. Conveyances proceeding under the provisions of
this subpart shall not proceed until the Customs inspector has certified
the in-transit manifest or verified its certification by the carrier.
The port director may require the carrier to execute the certificate as
an alternative to certification by the Customs officer. When the carrier
is to execute the certificate, and the merchandise will be forwarded
without being under Customs seals, the agent of the carrier shall
carefully examine the packages covered by the manifests to satisfy
himself that the merchandise agrees with the manifest as to quantity and
description.
(b) Disposition of manifest. The original manifest, after
certification, shall accompany the merchandise. Additional copies
required when the merchandise is to be transshipped in Canada or Mexico
under Customs supervision shall be given to the person in charge of the
conveyance for delivery to the Customs officers who will supervise
transshipment.
Sec. 123.26 Transshipment of merchandise moving through Canada or
Mexico.
(a) General. Merchandise in transit proceeding under the provisions
of this subpart may be transshipped from one conveyance to another in
foreign territory. When transshipment requires the breaking of Customs
seals, the breaking of the seals, transshipment and sealing of the
conveyance or compartment to which the merchandise is transshipped shall
be under the supervision of a Customs officer. He shall note his action
on both the additional copy of the manifest presented to him, in
accordance with Sec. 123.25(b), and on the original copy, which shall be
returned to the person in charge of the conveyance to accompany the
merchandise. Merchandise transshipped in foreign territory without
customs supervision when Customs seals were broken shall be treated upon
return to the United States as imported merchandise.
(b) Storage awaiting transshipment. Merchandise moving under in-
transit manifests and Customs seals which is to be stored in foreign
territory awaiting transshipment shall be checked into a storehouse by
the Customs officer at the place of transshipment. It
[[Page 869]]
shall remain under Customs locks and seals until transshipment is
completed under Customs supervision.
(c) Manifests where contents broken up. When transshipment involves
the breaking up of the in-transit contents of a conveyance or
compartment, in such a manner as to require separate manifests for
articles previously covered by a single manifest, the Customs officer
supervising the transshipment shall take up the carrier's copy of the
manifest and require the carrier to prepare a new manifest, in
duplicate, for each conveyance to which the merchandise is transshipped.
If there is to be further transshipment, an additional copy of each new
manifest shall be presented by the carrier, and shall be returned to the
person in charge of the carrier for delivery to the Customs officer at
the point of further transshipment in accordance with Sec. 123.25(b).
After the transshipment and sealing of the conveyances and compartments
has been supervised and the new manifests certified the originals of the
new manifests shall be returned to the carrier to accompany the
merchandise to the point of reentry into the United States.
Sec. 123.27 Feeding and watering animals in Canada.
If animals in sealed conveyances or compartments cannot be fed and
watered in Canada without breaking customs seals, the seals shall be
broken and the animals fed and watered under the supervision of a United
States or Canadian Customs officer. The supervising officer shall reseal
the conveyance or compartment, and make notation as to the resealing on
the manifest.
Sec. 123.28 Merchandise remaining in or exported to Canada or Mexico.
(a) In-transit status abandoned. When the in-transit status of
merchandise transiting Canada or Mexico is abandoned and the merchandise
is entered for consumption or other disposition in Canada or Mexico, the
carrier shall send the in-transit seals and manifests to the port where
the manifests were first filed with U.S. Customs, or in the case of
trucks under subpart E, the port of exit, with an endorsement by the
carrier's agent on each manifest showing that the merchandise was so
entered. The carriers shall comply with the export control regulations,
15 CFR part 370.
(b) In-transit merchandise exported to Canada or Mexico. Merchandise
to be exported to Canada or Mexico after moving in-transit through a
contiguous country shall be treated as exported when it has passed
through the last port of exit from the United States. This paragraph
shall control whether or not the merchandise to be exported is domestic
or foreign and whether or not it is exported with benefit of drawback.
The manifest, shipper's export declaration, and the notice of
exportation, if any, shall be filed at the last port of exit from the
United States.
Sec. 123.29 Procedure on arrival at port of reentry.
(a) Presentation of documents. At the first port in the United
States after transportation through Canada or Mexico under the
provisions of this subpart, the carrier shall present to Customs the in-
transit manifest or manifests for each loaded conveyance. For mixed
ladings, that is, ladings made up of several shipments, the waybills
shall be available at the port of return or discharge for use by Customs
officers. For a railroad train for which a consolidated manifest was not
used the conductor shall also present a train sheet showing the car
numbers and initials.
(b) Vessels and rail shipments continuing in-transit movement--(1)
Vessels. In the case of a vessel carrying in-transit merchandise, the
master's copies of the in-transit or in-bond manifest covering the
merchandise given final Customs release at that port shall be retained
by Customs at that port and the manifests covering merchandise to be
discharged at subsequent ports of arrival shall be returned to the
master of the vessel for presentation to Customs at the next port.
(2) Rail shipments. An in-transit rail shipment arriving at an
intermediate port of reentry or exit intended for further in-transit
movement through Canada may be permitted to go forward under the
accompanying in-transit manifest after verification by Customs
[[Page 870]]
that the manifest satisfactorily identifies the shipment.
(c) Checking and breaking of seals--(1) Checking seals. The Customs
officer at the port of arrival shall check customs seals applied to the
conveyance or compartment for unlocked or missing seals. Where the seals
are unlocked or missing, the merchandise shall be treated as having been
imported from the transited country.
(2) Breaking seals. In-bond seals shall be broken only by a Customs
officer or by a person acting under the direction of a Customs officer.
In-transit seals may be broken by any carrier's employee, or by a
consignee at any time or place after the merchandise under such seals
has been released by Customs.
(d) Proper manifest. In-transit merchandise shall not be released
until proper in-transit manifests are received except that it may be
treated as imported merchandise.
(e) Substitution of merchandise. Any instance of substitution of
merchandise shall be reported to the Commissioner of Customs, and the
merchandise shall be detained.
Subpart D_Shipments in Transit Through the United States
Sec. 123.31 Merchandise in transit.
(a) From one contiguous country to another. Merchandise may be
transported in transit across the United States between Canada and
Mexico under the procedures set forth in part 18 of this chapter for
merchandise entered for transportation and exportation.
(b) From one point in a contiguous country to another through the
United States. Merchandise may be transported from point to point in
Canada or in Mexico through the United States in bond in accordance with
the procedures set forth in Sec. Sec. 18.20 to 18.24 of this chapter
except where those procedures are modified by this subpart or subparts E
for trucks transiting the United States, F for commercial traveler's
samples, or G for baggage.
Sec. 123.32 Manifests.
(a) Form and number of copies required. Three copies of the
transportation entry and manifest on Customs Form 7512 shall be
presented upon arrival of merchandise which is to proceed under the
provisions of this subpart.
(b) Consolidated train manifest. When the route is such that a train
will remain intact while proceeding through the United States, a
consolidated train manifest containing the same information as is
required on individual manifests may be used.
(c) Disposition of manifest form. One copy of the manifest shall be
delivered to the person in charge of the carrier to accompany the
conveyance and be delivered to the Customs officer at the final port of
exit.
Sec. 123.33 [Reserved]
Sec. 123.34 Certain vehicle and vessel shipments.
In the following circumstances, the copy of Customs Form 7512 to be
retained at the port of first arrival may be adapted for use as a
combined inward foreign manifest and in-bond transportation or direct
exportation entry:
(a) When all the merchandise arriving on one vehicle (except on
trucks on the Canadian border) is to move in bond in the importing
vehicle in a continuing movement through the United States; or
(b) When all the merchandise arriving on one vessel or on one
vehicle (except on trucks on the Canadian border) is entered immediately
upon arrival either under a single immediate transportation entry or a
single transportation and exportation or direct exportation entry.
When Customs Form 7512 is to be used in this manner, the foreign port of
lading and the name of the shipper shall be shown in every case, and a
certificate in the following form shall be legibly stamped on the
manifest or on a separate paper securely fastened thereto and executed
by the master of the vessel or the person in charge of the vehicle:
This entry correctly covers all the merchandise on the vessel or
vehicle, of which I am the master or person in charge, when it first
arrived in the United States. If an error in the quantity, kind of
article, or other details is discovered, I will immediately report the
correct information to the port director.
[[Page 871]]
Subpart E_United States and Canada In-Transit Truck Procedures
Sec. 123.41 Truck shipments transiting Canada.
(a) Manifest required. Trucks with merchandise transiting Canada
from point to point in the United States will be manifested on United
States-Canada Transit Manifest, Customs Form 7512-B Canada 8\1/2\. The
driver shall present the manifest in four copies to U.S. Customs at the
United States port of departure for review and validation.
(b) Procedure at United States port of departure. The Customs
officer receiving the manifest shall validate it by stamping each copy
in the lower right hand corner to show the port name and date and by
initialing each copy. All copies of the validated manifest then will be
returned to the driver for presentation to Canadian Customs at the
Canadian port of entry.
(c) Procedure at Canadian ports of arrival and exit. Truck shipments
transiting Canada shall comply with Canadian Customs regulations. These
procedures generally are as follows:
(1) Canadian port of arrival. The driver shall present a validated
United States-Canada Transit Manifest Customs Form 7512-B Canada 8\1/2\,
in four copies to the Canadian Customs officer, who shall review the
manifest for accuracy and verify its validation by U.S. Customs. If the
manifest is found not to be properly validated, the truck shall be
required to be returned to the United States port of departure so that
the manifest may be validated. If the manifest is validated properly and
no irregularity is found, the truck will be sealed unless sealing is
waived by Canadian Customs. The original manifest will be retained by
Canadian Customs at the port of arrival, and the three copies will be
returned to the driver for presentation to Canadian Customs at the
Canadian port of exit.
(2) Canadian port of exit. The driver shall present the three copies
of the validated manifest to the Canadian Customs officer at the
Canadian port of exit for certification. That officer shall verify that
the seals are intact if the vehicle has been sealed or, if sealing has
been waived, that there are no irregularities. After verification and
certification of the manifest, two certified copies will be returned to
the driver (one to be presented to U.S. Customs at the United States
port of reentry, the other for the carrier's records), and the truck
will be allowed to proceed to the United States.
(d) Procedure at United States port of reentry. The driver of a
truck reentering the United States after transiting Canada shall present
a certified copy of the United States-Canada Transit Manifest, Customs
Form 7512-B Canada 8\1/2\, to the U.S. Customs officer. If this copy of
the manifest does not bear the certification of a Canadian Customs
officer at the Canadian port of exit, the driver will be allowed to
return to that port to have it certified. The driver will be allowed to
break any seals affixed by Canadian Customs upon presentation of a
certified manifest. If sealing has been waived, the U.S. Customs officer
shall satisfy himself that the truck contains only that merchandise
covered by the manifest which moved on the truck from the United States
through Canada.
(e) Proof of exportation from Canada. The certified copy of the
manifest returned to the driver by Canadian Customs at the Canadian port
of exit will serve as proof of exportation of the shipment from Canada.
[T.D. 81-85, 46 FR 21990, Apr. 15, 1981]
Sec. 123.42 Truck shipments transiting the United States.
(a) Manifest required. Trucks with merchandise transiting the United
States from point to point in Canada will be manifested on United
States-Canada Transit Manifest, Customs Form 7512-B Canada 8\1/2\. The
driver, in accordance with Canadian Customs regulations, shall present
the manifest in four copies to Canadian Customs at the Canadian port of
departure for review and validation.
(b) Procedure at Canadian port of departure. The Customs officer
receiving the manifest shall validate it by stamping each copy in the
lower right hand corner to show the port name and date and by initialing
each copy. All copies of the validated manifest then
[[Page 872]]
will be returned to the driver for presentation to U.S. Customs at the
United States port of entry.
(c) Procedure at United States port of arrival--(1) Presentation of
manifest. The driver shall present a validated United States-Canada
Transit Manifest, Customs Form 7512-B Canada 8\1/2\, in four copies to
the U.S. Customs officer, who shall review the manifest for accuracy and
verify its validation by Canadian Customs. If the manifest is found not
to be validated properly, the truck will be required to be returned to
the Canadian port of departure so that the manifest may be validated in
accordance with Canadian Customs regulations. If the manifest is
validated properly and no irregularity is found the truck will be sealed
unless sealing is waived by U.S. Customs. The U.S. Customs officer shall
note on the manifest over his initials the seal numbers or the waiver of
sealing, retain the original, and return three copies of the manifest to
the driver for presentation to U.S. Customs at the United States port of
exit.
(2) Sealing or waiver of sealing. Trucks transiting the United
States will be sealed with red in-bond seals at the United States port
of arrival unless sealing is waived in accordance with Sec. 18.4 of this
chapter. If a truck cannot be sealed effectively and sealing is deemed
necessary to protect the revenue or to prevent violation of the Customs
laws or regulations, the truck will not be permitted to transit the
United States under bond.
(d) Procedure at United States port of exit. The driver shall
present the three validated copies of the manifest to the U.S. Customs
officer at the U.S. port of exit. The Customs officer shall check the
numbers and condition of the seals and record and certify his findings
on all copies of the manifest, returning two certified copies to the
driver (one to be presented to Canadian Customs at the Canadian port of
reentry, the other for the carrier's records), and the truck will be
allowed to proceed to Canada. The check of the seals shall be made as
follows:
(1) If the seals are intact, they will be left unbroken unless there
is indication that the contents should be verified.
(2) If the seals have been broken, or there is other indication that
the contents should be verified, all merchandise will be required to be
unladen and a detailed inventory made against the waybills.
If sealing has been waived, the Customs officer shall verify the goods
against the accompanying waybills in sufficient detail to detect any
irregularity.
(e) Procedure at Canadian port of reentry. The driver of a truck
reentering Canada after transiting the United States shall present a
certified copy of the United States-Canada Transit Manifest, Customs
Forms 7512-B Canada 8\1/2\, to the Canadian Customs officer. If this
copy of the manifest does not bear the certification of a U.S. Customs
officer at the United States port of exit, the driver will be allowed to
return to that port to have it certified.
(f) Proof of exportation from United States. The certified copy of
the manifest returned to the driver by the U.S. Customs officer at the
U.S. port of exit will serve as proof of exportation of the shipment
from the U.S.
(g) Forwarding procedure. Except as otherwise provided in this
section, merchandise transported in trucks shall be forwarded in
accordance with the general provisions for transportation in bond
(Sec. Sec. 18.1-18.8 of this chapter).
[T.D. 81-85, 46 FR 21991, Apr. 15, 1981, as amended by T.D. 84-212, 49
FR 39047, Oct. 3, 1984; T.D. 00-22, 65 FR 16518, Mar. 29, 2000]
Subpart F_Commercial Traveler's Samples in Transit Through the United
States or Canada
Sec. 123.51 Commercial samples transported by automobile through Canada
between ports in the United States.
(a) General provisions. A commercial traveler arriving at a U.S.
frontier port desiring to transport his commercial samples by automobile
through Canada to another place in the United States without displaying
the samples in Canada may request a U.S. Customs officer at the port of
departure to cord and seal the outer containers of the samples if they
can be effectively corded and sealed.
[[Page 873]]
(b) List of samples. The traveler shall furnish the U.S. Customs
officer at the port of exit a list, in duplicate, of all the articles in
the containers, with their approximate values, in substantially the
following form:
Samples Carried in Transit Through Canada in Private Vehicle
________________________________________________________________________
(U.S. port of exit printed here) (Date)
I have checked the quantity and values of the below-listed articles
carried by --------------------(Name and address of traveler) and owned
by --------------------(Name and address of firm or company)
These articles are contained in -------- (Number) packages which have
been corded and sealed for in-transit movement through Canada to ------
-- (U.S. port of reentry) in -------- (Year, make and license number of
vehicle)
______________________________________________________________________
(U.S. Customs Inspector)
Description of merchandise Value
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
When the traveler arrives at Customs with lists already prepared, the
form may be inscribed ``as per list attached.''
(c) Checking, cording, and sealing by U.S. Customs officers. The
Customs officer shall check the list with the articles and satisfy
himself that the values shown are approximately correct. The Customs
officer will cord and seal the containers with yellow in-transit seals.
The traveler may be required to assist the Customs officer in the
cording and sealing. The original of the list, signed by the Customs
officer over his title and showing that the articles on the list have
been checked by the officer against those in the containers shall be
returned to the traveler for submission by him to Canadian customs upon
his arrival in Canada.
(d) In-transit manifest. The traveler shall execute and file Customs
Form 7512-B or 7533-C, in the original only, at the U.S. port of
departure, as an in-transit manifest covering the movement of the
samples to the U.S. port through which the traveler will return.
Descriptions, quantities, and values may be shown thereon by noting
``Commercial Samples'' and the number of corded and sealed containers.
The manifest shall be returned to the traveler to accompany the samples
after being signed and dated by the Customs officer.
(e) Presentation of in-transit manifest at U.S. port of reentry.
Upon return to the United States, the traveler shall present Customs
Form 7512-B or 7533-C and the corded and sealed samples to the U.S.
Customs officer at the port where the samples are returned to this
country. The Customs officer shall verify that there has been no
irregularity.
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 82-145, 47 FR
35478, Aug. 16, 1982]
Sec. 123.52 Commercial samples transported by automobile through the
United States between ports in Canada.
(a) General provisions. A commercial traveler arriving from Canada
may be permitted to transport effectively corded and sealed samples in
his automobile without further sealing in the United States, upon
compliance with this section and subject to the conditions of
Sec. 18.20(b), since Customs bonded carriers as described in Sec. 18.1
of this chapter are not considered to be reasonably available. Samples
having a total value of not more than $200 may be carried by a
nonresident commercial traveler through the United States without
cording and sealing and without an in-transit manifest in accordance
with Sec. 148.41 of this chapter.
(b) Presentation of sample list at Canadian port of exit. A
commercial traveler arriving from Canada desiring to transport without
display in the United States commercial samples in his automobile
through the United States to another port in Canada, may present his
samples to a Canadian Customs officer at the Canadian port of exit. The
traveler will be required to furnish the Canadian Customs officer a list
in duplicate of all articles presented showing their approximate values.
The list shall bear the traveler's name and address, and the name and
address of the firm represented.
(c) Checking, cording, and sealing by Canadian Customs officers. The
Canadian Customs officer will examine the articles, identify them with
the list,
[[Page 874]]
and satisfy himself that the values shown are approximately correct. The
Canadian Customs officer will cord and seal the outer containers with
uncolored in-transit seals and authenticate the list of samples with his
signature and title. Cording and sealing may be waived with the
concurrence of the United States and Canadian Customs officers.
(d) Treatment at U.S. port of arrival. The list of samples properly
authenticated shall be submitted upon arrival to the U.S. Customs
officer at the port of arrival. After ascertaining that the samples are
effectively corded and sealed, or that sealing has been waived, notation
of the number of corded and sealed containers, or of the waiver shall be
made on the list of samples and the list shall be retained by the
Customs officer as a record of the shipment.
(e) In-transit manifest. Movement of the samples from the port of
arrival to the port of exit from the United States under this procedure
shall be under an in-transit manifest on Customs Form 7512 executed and
filed in triplicate by the traveler at the port of arrival in the United
States. Descriptions, quantities, and values may be shown thereon by
noting ``Commercial Samples,'' the number of corded and sealed
containers, and the approximate total value of the samples. When cording
and sealing has been waived with the concurrence of a Canadian Customs
officer, samples must be identified on the manifest by suitable itemized
descriptions and approximate values, or by attaching to the manifest a
copy of the list of samples which has been initialed by the Customs
officer.
(f) Presentation of samples and manifest at U.S. port of exit. The
manifest on Customs Form 7512 shall be presented to the Customs officer
at the U.S. port of exit, together with the samples covered. If the
seals are broken or cording and sealing has been waived, the Customs
officer shall verify that there are no irregularities.
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 73-27, 38 FR
2449. Jan. 26, 1973; T.D. 87-75, 52 FR 20068, May 29, 1987]
Subpart G_Baggage
Sec. 123.61 Baggage arriving in baggage car.
An inward foreign manifest on Customs Form 7533 shall be used for
all baggage arriving in baggage cars.
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 82-145, 47 FR
35478, Aug. 16, 1982]
Sec. 123.62 Baggage in possession of traveler.
For baggage arriving in the actual possession of a traveler, his
declaration shall be accepted in lieu of an inward foreign manifest.
(See Sec. 123.3.)
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 73-72, 38 FR
2449, Jan. 26, 1973]
Sec. 123.63 Examination of baggage from Canada or Mexico.
(a) Opening vehicle or compartment to examine baggage. Customs
officers are authorized to unlock, open, and examine vehicles and
compartments thereof for the purposes of examining baggage under
sections 461, 462, 496, 581(a) and 582, Tariff Act of 1930, as amended
(19 U.S.C. 1461, 1462, 1496, 1581(a), and 1582) and 19 U.S.C. 482.
However, to the extent practical, the Customs officer should ask the
owner or operator to unlock such vehicle or compartment first. Where the
owner or operator is unavailable or refuses to unlock the vehicle or
compartment or where it is not practical to ask the owner or operator to
unlock the same, it shall be opened by the Customs officer. If any
article is subject to duty, or any prohibited article is found upon
opening by the Customs officer, the whole contents and the vehicle shall
be subject to forfeiture pursuant to 19 U.S.C. 1462.
(b) Inspection of baggage. A Customs officer has the right to
inspect all merchandise and baggage brought into the United States from
contiguous countries under 19 U.S.C. 1461. He also has the right, under
the same statute, to require that owners of such baggage open it or
furnish keys for doing so. Where the owner or agent is unavailable or
refuses to open the baggage or furnish keys or where it is not practical
to ask the owner or agent to open or furnish keys to the same, it shall
be
[[Page 875]]
opened by the Customs officer. If any article is subject to duty, or any
prohibited article is found upon opening by the Customs officer, the
baggage shall be subject to forfeiture pursuant to 19 U.S.C. 1462.
[T.D. 95-86, 60 FR 54188, Oct. 20, 1995]
Sec. 123.64 Baggage in transit through the United States between ports
in Canada or in Mexico.
(a) Procedure. Baggage in transit from point to point in Canada or
Mexico through the United States may be transported in bond through the
United States in accordance with the procedures set forth in
Sec. Sec. 18.13, 18.14, and 18.20 through 18.24 of this chapter except
where those procedures are modified by this section.
(b) In-transit manifest. Three copies of the manifest on Customs
Form 7512 shall be required. One copy of the Form 7512 shall be
delivered to the person in charge of the carrier to accompany the
baggage and shall be delivered by the carrier to the Customs officer at
the port of departure from the United States.
(c) Consolidated train manifest. When the route is such that a train
carrying baggage in bond will remain intact while proceeding through the
United States, a consolidated train manifest containing the same
information as is required on individual manifests may be used in lieu
of individual manifest on Customs Form 7512.
(d) Baggage cards--(1) Baggage arriving from Mexico. For baggage
arriving at a port on the Mexican border for in-transit movement through
the United States in bond and return to Mexico, the in-transit baggage
card described in Sec. 18.14 of this chapter shall be used.
(2) Baggage arriving from Canada. For baggage arriving at a port on
the Canadian border for in-transit movement through the United States in
bond and return to Canada, the joint United States-Canada in-transit
baggage card, Customs Form 7512-B (Canada 8\1/2\) or Customs Form 7533-C
(Canada A4-\1/2\), shall be used. The baggage card will be filled out
and securely attached to the baggage and the attachment verified by a
Canadian Customs officer before the baggage leaves Canada. If the joint
in-transit baggage card is found to be improperly prepared or attached
upon arrival of the baggage in the United States for movement in bond,
the carrier may be required to furnish the baggage card described in
Sec. 18.14 of this chapter for attachment to the baggage before being
allowed to proceed. At the port of exit from the United States the joint
in-transit baggage card shall be allowed to remain on the baggage.
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 71-70, 36 FR
4491, Mar. 6, 1971; T.D. 84-212, 49 FR 39047, Oct. 3, 1984; T.D. 87-75,
52 FR 20068, May 29, 1987; T.D. 00-22, 65 FR 16518, Mar. 29, 2000]
Sec. 123.65 Domestic baggage transiting Canada or Mexico between ports
in the United States.
(a) General provision. Upon request of the carrier, checked baggage
of domestic origin may be transported from one port in the United States
to another through Canada or through Mexico in accord with the procedure
set forth in this section. The provisions of this section shall not
apply to domestic hand baggage crossing Canada or Mexico which, upon
reentry into the United States, shall be examined in the same manner as
baggage of foreign origin.
(b) Special in-transit tag manifest. The carrier shall complete and
attach to each piece of baggage by wire or cord under Customs
supervision a special in-transit tag manifest furnished by the carrier
as follows:
(1) Baggage transiting Mexico. For baggage of domestic origin to be
transported through Mexico between ports of the United States, the
special in-transit tag manifest attached to each piece of baggage shall
be on white cardboard not less than 2\1/2\ x 4\1/2\ inches in size
printed in substantially the following form:
United States Customs
in-transit baggage manifest
Carrier's Baggageman: Destroy this tag if owner has access to baggage
before its return to United States.
Check No. ----.
This baggage is in transit from -------------------- (Port of exit)
through foreign territory to -------------------- (Port of reentry) in
the United States.
This baggage was laden for transportation as above stated.
Date --------
[[Page 876]]
________________________________________________________________________
(U.S. Customs Officer)
(2) Baggage transiting Canada. For baggage of domestic origin to be
transported through Canada between ports in the United States, the joint
United States-Canada in-transit baggage card, Customs Form 7512-B
(Canada 8\1/2\) or Customs Form 7533-C (Canada A4-\1/2\), shall be used
as the special in-transit tag manifest attached to each piece of
baggage.
(c) Removal of special in-transit tag manifest. The special in-
transit tag manifest shall be removed only by the Customs officers at
the final port of reentry into the United States. If the officer finds
the special in-transit tag manifest missing or not intact, or for any
other reason believes that the baggage has been tampered with while
outside the United States, he shall detain it for examination.
Otherwise, baggage transported under the procedure in this section may
be passed without examination.
(d) Procedure in lieu of special in-transit tag manifest. In lieu of
attaching the special in-transit tag manifest to each piece of baggage
as set forth in paragraph (b) of this section, baggage of domestic
origin may be forwarded in a car or compartment sealed with in-transit
seals and manifested as in the case of other merchandise in transit
through Canada or Mexico, as provided in subpart C of this part.
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 87-75, 52 FR
20068, May 29, 1987]
Subpart H [Reserved]
Subpart I_Miscellaneous Provisions
Sec. 123.81 Merchandise found in building on the boundary.
When any merchandise on which the duty has not been paid or which
was imported contrary to law is found in any building upon or within 10
feet of the boundary line between the United States and Canada or
Mexico, such merchandise shall be seized and a report of the facts shall
be made to the Commissioner. With his approval the building or that
portion thereof which is within the United States shall be taken down or
removed. The provisions of subpart B of part 162, of this chapter shall
be applicable to the search of any such building.
[T.D. 70-121, 35 FR 8215, May 26, 1970, as amended by T.D. 72-211, 37 FR
16487, Aug. 15, 1972. Redesignated by T.D. 99-2, 64 FR 31, Jan. 4, 1999]
Sec. 123.82 Treatment of stolen vehicles returned from Mexico.
Port directors shall admit without entry and payment of duty
allegedly stolen or embezzled vehicles, trailers, airplanes, or
component parts of any of them, under the provisions of The Convention
between the United States of America and the United Mexican States for
the Recovery and Return of Stolen or Embezzled Vehicles and Aircraft
(Treaties and Other International Acts Series [TIAS] 10653), of June 28,
1983, if accompanied by a letter from the U.S. Embassy in Mexico City
containing:
(a) A statement that the Embassy is satisfied from information
furnished it that the property is stolen property being returned to the
U.S. under the provisions of the convention between the U.S. and Mexico
concluded January 15, 1981, and
(b) An adequate description of the property for identification
purposes.
[T.D. 86-118, 51 FR 22515, June 20, 1986. Redesignated by T.D. 99-2, 64
FR 31, Jan. 4, 1999]
Subpart J_Advance Information for Cargo Arriving by Rail or Truck
Source: CBP Dec. 03-32, 68 FR 68173, Dec. 5, 2003, unless otherwise
noted.
Sec. 123.91 Electronic information for rail cargo required in advance
of arrival.
(a) General requirement. Pursuant to section 343(a), Trade Act of
2002, as amended (19 U.S.C. 2071 note), for any train requiring a train
sheet under Sec. 123.6, that will have commercial cargo aboard, Customs
and Border Protection (CBP) must electronically receive from the rail
carrier certain information concerning the incoming cargo, as enumerated
in paragraph (d) of this section, no later than 2 hours prior to the
[[Page 877]]
cargo reaching the first port of arrival in the United States.
Specifically, to effect the advance electronic transmission of the
required rail cargo information to CBP, the rail carrier must use a CBP-
approved electronic data interchange system.
(1) Through cargo in transit to a foreign country. Cargo arriving by
train for transportation in transit across the United States from one
foreign country to another; and cargo arriving by train for
transportation through the United States from point to point in the same
foreign country are subject to the advance electronic information filing
requirement for incoming cargo under paragraph (a) of this section.
(2) Cargo under bond. Cargo that is to be unladed from the arriving
train and entered, in bond, for exportation, or for transportation and
exportation, in another vehicle or conveyance is also subject to the
advance electronic information filing requirement under paragraph (a) of
this section.
(b) Exception; cargo in transit from point to point in the United
States. Domestic cargo transported by train to one port from another in
the United States by way of Canada or Mexico is not subject to the
advance electronic information filing requirement for incoming cargo
under paragraph (a) of this section.
(c) Incoming rail carrier--(1) Receipt of data; acceptance of cargo.
As a pre-requisite to accepting the cargo, the carrier must receive,
from the foreign shipper and owner of the cargo or from a freight
forwarder, as applicable, any necessary cargo shipment information, as
listed in paragraph (d) of this section, for electronic transmission to
CBP.
(2) Accuracy of information received by rail carrier. Where the rail
carrier electronically presenting the cargo information required in
paragraph (d) of this section receives any of this information from
another party, CBP will take into consideration how, in accordance with
ordinary commercial practices, the rail carrier acquired such
information, and whether and how the carrier is able to verify this
information. Where the rail carrier is not reasonably able to verify
such information, CBP will permit the carrier to electronically present
the information on the basis of what the carrier reasonably believes to
be true.
(d) Cargo information required. The rail carrier must electronically
transmit to CBP the following information for all required incoming
cargo that will arrive in the United States by train:
(1) The rail carrier identification SCAC code (the unique Standard
Carrier Alpha Code assigned for each carrier by the National Motor
Freight Traffic Association; see Sec. 4.7a(c)(2)(iii) of this chapter);
(2) The carrier-assigned conveyance name, equipment number and trip
number;
(3) The scheduled date and time of arrival of the train at the first
port of entry in the United States;
(4) The numbers and quantities of the cargo laden aboard the train
as contained in the carrier's bill of lading, either master or house, as
applicable (this means the quantity of the lowest external packaging
unit; containers and pallets do not constitute acceptable information;
for example, a container holding 10 pallets with 200 cartons should be
described as 200 cartons);
(5) A precise cargo description (or the Harmonized Tariff Schedule
(HTS) number(s) to the 6-digit level under which the cargo is classified
if that information is received from the shipper) and weight of the
cargo; or, for a sealed container, the shipper's declared description
and weight of the cargo (generic descriptions, specifically those such
as ``FAK'' (``freight of all kinds''), ``general cargo,'' and ``STC''
(``said to contain'') are not acceptable);
(6) The shipper's complete name and address, or identification
number, from the bill(s) of lading (for each house bill in a
consolidated shipment, the identity of the foreign vendor, supplier,
manufacturer, or other similar party is acceptable (and the address of
the foreign vendor, etc., must be a foreign address); by contrast, the
identity of the carrier, freight forwarder, consolidator, or broker, is
not acceptable; the identification number will be a unique number to be
assigned by CBP upon the implementation of the Automated Commercial
Environment);
[[Page 878]]
(7) The complete name and address of the consignee, or
identification number, from the bill(s) of lading (The consignee is the
party to whom the cargo will be delivered in the United States. However,
in the case of cargo shipped ``to order of [a named party],'' the
carrier must identify this named ``to order'' party as the consignee;
and, if there is any other commercial party listed in the bill of lading
for delivery or contact purposes, the carrier must also report this
other commercial party's identity and contact information (address) in
the ``Notify Party'' field of the advance electronic data transmission
to CBP, to the extent that the CBP-approved electronic data interchange
system is capable of receiving this data. The identification number will
be a unique number assigned by CBP upon implementation of the Automated
Commercial Environment);
(8) The place where the rail carrier takes possession of the cargo
shipment;
(9) Internationally recognized hazardous material code when such
materials are being shipped by rail;
(10) Container numbers (for containerized shipments) or the rail car
numbers; and
(11) The seal numbers for all seals affixed to containers and/or
rail cars to the extent that CBP's data system can accept this
information (for example, if a container has more than two seals, and
only two seal numbers can be accepted through the system per container,
the carrier's electronic presentation of two of these seal numbers for
the container would be considered as constituting full compliance with
this data element).
[CBP Dec. 03-32, 68 FR 68173, Dec. 5, 2003, as amended at CBP Dec. 09-
39, 74 FR 52677, Oct. 14, 2009]
Sec. 123.92 Electronic information for truck cargo required in advance
of arrival.
(a) General requirement. Pursuant to section 343(a) of the Trade Act
of 2002, as amended (19 U.S.C. 2071 note), for any truck required to
report its arrival under Sec. 123.1(b), that will have commercial cargo
aboard, Customs and Border Protection (CBP) must electronically receive
from the party described in paragraph (c) of this section certain
information concerning the cargo, as enumerated in paragraph (d) of this
section. The CBP must receive such cargo information by means of a CBP-
approved electronic data interchange system no later than either 30
minutes or 1 hour prior to the carrier's reaching the first port of
arrival in the United States, or such lesser time as authorized, based
upon the CBP-approved system employed to present the information.
(1) Through cargo in transit to a foreign country. Cargo arriving by
truck in transit through the United States from one foreign country to
another (Sec. 123.31(a)); and cargo arriving by truck for transportation
through the United States from one point to another in the same foreign
country (Sec. 123.31(b); Sec. 123.42) are subject to the advance
electronic information filing requirement in paragraph (a) of this
section.
(2) Cargo entered under bond. Cargo that is to be unladed from the
arriving truck and entered, in bond, for exportation, or for
transportation and exportation, in another vehicle or conveyance are
also subject to the advance electronic information filing requirement in
paragraph (a) of this section.
(b) Exceptions from advance reporting requirements--(1) Cargo in
transit from point to point in the United States. Domestic cargo
transported by truck and arriving at one port from another in the United
States after transiting Canada or Mexico (Sec. 123.21; Sec. 123.41) is
exempt from the advance electronic filing requirement for incoming cargo
under paragraph (a) of this section.
(2) Certain informal entries. The following merchandise is exempt
from the advance cargo information reporting requirements under
paragraph (a) of this section, to the extent that such merchandise
qualifies for informal entry pursuant to part 143, subpart C, of this
chapter:
(i) Merchandise which may be informally entered on CBP Form 368 or
368A (cash collection or receipt);
(ii) Merchandise unconditionally or conditionally free, not
exceeding $2,500 in value, eligible for entry on CBP Form 7523; and
(iii) Products of the United States being returned, for which entry
is prescribed on CBP Form 3311.
[[Page 879]]
(c) Carrier; and importer or broker--(1) Single party presentation.
Except as provided in paragraph (c)(2) of this section, the incoming
truck carrier must present all required information to CBP in the time
and manner prescribed in paragraph (a) of this section.
(2) Dual party presentation. The United States importer, or its
customs broker, may elect to present to CBP a portion of the required
information that it possesses in relation to the cargo. Where the
broker, or the importer (see Sec. 113.62(k)(2) of this chapter), elects
to submit such data, the carrier is responsible for presenting to CBP
the remainder of the information specified in paragraph (d) of this
section.
(3) Party receiving information believed to be accurate. Where the
party electronically presenting the cargo information required in
paragraph (d) of this section receives any of this information from
another party, CBP will take into consideration how, in accordance with
ordinary commercial practices, the presenting party acquired such
information, and whether and how the presenting party is able to verify
this information. Where the presenting party is not reasonably able to
verify such information, CBP will permit the party to electronically
present the information on the basis of what the party reasonably
believes to be true.
(d) Cargo information required. The following commodity and
transportation information, as applicable, must be electronically
transmitted to and received by CBP for all required incoming cargo
arriving in the United States by truck, to the extent that the
particular CBP-approved electronic data interchange system employed can
accept this information:
(1) Conveyance number, and (if applicable) equipment number (the
number of the conveyance is its Vehicle Identification Number (VIN) or
its license plate number and state of issuance; the equipment number, if
applicable, refers to the identification number of any trailing
equipment or container attached to the power unit);
(2) Carrier identification (this is the truck carrier identification
SCAC code (the unique Standard Carrier Alpha Code) assigned for each
carrier by the National Motor Freight Traffic Association; see
Sec. 4.7a(c)(2)(iii) of this chapter);
(3) Trip number and, if applicable, the transportation reference
number for each shipment (the transportation reference number is the
freight bill number, or Pro Number, if such a number has been generated
by the carrier);
(4) Container number(s) (for any containerized shipment) (if
different from the equipment number), and the seal numbers for all seals
affixed to the equipment or container(s);
(5) The foreign location where the truck carrier takes possession of
the cargo destined for the United States;
(6) The scheduled date and time of arrival of the truck at the first
port of entry in the United States;
(7) The numbers and quantities for the cargo laden aboard the truck
as contained in the bill(s) of lading (this means the quantity of the
lowest external packaging unit; containers and pallets do not constitute
acceptable information; for example, a container holding 10 pallets with
200 cartons should be described as 200 cartons);
(8) The weight of the cargo, or, for a sealed container, the
shipper's declared weight of the cargo;
(9) A precise description of the cargo or the Harmonized Tariff
Schedule (HTS) numbers to the 6-digit level under which the cargo will
be classified (generic descriptions, specifically those such as FAK
(``freight of all kinds''), ``general cargo,'' and ``STC'' (``said to
contain'') are not acceptable);
(10) Internationally recognized hazardous material code when such
cargo is being shipped by truck;
(11) The shipper's complete name and address, or identification
number, from the bill(s) of lading (for each house bill in a
consolidated shipment, the identity of the foreign vendor, supplier,
manufacturer, or other similar party is acceptable (and the address of
the foreign vendor, etc., must be a foreign address); by contrast, the
identity of the carrier, freight forwarder, consolidator, or broker, is
not acceptable; the identification number will be a unique number to be
assigned by CBP upon the implementation of the Automated Commercial
Environment); and
[[Page 880]]
(12) The complete name and address of the consignee, or
identification number, from the bill(s) of lading (the consignee is the
party to whom the cargo will be delivered in the United States, with the
exception of ``FROB'' (Foreign Cargo Remaining On Board); the
identification number will be a unique number assigned by CBP upon
implementation of the Automated Commercial Environment).
[CBP Dec. 03-32, 68 FR 68173, Dec. 5, 2003, as amended at CBP Dec. 08-
46, 73 FR 71782, Nov. 25, 2008; CBP Dec. 09-39, 74 FR 52677, Oct. 14,
2009; CBP Dec. 12-19, 77 FR 72719, Dec. 6, 2012]
PART 125_CARTAGE AND LIGHTERAGE OF MERCHANDISE
Sec.
125.0 Scope.
Subpart A_General Provisions
125.1 Classes of cartage.
125.2 Supervision of cartage and lighterage.
125.3 Contracts for Government cartage.
Subpart B_Cartage of Packages for Examination
125.11 Cartage for examination in public stores.
125.12 Cartage for examination at importers' premises or other place.
125.13 Cartage of merchandise withdrawn from general order for regular
entry.
125.14 Cartage of unclaimed merchandise.
Subpart C_Importers' Cartage
125.21 Cartage other than for examination.
125.22 Designation of cartman or lighterman, or other bonded carrier.
125.23 Failure to designate.
125.24 Failure of designated cartman, lighterman or other bonded
carrier to appear.
Subpart D_Delivery and Receipt
125.31 Documents used.
125.32 Merchandise delivered to a bonded store or bonded warehouse.
125.33 Procedure on receiving merchandise.
125.34 Countersigning of documents and notation of bad order or
discrepancy.
125.35 Report of loss, detention, or accident.
125.36 Inability to deliver merchandise.
Subpart E_Liability
125.41 Liability for cartage.
125.42 Cancellation of liability.
Authority: 19 U.S.C. 66, 1565, and 1624.
Section 125.31, also issued under 5 U.S.C. 301; 19 U.S.C. 1311,
1312, 1484, 1555, 1556, 1557, 1623, and 1646a.
Section 125.32 also issued under 5 U.S.C. 301; 19 U.S.C. 1484.
Section 125.33 also issued under 19 U.S.C. 1311, 1312, 1555, 1556,
1557, 1623, and 1646a.
Sections 125.41 and 125.42 also issued under 19 U.S.C. 1623.
Source: T.D. 73-140, 38 FR 13554, May 23, 1973, unless otherwise
noted.
Sec. 125.0 Scope.
This part is concerned with cartage and lighterage of merchandise
and the duties and liabilities of cartmen and lightermen, as well as
those parties authorized in Sec. 112.2(b) to engage in cartage.
Provisions for licensing cartmen and lightermen are in part 112 of this
chapter.
[T.D. 94-81, 59 FR 51495, Oct. 12, 1994]
Subpart A_General Provisions
Sec. 125.1 Classes of cartage.
(a) Government cartage. Government cartage must be done by a
licensed customhouse cartman or other bonded carrier as provided in
Sec. 112.2 of this chapter under contract or other specific authority
for that purpose (except as provided for in Sec. 125.12). All government
cartage must be contracted for using the procedures specified in
Sec. 125.3.
(b) Importers' cartage. Importers' cartage may be done by any
licensed customhouse cartman or other bonded carrier as provided in
Sec. 112.2 of this chapter.
[T.D. 94-81, 59 FR 51495, Oct. 12, 1994]
Sec. 125.2 Supervision of cartage and lighterage.
All licensed vehicles or lighters shall be subject to the control
and direction of the officer having charge of the merchandise being
carried.
Sec. 125.3 Contracts for Government cartage.
Contracts for Government cartage shall be procured by formally
advertised solicitation for bids and award of contract or by negotiation
in accordance with the appropriate provisions of the Federal Procurement
Regulations,
[[Page 881]]
as supplemented by the special procurement requirements of the U.S.
Customs Service.
Subpart B_Cartage of Packages for Examination
Sec. 125.11 Cartage for examination in public stores.
(a) Government cartage. The cartage of merchandise in Customs
custody designated for examination at the public stores shall be done by
a licensed customhouse cartman or a bonded carrier under contract or
other specific authority for that purpose.
(b) Where there is no contract for Government cartage. At ports
where there is no contract for Government cartage in effect, the cartage
of packages designated for examination at the public stores shall be
done by a licensed customhouse cartman or a bonded carrier designated by
the port director for this purpose.
(c) Payment for Government cartmen. The cost of the cartage shall be
paid by Customs.
[T.D. 73-140, 38 FR 13554, May 23, 1973, as amended by T.D. 94-81, 59 FR
51495, Oct. 12, 1994]
Sec. 125.12 Cartage for examination at importers' premises or other
place.
Merchandise designated for examination at an importer's premises or
other place not in the charge of a Customs officer may be carted,
lightered, or carried to any such place by the importer without a
cartman's or lighterman's license, when in the judgment of the port
director the revenue will not be endangered. Otherwise, such transfer
shall be done by a licensed cartman, who shall be the contract cartman
whenever practicable.
Sec. 125.13 Cartage of merchandise withdrawn from general order for
regular entry.
When merchandise withdrawn from general order for regular entry is
to be conveyed to a place designated by the port director for
examination, the cartage shall be at the expense of the importer and
shall be under the cartage arangements established at the port for
hauling examination packages under the provisions of Sec. 125.11(a) and
(b). Reimbursement of the cost of the cartage shall be collected from
the importer prior to release of the merchandise from Customs custody.
Sec. 125.14 Cartage of unclaimed merchandise.
Unclaimed merchandise shall be carted to the public stores or a
bonded warehouse designated by the port director under the cartage
arrangements established at the port for hauling examination packages
under the provisions of Sec. 125.11. Reimbursement of the cost of the
cartage shall be collected from the importer prior to release if entry
is made or from the proceeds of sale of the merchandise.
[T.D. 73-140, 38 FR 13554, May 23, 1973, as amended by T.D. 78-151, 43
FR 23566, May 31, 1978]
Subpart C_Importers' Cartage
Sec. 125.21 Cartage other than for examination.
Any licensed customhouse cartman, including an importer licensed to
cart his own imported merchandise and a bonded carrier provided for in
Sec. 112.2 of this chapter, at the expense of the importer or other
party in interest, may transfer merchandise from the importing vessel or
other conveyance to a bonded warehouse, from one vessel or conveyance to
another, from one bonded warehouse to another, from the public stores to
a bonded warehouse, from warehouse for transportation or for
exportation, and from an internal revenue warehouse for exportation
under the internal revenue laws without payment of tax. Foreign trade
zone operators, bonded warehouse proprietors, container station
operators and centralized examination station operators may engage in
limited cartage or lighterage under the conditions specified in
Sec. 112.2 of this chapter. Nothing in this section shall apply to the
cartage of examination packages to the place of examination.
[T.D. 94-81, 59 FR 51495, Oct. 12, 1994]
[[Page 882]]
Sec. 125.22 Designation of cartman or lighterman, or other bonded
carrier.
Importers and exporters shall designate on the entry and permit of
bonded merchandise the bonded cartman, lighterman, or other bonded
carrier as provided in Sec. 112.2 of this chapter by whom they wish
their merchandise to be conveyed. An importer also may designate a
foreign trade zone operator, bonded warehouse proprietor, container
station operator or centralized examination station operator under the
conditions specified in Sec. 112.2 of this chapter for limited cartage;
if he does so, the importer must also designate that the merchandise is
bound for the facility run by the operator he designates. Approval of a
designation shall be indicated on the entry papers by the initials of
the appropriate Customs officer placed in close proximity to the
designation.
[T.D. 94-81, 59 FR 51495, Oct. 12, 1994]
Sec. 125.23 Failure to designate.
If an importer does not cart his merchandise or designate a licensed
customhouse cartman, other bonded carrier, foreign trade zone operator,
bonded warehouse proprietor, container station operator or centralized
examination station operator, as provided for in Sec. 112.2 of this
chapter, for the purpose, it shall be carted by a bonded carrier or by a
public store cartman authorized by contract or designated by the port
director for that purpose. The cost of such cartage shall be paid by the
importer of the merchandise before its release from Customs custody.
[T.D. 94-81, 59 FR 51496, Oct. 12, 1994]
Sec. 125.24 Failure of designated cartman, lighterman or other bonded
carrier to appear.
The cartman, lighterman, other bonded carrier, foreign trade zone
operator, bonded warehouse proprietor, container station operator or
centralized examination station operator designated to convey the
merchandise shall be present to take the merchandise when the Customs
officer in charge is ready to send it. If the designated vehicle or
lighter is not present, after waiting a reasonable time, such officer
shall send the merchandise by any available licensed cartman,
lighterman, or qualifying bonded carrier.
[T.D. 94-81, 59 FR 51496, Oct. 12, 1994]
Subpart D_Delivery and Receipt
Sec. 125.31 Documents used.
When merchandise is carted or lightered to and received from a
bonded store or bonded warehouse, it shall be accompanied by one of the
following tickets or documents:
(a) Customs Form 6043--Delivery Ticket.
(b) Customs Form 7501, Entry Summary, annotated ``Permit''.
(c) Customs Form 7512--Transportation Entry and Manifest of Goods
Subject to Customs Inspection and Permit.
[T.D. 82-204, 47 FR 49375, Nov. 1, 1982, as amended by T.D. 84-129, 49
FR 23167, June 5, 1984; T.D. 95-81, 60 FR 52295, Oct. 6, 1995]
Sec. 125.32 Merchandise delivered to a bonded store or bonded
warehouse.
When merchandise is carried, carted or lightered to and received in
a bonded store or bonded warehouse, the proprietor or his representative
shall check the goods against the accompanying delivery ticket, Customs
Form 6043, or copy of the permit, Customs Form 7501, and countersign the
document acknowledging receipt of the merchandise as listed thereon. If
the proprietor or his agent has been designated to carry the merchandise
to his own bonded warehouse, he shall check the goods against the
accompanying delivery ticket, Customs Form 6043, or copy of the permit,
Customs Form 7501, at the time he picks up the cargo. Receipt of
merchandise by a bonded warehouse proprietor for the purpose of
transportation to his own warehouse constitutes receipt into a bonded
warehouse.
[T.D. 94-81, 59 FR 51496, Oct. 12, 1994]
Sec. 125.33 Procedure on receiving merchandise.
(a) From public or bonded store. A receipt shall be taken from the
cartman, lighterman or bonded carrier for all goods delivered to him
from public
[[Page 883]]
store or bonded store. The receipt may be taken on Customs Form 6043, or
on the appraising officer's release ticket at the time delivery is made.
(b) From bonded warehouse. In case of withdrawals from bonded
warehouse, the merchandise shall be released only to the proprietor of
the warehouse, who shall acknowledge such release on the appropriate
withdrawal or removal document.
(c) All other cases. A receipt shall be taken for all goods
delivered from Customs custody in any other case where the port director
deems such receipt necessary.
[T.D. 73-140, 38 FR 13554, May 23, 1973, as amended by T.D. 82-204, 47
FR 49375, Nov. 1, 1982; T.D. 94-81, 59 FR 51496, Oct. 12, 1994]
Sec. 125.34 Countersigning of documents and notation of bad order or
discrepancy.
When a cartman, lighterman, other bonded carrier, foreign trade zone
operator, bonded warehouse proprietor, container station operator or
centralized examination station operator, as provided for in Sec. 112.2,
receives merchandise remaining in Customs custody, he shall countersign
the appropriate document in the space provided and shall note thereon
any bad order or discrepancy. When available, the importing carrier's
tally slip for the merchandise shall be attached to the delivery ticket
which accompanies the merchandise while it is being carted or lightered
in bond, for the use of Customs officers only at destination.
[T.D. 73-140, 38 FR 13554, May 23, 1973, as amended by T.D. 94-81, 59 FR
51496, Oct. 12, 1994]
Sec. 125.35 Report of loss, detention, or accident.
Any loss or detention of bonded merchandise, or any accident
happening to a vehicle or lighter while carrying bonded merchandise
shall be immediately reported by the cartman, lighterman, qualified
bonded carrier, foreign trade zone operator, bonded warehouse
proprietor, container station operator or centralized examination
station operator to the port director.
[T.D. 94-81, 59 FR 51496, Oct. 12, 1994]
Sec. 125.36 Inability to deliver merchandise.
If the warehouse is closed or the warehouseman refuses to receive
the merchandise, the cartman or bonded carrier shall notify the
appropriate Customs inspector. The inspector shall promptly report the
facts to the port director or his delegated representative for
instructions. The merchandise shall then be returned to the Customs
inspector, deposited in the public stores for safekeeping, or handled as
ordered by the port director.
[T.D. 73-140, 38 FR 13554, May 23, 1973, as amended by T.D. 94-81, 59 FR
51496, Oct. 12, 1994]
Subpart E_Liability
Sec. 125.41 Liability for cartage.
(a) Liability of cartman, lighterman or bonded carrier. The cartman,
lighterman, or bonded carrier conveying the merchandise, including
merchandise covered by a TIR carnet which has not been ``taken on
charge'' (see Sec. 114.22(c)(2) of this chapter), shall be liable under
his bond for its prompt delivery in sound condition, or in no worse than
the damaged condition noted on the delivery ticket, if damage is so
noted.
(b) Liability of foreign trade zone operator, bonded warehouse
proprietor, container station operator or centralized examination
station operator. A foreign trade zone operator, bonded warehouse
proprietor, container station operator or centralized examination
station operator who picks up merchandise including merchandise covered
by a TIR carnet which has not been ``taken on charge'', to transport the
merchandise to his own facility shall be liable under his bond for the
merchandise as soon as he collects the merchandise. The merchandise must
be receipted as soon as it is picked up and must be delivered to either
the respective foreign trade zone, bonded warehouse, container station
or centralized examination station promptly after it is picked up in
sound condition, or in no worse than the damaged condition noted on the
delivery ticket, if damage is noted.
[T.D. 94-81, 59 FR 51496, Oct. 12, 1994]
[[Page 884]]
Sec. 125.42 Cancellation of liability.
The Fines, Penalties, and Forfeitures Officer, in accordance with
delegated authority, may cancel liquidated damages incurred under the
bond of the foreign trade zone operator, containing the bond conditions
set forth in Sec. 113.73 of this chapter, or under the bond of the
cartman, lighterman, bonded carrier, bonded warehouse operator,
container station operator or centralized examination station operator
on Customs Form 301, containing the bond conditions set forth in
Sec. 113.63 of this chapter, upon the payment of such lesser amount, or
without the payment of any amount, as the Fines, Penalties, and
Forfeitures Officer may deem appropriate under the circumstances.
Application for cancellation of liquidated damages incurred shall be
made in accordance with the provisions of part 172 of this chapter.
[T.D. 00-57, 65 FR 53575, Sept. 5, 2000]
PART 127_GENERAL ORDER, UNCLAIMED, AND ABANDONED MERCHANDISE
Sec.
127.0 Scope.
Subpart A_General Order Merchandise
127.1 Merchandise considered general order merchandise.
127.2 Withdrawal from general order for entry or exportation.
127.4 General order period defined.
Subpart B_Unclaimed and Abandoned Merchandise
127.11 Unclaimed merchandise.
127.12 Abandoned merchandise.
127.13 Storage of unclaimed and abandoned merchandise.
127.14 Disposition of merchandise in Customs custody beyond time fixed
by law.
Subpart C_Sale of Unclaimed and Abandoned Merchandise
127.21 Time of sale.
127.22 Place of sale.
127.23 Appraisement of merchandise.
127.24 Notice of sale.
127.25 Advertisement of sale.
127.26 Catalogs.
127.27 Conduct of sale.
127.28 Special merchandise.
127.29 Unsold merchandise.
Subpart D_Proceeds of Sale
127.31 Disposition of proceeds.
127.32 Expenses of cartage, storage, and labor.
127.33 Chargeable duties.
127.34 Auctioneer's commissions.
127.35 Presentation of accounts.
127.36 Claim for surplus proceeds of sale.
127.37 Insufficient proceeds.
Subpart E_Title to Unclaimed and Abandoned Merchandise Vesting in
Government
127.41 Government title to unclaimed and abandoned merchandise.
127.42 Disposition of merchandise owned by Government.
127.43 Petition of party for surplus proceeds had merchandise been
sold.
Authority: 19 U.S.C. 66, 1311, 1312, 1484, 1485, 1490, 1491, 1492,
1493, 1506, 1559, 1563, 1623, 1624, 1646a; 26 U.S.C. 5753.
Section 127.12 also issued under 19 U.S.C. 1753;
Section 127.14 also issued under 19 U.S.C. 1555, 1556, 1557;
Section 127.21 also issued under 19 U.S.C. 1753;
Section 127.28 also issued under 15 U.S.C. 2612, 26 U.S.C. 5688;
Sections 127.31, 127.36, 127.37 also issued under 19 U.S.C. 1753.
Source: T.D. 74-114, 39 FR 12092, Apr. 3, 1974, unless otherwise
noted.
Sec. 127.0 Scope.
This part sets forth regulations pertaining to general order
merchandise, unclaimed merchandise, and abandoned merchandise, the
storage and sale thereof, and the distribution of the proceeds from the
sale thereof. Regulations regarding the abandonment of merchandise by
the importer to the Government in accordance with section 506(1), Tariff
Act of 1930, as amended (19 U.S.C. 1506(1)), appear in part 158 of this
chapter.
Subpart A_General Order Merchandise
Sec. 127.1 Merchandise considered general order merchandise.
Merchandise shall be considered general order merchandise when it is
taken into the custody of the port director and deposited in the public
stores or a general order warehouse at
[[Page 885]]
the risk and expense of the consignee for any of the following reasons:
(a) Whenever entry of any imported merchandise is not made within
the time provided by law or regulations prescribed by the Secretary of
the Treasury.
(b) Whenever entry is incomplete because of failure to pay estimated
duties.
(c) Whenever, in the opinion of the port director, entry cannot be
made for want of proper documents or other causes.
(d) Whenever the port director believes that any merchandise is not
correctly or legally invoiced.
(e) Whenever, at the request of the consignee or the owner or master
of the vessel or person in charge of the vehicle in which merchandise is
imported, any merchandise is taken possession of by the port director
after the expiration of 1 day after entry of the vessel or report of the
vehicle.
Sec. 127.2 Withdrawal from general order for entry or exportation.
(a) Exportation within 6 months from date of importation.
Merchandise in general order may be exported without examination or
appraisement if the merchandise is delivered to the exporting carrier
within 6 months from the date of importation. This merchandise may be
entered within 6 months from date of importation for immediate
transportation to any port of entry designated by the consignee.
(b) After expiration of 6 months from date of importation. Entry for
immediate transportation shall be permitted after the expiration of the
6-month period only for the purpose of filing an entry for consumption
at the port of destination.
(c) Withdrawal of less than single general order lot. The withdrawal
from general order of less than a single general order lot shall not be
permitted except as provided for in Sec. 141.52 of this chapter.
[T.D. 74-114, 39 FR 12092, Apr. 3, 1974, as amended by T.D. 98-74, 63 FR
51290, Sept. 25, 1998]
Sec. 127.4 General order period defined.
The general order period is that period of time during which general
order merchandise, as defined in Sec. 127.1, is not subject to sale. The
general order period expires 6 months from the date of importation.
[T.D. 79-221, 44 FR 46814, Aug. 9, 1979, as amended by T.D. 98-74, 63 FR
51290, Sept. 25, 1998]
Subpart B_Unclaimed and Abandoned Merchandise
Sec. 127.11 Unclaimed merchandise.
Any entered or unentered merchandise (except merchandise under
section 557, Tariff Act of 1930, as amended (19 U.S.C. 1557), but
including merchandise entered for transportation in bond or for
exportation) which remains in Customs custody for 6 months from the date
of importation or a lesser period for special merchandise as provided by
Sec. 127.28 (c), (d), and (h), and without all estimated duties and
storage or other charges having been paid, shall be considered unclaimed
and abandoned.
[T.D. 79-221, 44 FR 46814, Aug. 9, 1979, as amended by T.D. 98-74, 63 FR
51290, Sept. 25, 1998]
Sec. 127.12 Abandoned merchandise.
(a) Involuntarily abandoned merchandise. The following shall be
considered to be involuntarily abandoned merchandise:
(1) Articles entered for a trade fair under the provisions of
section 3 of the Trade Fair Act of 1959 (19 U.S.C. 1752), which are
still in Customs custody at the expiration of 3 months after the closing
date of the fair for which they were entered. (See Sec. 147.47 of this
chapter.)
(2) Any imported merchandise upon which any duties or charges are
unpaid, remaining in a bonded warehouse beyond the 5-year warehouse
period.
(b) Voluntarily abandoned merchandise. The following merchandise
shall be considered to be voluntarily abandoned merchandise and the
property of the United States Government:
(1) Merchandise which is taken possession of by the port director at
the request of the consignee, or owner or master of the vessel or person
in charge of the vehicle in which the merchandise was imported.
[[Page 886]]
(2) Merchandise abandoned by the importer to the United States
within 30 days after entry in the case of merchandise not sent to the
public stores for examination, or within 30 days after the release of
the examination packages or merchandise in the case of merchandise sent
to the public stores for examination.
(3) Articles entered for a trade fair under the provisions of
section 3 of the Trade Fair Act of 1959 (19 U.S.C. 1752), which have
been abandoned to the United States within 3 months of the closing of
the fair.
(4) Merchandise in a bonded warehouse abandoned by the consignee
within 3 years from the date of original importation. (See subpart D of
part 158 of this chapter.)
[T.D. 74-114, 39 FR 12092, Apr. 3, 1974, as amended by T.D. 79-221, 44
FR 46814, Aug. 9, 1979]
Sec. 127.13 Storage of unclaimed and abandoned merchandise.
(a) Place of storage. A class 11 bonded warehouse or warehouse of
class 3, 4, or 5, certified by the port director as qualified to receive
general order merchandise, will be responsible for the transportation
and storage of unclaimed and abandoned merchandise, upon due
notification to the proprietor of the warehouse by the arriving carrier
(or other party to whom the carrier has transferred the merchandise
under a Customs-authorized permit to transfer or in-bond entry), as
provided in Sec. Sec. 4.37(c), 122.50(c), and 123.10(c) of this chapter.
If no warehouse of these classes is available to receive general order
merchandise, or if the merchandise requires specialized storage
facilities which are unavailable in a bonded facility, the port
director, after having received notice of the presence of unentered
merchandise or baggage in accordance with the provisions of this
section, will direct the storage of the merchandise by the carrier or by
any other appropriate means.
(b) Payment of storage and expenses. Storage at the ordinary rates
and all other expenses shall be paid by the owner or consignee of the
merchandise upon entry thereof. If the goods are sold, such charges
shall be paid from the proceeds of the sale to the extent that proceeds
are available.
[T.D. 74-114, 39 FR 12092, Apr. 3, 1974, as amended by T.D. 02-65, 67 FR
68034, Nov. 8, 2002]
Sec. 127.14 Disposition of merchandise in Customs custody beyond time
fixed by law.
(a) Merchandise subject to sale or other disposition--(1) General.
If storage or other charges due the United States have not been paid on
merchandise remaining in Customs custody after the expiration of the
bond period in the case of merchandise entered for warehouse, or after
the expiration of the general order period, as defined in Sec. 127.4, in
any other case, even though any duties due have been paid, such
merchandise will be sold as provided in subpart C of this part, retained
for official use as provided in subpart E of this part, destroyed, or
otherwise disposed of as authorized by the Commissioner of Customs under
the law, unless the merchandise is entered or withdrawn for consumption
in accordance with paragraph (b) of this section.
(2) Destruction of merchandise--(i) Proprietor responsibility. If
the port director concludes that merchandise in general order has no
commercial value or is otherwise unsalable and cannot be disposed of at
public auction (see Sec. 127.29), and that its destruction is warranted,
the warehouse proprietor must assume responsibility under bond,
including the expense, for destroying the merchandise (see
Sec. 113.63(c)(3) of this chapter). The port director will authorize
such destruction on Customs Form (CF) 3499, or on a similar Customs
document as designated by the port director or an electronic equivalent
as authorized by Customs.
(ii) Notice of destruction. Before destroying the merchandise, the
warehouse proprietor must first make a reasonable effort under bond (see
Sec. 113.63(b) and (c) of this chapter), to identify and inform the
importer (owner) or consignee regarding the intended destruction of the
merchandise. When the appropriate party is identified, notice of
destruction will be provided to the party on Customs Form (CF) 5251,
appropriately modified, or other similar Customs document as designated
by
[[Page 887]]
the port director or an electronic equivalent as authorized by Customs,
at least 30 calendar days prior to the date of intended destruction.
(b) Entry of merchandise subject to sale. Merchandise subject to
sale (except merchandise abandoned under section 506(1) or 563(b),
Tariff Act of 1930, as amended (19 U.S.C. 1506(1), 1563(b))), may be
entered or withdrawn for consumption at any time prior to the sale upon
payment of the duties, any internal revenue tax, and all charges and
expenses that may have accrued thereon. Such merchandise may not be
exported without payment of duty nor entered for warehouse.
(c) Release of merchandise to warehouse proprietor. The following
merchandise for which a permit to release has been issued shall be held
to be no longer in the custody of Customs officers and shall be released
to the warehouse proprietor:
(1) Merchandise upon which all duties and charges have been paid.
(2) Free and duty-paid merchandise upon which all charges have been
paid, not entered for warehouse which remains in bonded warehouse for
more than the general order period.
[T.D. 74-114, 39 FR 12092, Apr. 3, 1974, as amended by T.D. 75-161, 40
FR 28790, July 9, 1975; T.D. 79-221, 44 FR 46814, Aug. 9, 1979; T.D. 82-
204, 47 FR 49375, Nov. 1, 1982; T.D. 02-65, 67 FR 68034, Nov. 8, 2002]
Subpart C_Sale of Unclaimed and Abandoned Merchandise
Sec. 127.21 Time of sale.
All unclaimed and abandoned merchandise will be sold at the first
regular sale held after the merchandise becomes subject to sale, unless
a deferment of its sale is authorized by the port director. Regular
sales shall be made once every year or more often at the discretion of
the port director.
[T.D. 74-114, 39 FR 12092, Apr. 3, 1974, as amended by T.D. 02-65, 67 FR
68034, Nov. 8, 2002]
Sec. 127.22 Place of sale.
The port director, in his discretion, may authorize the sale of
merchandise subject to sale (including explosives, perishable articles
and articles liable to depreciation) at any port. The consignee of any
merchandise which is to be transferred from the port where it was
imported to another port for sale, shall be notified of the transfer so
that he may have the option of making entry of the merchandise before
the transfer and sale.
[T.D. 95-77, 60 FR 50020, Sept. 27, 1995]
Sec. 127.23 Appraisement of merchandise.
Before unclaimed and abandoned merchandise is offered for sale, it
shall be appraised in accordance with sections 402 and 402a, Tariff Act
of 1930, as amended (19 U.S.C. 1401a, 1402). Such merchandise shall also
be appraised at its actual domestic value in its condition at the time
and place of examination, whether or not it has depreciated or
appreciated in value since the date of exportation. The quantity of
merchandise in each lot shall be reported.
Sec. 127.24 Notice of sale.
Notice of sale shall be sent on Customs Form 5251, 30 days prior to
the date of sale, or 30 days prior to the transfer of merchandise to the
place of sale, to the following:
(a) Importer, if known; or
(b) Consignee, if name and address can be ascertained; or
(c) Shipper, his representative or agent, if merchandise is
consigned to order or consignee cannot be ascertained; or
(d) Warehouse transferee; or
(e) Lienholder.
Sec. 127.25 Advertisement of sale.
(a) Regular advertising. Except as prescribed in Sec. 127.28 (c),
(d), and (h), and in paragraph (b) of this section, a brief notice of
the time and place of sale shall be given for three successive weeks,
immediately preceding the sale, in one newspaper of extensive
circulation published at the port where the sale is to be held. The
newspaper is to be selected by the port director and publication of the
notice shall be authorized on the standard form provided for that
purpose. The notice shall designate the place where catalogs may be
obtained and a reasonable opportunity to inspect the merchandise shall
be afforded prospective purchasers.
[[Page 888]]
(b) Where proceeds are insufficient to pay expenses and duties. If
the port director is satisfied that the proceeds of the sale will not be
sufficient to pay the expenses and duties, a written or printed notice
of the sale in lieu of the advertisement shall be conspicuously posted
in the customhouse, and, if deemed necessary, at some other proper place
for the time specified in paragraph (a) of this section.
Sec. 127.26 Catalogs.
Catalogs, if used shall specify the description of packages, the
description and quantities of their contents, the appraised value
thereof, and also the domestic value at the time and place of the
examination of the merchandise. They shall be distributed at the sale
and announcement made that the Government does not guarantee quality or
value and that no allowance will be made for any deficiency found after
sale.
Sec. 127.27 Conduct of sale.
Sales may be conducted by the port director, any employee designated
by him or by a public auctioneer.
Sec. 127.28 Special merchandise.
(a) Drugs, seeds, plants, nursery stock, and other articles required
to be inspected by the Department of Agriculture. Drugs, seeds, plants,
nursery stock, and other articles required to be inspected by the
Department of Agriculture must be inspected by a representative of the
Department of Agriculture to ascertain whether they comply with the
requirements of the law and regulations of that Department. If found not
to comply with such requirements, they shall be immediately destroyed.
(b) Pesticides and devices. Pesticides and devices intended for
trapping, destroying, repelling or mitigating any pest or any other form
of plant or animal life (other than man or other than bacteria, virus,
or other microorganism on or in living man or other living animals)
shall be inspected by a representative of the Environmental Protection
Agency to ascertain whether they comply with the requirements of the law
and regulations of that agency. If found not to comply with such
requirements, they shall be immediately destroyed.
(c) Explosives, dangerous articles, fruit, and perishables.
Unclaimed explosives and other dangerous articles, and fruit and other
perishable articles shall be sold after 3-days' public notice. When it
is probable that entry will be made at an early date for unclaimed
perishable merchandise, the port director may hold the merchandise for a
reasonable time in a bonded cold-storage warehouse if one is available.
(d) Articles liable to depreciation. Other unclaimed merchandise
shall be sold at public auction upon public notice of not less than 6 or
more than 10 days, as the port director may determine, if in his opinion
such merchandise will depreciate and sell for an amount insufficient to
pay the duties, storage, and other charges if allowed to remain in
general order for 6 months.
(e) Tobacco and tobacco products. Tobacco articles and tobacco
materials as defined in 26 U.S.C. 5702(j) and (k), may be sold for
domestic consumption only if they will bring an amount sufficient to pay
the expenses of sale as well as the internal revenue tax. If these
articles cannot be sold for domestic consumption in accordance with the
foregoing conditions, they shall be destroyed unless they can be
advantageously sold for export from continuous Customs custody or unless
the Commissioner of Customs has authorized other disposition to be made
under the law. These articles may be sold for domestic consumption even
though the proceeds of sale will not cover the duties due.
(f) Distilled spirits, wines, and malt beverages. All unclaimed and
abandoned distilled spirits, wines, and malt beverages may be sold for
domestic consumption if they will bring an amount sufficient to pay the
internal revenue tax. If they cannot be sold for domestic consumption in
accordance with the foregoing condition, they shall be destroyed unless
they can be advantageously sold for export from continuous Customs
custody or unless the Commissioner of Customs has authorized other
disposition to be made under the law. The sale must be conducted in
accordance with the alcoholic beverage
[[Page 889]]
laws of the state in which the sale is held.
(g) Other merchandise subject to internal revenue taxes. All other
unclaimed and abandoned merchandise subject to internal revenue taxes
may be sold for domestic consumption if it will bring an amount
sufficient to pay the internal revenue tax. If, in the opinion of the
port director, it is insufficient in value to justify its sale, the
merchandise shall be destroyed, unless it can be advantageously sold for
export from continuous Customs custody or unless the Commissioner of
Customs has authorized other disposition to be made under the law. These
articles may be sold for domestic consumption even though the proceeds
of sale will not cover the duties due.
(h) Unclaimed merchandise remaining on dock. Unclaimed merchandise
remaining on the dock which, in the opinion of the port director, will
not sell for enough to pay the cost of cartage and storage shall be sold
at public auction upon public notice of not less than 6 or more than 10
days.
(i) Chemical substances, mixtures, and articles containing chemical
substances or mixtures. Chemical substances, mixtures, and articles
containing a chemical substance or mixture, as these items are defined
in section 3, Toxic Substances Control Act (``TSCA'') and section 12.120
of this chapter, shall be inspected by a representative of the
Environmental Protection Agency to ascertain whether they comply with
TSCA and the regulations and orders issued thereunder. If found not to
comply with these requirements they shall be exported or otherwise
disposed of immediately in accordance with the provisions of
Sec. Sec. 12.125 through 12.127 of this chapter.
[T.D. 74-114, 39 FR 12092, Apr. 3, 1974, as amended by T.D. 83-158, 48
FR 34740, Aug. 1, 1983; T.D. 98-74, 63 FR 51290, Sept. 25, 1998; T.D.
02-65, 67 FR 68034, Nov. 8, 2002]
Sec. 127.29 Unsold merchandise.
Merchandise offered for sale but not sold shall be included in the
next regular sale of unclaimed and abandoned merchandise. If the port
director is satisfied that such merchandise is unsalable or of no
commercial value, it shall be destroyed.
Subpart D_Proceeds of Sale
Sec. 127.31 Disposition of proceeds.
From the proceeds of sale of merchandise remaining in public stores
or in bonded warehouse beyond the time fixed by law, the following
charges shall be paid in the order named:
(a) Internal revenue taxes.
(b) Expenses of advertising and sale.
(c) Expenses of cartage, storage and labor. When the proceeds are
insufficient to pay such charges fully, they shall be paid pro rata.
(For merchandise entered for warehousing, see Sec. 127.32 of this
subpart.)
(d) Duties.
(e) Any other charges due the United States in connection with the
merchandise.
(f) Any sum due to satisfy a lien for freight, charges, or
contributions in general average, of which due notice shall have been
given in the manner prescribed by law.
Sec. 127.32 Expenses of cartage, storage, and labor.
The expenses of cartage, storage, and labor for merchandise entered
for warehousing shall be paid in the following order:
(a) When such merchandise was warehoused in public stores, expenses
of storage and labor shall be paid after expenses of sale (pro-rated
when proceeds are insufficient to pay them fully) and any cartage
charges shall be paid last.
(b) When such merchandise was warehoused in a bonded warehouse,
expenses of storage, cartage, and labor shall be paid last (pro-rated
when proceeds are insufficient to pay them fully).
Sec. 127.33 Chargeable duties.
The duties chargeable on any merchandise within the purview of this
subpart shall be assessed on the appraised dutiable value at the rate of
duty chargeable at the time the merchandise became subject to sale.
Household and personal effects of the character provided for in Chapter
98, Subchapter IV, Harmonized Tariff Schedule of the United States (19
U.S.C. 1202), which belong to persons who have not arrived in this
country
[[Page 890]]
before the effects become subject to sale, are dutiable at the rates in
effect when the effects become subject to sale, even though such persons
arrive and make entry for the effects before they are sold.
[T.D. 74-114, 39 FR 12092, Apr. 3, 1974, as amended by T.D. 89-1, 53 FR
51255, Dec. 21, 1988; T.D. 97-82, 62 FR 51770, Oct. 3, 1997]
Sec. 127.34 Auctioneer's commissions.
The duties of the auctioneer shall be confined to selling the
merchandise and his charge for such service shall in no case exceed the
commissions usual at the port. Such commissions shall be based on the
amount of the successful bid.
Sec. 127.35 Presentation of accounts.
Accounts for the auctioneer's charges and all other expenses of sale
which may be properly chargeable on the merchandise shall be presented
to the port director for payment within 10 days from the date of sale.
Such expenses shall be apportioned pro rata on the amounts received for
different lots sold.
Sec. 127.36 Claim for surplus proceeds of sale.
(a) Filing of claim. Claims for the surplus proceeds of the sale of
unclaimed or abandoned merchandise shall be filed with the port director
at whose direction the merchandise was sold. The following shall be used
in filing a claim:
(1) Unclaimed merchandise. Claims for surplus proceeds of the sale
of unclaimed merchandise which has become abandoned and sold under
section 491 of the Tariff Act of 1930, as amended (19 U.S.C. 1491),
shall be supported by the original bill of lading. If only part of a
shipment is involved, either a photostatic or certified copy of the
original bill of lading may be submitted in lieu of the original bill of
lading.
(2) Involuntarily abandoned merchandise--(i) Warehouse goods deemed
abandoned. Claims for surplus proceeds of sale of warehouse goods deemed
involuntarily abandoned sold under section 559 of the Tariff Act of
1930, as amended (19 U.S.C. 1559), shall be established by reference to
the warehouse entry, or, if the right to withdraw the merchandise from
warehouse has been transferred, by reference to the documents by which
the transfer was made.
(ii) Trade fair articles deemed abandoned. Claims for surplus
proceeds of sale of trade fair articles deemed involuntarily
(mandatorily) abandoned under section 4 of the Trade Fair Act of 1959
(19 U.S.C. 1753(c)), shall be supported by the original bill of lading.
If only part of a shipment is involved, either a photostatic copy or
certified copy of the original bill of lading may be submitted in lieu
of the original bill of lading. (See Sec. 147.47 of this chapter.)
(b) Payment of claim. If a claim of the owner or consignee of
unclaimed or abandoned merchandise for the surplus proceeds of sale is
properly established as provided in this section, such proceeds of sale
shall be paid to him pursuant to section 493 of the Tariff Act of 1930,
as amended (19 U.S.C. 1493).
(c) Doubtful claims. Any doubtful claims for the proceeds of sale
along with all pertinent documents and information available to the port
director shall be forwarded to the Commissioner of Customs for
instructions or for referral to the General Accounting Office for direct
settlement.
Sec. 127.37 Insufficient proceeds.
(a) Warehouse merchandise deemed involuntarily abandoned. If the
proceeds of sale of warehouse merchandise deemed involuntarily abandoned
are insufficient to pay the duties after payment of all charges having
priority, the deficiency shall be collected under the bond for the
importation and entry of merchandise on Customs Form 301, containing the
bond conditions set forth in Sec. 113.62 of this chapter.
(b) Unclaimed merchandise and trade fair articles involuntarily
abandoned. If the proceeds of sale of unclaimed merchandise or trade
fair articles involuntarily abandoned are insufficient to pay the
charges and duties, the consignee shall be liable for the deficiency
unless the merchandise was shipped to him without his consent. If no
entry for the merchandise has been filed, and no other attempt to
control the merchandise has been made, the merchandise shall be regarded
as shipped to the consignee without his consent and no
[[Page 891]]
effort shall be made to collect any deficiency of duties or charges from
such consignee.
[T.D. 74-114, 39 FR 12092, Apr. 3, 1974, as amended by T.D. 84-213, 49
FR 41183, Oct. 19, 1984]
Subpart E_Title to Unclaimed and Abandoned Merchandise Vesting in
Government
Source: T.D. 02-65, 67 FR 68034, Nov. 8, 2002, unless otherwise
noted.
Sec. 127.41 Government title to unclaimed and abandoned merchandise.
(a) Vesting of title in Government. At the end of the 6-month period
noted in Sec. 127.11 of this part, at which time merchandise having thus
remained in Customs custody is considered as unclaimed and abandoned,
the port director, with the concurrence of the Assistant Commissioner,
Office of Field Operations, may, in lieu of sale of the merchandise as
provided in subpart C of this part, provide notice to all known
interested parties under paragraph (b) of this section that the title to
such merchandise will be considered as vesting in the United States,
free and clear of any liens or encumbrances, as of the 30th day after
the date of the notice unless, before the 30th day, the merchandise is
entered or withdrawn for consumption and all duties, taxes, fees,
transfer and storage charges, and any other expenses that may have
accrued on the merchandise are paid.
(b) Notice to known interested parties. Notice that the title to
unclaimed and abandoned merchandise will vest in the United States, as
described in paragraph (a) of this section, will be sent to the
following parties on Customs Form (CF) 5251, appropriately modified, or
other similar Customs document as designated by the port director or an
electronic equivalent as authorized by Customs:
(1) Importer, if known;
(2) Consignee, if name and address can be ascertained;
(3) Shipper, or the shipper's representative or agent, if
merchandise is consigned to order or the consignee cannot be
ascertained; and
(4) Any other known interested parties.
(c) Appraisement of merchandise. Before title to unclaimed and
abandoned merchandise is vested in the United States, the merchandise
will be appraised in accordance with section 402, Tariff Act of 1930, as
amended (19 U.S.C. 1401a).
Sec. 127.42 Disposition of merchandise owned by Government.
(a) Disposition. If title to any unclaimed and abandoned merchandise
vests in the United States under Sec. 127.41, the merchandise may be
retained by Customs for its official use, or in Customs discretion, the
merchandise may be transferred to any other Federal, state or local
agency, destroyed or disposed of otherwise.
(b) Payment of charges and expenses. All transfer and storage
charges or expenses accruing on retained or transferred merchandise will
be paid by the receiving agency. Such transfer and storage charges or
expenses will include those accruing with respect to the merchandise
while subject to general order.
Sec. 127.43 Petition of party for surplus proceeds had merchandise been
sold.
(a) Filing of petition. Under section 491(d), Tariff Act of 1930, as
amended (19 U.S.C. 1491(d)), any party who can satisfactorily establish
title to or a substantial interest in unclaimed and abandoned
merchandise, the title to which has vested in the United States, may
file a petition for the amount that would have been payable to the party
had the merchandise been sold and a proper claim made under section 493,
Tariff Act of 1930, as amended (19 U.S.C. 1493).
(b) When and with whom filed. The petition may be filed with the
port director at whose direction the title to the merchandise was vested
in the United States. If the party received notice under Sec. 127.41(b),
the petition must be filed within 30 calendar days after the day on
which title vested in the United States. If the party can satisfactorily
establish that such notice was not received, the party must file the
petition within 30 calendar days of learning of
[[Page 892]]
the vesting but not later than 90 calendar days from the vesting.
(c) Evidence required. The petition must show the party's title to
or interest in the merchandise, and be supported, as appropriate, with
the original bill of lading, bill of sale, contract, mortgage, or other
satisfactory documentary evidence, or a certified copy of the foregoing.
Also, if applicable, the petition must be supported by satisfactoryproof
that the petitioner did not receive notice that title to the merchandise
would vest in the United States and was in such circumstances as
prevented the receipt of notice.
(d) Payment of claim. If the claim of the owner, consignee, or other
party having title to or a substantial interest in the merchandise, is
properly established as provided in this section, the party may be paid
out of the Treasury of the United States the amount that it is believed
the party would have received under 19 U.S.C. 1493 had the merchandise
been sold and a proper claim for the surplus of the proceeds of sale
been made under that provision (see Sec. 127.36 of this part). In
determining the amount that may have been payable under 19 U.S.C. 1493,
given that the merchandise was not in fact sold at public auction under
19 U.S.C. 1491(a), the appraisement of the merchandise, as provided in
Sec. 127.41(c), will be taken into consideration. By virtue of the
authority delegated to the port director in this matter, any payment
made as provided under this paragraph in connection with the filing of a
petition under paragraph (b) of this section will be final and
conclusive on all parties.
(e) Doubtful claim. Any doubtful claim for payment along with all
pertinent documents and information available to the port director will
be forwarded to the Assistant Commissioner, Office of Administration,
for instructions. The decision of the Assistant Commissioner, Office of
Administration, with respect to any petition filed under this section
will be final and conclusive on all parties.
[T.D. 02-65, 67 FR 68034, Nov. 8, 2002, as amended by CBP Dec. 12-21, 77
FR 73309, Dec. 10, 2012]
PART 128_EXPRESS CONSIGNMENTS
Sec.
128.0 Scope.
Subpart A_General
128.1 Definitions.
Subpart B_Administration
128.11 Express consignment carrier application process.
128.12 Application approval/denial and suspension of operating
privileges.
128.13 Application processing fee.
Subpart C_Procedures
128.21 Manifest requirements.
128.22 Bonds.
128.23 Entry requirements.
128.24 Informal entry procedures.
128.25 Formal entry procedures.
Authority: 19 U.S.C. 58c, 66, 1202 (General Note 3(i), Harmonized
Tariff Schedule of the United States), 1321, 1484, 1498, 1551, 1555,
1556, 1565, 1624.
Source: T.D. 89-53, 54 FR 19566, May 8, 1989, unless otherwise
noted.
Sec. 128.0 Scope.
This part sets forth requirements and procedures for the clearance
of imported merchandise carried by express consignment operators and
carriers, including couriers, under special procedures.
Subpart A_General
Sec. 128.1 Definitions.
For the purpose of this part the following definitions shall apply:
(a) Express consignment operator or carrier. An ``express
consignment operator or carrier'' is an entity operating in any mode or
intermodally moving cargo by special express commercial service under
closely integrated administrative control. Its services are offered to
the public under advertised, reliable timely delivery on a door-to-door
basis. An express consignment operator assumes liability to Customs for
the articles in the same manner as if it is the sole carrier.
(b) Cargo. ``Cargo'' means any and all shipments imported into the
Customs
[[Page 893]]
territory of the United States by an express consignment operator or
carrier whether manifested, accompanied, or unaccompanied.
(c) Courier shipment. A ``courier shipment'' is an accompanied
express consignment shipment.
(d) Hub. A ``hub'' is a separate, unique, single purpose facility
normally operating outside of Customs operating hours approved by the
port director for entry filing, examination, and release of express
consignment shipments.
(e) Express consignment carrier facility. An ``express consignment
carrier facility'' is a separate or shared specialized facility approved
by the port director solely for the examination and release of express
consignment shipments.
(f) Closely integrated administrative control. The term ``closely
integrated administrative control'' means operations must be
sufficiently integrated at both ends of the service (i.e., pick-up and
delivery) so that the express consignment company can exercise a high
degree of control over the shipments, particularly in regard to the
reliability of information supplied for Customs purposes. Such control
would be indicated by substantial common ownership between the local
company and the foreign affiliate and/or by a very close contractual
relationship between the local company and its foreign affiliate(s)
(e.g., a franchise arrangement).
(g) Reimbursable. ``Reimbursable'' means all normal costs incurred
at an express consignment operator's hub or an express consignment
carrier facility that are required to be reimbursed to the Government.
Subpart B_Administration
Sec. 128.11 Express consignment carrier application process.
(a) Facility application. Requests for approval of an express
consignment carrier or hub facility must be in writing to the port
director.
(b) Application contents. The application for approval of an express
consignment carrier or hub facility must include the following:
(1) A full description of the international cargo facilities,
including blueprints, floor plans and facility location(s).
(2) A statement of the general character of the express consignment
operations that includes, in the case of an express consignment carrier
facility, a list of all carriers or operators that intend to use the
facility.
(3) An estimate of volume of transactions by:
(i) Formal entries.
(ii) Informal entries.
(iii) Shipments not requiring entry (see Sec. 128.23 of this part).
(4) An application processing fee, as set forth in Sec. 128.13.
(5) A list of principal company officials or officers.
(6) A projected start-up date, and days and hours of operation.
(7) An agreement that the express consignment entity will:
(i) Ensure that all cargo will be processed in the Customs Automated
Commercial System (ACS) and associated modules, including, but not
limited to, Automated Broker Interface (ABI), Automated Manifest System
(AMS), Cargo Selectivity, and Statement Processing.
(ii) Sign and implement a narcotics enforcement agreement with U.S.
Immigration and Customs Enforcement (ICE).
(iii) Provide, without cost to the Government, adequate office
space, equipment, furnishings, supplies and security as per CBP's
specifications.
(iv) If the entity is an express consignment carrier facility,
provide to Customs and Border Protection, Revenue Division/Attention:
Reimbursables, 6650 Telecom Drive, Suite 100, Indianapolis, Indiana
46278, at the beginning of each calendar quarter, a list of all carriers
or operators currently using the facility and notify that office
whenever a new carrier or operator begins to use the facility or
whenever a carrier or operator ceases to use the facility.
(v) If the entity is a hub facility or an express consignment
carrier, timely pay all applicable processing fees prescribed in
Sec. 24.23 of this chapter.
(c) Changes or alterations to facility. All proposed changes or
alterations to an existing approved international
[[Page 894]]
cargo processing facility must be submitted in writing to the port
director for approval prior to the implementation thereof and must
contain the information specified in paragraph (b) of this section.
Failure to obtain CBP approval by an express consignment operator or
carrier for any modifications to the international cargo processing area
may result in the suspension of approval as an express consignment
facility or hub and the procedures for processing cargo contained in
this part.
[T.D. 89-53, 54 FR 19566, May 8, 1989, as amended by T.D. 93-66, 58 FR
44130, Aug. 19, 1993; CBP.Dec. 07-29, 72 FR 31725, June 8, 2007]
Sec. 128.12 Application approval/denial and suspension of operating
privileges.
(a) Notice. (1) The port director shall promptly notify the
applicant in writing of the decision to approve or deny the application
to establish an express consignment carrier or hub facility or to
suspend or revoke operating privileges at an existing facility.
(2) The notice shall specifically state the grounds for denial or
for the proposed suspension or revocation.
(b) Appeal. The express consignment entity may file a written notice
of appeal seeking review of the denial or proposed suspension or
revocation within 30 days after notification.
(c) Recommendation. The port director shall consider the allegations
and responses in the appeal unless, in the case of a suspension or
revocation, the express consignment entity requests a hearing. The
appeal along with the port director's recommendation shall be forwarded
to the Commissioner of Customs or his designee for a final
administrative decision.
(d) Hearing. In the case of a proposed suspension or revocation, a
hearing may be requested within 30 days after notification. If a hearing
is requested, it shall be held before a hearing officer appointed by the
Commissioner of Customs or his designee within 30 days following the
express consignment entity's request. The entity shall be notified of
the time and place of the hearing at least 5 days prior thereto. The
express consignment entity may be represented by counsel at such
hearing, and all evidence and testimony of witnesses in such
proceedings, including substantiation of the allegations and the
responses thereto shall be presented, with the right of cross-
examination to both parties. A stenographic record of any such
proceeding shall be made and a copy thereof shall be delivered to the
express consignment entity. At the conclusion of the hearing, all papers
and the stenographic record of the hearing shall promptly be transmitted
to the Commissioner of Customs or his designee together with a
recommendation for final action. The express consignment entity may
submit in writing additional views or arguments to the Commissioner or
his designee following a hearing on the basis of the stenographic
record, within 10 days after delivery to it of a copy of such record.
The Commissioner or his designee shall thereafter render the decision in
writing, stating the reasons therefor. Such decision shall be served on
the express consignment entity, and shall be considered the final
administrative action.
Sec. 128.13 Application processing fee.
Each operator of an express consignment hub or carrier facility will
be charged a fee to establish, alter, or relocate such facility which
shall be determined under the provisions of 31 U.S.C. 9701. The fee will
be periodically reviewed and revised to reflect changes in processing
expenses and any changes thereto will be published in the Federal
Register and ``Customs Bulletin''.
Subpart C_Procedures
Sec. 128.21 Manifest requirements.
(a) Additional information. Express consignment operators and
carriers shall provide the following manifest information in advance of
the arrival of all cargo, including all articles for which an entry is
not required as noted in Sec. 128.23 (which shall be listed separately
and their entry status noted), in addition to the information and
documents otherwise required by this chapter:
(1) Country of origin of the merchandise.
(2) Shipper name, address and country.
[[Page 895]]
(3) Ultimate consignee name and address.
(4) Specific description of the merchandise, and under the following
conditions, the Harmonized Tariff Schedule of the United States (HTSUS)
subheading number:
(i) If the merchandise is required to be formally entered as
provided in Sec. 128.25; or
(ii) If the merchandise is eligible for, and is entered under, the
informal entry procedures as provided in Sec. 128.24, but may not be
passed free of duty and tax as consisting of a shipment of merchandise
imported by one person on one day having a fair retail value in the
country of shipment not exceeding $200, as provided in Sec. 128.24(e).
(5) Quantity.
(6) Shipping weight.
(7) Value.
(b) Sorting of cargo. If the shipments are physically sorted by
country of origin of the merchandise when they arrive at the hub or
express consignment facility and are presented to Customs in this
manner, the advance manifest information shall also be provided with the
merchandise segregated by country of origin.
[T.D. 89-53, 54 FR 19566, May 8, 1989, as amended by T.D. 94-51, 59 FR
30294, June 13, 1994]
Sec. 128.22 Bonds.
Each express consignment operator or carrier must be recognized by
Customs as an international carrier and approved as a carrier of bonded
merchandise, and shall file bonds on Customs Form 301, containing the
bond conditions set forth in Sec. Sec. 113.62, 113.63, 113.64 and 113.66
of this chapter, to insure compliance with Customs requirements relating
to the importation and entry of merchandise as well as the carriage and
custody of merchandise under Customs control.
Sec. 128.23 Entry requirements.
(a) General rule. Except as provided in paragraph (c) of this
section, all articles carried by an express consignment entity shall be
entered by a person with the right to file entry.
(b) Procedures--(1) General. All express consignment entities
utilizing the procedures in this part shall comply with the requirements
of the Customs Automated Commercial System (ACS). These requirements
include those under the Automated Manifest System (AMS), Cargo
Selectivity, Statement Processing, the Automated Broker Interface System
(ABI), and enhancements of ACS.
(2) Entry number. All entry numbers must be furnished to Customs in
a Customs approved bar coded readable format in order to assist in the
processing of express consignment cargo under the Customs Automated
Commercial System (ACS).
(3) Paper entry document waiver. The port director is authorized, at
the time of entry, to accept the appropriate electronic equivalent in
lieu of entry documents for those entries designated as not requiring
examination or review when the advance manifest requirements of
Sec. 128.21(a) of this part have been met.
(c) Exception. Articles specifically exempt from entry by
Sec. 141.4(b) of this chapter need not satisfy the general rule as set
forth in paragraph (a) of this section.
[T.D. 94-51, 59 FR 30294, June 13, 1994]
Sec. 128.24 Informal entry procedures.
(a) Eligibility. Informal entry procedures may generally be used for
shipments not exceeding $2,500 in value which are imported by express
consignment operators and carriers. Individual shipments valued at
$2,500 or less may be consolidated on one entry. Such procedures,
however, may not be used for prohibited or restricted merchandise,
merchandise which is subject to a quota or other quantitative
restraints, or for any articles precluded from informal entry procedures
by virtue of section 498, Tariff Act of 1930, as amended, (19 U.S.C.
1498).
(b) Procedures. CBP Form 3461, appropriately modified to cover all
importations under the special procedures contained in this part, must
be submitted prior to the commencement of hub or express consignment
carrier facility operations. The party who may make entry under
Sec. 143.26 of this chapter may submit a copy of the invoice or the
advance manifest as described in Sec. 128.21 in lieu of other control
documents.
[[Page 896]]
(c) Alternative procedure. The party who may make entry under
Sec. 143.26 of this chapter may be required to submit an individual CBP
Form 3461 covering the eligible shipments on a daily basis or by flight
basis. Commercial invoices or advance manifests must be attached to the
CBP Form 3461 which will contain the entry number and such other
information deemed necessary by the port director. A notation must be
placed on the CBP Form 3461 that the entry covers multiple shipments.
(d) Entry summary. An entry summary (CBP Form 7501) must be
presented in proper form, and estimated duties deposited within 10 days
of the release of the merchandise under either the regular or
alternative procedure described in this section. However, see paragraph
(e) of this section if the shipment is valued at $200 or less.
(e) Shipments valued at $200 or less. Shipments valued at $200 or
less meeting the requirements of Sec. 10.151 of this chapter will be
passed free of duty and tax. Such shipments must be segregated on the
manifest from shipments valued at more than $200 if an advance manifest
is used as the entry document, as provided for in Sec. 128.21. If such
an advance manifest is used as the entry document, the following are not
required to be provided for shipments qualifying under this paragraph:
(1) The Harmonized Tariff Schedule of the United States (HTSUS)
subheading number (see Sec. 128.21(a)(4)); and
(2) An entry summary (see paragraph (d) of this section).
[T.D. 89-53, 54 FR 19566, May 8, 1989, as amended by T.D. 94-51, 59 FR
30294, June 13, 1994; T.D. 95-31, 60 FR 18991, Apr. 14, 1995; T.D. 98-
28, 63 FR 16417, Apr. 3, 1998; 77 FR 72720, Dec. 6, 2012]
Sec. 128.25 Formal entry procedures.
Formal entry, as provided for under 19 U.S.C. 1484 in parts 141,
142, and 143 (except for subpart C), of this chapter, is required for
all shipments exceeding the monetary limitation for informal entry (see
Sec. 128.24) and any shipment for which the informal entry procedures
may not be used (see Sec. 128.24).
[T.D. 94-51, 59 FR 30295, June 13, 1994]
PART 132_QUOTAS
Sec.
132.0 Scope.
Subpart A_General Provisions
132.1 Definitions.
132.2 Enactment and administration of quotas.
132.3 Observation of official hours.
132.4 Quota quantity entry limits.
132.5 Merchandise imported in excess of quota quantities.
132.6 Exception to reduced rates.
Subpart B_Administration of Quotas
132.11 Quota priority and status.
132.11a Time of presentation.
132.12 Procedure on opening of potentially filled quotas.
132.13 Quotas after opening.
132.14 Special permits for immediate delivery; entry of merchandise
before presenting entry summary for consumption; permits of
delivery.
132.15 Export certificate for beef subject to tariff-rate quota.
132.16 [Reserved]
132.17 Export certificate for sugar-containing products subject to
tariff-rate quota.
132.18 License for certain worsted wool fabric subject to tariff-rate
quota.
Subpart C_Mail Importation of Absolute Quota Merchandise
132.21 Regulations applicable.
132.22 When quota is filled.
132.23 Partial release procedure.
132.24 Entry.
132.25 Undeliverable shipment.
Authority: 19 U.S.C. 66, 1202 (General Note 3(i), Harmonized Tariff
Schedule of the United States (HTSUS)), 1623, 1624.
Sections 132.15, 132.17, and 132.18 also issued under 19 U.S.C. 1202
(additional U.S. Note 3 to Chapter 2, HTSUS; additional U.S. Note 8 to
Chapter 17, HTSUS; and subchapter II of Chapter 99, HTSUS,
respectively), 1484, 1508.
Source: T.D. 73-203, 38 FR 20230, July 30, 1973, unless otherwise
noted.
Sec. 132.0 Scope.
This part sets forth rules and procedures applicable to quotas
administered by Headquarters, U.S. Customs Service.
[[Page 897]]
Subpart A_General Provisions
Sec. 132.1 Definitions.
When used in this part, the following terms shall have the meaning
indicated:
(a) Absolute (or quantitative) quotas. ``Absolute (or quantitative)
quotas'' are those which permit a limited number of units of specified
merchandise to be entered or withdrawn for consumption during specified
periods. Once the quantity permitted under the quota is filled, no
further entries or withdrawals for consumption of merchandise subject to
quota are permitted. Some absolute quotas limit the entry or withdrawal
of merchandise from particular countries (geographic quotas) while
others are global quotas and limit the entry or withdrawal of
merchandise not by source but by total quantity.
(b) Tariff-rate quotas. ``Tariff-rate quotas'' permit a specified
quantity of merchandise to be entered or withdrawn for consumption at a
reduced duty rate during a specified period.
(c) [Reserved]
(d) Presentation. ``Presentation'' is the delivery in proper form to
the appropriate Customs officer of:
(1) An entry summary for consumption, which shall serve as both the
entry and the entry summary, with estimated duties attached (see
Sec. 141.0a(b)); or
(2) An entry summary for consumption, which shall serve as both the
entry and the entry summary, without estimated duties attached, if the
entry/entry summary information and a valid scheduled statement date
(pursuant to Sec. 24.25 of this chapter) have been successfully received
by Customs via the Automated Broker Interface; or
(3) A withdrawal for consumption with estimated duties attached.
(e) Quota-class merchandise. ``Quota-class merchandise'' is any
imported merchandise subject to limitations under an absolute or a
tariff-rate quota.
(f) Quota priority. ``Quota priority'' is the precedence granted to
one entry or withdrawal for consumption of quota-class merchandise over
other entries or withdrawals of merchandise subject to the same quota.
(g) Quota status. ``Quota status'' is the standing which entitles
quota-class merchandise to admission under an absolute quota, or to a
reduced rate of duty under a tariff-rate quota, or to any other quota
benefit.
[T.D. 73-203, 38 FR 20230, July 30, 1973, as amended by T.D. 79-221, 44
FR 46814, Aug. 9, 1979; T.D. 89-104, 54 FR 50498, Dec. 7, 1989]
Sec. 132.2 Enactment and administration of quotas.
(a) Enactment. Tariff-rate quotas and absolute quotas are
established by Presidential proclamations, Executive orders, and
legislative enactments. These documents are published in the Customs
Bulletin.
(b) Administration. Quotas vary by the type of commodity involved,
the country of exportation, the period or periods the quota is open and
the type of quota. Quotas are divided into two categories: Quotas
administered directly by Headquarters, U.S. Customs Service, and quotas
administered by other agencies which are enforced by Headquarters, U.S.
Customs Service, and which may require special procedures or special
documentation in accordance with the regulations and directives of the
particular agency involved.
(c) Strict construction employed. The terms of a Presidential
proclamation, Executive order, or legislative enactment establishing a
quota, and the regulations implementing the quota, must be strictly
complied with.
Sec. 132.3 Observation of official hours.
An entry summary for consumption or a withdrawal for consumption for
quota-class merchandise shall be presented only during official office
hours, except as provided in Sec. Sec. 132.12 and 141.62(b) of this
chapter. For purposes of administering quotas, ``official office hours''
shall mean 8:30 a.m. to 4:30 p.m. in all time zones.
[T.D. 79-221, 44 FR 46814, Aug. 9, 1979]
Sec. 132.4 Quota quantity entry limits.
At the opening of the quota no importer shall be permitted to
present entries or withdrawals for consumption of quota-class
merchandise for a quantity in excess of the quantity admissible under
the applicable quota.
[[Page 898]]
Sec. 132.5 Merchandise imported in excess of quota quantities.
(a) Absolute quota merchandise. Absolute quota merchandise imported
in excess of the quantity admissible under the applicable quota must be
disposed of in accordance with paragraph (c) of this section.
(b) Tariff-rate quota merchandise. Merchandise imported in excess of
the quantity admissible at the reduced quota rate under a tariff-rate
quota is permitted entry at the higher duty rate. However, it may be
disposed of in accordance with paragraph (c) of this section.
(c) Disposition of excess merchandise. Merchandise imported in
excess of either an absolute or a tariff-rate quota may be held for the
opening of the next quota period by placing it in a foreign-trade zone
or by entering it for warehouse, or it may be exported or destroyed
under Customs supervision.
Sec. 132.6 Exception to reduced rates.
Reduced or modified duty rates under tariff-rate quotas established
pursuant to section 350 of the Tariff Act of 1930, as amended and
extended (19 U.S.C. 1351), are not applicable to products imported
directly or indirectly from the countries or areas listed under General
Note 3(b), Harmonized Tariff Schedule of the United States (19 U.S.C.
1202).
[T.D. 73-203, 53 FR 20230, July 30, 1973, as amended by T.D. 89-1, 53 FR
51255, Dec. 21, 1988; T.D. 90-78, 55 FR 40166, Oct. 2, 1990]
Subpart B_Administration of Quotas
Sec. 132.11 Quota priority and status.
(a) Determination of quota priority and status. Quota priority and
status are determined as of the time of presentation of the entry
summary for consumption, or withdrawal for consumption, in proper form
in accordance with Sec. 132.1(d).
(b) Documentation and deposit of duties in proper form required.
Merchandise covered by an entry summary for consumption, which serves as
both the entry and entry summary, or by a withdrawal for consumption,
shall be regarded as entered for purposes of quota priority and shall
acquire quota status if:
(1) The entry summary or withdrawal for consumption is in proper
form, and duties have been attached to the entry summary or withdrawal
for consumption in proper form; or
(2) The entry summary for consumption is in proper form, and the
entry/entry summary information and a valid scheduled statement date
(pursuant to Sec. 24.25 of this chapter) have been successfully received
by Customs via the Automated Broker Interface.
See Sec. Sec. 141.4, 141.63, 141.68, 141.69, and 141.101 of this
chapter.
(c) Informal entries. Mail entries or informal entries shall be
regarded as presented for purposes of quota priority when all
requirements have been met for the preparation of such an entry.
(d) Premature presentation of entry or withdrawal. Quota status will
not attach to merchandise in a quota period by reason of the
presentation of an entry or withdrawal for consumption at any time prior
to the opening of that period.
[T.D. 73-203, 38 FR 20230, July 30, 1973, as amended by T.D. 79-221, 44
FR 46814, Aug. 9, 1979; T.D. 89-104, 54 FR 50498, Dec. 7, 1989]
Sec. 132.11a Time of presentation.
(a) General rule. Except as provided in paragraph (b) of this
section, the time of presentation of an entry/entry summary for quota
purposes shall be the time of delivery in proper form of:
(1) An entry summary for consumption, which serves as both the entry
and the entry summary, with estimated duties attached; or
(2) An entry summary for consumption, which shall serve as both the
entry and the entry summary without estimated duties attached, if the
entry/entry summary information and a valid scheduled statement date
have been successfully received by Customs via the Automated Broker
Interface (see Sec. 132.1(d)(2); payment must be subsequently made by
the statement processing method as set forth in Sec. 24.25 of this
chapter); or
(3) A withdrawal for consumption with estimated duties attached.
(b) Before arrival of merchandise. The entry summary for
consumption, without estimated duties attached, may be
[[Page 899]]
submitted for preliminary review before the merchandise arrives within
the limits of the port where entry is to be made. In that case, the time
of presentation of the entry summary for consumption shall be the time
estimated duties are deposited after the importing carrier arrives
within the port limits.
(c) Failure to use statement processing method. If presentation is
chosen to be made pursuant to Sec. 132.11a(a)(2) and payment is not made
as required through the statement processing method, the port director
may require filing of an entry summary for consumption with estimated
duties attached as described in Sec. 132.11(a)(1) for future filings.
[T.D. 79-221, 44 FR 46814, Aug. 9, 1979, as amended by T.D. 89-104, 54
FR 50498, Dec. 7, 1989]
Sec. 132.12 Procedure on opening of potentially filled quotas.
(a) Preliminary review before opening. When it is anticipated that a
quota will be filled at the opening of the quota period, entry summaries
for consumption, or withdrawals for consumption, with estimated duties
attached, shall not be presented before 12 noon Eastern Standard Time in
all time zones. However, an entry summary for consumption, or withdrawal
for consumption, for merchandise which has arrived within the Customs
territory of the United States may be submitted for preliminary review
without deposit of estimated duties within a time period before the
opening approved by the port director. Submission of these documents
before opening will not accord the merchandise quota priority or status.
(b) Simultaneous presentation. Special arrangements shall be made so
that all entry summaries for consumption, or withdrawals for
consumption, for quota merchandise may be presented at the exact moment
of the opening of the quota in all time zones. All importers prepared to
present entry summaries for consumption, or withdrawals for consumption,
when the quota opens shall be given equal opportunity to do so. All
entry summaries for consumption, or withdrawals for consumption,
presented in proper form (including those submitted for review before
opening of the quota period if accompanied by the deposit of estimated
duties) shall be considered to have been presented simultaneously.
(c) Proration of quantities. (1) The quantities on all entry
summaries for consumption, or withdrawals for consumption, submitted
simultaneously shall be prorated by Headquarters against the quota
quantity admissible to determine the percentage to be allocated to each
importer under the quota. Merchandise in excess of the quota shall be
disposed of in accordance with Sec. 132.5.
(2) In the event a quota is prorated, entry summaries for
consumption, or withdrawals for consumption, with estimated duties
attached, shall be returned to the importer for adjustment. The time of
presentation for quota purposes, in that event, shall be the exact
moment of the opening of the quota provided:
(i) An adjusted entry summary for consumption, or withdrawal for
consumption, with estimated duties attached, is deposited within 5
working days after Headquarters authorizes release of the merchandise,
and
(ii) The importer takes delivery of the merchandise within 15
working days after release is authorized.
[T.D. 79-221, 44 FR 46814, Aug. 9, 1979]
Sec. 132.13 Quotas after opening.
(a) Procedure when nearing fulfillment. To secure for each importer
the rightful quota priority and status for his quota-class merchandise,
and to close the quota simultaneously at all ports of entry:
(1) For release of merchandise--(i) Tariff-rate. When instructed by
Headquarters, the port director shall require an importer to present an
entry summary for consumption, with estimated duties attached, at the
over-quota rate of duty until Headquarters has determined the quantity,
if any of the merchandise entitled to the quota rate. If any of the
merchandise entered at the over-quota rate is entitled to the quota
rate, Customs shall amend the entry summary and refund to the importer
any excess duties paid. This section does not prohibit an importer
[[Page 900]]
from obtaining release of the merchandise under the immediate delivery
procedure. If an importer desires to enter only that quantity entitled
to the quota rate, he may request that the merchandise not be released
from Customs custody until Headquarters has determined the quantity
entitled to the quota rate.
(ii) Absolute. Except as provided for in Sec. 142.21 (e)(2) and (g)
of this chapter, absolute quota merchandise shall not be released under
the immediate delivery procedure. An entry summary for consumption, with
estimated duties attached, setting forth the quantity desired to be
entered, shall be presented. However, the merchandise shall not be
released until Customs has determined the quantity entitled to absolute
quota status and priority.
(iii) Quota Proration. When it is determined that entry summaries
for consumption or withdrawals for consumption must be amended to permit
only the quantity of tariff-rate and absolute quota merchandise
determined to be within the quota, the entry summaries for consumption
or withdrawals for consumption must be returned to the importer for
adjustment. The time of presentation for quota purposes in that event
shall be the same as the time of the initial presentation of the entry
summaries for consumption or withdrawals for consumption provided:
(A) An adjusted entry summary for consumption, or withdrawals for
consumption, with estimated duties attached, is deposited within 5
working days after Headquarters authorizes release of the merchandise,
and
(B) The importer takes delivery of the merchandise within 15 working
days after release is authorized.
(2) Report of time of presentation. The date, hour and minute that
an entry summary for consumption or withdrawal for consumption is
presented at a port of entry must be indicated on the document by a
method deemed acceptable by Customs. The appropriate Customs officer
shall report this information to Headquarters.
(b) Closing of the quota. Except as provided by Sec. 132.12, at the
closing of a quota all entries or withdrawals for consumption which have
acquired quota status due to priority of presentation shall be entitled
to quota benefits. All other entries or withdrawals are without quota
status and are not entitled to any quota benefits. All the latter shall
be disposed of in accordance with Sec. 132.5.
[T.D. 73-203, 38 FR 20230, July 30, 1973, as amended by T.D. 79-221, 44
FR 46815, Aug. 9, 1979; T.D. 80-26, 45 FR 3901, Jan. 21, 1980; T.D. 81-
260, 46 FR 49841, Oct. 8, 1981; T.D. 88-27, 53 FR 19897, June 1, 1988]
Sec. 132.14 Special permits for immediate delivery; entry of
merchandise before presenting entry summary for consumption;
permits of delivery.
(a) Effect of issuance of special permit for immediate delivery or
filing entry documentation before presentation of entry summary--(1)
Requirements for release. Quota-class merchandise shall not be released
upon filing entry documentation before the proper presentation of an
entry summary for consumption, or a withdrawal for consumption, pursuant
to Sec. 132.1 of this part. However, quota-class merchandise may be
released under a special permit for immediate delivery in accordance
with Sec. 142.21(e) of this chapter.
(2) Effect of release under immediate delivery. Release of quota-
class merchandise under a special permit for immediate delivery before
proper presentation of an entry summary for consumption, or a withdrawal
for consumption, pursuant to Sec. 132.1 of this part, shall not accord
merchandise any quota priority or status or entitle it to any other
quota benefit.
(3) Effect of inadvertent release. Inadvertent release under a
special permit for immediate delivery, or upon filing entry
documentation, before proper presentation of an entry summary for
consumption, or a withdrawal for consumption, pursuant to Sec. 132.1 of
this part, shall not accord the merchandise any quota priority or status
or entitle it to any other quota benefit.
(4) Procedures following inadvertent release--(i) Quota nearing
fulfillment. If quota-class merchandise is released inadvertently under
a special permit for immediate delivery, or under entry documentation,
before the proper presentation of an entry summary for consumption, or a
withdrawal for consumption, pursuant to Sec. 132.1 of this
[[Page 901]]
part, and the quota is nearing fulfillment:
(A) The port director may demand the return to Customs custody of
the released merchandise in accordance with Sec. 141.113 of this
chapter;
(B) The port director shall require the timely presentation of the
entry summary for consumption, or a withdrawal for consumption, with the
estimated duties attached;
(C) The port director may assess liquidated damages under the bond
on Customs Form 301, containing the basic importation and entry bond
conditions set forth in Sec. 113.62 of this chapter in an amount equal
to the value of the merchandise, plus estimated duties (computed at the
over-quota rate for tariff-rate quota merchandise), if the merchandise
is (1) released before presentation of an entry summary for consumption
or a withdrawal for consumption, with estimated duties attached; (2) the
merchandise is not returned to Customs custody within 30 days from the
date of demand for redelivery; or (3) the entry summary for consumption,
or the withdrawal for consumption, with estimated duties attached, is
not presented timely; and
(D) The Fines, Penalties, and Forfeitures Officer may cancel the
claim for liquidated damages if he is satisfied by the evidence that
release was due to causes wholly beyond the control of the importer,
that no act or omission on the part of the importer formed the basis for
the release, and that there was no intent on the part of the importer to
evade any law or regulation. The port director also may cancel the claim
for liquidated damages if the merchandise is redelivered to Customs
custody within 30 days from the date of the demand, or if the entry
summary for consumption, or withdrawal for consumption, with estimated
duties attached, is presented timely.
(ii) Quota not nearing fulfillment. If quota-class merchandise is
released inadvertently under a special permit for immediate delivery, or
under entry documentation, before the proper presentation of an entry
summary for consumption, or a withdrawal for consumption, pursuant to
Sec. 132.1 of this part, and the quota is not nearing fulfillment:
(A) The port director shall require the timely presentation of the
entry summary for consumption, or a withdrawal for consumption, with
estimated duties attached;
(B) The port director may assess liquidated damages under the bond
on Customs Form 301, containing the basic importation and entry bond
conditions set forth in Sec. 113.62 of this chapter in an amount equal
to the value of the merchandise, plus estimated duties (computed at the
over quota-rate for tariff-rate quota merchandise), if the merchandise
is:
(1) Released before presentation of an entry summary for
consumption, or a withdrawal for consumption, with estimated duties
attached; or
(2) If the entry summary for consumption, or the withdrawal for
consumption with estimated duties attached, is not presented timely; and
(C) The Fines, Penalties, and Forfeitures Officer may cancel the
claim for liquidated damages if he is satisfied by the evidence that the
release was due to causes wholly beyond the control of the importer,
that no act or omission on the part of the importer formed the basis for
release, and that there was no intent on the part of the importer to
evade any law or regulation. The port director also may cancel the claim
for liquidated damages if the entry summary for consumption, or
withdrawal for consumption, with estimated duties attached, is presented
timely.
(b) Permit of delivery--(1) Effect of filing. The issuance of a
permit of delivery shall not accord the merchandise any quota priority
or status nor entitle it to any other quota benefit.
(2) Time of issuance--(i) Absolute quota merchandise. A permit of
delivery for merchandise subject to an absolute quota shall not be
issued before a determination of the quota status of the merchandise.
(ii) Tariff-rate, quota merchandise. A permit delivery for
merchandise subject to a tariff-rate quota shall not be issued before a
determination of the quota status of the merchandise unless
[[Page 902]]
estimated duties are deposited at the over-quota rate of duty.
(R.S. 251, as amended, secs. 623, as amended, 624, 46 Stat. 759, as
amended (19 U.S.C. 66, 1623, 1624))
[T.D. 79-221, 44 FR 46815, Aug. 9, 1979, as amended by T.D. 84-213, 49
FR 41183, Oct. 19, 1984; T.D. 89-104, 54 FR 50498, Dec. 7, 1989; T.D.
99-27, 64 FR 13674-13675, Mar. 22, 1999]
Sec. 132.15 Export certificate for beef subject to tariff-rate quota.
(a) Requirement. In order to claim the in-quota tariff rate of duty
on beef, defined in 15 CFR 2012.2(a), that is the product of a
participating country, defined in 15 CFR 2012.2(e), the importer must
possess a valid export certificate at the time that such beef is
entered, or withdrawn from warehouse for consumption. The importer must
record the unique identifying number of the export certificate for the
beef on the entry summary or warehouse withdrawal for consumption
(Customs Form 7501, Column 34), or its electronic equivalent.
(b) Validity of certificate. The export certificate, to be valid,
must meet the requirements of 15 CFR 2012.3(b), and with respect to the
requirement of 15 CFR 2012.3(b)(3) that the certificate be distinct and
uniquely identifiable, the certificate must have a distinct and unique
identifying number composed of three elements set forth in the following
order:
(1) The last digit of the year for which the export certificate is
in effect;
(2) The 2-digit ISO country of origin code from Annex B of the HTSUS
which identifies the participating country (see Sec. 142.42(d) of this
chapter); and
(3) Any 6-digit number issued by the participating country with
respect to the export certificate.
(c) Retention and submission of certificate to Customs--(1)
Retention. The export certificate must be retained by the importer for a
period of at least 5 years from the date of entry, or withdrawal from
warehouse, for consumption (see Sec. 163.4(a) of this chapter).
(2) Submission to Customs. The importer shall submit a copy of the
export certificate to Customs upon request.
[T.D. 95-58, 60 FR 39109, Aug. 1, 1995, as amended by T.D. 99-87, 64 FR
67483, Dec. 2, 1999; T.D. 00-7, 65 FR 5431, Feb. 4, 2000]
Sec. 132.16 [Reserved]
Sec. 132.17 Export certificate for sugar-containing products subject to
tariff-rate quota.
(a) Requirement. For sugar-containing products described in
additional U.S. Note 8 to chapter 17, HTSUS, that are classified in
HTSUS subheading 1701.91.54, 1704.90.74, 1806.20.75, 1806.20.95,
1806.90.55, 1901.90.56, 2101.12.54, 2101.20.54, 2106.90.78, or
2106.90.95, and that are products of a participating country, as defined
in 15 CFR 2015.2(e), the importer must possess a valid export
certificate in order to claim the in-quota tariff rate of duty on the
products at the time they are entered or withdrawn from warehouse for
consumption. The importer must record the unique identifier of the
export certificate for these products on the entry summary or warehouse
withdrawal for consumption (Customs Form 7501, column 34), or its
electronic equivalent.
(b) Validity of export certificate. To be valid, the export
certificate must meet the requirements of 15 CFR 2015.3(b), and with
respect to the requirement of 15 CFR 2015.3(b)(3) that the certificate
have a distinct and uniquely identifiable number, this unique identifier
must consist of 8 characters in any alpha/numeric combination.
(c) Retention and production of certificate to Customs. The export
certificate is subject to the recordkeeping requirements of part 163 of
this chapter (19 CFR part 163). Specifically, the certificate must be
retained for a period of 5 years in accordance with Sec. 163.4(a) of
this chapter, and must be made available to Customs upon request in
accordance with Sec. 163.6(a) of this chapter.
[T.D. 00-7, 65 FR 5431, Feb. 4, 2000]
Sec. 132.18 License for certain worsted wool fabric subject to tariff-
rate quota.
(a) Requirement. For worsted wool fabric that is entered under HTSUS
subheading 9902.51.11 or 9902.51.12, the importer must possess a valid
license,
[[Page 903]]
or a written authorization from the licensee, pursuant to regulations of
the U.S. Department of Commerce (15 CFR 335.5), in order to claim the
in-quota rate of duty on the worsted wool fabric at the time it is
entered or withdrawn from warehouse for consumption. The importer must
record the distinct and unique 9-character number for the license
covering the worsted wool fabric on the entry summary or warehouse
withdrawal for consumption (Customs Form 7501, column 34), or its
electronic equivalent (see paragraph (c)(1) of this section).
(b) Importer certification. By entering the worsted wool fabric
under HTSUS subheading 9902.51.11 or 9902.51.12, the importer thus
certifies that the worsted wool fabric is suitable for use in making
suits, suit-type jackets, or trousers, as required under these
subheadings.
(c) Validity of license--(1) License number. To be valid, the
license, or written authorization issued under the license and including
its unique control number, must meet the requirements of 15 CFR 335.5,
and with respect to the requirement in 15 CFR 335.5(a) that the license
have a unique control number, the license must have a distinct and
unique identifying number consisting of 9 characters comprised of the
following three elements:
(i) The first character must be a ``W'';
(ii) The second and third characters must consist of the last 2
digits of the calendar year for which the license is issued and during
which it is in effect; and
(iii) The final 6 characters represent the distinct and unique
identifier assigned to the license by the Department of Commerce.
(2) Use of license. A license covering worsted wool fabric that is
entered under HTSUS subheading 9902.51.11 or 9902.51.12 is in effect,
and may be used to obtain the applicable in-quota rate of duty for
fabric that is entered or withdrawn for consumption, only during the
specific calendar year (January 1--December 31, inclusive) for which the
license is issued (see 15 CFR 335.2 and 335.5(b) and (d)).
(d) Retention and production of license or authorization to Customs.
The license and any written authorization from the licensee to the
importer are subject to the recordkeeping requirements of part 163 of
this chapter (19 CFR part 163). Specifically, the license and any
written authorization must be retained for a period of 5 years in
accordance with Sec. 163.4(a) of this chapter, and must be made
available to Customs upon request in accordance with Sec. 163.6(a) of
this chapter.
[T.D. 01-35, 66 FR 21666, May 1, 2001]
Subpart C_Mail Importation of Absolute Quota Merchandise
Sec. 132.21 Regulations applicable.
In addition to the regulations applicable to all mail importations
(see part 145 of this chapter), the regulations in this subpart shall
apply to mail importations of absolute quota merchandise.
Sec. 132.22 When quota is filled.
Any packages containing merchandise subject to an absolute quota
which is filled shall be returned to the postmaster for return to the
sender immediately as undeliverable mail. The addressee will be notified
on Customs Form 3509 or in any other appropriate manner that entry has
been denied because the quota is filled.
Sec. 132.23 Partial release procedure.
(a) Notification of quota restrictions. If because of quota
restrictions, a mail importation cannot be released, the director of the
port of destination shall notify the addressee on Customs Form 3509 of
the procedure required by paragraph (b) of this section, and shall
inform the addressee that upon return of the Acknowledgement of Delivery
by Postal Service, the packages admissible under the absolute quota will
be forwarded to him and the restricted packages will be returned to the
sender as inadmissible. The port director may at his discretion hold
packages if it appears that the absolute quota will reopen in less than
30 days.
(b) Acknowledgement of delivery. An Acknowledgement of Delivery by
Postal Service shall be sent to the addressee. He shall be advised that
if he desires to secure release of less than the total number of
packages of the
[[Page 904]]
merchandise, the Acknowledgement of Delivery by Postal Service must be
signed by him and returned to the port director. Such Acknowledgment of
Delivery by Postal Service shall be in the following form:
Acknowledgment of Delivery by Postal Service
In consideration of the fact that certain articles in a mail importation
consisting of___________________________________________________________
________________________________________________________________________
(state number) packages mailed to me by ------------------------ (name
of sender) of ---------------------------- (address) on ----------------
(date of mailing), are subject to quota restrictions under which only a
portion of such articles may be admitted to entry at one time, and the
Postal Service permits no division of the importation before delivery
thereof, and since I am desirous of receiving the packages of such
importation which are admissible to entry under the quota administered
by the United States Customs, I hereby agree and acknowledge that
delivery of the package or packages to the United States Customs shall
be regarded as delivery by the Postal Service to me.
______________________________________________________________________
(Signature of addressee)
(c) Agreement to less than full delivery. If, in any case, the
sender of a mail package has indicated his agreement to the delivery of
less than the entire importation at one time, an Acknowledgment of
Delivery by Postal Service need not be secured from the addressee.
(d) Deposit required. If a portion of a mail shipment may be
released, the port director may require a deposit of an amount
sufficient to defray the expenses of repacking merchandise for shipment
by mail to the addressee. The shipment shall be under Government frank
without new postage.
Sec. 132.24 Entry.
Unless a formal entry or entry by appraisement is required, a mail
entry on Customs Form 3419 shall be issued and forwarded with the
package to the postmaster for delivery to the addressee and collection
of any duties in the same manner as for any other mail package subject
to Customs treatment.
Sec. 132.25 Undeliverable shipment.
If within a reasonable time, but not to exceed 30 days, the
addressee fails to indicate to the port director an intention to receive
delivery of the packages or a portion thereof in accordance with the
notice on Customs Form 3509 which was sent to him by the port director,
the importation shall be treated in the same manner as other
undeliverable mail.
PART 133_TRADEMARKS, TRADE NAMES, AND COPYRIGHTS
Sec.
133.0 Scope.
Subpart A_Recordation of Trademarks
133.1 Recordation of trademarks.
133.2 Application to record trademark.
133.3 Documents and fee to accompany application.
133.4 Effective date, term, and cancellation of trademark recordation
and renewals.
133.5 Change of ownership of recorded trademark.
133.6 Change in name of owner of recorded trademark.
133.7 Renewal of trademark recordation.
Subpart B_Recordation of Trade Names
133.11 Trade names eligible for recordation.
133.12 Application to record a trade name.
133.13 Documents and fee to accompany application.
133.14 Publication of trade name recordation.
133.15 Term of CBP trade name recordation.
Subpart C_Importations Bearing Recorded Marks or Trade Names
133.21 Articles bearing counterfeit trademarks.
133.22 Restrictions on importation of articles bearing copying or
simulating trademarks.
133.23 Restrictions on importation of gray market articles.
133.24 Restrictions on articles accompanying importer and mail
importations.
133.25 Procedure on detention of articles subject to restriction.
133.26 Demand for redelivery of released merchandise.
133.27 Civil fines for those involved in the importation of merchandise
bearing a counterfeit mark.
Subpart D_Recordation of Copyrights
133.31 Recordation of copyrighted works.
133.32 Application to record copyright.
133.33 Documents and fee to accompany application.
133.34 Effective date, term, and cancellation of recordation.
[[Page 905]]
133.35 Change of ownership of recorded copyright.
133.36 Change in name of owner of recorded copyright.
133.37 Renewal of copyright recordation.
Subpart E_Importations Violating Copyright Laws
133.41 [Reserved]
133.42 Infringing copies or phonorecords.
133.43 Procedure on suspicion of infringing copies.
133.44 Decision of disputed claim of infringement.
133.45 [Reserved]
133.46 Demand for redelivery of released articles.
Subpart F_Procedure Following Forfeiture or Assessment of Liquidated
Damages
133.51 Relief from forfeiture or liquidated damages.
133.52 Disposition of forfeited merchandise.
133.53 Refund of duty.
Authority: 15 U.S.C. 1124, 1125, 1127; 17 U.S.C. 101, 601, 602, 603;
19 U.S.C. 66, 1202, 1499, 1526, 1624; 31 U.S.C. 9701.
Source: T.D. 72-266, 37 FR 20678, Oct. 3, 1972, unless otherwise
noted.
Sec. 133.0 Scope.
This part provides for the recordation of trademarks, trade names,
and copyrights with the U.S. Customs and Border Protection for the
purpose of prohibiting the importation of certain articles. It also sets
forth the procedures for the disposition of articles bearing prohibited
marks or names, and copyrighted or piratical articles, including release
to the importer in appropriate circumstances.
Subpart A_Recordation of Trademarks
Sec. 133.1 Recordation of trademarks.
(a) Eligible trademarks. Trademarks registered by the U.S. Patent
and Trademark Office under the Trademark Act of March 3, 1881, the
Trademark Act of February 20, 1905, or the Trademark Act of 1946 (15
U.S.C. 1051 et seq.) except those registered on the supplemental
register under the 1946 Act (15 U.S.C. 1096), may be recorded with the
U.S. Customs and Border Protection if the registration is current.
(b) Notice of recordation and other action. Applicants and
recordants will be notified of the approval or denial of an application
filed in accordance with Sec. Sec. 133.2, 133.5, 133.6, and 133.7 of
this subpart.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 91-77, 56 FR
46115, Sept. 10, 1991]
Sec. 133.2 Application to record trademark.
An application to record one or more trademarks shall be in writing,
addressed to the Intellectual Property Rights (IPR) & Restricted
Merchandise Branch, U.S. Customs and Border Protection, 1300
Pennsylvania Avenue, NW., Washington, DC 20229, and shall include the
following information:
(a) The name, complete business address, and citizenship of the
trademark owner or owners (if a partnership, the citizenship of each
partner; if an association or corporation the State, country, or other
political jurisdiction within which it was organized, incorporated, or
created);
(b) The places of manufacture of goods bearing the recorded
trademark;
(c) The name and principal business address of each foreign person
or business entity authorized or licensed to use the trademark and a
statement as to the use authorized; and
(d) The identity of any parent or subsidiary company or other
foreign company under common ownership or control which uses the
trademark abroad. For this purpose:
(1) Common ownership means individual or aggregate ownership of more
than 50 percent of the business entity; and
(2) Common control means effective control in policy and operations
and is not necessarily synonymous with common ownership.
(e) Lever-rule protection. For owners of U.S. trademarks who desire
protection against gray market articles on the basis of physical and
material differences (see Lever Bros. Co. v. United States, 981 F.2d
1330 (D.C. Cir. 1993)), a description of any physical and material
difference between the specific articles authorized for importation or
sale in the United States and those not so authorized. In each instance,
owners who assert that physical and material differences exist must
state the basis
[[Page 906]]
for such a claim with particularity, and must support such assertions by
competent evidence and provide summaries of physical and material
differences for publication. CBP determination of physical and material
differences may include, but is not limited to, considerations of:
(1) The specific composition of both the authorized and gray market
product(s) (including chemical composition);
(2) Formulation, product construction, structure, or composite
product components, of both the authorized and gray market product;
(3) Performance and/or operational characteristics of both the
authorized and gray market product;
(4) Differences resulting from legal or regulatory requirements,
certification, etc.;
(5) Other distinguishing and explicitly defined factors that would
likely result in consumer deception or confusion as proscribed under
applicable law.
(f) CBP will publish in the Customs Bulletin a notice listing any
trademark(s) and the specific products for which gray market protection
for physically and materially different products has been requested. CBP
will examine the request(s) before issuing a determination whether gray
market protection is granted. For parties requesting protection, the
application for trademark protection will not take effect until CBP has
made and issued this determination. If protection is granted, CBP will
publish in the Customs Bulletin a notice that a trademark will receive
Lever-rule protection with regard to a specific product.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 91-77, 56 FR
46115, Sept. 10, 1991; T.D. 99-21, 64 FR 9062, Feb. 24, 1999; T.D. 99-
27, 64 FR 13675, Mar. 22, 1999]
Sec. 133.3 Documents and fee to accompany application.
(a) Documents. The application shall be accompanied by:
(1) A status copy of the certificate of registration certified by
the U.S. Patent and Trademark Office showing title to be presently in
the name of the applicant; and
(2) Five copies of this certificate, or of a U.S. Patent and
Trademark Office facsimile. The copies may be reproduced privately and
shall be on paper approximately 8x10\1/2\ in size.
If the certificate consists of two or more pages, the copies may be
reproduced on both sides of the paper.
(b) Fee. The application shall be accompanied by a fee of $190 for
each trademark to be recorded. However, if the trademark is registered
for more than one class of goods (based on the class, or classes, first
stated on the certificate of registration, without consideration of any
class, or classes, also stated in parentheses) the fee for recordation
shall be $190 for each class for which the applicant desires to record
the trademark with the United States Customs Service. For example, to
secure recordation of a trademark registered for three classes of goods,
a fee of $570 is payable. A check or money order shall be made payable
to the United States Customs Service.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 73-174, 38
FR 16850, June 27, 1973; T.D. 75-160, 40 FR 28790, July 9, 1975; T.D.
84-133, 49 FR 26571, June 28, 1984; T.D. 91-77, 56 FR 46115, Sept. 10,
1991]
Sec. 133.4 Effective date, term, and cancellation of trademark
recordation and renewals.
(a) Effective date. Recordation of trademark and protection
thereunder shall be effective on the date an application for recordation
is approved, as shown on the recordation notice issued by the U.S.
Customs and Border Protection instructing U.S. Customs and Border
Protection Officers as to the terms and conditions of import protection
appropriate.
(b) Term. The recordation or renewal of an existing recordation of a
trademark shall remain in force concurrently with the 20-year current
registration period or last renewal thereof in the U.S. Patent and
Trademark Office.
(c) Cancellation of recordation. Recordation of a trademark with the
U.S. Customs and Border Protection shall be canceled if the trademark
registration is finally canceled or revoked.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 91-77, 56 FR
46115, Sept. 10, 1991]
[[Page 907]]
Sec. 133.5 Change of ownership of recorded trademark.
If there is a change in ownership of a recorded trademark and the
new owner wishes to continue the recordation with the United States
Customs Service, he shall apply therefor by:
(a) Complying with Sec. 133.2;
(b) Describing any time limit on the rights of ownership
transferred;
(c) Submitting a status copy of the certificate of registration
certified by the U.S. Patent and Trademark Office showing title to be
presently in the name of the new owner; and
(d) Paying a fee of $80, which covers all trademarks included in the
application which have been previously recorded with the United States
Customs Service. A check or money order shall be made payable to the
United States Customs Service.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 75-160, 40
FR 28791, July 9, 1975; T.D. 91-77, 56 FR 46115, Sept. 10, 1991]
Sec. 133.6 Change in name of owner of recorded trademark.
If there is a change in the name of the owner of a recorded
trademark, but no change in ownership, written notice thereof shall be
given to the IPR & Restricted Merchandise Branch, CBP Headquarters,
accompanied by:
(a) A status copy of the certificate of registration certified by
the U.S. Patent and Trademark Office showing title to be presently in
the name as changed; and
(b) A fee of $80, which covers all trademarks included in the
application which have been previously recorded with the U.S. Customs
and Border Protection. A check or money order shall be made payable to
the U.S. Customs and Border Protection.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 75-160, 40
FR 28791, July 9, 1975; T.D. 91-77, 56 FR 46115, Sept. 10, 1991]
Sec. 133.7 Renewal of trademark recordation.
(a) Application to renew. To continue uninterrupted CBP protection
for trademarks, the trademark owner shall submit a written application
to renew CBP recordation to the IPR & Restricted Merchandise Branch not
later than 3 months after the date of expiration of the current 20-year
trademark registration issued by the U.S. Patent and Trademark Office. A
timely application to renew a CBP recordation must include the
following:
(1) A status copy of the certificate of registration certified by
the U.S. Patent and Trademark Office showing renewal of the trademark
and title to be in the name of the applicant;
(2) A statement describing any change of ownership or in the name of
owner, in compliance with Sec. Sec. 133.5 and 133.6 of this part, and
any change of addresses of owners or places of manufacture; and
(3) A fee of $80 for each renewal of a trademark recordation. Where
the trademark covers several classes, a fee of $80 is required for each
class. A check or money order shall be made payable to the U.S. Customs
and Border Protection.
(b) Delayed application. Upon request made during the grace period
of 3 months afforded by paragraph (a) of this section, a trademark owner
whose application for renewal of recordation is unavoidably delayed may
be afforded a reasonable extended period within which to comply with the
requirements of paragraph (a) of this section. The request shall be in
writing, addressed to the IPR & Restricted Merchandise Branch, and shall
set forth the circumstances due to which application is delayed.
(c) Untimely application. Failure of the trademark owner to submit a
renewal application within the 3-month grace period afforded in
accordance with paragraph (a) of this section or within an extension of
time granted in accordance with paragraph (b) of this section, shall
deprive the trademark owner of the renewal process. A delinquent
applicant will be required to apply anew to record the renewed trademark
in accordance with the procedures and requirements of Sec. Sec. 133.2
and 133.3.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 75-160, 40
FR 28791, July 9, 1975; T.D. 91-77, 56 FR 46115, Sept. 10, 1991]
[[Page 908]]
Subpart B_Recordation of Trade Names
Sec. 133.11 Trade names eligible for recordation.
The name or trade style used for at least 6 months to identify a
manufacturer or trader may be recorded with the United States Customs
Service. Words or designs used as trademarks, whether or not registered
in the U.S. Patent and Trademark Office shall not be accepted for
recordation as a trade name. Generally, the complete business name will
be recorded unless convincing proof establishes that only a part of the
complete name is customarily used.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 91-77, 56 FR
46115, Sept. 10, 1991]
Sec. 133.12 Application to record a trade name.
An application to record a trade name shall be in writing addressed
to the IPR & Restricted Merchandise Branch, 1300 Pennsylvania Avenue,
NW., Washington, DC 20229, and shall include the following information:
(a) The name, complete business address, and citizenship of the
trade name owner or owners (if a partnership, the citizenship of each
partner; if an association or corporation, the State, country, or other
political jurisdiction within which it was organized, incorporated or
created);
(b) The name or trade style to be recorded;
(c) The name and principal business address of each foreign person
or business entity authorized or licensed to use the trade name and a
statement as to the use authorized;
(d) The identity of any parent or subsidiary company, or other
foreign company under common ownership or control which uses the trade
name abroad (see Sec. 133.2(d)); and
(e) A description of the merchandise with which the trade name is
associated.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 91-77, 56 FR
46115, Sept. 10, 1991; T.D. 99-27, 64 FR 13675, Mar. 22, 1999]
Sec. 133.13 Documents and fee to accompany application.
(a) Documents. The application shall be accompanied by a statement
of the owner, partners, or principal corporate officer, and by
statements by at least two other persons not associated with or related
to the applicant but having actual knowledge of the facts, stating that
to his best knowledge and belief:
(1) The applicant has used the trade name in connection with the
class or kind of merchandise described in the application for at least 6
months;
(2) The trade name is not identical or confusingly similar to any
other trade name or registered trademark used in connection with such
class or kind of merchandise; and
(3) The applicant has the sole and exclusive right to the use of
such trade name in connection with the merchandise of that class or
kind.
(b) Fee. The application shall be accompanied by a fee of $190 for
each trade name to be recorded. A check or money order shall be made
payable to the U.S. Customs and Border Protection.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 75-160, 40
FR 28791, July 9, 1975]
Sec. 133.14 Publication of trade name recordation.
(a) Notice of tentative recordation. Notice of tentative recordation
of a trade name shall be published in the Federal Register and the
Customs Bulletin. The notice shall specify a procedure and a time period
within which interested parties may oppose the recordation.
(b) Notice of final action. After consideration of any claims,
rebuttals, and other relevant evidence, notice of final approval or
disapproval of the application shall be published in the Federal
Register and the Customs Bulletin.
Sec. 133.15 Term of CBP trade name recordation.
Protection for a recorded trade name shall remain in force as long
as the trade name is used. The recordation shall be canceled upon
request of the recordant or upon evidence of disuse.
[[Page 909]]
From time to time, the IPR & Restricted Merchandise Branch may request
the trade name owner to advise whether the name is still in use. The
failure of a trade name owner to respond to such a request shall be
regarded as evidence of disuse.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 91-77, 56 FR
46115, Sept. 10, 1991]
Subpart C_Importations Bearing Recorded Marks or Trade Names
Source: T.D. 99-21, 64 FR 9062, Feb. 24, 1999, unless otherwise
noted.
Sec. 133.21 Articles suspected of bearing counterfeit marks.
(a) Counterfeit mark defined. A ``counterfeit mark'' is a spurious
mark that is identical with, or substantially indistinguishable from, a
mark registered on the Principal Register of the U.S. Patent and
Trademark Office.
(b) Detention. CBP may detain any article of domestic or foreign
manufacture imported into the United States that bears a mark suspected
of being a counterfeit version of a mark that is registered with the
U.S. Patent and Trademark Office and is recorded with CBP pursuant to
subpart A of this part. The detention will be for a period of up to
thirty days from the date on which the merchandise is presented for
examination. The 30-day time period may be extended for up to an
additional thirty days for good cause shown by the importer. In
accordance with 19 U.S.C. 1499, if after the detention period and any
authorized extensions the article is not released the article will be
deemed excluded for the purposes of 19 U.S.C. 1514(a)(4).
(1) Notice to importer of detention and possible disclosure. Within
five days (excluding weekends and holidays) from the date of a decision
to detain, CBP will notify the importer in writing of the detention. The
notice will inform the importer that a disclosure of information
concerning the detained merchandise may be made to the owner of the mark
to assist CBP in determining whether any marks are counterfeit, unless
the importer presents information within seven days of the notification
(excluding weekends and holidays) establishing to CBP's satisfaction
that the detained merchandise does not bear a counterfeit mark. CBP may
disclose information appearing on the merchandise and/or its retail
packaging, images (including photographs) of the merchandise and/or its
retail packaging in its condition as presented for examination, or a
sample of the merchandise and/or its retail packaging in its condition
as presented for examination. The release (disclosure) of a sample is
subject to the bond and return requirements of paragraph (c) of this
section. Where the importer does not timely provide information or the
information provided is insufficient for CBP to determine that the
merchandise does not bear a counterfeit mark, CBP may proceed with the
disclosure to the owner of the mark, and will so notify the importer.
Disclosure under this section may include any serial numbers, dates of
manufacture, lot codes, batch numbers, universal product codes, or other
identifying marks appearing on the merchandise or its retail packaging,
in alphanumeric or other formats.
(2) Notice to owner of the mark and disclosure of information. From
the time merchandise is presented for examination until the time a
notice of detention is issued, CBP may disclose to the owner of the mark
any of the following information in order to obtain assistance in
determining whether an imported article bears a counterfeit mark. Once a
notice of detention is issued, CBP will disclose to the owner of the
mark the following information, if available, within thirty days
(excluding weekends and holidays) from the date of detention:
(i) The date of importation;
(ii) The port of entry;
(iii) The description of the merchandise from the entry;
(iv) The quantity involved; and
(v) The country of origin of the merchandise.
(3) Redacted images and samples made available to the owner of the
mark. Notwithstanding the notice and seven-day response procedure of
paragraph (b)(1) of this section, CBP may, at any time after
presentation of the merchandise for examination, provide to the owner of
the mark images or a sample of the detained merchandise or its retail
[[Page 910]]
packaging, provided that identifying information has been removed,
obliterated, or otherwise obscured. Identifying information includes,
but is not limited to, serial numbers, dates of manufacture, lot codes,
batch numbers, universal product codes, the name or address of the
manufacturer, exporter, or importer of the merchandise, or any mark that
could reveal the name or address of the manufacturer, exporter, or
importer of the merchandise, in alphanumeric or other formats. CBP will
release to the owner of the mark a sample under this paragraph when the
owner furnishes CBP a bond in the form and amount specified by the port
director, conditioned to hold the United States, its officers and
employees, and the importer or owner of the imported article harmless
from any loss or damage to the sample resulting from the furnishing of a
sample by CBP to the owner of the mark. CBP may demand the return of the
sample at any time. The owner of the mark must return the sample to CBP
upon demand or at the conclusion of any examination, testing, or similar
procedure performed on the sample. In the event that the sample is
damaged, destroyed, or lost while in the possession of the owner of the
mark, the owner must, in lieu of return of the sample, certify to CBP
that: ``The sample described as [insert description] and provided
pursuant to 19 CFR 133.21(b)(3) was (damaged/destroyed/lost) during
examination, testing, or other use.''
(c) Unredacted samples made available to the owner of the mark prior
to seizure. A sample of the imported merchandise may be released prior
to seizure to the owner of the mark in accordance with paragraph (b)(1)
of this section. CBP will release to the owner of the mark a sample
under this paragraph when the owner furnishes CBP a bond in the form and
amount specified by the port director, conditioned to hold the United
States, its officers and employees, and the importer or owner of the
imported article harmless from any loss or damage to the sample
resulting from the furnishing of a sample by CBP to the owner of the
mark. CBP may demand the return of the sample at any time. The owner of
the mark must return the sample to CBP upon demand or at the conclusion
of any examination, testing, or similar procedure performed on the
sample. In the event that the sample is damaged, destroyed, or lost
while in the possession of the owner of the mark, the owner must, in
lieu of return of the sample, certify to CBP that: ``The sample
described as [insert description] and provided pursuant to 19 CFR
133.21(c) was (damaged/destroyed/lost) during examination, testing, or
other use.''
(d) Seizure. Upon a determination by CBP, made any time after the
merchandise has been presented for examination, that an article of
domestic or foreign manufacture imported into the United States bears a
counterfeit mark, CBP will seize such merchandise and, in the absence of
the written consent of the owner of the mark, forfeit the seized
merchandise in accordance with the customs laws. When merchandise is
seized under this section, CBP will disclose to the owner of the mark
the following information, if available, within thirty days (excluding
weekends and holidays) from the date of the notice of seizure:
(1) The date of importation;
(2) The port of entry;
(3) The description of the merchandise from the entry;
(4) The quantity involved;
(5) The name and address of the manufacturer;
(6) The country of origin of the merchandise;
(7) The name and address of the exporter; and
(8) The name and address of the importer.
(e) Samples made available to the owner of the mark after seizure.
At any time following a seizure of merchandise bearing a counterfeit
mark under this section, CBP may provide a sample and its retail
packaging, in its condition as presented for examination, to the owner
of the mark for examination, testing, or other use in pursuit of a
related private civil remedy for trademark infringement. To obtain a
sample under this paragraph, the owner of the mark must furnish CBP a
bond in the form and amount specified by the port director, conditioned
to hold the United States, its officers and employees, and the importer
or owner of the
[[Page 911]]
imported article harmless from any loss or damage to the sample
resulting from the furnishing of a sample by CBP to the owner of the
mark. CBP may demand the return of the sample at any time. The owner of
the mark must return the sample to CBP upon demand or at the conclusion
of the examination, testing, or other use in pursuit of a related
private civil remedy for infringement. In the event that the sample is
damaged, destroyed, or lost while in the possession of the owner of the
mark, the owner must, in lieu of return of the sample, certify to CBP
that: ``The sample described as [insert description] and provided
pursuant to 19 CFR 133.21(e) was (damaged/destroyed/lost) during
examination, testing, or other use.''
(f) Consent of the mark owner; failure to make appropriate
disposition. The owner of the mark, within thirty days from notification
of seizure, may provide written consent to the importer allowing the
importation of the seized merchandise in its condition as imported or
its exportation, entry after obliteration of the mark, or other
appropriate disposition. Otherwise, the merchandise will be disposed of
in accordance with Sec. 133.52 of this part, subject to the importer's
right to petition for relief from forfeiture under the provisions of
part 171 of this chapter.
[CBP Dec. 12-10, 77 FR 24379, Apr. 24, 2012]
Sec. 133.22 Restrictions on importation of articles bearing copying or
simulating trademarks.
(a) Copying or simulating trademark or trade name defined. A
``copying or simulating'' trademark or trade name is one which may so
resemble a recorded mark or name as to be likely to cause the public to
associate the copying or simulating mark or name with the recorded mark
or name.
(b) Denial of entry. Any articles of foreign or domestic manufacture
imported into the United States bearing a mark or name copying or
simulating a recorded mark or name shall be denied entry and subject to
detention as provided in Sec. 133.25.
(c) Relief from detention of articles bearing copying or simulating
trademarks. Articles subject to the restrictions of this section shall
be detained for 30 days from the date on which the goods are presented
for Customs examination, to permit the importer to establish that any of
the following circumstances are applicable:
(1) The objectionable mark is removed or obliterated as a condition
to entry in such a manner as to be illegible and incapable of being
reconstituted, for example by:
(i) Grinding off imprinted trademarks wherever they appear;
(ii) Removing and disposing of plates bearing a trademark or trade
name;
(2) The merchandise is imported by the recordant of the trademark or
trade name or his designate;
(3) The recordant gives written consent to an importation of
articles otherwise subject to the restrictions set forth in paragraph
(b) of this section or Sec. 133.23(c) of this subpart, and such consent
is furnished to appropriate Customs officials;
(4) The articles of foreign manufacture bear a recorded trademark
and the one-item personal exemption is claimed and allowed under
Sec. 148.55 of this chapter.
(d) Exceptions for articles bearing counterfeit trademarks. The
provisions of paragraph (c)(1) of this section are not applicable to
articles bearing counterfeit trademarks at the time of importation (see
Sec. 133.26).
(e) Release of detained articles. Articles detained in accordance
with Sec. 133.25 may be released to the importer during the 30-day
period of detention if any of the circumstances allowing exemption from
trademark or trade name restriction set forth in paragraph (c) of this
section are established.
(f) Seizure. If the importer has not obtained release of detained
articles within the period of detention as provided in Sec. 133.25 of
this subpart, the merchandise shall be seized and forfeiture proceedings
instituted. The importer shall be promptly notified of the seizure and
liability to forfeiture and his right to petition for relief in
accordance with the provisions of part 171 of this chapter.
[T.D. 99-21, 64 FR 9062, Feb. 24, 1999, as amended at CBP Dec. 12-10, 77
FR 24380, Apr. 24, 2012]
[[Page 912]]
Sec. 133.23 Restrictions on importation of gray market articles.
(a) Restricted gray market articles defined. ``Restricted gray
market articles'' are foreign-made articles bearing a genuine trademark
or trade name identical with or substantially indistinguishable from one
owned and recorded by a citizen of the United States or a corporation or
association created or organized within the United States and imported
without the authorization of the U.S. owner. ``Restricted gray market
goods'' include goods bearing a genuine trademark or trade name which
is:
(1) Independent licensee. Applied by a licensee (including a
manufacturer) independent of the U.S. owner, or
(2) Foreign owner. Applied under the authority of a foreign
trademark or trade name owner other than the U.S. owner, a parent or
subsidiary of the U.S. owner, or a party otherwise subject to common
ownership or control with the U.S. owner (see Sec. Sec. 133.2(d) and
133.12(d) of this part), from whom the U.S. owner acquired the domestic
title, or to whom the U.S. owner sold the foreign title(s); or
(3) ``Lever-rule''. Applied by the U.S. owner, a parent or
subsidiary of the U.S. owner, or a party otherwise subject to common
ownership or control with the U.S. owner (see Sec. Sec. 133.2(d) and
133.12(d) of this part), to goods that the Customs Service has
determined to be physically and materially different from the articles
authorized by the U.S. trademark owner for importation or sale in the
U.S. (as defined in Sec. 133.2 of this part).
(b) Labeling of physically and materially different goods. Goods
determined by the Customs Service to be physically and materially
different under the procedures of this part, bearing a genuine mark
applied under the authority of the U.S. owner, a parent or subsidiary of
the U.S. owner, or a party otherwise subject to common ownership or
control with the U.S. owner (see Sec. Sec. 133.2(d) and 133.12(d) of
this part), shall not be detained under the provisions of paragraph (c)
of this section where the merchandise or its packaging bears a
conspicuous and legible label designed to remain on the product until
the first point of sale to a retail consumer in the United States
stating that: ``This product is not a product authorized by the United
States trademark owner for importation and is physically and materially
different from the authorized product.'' The label must be in close
proximity to the trademark as it appears in its most prominent location
on the article itself or the retail package or container. Other
information designed to dispel consumer confusion may also be added.
(c) Denial of entry. All restricted gray market goods imported into
the United States shall be denied entry and subject to detention as
provided in Sec. 133.25, except as provided in paragraph (b) of this
section.
(d) Relief from detention of gray market articles. Gray market goods
subject to the restrictions of this section shall be detained for 30
days from the date on which the goods are presented for Customs
examination, to permit the importer to establish that any of the
following exceptions, as well as the circumstances described above in
Sec. 133.22(c), are applicable:
(1) The trademark or trade name was applied under the authority of a
foreign trademark or trade name owner who is the same as the U.S. owner,
a parent or subsidiary of the U.S. owner, or a party otherwise subject
to common ownership or control with the U.S. owner (in an instance
covered by Sec. Sec. 133.2(d) and 133.12(d) of this part); and/or
(2) For goods bearing a genuine mark applied under the authority of
the U.S. owner, a parent or subsidiary of the U.S. owner, or a party
otherwise subject to common ownership or control with the U.S. owner,
that the merchandise as imported is not physically and materially
different, as described in Sec. 133.2(e), from articles authorized by
the U.S. owner for importation or sale in the United States; or
(3) Where goods are detained for violation of Sec. 133.23(a)(3), as
physically and materially different from the articles authorized by the
U.S. trademark owner for importation or sale in the U.S., a label in
compliance with Sec. 133.23(b) is applied to the goods.
(e) Release of detained articles. Articles detained in accordance
with Sec. 133.25 may be released to the importer during
[[Page 913]]
the 30-day period of detention if any of the circumstances allowing
exemption from trademark restriction set forth in Sec. 133.22(c) of this
subpart or in paragraph (d) of this section are established.
(f) Seizure. If the importer has not obtained release of detained
articles within the period of detention as provided in Sec. 133.25 of
this subpart, the merchandise shall be seized and forfeiture proceedings
instituted. The importer shall be notified of the seizure and liability
of forfeiture and his right to petition for relief in accordance with
the provisions of part 171 of this chapter.
[T.D. 99-21, 64 FR 9062, Feb. 24, 1999, as amended at CBP Dec. 12-10, 77
FR 24380, Apr. 24, 2012]
Sec. 133.24 Restrictions on articles accompanying importer and mail
importations.
(a) Detention. Articles accompanying an importer and mail
importations subject to the restrictions of Sec. Sec. 133.22 and 133.23
shall be detained for 30 days from the date of notice that such
restrictions apply, to permit the establishment of whether any of the
circumstances described in Sec. 133.22(c) or 133.23(d) are applicable.
(b) Notice of detention. Notice of detention shall be given in the
following manner:
(1) Articles accompanying importer. When the articles are carried as
accompanying baggage or on the person of persons arriving in the United
States, the Customs inspector shall orally advise the importer that the
articles are subject to detention.
(2) Mail importations. When the articles arrive by mail in
noncommercial shipments, or in commercial shipments valued at $250 or
less, notice of the detention shall be given on Customs Form 8.
(c) Release of detained articles--(1) General. Articles detained in
accordance with paragraph (a) of this section may be released to the
importer during the 30-day period of detention if any of the
circumstances allowing exemption from trademark or trade name
restriction(s) set forth in Sec. 133.22(c) or 133.23(d) of this subpart
are established.
(2) Articles accompanying importer. Articles arriving as
accompanying baggage or on the person of the importer may be exported or
destroyed under Customs supervision at the request of the importer, or
may be released if:
(i) The importer removes or obliterates the marks in a manner
acceptable to the Customs officer at the time of examination of the
articles; or
(ii) The request of the importer to obtain skillful removal of the
marks is granted by the port director under such conditions as he may
deem necessary, and upon return of the article to Customs for
verification, the marks are found to be satisfactorily removed.
(3) Mail importations. Articles arriving by mail in noncommercial
shipments, or in commercial shipments valued at $250 or less, may be
exported or destroyed at the request of the addressee or may be released
if:
(i) The addressee appears in person at the appropriate Customs
office and at that time removes or obliterates the marks in a manner
acceptable to the Customs officer; or
(ii) The request of the addressee appearing in person to obtain
skillful removal of the marks is granted by the port director under such
conditions as he may deem necessary, and upon return of the article to
Customs for verification, the marks are found to be satisfactorily
removed.
(d) Seizure. If the importer has not obtained release of detained
articles within the 30-day period of detention, the merchandise shall be
seized and forfeiture proceedings instituted. The importer shall be
promptly notified of the seizure and liability to forfeiture and his
right to petition for relief in accordance with the provisions of part
171 of this chapter.
Sec. 133.25 Procedure on detention of articles subject to restriction.
(a) In general. Articles subject to the restrictions of
Sec. Sec. 133.22 and 133.23 shall be detained for 30 days from the date
on which the merchandise is presented for Customs examination. The
importer shall be notified of the decision to detain within 5 days of
the decision that such restrictions apply. The importer may, during the
30-day period, establish that any of the circumstances
[[Page 914]]
described in Sec. 133.22(c) or Sec. 133.23(d) are applicable. Extensions
of the 30-day time period may be freely granted for good cause shown.
(b) Notice of detention and disclosure of information. From the time
merchandise is presented for Customs examination until the time a notice
of detention is issued, Customs may disclose to the owner of the
trademark or trade name any of the following information in order to
obtain assistance in determining whether an imported article bears an
infringing trademark or trade name. Once a notice of detention is
issued, Customs shall disclose to the owner of the trademark or trade
name the following information, if available, within 30 days, excluding
weekends and holidays, of the date of detention:
(1) The date of importation;
(2) The port of entry;
(3) A description of the merchandise;
(4) The quantity involved; and
(5) The country of origin of the merchandise.
(c) Samples available to the trademark or trade name owner. At any
time following presentation of the merchandise for Customs examination,
but prior to seizure, Customs may provide a sample of the suspect
merchandise to the owner of the trademark or trade name for examination
or testing to assist in determining whether the article imported bears
an infringing trademark or trade name. To obtain a sample under this
section, the trademark/trade name owner must furnish Customs a bond in
the form and amount specified by the port director, conditioned to hold
the United States, its officers and employees, and the importer or owner
of the imported article harmless from any loss or damage resulting from
the furnishing of a sample by Customs to the trademark owner. Customs
may demand the return of the sample at any time. The owner must return
the sample to Customs upon demand or at the conclusion of the
examination or testing. In the event that the sample is damaged,
destroyed, or lost while in the possession of the trademark or trade
name owner, the owner shall, in lieu of return of the sample, certify to
Customs that: ``The sample described as [insert description] and
provided pursuant to 19 CFR 133.25(c) was (damaged/destroyed/lost)
during examination or testing for trademark infringement.''
(d) Form of notice. Notice of detention of articles found subject to
the restrictions of Sec. 133.22 or Sec. 133.23 shall be given the
importer in writing.
Sec. 133.26 Demand for redelivery of released merchandise.
If it is determined that merchandise which has been released from
CBP custody is subject to the restrictions of Sec. 133.21, Sec. 133.22
or Sec. 133.23 of this subpart, the port director shall promptly make
demand for the redelivery of the merchandise under the terms of the bond
on CBP Form 301, containing the bond conditions set forth in Sec. 113.62
of this chapter, in accordance with Sec. 141.113 of this chapter. If the
merchandise is not redelivered to CBP custody, a claim for liquidated
damages shall be made in accordance with Sec. 141.113(h) of this
chapter.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 99-64, 64 FR
43266, Aug. 10, 1999; CBP Dec. 12-10, 77 FR 24380, Apr. 24, 2012]
Sec. 133.27 Civil fines for those involved in the importation of
merchandise bearing a counterfeit mark.
In addition to any other penalty or remedy authorized by law, CBP
may impose a civil fine under 19 U.S.C. 1526(f) on any person who
directs, assists financially or otherwise, or aids and abets the
importation of merchandise for sale or public distribution that bears a
counterfeit mark resulting in a seizure of the merchandise under 19
U.S.C. 1526(e) (see Sec. 133.21 of this subpart), as follows:
(a) First violation. For the first seizure of merchandise under this
section, the fine imposed will not be more than the value the
merchandise would have had if it were genuine, according to the
manufacturer's suggested retail price in the United States at the time
of seizure.
(b) Subsequent violations: For the second and each subsequent
seizure under this section, the fine imposed will not be more than twice
the value the merchandise would have had if it were genuine, according
to the manufacturer's
[[Page 915]]
suggested retail price in the United States at the time of seizure.
[CBP Dec. 03-12, 68 FR 43637, July 24, 2003]
Subpart D_Recordation of Copyrights
Sec. 133.31 Recordation of copyrighted works.
(a) Eligible works. Claims to copyright which have been registered
in accordance with the Copyright Act of July 30, 1947, as amended, or
the Copyright Act of 1976, as amended, may be recorded with Customs for
import protection.
(b) Persons eligible to record. The copyright owner, including any
person who has acquired copyright ownership through an exclusive
license, assignment, or otherwise, and claims actual or potential injury
because of actual or contemplated importations of copies (or
phonorecords) of eligible works, may file an application to record a
copyright. ``Copyright owner,'' with respect to any one of the exclusive
rights comprised in a copyright, refers to the owner of that particular
right.
(c) Notice of recordation and other action. Applicants and
recordants will be notified of the approval or denial of an application
filed in accordance with Sec. 133.32, Sec. 133.35, Sec. 133.36, or
Sec. 133.37.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 73-212, 38
FR 21397, Aug. 8, 1973; T.D. 87-40, 52 FR 9474, Mar. 25, 1987]
Sec. 133.32 Application to record copyright.
An application to record a copyright to secure customs protection
against the importation of infringing copies or phonorecords shall be in
writing addressed to the IPR & Restricted Merchandise Branch, U.S.
Customs and Border Protection, 1300 Pennsylvania Avenue, Washington, DC
20229, and shall include the following information:
(a) The name and complete address of the copyright owner or owners;
(b) If the applicant is a person claiming actual or potential injury
by reason of actual or contemplated importations of copies or
phonorecords of the eligible work, a statement setting forth the
circumstances of such actual or potential injury;
(c) The country of manufacture of genuine copies or phonorecords of
the protected work;
(d) The name and principal address of any foreign person or business
entity authorized or licensed to use the protected work, and a statement
as to the exclusive rights authorized;
(e) The foreign title of the work, if different from the U.S. title;
and
(f) In the case of an application to record a copyright in a sound
recording, a statement setting forth the name(s) of the performing
artist(s), and any other identifying names appearing on the surface of
reproduction of the sound recording, or its label or container.
[T.D. 87-40, 52 FR 9474, Mar. 25, 1987, as amended by T.D. 91-77, 56 FR
46115, Sept. 10, 1991; T.D. 99-27, 64 FR 13675, Mar. 22, 1999]
Sec. 133.33 Documents and fee to accompany application.
(a) Documents. The application for recordation shall be accompanied
by the following documents:
(1) An ``additional certificate'' of copyright registration issued
by the U.S. Copyright Office. If the name of the applicant differs from
the name of the copyright owner identified in the certificate, the
application shall be accompanied by a certified copy of any assignment,
exclusive license, or other document recorded in the U.S. Copyright
Office showing that the applicant has acquired copyright ownership in
the copyright.
(2) Five photographic or other likenesses reproduced on paper
approximately 8 x 10\1/2\ in size of any
copyrighted work. An application shall be excepted from this requirement
if it covers a work such as a book, magazine, periodical, or similar
copyrighted matter readily identifiable by title and author or if it
covers a sound recording. Five likenesses of a component part of a
copyrighted work, together with the name or title, if any, by which the
part depicted is identifiable, may accompany an application covering an
entire copyrighted work.
(b) Fee. Each application shall be accompanied by a fee of $190 for
each copyright to be recorded. A check or
[[Page 916]]
money order shall be made payable to the United States Customs Service.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1973, as amended by T.D. 75-160, 40
FR 28791, July 9, 1975; T.D. 84-133, 49 FR 26571, June 28, 1984; T.D.
87-40, 52 FR 9475, Mar. 25, 1987]
Sec. 133.34 Effective date, term, and cancellation of recordation.
(a) Effective date. Recordation of copyright and protection
thereunder shall be effective on the date an application for recordation
is approved, as shown on the recordation notice issued by the United
States Customs Service instructing Customs officers as to the terms and
conditions of import protection appropriate.
(b) Term. The recordation of copyright shall remain in effect for 20
years unless the copyright ownership of the recordant expires before
that time. If the ownership expires in less than 20 years, recordation
shall remain in effect until the ownership expires. If the ownership has
not expired after 20 years, recordation may be renewed as provided in
Sec. 133.37.
(c) Cancellation. Recordation of a copyright with the United States
Customs Service shall be canceled upon request of the recordant, or if
the registration in the U.S. Copyright Office is finally canceled or
revoked.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 87-40, 52 FR
9475, Mar. 25, 1987]
Sec. 133.35 Change of ownership of recorded copyright.
(a) Application. If the ownership of a recorded copyright is
transferred and the owner wishes to continue the recordation with the
CBP, he shall make written application to the IPR & Restricted
Merchandise Branch as follows:
(1) Comply, as appropriate, with Sec. 133.32; and
(2) Describe any time limit on the rights of ownership transferred.
(b) Document and fee. The application shall be accompanied by:
(1) A certified copy of any assignment, exclusive license, or other
document recorded in the U.S. Copyright Office showing the applicant has
acquired an ownership interest in the copyright; and
(2) A fee of $80, which covers all copyrights included in the
application which have been previously recorded with the U.S. Customs
and Border Protection. A check or money order shall be made payable to
the U.S. Customs and Border Protection.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 75-160, 40
FR 28791, July 9, 1975; T.D. 91-77, 56 FR 46115, Sept. 10, 1991]
Sec. 133.36 Change in name of owner of recorded copyright.
If there is a change in the name of the owner of a recorded
copyright, but no transfer of ownership, written notice specifying the
change shall be given to the IPR & Restricted Merchandise Branch
accompanied by the following:
(a) A certified copy of any document recorded in the U.S. Copyright
Office showing the change in the name of the owner; and
(b) Payment of a fee of $80, which covers all copyrights included in
the application which have been previously recorded with the CBP. A
check or money order shall be made payable to U.S. Customs and Border
Protection.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 75-160, 40
FR 28791, July 9, 1975; T.D. 91-77, 56 FR 46115, Sept. 10, 1991]
Sec. 133.37 Renewal of copyright recordation.
(a) Term of renewal. If a recorded copyright has a term which
exceeds the original 20-year recordation, continued Customs protection
may be obtained by renewing the recordation. The renewed recordation
shall remain in effect for 20 years, unless the recordant's copyright
ownership expires sooner, in which case it shall remain in effect until
the ownership expires. There is no limit to the number of times
recordation of a subsisting copyright may be renewed.
(b) Application for renewal. An application to renew recordation
shall be made no later than 3 months before the date the recordation
then in effect expires. The application shall be in writing addressed to
the IPR & Restricted Merchandise Branch.
(c) Materials to be submitted with application. An application to
renew Customs recordation shall include:
[[Page 917]]
(1) Proof that the recordant's copyright ownership is valid. The
proof required shall vary with the date that the work was first
copyrighted as follows:
(i) Works in which copyright subsists on or after January 1, 1978.
An affidavit signed by the recordant attesting to the continued validity
of the copyright, stating the date the copyright was registered with the
U.S. Copyright Office, whether the author of the work is still alive
and, if not, the date of his death, and any additional information that
Customs may require of the recordant.
(ii) Works under statutory copyright on December 31, 1977. If the
copyright is still in its first term when recordation expires, a
certificate of registration issued by the U.S. Copyright Office or, if
the copyright has been renewed, a certificate of renewal registration
issued by the U.S. Copyright Office.
(2) A statement describing any change of ownership or name of owner,
in compliance with Sec. Sec. 133.35 and 133.36, and any change of
address of the owner.
(3) Payment of a fee of $80. A check or money order shall be made
payable to the U.S. Customs and Border Protection.
(d) Untimely application. If the recordant fails to submit a renewal
application at least 3 months before the recordation expires, he may not
renew the recordation. The recordant shall be required to reapply to
record the copyright in accordance with the procedures and requirements
of Sec. Sec. 133.32 and 133.33.
[T.D. 87-40, 52 FR 9475, Mar. 25, 1987, as amended by T.D. 91-77, 56 FR
46115, Sept. 10, 1991]
Subpart E_Importations Violating Copyright Laws
Sec. 133.41 [Reserved]
Sec. 133.42 Infringing copies or phonorecords.
(a) Definition. Infringing copies or phonorecords are ``piratical''
articles, i.e., copies or phonorecords which are unlawfully made
(without the authorization of the copyright owner).
(b) Importation prohibited. The importation of infringing copies or
phonorecords of works copyrighted in the U.S. is prohibited by Customs.
The importation of lawfully made copies is not a Customs violation.
(c) Seizure and forfeiture. The port director shall seize any
imported article which he determines is an infringing copy or
phonorecord of a copyrighted work protected by Customs. The port
director also shall seize an imported article if the importer does not
deny a representation that the article is an infringing copy or
phonorecord as provided in Sec. 133.43(a). In either case, the port
director also shall institute forfeiture proceedings in accordance with
part 162 of this chapter. Lawfully made copies are not subject to
seizure and forfeiture by Customs.
(d) Disclosure. When merchandise is seized under this section,
Customs shall disclose to the owner of the copyright the following
information, if available, within 30 days, excluding weekends and
holidays, of the date of the notice of seizure:
(1) The date of importation;
(2) The port of entry;
(3) A description of the merchandise;
(4) The quantity involved;
(5) The name and address of the manufacturer;
(6) The country of origin of the merchandise;
(7) The name and address of the exporter; and
(8) The name and address of the importer.
(e) Samples available to the copyright owner. At any time following
seizure of the merchandise, Customs may provide a sample of the suspect
merchandise to the owner of the copyright for examination, testing, or
any other use in pursuit of a related private civil remedy for copyright
infringement. To obtain a sample under this section, the copyright owner
must furnish to Customs a bond in the form and amount specified by the
port director, conditioned to hold the United States, its officers and
employees, and the importer or owner of the imported article harmless
from any loss or damage resulting from the furnishing of a sample by
Customs to the copyright owner. Customs may demand the return of the
sample
[[Page 918]]
at any time. The owner must return the sample to Customs upon demand or
at the conclusion of the examination, testing, or other use in pursuit
of a related private civil remedy for copyright infringement. In the
event that the sample is damaged, destroyed, or lost while in the
possession of the copyright owner, the owner shall, in lieu of return of
the sample, certify to Customs that: ``The sample described as [insert
description] provided pursuant to 19 CFR 133.42(e) was (damaged/
destroyed/lost) during examination, testing, or other use.''
(f) Referral to the U.S. Attorney. In the event that phonorecords or
copies of motion pictures arrive in the U.S. bearing counterfeit labels,
Customs officers should consider referring the violation to the U.S.
Attorney, Department of Justice, for possible criminal prosecution
pursuant to the ``Piracy and Counterfeiting Amendments Act of 1982'' (18
U.S.C. 2318). This law provides a minimum fine of $25,000 or
imprisonment for not more than one year, or both, for willful
infringement of a copyright for commercial advantage, and a maximum fine
of $250,000 or imprisonment for not more than 5 years, or both, where
trafficking in counterfeit labels for phonorecords or copies of motion
pictures or other audiovisual works is involved.
[T.D. 87-40, 52 FR 9475, Mar. 25, 1987; 52 FR 10668, Apr. 2, 1987, as
amended by T.D. 97-30, 62 FR 19493, Apr. 22, 1997; T.D. 98-21, 63 FR
12000, Mar. 12, 1998]
Sec. 133.43 Procedure on suspicion of infringing copies.
(a) Notice to the importer. If the port director has any reason to
believe that an imported article may be an infringing copy or
phonorecord of a recorded copyrighted work, he shall withhold delivery,
notify the importer of his action, and advise him that if the facts so
warrant he may file a statement denying that the article is in fact an
infringing copy and alleging that the detention of the article will
result in a material depreciation of its value, or a loss or damage to
him. The port director also shall advise the importer that in the
absence of receipt within 30 days of a denial by the importer that the
article constitutes an infringing copy or phonorecord, it shall be
considered to be such a copy and shall be subject to seizure and
forfeiture.
(b) Notice to copyright owner. If the importer of suspected
infringing copies or phonorecords files a denial as provided in
paragraph (a) of this section, the port director shall furnish to the
copyright owner the following information, if available, within 30 days,
excluding weekends and holidays, of the receipt of the importer's
denial:
(1) The date of importation;
(2) The port of entry;
(3) A description of the merchandise;
(4) The quantity involved;
(5) The country of origin of the merchandise; and
(6) Notice that the imported article will be released to the
importer unless, within 30 days from the date of the notice, the
copyright owner files with the port director:
(i) A written demand for the exclusion from entry of the detained
imported article; and
(ii) A bond, in the form and amount specified by the port director,
conditioned to hold the importer or owner of the imported article
harmless from any loss or damage resulting from Customs detention in the
event the Commissioner or his designee determines that the article is
not an infringing copy prohibited importation under section 602 of the
Copyright Act of 1976 (17 U.S.C. 602) (See part 113 of this chapter).
(c) Samples available to the copyright owner. At any time following
presentation of the merchandise for Customs examination, but prior to
seizure, Customs may provide a sample of the suspect merchandise to the
owner of the copyright for examination or testing to assist in
determining whether the article imported is a piratical copy. To obtain
a sample under this section, the copyright owner must furnish Customs a
bond in the form and amount specified by the port director, conditioned
to hold the United States, its officers and employees, and the importer
or owner of the imported article harmless from any loss or damage
resulting from the furnishing of a sample by Customs to the copyright
owner. Customs may demand the return of the sample at any time. The
owner must return the
[[Page 919]]
sample to Customs upon demand or at the conclusion of the examination or
testing. In the event that the sample is damaged, destroyed, or lost
while in the possession of the copyright owner, the owner shall, in lieu
of return of the sample, certify to Customs that: ``The sample described
as [insert description] provided pursuant to 19 CFR 133.43(c) was
(damaged/destroyed/lost) during examination or testing for copyright
infringement.
(d) Result of action or inaction by copyright owner. After notice to
the copyright owner that delivery is being withheld for imported
articles suspected of being infringing copies of his recorded
copyrighted work, the port director shall proceed in accordance with the
following procedures:
(1) Demand and bond; exchange of briefs. If the copyright owner
files a written demand for exclusion of the suspected infringing copies
together with a proper bond, the port director shall promptly notify the
importer and copyright owner that, during a specified time limited to
not more than 30 days, they may submit any evidence, legal briefs or
other pertinent material to substantiate the claim or denial of
infringement. The burden of proof shall be upon the party claiming that
the article is in fact an infringing copy.
(i) Exchange of briefs. Before timely submitting the additional
evidence, legal briefs, or other pertinent material to Customs, pursuant
to paragraph (c)(1) of this section, in regard to the disputed claim of
infringement, the importer and the copyright owner shall first provide
each other with a copy of all such information, including the importer's
denial of infringement and the copyright owner's demand for exclusion.
The subsequent submission of this information to Customs shall be
accompanied by a written statement confirming that a copy has already
been provided to the opposing party. The port director shall notify the
importer and the copyright owner that they shall have additional time,
not to exceed 30 days, in which to provide a response to the arguments
submitted by the opposing party, and that rebuttal arguments, timely
submitted, shall be fully considered in the decision-making process.
During this rebuttal period and before timely submitting the rebuttal
arguments to Customs, the importer and the copyright owner shall first
provide each other with a copy of all such material. The submission of
this rebuttal material to Customs shall be accompanied by a written
statement confirming that a copy has been provided to the opposing
party. The port director shall not accept any additional material from
the parties to substantiate the claim or denial of infringement after
the final 30-day rebuttal period expires.
(ii) Decision. Upon receipt of rebuttal arguments, or 30 days after
notification if no rebuttal arguments are submitted, the port director
shall forward the entire file, together with a sample of each style that
is considered possibly infringing, to CBP Headquarters, (Attention:
Border Security and Trade Compliance Division, Regulations and Rulings,
Office of International Trade), for decision on the disputed claim of
infringement. The final decision on the disputed claim of infringement
shall be forwarded to the port director who shall send a copy thereof to
the copyright owner as well as to the importer.
(2) Infringement disclaimed or unsupported. If the copyright owner
disclaims that the specified imported article is an infringing copy of
his recorded copyrighted work, or fails to present sufficient evidence
or proof to substantiate a claim of infringement, the port director
shall release the detained shipment to the importer and all further
importations of the same article, by whomever imported, without further
notice to the copyright owner.
(3) Failure to file demand or bond. If the copyright owner fails to
file a written demand for exclusion and bond as required by paragraph
(b) of this section, the port director shall release the detained
articles to the importer and notify the copyright owner of the release.
(4) Withdrawal of bond. Where the copyright owner has posted a bond
on the grounds that the imported article is infringing, the copyright
owner may not withdraw the bond until a decision on the issue of
infringement has been reached.
(e) Alternative procedure: court action. As an alternative to the
administrative
[[Page 920]]
procedure described in this section, the copyright owner, whether or not
he has recorded his copyright with Customs, may seek a court order
enjoining importation of the article. To obtain Customs enforcement of
an injunction, the copyright owner shall submit a certified copy of the
court order to the Commissioner of Customs, Attention: Office of the
Chief Counsel, Washington, DC 20229. In addition, if the copyright in
question is not recorded with Customs, the copyright owner shall submit
the $190 fee required by Sec. 133.33(b) and, if the work is a three-
dimensional or other work not readily identifiable by title and author,
5 photographic or other likenesses reproduced on paper approximately
8 x 10\1/2\ in size.
[T.D. 87-40, 52 FR 9475, Mar. 25, 1987, as amended by T.D. 93-87, 58 FR
57740, Oct. 27, 1993; T.D. 98-21, 63 FR 12000, Mar. 12, 1998; 63 FR
15088, Mar. 30, 1998]
Sec. 133.44 Decision of disputed claim of infringement.
(a) Claim of infringement sustained. Upon determination by the
Commissioner of Customs or his designee that the detained article
forwarded in accordance with Sec. 133.43(c)(1) is an infringing copy,
the port director shall seize the imported article and institute
forfeiture proceedings in accordance with part 162 of this chapter. The
bond of the copyright owner shall be returned.
(b) Denial of infringement sustained. Upon determination by the
Commissioner of Customs or his designee that the detained article
forwarded in accordance with Sec. 133.43(c)(1) is not an infringing
copy, the port director shall release all detained merchandise and
transmit the copyright owner's bond to the importer.
[T.D. 87-40, 52 FR 9476, Mar. 25, 1987, as amended by T.D. 97-30, 62 FR
19493, Apr. 22, 1997]
Sec. 133.45 [Reserved]
Sec. 133.46 Demand for redelivery of released articles.
If it is determined that articles which have been released from
Customs custody are subject to the prohibitions or restrictions of this
subpart, the director of the port of entry shall promptly make demand
for redelivery of the articles under the terms of the bond on Customs
Form 301, containing the bond conditions set forth in Sec. 113.62 of
this chapter, in accordance with Sec. 141.113 of this chapter. If the
articles are not redelivered to Customs custody, a claim for liquidated
damages shall be made in accordance with Sec. 141.113(h) of this
chapter.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 73-175, 38
FR 17447, July 2, 1973; T.D. 74-227, 39 FR 32023, Sept. 4, 1974; T.D.
84-213, 49 FR 41183, Oct. 19, 1984; T.D. 99-64, 64 FR 43266, Aug. 10,
1999]
Subpart F_Procedure Following Forfeiture or Assessment of Liquidated
Damages
Sec. 133.51 Relief from forfeiture or liquidated damages.
(a) Petition for relief. The importer may petition in accordance
with parts 171 and 172 of this chapter for relief from, or cancellation
of, a forfeiture incurred for violation of the trademark or copyright
laws, or a claim for liquidated damages for failure to redeliver
released merchandise incurred under the provisions of Sec. 133.24 or
Sec. 133.46.
(b) Conditioned relief. In appropriate cases, except for articles
bearing a counterfeit trademark, relief from a forfeiture may be granted
pursuant to a petition for relief upon the following conditions and such
other conditions as may be specified by the appropriate Customs
authority:
(1) The unlawfully imported or prohibited articles are exported or
destroyed under Customs supervision and at no expense to the Government;
(2) All offending trademarks or trade names are removed or
obliterated prior to release of the articles:
(3) In the case of books or periodicals manufactured abroad contrary
to the terms of the ``American manufacturing clause'' of the Copyright
Act of 1976 (17 U.S.C. 602, 603):
(i) Satisfactory evidence is submitted that a statement of
abandonment has been filed and recorded in the Copyright Office by the
copyright owner in accordance with the procedures of the Copyright
Office; and
[[Page 921]]
(ii) The notice of copyright is completely obliterated prior to
release of the books or periodicals.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 79-159, 44
FR 31968, June 4, 1979; T.D. 87-40, 52 FR 9476, Mar. 25, 1987]
Sec. 133.52 Disposition of forfeited merchandise.
(a) Trademark (other than counterfeit) or trade name violations.
Articles forfeited for violation of the trademark laws, other than
articles bearing a counterfeit trademark, shall be disposed of in
accordance with the procedures applicable to forfeitures for violation
of the Customs laws, after the removal or obliteration of the name,
mark, or trademark by reason of which the articles were seized.
(b) Copyright violations. Articles forfeited for violation of the
copyright laws shall be destroyed.
(c) Articles bearing a counterfeit trademark. Merchandise forfeited
for violation of the trademark laws shall be destroyed, unless it is
determined that the merchandise is not unsafe or a hazard to health and
the Commissioner of Customs or his designee has the written consent of
the U.S. trademark owner, in which case the Commissioner of Customs or
his designee may dispose of the merchandise, after obliteration of the
trademark, where feasible, by:
(1) Delivery to any Federal, State, or local government agency that,
in the opinion of the Commissioner or his designee, has established a
need for the merchandise; or
(2) Gift to any charitable institution that, in the opinion of the
Commissioner or his designee, has established a need for the
merchandise; or
(3) Sale at public auction, if more than 90 days has passed since
the forfeiture and Customs has determined that no need for the
merchandise has been established under paragraph (c)(1) or (c)(2) of
this section.
[T.D. 79-159, 44 FR 31969, June 4, 1969, as amended by T.D. 94-90, 59 FR
55997, Nov. 10, 1994; T.D. 97-91, 62 FR 61232, Nov. 17, 1997]
Sec. 133.53 Refund of duty.
If a violation of the trademark or copyright laws is not discovered
until after entry and deposit of estimated duty, the entry shall be
endorsed with an appropriate notation and the duty refunded as an
erroneous collection upon exportation or destruction of the prohibited
articles in accordance with Sec. 158.41 or Sec. 158.45 of this chapter.
[T.D. 72-266, 37 FR 20678, Oct. 3, 1972, as amended by T.D. 73-175, 38
FR 17447, July 2, 1973]
PART 134_COUNTRY OF ORIGIN MARKING
Sec.
134.0 Scope.
Subpart A_General Provisions
134.1 Definitions.
134.2 Additional duties.
134.3 Delivery withheld until marked and redelivery ordered.
134.4 Penalties for removal, defacement, or alteration of marking.
Subpart B_Articles Subject to Marking
134.11 Country of origin marking required.
134.12 Foreign articles reshipped from a U.S. possession.
134.13 Imported articles repacked or manipulated.
134.14 Articles usually combined.
Subpart C_Marking of Containers or Holders
134.21 Special marking.
134.22 General rules for marking of containers or holders.
134.23 Containers or holders designed for or capable of reuse.
134.24 Containers or holders not designed for or capable of reuse.
134.25 Containers or holders for repacked J-list articles and articles
incapable of being marked.
134.26 Imported articles repacked or manipulated.
Subpart D_Exceptions to Marking Requirements
134.31 Requirements of other agencies.
134.32 General exceptions to marking requirements.
134.33 J-List exceptions.
134.34 Certain repacked articles.
134.35 Articles substantially changed by manufacture.
134.36 Inapplicability of marking exception for articles processed by
importer.
Subpart E_Method and Location of Marking Imported Articles
134.41 Methods and manner of marking.
[[Page 922]]
134.42 Specific method may be required.
134.43 Methods of marking specific articles.
134.44 Location and other acceptable methods of marking.
134.45 Approved markings of country name.
134.46 Marking when name of country or locality other than country of
origin appears.
134.47 Souvenirs and articles marked with trademarks or trade names.
Subpart F_Articles Found Not Legally Marked
134.51 Procedure when importation found not legally marked.
134.52 Certificate of marking.
134.53 Examination packages.
134.54 Articles released from Customs custody.
134.55 Compensation of Customs officers and employees.
Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1202 (General Note 3(i),
Harmonized Tariff Schedule of the United States), 1304, 1624.
Source: T.D. 72-262, 37 FR 20318, Sept. 29, 1972, unless otherwise
noted.
Sec. 134.0 Scope.
This part sets forth regulations implementing the country of origin
marking requirements and exceptions of section 304 of the Tariff Act of
1930, as amended (19 U.S.C. 1304), together with certain marking
provisions of the Harmonized Tariff Schedule of the United States (19
U.S.C. 1202). The consequences and procedures to be followed when
articles are not legally marked are set forth in this part. The
consequences and procedures to be followed when articles are falsely
marked are set forth in Sec. 11.13 of this chapter. Special marking and
labeling requirements are covered elsewhere. Provisions regarding the
review and appeal rights of exporters and producers resulting from
adverse North American Free Trade Agreement marking decisions are
contained in subpart J of part 181 of this chapter.
[T.D. 81-290, 46 FR 58070, Nov. 30, 1981, as amended by T.D. 89-1, 53 FR
51255, Dec. 21, 1988; T.D. 94-1, 58 FR 69471, Dec. 30, 1993]
Subpart A_General Provisions
Sec. 134.1 Definitions.
When used in this part, the following terms shall have the meaning
indicated:
(a) Country. ``Country'' means the political entity known as a
nation. Colonies, possessions, or protectorates outside the boundaries
of the mother country are considered separate countries.
(b) Country of origin. ``Country of origin'' means the country of
manufacture, production, or growth of any article of foreign origin
entering the United States. Further work or material added to an article
in another country must effect a substantial transformation in order to
render such other country the ``country of origin'' within the meaning
of this part; however, for a good of a NAFTA country, the NAFTA Marking
Rules will determine the country of origin.
(c) Foreign origin. ``Foreign origin'' refers to a country of origin
other than the United States, as defined in paragraph (e) of this
section, or its possessions and territories.
(d) Ultimate purchaser. The ``ultimate purchaser'' is generally the
last person in the United States who will receive the article in the
form in which it was imported; however, for a good of a NAFTA country,
the ``ultimate purchaser'' is the last person in the United States who
purchases the good in the form in which it was imported. It is not
feasible to state who will be the ``ultimate purchaser'' in every
circumstance. The following examples may be helpful:
(1) If an imported article will be used in manufacture, the
manufacturer may be the ``ultimate purchaser'' if he subjects the
imported article to a process which results in a substantial
transformation of the article, even though the process may not result in
a new or different article, or for a good of a NAFTA country, a process
which results in one of the changes prescribed in the NAFTA Marking
Rules as effecting a change in the article's country of origin.
(2) If the manufacturing process is merely a minor one which leaves
the identity of the imported article intact, the consumer or user of the
article, who obtains the article after the processing, will be regarded
as the ``ultimate purchaser.'' With respect to a good of a NAFTA
country, if the manufacturing process does not result in one
[[Page 923]]
of the changes prescribed in the NAFTA Marking Rules as effecting a
change in the article's country of origin, the consumer who purchases
the article after processing will be regarded as the ultimate purchaser.
(3) If an article is to be sold at retail in its imported form, the
purchaser at retail is the ``ultimate purchaser.''
(4) If the imported article is distributed as a gift the recipient
is the ``ultimate purchaser'', unless the good is a good of a NAFTA
country. In that case, the purchaser of the gift is the ultimate
purchaser.
(e) United States. ``United States'' includes all territories and
possessions of the United States, except the Virgin Islands, American
Samoa, Wake Island, Midway Islands, Kingman Reef, Johnston Island, and
the island of Guam.
(f) Customs territory of the United States. ``Customs territory of
the United States,'' as used in this chapter includes the States, the
District of Columbia, and the Commonwealth of Puerto Rico.
(g) Good of a NAFTA country. A ``good of a NAFTA country'' is an
article for which the country of origin is Canada, Mexico or the United
States as determined under the NAFTA Marking Rules.
(h) NAFTA. ``NAFTA'' means the North American Free Trade Agreement
entered into by the United States, Canada and Mexico on August 13, 1992.
(i) NAFTA country. ``NAFTA country'' means the territory of the
United States, Canada or Mexico, as defined in Annex 201.1 of the NAFTA.
(j) NAFTA Marking Rules. The ``NAFTA Marking Rules'' are the rules
promulgated for purposes of determining whether a good is a good of a
NAFTA country.
(k) Conspicuous. ``Conspicuous'' means capable of being easily seen
with normal handling of the article or container.
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 94-1, 58
FR 69471, Dec. 30, 1993; T.D. 95-68, 60 FR 46362, Sept. 6, 1995]
Sec. 134.2 Additional duties.
Articles not marked as required by this part shall be subject to
additional duties of 10 percent of the final appraised value unless
exported or destroyed under Customs supervision prior to liquidation of
the entry, as provided in 19 U.S.C. 1304(f). The 10 percent additional
duty is assessable for failure either to mark the article (or container)
to indicate the English name of the country of origin of the article or
to include words or symbols required to prevent deception or mistake.
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 90-51, 55
FR 28190, July 10, 1990]
Sec. 134.3 Delivery withheld until marked and redelivery ordered.
(a) Any imported article (or its container) held in CBP custody for
inspection, examination, or appraisement will not be delivered until
marked with its country of origin, or until estimated duties payable
under 19 U.S.C. 1304(f), or adequate security for those duties (see
Sec. 134.53(a)(2)), are deposited.
(b) The port director may demand redelivery to CBP custody of any
article (or its container) previously released which is found to be not
marked legally with its country of origin for the purpose of requiring
the article (or its container) to be properly marked. A demand for
redelivery will be made, as required under Sec. 141.113(a) of this
chapter, not later than 30 days after--
(1) The date of entry, in the case of merchandise examined in public
stores and places of arrival, such as docks, wharfs, or piers; or
(2) The date of examination, in the case of merchandise examined at
the importer's premises or such other appropriate places as determined
by the port director.
(c) Nothing in this part shall be construed as excepting any article
(or its container) from the particular requirements of marking provided
for in any other provision of law.
[T.D. 80-88, 45 FR 18921, Mar. 24, 1980, as amended by T.D. 90-51, 55 FR
28190, July 10, 1990; CBP Dec. 08-25, 73 FR 40726, July 16, 2008]
Sec. 134.4 Penalties for removal, defacement, or alteration of marking.
Any intentional removal, defacement, destruction, or alteration of a
marking of the country of origin required by section 304, Tariff Act of
1930, as amended (19 U.S.C. 1304), and this
[[Page 924]]
part in order to conceal this information may result in criminal
penalties of up to $5,000 and/or imprisonment for 1 year, as provided in
19 U.S.C. 1304(h).
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 90-51, 55
FR 28191, July 10, 1990]
Subpart B_Articles Subject to Marking
Sec. 134.11 Country of origin marking required.
Unless excepted by law, section 304, Tariff Act of 1930, as amended
(19 U.S.C. 1304), requires that every article of foreign origin (or its
container) imported into the United States shall be marked in a
conspicuous place as legibly, indelibly, and permanently as the nature
of the article (or container) will permit, in such manner as to indicate
to an ultimate purchaser in the United States the English name of the
country of origin of the article, at the time of importation into the
Customs territory of the United States. Containers of articles excepted
from marking shall be marked with the name of the country of origin of
the article unless the container is also excepted from marking.
Sec. 134.12 Foreign articles reshipped from a U.S. possession.
Articles of foreign origin imported into any possession of the
United States outside its Customs territory and reshipped to the United
States are subject to all marking requirements applicable to like
articles of foreign origin imported directly from a foreign country to
the United States.
Sec. 134.13 Imported articles repacked or manipulated.
(a) Marking requirement. An article within the provisions of this
section shall be marked with the name of the country of origin at the
time the article is withdrawn for consumption unless the article and its
container are exempted from marking under provisions of subpart D of
this part at the time of importation.
(b) Applicability. The provisions of this section are applicable to
the following articles:
(1) Articles repacked in a bonded warehouse under Sec. 19.8 of this
chapter;
(2) Articles manipulated under section 562, Tariff Act of 1930, as
amended (19 U.S.C. 1562), and Sec. 19.11 of this chapter;
(3) Articles manipulated, but not manufactured, in a foreign-trade
zone under Sec. 146.32 of this chapter.
Sec. 134.14 Articles usually combined.
(a) Articles combined before delivery to purchaser. When an imported
article is of a kind which is usually combined with another article
after importation but before delivery to an ultimate purchaser and the
name indicating the country of origin of the article appears in a place
on the article so that the name will be visible after such combining,
the marking shall include, in addition to the name of the country of
origin, words or symbols which shall clearly show that the origin
indicated is that of the imported article only and not that of any other
article with which the imported article may be combined after
importation.
(b) Example. Labels and similar articles so marked that the name of
the country of origin of the label or article is visible after it is
affixed to another article in this country shall be marked with
additional descriptive words such as ``Label made (or printed) in (name
of country)'' or words of similar meaning. See subpart C of this part
for marking of bottles, drums, or other containers.
(c) Applicability. This section shall not apply to articles of a
kind which are ordinarily so substantially changed in the United States
that the articles in their changed condition become products of the
United States. An article excepted from marking under subpart D of this
part is not within the scope of section 304(a)(2), Tariff Act of 1930,
as amended (19 U.S.C. 1304(a)(2)), and is not subject to the
requirements of this section.
Subpart C_Marking of Containers or Holders
Sec. 134.21 Special marking.
This subpart includes only country of origin marking requirements
and exceptions under section 304(b), Tariff Act of 1930, as amended (19
U.S.C. 1304(b)), for containers or holders. Special marking may be
required by the
[[Page 925]]
Internal Revenue Service on alcoholic beverage bottles and other
requirements may be imposed by reason of the nature of the contents by
other Government agencies.
Sec. 134.22 General rules for marking of containers or holders.
(a) Contents excepted from marking. When an article is excepted from
the marking requirements by subpart D of this part, the outermost
container or holder in which the article ordinarily reaches the ultimate
purchaser shall be marked to indicate the country of origin of the
article whether or not the article is marked to indicate its country of
origin.
(b) Containers or holders treated as imported articles. Containers
or holders for imported merchandise which are subject to treatment as
imported articles under the Harmonized Tariff Schedule of the United
States (19 U.S.C. 1202), shall be marked to indicate clearly the country
of their own origin in addition to any marking which may be required to
show the country of origin of their contents; however, no marking is
required for any good of a NAFTA country which is a usual container.
(c) Containers or holders bearing a U.S. address. Containers or
holders of imported merchandise bearing the name and address of an
importer, distributor, or other person or company in the United States
shall be marked in close proximity to the U.S. address to indicate
clearly the country of origin of the contents with a marking such as
``Contents made in France'' or ``Contents Product of Spain.''
(d) Usual containers--(1) ``Usual container'' defined. For purposes
of this subpart, a usual container means the container in which a good
will ordinarily reach its ultimate purchaser. Containers which are not
included in the price of the goods with which they are sold, or which
impart the essential character to the whole, or which have significant
uses, or lasting value independent of the contents, will generally not
be regarded as usual containers. However, the fact that a container is
sturdy and capable of repeated use with its contents does not preclude
it from being considered a usual container so long as it is the type of
container in which its contents are ordinarily sold. A usual container
may be any type of container, including one which is specially shaped or
fitted to contain a specific good or set of goods such as a camera case
or an eyeglass case, or packing, storage and transportation materials.
(2) A good of a NAFTA country which is a usual container. A good of
a NAFTA country which is a usual container, whether or not disposable
and whether or not imported empty or filled, is not required to be
marked with its own country of origin. If imported empty, the importer
must be able to provide satisfactory evidence to Customs at the time of
importation that it will be used only as a usual container (that it is
to be filled with goods after importation and that such container is of
a type in which these goods ordinarily reach the ultimate purchaser).
(e) Exceptions. Containers or holders of imported articles are not
required to be marked if:
(1) Excepted articles. They are containers or holders of articles
within the exceptions set forth in paragraph (f), (g), or (h) in
Sec. 134.32 or they are containers of a good of a NAFTA country within
the exceptions set forth in paragraph (e), (f), (g), (h), (i), (p) or
(q) of Sec. 134.32.
(2) Excepted containers or holders. The container or holder itself
is within an exception set forth in subpart D of this part.
(3) To be filled by the importer. The container or holder is within
the exception set forth in Sec. 134.24(c).
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 94-1, 58
FR 69471, Dec. 30, 1993]
Sec. 134.23 Containers or holders designed for or capable of reuse.
(a) Usual and ordinary reusable containers or holders. Except for
goods of a NAFTA country which are usual containers, containers or
holders designed for or capable of reuse after the contents have been
consumed, whether imported full or empty, must be individually marked to
indicate the country of their own origin with a marking such as,
``Container Made in (name of country).'' Examples of the containers or
holders contemplated are heavy
[[Page 926]]
duty steel drums, tanks, and other similar shipping, storage,
transportation containers or holders capable of reuse. These containers
or holders are subject to the treatment specified in General Rule of
Interpretation 5(b), Harmonized Tariff Schedule of the United States (19
U.S.C. 1202).
(b) Other reusable containers or holders. Containers or holders
which give the whole importation its essential character, as described
in General Rule of Interpretation 5(a) (19 U.S.C. 1202), must be
individually marked to clearly indicate their own origin with a marking
such as, ``Container made in (name of country).'' Examples of the
containers contemplated are mustard jars reusable as beer mugs; shaving
soap containers reusable as shaving mugs; fancy cologne bottles reusable
as flower vases, and other containers which have a lasting value or
decorative use.
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 89-1, 53
FR 51256, Dec. 21, 1988; T.D. 94-1, 58 FR 69471, Dec. 30, 1993]
Sec. 134.24 Containers or holders not designed for or capable of reuse.
(a) Containers ordinarily discarded after use. Disposable containers
or holders subject to the provisions of this section are the usual
ordinary types of containers or holders, including cans, bottles, paper
or polyethylene bags, paperboard boxes, and similar containers or
holders which are ordinarily discarded after the contents have been
consumed.
(b) Imported empty. Disposable containers or holders imported for
distribution or sale are subject to treatment as imported articles in
accordance with the Harmonized Tariff Schedule of the United States (19
U.S.C. 1202), and shall be marked to indicate clearly the country of
their own origin. However, when the containers are packed and sold in
multiple units (dozens, gross, etc.), this requirement ordinarily may be
met by marking the outermost container which reaches the ultimate
purchaser.
(c) Imported to be filled--(1) If unmarked. When disposable
containers or holders or usual containers which are goods of a NAFTA
country are imported by persons or firms who fill or package them with
various products which they sell, these persons or firms are the
``ultimate purchasers'' of these containers or holders or usual
containers which are goods of a NAFTA country and they may be excepted
from individual marking pursuant to 19 U.S.C. 1304(a)(3)(D). The outside
wrappings or packages containing the containers shall be clearly marked
to indicate the country of origin.
(2) If marked. If the disposable containers or holders or the usual
containers which are goods of a NAFTA country are marked with the
country of origin at the time of importation and the marking will be
visible after they are filled, the marking shall clearly indicate that
the container only and not the contents were made in the named country.
For example, bottles, drums, or other containers imported empty, to be
filled in the United States, shall be marked with such words as ``Bottle
(or container) made in (name of country).''
(d) Imported full--(1) When contents are excepted from marking.
Usual disposable containers in use as such at the time of importation
shall not be required to be marked to show the country of their own
origin, but shall be marked to indicate the origin of their contents
regardless of the fact that the contents are excepted from marking
requirements; however, such marking is not required if the contents are
excepted from marking requirements under paragraph (f), (g), or (h) of
Sec. 134.32 or, in the case of a good of a NAFTA country, under
paragraph (e), (f), (g), (h), (i), (p) or (q) of that section.
(2) Sealed containers or holders. Disposable containers or holders
of imported merchandise, which are sold without normally being opened by
the ultimate purchaser (e.g., individually wrapped soap bars or tennis
balls in a vacuum sealed can), shall be marked to indicate the country
of origin of their contents.
(3) Unsealed containers. Unsealed disposable containers of imported
merchandise normally unopened by the ultimate purchaser, may be excepted
from marking if the article is so marked that the country of origin is
clearly visible without unpacking the container. However, if the
container is
[[Page 927]]
normally opened by the ultimate purchaser prior to purchase, only the
article need be marked.
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 89-1, 53
FR 51255, Dec. 21, 1988; T.D. 94-1, 58 FR 69471, Dec. 30, 1993]
Sec. 134.25 Containers or holders for repacked J-list articles and
articles incapable of being marked.
(a) Certification requirements. If an article subject to these
requirements is intended to be repacked in new containers for sale to an
ultimate purchaser after its release from Customs custody, or if the
port director having custody of the article, has reason to believe such
article will be repacked after its release, the importer shall certify
to the port director that: (1) If the importer does the repacking, the
new container shall be marked to indicate the country of origin of the
article in accordance with the requirements of this part; or (2) if the
article is intended to be sold or transferred to a subsequent purchaser
or repacker, the importer shall notify such purchaser or transferee, in
writing, at the time of sale or transfer, that any repacking of the
article must conform to these requirements. The importer, or his
authorized agent, shall sign the following statement.
Certificate of Marking--Repacked J-List Articles and Articles Incapable
of Being Marked
(Port of entry)_________________________________________________________
I, of , certify that if the article(s) covered by this
entry (entry no.(s) dated ), is (are) repacked in a new
container(s), while still in my possession, the new containers, unless
excepted, shall be marked in a conspicuous place as legibly, indelibly,
and permanently as the nature of the container(s) will permit, in such
manner as to indicate the country of origin of the article(s) to the
ultimate purchaser(s) in accordance with the requirements of 19 U.S.C.
1304 and 19 CFR part 134. I further certify that if the article(s) is
(are) intended to be sold or transferred by me to a subsequent purchaser
or repacker, I will notify such purchaser or transferee, in writing, at
the time of sale or transfer, of the marking requirements.
Date____________________________________________________________________
Importer________________________________________________________________
The certification statement may appear as a typed or stamped statement
on an appropriate entry document or commercial invoice, or on a
preprinted attachment to such entry or invoice; or it may be submitted
in blanket form to cover all importations of a particular product for a
given period (e.g., calendar year). If the blanket procedure is used, a
certification must be filed at each port where the article is entered.
(b) Facsimile signatures. The certification statement may be signed
by means of an authorized facsimile signature.
(c) Time of filing. The certification statement shall be filed with
the port director at the time of entry summary. If the certification is
not available at that time, a bond shall be given for its production in
accordance with Sec. 141.66, Customs Regulations (19 CFR 141.66). In
case of repeated failure to timely file the certification required under
this section, the port director may decline to accept a bond for the
missing document and demand redelivery of the merchandise under
Sec. 134.51, Customs Regulations (19 CFR 134.51).
(d) Notice to subsequent purchaser or repacker. If the article is
sold or transferred to a subsequent purchaser or repacker the following
notice shall be given to the purchaser or repacker:
Notice to Subsequent Purchaser or Repacker
These articles are imported. The requirements of 19 U.S.C. 1304 and
19 CFR part 134 provide that the articles or their containers must be
marked in a conspicuous place as legibly, indelibly and permanently as
the nature of the article or container will permit, in such a manner as
to indicate to an ultimate purchaser in the United States, the English
name of the country of origin of the article.
(e) Duties and penalties. Failure to comply with the certification
requirements in paragraph (a) may subject the importer to a demand for
liquidated damages under Sec. 134.54(a) and for the additional duty
under 19 U.S.C. 1304. Fraud or negligence by any person in furnishing
the required certification may also result in a penalty under 19 U.S.C.
1592.
[T.D. 83-155, 48 FR 33863, July 26, 1983]
[[Page 928]]
Sec. 134.26 Imported articles repacked or manipulated.
(a) Certification requirements. If an article subject to these
requirements is intended to be repacked in retail containers (e.g.,
blister packs) after its release from Customs custody, or if the port
director having custody of the article, has reason to believe such
article will be repacked after its release, the importer shall certify
to the port director that: (1) If the importer does the repacking, he
shall not obscure or conceal the country of origin marking appearing on
the article, or else the new container shall be marked to indicate the
country of origin of the article in accordance with the requirements of
this part; or (2) if the article is intended to be sold or transferred
to a subsequent purchaser or repacker, the importer shall notify such
purchaser or transferee, in writing, at the time of sale or transfer,
that any repacking of the article must conform to these requirements.
The importer, or his authorized agent, shall sign the following
statement.
Certificate of Marking by Importer--Repacked Articles Subject to Marking
(Port of entry)_________________________________________________________
I, -------- of --------, certify that if the article(s) covered by
this entry (entry no.(s) ---- dated ----), is (are) repacked in retail
container(s) e.g., blister packs), while still in my possession, the new
container(s) will not conceal or obscure the country of origin marking
appearing on the article(s), or else the new container(s), unless
excepted, shall be marked in a conspicuous place as legibly, indelibly,
and permanently as the nature of the container(s) will permit, in such
manner as to indicate the country of origin of the article(s) to the
ultimate purchaser(s) in accordance with the requirements of 19 U.S.C.
1304 and 19 CFR part 134. I further certify that if the article(s) is
(are) intended to be sold or transferred by me to a subsequent purchaser
or repacker, I will notify such purchaser or transferee, in writing, at
the time of sale or transfer, of the marking requirements.
Date____________________________________________________________________
Importer________________________________________________________________
The certification statement may appear as a typed or stamped statement
on an appropriate entry document or commercial invoice, or on a
preprinted attachment to such entry or invoice; or it may be submitted
in blanket form to cover all importations of a particular product for a
given period (e.g., calendar year). If the blanket procedure is used, a
certification must be filed at each port where the article(s) is
entered.
(b) Facsimile signatures. The certification statement may be signed
by means of an authorized facsimile signature.
(c) Time of filing. The certification statement shall be filed with
the port director at the time of entry summary. If the certification is
not available at that time, a bond shall be given for its production in
accordance with Sec. 141.66, Customs Regulations (19 CFR 141.66). In
case of repeated failure to timely file the certification required under
this subsection, the port director may decline to accept a bond for the
missing document and demand redelivery of the merchandise under
Sec. 134.51, Customs Regulations (19 CFR 134.51).
(d) Notice to subsequent purchaser or repacker. If the article is
sold or transferred to a subsequent purchaser or repacker the following
notice shall be given to the purchaser or repacker:
Notice to Subsequent Purchaser or Repacker
These articles are imported. The requirements of 19 U.S.C. 1304 and
19 CFR part 134 provide that the articles in their containers must be
marked in a conspicuous place as legibly, indelibly and permanently as
the nature of the article or container will permit, in such a manner as
to indicate to an ultimate purchaser in the United States, the English
name of the country of origin of the article.
(e) Duties and penalties. Failure to comply with the certification
requirements in paragraph (a) may subject the importer to a demand for
liquidated damages under Sec. 134.54(a) and for the additional duty
under 19 U.S.C. 1304. Fraud or negligence by any person in furnishing
the required certification may also result in a penalty under 19 U.S.C.
1592.
(f) Exceptions. The requirements of this section do not apply to
repackaging in a container that can readily be opened for inspection by
the ultimate purchaser in the United States,
[[Page 929]]
unless such container bears a U.S. address or other potentially
misleading marking.
[T.D. 84-127, 49 FR 22795, June 1, 1984]
Subpart D_Exceptions to Marking Requirements
Sec. 134.31 Requirements of other agencies.
Nothing in this subpart shall be construed as excepting any article
(or its container) from the particular requirements of marking provided
for in any other provision of any law, such as those of the Federal
Trade Commission, Food and Drug Administration, and other agencies.
Sec. 134.32 General exceptions to marking requirements.
The articles described or meeting the specified conditions set forth
below are excepted from marking requirements (see subpart C of this part
for marking of the containers):
(a) Articles that are incapable of being marked;
(b) Articles that cannot be marked prior to shipment to the United
States without injury;
(c) Articles that cannot be marked prior to shipment to the United
States except at an expense economically prohibitive of its importation;
(d) Articles for which the marking of the containers will reasonably
indicate the origin of the articles;
(e) Articles which are crude substances;
(f) Articles imported for use by the importer and not intended for
sale in their imported or any other form;
(g) Articles to be processed in the United States by the importer or
for his account otherwise than for the purpose of concealing the origin
of such articles and in such manner that any mark contemplated by this
part would necessarily be obliterated, destroyed, or permanently
concealed;
(h) Articles for which the ultimate purchaser must necessarily know,
or in the case of a good of a NAFTA country, must reasonably know, the
country of origin by reason of the circumstances of their importation or
by reason of the character of the articles even though they are not
marked to indicate their origin;
(i) Articles which were produced more than 20 years prior to their
importation into the United States;
(j) Articles entered or withdrawn from warehouse for immediate
exportation or for transportation and exportation;
(k) Products of American fisheries which are free of duty;
(l) Products of possessions of the United States;
(m) Products of the United States exported and returned;
(n) Articles exempt from duty under Sec. Sec. 10.151 through 10.153,
145.31 or 145.32 of this chapter;
(o) Articles which cannot be marked after importation except at an
expense that would be economically prohibitive unless the importer,
producer, seller, or shipper failed to mark the articles before
importation to avoid meeting the requirements of the law;
(p) Goods of a NAFTA country which are original works of art; and
(q) Goods of a NAFTA country which are provided for in subheading
6904.10 or heading 8541 or 8542 of the Harmonized Tariff Schedule of the
United States (HTSUS) (19 U.S.C. 1202).
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 73-135, 38
FR 13369, May 21, 1973; T.D. 73-175, 38 FR 17447, July 2, 1973; T.D. 94-
1, 58 FR 69471, Dec. 30, 1993; T.D. 94-4, 59 FR 140, Jan. 3, 1994; T.D.
96-48, 61 FR 28980, June 6, 1996]
Sec. 134.33 J-List exceptions.
Articles of a class or kind listed below are excepted from the
requirements of country of origin marking in accordance with the
provisions of section 304(a)(3)(J), Tariff Act of 1930, as amended (19
U.S.C. 1304(a)(3)(J)). However, in the case of any article described in
this list which is imported in a container, the outermost container in
which the article ordinarily reaches the ultimate purchaser is required
to be marked to indicate the origin of its contents in accordance with
the requirements of subpart C of this part. All articles are listed in
Treasury Decisions 49690, 49835, and 49896. A reference different from
the foregoing indicates an amendment.
[[Page 930]]
------------------------------------------------------------------------
Articles References
------------------------------------------------------------------------
Art, works of.
Articles classified under subheadings T.D. 66-153.
9810.00.15, 9810.00.25, 9810.00.40 and
9810.00.45, Harmonized Tariff Schedule of
the United States.
Articles entered in good faith as antiques
and rejected as unauthentic.
Bagging, waste.
Bags, jute.
Bands, steel.
Beads, unstrung.
Bearings, ball, \5/8\-inch or less in
diameter.
Blanks, metal, to be plated.
Bodies, harvest hat.
Bolts, nuts, and washers.
Briarwood in blocks.
Briquettes, coal or coke.
Buckles, 1 inch or less in greatest
dimension.
Burlap.
Buttons.
Cards, playing.
Cellophane and celluloid in sheets, bands,
or strips.
Chemicals, drugs, medicinal, and similar
substances, when imported in capsules,
pills, tablets, lozenges, or troches.
Cigars and cigarettes.
Covers, straw bottle.
Dies, diamond wire, unmounted.
Dowels, wooden.
Effects, theatrical.
Eggs.
Feathers.
Firewood.
Flooring, not further manufactured than T.D.s 49750; 50366(6).
planed, tongued and grooved.
Flowers, artificial, except bunches.
Flowers, cut.
Glass, cut to shape and size for use in
clocks, hand, pocket, and purse mirrors,
and other glass of similar shapes and
sizes, not including lenses or watch
crystals.
Glides, furniture, except glides with
prongs.
Hairnets.
Hides, raw.
Hooks, fish (except snelled fish hooks)... T.D. 50205(3).
Hoops (wood), barrel.
Laths.
Leather, except finished.
Livestock.
Lumber, sawed............................. T.D.s 49750; 50366(6).
Metal bars, except concrete reinforcement
bars; billets, blocks, blooms; ingots;
pigs; plates; sheets, except galvanized
sheets; shafting; slabs; and metal in
similar forms.
Mica not further manufactured than cut or
stamped to dimensions, shape or form.
Monuments.
Nails, spikes, and staples.
Natural products, such as vegetables,
fruits, nuts, berries, and live or dead
animals, fish and birds; all the
foregoing which are in their natural
state or not advanced in any manner
further than is necessary for their safe
transportation.
Nets, bottle, wire.
Paper, newsprint.
Paper, stencil.
Paper, stock.
Parchment and vellum.
Parts for machines imported from same
country as parts.
Pickets (wood).
Pins, tuning.
Plants, shrubs and other nursery stock.
Plugs, tie.
Poles, bamboo.
Posts (wood), fence.
Pulpwood.
Rags (including wiping rags)
Rails, joint bars, and tie plates covered
by subheadings 7302.10.10 through
7302.90.00, Harmonized Tariff Schedule of
the United States.
Ribbon.
Rivets.
Rope, including wire rope; cordage; cords;
twines, threads, and yarns.
Scrap and waste.
Screws.
Shims, track.
Shingles (wood), bundles of (except T.D. 49750.
bundles of red-cedar shingles).
Skins, fur, dressed or dyed.
Skins, raw fur.
Sponges.
Springs, watch.
Stamps, postage and revenue, and other T.D. 66-153.
articles covered in subheadings
9704.00.00 and 4807.00.00, Harmonized
Tariff Schedule of the United States.
Staves (wood), barrel.
Steel, hoop.
Sugar, maple.
Ties (wood), railroad.
Tides, not over 1 inch in greatest
dimension.
Timbers, sawed.
Tips, penholder.
Trees, Christmas.
Weights, analytical and precision in sets T.D.s 49750; 51802.
Wicking, candle.
Wire, except barbed.
------------------------------------------------------------------------
[T.D. 72-262, 35 FR 20318, Sept. 29, 1972, as amended by T.D. 85-123, 50
FR 29954, July 23, 1985; T.D. 89-1, 53 FR 51256, Dec. 21, 1988; T.D. 95-
79, 60 FR, 49752, Sept. 27, 1995]
[[Page 931]]
Sec. 134.34 Certain repacked articles.
(a) Exception for repacked articles. An exception under
Sec. 134.32(d) may be authorized in the discretion of the port director
for imported articles which are to be repacked after release from
Customs custody under the following conditions:
(1) The containers in which the articles are repacked will indicate
the origin of the articles to an ultimate purchaser in the United
States.
(2) The importer arranges for supervision of the marking of the
containers by Customs officers at the importer's expense or secures such
verification, as may be necessary, by certification and the submission
of a sample or otherwise, of the marking prior to the liquidation of the
entry.
(b) Liquidation of entries. The liquidation of such entries may be
deferred for a period of not more than 60 days from the date that a
request for repacking is granted. Extensions of the 60-day deferral
period may be granted by the port director in his discretion upon
written application by the importer.
[T.D. 84-127, 49 FR 22795, June 1, 1984]
Sec. 134.35 Articles substantially changed by manufacture.
(a) Articles other than goods of a NAFTA country. An article used in
the United States in manufacture which results in an article having a
name, character, or use differing from that of the imported article,
will be within the principle of the decision in the case of United
States v. Gibson-Thomsen Co., Inc., 27 C.C.P.A. 267 (C.A.D. 98). Under
this principle, the manufacturer or processor in the United States who
converts or combines the imported article into the different article
will be considered the ``ultimate purchaser'' of the imported article
within the contemplation of section 304(a), Tariff Act of 1930, as
amended (19 U.S.C. 1304(a)), and the article shall be excepted from
marking. The outermost containers of the imported articles shall be
marked in accord with this part.
(b) Goods of a NAFTA country. A good of a NAFTA country which is to
be processed in the United States in a manner that would result in the
good becoming a good of the United States under the NAFTA Marking Rules
is excepted from marking. Unless the good is processed by the importer
or on its behalf, the outermost container of the good shall be marked in
accord with this part.
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 94-1, 58
FR 69472, Dec. 30, 1993]
Sec. 134.36 Inapplicability of marking exception for articles processed
by importer.
An article which is to be processed in the United States by the
importer or for his account shall not be considered to be within the
specifications of section 304(a)(3)(G), of the Tariff Act of 1930, as
amended (19 U.S.C. 1304(a)(3)(G)), if there is a reasonable method of
marking which will not be obliterated, destroyed, or permanently
concealed by such processing.
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 97-72, 62
FR 44214, Aug. 20, 1997]
Subpart E_Method and Location of Marking Imported Articles
Sec. 134.41 Methods and manner of marking.
(a) Suggested methods of marking. Section 304 of the Tariff Act of
1930, as amended (19 U.S.C. 1304), requires that the marking of the
country of origin be legible, indelible, and permanent. Definite methods
of marking are prescribed only for articles provided for in Sec. 134.43
and for articles which are the objects of special rulings by the
Commissioner of Customs. As a general rule, marking requirements are
best met by marking worked into the article at the time of manufacture.
For example, it is suggested that the country of origin on metal
articles be die sunk, molded in or etched; on earthenware or chinaware
be glazed on in the process of firing; and on paper articles be
imprinted.
(b) Degree of permanence and visibility. The degree of permanence
should be at least sufficient to insure that in any reasonably
foreseeable circumstance, the marking shall remain on the article (or
its container) until it reaches the ultimate purchaser unless it is
deliberately removed. The marking must survive normal distribution and
store
[[Page 932]]
handling. The ultimate purchaser in the United States must be able to
find the marking easily and read it without strain.
Sec. 134.42 Specific method may be required.
Marking merchandise by specific methods, such as die stamping, cast-
in-the-mold lettering, etching, or engraving, or cloth labels may be
required by the Commissioner of Customs in accordance with section
304(a), Tariff Act of 1930, as amended (19 U.S.C. 1304(a)). Notices of
such rulings shall be published in the Federal Register and the Customs
Bulletin.
Sec. 134.43 Methods of marking specific articles.
(a) Marking previously required by certain provisions of the Tariff
Act of 1930. Except for goods of a NAFTA country, articles of a class or
kind listed below shall be marked legibly and conspicuously by die
stamping, cast-in-the-mold lettering, etching (acid or electrolytic),
engraving, or by means of metal plates which bear the prescribed marking
and which are securely attached to the article in a conspicuous place by
welding, screws, or rivets: knives, forks, steels, cleavers, clippers,
shears, scissors, safety razors, blades for safety razors, surgical
instruments, dental instruments, scientific and laboratory instruments,
pliers, pincers, nippers and hinged hand tools for holding and splicing
wire, vacuum containers, and parts of the above articles. Goods of a
NAFTA country shall be marked by any reasonable method which is legible,
conspicuous and permanent as otherwise provided in this part.
(b) Watch, clock, and timing apparatus. The country of origin
marking requirements on watches, clocks, and timing apparatus are
intensive and require special methods. (See Sec. 11.9 of this chapter
and Chapter 91, Additional U.S. Note 4, Harmonized Tariff Schedule of
the United States (19 U.S.C. 1202)).
(c) Native American-style jewelry--(1) Definition. For the purpose
of this provision, Native American-style jewelry is jewelry which
incorporates traditional Native American design motifs, materials and/or
construction and therefore looks like, and could possibly be mistaken
for, jewelry made by Native Americans.
(2) Method of marking. Except as provided in 19 U.S.C. 1304(a)(3)
and in paragraph (c)(3) of this section, Native American-style jewelry
must be indelibly marked with the country of origin by cutting, die-
sinking, engraving, stamping, or some other permanent method. The
indelible marking must appear legibly on the clasp or in some other
conspicuous location, or alternatively, on a metal or plastic tag
indelibly marked with the country of origin and permanently attached to
the article.
(3) Exception. If it is technically or commercially infeasible to
mark in the manner specified in paragraph (c)(2) of this section, or in
the case of a good of a NAFTA country, the article may be marked by
means of a string tag or adhesive label securely affixed, or some other
similar method.
(d) Native American-style arts and crafts--(1) Definition. For the
purpose of this provision, Native American-style arts and crafts are
arts and crafts, such as pottery, rugs, kachina dolls, baskets and
beadwork, which incorporate traditional Native American design motifs,
materials and/or construction and therefore look like, and could
possibly be mistaken for, arts and crafts made by Native Americans.
(2) Method of Marking. Except as provided for in 19 U.S.C.
1304(a)(3) and Sec. 134.32 of this part, Native American-style arts and
crafts must be indelibly marked with the country of origin by means of
cutting, die-sinking, engraving, stamping, or some other equally
permanent method. On textile articles, such as rugs, a sewn in label is
considered to be an equally permanent method.
(3) Exception. Where it is technically or commercially infeasible to
mark in the manner specified in paragraph (d)(2) of this section, or in
the case of a good of a NAFTA country, the article may be marked by
means of a string tag or adhesive label securely affixed, or some other
similar method.
(e) Assembled articles. Where an article is produced as a result of
an assembly operation and the country of origin of such article is
determined under this
[[Page 933]]
chapter to be the country in which the article was finally assembled,
such article may be marked, as appropriate, in a manner such as the
following:
(1) Assembled in (country of final assembly);
(2) Assembled in (country of final assembly) from components of
(name of country or countries of origin of all components); or
(3) Made in, or product of, (country of final assembly).
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 89-1, 53
FR 51255, Dec. 21, 1988; T.D. 89-88, 54 FR 39524, Sept. 27, 1989; T.D.
90-75, 55 FR 38317, Sept. 18, 1990; T.D. 90-78, 55 FR 40166, Oct. 2,
1990; T.D. 94-1, 58 FR 69472, Dec. 30, 1993; T.D. 94-4, 59 FR 140, Jan.
3, 1994; T.D. 96-48, 61 FR 28980, June 6, 1996]
Sec. 134.44 Location and other acceptable methods of marking.
(a) Other acceptable methods. Except for articles described in
Sec. 134.43 of this part or the subject of a ruling by the Commissioner
of Customs, any method of marking at any location insuring that country
of origin will conspicuously appear on the article shall be acceptable.
Such marking must be legible and sufficiently permanent so that it will
remain on the article (or its container when the container and not the
article is required to be marked) until it reaches the ultimate
purchaser unless deliberately removed.
(b) Articles marked with paper sticker labels. If paper sticker or
pressure sensitive labels are used, they must be affixed in a
conspicuous place and so securely that unless deliberately removed they
will remain on the article while it is in storage or on display and
until it is delivered to the ultimate purchaser.
(c) Articles marked with tags. When tags are used, they must be
attached in a conspicuous place and in a manner which assures that
unless deliberately removed they will remain on the article until it
reaches the ultimate purchaser.
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 94-1, 58
FR 69472, Dec. 30, 1993]
Sec. 134.45 Approved markings of country name.
(a) Language. (1) Except as otherwise provided in paragraph (a)(2)
of this section, the markings required by this part shall include the
full English name of the country of origin, unless another marking to
indicate the English name of the country of origin is specifically
authorized by the Commissioner of Customs. Notice of acceptable markings
other than the full English name of the country of origin shall be
published in the Federal Register and the Customs Bulletin.
(2) A good of a NAFTA country may be marked with the name of the
country of origin in English, French or Spanish.
(b) Abbreviations and variant spellings. Abbreviations which
unmistakably indicate the name of a country, such as ``Gt. Britain'' for
``Great Britain'' or ``Luxemb'' and ``Luxembg'' for ``Luxembourg'' are
acceptable. Variant spellings which clearly indicate the English name of
the country of origin, such as ``Brasil'' for ``Brazil'' and ``Italie''
for ``Italy,'' are acceptable.
(c) Adjectival form. The adjectival form of the name of a country
shall be accepted as a proper indication of the name of the country of
origin of imported merchandise provided the adjectival form of the name
does not appear with other words so as to refer to a kind or species of
product. For example, such terms as ``English walnuts'' or ``Brazil
nuts'' are unacceptable.
(d) Colonies, possessions, or protectorates. The name of a colony,
possession, or protectorate outside the boundaries of the mother country
shall usually be considered acceptable marking. When the Commissioner of
Customs finds that the name is not sufficiently well known to insure
that the ultimate purchasers will be fully informed of the country of
origin, or where the name appearing alone may cause confusion,
deception, or mistake, clarifying words shall be required. In such
cases, the Commissioner of Customs shall specify in decisions published
in the Federal Register and the Customs Bulletin the
[[Page 934]]
additional wording to be used in conjunction with the name of the
colony, possession, or protectorate.
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 94-1, 58
FR 69472, Dec. 30, 1993]
Sec. 134.46 Marking when name of country or locality other than country
of origin appears.
In any case in which the words ``United States,'' or ``American,''
the letters ``U.S.A.,'' any variation of such words or letters, or the
name of any city or location in the United States, or the name of any
foreign country or locality other than the country or locality in which
the article was manufactured or produced appear on an imported article
or its container, and those words, letters or names may mislead or
deceive the ultimate purchaser as to the actual country of origin of the
article, there shall appear legibly and permanently in close proximity
to such words, letters or name, and in at least a comparable size, the
name of the country of origin preceded by ``Made in,'' ``Product of,''
or other words of similar meaning.
[T.D. 97-72, 62 FR 44214, Aug. 20, 1997]
Sec. 134.47 Souvenirs and articles marked with trademarks or trade
names.
When as part of a trademark or trade name or as part of a souvenir
marking, the name of a location in the United States or ``United
States'' or ``America'' appear, the article shall be legibly,
conspicuously, and permanently marked to indicate the name of the
country of origin of the article preceded by ``Made in,'' ``Product
of,'' or other similar words, in close proximity or in some other
conspicuous location.
Subpart F_Articles Found Not Legally Marked
Sec. 134.51 Procedure when importation found not legally marked.
(a) Notice to mark or redeliver. When articles or containers are
found upon examination not to be legally marked, the port director shall
notify the importer on Customs Form 4647 to arrange with the port
director's office to properly mark the article or containers, or to
return all released articles to Customs custody for marking,
exportation, or destruction.
(b) Identification of articles. When an imported article which is
not legally marked is to be exported, destroyed, or marked under Customs
supervision, the identity of the imported article shall be established
to the satisfaction of the port director.
(c) Supervision. Verification of marking, exportation, or
destruction of articles found not to be legally marked shall be at the
expense of the importer and shall be performed under Customs supervision
unless the port director accepts a certificate of marking as provided
for in Sec. 134.52 in lieu of marking under Customs supervision.
Sec. 134.52 Certificate of marking.
(a) Applicability. Port directors may accept certificates of marking
supported by samples of articles required to be marked, for which
Customs Form 4647 was issued, from importers or from actual owners
complying with the provision of Sec. 141.20 of this chapter, to certify
that marking of the country of origin on imported articles as required
by this part has been accomplished.
(b) Filing of certificates of marking. The certificates of marking
shall be filed in duplicate with the port director, and a sample of the
marked merchandise shall accompany the certificate. The port director
may waive the production of the marked sample when he is satisfied that
the submission of such sample is impracticable.
(c) Notice of acceptance. The port director shall notify the
importer or actual owner when the certificate of marking is accepted.
Such notice of acceptance may be granted on the duplicate copy of the
certificate of marking by use of a stamped notation of acceptance. The
port director is authorized to spot check the marking of articles on
which a certificate has been filed. If a spot check is performed, the
approved copy of the certificate, if approval is granted, shall be
returned to the importer or actual owner after the spot check is
completed.
(d) Filing of false certificate of marking. If a false certificate
of marking is filed with the port director indicating that goods have
been properly marked when
[[Page 935]]
in fact they have not been so marked, a seizure shall be made or claim
for monetary penalty reported under section 592, Tariff Act of 1930, as
amended (19 U.S.C. 1592). In addition, in cases involving, willful
deceit, a criminal case report may be made charging a violation of
section 1001, title 18, United States Code, which provides for a fine up
to $10,000 and/or imprisonment up to 5 years for anyone who willfully
conceals a material fact or uses any document knowing the same to
contain any false or fraudulent statement in connection with any matter
within the jurisdiction of an agency of the United States.
(e) Authority to require physical supervision when deemed necessary.
The port director may require physical supervision of marking as
specified in Sec. 134.51(c) in those cases in which he determines that
such action is necessary to insure compliance with this part. In such
cases the expenses of the Customs officer shall be reimbursed to the
Government as provided for in Sec. 134.55.
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 73-175, 38
FR 17447, July 2, 1973; T.D. 84-18, 49 FR 1678, Jan. 13, 1984]
Sec. 134.53 Examination packages.
(a) Site of marking--(1) Customs custody. Articles (or containers)
in examination packages may be marked by the importer at the place where
they have been discharged from the importing or bonded carrier or in the
public stores.
(2) Importer's premises or elsewhere. If it is impracticable to mark
the articles (or containers) in examination packages as provided in
paragraph (a)(1) of this section, the merchandise may be turned over to
the importer after the amount of duty, estimated to be payable under 19
U.S.C. 1304(f) has been deposited to insure compliance with the marking
requirements and the payment of any additional expense which will be
incurred on account of Customs supervision. (See Sec. 134.55.) The port
director may at his discretion accept the bond on Customs Form 301,
containing the basic importation and entry bond conditions set forth in
Sec. 113.62 of this chapter as security for the requirements of 19
U.S.C. 1304 (f) and (g).
(b) Failure to export, destroy, or properly mark merchandise in
examination packages. If the articles (or containers) in examination
packages are not exported, destroyed, or properly marked by the importer
within a reasonable time (not more than 30 days), they shall be sent to
general-order stores for disposition in accordance with part 127 of this
chapter, unless covered by a warehouse entry. If covered by a warehouse
entry, they shall be sent to the warehouse containing the rest of the
shipment for marking prior to withdrawal.
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 78-99, 43
FR 13061, Mar. 29, 1978; T.D. 84-213, 49 FR 41183, Oct. 19, 1984; T.D.
90-51, 55 FR 28191, July 10, 1990]
Sec. 134.54 Articles released from Customs custody.
(a) Demand for liquidated damages. If within 30 days from the date
of the notice of redelivery, or such additional period as the port
director may allow for good cause shown, the importer does not properly
mark or redeliver all merchandise previously released to him, the port
director shall demand payment of liquidated damages incurred under the
bond in an amount equal to the entered value of the articles not
properly marked or redelivered.
(b) Failure to petition for relief. A written petition addressed to
the Commissioner of Customs for relief from the payment of liquidated
damages may be filed with the Fines, Penalties, and Forfeitures Officer
in accord with part 172 of this chapter.
(c) Relief from full liquidated damages. Any relief from the payment
of the full liquidated damages incurred will be contingent upon the
deposit of the marking duty required by 19 U.S.C. 1304(f), and the
satisfaction of the Fines, Penalties, and Forfeitures Officer that the
importer was not guilty of bad faith in permitting the illegally marked
articles to be distributed, has been diligent in attempting to secure
[[Page 936]]
compliance with the marking requirements, and has attempted by all
reasonable means to effect redelivery of the merchandise.
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 79-159, 44
FR 31969, June 4, 1979; T.D. 83-217, 48 FR 48659, Oct. 20, 1983; T.D.
90-51, 55 FR 28191, July 10, 1990; T.D. 99-27, 64 FR 13675, Mar. 22,
1999; T.D. 00-57, 65 FR 53575, Sept. 5, 2000]
Sec. 134.55 Compensation of Customs officers and employees.
(a) Time for which compensation is charged. The time for which
compensation is charged shall include all periods devoted to supervision
and all periods during which Customs officers or employees are away from
their regular posts of duty by reason of such assignment and for which
compensation to such officers and employees is provided for by law.
(b) Applicability--(1) Official hours. The compensation of Customs
Officers or employees assigned to supervise the exportation,
destruction, or marking of articles so as to exempt them from the
application of marking duties shall be computed in accordance with the
provisions of Sec. Sec. 24.16 or 24.17(a)(3), respectively, of this
chapter when such supervision is performed during a regularly-scheduled
tour of duty.
(2) Overtime. When such supervision is performed by a Customs
Officer or employee in an overtime status, the compensation with respect
to the overtime shall be computed in accordance with the provisions of
Sec. 24.16 or Sec. 24.17, respectively, of this chapter.
(c) Expenses included. In formulating charges for expenses
pertaining to supervision of exportation, destruction, or marking, there
shall be included all expenses of transportation, per diem allowance in
lieu of subsistence, and all other expenses incurred by reason of such
supervision from the time the Customs officer leaves his official
station until he returns thereto.
(d) Services rendered for more than one importer. If the
importations of more than one importer are concurrently supervised, the
service rendered for each importer shall be regarded as a separate
assignment, but the total amount of the compensation, and any expenses
properly applicable to more than one importer, shall be equitably
apportioned among the importers concerned.
[T.D. 72-262, 37 FR 20318, Sept. 29, 1972, as amended by T.D. 94-74, 59
FR 46757, Sept. 12, 1994]
PARTS 135-140 [RESERVED]
[[Page 937]]
FINDING AIDS
--------------------------------------------------------------------
A list of CFR titles, subtitles, chapters, subchapters and parts and
an alphabetical list of agencies publishing in the CFR are included in
the CFR Index and Finding Aids volume to the Code of Federal Regulations
which is published separately and revised annually.
Table of CFR Titles and Chapters
Alphabetical List of Agencies Appearing in the CFR
Chapter I Subject Index
List of CFR Sections Affected
[[Page 939]]
Table of CFR Titles and Chapters
(Revised as of April 1, 2014)
Title 1--General Provisions
I Administrative Committee of the Federal Register
(Parts 1--49)
II Office of the Federal Register (Parts 50--299)
III Administrative Conference of the United States (Parts
300--399)
IV Miscellaneous Agencies (Parts 400--500)
Title 2--Grants and Agreements
Subtitle A--Office of Management and Budget Guidance
for Grants and Agreements
I Office of Management and Budget Governmentwide
Guidance for Grants and Agreements (Parts 2--199)
II Office of Management and Budget Guidance (Parts 200--
299)
Subtitle B--Federal Agency Regulations for Grants and
Agreements
III Department of Health and Human Services (Parts 300--
399)
IV Department of Agriculture (Parts 400--499)
VI Department of State (Parts 600--699)
VII Agency for International Development (Parts 700--799)
VIII Department of Veterans Affairs (Parts 800--899)
IX Department of Energy (Parts 900--999)
XI Department of Defense (Parts 1100--1199)
XII Department of Transportation (Parts 1200--1299)
XIII Department of Commerce (Parts 1300--1399)
XIV Department of the Interior (Parts 1400--1499)
XV Environmental Protection Agency (Parts 1500--1599)
XVIII National Aeronautics and Space Administration (Parts
1800--1899)
XX United States Nuclear Regulatory Commission (Parts
2000--2099)
XXII Corporation for National and Community Service (Parts
2200--2299)
XXIII Social Security Administration (Parts 2300--2399)
XXIV Housing and Urban Development (Parts 2400--2499)
XXV National Science Foundation (Parts 2500--2599)
XXVI National Archives and Records Administration (Parts
2600--2699)
XXVII Small Business Administration (Parts 2700--2799)
XXVIII Department of Justice (Parts 2800--2899)
[[Page 940]]
XXX Department of Homeland Security (Parts 3000--3099)
XXXI Institute of Museum and Library Services (Parts 3100--
3199)
XXXII National Endowment for the Arts (Parts 3200--3299)
XXXIII National Endowment for the Humanities (Parts 3300--
3399)
XXXIV Department of Education (Parts 3400--3499)
XXXV Export-Import Bank of the United States (Parts 3500--
3599)
XXXVII Peace Corps (Parts 3700--3799)
LVIII Election Assistance Commission (Parts 5800--5899)
Title 3--The President
I Executive Office of the President (Parts 100--199)
Title 4--Accounts
I Government Accountability Office (Parts 1--199)
II Recovery Accountability and Transparency Board (Parts
200--299)
Title 5--Administrative Personnel
I Office of Personnel Management (Parts 1--1199)
II Merit Systems Protection Board (Parts 1200--1299)
III Office of Management and Budget (Parts 1300--1399)
V The International Organizations Employees Loyalty
Board (Parts 1500--1599)
VI Federal Retirement Thrift Investment Board (Parts
1600--1699)
VIII Office of Special Counsel (Parts 1800--1899)
IX Appalachian Regional Commission (Parts 1900--1999)
XI Armed Forces Retirement Home (Parts 2100--2199)
XIV Federal Labor Relations Authority, General Counsel of
the Federal Labor Relations Authority and Federal
Service Impasses Panel (Parts 2400--2499)
XV Office of Administration, Executive Office of the
President (Parts 2500--2599)
XVI Office of Government Ethics (Parts 2600--2699)
XXI Department of the Treasury (Parts 3100--3199)
XXII Federal Deposit Insurance Corporation (Parts 3200--
3299)
XXIII Department of Energy (Parts 3300--3399)
XXIV Federal Energy Regulatory Commission (Parts 3400--
3499)
XXV Department of the Interior (Parts 3500--3599)
XXVI Department of Defense (Parts 3600--3699)
XXVIII Department of Justice (Parts 3800--3899)
XXIX Federal Communications Commission (Parts 3900--3999)
XXX Farm Credit System Insurance Corporation (Parts 4000--
4099)
XXXI Farm Credit Administration (Parts 4100--4199)
[[Page 941]]
XXXIII Overseas Private Investment Corporation (Parts 4300--
4399)
XXXIV Securities and Exchange Commission (Parts 4400--4499)
XXXV Office of Personnel Management (Parts 4500--4599)
XXXVII Federal Election Commission (Parts 4700--4799)
XL Interstate Commerce Commission (Parts 5000--5099)
XLI Commodity Futures Trading Commission (Parts 5100--
5199)
XLII Department of Labor (Parts 5200--5299)
XLIII National Science Foundation (Parts 5300--5399)
XLV Department of Health and Human Services (Parts 5500--
5599)
XLVI Postal Rate Commission (Parts 5600--5699)
XLVII Federal Trade Commission (Parts 5700--5799)
XLVIII Nuclear Regulatory Commission (Parts 5800--5899)
XLIX Federal Labor Relations Authority (Parts 5900--5999)
L Department of Transportation (Parts 6000--6099)
LII Export-Import Bank of the United States (Parts 6200--
6299)
LIII Department of Education (Parts 6300--6399)
LIV Environmental Protection Agency (Parts 6400--6499)
LV National Endowment for the Arts (Parts 6500--6599)
LVI National Endowment for the Humanities (Parts 6600--
6699)
LVII General Services Administration (Parts 6700--6799)
LVIII Board of Governors of the Federal Reserve System
(Parts 6800--6899)
LIX National Aeronautics and Space Administration (Parts
6900--6999)
LX United States Postal Service (Parts 7000--7099)
LXI National Labor Relations Board (Parts 7100--7199)
LXII Equal Employment Opportunity Commission (Parts 7200--
7299)
LXIII Inter-American Foundation (Parts 7300--7399)
LXIV Merit Systems Protection Board (Parts 7400--7499)
LXV Department of Housing and Urban Development (Parts
7500--7599)
LXVI National Archives and Records Administration (Parts
7600--7699)
LXVII Institute of Museum and Library Services (Parts 7700--
7799)
LXVIII Commission on Civil Rights (Parts 7800--7899)
LXIX Tennessee Valley Authority (Parts 7900--7999)
LXX Court Services and Offender Supervision Agency for the
District of Columbia (Parts 8000--8099)
LXXI Consumer Product Safety Commission (Parts 8100--8199)
LXXIII Department of Agriculture (Parts 8300--8399)
LXXIV Federal Mine Safety and Health Review Commission
(Parts 8400--8499)
LXXVI Federal Retirement Thrift Investment Board (Parts
8600--8699)
LXXVII Office of Management and Budget (Parts 8700--8799)
LXXX Federal Housing Finance Agency (Parts 9000--9099)
LXXXIII Special Inspector General for Afghanistan
Reconstruction (Parts 9300--9399)
[[Page 942]]
LXXXIV Bureau of Consumer Financial Protection (Parts 9400--
9499)
LXXXVI National Credit Union Administration (Parts 9600--
9699)
XCVII Department of Homeland Security Human Resources
Management System (Department of Homeland
Security--Office of Personnel Management) (Parts
9700--9799)
XCVII Council of the Inspectors General on Integrity and
Efficiency (Parts 9800--9899)
Title 6--Domestic Security
I Department of Homeland Security, Office of the
Secretary (Parts 1--99)
X Privacy and Civil Liberties Oversight Board (Parts
1000--1099)
Title 7--Agriculture
Subtitle A--Office of the Secretary of Agriculture
(Parts 0--26)
Subtitle B--Regulations of the Department of
Agriculture
I Agricultural Marketing Service (Standards,
Inspections, Marketing Practices), Department of
Agriculture (Parts 27--209)
II Food and Nutrition Service, Department of Agriculture
(Parts 210--299)
III Animal and Plant Health Inspection Service, Department
of Agriculture (Parts 300--399)
IV Federal Crop Insurance Corporation, Department of
Agriculture (Parts 400--499)
V Agricultural Research Service, Department of
Agriculture (Parts 500--599)
VI Natural Resources Conservation Service, Department of
Agriculture (Parts 600--699)
VII Farm Service Agency, Department of Agriculture (Parts
700--799)
VIII Grain Inspection, Packers and Stockyards
Administration (Federal Grain Inspection Service),
Department of Agriculture (Parts 800--899)
IX Agricultural Marketing Service (Marketing Agreements
and Orders; Fruits, Vegetables, Nuts), Department
of Agriculture (Parts 900--999)
X Agricultural Marketing Service (Marketing Agreements
and Orders; Milk), Department of Agriculture
(Parts 1000--1199)
XI Agricultural Marketing Service (Marketing Agreements
and Orders; Miscellaneous Commodities), Department
of Agriculture (Parts 1200--1299)
XIV Commodity Credit Corporation, Department of
Agriculture (Parts 1400--1499)
XV Foreign Agricultural Service, Department of
Agriculture (Parts 1500--1599)
XVI Rural Telephone Bank, Department of Agriculture (Parts
1600--1699)
[[Page 943]]
XVII Rural Utilities Service, Department of Agriculture
(Parts 1700--1799)
XVIII Rural Housing Service, Rural Business-Cooperative
Service, Rural Utilities Service, and Farm Service
Agency, Department of Agriculture (Parts 1800--
2099)
XX Local Television Loan Guarantee Board (Parts 2200--
2299)
XXV Office of Advocacy and Outreach, Department of
Agriculture (Parts 2500--2599)
XXVI Office of Inspector General, Department of Agriculture
(Parts 2600--2699)
XXVII Office of Information Resources Management, Department
of Agriculture (Parts 2700--2799)
XXVIII Office of Operations, Department of Agriculture (Parts
2800--2899)
XXIX Office of Energy Policy and New Uses, Department of
Agriculture (Parts 2900--2999)
XXX Office of the Chief Financial Officer, Department of
Agriculture (Parts 3000--3099)
XXXI Office of Environmental Quality, Department of
Agriculture (Parts 3100--3199)
XXXII Office of Procurement and Property Management,
Department of Agriculture (Parts 3200--3299)
XXXIII Office of Transportation, Department of Agriculture
(Parts 3300--3399)
XXXIV National Institute of Food and Agriculture (Parts
3400--3499)
XXXV Rural Housing Service, Department of Agriculture
(Parts 3500--3599)
XXXVI National Agricultural Statistics Service, Department
of Agriculture (Parts 3600--3699)
XXXVII Economic Research Service, Department of Agriculture
(Parts 3700--3799)
XXXVIII World Agricultural Outlook Board, Department of
Agriculture (Parts 3800--3899)
XLI [Reserved]
XLII Rural Business-Cooperative Service and Rural Utilities
Service, Department of Agriculture (Parts 4200--
4299)
Title 8--Aliens and Nationality
I Department of Homeland Security (Immigration and
Naturalization) (Parts 1--499)
V Executive Office for Immigration Review, Department of
Justice (Parts 1000--1399)
Title 9--Animals and Animal Products
I Animal and Plant Health Inspection Service, Department
of Agriculture (Parts 1--199)
[[Page 944]]
II Grain Inspection, Packers and Stockyards
Administration (Packers and Stockyards Programs),
Department of Agriculture (Parts 200--299)
III Food Safety and Inspection Service, Department of
Agriculture (Parts 300--599)
Title 10--Energy
I Nuclear Regulatory Commission (Parts 0--199)
II Department of Energy (Parts 200--699)
III Department of Energy (Parts 700--999)
X Department of Energy (General Provisions) (Parts
1000--1099)
XIII Nuclear Waste Technical Review Board (Parts 1300--
1399)
XVII Defense Nuclear Facilities Safety Board (Parts 1700--
1799)
XVIII Northeast Interstate Low-Level Radioactive Waste
Commission (Parts 1800--1899)
Title 11--Federal Elections
I Federal Election Commission (Parts 1--9099)
II Election Assistance Commission (Parts 9400--9499)
Title 12--Banks and Banking
I Comptroller of the Currency, Department of the
Treasury (Parts 1--199)
II Federal Reserve System (Parts 200--299)
III Federal Deposit Insurance Corporation (Parts 300--399)
IV Export-Import Bank of the United States (Parts 400--
499)
V Office of Thrift Supervision, Department of the
Treasury (Parts 500--599)
VI Farm Credit Administration (Parts 600--699)
VII National Credit Union Administration (Parts 700--799)
VIII Federal Financing Bank (Parts 800--899)
IX Federal Housing Finance Board (Parts 900--999)
X Bureau of Consumer Financial Protection (Parts 1000--
1099)
XI Federal Financial Institutions Examination Council
(Parts 1100--1199)
XII Federal Housing Finance Agency (Parts 1200--1299)
XIII Financial Stability Oversight Council (Parts 1300--
1399)
XIV Farm Credit System Insurance Corporation (Parts 1400--
1499)
XV Department of the Treasury (Parts 1500--1599)
XVI Office of Financial Research (Parts 1600--1699)
XVII Office of Federal Housing Enterprise Oversight,
Department of Housing and Urban Development (Parts
1700--1799)
XVIII Community Development Financial Institutions Fund,
Department of the Treasury (Parts 1800--1899)
[[Page 945]]
Title 13--Business Credit and Assistance
I Small Business Administration (Parts 1--199)
III Economic Development Administration, Department of
Commerce (Parts 300--399)
IV Emergency Steel Guarantee Loan Board (Parts 400--499)
V Emergency Oil and Gas Guaranteed Loan Board (Parts
500--599)
Title 14--Aeronautics and Space
I Federal Aviation Administration, Department of
Transportation (Parts 1--199)
II Office of the Secretary, Department of Transportation
(Aviation Proceedings) (Parts 200--399)
III Commercial Space Transportation, Federal Aviation
Administration, Department of Transportation
(Parts 400--1199)
V National Aeronautics and Space Administration (Parts
1200--1299)
VI Air Transportation System Stabilization (Parts 1300--
1399)
Title 15--Commerce and Foreign Trade
Subtitle A--Office of the Secretary of Commerce (Parts
0--29)
Subtitle B--Regulations Relating to Commerce and
Foreign Trade
I Bureau of the Census, Department of Commerce (Parts
30--199)
II National Institute of Standards and Technology,
Department of Commerce (Parts 200--299)
III International Trade Administration, Department of
Commerce (Parts 300--399)
IV Foreign-Trade Zones Board, Department of Commerce
(Parts 400--499)
VII Bureau of Industry and Security, Department of
Commerce (Parts 700--799)
VIII Bureau of Economic Analysis, Department of Commerce
(Parts 800--899)
IX National Oceanic and Atmospheric Administration,
Department of Commerce (Parts 900--999)
XI Technology Administration, Department of Commerce
(Parts 1100--1199)
XIII East-West Foreign Trade Board (Parts 1300--1399)
XIV Minority Business Development Agency (Parts 1400--
1499)
Subtitle C--Regulations Relating to Foreign Trade
Agreements
XX Office of the United States Trade Representative
(Parts 2000--2099)
Subtitle D--Regulations Relating to Telecommunications
and Information
XXIII National Telecommunications and Information
Administration, Department of Commerce (Parts
2300--2399)
[[Page 946]]
Title 16--Commercial Practices
I Federal Trade Commission (Parts 0--999)
II Consumer Product Safety Commission (Parts 1000--1799)
Title 17--Commodity and Securities Exchanges
I Commodity Futures Trading Commission (Parts 1--199)
II Securities and Exchange Commission (Parts 200--399)
IV Department of the Treasury (Parts 400--499)
Title 18--Conservation of Power and Water Resources
I Federal Energy Regulatory Commission, Department of
Energy (Parts 1--399)
III Delaware River Basin Commission (Parts 400--499)
VI Water Resources Council (Parts 700--799)
VIII Susquehanna River Basin Commission (Parts 800--899)
XIII Tennessee Valley Authority (Parts 1300--1399)
Title 19--Customs Duties
I U.S. Customs and Border Protection, Department of
Homeland Security; Department of the Treasury
(Parts 0--199)
II United States International Trade Commission (Parts
200--299)
III International Trade Administration, Department of
Commerce (Parts 300--399)
IV U.S. Immigration and Customs Enforcement, Department
of Homeland Security (Parts 400--599)
Title 20--Employees' Benefits
I Office of Workers' Compensation Programs, Department
of Labor (Parts 1--199)
II Railroad Retirement Board (Parts 200--399)
III Social Security Administration (Parts 400--499)
IV Employees' Compensation Appeals Board, Department of
Labor (Parts 500--599)
V Employment and Training Administration, Department of
Labor (Parts 600--699)
VI Office of Workers' Compensation Programs, Department
of Labor (Parts 700--799)
VII Benefits Review Board, Department of Labor (Parts
800--899)
VIII Joint Board for the Enrollment of Actuaries (Parts
900--999)
IX Office of the Assistant Secretary for Veterans'
Employment and Training Service, Department of
Labor (Parts 1000--1099)
[[Page 947]]
Title 21--Food and Drugs
I Food and Drug Administration, Department of Health and
Human Services (Parts 1--1299)
II Drug Enforcement Administration, Department of Justice
(Parts 1300--1399)
III Office of National Drug Control Policy (Parts 1400--
1499)
Title 22--Foreign Relations
I Department of State (Parts 1--199)
II Agency for International Development (Parts 200--299)
III Peace Corps (Parts 300--399)
IV International Joint Commission, United States and
Canada (Parts 400--499)
V Broadcasting Board of Governors (Parts 500--599)
VII Overseas Private Investment Corporation (Parts 700--
799)
IX Foreign Service Grievance Board (Parts 900--999)
X Inter-American Foundation (Parts 1000--1099)
XI International Boundary and Water Commission, United
States and Mexico, United States Section (Parts
1100--1199)
XII United States International Development Cooperation
Agency (Parts 1200--1299)
XIII Millennium Challenge Corporation (Parts 1300--1399)
XIV Foreign Service Labor Relations Board; Federal Labor
Relations Authority; General Counsel of the
Federal Labor Relations Authority; and the Foreign
Service Impasse Disputes Panel (Parts 1400--1499)
XV African Development Foundation (Parts 1500--1599)
XVI Japan-United States Friendship Commission (Parts
1600--1699)
XVII United States Institute of Peace (Parts 1700--1799)
Title 23--Highways
I Federal Highway Administration, Department of
Transportation (Parts 1--999)
II National Highway Traffic Safety Administration and
Federal Highway Administration, Department of
Transportation (Parts 1200--1299)
III National Highway Traffic Safety Administration,
Department of Transportation (Parts 1300--1399)
Title 24--Housing and Urban Development
Subtitle A--Office of the Secretary, Department of
Housing and Urban Development (Parts 0--99)
Subtitle B--Regulations Relating to Housing and Urban
Development
I Office of Assistant Secretary for Equal Opportunity,
Department of Housing and Urban Development (Parts
100--199)
[[Page 948]]
II Office of Assistant Secretary for Housing-Federal
Housing Commissioner, Department of Housing and
Urban Development (Parts 200--299)
III Government National Mortgage Association, Department
of Housing and Urban Development (Parts 300--399)
IV Office of Housing and Office of Multifamily Housing
Assistance Restructuring, Department of Housing
and Urban Development (Parts 400--499)
V Office of Assistant Secretary for Community Planning
and Development, Department of Housing and Urban
Development (Parts 500--599)
VI Office of Assistant Secretary for Community Planning
and Development, Department of Housing and Urban
Development (Parts 600--699) [Reserved]
VII Office of the Secretary, Department of Housing and
Urban Development (Housing Assistance Programs and
Public and Indian Housing Programs) (Parts 700--
799)
VIII Office of the Assistant Secretary for Housing--Federal
Housing Commissioner, Department of Housing and
Urban Development (Section 8 Housing Assistance
Programs, Section 202 Direct Loan Program, Section
202 Supportive Housing for the Elderly Program and
Section 811 Supportive Housing for Persons With
Disabilities Program) (Parts 800--899)
IX Office of Assistant Secretary for Public and Indian
Housing, Department of Housing and Urban
Development (Parts 900--1699)
X Office of Assistant Secretary for Housing--Federal
Housing Commissioner, Department of Housing and
Urban Development (Interstate Land Sales
Registration Program) (Parts 1700--1799)
XII Office of Inspector General, Department of Housing and
Urban Development (Parts 2000--2099)
XV Emergency Mortgage Insurance and Loan Programs,
Department of Housing and Urban Development (Parts
2700--2799)
XX Office of Assistant Secretary for Housing--Federal
Housing Commissioner, Department of Housing and
Urban Development (Parts 3200--3899)
XXIV Board of Directors of the HOPE for Homeowners Program
(Parts 4000--4099)
XXV Neighborhood Reinvestment Corporation (Parts 4100--
4199)
Title 25--Indians
I Bureau of Indian Affairs, Department of the Interior
(Parts 1--299)
II Indian Arts and Crafts Board, Department of the
Interior (Parts 300--399)
III National Indian Gaming Commission, Department of the
Interior (Parts 500--599)
IV Office of Navajo and Hopi Indian Relocation (Parts
700--799)
V Bureau of Indian Affairs, Department of the Interior,
and Indian Health Service, Department of Health
and Human Services (Part 900)
[[Page 949]]
VI Office of the Assistant Secretary-Indian Affairs,
Department of the Interior (Parts 1000--1199)
VII Office of the Special Trustee for American Indians,
Department of the Interior (Parts 1200--1299)
Title 26--Internal Revenue
I Internal Revenue Service, Department of the Treasury
(Parts 1--End)
Title 27--Alcohol, Tobacco Products and Firearms
I Alcohol and Tobacco Tax and Trade Bureau, Department
of the Treasury (Parts 1--399)
II Bureau of Alcohol, Tobacco, Firearms, and Explosives,
Department of Justice (Parts 400--699)
Title 28--Judicial Administration
I Department of Justice (Parts 0--299)
III Federal Prison Industries, Inc., Department of Justice
(Parts 300--399)
V Bureau of Prisons, Department of Justice (Parts 500--
599)
VI Offices of Independent Counsel, Department of Justice
(Parts 600--699)
VII Office of Independent Counsel (Parts 700--799)
VIII Court Services and Offender Supervision Agency for the
District of Columbia (Parts 800--899)
IX National Crime Prevention and Privacy Compact Council
(Parts 900--999)
XI Department of Justice and Department of State (Parts
1100--1199)
Title 29--Labor
Subtitle A--Office of the Secretary of Labor (Parts
0--99)
Subtitle B--Regulations Relating to Labor
I National Labor Relations Board (Parts 100--199)
II Office of Labor-Management Standards, Department of
Labor (Parts 200--299)
III National Railroad Adjustment Board (Parts 300--399)
IV Office of Labor-Management Standards, Department of
Labor (Parts 400--499)
V Wage and Hour Division, Department of Labor (Parts
500--899)
IX Construction Industry Collective Bargaining Commission
(Parts 900--999)
X National Mediation Board (Parts 1200--1299)
XII Federal Mediation and Conciliation Service (Parts
1400--1499)
XIV Equal Employment Opportunity Commission (Parts 1600--
1699)
[[Page 950]]
XVII Occupational Safety and Health Administration,
Department of Labor (Parts 1900--1999)
XX Occupational Safety and Health Review Commission
(Parts 2200--2499)
XXV Employee Benefits Security Administration, Department
of Labor (Parts 2500--2599)
XXVII Federal Mine Safety and Health Review Commission
(Parts 2700--2799)
XL Pension Benefit Guaranty Corporation (Parts 4000--
4999)
Title 30--Mineral Resources
I Mine Safety and Health Administration, Department of
Labor (Parts 1--199)
II Bureau of Safety and Environmental Enforcement,
Department of the Interior (Parts 200--299)
IV Geological Survey, Department of the Interior (Parts
400--499)
V Bureau of Ocean Energy Management, Department of the
Interior (Parts 500--599)
VII Office of Surface Mining Reclamation and Enforcement,
Department of the Interior (Parts 700--999)
XII Office of Natural Resources Revenue, Department of the
Interior (Parts 1200--1299)
Title 31--Money and Finance: Treasury
Subtitle A--Office of the Secretary of the Treasury
(Parts 0--50)
Subtitle B--Regulations Relating to Money and Finance
I Monetary Offices, Department of the Treasury (Parts
51--199)
II Fiscal Service, Department of the Treasury (Parts
200--399)
IV Secret Service, Department of the Treasury (Parts
400--499)
V Office of Foreign Assets Control, Department of the
Treasury (Parts 500--599)
VI Bureau of Engraving and Printing, Department of the
Treasury (Parts 600--699)
VII Federal Law Enforcement Training Center, Department of
the Treasury (Parts 700--799)
VIII Office of International Investment, Department of the
Treasury (Parts 800--899)
IX Federal Claims Collection Standards (Department of the
Treasury--Department of Justice) (Parts 900--999)
X Financial Crimes Enforcement Network, Department of
the Treasury (Parts 1000--1099)
Title 32--National Defense
Subtitle A--Department of Defense
I Office of the Secretary of Defense (Parts 1--399)
[[Page 951]]
V Department of the Army (Parts 400--699)
VI Department of the Navy (Parts 700--799)
VII Department of the Air Force (Parts 800--1099)
Subtitle B--Other Regulations Relating to National
Defense
XII Defense Logistics Agency (Parts 1200--1299)
XVI Selective Service System (Parts 1600--1699)
XVII Office of the Director of National Intelligence (Parts
1700--1799)
XVIII National Counterintelligence Center (Parts 1800--1899)
XIX Central Intelligence Agency (Parts 1900--1999)
XX Information Security Oversight Office, National
Archives and Records Administration (Parts 2000--
2099)
XXI National Security Council (Parts 2100--2199)
XXIV Office of Science and Technology Policy (Parts 2400--
2499)
XXVII Office for Micronesian Status Negotiations (Parts
2700--2799)
XXVIII Office of the Vice President of the United States
(Parts 2800--2899)
Title 33--Navigation and Navigable Waters
I Coast Guard, Department of Homeland Security (Parts
1--199)
II Corps of Engineers, Department of the Army (Parts
200--399)
IV Saint Lawrence Seaway Development Corporation,
Department of Transportation (Parts 400--499)
Title 34--Education
Subtitle A--Office of the Secretary, Department of
Education (Parts 1--99)
Subtitle B--Regulations of the Offices of the
Department of Education
I Office for Civil Rights, Department of Education
(Parts 100--199)
II Office of Elementary and Secondary Education,
Department of Education (Parts 200--299)
III Office of Special Education and Rehabilitative
Services, Department of Education (Parts 300--399)
IV Office of Vocational and Adult Education, Department
of Education (Parts 400--499)
V Office of Bilingual Education and Minority Languages
Affairs, Department of Education (Parts 500--599)
VI Office of Postsecondary Education, Department of
Education (Parts 600--699)
VII Office of Educational Research and Improvement,
Department of Education (Parts 700--799)[Reserved]
Subtitle C--Regulations Relating to Education
XI National Institute for Literacy (Parts 1100--1199)
XII National Council on Disability (Parts 1200--1299)
[[Page 952]]
Title 35 [Reserved]
Title 36--Parks, Forests, and Public Property
I National Park Service, Department of the Interior
(Parts 1--199)
II Forest Service, Department of Agriculture (Parts 200--
299)
III Corps of Engineers, Department of the Army (Parts
300--399)
IV American Battle Monuments Commission (Parts 400--499)
V Smithsonian Institution (Parts 500--599)
VI [Reserved]
VII Library of Congress (Parts 700--799)
VIII Advisory Council on Historic Preservation (Parts 800--
899)
IX Pennsylvania Avenue Development Corporation (Parts
900--999)
X Presidio Trust (Parts 1000--1099)
XI Architectural and Transportation Barriers Compliance
Board (Parts 1100--1199)
XII National Archives and Records Administration (Parts
1200--1299)
XV Oklahoma City National Memorial Trust (Parts 1500--
1599)
XVI Morris K. Udall Scholarship and Excellence in National
Environmental Policy Foundation (Parts 1600--1699)
Title 37--Patents, Trademarks, and Copyrights
I United States Patent and Trademark Office, Department
of Commerce (Parts 1--199)
II U.S. Copyright Office, Library of Congress (Parts
200--299)
III Copyright Royalty Board, Library of Congress (Parts
300--399)
IV Assistant Secretary for Technology Policy, Department
of Commerce (Parts 400--599)
Title 38--Pensions, Bonuses, and Veterans' Relief
I Department of Veterans Affairs (Parts 0--199)
II Armed Forces Retirement Home (Parts 200--299)
Title 39--Postal Service
I United States Postal Service (Parts 1--999)
III Postal Regulatory Commission (Parts 3000--3099)
Title 40--Protection of Environment
I Environmental Protection Agency (Parts 1--1099)
IV Environmental Protection Agency and Department of
Justice (Parts 1400--1499)
V Council on Environmental Quality (Parts 1500--1599)
VI Chemical Safety and Hazard Investigation Board (Parts
1600--1699)
[[Page 953]]
VII Environmental Protection Agency and Department of
Defense; Uniform National Discharge Standards for
Vessels of the Armed Forces (Parts 1700--1799)
Title 41--Public Contracts and Property Management
Subtitle A--Federal Procurement Regulations System
[Note]
Subtitle B--Other Provisions Relating to Public
Contracts
50 Public Contracts, Department of Labor (Parts 50-1--50-
999)
51 Committee for Purchase From People Who Are Blind or
Severely Disabled (Parts 51-1--51-99)
60 Office of Federal Contract Compliance Programs, Equal
Employment Opportunity, Department of Labor (Parts
60-1--60-999)
61 Office of the Assistant Secretary for Veterans'
Employment and Training Service, Department of
Labor (Parts 61-1--61-999)
62--100 [Reserved]
Subtitle C--Federal Property Management Regulations
System
101 Federal Property Management Regulations (Parts 101-1--
101-99)
102 Federal Management Regulation (Parts 102-1--102-299)
103--104 [Reserved]
105 General Services Administration (Parts 105-1--105-999)
109 Department of Energy Property Management Regulations
(Parts 109-1--109-99)
114 Department of the Interior (Parts 114-1--114-99)
115 Environmental Protection Agency (Parts 115-1--115-99)
128 Department of Justice (Parts 128-1--128-99)
129--200 [Reserved]
Subtitle D--Other Provisions Relating to Property
Management [Reserved]
Subtitle E--Federal Information Resources Management
Regulations System [Reserved]
Subtitle F--Federal Travel Regulation System
300 General (Parts 300-1--300-99)
301 Temporary Duty (TDY) Travel Allowances (Parts 301-1--
301-99)
302 Relocation Allowances (Parts 302-1--302-99)
303 Payment of Expenses Connected with the Death of
Certain Employees (Part 303-1--303-99)
304 Payment of Travel Expenses from a Non-Federal Source
(Parts 304-1--304-99)
Title 42--Public Health
I Public Health Service, Department of Health and Human
Services (Parts 1--199)
IV Centers for Medicare & Medicaid Services, Department
of Health and Human Services (Parts 400--599)
[[Page 954]]
V Office of Inspector General-Health Care, Department of
Health and Human Services (Parts 1000--1999)
Title 43--Public Lands: Interior
Subtitle A--Office of the Secretary of the Interior
(Parts 1--199)
Subtitle B--Regulations Relating to Public Lands
I Bureau of Reclamation, Department of the Interior
(Parts 400--999)
II Bureau of Land Management, Department of the Interior
(Parts 1000--9999)
III Utah Reclamation Mitigation and Conservation
Commission (Parts 10000--10099)
Title 44--Emergency Management and Assistance
I Federal Emergency Management Agency, Department of
Homeland Security (Parts 0--399)
IV Department of Commerce and Department of
Transportation (Parts 400--499)
Title 45--Public Welfare
Subtitle A--Department of Health and Human Services
(Parts 1--199)
Subtitle B--Regulations Relating to Public Welfare
II Office of Family Assistance (Assistance Programs),
Administration for Children and Families,
Department of Health and Human Services (Parts
200--299)
III Office of Child Support Enforcement (Child Support
Enforcement Program), Administration for Children
and Families, Department of Health and Human
Services (Parts 300--399)
IV Office of Refugee Resettlement, Administration for
Children and Families, Department of Health and
Human Services (Parts 400--499)
V Foreign Claims Settlement Commission of the United
States, Department of Justice (Parts 500--599)
VI National Science Foundation (Parts 600--699)
VII Commission on Civil Rights (Parts 700--799)
VIII Office of Personnel Management (Parts 800--899)
X Office of Community Services, Administration for
Children and Families, Department of Health and
Human Services (Parts 1000--1099)
XI National Foundation on the Arts and the Humanities
(Parts 1100--1199)
XII Corporation for National and Community Service (Parts
1200--1299)
XIII Office of Human Development Services, Department of
Health and Human Services (Parts 1300--1399)
[[Page 955]]
XVI Legal Services Corporation (Parts 1600--1699)
XVII National Commission on Libraries and Information
Science (Parts 1700--1799)
XVIII Harry S. Truman Scholarship Foundation (Parts 1800--
1899)
XXI Commission on Fine Arts (Parts 2100--2199)
XXIII Arctic Research Commission (Part 2301)
XXIV James Madison Memorial Fellowship Foundation (Parts
2400--2499)
XXV Corporation for National and Community Service (Parts
2500--2599)
Title 46--Shipping
I Coast Guard, Department of Homeland Security (Parts
1--199)
II Maritime Administration, Department of Transportation
(Parts 200--399)
III Coast Guard (Great Lakes Pilotage), Department of
Homeland Security (Parts 400--499)
IV Federal Maritime Commission (Parts 500--599)
Title 47--Telecommunication
I Federal Communications Commission (Parts 0--199)
II Office of Science and Technology Policy and National
Security Council (Parts 200--299)
III National Telecommunications and Information
Administration, Department of Commerce (Parts
300--399)
IV National Telecommunications and Information
Administration, Department of Commerce, and
National Highway Traffic Safety Administration,
Department of Transportation (Parts 400--499)
Title 48--Federal Acquisition Regulations System
1 Federal Acquisition Regulation (Parts 1--99)
2 Defense Acquisition Regulations System, Department of
Defense (Parts 200--299)
3 Health and Human Services (Parts 300--399)
4 Department of Agriculture (Parts 400--499)
5 General Services Administration (Parts 500--599)
6 Department of State (Parts 600--699)
7 Agency for International Development (Parts 700--799)
8 Department of Veterans Affairs (Parts 800--899)
9 Department of Energy (Parts 900--999)
10 Department of the Treasury (Parts 1000--1099)
12 Department of Transportation (Parts 1200--1299)
13 Department of Commerce (Parts 1300--1399)
14 Department of the Interior (Parts 1400--1499)
[[Page 956]]
15 Environmental Protection Agency (Parts 1500--1599)
16 Office of Personnel Management, Federal Employees
Health Benefits Acquisition Regulation (Parts
1600--1699)
17 Office of Personnel Management (Parts 1700--1799)
18 National Aeronautics and Space Administration (Parts
1800--1899)
19 Broadcasting Board of Governors (Parts 1900--1999)
20 Nuclear Regulatory Commission (Parts 2000--2099)
21 Office of Personnel Management, Federal Employees
Group Life Insurance Federal Acquisition
Regulation (Parts 2100--2199)
23 Social Security Administration (Parts 2300--2399)
24 Department of Housing and Urban Development (Parts
2400--2499)
25 National Science Foundation (Parts 2500--2599)
28 Department of Justice (Parts 2800--2899)
29 Department of Labor (Parts 2900--2999)
30 Department of Homeland Security, Homeland Security
Acquisition Regulation (HSAR) (Parts 3000--3099)
34 Department of Education Acquisition Regulation (Parts
3400--3499)
51 Department of the Army Acquisition Regulations (Parts
5100--5199)
52 Department of the Navy Acquisition Regulations (Parts
5200--5299)
53 Department of the Air Force Federal Acquisition
Regulation Supplement (Parts 5300--5399)
[Reserved]
54 Defense Logistics Agency, Department of Defense (Parts
5400--5499)
57 African Development Foundation (Parts 5700--5799)
61 Civilian Board of Contract Appeals, General Services
Administration (Parts 6100--6199)
63 Department of Transportation Board of Contract Appeals
(Parts 6300--6399)
99 Cost Accounting Standards Board, Office of Federal
Procurement Policy, Office of Management and
Budget (Parts 9900--9999)
Title 49--Transportation
Subtitle A--Office of the Secretary of Transportation
(Parts 1--99)
Subtitle B--Other Regulations Relating to
Transportation
I Pipeline and Hazardous Materials Safety
Administration, Department of Transportation
(Parts 100--199)
II Federal Railroad Administration, Department of
Transportation (Parts 200--299)
III Federal Motor Carrier Safety Administration,
Department of Transportation (Parts 300--399)
IV Coast Guard, Department of Homeland Security (Parts
400--499)
[[Page 957]]
V National Highway Traffic Safety Administration,
Department of Transportation (Parts 500--599)
VI Federal Transit Administration, Department of
Transportation (Parts 600--699)
VII National Railroad Passenger Corporation (AMTRAK)
(Parts 700--799)
VIII National Transportation Safety Board (Parts 800--999)
X Surface Transportation Board, Department of
Transportation (Parts 1000--1399)
XI Research and Innovative Technology Administration,
Department of Transportation (Parts 1400--1499)
[Reserved]
XII Transportation Security Administration, Department of
Homeland Security (Parts 1500--1699)
Title 50--Wildlife and Fisheries
I United States Fish and Wildlife Service, Department of
the Interior (Parts 1--199)
II National Marine Fisheries Service, National Oceanic
and Atmospheric Administration, Department of
Commerce (Parts 200--299)
III International Fishing and Related Activities (Parts
300--399)
IV Joint Regulations (United States Fish and Wildlife
Service, Department of the Interior and National
Marine Fisheries Service, National Oceanic and
Atmospheric Administration, Department of
Commerce); Endangered Species Committee
Regulations (Parts 400--499)
V Marine Mammal Commission (Parts 500--599)
VI Fishery Conservation and Management, National Oceanic
and Atmospheric Administration, Department of
Commerce (Parts 600--699)
[[Page 959]]
Alphabetical List of Agencies Appearing in the CFR
(Revised as of April 1, 2014)
CFR Title, Subtitle or
Agency Chapter
Administrative Committee of the Federal Register 1, I
Administrative Conference of the United States 1, III
Advisory Council on Historic Preservation 36, VIII
Advocacy and Outreach, Office of 7, XXV
Afghanistan Reconstruction, Special Inspector 22, LXXXIII
General for
African Development Foundation 22, XV
Federal Acquisition Regulation 48, 57
Agency for International Development 2, VII; 22, II
Federal Acquisition Regulation 48, 7
Agricultural Marketing Service 7, I, IX, X, XI
Agricultural Research Service 7, V
Agriculture Department 2, IV; 5, LXXIII
Advocacy and Outreach, Office of 7, XXV
Agricultural Marketing Service 7, I, IX, X, XI
Agricultural Research Service 7, V
Animal and Plant Health Inspection Service 7, III; 9, I
Chief Financial Officer, Office of 7, XXX
Commodity Credit Corporation 7, XIV
Economic Research Service 7, XXXVII
Energy Policy and New Uses, Office of 2, IX; 7, XXIX
Environmental Quality, Office of 7, XXXI
Farm Service Agency 7, VII, XVIII
Federal Acquisition Regulation 48, 4
Federal Crop Insurance Corporation 7, IV
Food and Nutrition Service 7, II
Food Safety and Inspection Service 9, III
Foreign Agricultural Service 7, XV
Forest Service 36, II
Grain Inspection, Packers and Stockyards 7, VIII; 9, II
Administration
Information Resources Management, Office of 7, XXVII
Inspector General, Office of 7, XXVI
National Agricultural Library 7, XLI
National Agricultural Statistics Service 7, XXXVI
National Institute of Food and Agriculture 7, XXXIV
Natural Resources Conservation Service 7, VI
Operations, Office of 7, XXVIII
Procurement and Property Management, Office of 7, XXXII
Rural Business-Cooperative Service 7, XVIII, XLII, L
Rural Development Administration 7, XLII
Rural Housing Service 7, XVIII, XXXV, L
Rural Telephone Bank 7, XVI
Rural Utilities Service 7, XVII, XVIII, XLII, L
Secretary of Agriculture, Office of 7, Subtitle A
Transportation, Office of 7, XXXIII
World Agricultural Outlook Board 7, XXXVIII
Air Force Department 32, VII
Federal Acquisition Regulation Supplement 48, 53
Air Transportation Stabilization Board 14, VI
Alcohol and Tobacco Tax and Trade Bureau 27, I
Alcohol, Tobacco, Firearms, and Explosives, 27, II
Bureau of
AMTRAK 49, VII
American Battle Monuments Commission 36, IV
American Indians, Office of the Special Trustee 25, VII
[[Page 960]]
Animal and Plant Health Inspection Service 7, III; 9, I
Appalachian Regional Commission 5, IX
Architectural and Transportation Barriers 36, XI
Compliance Board
Arctic Research Commission 45, XXIII
Armed Forces Retirement Home 5, XI
Army Department 32, V
Engineers, Corps of 33, II; 36, III
Federal Acquisition Regulation 48, 51
Bilingual Education and Minority Languages 34, V
Affairs, Office of
Blind or Severely Disabled, Committee for 41, 51
Purchase from People Who Are
Broadcasting Board of Governors 22, V
Federal Acquisition Regulation 48, 19
Bureau of Ocean Energy Management, Regulation, 30, II
and Enforcement
Census Bureau 15, I
Centers for Medicare & Medicaid Services 42, IV
Central Intelligence Agency 32, XIX
Chemical Safety and Hazardous Investigation 40, VI
Board
Chief Financial Officer, Office of 7, XXX
Child Support Enforcement, Office of 45, III
Children and Families, Administration for 45, II, III, IV, X
Civil Rights, Commission on 5, LXVIII; 45, VII
Civil Rights, Office for 34, I
Council of the Inspectors General on Integrity 5, XCVIII
and Efficiency
Court Services and Offender Supervision Agency 5, LXX
for the District of Columbia
Coast Guard 33, I; 46, I; 49, IV
Coast Guard (Great Lakes Pilotage) 46, III
Commerce Department 2, XIII; 44, IV; 50, VI
Census Bureau 15, I
Economic Analysis, Bureau of 15, VIII
Economic Development Administration 13, III
Emergency Management and Assistance 44, IV
Federal Acquisition Regulation 48, 13
Foreign-Trade Zones Board 15, IV
Industry and Security, Bureau of 15, VII
International Trade Administration 15, III; 19, III
National Institute of Standards and Technology 15, II
National Marine Fisheries Service 50, II, IV
National Oceanic and Atmospheric 15, IX; 50, II, III, IV,
Administration VI
National Telecommunications and Information 15, XXIII; 47, III, IV
Administration
National Weather Service 15, IX
Patent and Trademark Office, United States 37, I
Productivity, Technology and Innovation, 37, IV
Assistant Secretary for
Secretary of Commerce, Office of 15, Subtitle A
Technology Administration 15, XI
Technology Policy, Assistant Secretary for 37, IV
Commercial Space Transportation 14, III
Commodity Credit Corporation 7, XIV
Commodity Futures Trading Commission 5, XLI; 17, I
Community Planning and Development, Office of 24, V, VI
Assistant Secretary for
Community Services, Office of 45, X
Comptroller of the Currency 12, I
Construction Industry Collective Bargaining 29, IX
Commission
Consumer Financial Protection Bureau 5, LXXXIV; 12, X
Consumer Product Safety Commission 5, LXXI; 16, II
Copyright Royalty Board 37, III
Corporation for National and Community Service 2, XXII; 45, XII, XXV
Cost Accounting Standards Board 48, 99
Council on Environmental Quality 40, V
Court Services and Offender Supervision Agency 5, LXX; 28, VIII
for the District of Columbia
Customs and Border Protection 19, I
[[Page 961]]
Defense Contract Audit Agency 32, I
Defense Department 2, XI; 5, XXVI; 32,
Subtitle A; 40, VII
Advanced Research Projects Agency 32, I
Air Force Department 32, VII
Army Department 32, V; 33, II; 36, III,
48, 51
Defense Acquisition Regulations System 48, 2
Defense Intelligence Agency 32, I
Defense Logistics Agency 32, I, XII; 48, 54
Engineers, Corps of 33, II; 36, III
National Imagery and Mapping Agency 32, I
Navy Department 32, VI; 48, 52
Secretary of Defense, Office of 2, XI; 32, I
Defense Contract Audit Agency 32, I
Defense Intelligence Agency 32, I
Defense Logistics Agency 32, XII; 48, 54
Defense Nuclear Facilities Safety Board 10, XVII
Delaware River Basin Commission 18, III
District of Columbia, Court Services and 5, LXX; 28, VIII
Offender Supervision Agency for the
Drug Enforcement Administration 21, II
East-West Foreign Trade Board 15, XIII
Economic Analysis, Bureau of 15, VIII
Economic Development Administration 13, III
Economic Research Service 7, XXXVII
Education, Department of 2, XXXIV; 5, LIII
Bilingual Education and Minority Languages 34, V
Affairs, Office of
Civil Rights, Office for 34, I
Educational Research and Improvement, Office 34, VII
of
Elementary and Secondary Education, Office of 34, II
Federal Acquisition Regulation 48, 34
Postsecondary Education, Office of 34, VI
Secretary of Education, Office of 34, Subtitle A
Special Education and Rehabilitative Services, 34, III
Office of
Vocational and Adult Education, Office of 34, IV
Educational Research and Improvement, Office of 34, VII
Election Assistance Commission 2, LVIII; 11, II
Elementary and Secondary Education, Office of 34, II
Emergency Oil and Gas Guaranteed Loan Board 13, V
Emergency Steel Guarantee Loan Board 13, IV
Employee Benefits Security Administration 29, XXV
Employees' Compensation Appeals Board 20, IV
Employees Loyalty Board 5, V
Employment and Training Administration 20, V
Employment Standards Administration 20, VI
Endangered Species Committee 50, IV
Energy, Department of 2, IX; 5, XXIII; 10, II,
III, X
Federal Acquisition Regulation 48, 9
Federal Energy Regulatory Commission 5, XXIV; 18, I
Property Management Regulations 41, 109
Energy, Office of 7, XXIX
Engineers, Corps of 33, II; 36, III
Engraving and Printing, Bureau of 31, VI
Environmental Protection Agency 2, XV; 5, LIV; 40, I, IV,
VII
Federal Acquisition Regulation 48, 15
Property Management Regulations 41, 115
Environmental Quality, Office of 7, XXXI
Equal Employment Opportunity Commission 5, LXII; 29, XIV
Equal Opportunity, Office of Assistant Secretary 24, I
for
Executive Office of the President 3, I
Administration, Office of 5, XV
Environmental Quality, Council on 40, V
Management and Budget, Office of 2, Subtitle A; 5, III,
LXXVII; 14, VI; 48, 99
[[Page 962]]
National Drug Control Policy, Office of 21, III
National Security Council 32, XXI; 47, 2
Presidential Documents 3
Science and Technology Policy, Office of 32, XXIV; 47, II
Trade Representative, Office of the United 15, XX
States
Export-Import Bank of the United States 2, XXXV; 5, LII; 12, IV
Family Assistance, Office of 45, II
Farm Credit Administration 5, XXXI; 12, VI
Farm Credit System Insurance Corporation 5, XXX; 12, XIV
Farm Service Agency 7, VII, XVIII
Federal Acquisition Regulation 48, 1
Federal Aviation Administration 14, I
Commercial Space Transportation 14, III
Federal Claims Collection Standards 31, IX
Federal Communications Commission 5, XXIX; 47, I
Federal Contract Compliance Programs, Office of 41, 60
Federal Crop Insurance Corporation 7, IV
Federal Deposit Insurance Corporation 5, XXII; 12, III
Federal Election Commission 5, XXXVII; 11, I
Federal Emergency Management Agency 44, I
Federal Employees Group Life Insurance Federal 48, 21
Acquisition Regulation
Federal Employees Health Benefits Acquisition 48, 16
Regulation
Federal Energy Regulatory Commission 5, XXIV; 18, I
Federal Financial Institutions Examination 12, XI
Council
Federal Financing Bank 12, VIII
Federal Highway Administration 23, I, II
Federal Home Loan Mortgage Corporation 1, IV
Federal Housing Enterprise Oversight Office 12, XVII
Federal Housing Finance Agency 5, LXXX; 12, XII
Federal Housing Finance Board 12, IX
Federal Labor Relations Authority 5, XIV, XLIX; 22, XIV
Federal Law Enforcement Training Center 31, VII
Federal Management Regulation 41, 102
Federal Maritime Commission 46, IV
Federal Mediation and Conciliation Service 29, XII
Federal Mine Safety and Health Review Commission 5, LXXIV; 29, XXVII
Federal Motor Carrier Safety Administration 49, III
Federal Prison Industries, Inc. 28, III
Federal Procurement Policy Office 48, 99
Federal Property Management Regulations 41, 101
Federal Railroad Administration 49, II
Federal Register, Administrative Committee of 1, I
Federal Register, Office of 1, II
Federal Reserve System 12, II
Board of Governors 5, LVIII
Federal Retirement Thrift Investment Board 5, VI, LXXVI
Federal Service Impasses Panel 5, XIV
Federal Trade Commission 5, XLVII; 16, I
Federal Transit Administration 49, VI
Federal Travel Regulation System 41, Subtitle F
Financial Crimes Enforcement Network 31, X
Financial Research Office 12, XVI
Financial Stability Oversight Council 12, XIII
Fine Arts, Commission on 45, XXI
Fiscal Service 31, II
Fish and Wildlife Service, United States 50, I, IV
Food and Drug Administration 21, I
Food and Nutrition Service 7, II
Food Safety and Inspection Service 9, III
Foreign Agricultural Service 7, XV
Foreign Assets Control, Office of 31, V
Foreign Claims Settlement Commission of the 45, V
United States
Foreign Service Grievance Board 22, IX
Foreign Service Impasse Disputes Panel 22, XIV
Foreign Service Labor Relations Board 22, XIV
Foreign-Trade Zones Board 15, IV
[[Page 963]]
Forest Service 36, II
General Services Administration 5, LVII; 41, 105
Contract Appeals, Board of 48, 61
Federal Acquisition Regulation 48, 5
Federal Management Regulation 41, 102
Federal Property Management Regulations 41, 101
Federal Travel Regulation System 41, Subtitle F
General 41, 300
Payment From a Non-Federal Source for Travel 41, 304
Expenses
Payment of Expenses Connected With the Death 41, 303
of Certain Employees
Relocation Allowances 41, 302
Temporary Duty (TDY) Travel Allowances 41, 301
Geological Survey 30, IV
Government Accountability Office 4, I
Government Ethics, Office of 5, XVI
Government National Mortgage Association 24, III
Grain Inspection, Packers and Stockyards 7, VIII; 9, II
Administration
Harry S. Truman Scholarship Foundation 45, XVIII
Health and Human Services, Department of 2, III; 5, XLV; 45,
Subtitle A,
Centers for Medicare & Medicaid Services 42, IV
Child Support Enforcement, Office of 45, III
Children and Families, Administration for 45, II, III, IV, X
Community Services, Office of 45, X
Family Assistance, Office of 45, II
Federal Acquisition Regulation 48, 3
Food and Drug Administration 21, I
Human Development Services, Office of 45, XIII
Indian Health Service 25, V
Inspector General (Health Care), Office of 42, V
Public Health Service 42, I
Refugee Resettlement, Office of 45, IV
Homeland Security, Department of 2, XXX; 6, I; 8, I
Coast Guard 33, I; 46, I; 49, IV
Coast Guard (Great Lakes Pilotage) 46, III
Customs and Border Protection 19, I
Federal Emergency Management Agency 44, I
Human Resources Management and Labor Relations 5, XCVII
Systems
Immigration and Customs Enforcement Bureau 19, IV
Transportation Security Administration 49, XII
HOPE for Homeowners Program, Board of Directors 24, XXIV
of
Housing and Urban Development, Department of 2, XXIV; 5, LXV; 24,
Subtitle B
Community Planning and Development, Office of 24, V, VI
Assistant Secretary for
Equal Opportunity, Office of Assistant 24, I
Secretary for
Federal Acquisition Regulation 48, 24
Federal Housing Enterprise Oversight, Office 12, XVII
of
Government National Mortgage Association 24, III
Housing--Federal Housing Commissioner, Office 24, II, VIII, X, XX
of Assistant Secretary for
Housing, Office of, and Multifamily Housing 24, IV
Assistance Restructuring, Office of
Inspector General, Office of 24, XII
Public and Indian Housing, Office of Assistant 24, IX
Secretary for
Secretary, Office of 24, Subtitle A, VII
Housing--Federal Housing Commissioner, Office of 24, II, VIII, X, XX
Assistant Secretary for
Housing, Office of, and Multifamily Housing 24, IV
Assistance Restructuring, Office of
Human Development Services, Office of 45, XIII
Immigration and Customs Enforcement Bureau 19, IV
Immigration Review, Executive Office for 8, V
Independent Counsel, Office of 28, VII
Indian Affairs, Bureau of 25, I, V
[[Page 964]]
Indian Affairs, Office of the Assistant 25, VI
Secretary
Indian Arts and Crafts Board 25, II
Indian Health Service 25, V
Industry and Security, Bureau of 15, VII
Information Resources Management, Office of 7, XXVII
Information Security Oversight Office, National 32, XX
Archives and Records Administration
Inspector General
Agriculture Department 7, XXVI
Health and Human Services Department 42, V
Housing and Urban Development Department 24, XII, XV
Institute of Peace, United States 22, XVII
Inter-American Foundation 5, LXIII; 22, X
Interior Department 2, XIV
American Indians, Office of the Special 25, VII
Trustee
Bureau of Ocean Energy Management, Regulation, 30, II
and Enforcement
Endangered Species Committee 50, IV
Federal Acquisition Regulation 48, 14
Federal Property Management Regulations System 41, 114
Fish and Wildlife Service, United States 50, I, IV
Geological Survey 30, IV
Indian Affairs, Bureau of 25, I, V
Indian Affairs, Office of the Assistant 25, VI
Secretary
Indian Arts and Crafts Board 25, II
Land Management, Bureau of 43, II
National Indian Gaming Commission 25, III
National Park Service 36, I
Natural Resource Revenue, Office of 30, XII
Ocean Energy Management, Bureau of 30, V
Reclamation, Bureau of 43, I
Secretary of the Interior, Office of 2, XIV; 43, Subtitle A
Surface Mining Reclamation and Enforcement, 30, VII
Office of
Internal Revenue Service 26, I
International Boundary and Water Commission, 22, XI
United States and Mexico, United States
Section
International Development, United States Agency 22, II
for
Federal Acquisition Regulation 48, 7
International Development Cooperation Agency, 22, XII
United States
International Joint Commission, United States 22, IV
and Canada
International Organizations Employees Loyalty 5, V
Board
International Trade Administration 15, III; 19, III
International Trade Commission, United States 19, II
Interstate Commerce Commission 5, XL
Investment Security, Office of 31, VIII
James Madison Memorial Fellowship Foundation 45, XXIV
Japan-United States Friendship Commission 22, XVI
Joint Board for the Enrollment of Actuaries 20, VIII
Justice Department 2, XXVIII; 5, XXVIII; 28,
I, XI; 40, IV
Alcohol, Tobacco, Firearms, and Explosives, 27, II
Bureau of
Drug Enforcement Administration 21, II
Federal Acquisition Regulation 48, 28
Federal Claims Collection Standards 31, IX
Federal Prison Industries, Inc. 28, III
Foreign Claims Settlement Commission of the 45, V
United States
Immigration Review, Executive Office for 8, V
Offices of Independent Counsel 28, VI
Prisons, Bureau of 28, V
Property Management Regulations 41, 128
Labor Department 5, XLII
Employee Benefits Security Administration 29, XXV
Employees' Compensation Appeals Board 20, IV
Employment and Training Administration 20, V
Employment Standards Administration 20, VI
[[Page 965]]
Federal Acquisition Regulation 48, 29
Federal Contract Compliance Programs, Office 41, 60
of
Federal Procurement Regulations System 41, 50
Labor-Management Standards, Office of 29, II, IV
Mine Safety and Health Administration 30, I
Occupational Safety and Health Administration 29, XVII
Office of Workers' Compensation Programs 20, VII
Public Contracts 41, 50
Secretary of Labor, Office of 29, Subtitle A
Veterans' Employment and Training Service, 41, 61; 20, IX
Office of the Assistant Secretary for
Wage and Hour Division 29, V
Workers' Compensation Programs, Office of 20, I
Labor-Management Standards, Office of 29, II, IV
Land Management, Bureau of 43, II
Legal Services Corporation 45, XVI
Library of Congress 36, VII
Copyright Royalty Board 37, III
U.S. Copyright Office 37, II
Local Television Loan Guarantee Board 7, XX
Management and Budget, Office of 5, III, LXXVII; 14, VI;
48, 99
Marine Mammal Commission 50, V
Maritime Administration 46, II
Merit Systems Protection Board 5, II, LXIV
Micronesian Status Negotiations, Office for 32, XXVII
Millennium Challenge Corporation 22, XIII
Mine Safety and Health Administration 30, I
Minority Business Development Agency 15, XIV
Miscellaneous Agencies 1, IV
Monetary Offices 31, I
Morris K. Udall Scholarship and Excellence in 36, XVI
National Environmental Policy Foundation
Museum and Library Services, Institute of 2, XXXI
National Aeronautics and Space Administration 2, XVIII; 5, LIX; 14, V
Federal Acquisition Regulation 48, 18
National Agricultural Library 7, XLI
National Agricultural Statistics Service 7, XXXVI
National and Community Service, Corporation for 2, XXII; 45, XII, XXV
National Archives and Records Administration 2, XXVI; 5, LXVI; 36, XII
Information Security Oversight Office 32, XX
National Capital Planning Commission 1, IV
National Commission for Employment Policy 1, IV
National Commission on Libraries and Information 45, XVII
Science
National Council on Disability 34, XII
National Counterintelligence Center 32, XVIII
National Credit Union Administration 5, LXXXVI; 12, VII
National Crime Prevention and Privacy Compact 28, IX
Council
National Drug Control Policy, Office of 21, III
National Endowment for the Arts 2, XXXII
National Endowment for the Humanities 2, XXXIII
National Foundation on the Arts and the 45, XI
Humanities
National Highway Traffic Safety Administration 23, II, III; 47, VI; 49, V
National Imagery and Mapping Agency 32, I
National Indian Gaming Commission 25, III
National Institute for Literacy 34, XI
National Institute of Food and Agriculture 7, XXXIV
National Institute of Standards and Technology 15, II
National Intelligence, Office of Director of 32, XVII
National Labor Relations Board 5, LXI; 29, I
National Marine Fisheries Service 50, II, IV
National Mediation Board 29, X
National Oceanic and Atmospheric Administration 15, IX; 50, II, III, IV,
VI
National Park Service 36, I
National Railroad Adjustment Board 29, III
National Railroad Passenger Corporation (AMTRAK) 49, VII
[[Page 966]]
National Science Foundation 2, XXV; 5, XLIII; 45, VI
Federal Acquisition Regulation 48, 25
National Security Council 32, XXI
National Security Council and Office of Science 47, II
and Technology Policy
National Telecommunications and Information 15, XXIII; 47, III, IV
Administration
National Transportation Safety Board 49, VIII
Natural Resources Conservation Service 7, VI
Natural Resource Revenue, Office of 30, XII
Navajo and Hopi Indian Relocation, Office of 25, IV
Navy Department 32, VI
Federal Acquisition Regulation 48, 52
Neighborhood Reinvestment Corporation 24, XXV
Northeast Interstate Low-Level Radioactive Waste 10, XVIII
Commission
Nuclear Regulatory Commission 2, XX; 5, XLVIII; 10, I
Federal Acquisition Regulation 48, 20
Occupational Safety and Health Administration 29, XVII
Occupational Safety and Health Review Commission 29, XX
Ocean Energy Management, Bureau of 30, V
Offices of Independent Counsel 28, VI
Office of Workers' Compensation Programs 20, VII
Oklahoma City National Memorial Trust 36, XV
Operations Office 7, XXVIII
Overseas Private Investment Corporation 5, XXXIII; 22, VII
Patent and Trademark Office, United States 37, I
Payment From a Non-Federal Source for Travel 41, 304
Expenses
Payment of Expenses Connected With the Death of 41, 303
Certain Employees
Peace Corps 2, XXXVII; 22, III
Pennsylvania Avenue Development Corporation 36, IX
Pension Benefit Guaranty Corporation 29, XL
Personnel Management, Office of 5, I, XXXV; 45, VIII
Human Resources Management and Labor Relations 5, XCVII
Systems, Department of Homeland Security
Federal Acquisition Regulation 48, 17
Federal Employees Group Life Insurance Federal 48, 21
Acquisition Regulation
Federal Employees Health Benefits Acquisition 48, 16
Regulation
Pipeline and Hazardous Materials Safety 49, I
Administration
Postal Regulatory Commission 5, XLVI; 39, III
Postal Service, United States 5, LX; 39, I
Postsecondary Education, Office of 34, VI
President's Commission on White House 1, IV
Fellowships
Presidential Documents 3
Presidio Trust 36, X
Prisons, Bureau of 28, V
Privacy and Civil Liberties Oversight Board 6, X
Procurement and Property Management, Office of 7, XXXII
Productivity, Technology and Innovation, 37, IV
Assistant Secretary
Public Contracts, Department of Labor 41, 50
Public and Indian Housing, Office of Assistant 24, IX
Secretary for
Public Health Service 42, I
Railroad Retirement Board 20, II
Reclamation, Bureau of 43, I
Recovery Accountability and Transparency Board 4, II
Refugee Resettlement, Office of 45, IV
Relocation Allowances 41, 302
Research and Innovative Technology 49, XI
Administration
Rural Business-Cooperative Service 7, XVIII, XLII, L
Rural Development Administration 7, XLII
Rural Housing Service 7, XVIII, XXXV, L
Rural Telephone Bank 7, XVI
Rural Utilities Service 7, XVII, XVIII, XLII, L
Saint Lawrence Seaway Development Corporation 33, IV
[[Page 967]]
Science and Technology Policy, Office of 32, XXIV
Science and Technology Policy, Office of, and 47, II
National Security Council
Secret Service 31, IV
Securities and Exchange Commission 5, XXXIV; 17, II
Selective Service System 32, XVI
Small Business Administration 2, XXVII; 13, I
Smithsonian Institution 36, V
Social Security Administration 2, XXIII; 20, III; 48, 23
Soldiers' and Airmen's Home, United States 5, XI
Special Counsel, Office of 5, VIII
Special Education and Rehabilitative Services, 34, III
Office of
State Department 2, VI; 22, I; 28, XI
Federal Acquisition Regulation 48, 6
Surface Mining Reclamation and Enforcement, 30, VII
Office of
Surface Transportation Board 49, X
Susquehanna River Basin Commission 18, VIII
Technology Administration 15, XI
Technology Policy, Assistant Secretary for 37, IV
Tennessee Valley Authority 5, LXIX; 18, XIII
Thrift Supervision Office, Department of the 12, V
Treasury
Trade Representative, United States, Office of 15, XX
Transportation, Department of 2, XII; 5, L
Commercial Space Transportation 14, III
Contract Appeals, Board of 48, 63
Emergency Management and Assistance 44, IV
Federal Acquisition Regulation 48, 12
Federal Aviation Administration 14, I
Federal Highway Administration 23, I, II
Federal Motor Carrier Safety Administration 49, III
Federal Railroad Administration 49, II
Federal Transit Administration 49, VI
Maritime Administration 46, II
National Highway Traffic Safety Administration 23, II, III; 47, IV; 49, V
Pipeline and Hazardous Materials Safety 49, I
Administration
Saint Lawrence Seaway Development Corporation 33, IV
Secretary of Transportation, Office of 14, II; 49, Subtitle A
Surface Transportation Board 49, X
Transportation Statistics Bureau 49, XI
Transportation, Office of 7, XXXIII
Transportation Security Administration 49, XII
Transportation Statistics Bureau 49, XI
Travel Allowances, Temporary Duty (TDY) 41, 301
Treasury Department 5, XXI; 12, XV; 17, IV;
31, IX
Alcohol and Tobacco Tax and Trade Bureau 27, I
Community Development Financial Institutions 12, XVIII
Fund
Comptroller of the Currency 12, I
Customs and Border Protection 19, I
Engraving and Printing, Bureau of 31, VI
Federal Acquisition Regulation 48, 10
Federal Claims Collection Standards 31, IX
Federal Law Enforcement Training Center 31, VII
Financial Crimes Enforcement Network 31, X
Fiscal Service 31, II
Foreign Assets Control, Office of 31, V
Internal Revenue Service 26, I
Investment Security, Office of 31, VIII
Monetary Offices 31, I
Secret Service 31, IV
Secretary of the Treasury, Office of 31, Subtitle A
Thrift Supervision, Office of 12, V
Truman, Harry S. Scholarship Foundation 45, XVIII
United States and Canada, International Joint 22, IV
Commission
United States and Mexico, International Boundary 22, XI
and Water Commission, United States Section
U.S. Copyright Office 37, II
[[Page 968]]
Utah Reclamation Mitigation and Conservation 43, III
Commission
Veterans Affairs Department 2, VIII; 38, I
Federal Acquisition Regulation 48, 8
Veterans' Employment and Training Service, 41, 61; 20, IX
Office of the Assistant Secretary for
Vice President of the United States, Office of 32, XXVIII
Vocational and Adult Education, Office of 34, IV
Wage and Hour Division 29, V
Water Resources Council 18, VI
Workers' Compensation Programs, Office of 20, I
World Agricultural Outlook Board 7, XXXVIII
[[Page 969]]
Chapter I_Subject Index
Editorial Note: This listing is provided for information purposes
only. It is compiled and kept up-to-date by the U.S. Customs and Border
Protection, Department of Homeland Security, Department of the Treasury.
This index is updated as of April 1, 2014.
The number preceding the decimal is the part number. The number
following the decimal is the section number. The letter ``N''
indicates a footnote.
10+2 (See IMPORTER SECURITY FILING), Part 149
A
ABANDONED MERCHANDISE (See, Unclaimed and Abandoned Merchandise)
ABORTION................................................................
12.40(f), 12.40(h), 145.52
ACCOUNTS
Bills for sums due......................................................
24.3
Inventory control and record-keeping system.............................
19.12
Overtime service, charges for...........................................
24.16
Sale of merchandise; presentation.......................................
127.35
Services of officers, reimbursable......................................
24.17
ACH (See, Automated Clearinghouse)
ACTUAL USE..............................................................
10.131, 10.133, 10.134, 10.137-10.139, 54.5
ADJUSTMENT OF DUTIES (Withdrawals from warehouse for Consumption).......
144.38
ADMINISTRATIVE DUTY EXEMPTIONS..........................................
10.151-10.153, 128.24(e), 145.31-145.34, 148.12(b), 148.51-148.55,
148.64, 159.6
ADMINISTRATIVE OVERHEAD CHARGES.........................................
24.21
ADMINISTRATIVE REVIEW
Authority to review.....................................................
173.1
Commissioner's decision.................................................
158.30(b)
Mail entries............................................................
145.21-145.26
Port director's decision................................................
158.30(a)
Review of entry
Covering household and personal effects.................................
173.5
Reviewable transactions.................................................
173.2
Voluntary reliquidation.................................................
173.3
ADMINISTRATIVE RULINGS
Drawback rulings
General manufacturing drawback rulings..................................
191.7
Specific manufacturing drawback rulings.................................
191.8
General Ruling Procedure................................................
Part 177, subpart A
[[Page 970]]
Change in status of transaction.........................................
177.5
Change of practice......................................................
177.10(c)
Coastwise transportation of merchandise.................................
4.80b
Completed transactions, not subject to..................................
177.1(a)(2)(ii)
Current (ongoing) transactions..........................................
177.1(a)(2)(i), 177.11(b)
Definitions.............................................................
177.1(d)
Drawback rulings........................................................
191.7, 191.8
Effect of ruling letters................................................
177.9
Inconsistent customs decisions..........................................
177.13
Internal advice.........................................................
177.11
NAFTA
Advance Ruling Procedures...............................................
Part 181, subpart I
Review and Appeal of Adverse Marking Decisions..........................
Part 181, subpart J
Nonconforming requests for rulings......................................
177.3
Oral discussions........................................................
177.4
Prospective transactions................................................
177.1(a)(1)
Publication of decisions................................................
177.10
Requests for advice by field offices....................................
177.11
Submission of ruling requests
How to submit request for...............................................
177.2
When requests for rulings will not be issued............................
177.1(a)(1), (2)
Withdrawal of ruling requests...........................................
177.6
Government procurement, country-of-origin determinations................
Part 177, subpart B
Applicability...........................................................
177.21
Country of origin advisory ruling
By whom a request is filed..............................................
177.24
Form and content of request.............................................
177.25
Issuance................................................................
177.28
Oral discussion of issues...............................................
177.27
Where request filed.....................................................
177.26
Who may request.........................................................
177.23
Definitions.............................................................
177.22
Final determinations
Issuance................................................................
177.28
Publication of notice...................................................
177.29
Review..................................................................
177.30
Reexamination...........................................................
177.31
Request.................................................................
177.23
ADMINISTRATOR OR EXECUTOR--Entry by.....................................
141.14
AD VALOREM USER FEE MERCHANDISE.........................................
24.23
ADVANCE ELECTRONIC INFORMATION FOR AIR, TRUCK AND RAIL CARGO EXEMPT FROM
DISCLOSURE..............................................................
103.31a
ADVANCE FILING OF VESSEL CARGO DECLARATION (``24-hour'' rule)...........
4.7, 4.7a
ADVANCE ELECTRONIC INFORMATION FOR CARGO ARRIVING BY RAIL, TRUCK, VESSEL
OR AIRCRAFT.............................................................
123.91, 123.92, 4.7, 122.48(a)
ADVANCE ELECTRONIC INFORMATION FOR CREW MEMBERS AND NON-CREW MEMBERS
ONBOARD COMMERCIAL AIRCRAFT ARRIVING IN, CONTINUING WITHIN, AND
OVERFLYING THE UNITED STATES............................................
122.49b, 122.75b
ADVANCE ELECTRONIC INFORMATION FOR PRIVATE AIRCRAFT ARRIVING AND
DEPARTING THE U.S.......................................................
122.22, 122.31, 122.154
[[Page 971]]
ADVANCE IN VALUE--Notice to importer....................................
152.2
ADVERTISEMENTS
Sale of unclaimed and abandoned merchandise.............................
127.25
Sale of seized perishable and other property............................
162.48
Seizure and intent to forfeit property..................................
162.45
AFRICA
Special duty-free treatment.............................................
10.178a
Trade benefits to designated sub-Saharan................................
10.211-217
AGENCIES, OTHER.........................................................
12.1, 12.16, 145.56, 145.57,161.2
AGENT, DECLARATION BY, ON ENTRY.........................................
141.19
AGRICULTURAL AND VEGETABLE SEEDS
Admittance requirements.................................................
12.16
AGREEMENT ON TRADE IN CEMENT............................................
12.155, Appendix to Part 163 Interim (a)(1)(A) List
AIR COMMERCE REGULATIONS
Access to Customs security areas........................................
Part 122, subpart S
Air carrier smuggling prevention program................................
Part 122, subpart R
Electronic manifest requirements........................................
Part 122, subparts E and F
AIRCRAFT
Accidental damage.......................................................
10.107
Advance electronic information for crew members and non-crew members
onboard commercial aircraft arriving in, continuing within, and
overflying the U.S......................................................
122.49b, 122.75b
Advance electronic information for private aircraft arriving and
departing the U.S.......................................................
122.22, 122.31, 122.154
Air cabotage............................................................
122.165
Application to private aircraft.........................................
122.21
Arrival
Advance notice..........................................................
122.22, 122.31
Private aircraft from south of U.S......................................
122.23-122.25
Private aircraft, defined...............................................
122.23(a)
Arriving, search of.....................................................
162.5
Baggage.................................................................
Part 122, subpart K
Bonds international carrier condition...................................
113.64
Brought-in for temporary use under international traffic................
10.41, Part 122
Certificate.............................................................
122.94
Civil...................................................................
10.183
Clearance and permission to depart......................................
Part 122, subpart G
Clearance
Contiguous country, from................................................
122.87
Contiguous transport....................................................
4.85
Cuba, entry and clearance...............................................
Part 122, subpart O
Customs laws and regulations applicable.................................
122.2, 122.30, 122.161
Documents...............................................................
122.3, 122.5, Part 122, subpart H
Emergency landing.......................................................
122.35, 122.37
Failure to depart.......................................................
122.65
[[Page 972]]
General requirements....................................................
Part 122, subparts E and F, 122.61
Scheduled airlines......................................................
122.63
Crew list...............................................................
122.45, 122.46
Entry
Documents required......................................................
122.42
General order merchandise or baggage....................................
122.50
General requirements....................................................
122.2, 122.30, 122.41-122.49, 122.161
Landing requirements....................................................
Part 122, subpart D
Scheduled airlines......................................................
122.41, 122.42, 122.63
Equipment, supplies, spare parts for searches, etc. for accidentally
damaged aircraft........................................................
10.107
Fees, private aircraft..................................................
24.22(e)
Forced landings.........................................................
122.35
Foreign-owned, brought in for temporary stay, when entry required.......
10.41, 122.53
Forfeiture and sale.....................................................
162.45
Forms of documents......................................................
122.3-122.5
Inspection of documents.................................................
162.5
Landing
Emergency or forced.....................................................
122.35
Exemption from..........................................................
122.25
Requirements............................................................
122.24, Part 122, subpart D
Liquor kits.............................................................
Part 122, subpart M
Passengers..............................................................
122.88
Penalties
Limitation of...........................................................
122.161
Petitions, relief from penalties and forfeitures........................
122.161, Part 171
Smuggling, aviation.....................................................
122.167
Permit and special license to unlade and lade...........................
122.38
Permit, international traffic...........................................
Part 122, subpart F
Permit to proceed, when required........................................
122.32, 122.41, 122.83
Precleared..............................................................
122.37
Private aircraft........................................................
Part 122, subpart G
Advance passenger information requirements..............................
122.22
Application.............................................................
122.21
Arrival.................................................................
122.22, 122.23, 122.31
Departure...............................................................
122.22, 122.31
Documents required......................................................
122.27
Entry and clearance.....................................................
122.26
Landing requirements....................................................
122.24, 122.25
List of designated airports.............................................
122.24
Notice of arrival.......................................................
122.22, 122.23, 122.31, 122.154
Taken abroad by U.S. residents..........................................
122.28
Overtime service........................................................
122.29
Repair or alteration....................................................
10.36a
[[Page 973]]
Residue cargo...........................................................
Part 122, subpart I
Responsibility of aircraft commander....................................
122.36
Seized
Appraisement............................................................
162.43
Award or sale...........................................................
162.45, 162.46
Transfer to another port for sale.......................................
162.46
Seizure
When used in or employed to aid in unlawful importation of merchandise..
122.161, 161.2, 162.22
Supplies and equipment, foreign trade zone, removal.....................
146.42
Stores list.............................................................
122.47
Substitution............................................................
122.86
Supplies and stores aboard arriving aircraft............................
122.43, 122.47
Supplies for, exempt from duty and internal-revenue tax.................
10.59
Taken abroad for temporary use, tariff status on return.................
148.32
Tobacco products for use on.............................................
10.65
Transit air cargo
Documentation...........................................................
122.112-122.114, 122.116
Exportation at port of arrival..........................................
122.118
Labeling of.............................................................
122.115
Manifest procedures.....................................................
Part 122, subpart L
Penalties...............................................................
Part 122, subpart Q
Requirements for........................................................
122.117
Shipments to interior port..............................................
122.164
Time limits, delivering and exportation.................................
122.119
Transfer to another port for export.....................................
122.120
Virgin Islands, flight to and from......................................
Part 122, subpart N
Transportation in bond and merchandise in transit.......................
Part 122, subpart J
Withdrawal of turbine fuel..............................................
10.62b
AIRCRAFT, AUTOMOBILES, AND TRAILERS STOLEN AND RETURNED FROM MEXICO-
LBCIP...................................................................
123.82
AIRMEN, RESIDENT--Registration of valuable effects......................
148.1
AIRPORTS
Customs security areas..................................................
Part 122, subpart S
International
Defined.................................................................
122.1(e)
Designated as international.............................................
122.11
Listed..................................................................
122.13
Operation...............................................................
122.12
Landing rights..........................................................
122.1(f), 122.14
Defined.................................................................
122.1(f)
Operation...............................................................
122.14
Permission to land......................................................
122.14, 122.15, 122.33
Private aircraft, list of airports designated for.......................
122.24
User-fee................................................................
122.1(m), 122.15
Defined.................................................................
122.1(m)
Listed..................................................................
122.15
ALCOHOL, ETHYL--Importation for non-beverage purposes...................
10.99
ALCOHOLIC BEVERAGES
Belonging to crewmember.................................................
148.64
[[Page 974]]
Import taxes............................................................
24.4
Imported by nonresidents................................................
148.8, 148.43
Imported in bottles and similar containers, regulations of Bureau of
Alcohol, Tobacco and Firearms applicable................................
11.7
Imported or destined to foreign countries via U.S. on small vessels,
bond for foreign landing certificate....................................
4.13
In baggage of returning residents.......................................
148.33
Mail importations of....................................................
145.54
Trade fair, entered for.................................................
147.22
Vessels not over 500 tons, on...........................................
4.13
ALLOWANCE
Claim for moisture in sugar.............................................
151.23
Drawback................................................................
191.4
Excessive moisture petroleum............................................
151.46, 158.13
Losses, clean yield of wool and hair, defined...........................
151.61
Smelting and refining (metal-bearing materials).........................
19.18, 151.55
Wastage in smelting and refining........................................
19.18, 19.19
ALTERATIONS (See also, REPAIRS)
Articles
Exported................................................................
10.8
Imported................................................................
10.36a
Re-entered
ALUMINUM AND ALLOYS, ADDITIONAL INFORMATION REQUIRED ON INVOICE.........
141.89
AMERICAN FISHERIES, ENTRY OF PRODUCTS OF................................
10.78
AMERICAN GOODS RETURNED.................................................
10.1, 10.103, 145.35
Animals straying or driven across border................................
10.74
Articles assembled abroad with U.S. components..........................
10.11-10.18, 10.21, 10.23-10.26
Certificate of exportation, form, contents, and disposition.............
10.1
Cloth boards............................................................
10.5
Containers or coverings.................................................
10.3
Containers, substantial.................................................
10.3, 10.7
Declaration of
Foreign shipper, form and use...........................................
10.1
Owner, form.............................................................
10.1, 145.35
Drawback paid, dutiable or not dutiable.................................
10.3
Drums, drawback, amount to be paid......................................
10.3, 10.7
Entry requirements......................................................
10.1, 145.35
Government importations, procedure......................................
10.103
Internal-revenue marks on containers, removal of........................
10.4
Mail....................................................................
145.35
Merchandise exported from bonded manufacturing warehouse, duties........
10.3
Motion-picture films, exhibited on vessels, etc., or otherwise..........
10.68
Shooks and staves
Certificates
Boxmaker--Form 4455.....................................................
10.6
Exportation--Form 4455..................................................
10.5
Theatrical effects......................................................
10.68
Tools of trade..........................................................
10.68
AMERICAN SAMOA..........................................................
7.2, 148.101, 148.102, Part 148, subpart K, 191.5
AMMUNITION, IMPORTS AND EXPORTS.........................................
161.2
[[Page 975]]
ANDEAN TRADE PREFERENCE.................................................
Part 10, Subpart C
ANDEAN TRADE PROMOTION AND DRUG ERADICATION ACT
Apparel and Other Textile Articles Under the Andean Trade Promotion and
Drug Eradication Act....................................................
Part 10, Subpart F
Additional requirements for preferential treatment of brassieres........
10.248
Applicability...........................................................
10.241
Articles eligible for preferential treatment............................
10.243
Certificate of origin...................................................
10.244
Definitions.............................................................
10.242
Filing of claim for preferential treatment..............................
10.245
Maintenance of records and submission of certificate by importer........
10.246
Verification and justification of claim for preferential treatment......
10.247
Extension of ATPA Benefits to Tuna and Certain Other Non-Textile
Articles................................................................
10.251-10.257
Applicability...........................................................
10.251
Articles eligible for preferential treatment............................
10.253
Certificate of Origin...................................................
10.254
Definitions.............................................................
10.252
Filing of claim for preferential treatment..............................
10.255
Maintenance of records and submission of Certificate by importer........
10.256
Verification and justification of claim for preferential treatment......
10.257
ANIMAL & PLANT HEALTH INSPECTION SERVICE, U.S.D.A.
Animals, domestic, and animal by-products, etc.
Jurisdiction............................................................
12.24
Animals for export, inspection by.......................................
4.71
Animals, purebred, inspection by........................................
10.70
Meat and meat-food products
For export--inspection, certification...................................
4.61, 4.72
Imported, inspection by.................................................
12.8, 12.9
Notice of arrival of viruses, serums, and toxins to be furnished to.....
12.17
ANIMAL BY-PRODUCTS, FEEDING MATERIALS, ETC.--Entry procedure............
12.24
ANIMAL CASINGS, RELEASE--Restriction....................................
12.9
ANIMAL FEEDING MATERIALS--Inspection....................................
12.24
ANIMALS
Brought in for breeding, exhibition, or competition for prizes..........
10.33, 10.70, 10.71
Domestic
Importation procedure...................................................
12.24
Pastured or strayed abroad, dutiable status upon return.................
10.3(e), 10.74
Dying
During bond period......................................................
10.39(c)
While under transportation entry........................................
18.6
Exportation of, inspection by Department of Agriculture.................
4.71
Exported for exhibition, return, entry requirements.....................
10.66
Feeding and watering of (in-transit through Canada).....................
123.27
Game
Killed for noncommercial purposes.......................................
10.76(d)
Live, for stocking purposes.............................................
10.76(a)
[[Page 976]]
Offspring, foreign pasturage and strays.................................
10.74
Purebred, entry.........................................................
10.70, 10.71
Seizure of, when used in or employed to aid in unlawful importation of
merchandise.............................................................
162.22
Straying or driven across border........................................
10.74
Temporary importation bond..............................................
10.31
Theatrical effects, as..................................................
10.33
Wild
Importation procedure...................................................
10.76, 12.26-12.28
Scientific or educational purposes, for.................................
10.75
Zoological collection...................................................
10.75
ANTIDUMPING MATTERS.....................................................
159.58
ANTIQUES................................................................
10.53
APIS, (Advance Passenger Information System)............................
4.64, 122.22(b), 122.49a, 122.49b, 122.49c, 122.75a, 122.75b
APPEALS
By domestic interested party(ies).......................................
Part 175
Centralized Examination Stations........................................
118.23(a)
Commercial gaugers......................................................
151.13
Commercial laboratories.................................................
151.12
Customs brokers.........................................................
111.75
Decision of Court of Appeals for the Federal Circuit....................
176.31(b)
Decision of Court of International Trade................................
176.31(a)
Notice of appeal to U. S. Court of Appeals for the Federal Circuit......
176.2
Request for records, from denial of.....................................
103.5-103.7
Suspension or revocation of license, cartage or lighterage..............
112.30
APPORTIONMENT, ASSISTS, TRADE AGREEMENTS ACT OF 1979....................
152.103(e)
APPRAISEMENT
Basis for
Articles assembled abroad with U.S. components, exported to the U.S.
prior to July 1, 1980...................................................
10.18
Basis of appraisement, Trade Agreements Act of 1979, when...............
152.101
Computed value, Trade Agreements Act of 1979, when......................
152.106
Country of exportation..................................................
152.23
Deductive value, Trade Agreements Act of 1979, when.....................
152.105
Definition, Trade Agreements Act of 1979................................
152.102
Dutiable charges defined for articles exported to the U.S. prior to July
1, 1980.................................................................
152.101
Exportation, time of....................................................
152.1(c)
Interpretative notes, Trade Agreements Act of 1979......................
152.100
Property under seizure, subject to forfeiture, or prohibited merchandise
162.43
Transaction value
Identical merchandise and similar merchandise...........................
152.104
Trade Agreements Act of 1979............................................
152.103
Unacceptable bases of appraisement, Trade Agreements Act of 1979........
152.108
Unclaimed and abandoned merchandise.....................................
127.23
Value if other values cannot be determined, Trade Agreements Act of 1979
152.107
Entries (Appraisement entries)
Form and procedure......................................................
143.12-143.16
[[Page 977]]
Liquidation of..........................................................
159.9
Merchandise eligible for................................................
143.11
Examination
At importer's premises..................................................
151.7(a)
At place where assembled................................................
151.8(c)
At place of arrival.....................................................
151.6, 151.7
At public stores........................................................
151.6, 151.7
At wharf................................................................
151.6, 151.7
Cording and sealing, when required......................................
151.7(a)
Expenses of, when assessed..............................................
151.7(c)
Information as to values prior to appraisement, request of importer.....
152.26
Loss, theft, injury, or destruction of merchandise in public stores.....
158.21
Merchandise
Entered by false documents..............................................
152.103
Produced in one country, imported from another..........................
152.23
Protests
Domestic interested party(ies)..........................................
Part 175
By importer or consignee................................................
174.11, 174.12
Quantities to be examined...............................................
151.2
Samples from packages not designated, request...........................
151.11
Samples, when permitted.................................................
151.10, 151.11
Seized property.........................................................
162.43
Time period.............................................................
158.21
Unclaimed and abandoned merchandise.....................................
127.23
ARMED FORCES OF THE U.S.--Household and personal effects................
148.74
ARMS, AMMUNITION AND IMPLEMENTS OF WAR
Controlled imports and exports, seizure of..............................
161.2, 145.53
Exportation.............................................................
4.61, 4.73, 145.53, 161.2
Mail importations.......................................................
145.59
ARMY AND NAVY TRANSPORTS
Baggage declaration and manifest........................................
148.73
Manifest of passengers and baggage......................................
4.5
Search..................................................................
162.3(b)
ARRESTS, WHO MAY MAKE...................................................
162.22
ART, WORKS OF...........................................................
10.48, 10.49, 10.52-10.54
ARTICLES
Agreements in restraint of trade, imported under--special duties........
159.44
Assembled abroad with U.S. components...................................
10.11-10.26
Appraisement
Basis of appraisement...................................................
152.101
Transaction value.......................................................
152.103
Valuation of assembled articles.........................................
10.18
Valuation of exempted components........................................
10.17
Assembly operations abroad..............................................
10.16
Definitions.............................................................
10.12
Documents required......................................................
10.24
Fabricated components
Subject to exemption....................................................
10.14
Not subject to exemption................................................
10.15
Operations incidental to assembly process...............................
10.16(b)
[[Page 978]]
Operations not incidental to assembly process...........................
10.16(c)
Quotas, standards and visas.............................................
10.23
Subheading 9802.00.80, HTSUS............................................
10.13
Substantial transformation of foreign-made articles or materials........
10.14(b)
Updating cost data and other information................................
10.21
Bearing trade-marks or trade names......................................
133.21-133.24
Disposition of, not properly marked.....................................
134.51-134.53
Exported for exhibition, return of--entry requirements..................
10.66
Exported
For processing..........................................................
10.9
For reimportation.......................................................
10.8a
For scientific, or educational purposes, return of......................
10.67
For testing, experimental, or review purposes--Temporary importation
bond....................................................................
10.31
Gold or silver, marking--False, penalty.................................
11.13
Illustrators and photographers, imported by, for use solely as models--
Temporary importation bond..............................................
10.31
In violation of laws....................................................
161.2
Of special design, for use in connection with manufacture of articles
for export--Temporary importation bond..................................
10.31
Registration of foreign.................................................
148.1
Special marking requirements--Exception.................................
11.9, 11.13, 134.32-134.36, 134.43
Taken ashore by crew members............................................
Part 148, subpart G
To be repaired, altered, or otherwise changed in condition--Temporary
importation bond........................................................
10.31
ASSAYING AND SAMPLING OF METAL BEARING ORES AND OTHER METAL-BEARING
MATERIALS...............................................................
Part 151, subpart D
ASSEMBLY OF ARTICLES ABROAD WITH U.S. COMPONENTS........................
10.11-10.26
ASSENT OF SURETIES TO EXTENSION OF TIME OF BONDS........................
113.44
ASSERTED LIQUIDATION....................................................
159.11
ASSIGNED ENTRY NUMBERS..................................................
142.3a
ASSIST-DEFINED, TRADE AGREEMENTS ACT OF 1979............................
152.102(a)
ATOMIC ENERGY MATERIAL, CONTROLLED IMPORTS AND EXPORTS--Seizure.........
161.2
ATTORNEY, POWER OF--Surety..............................................
113.37, Part 141, subpart C
AUCTIONEER'S CHARGES FOR SELLING MERCHANDISE............................
127.34
AUDITS..................................................................
163.0, 163.11
Sampling methods........................................................
163.11(c)
Penalties-offsetting (netting)..........................................
163.11(d)
AUTOMATED CLEARINGHOUSE (ACH)...........................................
24.1, 24.25
Credit..................................................................
24.26
AUTOMATED COMMERCIAL SYSTEM (ACS).......................................
128.11, 128.23, Part 143, subpart D
Automated Broker Interface (ABI)........................................
24.1, 24.25, Part 143, subpart A, 143.32
Automated Export System (AES)...........................................
4.76, Part 192, subpart B
Automated Manifest System (AMS).........................................
103.31, 128.11, 128.23
[[Page 979]]
AUTOMOBILES
Brought in by a person not a returning resident.........................
148.45
Brought in for temporary use under international traffic................
10.41
Export of...............................................................
192.2
Rented abroad by returning resident and brought in for temporary use....
148.39
AUTOMOBILES, MOTORCYCLES, AIRPLANES, ETC., TO TAKE PART IN RACES--
Temporary importation bond..............................................
10.31
AUTOMOBILES--Safety standards...........................................
12.80
AUTOMOBILES, TRAILERS, AND AIRCRAFT STOLEN AND RETURNED FROM MEXICO.....
123.82
AUTOMOTIVE PRODUCTS TRADE ACT...........................................
10.84
AVAILABILITY OF INFORMATION
Disclosure or production in federal, state, local, and foreign
proceedings.............................................................
Part 103, subpart B
Documents and records available for inspection and copying..............
103.11, 103.31
Documents and records exempt from disclosure............................
103.12
Fees....................................................................
103.10
Investigatory files.....................................................
103.12(g)
Personnel and medical files.............................................
103.12(f)
Privileged or confidential information--improper disclosure, penalty....
103.34
Public reading rooms
Documents available for inspection and copying..........................
103.11
List....................................................................
103.1
Release of information to foreign agencies..............................
103.33
Request for a record
Administrative appeal to Director, Office of Regulations & Rulings......
103.7
Definition..............................................................
103.5(h)
Improper disclosure of confidential information, penalty................
103.34
Judicial review--U.S. district court....................................
103.9
Procedure to follow.....................................................
103.5
Referral to other agencies..............................................
103.5(b)
Time extensions.........................................................
103.8
Requests for records, documents and testimony by U.S. Court.............
103.22, 103.26
Seizures and investigations pending.....................................
103.32
Vessel manifests, examination of........................................
103.31
AVIATION SMUGGLING, Penalties...........................................
122.167
AWARDS OF COMPENSATION TO INFORMERS--Claims.............................
Part 161, subpart B
B
BAD ORDER, BREAKAGE, OUTAGE, DAMAGE--Duty allowance.....................
158.11, 158.12, 158.21-158.27
BAGGAGE
Accompanied in transit..................................................
122.48(e), 122.101, 122.102
Alcoholic beverages
By returning resident...................................................
148.33
By a nonresident........................................................
148.43
Antiques in.............................................................
10.53
[[Page 980]]
Appraisement............................................................
148.24
Army and Navy transports................................................
148.73
Cigars and cigarettes...................................................
148.33, 148.43, 148.51, 148.74
Civilian (U.S.) employees...............................................
Part 148, subpart H
Commercial travelers' samples
Transported by automobile
Through Canada and returned.............................................
123.51
Through U.S. and returned to Canada.....................................
123.52
Exported and returned...................................................
10.68
Under bond..............................................................
10.36
Consular officers.......................................................
148.82
Contiguous country......................................................
123.1, 123.2, Part 123, subpart G
Crews' effects..........................................................
Part 148, subpart G
Customs officer may unlock vehicle or compartment.......................
123.63
Declaration
Amendment...............................................................
148.16
Crew members............................................................
148.65, 148.66
False statement, etc., penalty..........................................
148.18, 148.19, 148.67
Failure to declare, etc., penalty.......................................
148.18, 148.19, 148.67
Form and contents.......................................................
148.12, 148.13, 148.65, 148.66
Requirements............................................................
Part 148, subpart B
Detained if not opened by owner or agent, penalty.......................
123.63(b)
Diplomatic, consular, and other official representatives................
148.82, 148.87
Domestic, through contiguous foreign territory..........................
123.51, 123.52, 123.64, 123.65
Duty exemption, restrictions, penalty...................................
148.18, 148.19
Evacuees................................................................
Part 148, subpart H
Examination in foreign country..........................................
148.22
Examination procedure
Formal entry, when required.............................................
143.22, 148.15, 148.23
Inspector may pass......................................................
148.23
Invoice.................................................................
148.23
Opening closed baggage..................................................
148.21
Preclearance of air travelers...........................................
148.4, 148.22
Preclearance stations...................................................
148.4(c)
Reappraisement..........................................................
148.24, 148.25
Receipts for duty, forms................................................
148.27
Reexamination and receipt form..........................................
148.25(a)
Exemptions allowed
Returning resident......................................................
Part 148, subpart D
Nonresident.............................................................
Part 148, subpart E
Other special...........................................................
Part 148, subpart F
Failure to declare, penalty.............................................
148.18, 148.19
Foreign military personnel and immediate families.......................
148.90
[[Page 981]]
Gifts...................................................................
148.33(c), 148.44
In bond
For examination at port of destination..................................
18.13
For exportation in transit through the U.S..............................
18.14, 123.64
In transit
Through foreign territory...............................................
123.65
Through U.S.............................................................
123.64
Inspection..............................................................
162.6
Landed, undisposed of, when to be sent to general order.................
148.7
Liquors, entry forms, internal-revenue tax, strip stamps................
148.26, 148.27
List, passengers........................................................
4.7, 4.7a
Merchandise.............................................................
148.15, 148.23
Military (U.S.) personnel...............................................
Part 148, subpart H
Narcotics, marihuana and certain other drugs............................
Part 162, subpart F
Noncommercial importations of limited value.............................
Part 148, subpart J
Nonresidents............................................................
Part 148, subparts E and F
Organization of American States, representatives........................
148.87, 148.88
Permit or special license for unlading or lading........................
4.30
Public international organizations, representatives.....................
148.87
Regular entry...........................................................
148.5
Release for unaccompanied shipment......................................
148.6
Replacements for unsatisfactory articles acquired abroad................
148.37
Residents, returning....................................................
Part 148, subpart D
Search of baggage and persons...........................................
162.6, 162.7
Seizure.................................................................
162.21
Status of passengers, residents or other................................
148.2
Tea.....................................................................
148.23(d)
Tobacco and tobacco products............................................
148.26, 148.33(d), 148.43, 148.74
Tools of trade under bond...............................................
10.36
Unaccompanied, arriving by aircraft.....................................
122.48(d)
Unaccompanied articles
Entry, declaration......................................................
148.6, 148.11
Unclaimed and unaccompanied.............................................
148.7
Undeclared, penalty.....................................................
148.18
Value...................................................................
148.24
BAGGAGE AND MERCHANDISE, REPORT OF REQUIRED TO BE MADE BY CERTAIN
PASSENGER VESSELS.......................................................
4.2
BAGGAGE ENTRIES, LIQUIDATION OF.........................................
159.10
BAGS OR DUNNAGE OF VESSEL...............................................
4.39
BAHAMAS, THE--Customs preclearance offices..............................
101.5
BAHRAIN FREE TRADE AGREEMENT (See, UNITED STATES-BAHRAIN FREE TRADE
AGREEMENT)
BANKRUPT IMPORTERS
Duties due U.S.--Priority of claim......................................
141.1
Refund of excessive duty................................................
24.36
BARGES..................................................................
4.81(g)
BEEF, FRESH--Chilled or frozen..........................................
10.180
BEES, HONEY--Importation procedure......................................
12.32
BERMUDA--Customs preclearance office....................................
101.5
BILLS AND ACCOUNTS......................................................
24.3
BILLS OF HEALTH (PRATIQUE), PRODUCTION OF, ON ENTRY OF VESSEL...........
4.9(d)
[[Page 982]]
BILLS OF LADING
Bond, form..............................................................
113.14, 113.69, 141.15(b)
Bond for production.....................................................
141.15
Consolidated shipments..................................................
141.54
Disposition.............................................................
141.16
Duplicate
Disposition, receipt....................................................
141.16(a)
Entry on................................................................
141.11(a)(1)
Extract from, to be certified by carrier................................
141.11(a)(2)
Unique bill of lading number............................................
4.7a
BIRDS
Dying while under transportation entry..................................
18.6
Game
Killed for noncommercial purposes.......................................
10.76
Live, for stocking purposes.............................................
10.76(a)
Wild
Importation procedure...................................................
10.76, 12.26-12.29
Scientific or educational purposes......................................
10.75
Zoological collection...................................................
10.75
BLACK STRAP MOLASSES....................................................
10.139(b)
BLENDING OF WINES OR LIQUORS--Permit requirements.......................
12.37
BOARDING AND SEARCHING OF VESSELS AND VEHICLES..........................
4.1, 162.3-162.7
BOARDING OF VESSELS OR VEHICLES
Master's refusal to comply with lawful demand--Penalty..................
4.1
Obstruction of officer by master, penalty...............................
4.1(b)(4)
Who may board...........................................................
4.1
BOARDING OF VESSELS WITHOUT PERMISSION-Penalty..........................
4.1
BOATS, PLEASURE, FOREIGN OWNED--When exempt from duties.................
4.94, 148.32, 148.45
BOATS--Safety standards.................................................
12.85
BOLTING CLOTH FOR MILLING PURPOSES......................................
10.58
BOND CONDITIONS FOR DEFERRAL OF DUTY ON LARGE YACHTS IMPORTED FOR SALE
AT UNITED STATES BOAT SHOWS.............................................
113.75
BOND CONDITIONS TO INDEMNIFY A COMPLAINANT UNDER SECTION 337 OF TARIFF
ACT OF 1930, AS AMENDED.................................................
113.74
BONDING AND LICENSING CUSTOMS CARTMEN AND LIGHTERMEN....................
Part 112, subpart C
BOND LIABILITY..........................................................
122.189
BONDS
Advance cargo information...............................................
113.64
Agricultural and vegetable seeds........................................
12.16
Aircraft................................................................
113.62-113.64
Air waybill, evidence of right to make entry............................
141.15
Alcohol on vessels......................................................
4.13
Alterations.............................................................
113.23
Amount, less than $100..................................................
113.13
Application for.........................................................
113.12
Approved by port directors..............................................
113.11
Retention of............................................................
113.15
Approved forms, when inapplicable, procedure............................
113.14
Assent of sureties to extension of time.................................
113.44
Attorneys in fact acting for both principal and surety..................
113.31
Authority to require....................................................
113.0-113.2
[[Page 983]]
Bills of lading
Conditions..............................................................
113.69
Evidence of right to make entry.........................................
141.15
Cancellation of.........................................................
10.39, Part 113, subpart F
Cancellation or crediting--Vessel supplies..............................
10.64
Carnets, serves as......................................................
113.4, 114.3
Carpet wool and camel's hair............................................
113.68
Carrier's certificate and duplicate bill of lading--Bonds not to be
taken...................................................................
141.15
Carrier's (International)...............................................
113.64
Cartmen's or lightermen's, form.........................................
112.2, 113.63
Cartmen's or lightermen's liability.....................................
125.35, 125.41
Cash deposit in lieu of surety on bond..................................
113.40
Centralized Examination Stations........................................
118.4(g)
Certificate of pure breeding, form--Cancellation........................
10.71
Charges, cancellation of erroneous......................................
113.54
Claim for seized property...............................................
162.47
Claimant of seized goods, form..........................................
113.72
Clearance of vessels, unmanifested narcotics............................
162.65(b), 162.65(e)
Commercial gauger and commercial laboratory conditions..................
113.67, 151.12, 151.13
Common and contract carrier
Application.............................................................
18.1, 112.12
Discontinuance..........................................................
18.1, 112.14
Form....................................................................
112.12
Liabilities.............................................................
18.8
Conditions..............................................................
Part 113, subpart G
Custodial...............................................................
113.63
Consignee's declaration.................................................
141.20
Consumption entry.......................................................
113.62
Containerized cargo, form...............................................
113.66
Copyright, form.........................................................
113.70
Corporation, as principals..............................................
113.33
Documents, time period for production...................................
113.42
Documents, free entry, cancellation of bond (or charge against bond)....
172.22(c)
Electronic entry filing.................................................
113.62(j)(1)
Entry, general term.....................................................
113.62
Entry requirements......................................................
142.4
Exhibition, works of art................................................
10.49
Export, cancellation of.................................................
113.55
Exportation, form.......................................................
18.25, 113.62
Extension of time, application..........................................
113.42-113.44
Fiber products..........................................................
113.68
Foods, drugs, devices, cosmetics, insecticides, pesticides, etc.........
12.3, 141.113
Foreign merchandise destined foreign on board arriving vessels, form....
4.88
Foreign trade zone operator conditions..................................
113.73
Forms, approved, when inapplicable--Procedure...........................
113.14
Forwarder, freight......................................................
18.1
Fur products............................................................
113.68
General instructions....................................................
Part 113, subpart C
[[Page 984]]
General term bond for entry of merchandise..............................
113.62
Government importations.................................................
10.104, 141.102(d), 143.3(a)
Importation and entry...................................................
113.62
Importer security filing bond...........................................
Appendix D - Part 113, 149.5
Importer security filing requirements...................................
113.62, 113.63, 113.64, 113.73
Incorporating by reference, bond conditions to particular Customs
activity................................................................
113.61
Information required on bond............................................
113.21
Installment shipments, invoices covering................................
141.82
Instruments of international traffic....................................
113.66
International carrier conditions........................................
113.64
Invoices
Cancellation of, by 1 photocopy.........................................
141.84(e)
Photocopy to satisfy bond entry without required invoice................
141.84(e), 141.91(d)
Production of...........................................................
141.91(d)
Laboratory, commercial..................................................
113.67, 151.12
Landing certificate, alcoholic liquors..................................
4.13
Landing from vessels in distress--Customs custody.......................
4.32
Liability of surety on terminated.......................................
113.3
Liens in dispute........................................................
141.112(g)
Manifest................................................................
113.64
Manufacturing warehouse.................................................
19.3, 113.63
Meat and meat-food products, importation of.............................
12.8
Missing documents
Bond required for.......................................................
141.66
Charge for production...................................................
113.45
Entry made prior to production of documents, form.......................
113.41
Failure to produce--Liquidated damages..................................
113.45, 172.22
Narcotic drug penalty, for vessel clearance.............................
162.65
Neutrality observance--Clearance of vessels, form.......................
4.73, 113.71
Outward manifest........................................................
4.75, 122.74
Overtime................................................................
4.10, 24.16, 113.62-113.64
Aircraft, unlading or lading of.........................................
122.38
Vessels, boarding, entry or clearance of, lading, etc...................
4.10, 4.30
Overtime service, vessels less than 5 net tons..........................
123.8
Partnership, execution by...............................................
113.32
Plants and plant products...............................................
12.12
Power of attorney, surety...............................................
113.35, 113.37
Preparation and execution of............................................
Part 113, subparts C and D
Principals and sureties.................................................
Part 113, subpart D
Proprietor's warehouse, form............................................
19.2
Prosecution for failure to satisfy......................................
113.52
Recall of merchandise...................................................
113.62, 141.113
Release of seized property..............................................
113.72, 162.47, 162.49
Removal from Customs custody
Examination of merchandise at importer's premises.......................
151.7(d)
Failure to--Liquidated damages..........................................
10.39(d), 141.113, 151.11
Repayment of erroneous drawback payment.................................
113.65
[[Page 985]]
Requirements............................................................
Part 113, subpart C, 142.4
Retention of approved...................................................
113.15
Rewarehouse.............................................................
144.41(d)
Riders..................................................................
113.24
Salt for curing fish....................................................
10.80, 10.81, 10.83
Seals...................................................................
113.25
Seized property.........................................................
113.72, 162.47
Simultaneous vessel transactions........................................
4.90
Summary forfeiture......................................................
162.47
Supplies for vessels....................................................
10.59, 10.60
Sureties
Assent for extension of period..........................................
113.44
Cash deposit accepted in lieu of, application of, or default............
113.40
Corporation.............................................................
113.37
Delinquent..............................................................
113.38
Individual..............................................................
113.35
Liability...............................................................
113.3
Married women...........................................................
113.35(b)(2)
Partners................................................................
113.36
Principals cannot act as................................................
113.31
U.S. bonds and notes in lieu of.........................................
113.40
U.S. obligations accepted in lieu of....................................
113.40
Tea importations........................................................
12.33
Temporary importations..................................................
10.31, 10.37, 10.39, 10.104, 113.62
Uncommon transaction....................................................
113.14
Unfair practices in import trade........................................
12.39, 113.62
Vehicle, form...........................................................
113.62-113.64
Vessel, form............................................................
113.62-113.64
Vessels owned by the U.S., to unlade or lade, not required..............
4.30(j)
Warehouse entry
Form....................................................................
113.63, 144.13, 144.14
Liability under.........................................................
144.2
Warehouse proprietor's..................................................
19.2, 113.63
Withdrawals from warehouse, conditionally free..........................
113.63
Witnesses Required......................................................
113.22
Wool, carpet, and camel's hair, form....................................
113.68
BOOKS (See also, PROHIBITED OR RESTRICTED IMPORTATIONS)
And other articles--Institutions, Conditionally free....................
145.36
Engravings, etc.--U.S. Conditionally Free...............................
10.46, 145.37
In packages for Library of Congress, Conditionally free.................
10.46, 145.37
BOUNDARY LINE OF U.S., MERCHANDISE FOUND IN BUILDINGS ON OR NEAR........
123.81
BOUNTIES--Countervailing duties.........................................
159.47
BRASSIERES , ADDITIONAL REQUIREMENTS FOR PREFERENTIAL TREATMENT OF......
10.228
BREEDING ANIMALS........................................................
10.70, 10.71
BRIX VALUES--Fruit juices...............................................
151.91
BUILDINGS, SEARCH OF
On international boundary line..........................................
123.81
Warrants--Restrictions..................................................
162.11-162.13,162.15
BULK CARGO--Correction of manifest......................................
4.12
[[Page 986]]
BULLETIN NOTICE OF LIQUIDATION..........................................
159.9, 159.10
BUNKER FUEL, STORES, AND EQUIPMENT--Transfer............................
4.39
BUSINESS INFORMATION, Confidentiality...................................
103.31; 177.2; Part 181, subpart K
BUSSES
Brought in for temporary use under international traffic................
10.41(a)
Domestic, repaired abroad...............................................
123.17
Foreign-owned--Brought in for hire......................................
10.41(d)
Taken abroad for temporary use..........................................
123.16
C
CABOTAGE--Air, penalties................................................
122.165
CANADA..................................................................
Parts 123 and 181
Articles
Repaired or altered.....................................................
181.64
Customs (U.S.) preclearance offices.....................................
101.5
In-transit truck shipments..............................................
123.51, 123.52
Softwood lumber entries.................................................
12.140
CANADA, U.S.-FREE TRADE AGREEMENT.......................................
10.84, Part 10, subpart G
CANADIAN ARTICLE--Automotive products...................................
10.84
CANADIAN CRUDE PETROLEUM................................................
10.179
CANCELLATION
Bonds...................................................................
10.39, Part 113, subpart F
Carnets.................................................................
114.26
Liability of cartage....................................................
125.42
Liquidated damages......................................................
125.42, 172.11, Part 172, subpart C
Penalty and forfeiture claims...........................................
133.51, 171.11
CARGO
Advance filing of cargo declaration.....................................
4.7
Bonded
Carried coastwise, report of vessel.....................................
4.2, 4.81
Seal requirements.......................................................
18.4
Bulk
Discharge of, outside port of entry.....................................
4.35
For orders, amendment of manifest.......................................
4.36
Coastwise--Vessels touching at foreign port.............................
4.82
Container certification.................................................
115.41
Container status messages...............................................
4.7d
Declaration.............................................................
4.7a
Discharge, time limit and compensation of discharging officer...........
4.36, 24.17, 122.36
Entry of, from wrecked vessels..........................................
4.41
Foreign--Destined to foreign countries via U.S. port--Bond for foreign
landing certificate.....................................................
4.88
Inaccessible............................................................
4.34
Inward, accounting for..................................................
4.61, 4.62
Landing from vessels in distress
Customs custody.........................................................
4.32
Narcotic drugs or marihuana contained in................................
Part 162, subpart F
Outbound, advance reporting requirements................................
192.14
Overage of manifested quantity..........................................
4.12, 122.49
Overcarried.............................................................
4.34
Permit or special license for unlading or lading........................
4.30, 122.38
[[Page 987]]
Prematurely discharged..................................................
4.34
Recovered from sunk or wrecked vessel or as derelict....................
4.41
Release, permits........................................................
4.38
Residue.................................................................
4.85, 4.86, 4.88, 4.90, 122.81-122.84, 122.86-122.87
Short of manifested quantity............................................
4.12
Stow plan...............................................................
4.7c
Transit Air (See Aircraft)
Transshipment
Casualty................................................................
4.31(a)
Procedure...............................................................
4.91
Undelivered, return from foreign destination of.........................
4.34
Unentered, when to be sent to general order warehouse...................
4.37
Unique bill of lading number............................................
4.7a
Unladen or transshipped on account of unavoidable cause.................
4.31
Vessel
In trade with noncontiguous territory...................................
4.84
Proceeding foreign via domestic ports...................................
4.87
Trading between U.S. ports on Great Lakes and other U.S. ports..........
4.83
Wrecked or dismantled, disposition of...................................
4.40, 4.41
CARGO CONTAINER CERTIFICATION...........................................
Part 115
CARIBBEAN BASIN INITIATIVE..............................................
Part 10, subpart B
certain leather-related articles........................................
10.198a
Non-textile articles....................................................
10.231-10.237
Puerto Rico.............................................................
10.198b
Textile articles........................................................
10.221-10.227
CARNETS
Acceptance..............................................................
114.21
For various samples.....................................................
114.32
Additional items prohibited.............................................
114.24
Approval of issuing and guaranteeing associations.......................
Part 114, subpart B
Bond....................................................................
114.3
Customs Conventions and Agreements......................................
114.2
Definitions.............................................................
114.1
Destruction, loss, or theft of carnet document..........................
114.25
Discharge of............................................................
114.26
Entry document..........................................................
114.3
Fraud, violation, or abuse of privileges................................
114.33
Liquidated damages......................................................
114.33, 114.34
Merchandise covered by..................................................
114.22
Period of validity......................................................
114.23
Processing..............................................................
Part 114, subpart C
Provisions, scope.......................................................
Part 114
Restrictions--Mail importations, temporary importations and
transportation in bond..................................................
114.31
Samples for taking orders...............................................
114.32
Use and area of validity................................................
114.3
CARPET WOOL AND CAMEL'S HAIR--BOND......................................
113.68
CARRIAGE OF U.S. SECURITIES, ETC........................................
4.61
CARRIERS
Approval of applications................................................
112.13
Authorization to carry bonded material..................................
Part 112, subpart B
[[Page 988]]
Bond or license required................................................
112.2
Certificate
Bond for, not to be taken...............................................
141.15
Disposition of..........................................................
141.16
Entry on................................................................
141.11
Release of merchandise..................................................
141.111
Types of................................................................
112.11
CARTAGE
Appraisement entries--Additional expense payable by importer............
Part 143, subpart B
Discrepancies...........................................................
125.34
Expenses................................................................
127.32
Government--Contract requirements.......................................
125.1, 125.3, 125.11
Importers
Failure to designate cartmen............................................
125.23
Procedure to designate cartmen..........................................
125.1(b), 125.22
Marking of vehicles, lighters, etc......................................
112.27
Marking, removal of.....................................................
112.27(d)
Supervision of..........................................................
125.2, 125.24
CARTAGE AND LIGHTERAGE..................................................
112.1, 112.2, Part 125
Examination.............................................................
125.11, 125.12
Not for examination.....................................................
125.21
CARTAGE CONTRACT BOND--Form.............................................
113.63
CARTAGE TICKETS--Form, disposition......................................
125.31-125.34
CARTMEN
Accidents to be reported to port director...............................
125.35
Bonding and licensing of................................................
112.2, 112.21-112.26, 112.28, 112.30
Designation of, by importer on entry and permit.........................
125.22
Designation of, on warehouse entry......................................
144.11(b)
Government contracts....................................................
125.1, 125.3, 125.11
Identification cards for employees......................................
Part 112, subpart D
Liability for loss or damage to merchandise.............................
125.41
License or identification card, production of...........................
112.28
Receipt for merchandise delivered to, form..............................
125.31-125.33
Suspension or revocation of licenses of.................................
112.30
Undeliverable merchandise...............................................
125.36
CASH DEPOSIT IN LIEU OF SURETY
Cash deposits or obligations on bonds...................................
113.40
Temporary importation bonds
Amount..................................................................
10.31(f)
Refund..................................................................
10.40
CASUALTY, LOSS, AND THEFT OF MERCHANDISE................................
Part 158, subpart C
CASUALTY--Vessel--Unlading or transshipment at other than port of entry.
4.31
CATALOGS OF SALES OF MERCHANDISE........................................
127.26
CATTLE
Dying while under bond, duty allowance..................................
18.6
Immediate transportation restrictions...................................
18.11
Importation restrictions................................................
12.24
Straying or driven across boundary......................................
10.74
CAUSTIC SUBSTANCES--Importation procedure...............................
12.1, 12.3-12.5
CENTRALIZED EXAMINATION STATIONS (CES)..................................
Part 118, 151.15
[[Page 989]]
Appeal to the Asst. Commissioner........................................
118.23
Application contents....................................................
118.11
Customs review of application...........................................
118.12
Fee schedule............................................................
118.5
Notice..................................................................
118.13, 118.22
Responsibility..........................................................
118.4
Suspension..............................................................
118.21
Written agreement.......................................................
118.3
CERTIFICATE
Alcohol, tobacco and firearms...........................................
191.104
Arrival.................................................................
146.38
Delivery--Drawback......................................................
191.10, 191.24, 191.34
Export; beef............................................................
132.15
Lamb meat...............................................................
132.16
Sugar-containing products...............................................
132.17
For liquor shipments on small vessels, penalty..........................
4.13
Landing.................................................................
191.76
Manufacture.............................................................
191.24
Merchandise from
Insular possessions.....................................................
7.3
NAFTA Countries.........................................................
181.11
Of exportation--American goods returned, waiver of......................
10.1
Of lading for exportation (aircraft)....................................
122.94
Of origin
AGOA....................................................................
10.214
CBTPA...................................................................
10.224, 10.234
Softwood lumber from Canada.............................................
12.140
Foreign--Merchandise not produced by convict, forced, or indentured
labor...................................................................
12.43
Unaccompanied shipments from insular possessions........................
Part 148, subpart K
Of pedigree--Animals for pure breeding, bond............................
10.70, 10.71
Of registration
Automobiles, etc., taken abroad temporarily.............................
148.32
Commercial traveler's samples taken abroad..............................
10.68, 10.69
Exports for repairs or alterations--Form--Waiver of.....................
10.8
Moving-picture films and Theatrical effects taken abroad................
10.68
Of tonnage tax or light money payment-form..............................
4.23
CERTIFICATION
Blanket.................................................................
10.183, 12.121
Chemical substances.....................................................
12.121
Civil aircraft parts....................................................
10.183
Containers and road vehicles............................................
Part 115
Drawback compliance program.............................................
191.192, 191.195
Substantial containers or holders.......................................
10.7
CHANGE OF PRACTICE......................................................
177.10(c)
CHARGES
Cartage, storage, and labor; additional, borne by importer on
appraisement entry......................................................
143.14
Dutiable and nondutiable for articles exported to the U.S. prior to July
1, 1980, definitions....................................................
152.1
CHECKS
Acceptable in payment of duties.........................................
24.1
Mailed to other than payee, authority, form.............................
24.36
[[Page 990]]
CHEESE, affidavits for entry............................................
12.6
CHEMICALS, TOXIC SUBSTANCES.............................................
12.118-12.127
CHILE FREE TRADE AGREEMENT (See, UNITED STATES-CHILE FREE TRADE
AGREEMENT)
CIGARETTE PAPERS AND TUBES, PACKAGE AND NOTICE REQUIREMENTS.............
11.3
CIGARS, CIGARETTES, AND TOBACCO
Cuban origin............................................................
151.111
For consumption on vessel or aircraft...................................
10.65
Importation.............................................................
11.1
In passengers' baggage..................................................
148.33, 148.43, 148.51, 148.74
In mail.................................................................
145.13
Manufactured tobacco, examination, marking..............................
11.2
Release without payment of tax..........................................
11.2a
CITIZEN OF U.S.--Presumed to be a resident..............................
148.2
CITIZENS DYING ABROAD, EFFECTS OF.......................................
143.21, 148.54
CIVIL AIRCRAFT..........................................................
10.183
CIVIL ASSET FORFEITURE REFORM ACT.......................................
Part 162, subpart H
CLAIMS
AGOA....................................................................
10.215, 10.217
CBTPA...................................................................
10.225, 10.227, 10.235, 10.237
Compensation to informants..............................................
Part 161, subpart B
Compromise of...........................................................
161.5
Damage to or loss of privately-owned property caused by customs
employees...............................................................
24.71
Death benefits..........................................................
24.32(b)
Deceased importers, payment due.........................................
24.70(a)
Deceased or incompetent public creditors or contractors, payment due....
24.70(c)
In favor of U.S., payment by set-off....................................
24.72
Miscellaneous...........................................................
24.73
Personal injury.........................................................
24.71
Seized property.........................................................
162.47
Surplus proceeds of sale of unclaimed merchandise.......................
127.36
Unpaid salary and other moneys due deceased employees...................
24.32(a)
CLASSIFICATION (See also, APPRAISEMENT and ADMINISTRATIVE RULINGS)
Applicable rates of duty................................................
152.11, 152.12
Change in rate of duty by
Headquarters decisions
Current (ongoing) transactions..........................................
177.10
Petitions, Domestic interested party(ies), etc..........................
175.22
Prospective transactions................................................
177.10
Protests................................................................
174.27, 174.29, 174.32
Judicial decisions......................................................
152.16
Law.....................................................................
152.17
Notice of port director to increase duties..............................
152.2
Presidential proclamation...............................................
152.17
Commingling of merchandise..............................................
152.13
Merchandise from
Designated beneficiary developing countries (GSP).......................
10.171-10.178
Guantanamo Bay Naval Station............................................
7.11
[[Page 991]]
Insular possessions.....................................................
7.3
Reimported merchandise..................................................
10.1, 10.11, 141.2
Rewarehouse entries.....................................................
144.41
CLEAN AIR ACT...........................................................
12.73, 12.74
CLEARANCE OF AIRCRAFT
Documents for...........................................................
Part 122.71, subpart H
General requirements....................................................
Part 122, subpart G
Preclearance of passengers..............................................
24.18
Private aircraft passengers.............................................
122.22
Scheduled airlines......................................................
122.63
Serially numbered holders...............................................
10.41b
CLEARANCE OF VESSELS
At other than port of entry, expenses...................................
24.17, 101.4
Canal Zone, to..........................................................
4.60
Coastwise
Requirements............................................................
4.81, 4.83, 4.84
To or from Great Lakes ports
Via Hudson River........................................................
4.83
Via St. Lawrence River..................................................
4.83
Coastwise and foreign trade combined....................................
4.89
Common carrier may be refused...........................................
162.22(c)
Crew list...............................................................
4.61, 4.68
Documentation required..................................................
4.61
Foreign and coastwise trade combined....................................
4.89
Foreign vessels proceeding coastwise, when permitted....................
4.80, 4.81
Livestock, carrying--Exportation of animals--Inspection.................
4.61, 4.71
Manifests, outward foreign, and bond for................................
4.63, 4.75
Maritime administration--Exemption from liabilities.....................
162.22(e)
Meat Inspection certificate requirements................................
4.61, 4.72
Nationality and tonnage, verification of................................
4.61, 4.65
Neutrality observance--Bond.............................................
4.61, 4.73
Not required, when......................................................
4.60
Pratique................................................................
4.70
Proceeding foreign via domestic ports...................................
4.87
Records.................................................................
4.95
Requirements............................................................
4.60, 4.61
Seamen's Act............................................................
4.61, 4.69
Shipping articles.......................................................
4.61, 4.69
Withheld until
Compliance with State inspection laws...................................
4.61
Federal and State fees are paid.........................................
4.61
Narcotic drug penalty paid..............................................
162.65(e)
Reimbursable expenses paid..............................................
4.36
CLEARANCE OF VESSELS TO CLOSED PORTS OR PLACES..........................
4.61, 4.67
CLEARANCE OR PERMISSION TO DEPART DENIED................................
122.66
CLERICAL ERROR (See also, ADMINISTRATIVE REVIEW)........................
4.12(a)(5), 162.73, 173.4, 173.4a
CLOSED PORTS OR PLACES..................................................
4.61, 4.67
CLOTH
Boards..................................................................
10.5
Bolting for milling purposes............................................
10.58
COASTWISE MOVEMENTS
Entry and clearance of vessels..........................................
4.81-4.89
[[Page 992]]
Foreign vessels, restrictions...........................................
4.80, 4.81
COASTWISE TRADE
Break in continuity.....................................................
4.80b
Empty vans, tanks, and barges, etc......................................
4.93
Foreign vessels, restrictions...........................................
4.80, 4.80a
Intent..................................................................
4.80
Limited to American vessels.............................................
4.80
New and different product...............................................
4.80b
Privileges reciprocal, nations granting.................................
4.93(b)(1) and (b)(2)
Vessels entitled to engage in...........................................
4.80
Vessels touching at foreign port, while in..............................
4.82, 4.90
COFFEE--Puerto Rico, shipped to, from U.S...............................
7.1(c)
COINS
Counterfeit--Prohibited importation.....................................
12.48
Illustrations of, when permitted entry..................................
12.48
COLLECTIONS
Accounts due, receipt for payment of....................................
24.3
Customs, persons authorized to receive..................................
24.2
COLOMBIA TRADE PROMOTION AGREEMENT (CTPA)(See, FREE TRADE AGREEMENTS)
COMMERCIAL GAUGERS......................................................
151.13
COMMERCIAL LABORATORIES.................................................
151.12
COMMERCIAL INVOICE......................................................
141.83(c), 142.3(c)
Requirements............................................................
142.6
When not required.......................................................
141.83(d)
COMMERCIAL TRAVELERS' SAMPLES
Accompanied through Canada and return...................................
123.52
Accompanied through U.S. and return to Canada...........................
123.51
Exported and returned...................................................
10.68, 10.69
Temporary importation bond..............................................
10.31, 10.36
COMMINGLING OF GOODS
Assessment at higher rate...............................................
152.13
When imported by U.S. Government and covering American goods returned
and other duty-free items...............................................
10.103(b)
COMMISSION-DEFINED, TRADE AGREEMENTS ACT OF 1979........................
152.102(b)
COMMON CARRIER
Bonded..................................................................
18.1
Bonds, discontinued use of..............................................
112.14
Clearance may be refused................................................
162.22(c)
Receipt for merchandise transported in bond.............................
18.2
Sealing of conveyances, etc.............................................
18.4
Transshipment of merchandise............................................
18.3
Warning cards to be attached to doors of car, etc.--Form................
18.4
COMPENSATION (See also, WAGES)
Overtime................................................................
24.16
Reimbursable............................................................
4.35, 24.17, 101.4, 134.55, 141.86(f), 151.5, 151.7(c)
Reimbursable and not reimbursable
Full charge made if services are not clearly segregated.................
24.17
COMPROMISE OF CLAIMS....................................................
161.5
COMPUTED VALUE..........................................................
152.106
CONCENTRATED FRUIT JUICES--Brix values..................................
151.91
CONDEMNED MERCHANDISE--Allowance in duty................................
158.14
[[Page 993]]
CONDITIONAL SALE, PROPERTY SOLD ON--Seized from purchaser--Petition for
restoration.............................................................
171.41-171.43
CONFIDENTIAL COMMERCIAL INFORMATION; EXEMPT.............................
103.35
CONFIDENTIALITY OF BUSINESS INFORMATION.................................
103.12(d), 103.31, 177.2, 181.121, 181.122
CONSIGNEE
Liability for additional or increased duties............................
141.20
Nonresident, entry of merchandise by....................................
141.17
Notice of sale of unclaimed goods to be sent to.........................
127.24
Refusal of merchandise by, to be treated as unclaimed...................
141.1(f)
CONSOLIDATED SHIPMENTS, ENTRY OF........................................
141.52, 141.54
CONSOLIDATION OF SHIPMENTS, IMMEDIATE TRANSPORTATION ENTRY, ON..........
18.11
CONSULAR OFFICERS
Baggage.................................................................
148.82, 148.83
Free entry privilege....................................................
148.82, 148.85
CONTAINER--Cargo, certification.........................................
Part 115
CONTAINER STATIONS
Application for transfer of merchandise.................................
19.42
Carrier responsibility..................................................
19.44
Employee lists..........................................................
19.46
Entry of containerized merchandise......................................
19.49
Establishment, relocation or alteration of containerized stations.......
19.40
Filing of application...................................................
19.43
Movement of containerized cargo to a container station..................
19.41
Security................................................................
19.47
Suspension or revocation of the privilege of operating a container
station; hearings.......................................................
19.48
Transfer of merchandise, approval and method............................
19.45
CONTAINERS
Clearance of serially numbered..........................................
10.41b
For compressed gases, and other merchandise
Temporary importation bond..............................................
10.31
Instruments of international traffic....................................
10.41(a)
Substantial.............................................................
10.3, 10.7
CONTAINERS OR COVERINGS
American manufacture, returned as.......................................
10.3
In manufacturing warehouse, disposition of..............................
19.15
CONTIGUOUS COUNTRY
Importations from.......................................................
123.1, 123.3, 123.7, 123.51, 123.52, 148.35(a)
In transit through, between U.S. ports..................................
18.14, Part 123, subpart C, 123.51, 123.65
In transit through U.S..................................................
123.31, 123.32, 123.34, 123.42, 123.52, 123.64
Report of arrival from..................................................
123.1, 123.2, 123.5, 123.6
Vehicles and vessels arriving from......................................
123.1-123.5
CONTINUED DUMPING AND SUBSIDY OFFSET
Certifications..........................................................
159.63
Distribution of offset..................................................
159.64
General.................................................................
159.61
Notice of distribution..................................................
159.62
[[Page 994]]
CONTRACTORS--Deceased or incompetent, claims for payment due............
24.70
CONTRACTS--Cartage and lighterage.......................................
125.11
CONTRARY TO LAW--Importing merchandise..................................
12.97, 145.4, 162.22
CONTROLLED SUBSTANCES...................................................
162.45, 162.45a
CONTROLLED EXPORTS--Imports, seizure....................................
161.2
CONVERSION OF CURRENCY
Date of exportation, definition.........................................
152.1(c), 159.32
Rates of exchange.......................................................
Part 159, subpart C
CONVEYANCES--Seizure of, when used in or employed to aid in unlawful
importation of merchandise..............................................
162.22
CONVICT, FORCED, OR INDENTURED LABOR--Merchandise produced by,
importation prohibited..................................................
12.42-12.45
COPIES OF RECORDS--When importers may make..............................
103.4
COPPER-BEARING FLUXING MATERIAL--Entry requirements.....................
10.98
COPPER-METAL-BEARING MATERIALS, SMELTING AND REFINING--Allowance for
loss....................................................................
19.18, 151.55
COPYRIGHT--Mail importations marked.....................................
145.37
COPYRIGHTED ARTICLES....................................................
Part 133, subparts D and E
CORN OR MAIZE SEED--REDUCED RATE........................................
10.57
CORPORATIONS
Bonds, execution by.....................................................
113.33
Sureties on bonds.......................................................
113.37
CORROSIVE SUBSTANCES--Importation procedure.............................
12.1, 12.3-12.5
COST OF PRODUCTION
Definition and when to be shown on invoice..............................
141.88
Valuation of articles assembled abroad..................................
10.18
COTTON
Commercial travelers' samples of........................................
10.68
Examination and measurement.............................................
Part 151, subpart F
COUNTERFEIT COINS, OBLIGATIONS, AND SECURITIES--Importation prohibited..
12.48
COUNTERVAILING DUTIES--Port director, action by.........................
159.58
COUNTRY OF ORIGIN
CBI.....................................................................
10.195, 10.198
Definitions.............................................................
134.1
Evidence of for GSP purposes............................................
10.173
GSP.....................................................................
10.173, 10.176
Marking requirements....................................................
Part 134, subpart B, Part 134, subpart E
Exceptions to...........................................................
Part 134, subpart D
COUNTRY OF ORIGIN DETERMINATIONS--Government procurement................
Part 177, subpart B
COUNTRY OF ORIGIN (NAFTA)...............................................
Part 102
COURTESY NOTICE--Liquidation............................................
159.9, 159.11, 159.12
[[Page 995]]
COURT OF INTERNATIONAL TRADE (CIT)......................................
4.20(h), 19.3(g), 111.17(c), 111.75, 112.30(f), 152.16, 159.57, 174.31,
175.31, 176, 177.2, 177.7(b), 177.11(b)(8), 177.30, 177.31, 181.33,
181.93, 181.98, 181.102, 181.115, 181.116
COURT SUBPOENA FOR CUSTOMS DOCUMENTS....................................
176.11
CREAM AND MILK--Importation, special requirements.......................
12.7
CREW OF VESSELS
Crew list
Deposit of, on entry of American vessel.................................
4.68
Presentation of, form...................................................
4.61, 4.68
Declarations and exemptions.............................................
Part 148, subpart G
Declaration of articles unladen by, when required.......................
148.62
CREWS, ARTICLES ACQUIRED BY, LISTED AS SEA STORES--Form.................
4.7
CREW'S EFFECTS..........................................................
148.63
CUBA--Entry and clearance of aircraft...................................
Part 122, subpart O
CUBAN CIGARS OR CIGARILLOS..............................................
151.111
CULTURAL PROPERTY.......................................................
12.104-12.104j
CURRENCY CONVERSION.....................................................
152.25, Part 159, subpart C
Date of exportation, Definition.........................................
152.1(c), 159.32
Rates of exchange.......................................................
Part 159, subpart C
CUSTOMS BROKERS
Charges against
Statement of............................................................
111.58
Notice of...............................................................
111.62
Hearing.................................................................
111.67
Extension of time for...................................................
111.65
Failure to appear.......................................................
111.66
Service of notice and other papers for..................................
111.64
Mistakes, immaterial....................................................
111.71
New proceedings.........................................................
111.72
Preliminary proceedings.................................................
111.59
Decision on.............................................................
111.61
Proposed findings and conclusions.......................................
111.68
Recommended decision....................................................
111.69
Reopening the case......................................................
111.76
Representation..........................................................
111.5
Request for additional information......................................
111.60
Service of notice and statement of charges..............................
111.63
Settlement and compromise...............................................
111.81
Submissions, additional.................................................
111.70
Vacated or modified order, notice of....................................
111.77
Complaints, investigation of............................................
111.55
Review..................................................................
111.56
Determination...........................................................
111.57
Definitions.............................................................
111.1
Diligence in correspondence and payment monies..........................
111.29
[[Page 996]]
Duties and responsibilities.............................................
Part 111, subpart C
Fees....................................................................
111.96
License or Permit
Appeal from the Secretary's decision revoking or suspending.............
111.75
Application for--.......................................................
111.11-111.15
Application for--Investigation and examination..........................
111.11-111.15
Cancellation of.........................................................
111.51
Employment of broker who has lost.......................................
111.79
For more than one Customs port..........................................
111.19
Issuance or denial of...................................................
111.13, 111.15-111.19
Reprimands..............................................................
111.78
Required................................................................
111.2
Revocation, cancellation or suspension of...............................
111.50-111.53, 111.81
Grounds for.............................................................
111.53
When voluntary..........................................................
111.52
Monetary penalty........................................................
111.74, 111.91-111.95
Permit (See, License or permit)
Records.................................................................
111.21-111.27
Representation before Government agencies...............................
111.5
CUSTOMS COLLECTIONS--Persons authorized to receive......................
24.2
CUSTOMS COURT (See also, COURT OF INTERNATIONAL TRADE (CIT))
Documents and other evidence, produced for..............................
103.22, 176.11
Reliquidation under decision of.........................................
176.31
CUSTOMS CUSTODY
Continuous, merchandise exported from...................................
18.25-18.26
Demand to return to.....................................................
141.113
CUSTOMS EMPLOYEES
Death--Claim for unpaid salary and other moneys due.....................
24.32
Identification cards....................................................
101.8
Information, giving out.................................................
103.0, 103.12
Prohibitions against....................................................
4.101
CUSTOMS FEES (See, FEES)
CUSTOMS FORMS (CF)
Reproduction or substitution............................................
4.99, 122.5
Salable.................................................................
24.14
CUSTOMS INSPECTION STAMPS--Cigars, etc., imported in mails..............
11.2(b), 145.13
CUSTOMS--List of
Offices in foreign countries............................................
101.5
Ports...................................................................
101.3
Stations................................................................
101.4
CUSTOMS OFFICERS
Authority of............................................................
101.2
Baggage, not to open....................................................
123.63
Boarding or search by...................................................
162.3-162.8, 162.13
Compensation for service
Required in the discharge of cargo after time limit.....................
4.36, 24.17
When assigned on board a vessel or vehicle
Proceeding between ports................................................
24.17
To protect the revenue..................................................
4.36, 24.17
Identification cards....................................................
101.8
Marking, supervision of, by--Compensation...............................
134.55
Prohibitions against....................................................
4.101
Search and seizure by...................................................
162.3-162.13, 162.21, 162.22
[[Page 997]]
Supervision by..........................................................
101.2(c)
CUSTOMS OFFICES (U.S.)--In foreign countries............................
101.5
CUSTOMS REVENUE FUNCTION REGULATIONS....................................
0.1
All other Customs regulations issued under the Authority of DHS.........
0.2
CUSTOMS SEAL--Impression................................................
101.7
CUSTOM SEALS
Penalty for breaking....................................................
18.4
Procuring and accounting................................................
24.13
Removal, by carrier.....................................................
18.3(d)
When required...........................................................
18.4
CUSTOMS SECURITY AREAS--Access..........................................
Part 122 subpart S
CUSTOMS STATIONS and PORTS OF ENTRY.....................................
101.3, 101.4
CUSTOMS SUPERVISION.....................................................
19.4, 19.34, 19.38, 101.2(c), 146.3
Trade fairs.............................................................
Part 147, subpart D
D
DAMAGED MERCHANDISE--Duty allowance.....................................
Part 158, subparts B and C
DANGEROUS AND HIGHLY INFLAMMABLE MERCHANDISE, RESTRICTIONS ON--
Warehousing.............................................................
144.1(a)
DATE OF ENTRY--Definition...............................................
141.68
DATE OF IMPORTATION--Definition.........................................
101.1
DEATHS OF CUSTOMS EMPLOYEES--Claim for unpaid salary and other monies
due.....................................................................
24.32
DEBTS DUE U.S.--Duties, collection......................................
141.1, 141.3
DECISIONS AFFECTING RATE OF DUTY........................................
152.16, 152.17, 174.27, 174.29, 175.22, 177.10
DECLARATION OF USE--Vessel supplies.....................................
10.64
DECLARATIONS
Agent's, on entry.......................................................
141.19(b)
American goods returned.................................................
10.103, 145.35
Articles
Assembled abroad........................................................
10.24
Exported for processing.................................................
10.9
For repairs.............................................................
10.8
ATPA....................................................................
10.207
Baggage
Articles not declared or false statement, penalty.......................
148.18, 148.19, 148.67
Bond for production of consignee's......................................
141.19
Books, periodicals, etc.................................................
141.19(c)
CBI.....................................................................
10.198
Consignee to make, on entry.............................................
141.19
Crew....................................................................
148.62, 148.66
Department of Defense transports, baggage...............................
148.73
Domestic products.......................................................
10.1
GSP.....................................................................
10.173
Household effects used abroad, form, bond...............................
148.52
Imported articles exported..............................................
10.8a
Mail shipments..........................................................
145.11
Match importations......................................................
12.34
Motor vehicles and motor vehicle equipment..............................
12.80
[[Page 998]]
Oral....................................................................
148.12
Owner's declaration, production of by nominal consignee.................
141.20
Requirements............................................................
148.11-148.17, 148.65, 148.66
Tools of trade, form....................................................
148.53
DEDUCTIVE VALUE.........................................................
152.105
DEEMED LIQUIDATEDS......................................................
159.11
DEFENSE PRODUCTION ACT OF 1950--Transportation orders...................
4.74
DEFICIENCIES IN CONTENTS OF PACKAGES....................................
158.5
DEFICIT IN DUTY AFTER APPLYING PROCEEDS OF SALE.........................
127.37
DEFINITIONS
ABI.....................................................................
143.32(b)
Absolute (or quantitative) quotas.......................................
132.1
Abstract................................................................
191.2(a)
Abstract (drawback).....................................................
191.2(i)
Accessories, spare parts or tools that are delivered with a good and
form part of the good's standard accessories, spare parts or tools......
181 App
ACS.....................................................................
143.32(a)
Act.....................................................................
12.90, 12.110, 146.1(b)(1), 147.1, 191.2(b)
Activation..............................................................
146.1(b)(2)
Activities..............................................................
163.1
Actual loss of duties...................................................
162.71(a)(1)
Actual loss of revenue..................................................
162.71(b)(1)
Adjusted to an F.O.B basis..............................................
181 App
Administrative workweek.................................................
24.16(b)(2)
Administrator...........................................................
12.110
Admit...................................................................
146.1(b)(3)
Advanced in value.......................................................
102.1(a)
Advance ruling..........................................................
181.92(a)(1)
Adverse marking decision................................................
181.112(a)
Advisory ruling (government procurement)................................
177.22(b)
Agent...................................................................
122.1, 141.19(b)(1)
Agreement (NAFTA).......................................................
143.32(c)
Aircraft................................................................
122.1
Civil...................................................................
10.183(a)
Foreign.................................................................
122.165(a)
Commercial..............................................................
122.1
Private.................................................................
122.1(h), 122.23(a)
Aircraft commander......................................................
122.1
Alteration..............................................................
146.1(b)(4)
American fishery........................................................
10.78(b)
American-made...........................................................
10.12(a)
American vessel.........................................................
4.9
Analysis record (Laboratories)..........................................
151.12
Apparel article.........................................................
10.26
AGOA....................................................................
10.212
CBTPA...................................................................
10.222
Applicable change in tariff classification..............................
181 App.
Archaeological or ethnological material of the State Party to the 1970
UNESCO Convention.......................................................
12.104(a)
Arrival (fees for services).............................................
24.22(a)(2)
Arrival of a vessel.....................................................
4.0
[[Page 999]]
Article.................................................................
12.120(a)
Chemical substances.....................................................
12.120(a)(1)(iii)
Exported................................................................
191.172(c)
Qualified...............................................................
191.172(a)
Same kind and quality...................................................
191.172(b)
Articles
Apparel.................................................................
10.26(c)(1)
For a fair..............................................................
147.1
Textile.................................................................
10.26(c)(1)
Textile or apparel......................................................
10.26(c)(1)
Assembly................................................................
10.12(b)
Assembled articles......................................................
10.12
In one or more countries
AGOA..................................................................
10.212
CBTPA.................................................................
10.222
Assembly operations abroad..............................................
10.16(a)
Operations incidental to assembly.......................................
10.16(b)
Operations not incidental to assembly...................................
10.16(c)
Assist (valuation of merchandise).......................................
152.102(a)
Assistant Commissioner (Laboratories)...................................
151.12
Assistant Commissioner (Office of Field Operations).....................
111.1
Associated equipment (safety standards).................................
12.85
A.T.A. carnet (admission Temporaire--Temporary Admission)...............
114.1(d)
Attribution (petroleum/FTZ).............................................
146.92(a)
Audit (recordkeeping)...................................................
163.1
Authorized agent........................................................
177.1(d)(4), 181.92(a)(2)
Automotive component (NAFTA)............................................
181 App.
Automotive component (assembly).........................................
181 App.
Baggage and effects (personal or household use).........................
148.81(b), 148.84(b)
Barges, Lash-Types......................................................
4.81(g), 4.81a
Barrels.................................................................
151.41
Base pay (overtime services)............................................
24.16
Beneficiary country
AGOA....................................................................
10.212
ATPA....................................................................
10.26(c)(2), 10.202
CBI.....................................................................
10.191(b)(1), 10.195(b)
Developing..............................................................
10.178a
Blackstrap molasses.....................................................
10.139
Boats (safety standards)................................................
12.85(a)
Bona fide gift..........................................................
10.153
Broker..................................................................
111.1, 143.32(d)
Business day............................................................
101.1
Calendar year (fees for services).......................................
24.22(a)(3)
Callback (overtime services)............................................
24.16
Canada (NAFTA)..........................................................
181.1(a)
Canadian article........................................................
10.84
Cargo...................................................................
128.1(b)
Cargo (harbor maintenance fee)..........................................
24.24
Carrier.................................................................
112.1
Common..................................................................
18.1(a)(1), 112.1
Contract................................................................
112.1
Private.................................................................
112.1
Cartman.................................................................
112.1
Casualty................................................................
4.14(h)(2)(i)
[[Page 1000]]
CBERA...................................................................
10.222, 10.232
CBTPA beneficiary country...............................................
10.222, 10.232
Originating good........................................................
10.232
Centralized examination station (CES)...................................
118.1
Certificate of delivery.................................................
191.2(c)
Certificate of manufacture and delivery.................................
191.2(d)
Certification...........................................................
143.32(e)
Certified (export control)..............................................
192.1
Certified recordkeeper..................................................
163.1
Certifying Authority....................................................
115.3(a)
Change in classification (CFTA).........................................
10.303(c)
Charges (liens).........................................................
141.112
Check samples (Laboratories)............................................
151.12
Chemical substance in bulk form.........................................
12.120(b)
Citizen.................................................................
4.0
Civil aircraft..........................................................
10.183
Claimant (liens)........................................................
141.112
Clean kg................................................................
151.61(a)
Clean pound (wool and hair).............................................
151.61
Clean yield (wool and hair).............................................
151.61(b)
Clerical error or other mistake.........................................
122.162, 123.9(g)
Manifest discrepancy....................................................
4.12(a)(5)(a)
Special procedures......................................................
162.71(e)
Closely integrated administrative control...............................
128.1(f)
Closing date (trade fairs)..............................................
147.1
Coastwise port..........................................................
4.80a
Commercial
Aircraft................................................................
122.1
Cargo (harbor maintenance fee)..........................................
24.24
Gaugers.................................................................
151.13
Importation (NAFTA).....................................................
181.1(b)
Laboratories............................................................
151.12
Vessel (harbor maintenance fee).........................................
24.24
Commercially interchangeable merchandise................................
191.2(e)
Commingled (rules of origin)............................................
102.1(b)
Commission..............................................................
152.102(b)
Commissioner
Carnets.................................................................
114.1
Certification...........................................................
115.3(b)
Commodity Group Brochure (Laboratories).................................
151.12
Common carrier..........................................................
18.1, 112.1
Control, ownership; trademarks..........................................
133.2
Commute compensation (overtime).........................................
24.16
Complete copy (export control)..........................................
192.1
Compliance assessment (recordkeeping)...................................
163.1(e)
Conditionally admissible merchandise....................................
146.1
Conspicuous (marking)...................................................
134.1(k)
Constructive transfer (foreign trade zones).............................
146.1(b)
Container (certification)...............................................
115.3(c)
Continuous assignment (overtime services)...............................
24.16(b)(6)
Contract carrier........................................................
112.1
Convention (cultural property)..........................................
12.104(b)
Vessel..................................................................
4.96
Copy (export control)...................................................
192.1
Costs incurred in packing (NAFTA).......................................
181 App.
Country
GSP.....................................................................
10.171(b)
[[Page 1001]]
Marking.................................................................
134.1
Political entity........................................................
134.1(a)
Possessions.............................................................
152.23
Country of origin
Government procurement..................................................
177.22(a)
Marking purposes........................................................
134.1(b)
Pre-Columbian monumental or architectural sculpture or mural............
12.105(c)
Textile and apparel products............................................
102.21(b)(1)
Courier shipment........................................................
128.1(c)
Crib....................................................................
19.37(a)
Crude petroleum.........................................................
10.179
Cuba....................................................................
122.151(b)
Cultural property.......................................................
12.104(c)
Current (ongoing) transactions..........................................
177.1(d)(3)
Customs
Accredited Laboratories.................................................
151.12
Administration (NAFTA)..................................................
181.1
And related laws........................................................
177.1(d)(5)
And TIR/Container Plan..................................................
115.3(g)
Approved gaugers........................................................
151.13
Broker..................................................................
111.1
Business................................................................
111.1
Documents...............................................................
103.21(c)
Duty (NAFTA)............................................................
181.1(d)
Employee................................................................
103.21(b)
Officer (overtime services).............................................
24.16
Security area...........................................................
122.181
Station.................................................................
101.1
Supervision.............................................................
101.2(c)
Territory (foreign trade zones).........................................
146.1(b)
Territory of the U.S....................................................
101.1, 134.1(f), 145 (Appendix)
Value (NAFTA)...........................................................
181 App.
Cut in one or more
AGOA....................................................................
10.212
CBTPA...................................................................
10.222
Dangerous caustic or corrosive substances...............................
12.1
Data....................................................................
143.32(f)
Data, technical (recordkeeping).........................................
163.1
Date
Closing.................................................................
147.1(e)
Entry...................................................................
101.1, 141.68
Exportation.............................................................
101.1, 152.1
Importation.............................................................
101.1(h)
Landing.................................................................
158.14
Liquidation.............................................................
159.9, 159.10, 174.12
Days (NAFTA)............................................................
181 App.
Deactivation (foreign trade zones)......................................
146.1(b)(7)
Default.................................................................
146.1(b)(8)
Degree/sugar degree.....................................................
151.21(a)
Departure of a vessel...................................................
4.0(g)
Designated archaeological or ethnological material......................
12.104(d)
Designated merchandise (drawback).......................................
191.2(f)
Destruction.............................................................
191.2(g)
Determination of origin.................................................
181.1(e)
[[Page 1002]]
Development assistance (harbor maintenance fee).........................
24.24
Direct cost of processing operations (GSP)..............................
10.178(a)
Direct cost of processing or assembly (CFTA)............................
10.305
Direct costs of processing (ATP)........................................
10.206
Direct costs of processing (CBI)........................................
10.197
Direct identification drawback..........................................
191.2(h)
Direct labor costs (NAFTA)..............................................
181 App.
Direct material costs (NAFTA)...........................................
181 App.
Direct overhead (NAFTA).................................................
181 App.
Direct physical identification..........................................
102.1(c)
Direct shipment (insular possessions)...................................
7.3(e)
Direct shipment (CFTA)..................................................
10.306
Distant foreign port....................................................
4.80(a)
District................................................................
111.1, 112.1
Documentation...........................................................
143.32
Documented (Vessel).....................................................
4.0(c)
Domestic interested party(ies)..........................................
175.3
Domestic (international traffic)........................................
123.12
Domestic (locomotives and equipment)....................................
123.12
Domestic material (rules of origin).....................................
102.1
Domestic merchandise (foreign trade zones)..............................
146.1(b)
Domestic value (seized property)........................................
162.43
Drawback (drawback).....................................................
191.2(i)
Drawback claim (drawback)...............................................
191.2(j)
Drawback entry (drawback)...............................................
191.2(k)
Drawback product (drawback).............................................
191.2(r)
Duties..................................................................
101.1(i)
EDIFACT.................................................................
143.32(h)
Electronic entry........................................................
143.32(j)
Electronic entry summary................................................
143.32(k)
Electronic immediate delivery...........................................
143.32(i)
Eligible (ATP)..........................................................
10.202
Eligible articles (CBI).................................................
10.191
Embark..................................................................
4.80a(a)(4)
Employee................................................................
111.1
Entered (ATP)...........................................................
10.202(c)
Entered (CBI)...........................................................
10.191(b)(4)
Entered for consumption.................................................
141.0a(f)
Entered for warehouse...................................................
141.0a(g)
Enterprise (NAFTA)......................................................
181 App.
Entry for temporary inspection bond.....................................
141.0a(h)
Entry...................................................................
141.0a(a)
Entry or withdrawal for consumption.....................................
101.1
Entry records/(a)(1)(A) list (recordkeeping)............................
163.1(f)
Entry summary...........................................................
141.0a(b)
Estimated duties........................................................
10.39
Excluded costs (NAFTA)..................................................
181 App.
Executive Director (Labs)...............................................
151.12(a)
Exemption (assembled articles)..........................................
10.12
Export..................................................................
192.1
Exportation.............................................................
101.1
Exportation, country of.................................................
152.23
Exportation (drawback)..................................................
191.2(m)(1)
Exported article (petroleum derivatives)................................
191.172(c)
Exporter (drawback).....................................................
191.2(m)(2)
Exporter (NAFTA)........................................................
181.1(f), 181.112(b)
Express consignment operator or carrier.................................
128.1(a)
[[Page 1003]]
Fabric..................................................................
10.25
Fabric (CBI)............................................................
10.195
Fabric-making process...................................................
102.21
Fabricated component (assembled abroad with U.S. components)............
10.12(d)
Fabricated component (assembled abroad with U.S. components)............
10.14
Fabricated component (assembled abroad with U.S. components)............
10.15
Fair (trade fairs)......................................................
147.1
Fair operator (trade fairs).............................................
147.1
Fair retail value (classification and appraisement).....................
152.1(d)
Feedstock factor (petroleum/FTZ)........................................
146.92(c)
Feedstocks (petroleum/FTZ)..............................................
146.92(b)
Ferry (fees for services)...............................................
24.22(a)(4)
Ferry (harbor maintenance fee)..........................................
24.24(b)(4)
Filer...................................................................
143.32
Filing..................................................................
141.0a(d)
Filing (drawback).......................................................
191.2
Final determination (gov't procurement).................................
177.22
Final product (petroleum/FTZ)...........................................
146.92
Findings and trimmings
AGOA....................................................................
10.213
CBTPA...................................................................
10.223
Fiscal year pay cap (overtime services).................................
24.16(b)(8)
Fishing.................................................................
4.96
Foreign
AGOA....................................................................
10.212
CBTPA...................................................................
10.222
Foreign (international traffic).........................................
123.12
Foreign (locomotives and other equipment)...............................
123.12
Foreign account and ownership...........................................
191.133
Foreign area............................................................
122.141
Foreign civil aircraft..................................................
122.165
Foreign material (rules of origin)......................................
102.1
Foreign materials (insular possessions).................................
7.3
Foreign merchandise (foreign trade zones)...............................
146.1(b)
Foreign origin (marking)................................................
134.1(c)
Foreign port or place...................................................
4.2
Formal entry (vessels)..................................................
4.9
Formed uppers...........................................................
102.20
Fraud...................................................................
181.82
Freight (liens).........................................................
141.112
Freight forwarder.......................................................
111.1, 112.1
Fungible goods (NAFTA)..................................................
181 App.
Fungible goods/materials (rules of origin)..............................
102.1
Fungible materials (NAFTA)..............................................
181 App.
Fungible merchandise (foreign trade zones)..............................
146.1(b)
Fungible merchandise/articles (drawback)................................
191.2(o)
Fur product.............................................................
11.12a
Further review (protests)...............................................
174.1
Gaugers, Customs-approved (testing of merchandise)......................
151.13(a)
General average (liens).................................................
141.112
General manufacturing drawback..........................................
191.2
General sample (wool and hair)..........................................
151.61(e)
Generally accepted accounting principles................................
152.102(c), 181.1
Good of a NAFTA country (country of origin marking).....................
134.1(g)
[[Page 1004]]
Good wholly obtained/produced (rules of origin).........................
102.1(g)
Government cartage......................................................
125.1(a)
Guaranteeing association (carnets)......................................
114.1(c)
Harmonized System (NAFTA)...............................................
181 App.
Harmonized System (rules of origin).....................................
102.1
Headquarters office.....................................................
177.1
Headquarters office (NAFTA).............................................
181.92
Heavy-duty vehicle (NAFTA)..............................................
181 App.
Holiday (hours of business).............................................
101.6
Holiday (overtime services).............................................
24.16(b)
Household effects.......................................................
148.52
HTSUS
AGOA....................................................................
10.212
CBTPA...................................................................
10.222 and 10.232
NAFTA...................................................................
181.1
Hub.....................................................................
128.1
Humanitarian assistance (harbor maintenance fee)........................
24.24(b)(5)
Identical goods (NAFTA).................................................
181 App.
Identical materials (NAFTA).............................................
181 App.
Identical merchandise (valuation).......................................
152.102(d)
Imported directly.......................................................
10.175
AGOA....................................................................
10.213
CBTPA...................................................................
10.223 and 10.233
Imported directly
ATP.....................................................................
10.204
CBI.....................................................................
10.193
GSP.....................................................................
10.175(e)(2)
Importer................................................................
101.1
Importer (NAFTA)........................................................
181.1
Importer's cartage......................................................
125.1(b)
Importer security filing importer.......................................
149.1
Importer filing importation.............................................
149.1
Importer security filing bulk cargo.....................................
149.1
Importer security filing break bulk cargo...............................
149.1
Improved in condition (rules of origin).................................
102.1
Incorporated (NAFTA)....................................................
181 App.
Incorporated (rules of origin)..........................................
102.1
Indirect material (NAFTA)...............................................
181 App.
Indirect materials (rules of origin)....................................
102.1
Information letter......................................................
177.1(d)(2)
Information letter (NAFTA)..............................................
181.92
Inquiry (recordkeeping).................................................
163.1
Insignificant preliminary preparation...................................
12.95(b)
Instruments of int'l traffic............................................
10.41a
Interest costs (NAFTA)..................................................
181 App.
Interlinings
AGOA....................................................................
10.213
CBTPA...................................................................
10.223
Intermediate material (NAFTA)...........................................
181.1, 181 App.
Intermittent employee (overtime services)...............................
24.16(b)(10)
Issuing association (carnets)...........................................
114.1
International airport...................................................
122.1
Knit to shape...........................................................
102.21
AGOA....................................................................
10.212
CBTPA...................................................................
10.222
Laboratory, Customs-accredited..........................................
151.12
Landing rights airport..................................................
122.1
[[Page 1005]]
LASH-type barges........................................................
4.81(g)
Letter class mail.......................................................
145.1(b)
Light-duty automotive good (NAFTA)......................................
181 App.
Light-duty vehicle (NAFTA)..............................................
181 App.
Lighterman..............................................................
112.1
Limits of any Customs port..............................................
4.6(b), 101.3
Liquidation.............................................................
159.1
Listed material (NAFTA).................................................
181 App.
Location of the producer (NAFTA)........................................
181 App.
Locomotives or other railroad equipment, domestic and foreign...........
123.12(d)
Loss of duties (special procedures).....................................
162.71
Loss of revenue (special procedures)....................................
162.71
Made in one or more CBTPA...............................................
10.222
Mail article............................................................
145.1
Major conversion........................................................
191.133
Majority of hours (overtime services)...................................
24.16
Major parts.............................................................
102.21
AGOA....................................................................
10.212
CBTPA...................................................................
10.222
Manufacturing period (petroleum/FTZs)...................................
146.92(e)
Manufacture or production (drawback)....................................
191.2
Manufacturer (certification)............................................
115.3
Marking rules (NAFTA)...................................................
134.1, 181.1
Material (NAFTA)........................................................
181 App.
Material (rules of origin)..............................................
102.1
Materials (CFTA)........................................................
10.303
Materials produced in a (CBI)...........................................
10.196
Materials produced in the U.S. (ATPA)...................................
10.206(c)
Measure (NAFTA).........................................................
181.1
Meat and meat food products.............................................
12.8
Merchandise (foreign trade zones).......................................
146.1
Merchandise of the same class...........................................
152.102
Mexico (NAFTA)..........................................................
181.1
Minor processing (rules of origin)......................................
102.1
Mistake of fact (special procedures)....................................
162.71
Month (NAFTA)...........................................................
181 App.
Motor vehicle assembler (NAFTA).........................................
181 App.
Multiple products (drawback)............................................
191.2
Museum (cultural property)..............................................
12.104
NAFTA...................................................................
181.1
AGOA....................................................................
10.212
CBTPA...................................................................
10.222, 10.232
Country (NAFTA).........................................................
181.App.
Drawback................................................................
181.1
Marking and marking rules...............................................
134.1
Transaction (NAFTA).....................................................
181.92
National (NAFTA)........................................................
181 App.
National Commodity Specialist Division..................................
181.92(a)(6)
Nearby foreign port.....................................................
4.80a
Net cost method (NAFTA).................................................
181 App.
Net cost of a good (NAFTA)..............................................
181.1
New or different article (GSP)..........................................
10.176
Night work (overtime services)..........................................
24.16
Noncommerical importation (special procedures)..........................
162.71(d)
Noncontiguous territory of the U.S......................................
4.0(d)
Nonconvention
Cargo vessel............................................................
4.96(a)(3)
[[Page 1006]]
Fishing vessel..........................................................
4.96(a)(2)
Nonresidents............................................................
141.31, 148.2
Non-allowable interest costs (NAFTA)....................................
181 App.
Non-originating good (NAFTA)............................................
181 App.
Non-originating material (NAFTA)........................................
181 App.
Non-profit (harbor maintenance fee).....................................
24.24
Officer.................................................................
111.1
Operations incidental to assembly.......................................
10.16
Operator (foreign trade zones)..........................................
146.1
Origin of goods (insular possessions)...................................
7.3
Original (recordkeeping)................................................
163.1
Original equipment (NAFTA)..............................................
181 App.
Original motor-vehicle equipment........................................
10.84
Originating
AGOA....................................................................
10.212
CFTA....................................................................
10.302
NAFTA...................................................................
181.1
Originating component (availability of information).....................
103.21(d)
Originating good (NAFTA)................................................
181 App.
Originating material (NAFTA)............................................
181 App.
Other costs (NAFTA).....................................................
181 App.
Overtime pay (overtime services)........................................
24.16
Package.................................................................
145.1(a)
Packaging materials (NAFTA).............................................
181 App.
Packing costs...........................................................
152.102(e)
Packing materials (NAFTA)...............................................
181 App.
Party-at-interest (government procurement)..............................
177.22(d)
Party/person (recordkeeping)............................................
163.1
Passenger...............................................................
4.50, 4.80a
Payable.................................................................
152.103
Payments (NAFTA)........................................................
181 App.
Period costs (NAFTA)....................................................
181 App.
Permit..................................................................
111.1
Permitted merchandise...................................................
158.1
Person..................................................................
111.1
Person (NAFTA)..........................................................
181 App., 181.1
Person of a NAFTA country (NAFTA).......................................
181 App.
Personal effects........................................................
148.74
Petroleum refinery (petroleum/FTZ)......................................
146.92
Piratical copies (trademarks)...........................................
133.42(a)
Place...................................................................
122.23
Point of direct shipment (NAFTA)........................................
181 App.
Port director (foreign trade zones).....................................
146.1
Port (harbor maintenance fee)...........................................
24.24
Port of arrival.........................................................
122.112
Port/port of entry......................................................
101.1
Port (trade fairs)......................................................
147.1
Possession (drawback)...................................................
191.2
Possessions of the U.S. (harbor maintenance fee)........................
24.24
Potential loss of duties................................................
162.71
Potential loss of revenue...............................................
162.71
Preclassification/binding ruling number.................................
143.32(m)
Preclearance............................................................
122.1
Pre-Columbian monumental and architectural sculpture and murals.........
12.105
Preferential tariff treatment
CBTPA...................................................................
10.232
[[Page 1007]]
NAFTA...................................................................
181.1
Preferential treatment
CBTPA...................................................................
10.222
AGOA....................................................................
10.212
Premium pay differential (overtime services)............................
24.16
Presentation............................................................
141.0a(e)
Presentation (quotas)...................................................
132.1
Price of product (petroleum/FTZ)........................................
146.92
Price paid or payable...................................................
152.102(f)
Principal field officer.................................................
101.1
Private aircraft........................................................
122.1, 122.23
Private carrier.........................................................
112.1
Produced in beneficiary developing country (GSP)........................
10.177(a)
Producer (NAFTA)........................................................
181.1, 181.112, 181 App.
Producibility (petroleum/FTZ)...........................................
146.92
Product costs (NAFTA)...................................................
181 App.
Production (NAFTA)......................................................
181.1, 181 App.
Production (rules of origin)............................................
102.1
Product of the U.S. (assembly)..........................................
10.12(e)
Product (safety standards)..............................................
12.85
Prohibited merchandise (foreign trade zones)............................
146.1(b)
Prospective Customs transaction.........................................
177.1(d)(3)
Prototype (certification)...............................................
115.3
Public aircraft.........................................................
122.1
Qualified article (petroleum derivatives)...............................
191.172(a)
Quotas..................................................................
132.1
Reactivation (foreign trade zones)......................................
146.1
Recordkeeper, certified (recordkeeping).................................
163.1(d)
Recordkeeper, third-party (recordkeeping)...............................
163.1(l)
Records.................................................................
111.1
Records (drawback)......................................................
191.2
Records (recordkeeping).................................................
163.1(a)(1)
Records (special entry procedures)......................................
143.32
Region..................................................................
111.1
Regularly-scheduled administrative workweek.............................
24.16(b)(15)
Reimbursable............................................................
128.1
Related persons (cultural property).....................................
12.104c
Related persons (NAFTA).................................................
181 App.
Related persons (valuation of merchandise)..............................
152.102(g)
Relative value (drawback)...............................................
191.2
Relative value (petroleum/FTZ)..........................................
146.92
Released conditionally..................................................
141.0a
Remote location filing (RLF)............................................
143.32
Repetitive violation (special procedures)...............................
162.71(c)
Request for record......................................................
103.5(h)
Residents (powers of attorney)..........................................
141.31
Residents (status of arriving persons)..................................
148.2
Residue cargo...........................................................
122.1
Responsible supervision and control.....................................
111.1
Reusable scrap (NAFTA)..................................................
181 App.
Right to use (NAFTA)....................................................
181 App.
Road vehicle (certification)............................................
115.3
Royalties (NAFTA).......................................................
181 App.
Ruling..................................................................
177.1(d)(1)
Sales promotion, marketing (NAFTA)......................................
181 App.
[[Page 1008]]
Same class or kind......................................................
152.102(h)
Same kind and quality article (petroleum derivatives)...................
191.172(b)
Sampling unit (wool and hair)...........................................
151.61(d)
Satisfactory evidence (cultural property)...............................
12.104(c)
Schedule (drawback).....................................................
191.2
Scheduled airline.......................................................
122.1
Sealed letter class mail................................................
145.1(c)
Secretary (cultural property)...........................................
12.104
Selectivity criteria....................................................
143.32
Self-produced material (NAFTA)..........................................
181 App.
Self-propelled vehicle (export control).................................
192.1
Selling commission (valuation of merchandise)...........................
152.102
Sent....................................................................
10.152
Service port............................................................
101.1
Shipment................................................................
101.1
Shipping and packing costs (NAFTA)......................................
181 App.
Shook...................................................................
10.5
Similar goods (NAFTA)...................................................
181 App.
Similar materials (NAFTA)...............................................
181 App.
Similar merchandise (valuation of merchandise)..........................
152.102(i)
Simple assembly (rules of origin).......................................
102.1
Specific manufacturing drawback ruling..................................
191.2
Staple length (cotton)..................................................
151.81
Statement processing....................................................
143.32
State party (cultural property).........................................
12.104
Stone carving/wall art..................................................
12.105
Sub-component (NAFTA)...................................................
181 App.
Subject to a regional value-content requirement.........................
181 App.
Submission..............................................................
141.0a(c)
Substantial transformation (assembled abroad)...........................
10.14(b)
Substituted merchandise/articles (drawback).............................
191.2(x)
Subzone (foreign trade zones)...........................................
146.1
Sufficient information (valuation of merchandise).......................
152.102(j)
Summons (recordkeeping).................................................
163.1(j)
Switchblade knife.......................................................
12.95(a)
Sugar degree............................................................
151.21(a)
Tariff provision (NAFTA)................................................
181 App.
Tariff-rate quotas......................................................
132.1
TECRO/Al carnet (carnets)...............................................
114.1
Territory (NAFTA).......................................................
10.26
Textile component.......................................................
10.25
Textile component (CBI).................................................
10.195
Textile or apparel product..............................................
10.26, 102.21
Theatrical scenery, properties and apparel..............................
10.33(b)
Third-party recordkeeper (recordkeeping)................................
163.1(l)
Time of separation (petroleum/FTZ)......................................
146.92
TIR carnet (carnets)....................................................
114.1
Tonnage years...........................................................
4.20
Total cost (NAFTA)......................................................
181 App.
Total sugars (sugars, sirups and molasses)..............................
151.21(b)
Transaction value (NAFTA)...............................................
181.1
Transaction value method (NAFTA)........................................
181 App.
Transfer (foreign trade zones)..........................................
146.1
Transfer/transferred....................................................
122.112
Transit air cargo.......................................................
122.112
Transit air cargo manifest..............................................
122.112
Treasury Dept. or any representative of the Treas. Dept.................
111.1
[[Page 1009]]
Treaty vessel...........................................................
4.96
Ultimate purchaser (export control).....................................
192.1
Ultimate purchaser (marking)............................................
134.1(d)
Unclaimed merchandise...................................................
127.11
Unique identifier (foreign trade zones).................................
146.1
United States (marking).................................................
134.1
United States (NAFTA)...................................................
181.1
United States/U.S. (cultural property)..................................
12.104
Unit price in greatest aggregate quantity...............................
152.102(k)
U.S.....................................................................
122.1, 122.141, 122.151
U.S. (American fisheries)...............................................
10.78(b)
Used (export control)...................................................
192.1
Used (NAFTA)............................................................
181.1, 181 App.
User fee airport........................................................
122.1
User (foreign trade zones)..............................................
146.1
U.S. mainland (harbor maintenance fee)..................................
24.24
Utilitarian use (switchblade knife).....................................
12.95
Value limitation (insular possessions)..................................
7.3
Value (NAFTA)...........................................................
181.1
Value of materials (CFTA)...............................................
10.305
Value of the goods when exported........................................
10.305(c)
Value (rules of origin).................................................
102.1
Verification (drawback).................................................
191.2
Verification of origin (NAFTA)..........................................
181 App.
Vessel..................................................................
4.0
Vessel, arrival.........................................................
4.0
Vessel, citizen.........................................................
4.0
Vessel, convention (fisheries)..........................................
4.96
Vessel, departure.......................................................
4.0
Vessel, documented......................................................
4.0
Vessel, (fees for services).............................................
24.22
Vessel, noncontiguous territory of the U.S..............................
4.0
Vessel, nonconvention cargo (fisheries).................................
4.96(a)(3)
Vessel, nonconvention fishing (fisheries)...............................
4.96(a)(2)
Vessel of the U.S.......................................................
4.0
Vessel, treaty (fisheries)..............................................
4.96(a)(4)
Voluntarily.............................................................
181.82
Weighted average (petroleum/FTZ)........................................
146.92
Wholly assembled........................................................
102.21
AGOA....................................................................
10.212
CBTPA...................................................................
10.222
Wholly formed
AGOA....................................................................
10.212
CBTPA...................................................................
10.222
Wholly the growth
ATP.....................................................................
10.202
GSP.....................................................................
10.176
Wholly the growth, product, or manufacture (CBI)........................
10.191(b)(3)
Wool product............................................................
11.12
Zone lot (foreign trade zones)..........................................
146.1
Zone site (foreign trade zones).........................................
146.1
Zone status (foreign trade zones).......................................
146.1
DEMAND FOR RETURN TO CUSTOMS CUSTODY--Form..............................
141.113
DENATURING OF VEGETABLE OILS............................................
10.56
DEPARTURE BEFORE REPORT OF VESSEL OR VEHICLE--Penalty...................
4.6
[[Page 1010]]
DERELICTS--Vessels, report of arrival...................................
4.2(c)
DESCRIPTIVE LIST OF THEATRICAL EFFECTS, FILMS, AND TRAVELERS' SAMPLES
TAKEN ABROAD AND RETURNED...............................................
10.68, 10.69
DESIGNATION OF EXAMINATION PACKAGES.....................................
151.1-151.11
DESIGNATION OF EXAMINATION PACKAGES, INFORMATION AS TO RESTRICTED.......
151.4, 151.5
DESTRUCTION
Abandoned merchandise subject to sale--Application--Form................
158.43, 158.44
Articles subject to internal revenue tax................................
127.28(g)
In lieu of payment of duty on merchandise in bond.......................
158.43
Merchandise--Expenses of supervision of.................................
24.17
Rejected merchandise
Food and drug products..................................................
159.55
Plants and plant products
Refund of duty..........................................................
12.15
Viruses, serums, toxins, etc............................................
12.20-12.23
Seizure.................................................................
162.46(d), 162.50(c)
DETENTION, VESSEL OR VEHICLE............................................
162.22
DIPLOMATIC AND CONSULAR OFFICERS--Free entry privilege..................
148.82, 148.85
DISASSEMBLED ENTITIES...................................................
141.58
DISASSEMBLY.............................................................
181.132
DISCLOSURE OF INFORMATION
Judicial proceedings....................................................
Part 103, subpart B
Restricted access.......................................................
Part 103, subpart C
Under the FOIA..........................................................
Part 103, subpart A
DISCLOSURE, PRIOR, PENALTIES............................................
162.74
DISMANTLED VESSELS, TREATMENT OF CARGO AND STORES.......................
4.40, 4.41
DISPOSITION OF GOODS AFTER SUMMARY FORFEITURE...........................
162.46
DISTILLED SPIRITS, BOTTLES AND SIMILAR CONTAINERS, IMPORTED
Regulations of Internal Revenue Service applicable......................
11.7
DISTILLED SPIRITS, WINES, AND MALT LIQUORS
Marking requirements....................................................
11.6
Summary forfeiture......................................................
162.46(e)
DIVERSIONS
Bonded merchandise......................................................
18.5
Vessel, while en route..................................................
4.91
Vessel or cargo, emergency..............................................
4.33
Vessel supplies.........................................................
10.63
DOCK PASSES.............................................................
4.1
DOCUMENTED, DEFINITION..................................................
4.0(c)
DOCUMENTS
Availability of.........................................................
10.24, Part 103
Extension of time to produce............................................
113.43
Free entry
Cancellation of bond (or charge against bond)...........................
10.64, 113.51
Late filing of..........................................................
10.112
Missing--Bond for.......................................................
141.66
Official, charge for copies of..........................................
103.10
Reduced duty, late filing of............................................
10.112
[[Page 1011]]
Time for production of missing documents................................
113.42, 113.43
Waiver of requirement for--Effect on liability..........................
113.53
DOMESTIC CONTAINERS RETURNED--Procedure.................................
10.7
DOMESTIC INTERESTED PARTY(IES), APPEALS AND PROTESTS BY
Petitions
Contents................................................................
175.12
Court decision, procedure following.....................................
175.31
Decision, procedure following...........................................
175.22-175.24
Public inspection.......................................................
175.21
Published notice of filing..............................................
175.21
When and how filed......................................................
175.11
Requests for classification, appraised value and rate of duty...........
175.1, 175.2
DOMINICAN REPUBLIC - CENTRAL AMERICA - UNITED STATES FREE TRADE
AGREEMENT...............................................................
Part 10, subpart J
Textile and apparel goods, refunds of excessive duties on...............
10.699
DRAWBACK
Abstract of manufacturer's records......................................
191.2, 191.23
Agency..................................................................
191.9
Aircraft, supplies for..................................................
191.141
Allowance...............................................................
191.4
Allowance, Meats cured with imported salt...............................
191.121
American goods returned--Dutiability....................................
10.3
Ascertainment of........................................................
191.105
Authority of the Commissioner of Customs................................
191.1
Claims filed under NAFTA................................................
191.0a
Definitions.............................................................
191.2
Designation of imported merchandise, substitution.......................
191.32
Distilled Spirits, wines or beers which are unmerchantable, etc.........
Part 191, subpart P
Destruction of merchandise..............................................
191.166
Documentation...........................................................
191.163
Exportation by mail.....................................................
191.165
Liquidation.............................................................
191.167
Procedure...............................................................
191.162
Refund of taxes.........................................................
191.161
Returned to Customs custody.............................................
191.164
Time limit for exportation or destruction...............................
191.168
Documents, powers of attorney required for signing of...................
191.6
Documents required to complete claim
Notice of exportation--Form.............................................
191.51-191.53
Duties and fees subject or not subject to drawback......................
191.3
Duties paid to Puerto Rico, drawback on.................................
191.5, 191.151
Entries
Liquidation of..........................................................
191.81
Suspension of liquidation until rate established........................
191.81
Exportation and destruction.............................................
Part 191, subpart G
Certification of exportation by mail....................................
191.74
Exportation by the Government...........................................
191.75
Exportation, notice of..................................................
191.35, 191.36, 191.51-191.53, 191.91
Exportation procedures..................................................
191.72
Falsification of drawback claims........................................
191.62, 191.194
[[Page 1012]]
Foreign-Built Jet Aircraft Engines Processed in the United States.......
Part 191, subpart N
Guam....................................................................
191.5, 191.151
Guantanamo Bay Naval Station............................................
191.5, 191.151
Identification of imported merchandise..................................
191.22, 191.23
Identification of merchandise or articles by accounting method..........
191.14
Import entries, charges against for.....................................
191.81
Import entries, liquidation.............................................
191.81
Internal Revenue Tax on Flavoring Extracts and Medicinal or Toilet
Preparations (Including Perfumery) Manufactured From Domestic Tax-Paid
Alcohol.................................................................
Part 191, subpart J
Landing certificates....................................................
191.76
Liquidation and Protest of Drawback Entries.............................
Part 191, subpart H
Liquidation of duties...................................................
Part 159
Liquidation of entries, bulletin notice of..............................
159.9
Liquidation of import entries necessary prior to allowance of...........
191.81
Manufacturing...........................................................
Part 191, subpart B
Person entitled to claim drawback.......................................
191.28
Time limitations........................................................
191.27
Materials for construction and equipment of vessels and aircraft........
Part 191, subpart M
Allowance...............................................................
191.111
Procedure...............................................................
191.112
Meats cured with imported salt..........................................
191.121-191.123
Merchandise Exported From Continuous Customs Custody....................
Part 191, subpart O
Merchandise not conforming to sample or specifications or shipped
without the consent of the consignee....................................
181.45, 181.47, 191.185
Merchandise shipped to U.S. possessions.................................
191.5, 191.151
Merchandise sold to U.S. Government.....................................
191.4
Merchandise Transferred to a Foreign Trade Zone From Customs Custody....
Part 191, subpart R
Multiple products.......................................................
191.2, 191.22, 191.23, 191.81
Notice of exportation
Certification by port director..........................................
191.51-191.53
Form....................................................................
191.51-191.53
Numbering...............................................................
191.51-191.53
Time of filing, limitations as to.......................................
191.51-191.53
Notice of intent to export..............................................
191.35, 191.36, 191.91
Notice of lading, supplies for vessels or aircraft......................
191.72, 191.112
Powers of attorney......................................................
191.6
Proposal
Proper applicant........................................................
191.21(a)
Sample..................................................................
191.21(c)
Subcontractors..........................................................
191.21(a)(2)
[[Page 1013]]
Protests................................................................
191.7
Quantities of merchandise, ascertainment................................
191.22
Rate, application, establishment........................................
191.22
Recordkeeping...........................................................
191.15
Record of, on import entries............................................
191.71
Records, manufacturers'.................................................
191.22, 191.23
Rejected merchandise....................................................
191.142, 191.165
Renewal of rate.........................................................
191.22
Restrictions............................................................
Part 181, subpart E
Salt used for curing meats..............................................
191.121-191.123
Samoa...................................................................
191.5, 191.151
Statement of manufacturer (basis for rate)..............................
191.22
Substitution of Finished Petroleum Derivatives..........................
Part 191, subpart Q
Time limitations........................................................
191.27, 191.32(d)
Two or more products, distribution......................................
191.81
Unused merchandise......................................................
Part 191, subpart C
Destruction under Customs supervision...................................
191.37
Direct identification...................................................
191.31
Failure to file ``Notice of Intent to Export Destroy or Return
Merchandise for Purposes of Drawback''..................................
191.36
Notice of intent to export; examination of Merchandise..................
191.35
Records.................................................................
191.38
U.S. possessions, applicability on shipments to.........................
191.5, 191.151
Verification of drawback claims.........................................
191.61
Vessels
Documents required to complete claim....................................
191.51, 191.52
Material for original construction and equipment........................
Part 191, subpart M
Virgin Islands, shipments to............................................
191.5, 191.151
Wastes, valuable........................................................
Part 191, subpart B
DRUGS, ETC.--Importation procedure......................................
12.1, 12.3-12.5
DRUMS (substantial containers or holders)
Domestic manufacture returned...........................................
10.7(a)
Duty to be collected in lieu of drawback paid, amount of................
10.7(f)
Foreign manufacture exported and returned...............................
10.7(b)
DUMPING DUTIES..........................................................
159.41, 159.58
DUNNAGE.................................................................
4.14, 4.39
DUTIABLE CONTENTS METAL BEARING MATERIALS...............................
19.19, 151.55
DUTIES
Abandoned merchandise--Refund...........................................
Part 158, subpart D
Accrue, when............................................................
141.1
Additional
Antiques................................................................
159.45
Articles not legally marked.............................................
134.2, 159.46
Discrimination by foreign country.......................................
159.42
Dumping.................................................................
159.41, 159.58
Foreign export duties, etc., contingent upon............................
159.44
Allowance
Casualty, loss, or theft while in Customs custody.......................
Part 158, subpart C
Damaged or defective merchandise........................................
Part 158, subpart B
[[Page 1014]]
Destroyed, abandoned, or exported merchandise...........................
Part 158, subpart D
Excessive moisture, etc.................................................
151.46, 158.13
Merchandise lost, stolen, destroyed, injured, abandoned, or shortshipped
159.8
Natural force or leakage................................................
158.7
Nonimportation..........................................................
158.11
Perishable and condemned merchandise....................................
158.11, 158.14
Shortages, lost or missing packages.....................................
158.3
Warehoused merchandise..................................................
144.3, 144.4
Bill to importer for increased or additional--Form......................
24.11
Change in rates.........................................................
152.16, 152.17, 175.22, 177.10
Chargeable..............................................................
127.33
Checks receivable in payment of.........................................
24.1
Computation of..........................................................
159.1, 159.3, 159.4, 159.6, 141.104
Consignee's liability for...............................................
141.19, 141.20
Corn or maize seed, reduced rate........................................
10.57
Countervailing..........................................................
159.47
Death of importer.......................................................
141.1
Deficit after applying proceeds of sale.................................
127.37
Difference between liquidated and estimated duties......................
159.6
Dumping.................................................................
159.58
Effective date..........................................................
141.1
Erroneous construction of law or regulation--Importer's liability.......
141.1
Estimated
Depositing of...........................................................
Part 141, subpart G
On entries..............................................................
Part 141, subpart G
Raw sugar...............................................................
151.22
Warehouse entries, on...................................................
144.12
Flat rate...............................................................
148.102
Government importations.................................................
10.100-10.104, 141.102(d)
Importations having a value not exceeding $200..........................
10.151
Importer's liability as a personal debt.................................
141.1
Increased (possible)....................................................
141.105, 152.2
Insolvency of importer..................................................
141.1
Insufficient proceeds of sale...........................................
127.37
Liability for...........................................................
162.80
Liability for--Warehouse merchandise....................................
144.2, 144.3
Lien on merchandise.....................................................
141.1(d)
Marking, assessment of..................................................
134.2, 159.46
Noncommercial importations of limited value.............................
Part 148, subpart J
Personal debt...........................................................
141.1(b)
Potatoes, seed--Reduced rate of duty....................................
10.57
Priority of Government claim for........................................
141.1(c)
Protest of payment......................................................
145.22, 174.11
Rates of informal mail entry............................................
145.12
Rates of, to be noted on invoice........................................
141.90
Receipt for, baggage declarations--Forms................................
148.27
Receipts for formal or appraisement entries--Form.......................
24.3
[[Page 1015]]
Refund of
Certain leather-related articles........................................
10.198a
Exportation of merchandise from Customs custody.........................
158.45
Reliquidation, refunds..................................................
24.36, 176.31
To whom payable.........................................................
24.36
Salt for curing fish--Conditionally free................................
10.80, 10.81,10.83
Seized merchandise......................................................
148.18, 148.19
Seizure or Penalty--Collection..........................................
148.19, 162.79(b)
Smuggled articles.......................................................
148.18(a)
Special, on articles imported under agreements in restraint of trade....
159.44
States not exempt from payment of.......................................
141.1(e)
Supplies for vessels exempt from........................................
10.59
Wool and hair products after determining clean content..................
151.65
DUTY-FREE ENTRY FOR CERTAIN BEVERAGES PRODUCED IN CANADA FROM CARIBBEAN
RUM.....................................................................
10.199
DUTY-FREE STORES........................................................
19.35-19.39
DUTY-FREE TREATMENT FOR SUB-SAHARAN AFRICAN COUNTRIES...................
10.178a
DUTY-FREE TREATMENT; PUERTO RICO........................................
10.198b
DUTY-PAID GOODS IN PUBLIC STORES OR BONDED WAREHOUSE UNDELIVERED--
Disposition.............................................................
127.14
E
EDUCATIONAL PURPOSES, ARTICLES FOR......................................
10.67
EFFECTS OF CITIZENS DYING ABROAD........................................
148.54
EFFECTS, PERSONAL AND HOUSEHOLD
Military, Civilian employees of U.S. and evacuees.......................
Part 148, subpart H
Noncommercial importations of limited value.............................
Part 148, subpart J
Nonresidents............................................................
Part 148, subpart E
Returning residents.....................................................
Part 148, subpart D
Repairs or alterations..................................................
148.31(b)
EGGS AND PLUMAGE OF WILD BIRDS, IMPORTATION--Restrictions...............
12.29
ELECTRONIC ENTRY AND ENTRY SUMMARY DOCUMENTATION........................
143.31-37, 143.39
Remote location filing..................................................
Part 143, subpart E
ELECTRONIC INFORMATION FOR AIR CARGO REQUIRED IN ADVANCE OF ARRIVAL.....
122.48a
ELECTRONIC INFORMATION FOR OUTWARD CARGO REQUIRED IN ADVANCE OF
DEPARTURE...............................................................
192.14
ELECTRONIC MANIFEST REQUIREMENT FOR CREW MEMBERS AND NON-CREW MEMBERS
ON-BOARD COMMERCIAL AIRCRAFT ARRIVING IN, CONTINUING WITHIN, AND
OVERFLYING THE UNITED STATES............................................
122.49b
ELECTRONIC MANIFEST REQUIREMENT FOR CREW MEMBERS AND NON-CREW MEMBERS
ONBOARD COMMERCIAL AIRCRAFT DEPARTING FROM THE UNITED STATES............
122.75b
ELECTRONIC MANIFEST REQUIREMENT FOR PASSENGERS ONBOARD COMMERCIAL
AIRCRAFT ARRIVING IN THE UNITED STATES..................................
122.49a
[[Page 1016]]
ELECTRONIC MANIFEST REQUIREMENT FOR PASSENGERS ONBOARD COMMERCIAL
AIRCRAFT DEPARTING FROM THE UNITED STATES...............................
122.75a
ELECTRONIC PASSENGER AND CREW ARRIVAL MANIFESTS.........................
4.7b
ELECTRONIC PASSENGER AND CREW MEMBER DEPARTURE MANIFESTS................
4.64
ELECTRONIC PRODUCTS.....................................................
12.90, 12.91
EMERGENCY--Diversion of cargo...........................................
4.33
EMERGENCY LANDING, AIRCRAFT.............................................
122.35
EMERGENCY PURCHASES OF WAR MATERIAL ABROAD..............................
10.102(b)
EMERGENT TEMPORARY USE OF FIRE-FIGHTING, RESCUE AND RELIEF EQUIPMENT AND
SUPPLIES................................................................
10.107
EMISSION STANDARDS......................................................
12.73
ENERGY CONSERVATION.....................................................
12.50
ENERGY POLICY AND CONSERVATION ACT OF 1975..............................
12.50
ENFORCEMENT POWERS......................................................
Part 161
ENGINES, NONROAD, COMPLIANCE WITH FEDERAL ANTIPOLLUTION EMISSION
REQUIREMENTS............................................................
12.74
ENGLISH LANGUAGE; REQUIREMENT...........................................
122.4, 141.86
ENGRAVINGS, BOOKS, ETC.--U.S. Agencies, conditionally free..............
10.46, 145.37
ENGRAVINGS--Free entry, evidence required...............................
10.48
ENTRIES
Affidavits required to accompany........................................
12.6
Engines, nonroad........................................................
12.74
Filing of--When.........................................................
141.4, 141.5
Form of.................................................................
141.61, 143.31-143.37, 143.39
Gauging, measuring, or weighing order when noted on.....................
141.86(f)
Requirements on.........................................................
141.61-141.64, 141.66-141.68
Shipments arriving on one vessel or vehicle consigned to one consignee--
Separate, when..........................................................
141.51, 141.52
Signing of..............................................................
141.61(b)
ENTRY AND CLEARANCE, AIRCRAFT...........................................
122.41, 122.42, 122.62, 122.64, 122.77
ENTRY AND CLEARANCE, CUBA...............................................
122.151-122.158
ENTRY AND CLEARANCE--Vessels, who may make..............................
4.9
ENTRY DOCUMENT--Carnet..................................................
114.3
ENTRY--Gifts, not exceeding $100 in value, no entry required............
10.152
ENTRY OF MERCHANDISE
Abandoned or destroyed goods--Duty allowance............................
158.41-158.44
Actual owner's declaration--superseding bond............................
141.20
Administrator or executor may make......................................
141.14
Agent of consignee may make.............................................
141.19(b)
Applicable rate of duty.................................................
141.69
Appraisement entries
Form and procedure......................................................
143.11-143.16
Liquidation of..........................................................
159.9
Warehouse entries may be substituted for................................
143.16
Arrival as condition for................................................
141.63, 141.68
Auditory or visual materials............................................
10.121
Automated broker interface (ABI)........................................
143.1-143.8
Automobiles, safety standards...........................................
12.80
Baggage--
Declaration and baggage entries--Forms..................................
148.6, 148.11-148.17
[[Page 1017]]
Formal entry, when not required.........................................
148.23(c), 143.21
Liquidation of, entries.................................................
159.10
Baggage not declared penalty............................................
148.18
Bills of lading.........................................................
141.11
Boats, safety standards.................................................
12.85
Bond for production of bill of lading...................................
141.15
Bonded cartman or lighterman to be designated on warehouse entry........
125.11
Bonded merchandise, cartman to be designated by importer................
125.22
Caribbean Basin Initiative..............................................
10.191-10.198
Cheeses.................................................................
12.6
Commercial invoices, when and when not required.........................
141.91, 141.92, 141.81-141.83
Condemned perishable goods--Duty allowance..............................
158.14
Conditionally free, cancellation of bond................................
10.39
Consignee...............................................................
141.19, 141.20, 101.1, 141.14
Consolidated shipments..................................................
141.52-141.54, 141.61(d)(2)
Damaged goods, duty allowance...........................................
158.11, 158.12, 158.14, 158.21-58.27
Declarations required on entry..........................................
141.19, 141.20
Derelict merchandise, ships' stores, equipment, etc.....................
4.40, 4.41
Discrepancy between shipment and invoice--Liquidation...................
152.3
Duty liability..........................................................
141.1-141.3
Electronic entry........................................................
Part 143, subparts D and E
Entered for consumption.................................................
141.0a(f)
Entered for warehouse...................................................
141.0a(g)
Entered for temporary importation bond..................................
141.0a(h)
Entire consignment, when to be covered by one entry.....................
141.51, 141.52
Estimated duties to be deposited by importer............................
143.28, 143.15, 141.101-141.105
Estimation of duties on entries.........................................
141.90
Entry, definition.......................................................
141.0a(a)
Entry documentation
Assigned entry numbers..................................................
142.3a
Bond requirements.......................................................
142.4
Electronic..............................................................
142.3(d)
Examination.............................................................
142.7
Failure to file timely..................................................
142.8
Invoice requirements....................................................
142.6
Required................................................................
142.3
Time for filing.........................................................
142.2
Entry, rate of duty.....................................................
141.69
Entry summary
Definition..............................................................
141.0a(b)
Delinquent payment......................................................
142.14
Electronic entry/entry summary..........................................
143.31-143.37, 143.39, 143.44
Failure to file timely..................................................
142.15
Form....................................................................
142.11, 142.16
Mandatory filing........................................................
142.13
Multiple ultimate consignees............................................
142.17a
[[Page 1018]]
Multiple entries........................................................
142.17
Preliminary review......................................................
141.63
Prohibited merchandise..................................................
142.18
Release of merchandise..................................................
142.19
Single for one transportation entry.....................................
141.56
Statistics..............................................................
141.61(e)
Entry, time of..........................................................
141.68
Evidence of right to make...............................................
141.11
Excessive moisture and other impurities--Duty allowance.................
158.13
Exportation, direct.....................................................
18.25
Exported under lease and returned.......................................
10.108
Express consignments....................................................
Part 128
Extracts from invoices for use in.......................................
141.84
Filing
Definition..............................................................
141.0a(d)
Time and place of.......................................................
141.62
Foreign corporation may make--Special requirements......................
141.18, 143.22, 145.12
Free under executive order..............................................
148.87, 148.88
Late filing of documents................................................
10.112
Immediate delivery, articles for........................................
142.0, 142.3
Immediate delivery, articles for U.S. Government........................
10.100-10.104
Immediate transportation without appraisement entries...................
18.11, 18.12, 151.9
Importer security filing (unified filing)...............................
149.6
Imports from Guantanamo Bay Naval Station...............................
7.11
In transit through U.S..................................................
18.20-18.24
Incomplete invoices.....................................................
141.86-141.89
Informal entries
Information to be shown on--Form........................................
Part 141.82
Liquidation of..........................................................
159.10
Informal entry procedures...............................................
128.24, 143.21, 145.31, 148.12, 148.62
Institutions, articles for..............................................
10.43, 10.49, 10.52, 145.36
Instruments and apparatus for educational and scientific institutions...
10.114
Invoices
Commercial or special--Failure to produce, liquidated damages...........
163.6
Installment shipments...................................................
141.82
Requirements and exceptions.............................................
Part 141, Subpart F
Liability of consignee for duty.........................................
101.1,141.19, 141.20
Library of Congress, articles...........................................
10.46, 145.37
Liens...................................................................
141.112
Limited to ports of entry and customs stations..........................
101.1
Liquidation of entries..................................................
159.9, 159.10
Mail entries liquidation of.............................................
159.10
Mail importations.......................................................
132.24
Over $2,000 in value....................................................
145.12
Under $2,000 in value...................................................
145.12, 145.35, 145.41
Making entry............................................................
141.61-141.64, 141.66-141.69
[[Page 1019]]
Manifest used as an entry for unconditionally free merchandise valued
not over $250...........................................................
123.7
Motor vehicles, safety standards........................................
12.80
Motor vehicles and engines--Clean Air Act...............................
12.73
Noncommercial importations of limited value.............................
148.101-148.106
Nonresident consignee may make--Bond requirements.......................
141.17
Not specified on invoice................................................
152.3
Packed packages.........................................................
141.52
Passengers baggage......................................................
148.4-148.27
Possession, when evidence of ownership for entry purposes...............
141.12
Powers of attorney......................................................
141.31, 141.39, 141.46, 174.3
Preliminary examination of entry papers.................................
141.63
Preparation and form of entries.........................................
141.61-141.64, 141.66-141.69
Pro forma invoice, use..................................................
141.82, 141.84, 141.91
Quota quantity limits...................................................
132.4
Rate of duty applicable.................................................
141.69
Receiver may make.......................................................
141.14
Reduced duty, late filing of documents..................................
10.112
Reliquidation of entries upon protest...................................
152.16, 173.2, 174.26, 174.2, 175.22, 176.31
Repairs and equipment obtained abroad for vessels.......................
4.14
Required, when and when not.............................................
141.4, 10.151, 10.152, 148.62(b), 148.85-148.88
Rewarehouse entries
Combined rewarehouse and withdrawal for consumption.....................
144.42
General provisions......................................................
144.34(b), 144.41
Samples, taking of, prior to............................................
151.3-151.5
Shipments arriving on one vessel or vehicle consigned to one consignee,
separate entries--When..................................................
141.51, 141.52
Shortages--Duty allowance...............................................
158.2-158.6
Softwood lumber.........................................................
12.140, 12.142
Special invoices, when and when not required............................
141.91, 141.83
Submission, definition..................................................
141.0a(c)
Supplies for aircraft or vessels withdrawn from warehouse
Cancellation of bonds...................................................
10.64
Form and procedure......................................................
10.60
Permit for delivery.....................................................
10.61
Temporary importation bond entries--Form and contents...................
10.31
Temporary removal and return to port before customs release.............
141.69
Time within which entry must be made....................................
141.5
Trade-mark or trade names, goods bearing................................
133.21-133.24
Transportation and exportation entries..................................
144.37
Transportation entries, classes of......................................
18.10
Unclaimed merchandise...................................................
127.11
Unclaimed merchandise, entry before sale................................
127.14
Unfair competition, exclusion--Entry under bond.........................
12.39
[[Page 1020]]
U.S., articles for......................................................
10.46, 141.102(d), 145.37, 10.100-10.104
Value to be shown by importer...........................................
141.90(c)
Value when not in excess of $200........................................
10.151
Visual or auditory materials............................................
10.121
Warehouse entries
General provisions......................................................
144.1-144.5, 144.7
Making entry............................................................
141.11-141.64, 141.66-141.69, 144.11-144.15
Warehouse withdrawals
Consumption.............................................................
144.38
Exportation.............................................................
144.37
Transportation..........................................................
144.22, 144.36
When and by whom to be made.............................................
141.4
Who may make............................................................
141.11-141.20
Wrecked or abandoned at sea.............................................
141.13
ENTRY OF VESSELS
American................................................................
4.9(b)
At other than port of entry, expenses...................................
101.4
Coastwise
Requirements............................................................
4.81, 4.83, 4.84
Via Hudson River........................................................
4.83(b)
Via St. Lawrence River..................................................
4.83(a)
Coastwise and foreign trade combined....................................
4.89
Contiguous country, vessels arriving from--Report required..............
123.1, 123.34
Foreign.................................................................
4.9(c)
Formal--Oath, Form......................................................
4.9(b)
Preliminary--Certification, Form........................................
4.8
Records.................................................................
4.95
Repairs and equipment obtained abroad...................................
4.14
When required...........................................................
4.3
Who may make............................................................
4.9
Yachts, when not required...............................................
4.94
EQUIPMENT AND REPAIRS
American vessels abroad.................................................
4.14
Election to proceed.....................................................
162.72(a)
EQUIPMENT AND STORES OF VESSELS
Landing--Entry, when required...........................................
4.39
EQUIPMENT AND SUPPLIES
Aircraft searches, fire-fighting, rescue and relief.....................
10.107
Withdrawal for vessels..................................................
10.59
EQUIPMENT, ETC., FROM WRECKED OR DISMANTLED VESSELS.....................
4.40
ERRONEOUS CONSTRUCTION OF LAW OR REGULATION, LIABILITY FOR DUTIES.......
141.1
ERRORS, CORRECTION OF, ON LIQUIDATION OR RELIQUIDATION OF ENTRIES.......
173.1-173.5
ESTABLISHED AND UNIFORM PRACTICE........................................
177.10(c)
ESTATES OF DECEDENTS, LIABILITY FOR DUTY................................
141.1
ETHYL ALCOHOL--Importation for non-beverage purposes....................
10.99
EXAMINATION OF MERCHANDISE
Additional packages, requisition for --Form.............................
141.113, 151.11
Altars, etc., to be set up..............................................
151.8
Baggage in foreign countries............................................
148.22
[[Page 1021]]
Cotton..................................................................
151.81-151.85
Crew effects............................................................
148.62-148.67
Designation of packages.................................................
151.1-151.11
Expenses of outside examination.........................................
151.7
Immediate transportation entries........................................
151.9
Importer's premises
Bond for return to Customs custody......................................
151.7(d)
Cording and sealing of packages required................................
151.7(a)
Machinery, etc., to be set up...........................................
151.8
Mail importations.......................................................
145.2, 145.4
On vessels and vehicles.................................................
162.3
Outside of public stores................................................
151.7
Petroleum products......................................................
151.41, 151.42, 151.44-151.47
Prior to entry, inspection charges......................................
151.5
Sugar, syrups, and molasses.............................................
151.21-151.30
Tobacco, Cuban leaf--Examiners..........................................
151.111
Wool and hair...........................................................
151.61-151.71; 151.73-151.76
EXAMINATION OF PERSONS AND BAGGAGE......................................
162.3-162.7
EXAMINATION OF WOOL AND HAIR BY IMPORTER................................
151.67
EXAMINATION PACKAGES
Cartage of, to importer's premises or elsewhere.........................
125.11-125.14
Designation of..........................................................
151.1-151.11
EXCESSIVE MOISTURE AND OTHER IMPURITIES--Duty allowance.................
158.13
EXECUTOR
Entry by................................................................
141.14
Liability of Estate for debts due the U.S...............................
141.1
EXEMPTION
Allowed nonresidents....................................................
Part 148, Subpart E
Allowed returning residents.............................................
Part 148, Subpart D
Other...................................................................
Part 148, Subpart F
EXEMPTION, FALSE CLAIM, FAILURE TO DECLARE PENALTY......................
148.18, 148.19
EXHIBITION BOND--Form...................................................
113.14
EXHIBITION, RETURN OF ARTICLES EXPORTED FOR.............................
10.66
EXHIBITION, WORKS OF ART, AND OTHER ARTICLES
Entry...................................................................
10.49
Transfer to other institution...........................................
10.49(c)
EXPENSES
Examination of merchandise outside public stores........................
151.7
General expenses and profit.............................................
152.105(e), 152.106(c)
Seizure and forfeiture payment of.......................................
162.51
For services rendered...................................................
24.17
EXPLOSIVE SUBSTANCES
Exportation of, on arrival..............................................
18.21(d), 18.25
Sale of unclaimed.......................................................
127.22
Warehousing of, prohibited..............................................
18.25(f)
EXPORTED ARTICLES RETURNED..............................................
10.66, 10.67
EXPORT BONDS, CANCELLATION OF...........................................
113.55
EXPORT CONTROL
Definition..............................................................
192.1
[[Page 1022]]
Liability of carriers...................................................
192.4
Penalties...............................................................
192.3
Requirements for exportations...........................................
192.2
EXPORT DECLARATIONS
Filing of...............................................................
4.61, 4.63, 4.75, 122.76
Incomplete--Bond........................................................
4.75
Vessel, proceeding foreign via domestic ports...........................
4.87
EXPORTATION
Arms and munitions......................................................
4.61, 4.73, 161.2
Articles
Repaired abroad, to be..................................................
10.8
Scientific or educational purposes, return of...........................
10.67
Atomic energy material, equipment, and devices..........................
161.2
Bond--Cancellation of requirement for...................................
113.55
Bonds--Form.............................................................
18.25, 113.14
Cancellation of bond to produce export declaration......................
172.22, 113.55
Continuous Customs custody..............................................
158.45
Customs supervision.....................................................
18.7, 18.45
Date of, for conversion of currency.....................................
159.32
Date of, for textiles...................................................
102.23(c)
Drawback on merchandise exported via ports outside continental U.S......
191.51-191.53
Entered merchandise in Customs custody--Liquidated and unliquidated
entries.................................................................
158.45
Expenses of.............................................................
24.17
Helium gas..............................................................
161.2
In bond--Indirect.......................................................
18.26
Inspection..............................................................
Part 118
Limitation of time for..................................................
18.24
Mail, dutiable articles by--Waiver of right to withdraw.................
145.40, 145.71
Manufacturing warehouse products........................................
19.15
Marihuana...............................................................
162.61
Merchandise
Denied admission by a Government agency.................................
18.25, 18.26
Received under warehouse withdrawal for transportation..................
144.36(h)
Unclaimed, restrictions.................................................
127.14
Unentered...............................................................
18.25, 18.26
Unliquidated consumption entry..........................................
18.25, 18.26
Munitions of war........................................................
161.2(a)(1)
Narcotics and certain other drugs--Requirements, penalties..............
12.36, 161.2, 162.61, 162.63
Port of, final..........................................................
123.28
Rejected merchandise
Food and drug products..................................................
12.4
General provisions......................................................
158.45
Plants and plant products, refund of duty...............................
12.15
Viruses, serums, and toxins.............................................
12.20, 12.23
Seizure of articles and transporting vessel, vehicle or aircraft........
161.2(b)
Temporary importation bond entries......................................
10.38, 10.39
Time of, to be used in appraising.......................................
152.1(c)
Tobacco products for consumption on vessel or aircraft deemed to be.....
10.65
Used self-propelled vehicles............................................
Part 192, Subpart A
[[Page 1023]]
Warehouse, withdrawals for..............................................
144.37
Wild animals, birds, etc., when prohibited..............................
12.27
EXPORTS, CONTROLLED--Seizure............................................
161.2(b)
EXPRESS CONSIGNMENT CARRIERS............................................
Part 128
EXTENSION OF TIME--Liquidation..........................................
159.12
F
FAILURE TO DECLARE ARTICLES IN BAGGAGE--Penalty.........................
148.18
FAMILY GROUP, BAGGAGE DECLARATIONS......................................
148.14, 148.34, 148.103
FATS, INEDIBLE--Exportation.............................................
4.61, 4.72
FEES
Ad valorem merchandise..................................................
24.23
Aircraft arrival........................................................
24.22, 122.29
Commercial truck........................................................
24.22(c)
Commercial vessel.......................................................
24.22(b)
Container Station, establishment of.....................................
19.40(b)
Customs bonded warehouse, establishment of..............................
19.2, 19.13
Customs brokers.........................................................
24.22(h), 111.96
Customs cartage or lighterage license, issuance of......................
111.96, 112.22
Customhouse broker's license, issuance of...............................
111.12, 111.19
Dutiable mail...........................................................
24.22(f)
Express consignment application.........................................
128.13
Freedom of Information Act..............................................
103.10
Harbor maintenance......................................................
24.24
Issuance of a customhouse broker's license/permits......................
24.22(h) 111.12, 111.19,
Navigational............................................................
4.98
Patent infringement information.........................................
24.12
Passengers aboard vessels or aircraft...................................
24.22(g)
Private vessel/aircraft.................................................
24.22(e)
Railroad car............................................................
24.22(d)
Recording
Copyright...............................................................
Part 133, subpart C
Trademark...............................................................
Part 133, subpart A
Tradename...............................................................
Part 133, subpart B
Storage in Government buildings.........................................
24.12
Tonnage.................................................................
4.20
FIBER PRODUCTS IDENTIFICATION ACT, COMPLIANCE WITH......................
11.12b(d)-(f)
FILMS
Exhibited on vessels....................................................
10.68
Motion picture, return of--Domestic or foreign origin...................
10.68(b)
When prohibited.........................................................
12.41
FINAL PORT OF EXPORTATION IN CROSSING CONTIGUOUS FOREIGN TERRITORY......
123.28
FINES, PENALTIES, AND FORFEITURES (See also, PENALTIES)
Applicability...........................................................
162.70
Importations contrary to law............................................
161.2(b), 162.22
Information.............................................................
103.32
Notice of, to offender..................................................
162.31
Prior disclosure........................................................
162.74
[[Page 1024]]
Remission or mitigation of..............................................
162.31, 171.11, 171.21-171.24
FINGERPRINTS............................................................
19.2, 111.12, 112.42, 118.4, 122.182, 146.6
FIREARMS, MAIL IMPORTATIONS.............................................
145.53, 145.59
FIRE FIGHTING, RESCUE AND RELIEF EQUIPMENT FOR EMERGENT TEMPORARY USE...
10.107
FISH, SALT FOR CURING...................................................
10.80, 10.81, 10.83
FISHERIES, AMERICAN
Definition..............................................................
10.78
Entry products of.......................................................
10.78
Limited to American vessels.............................................
4.96
Products of--Definition.................................................
10.78(d)
FISHING VESSELS TOUCHING AND TRADING AT FOREIGN PLACES--Permit form.....
4.15
FLAT RATE OF DUTY.......................................................
148.102
FLIES, ARTIFICIAL, ENTRY PROCEDURE......................................
12.29
FLORENCE AGREEMENT......................................................
10.114
FLUXING MATERIAL, ENTRY REQUIREMENTS....................................
10.98
FOODS, IMPORTATION PROCEDURE............................................
12.1, 12.3-12.5
FORCED LABOR, MERCHANDISE PRODUCED BY...................................
12.42-12.45
FORCED LANDING, AIRCRAFT................................................
122.35
FOREIGN ASSETS CONTROL..................................................
12.150, 145.56, 161.2
FOREIGN CERTIFICATE OF INSPECTION, MATCH IMPORTATIONS...................
12.34
FOREIGN CERTIFICATE OF ORIGIN, MERCHANDISE NOT PRODUCED BY CONVICT,
FORCED, OR INDENTURED LABOR, WHEN.......................................
12.43, 12.44
FOREIGN CORPORATION, ENTRY OF MERCHANDISE BY............................
141.18
FOREIGN INLAND FREIGHT..................................................
152.103(a)(5)
FOREIGN MILITARY PERSONNEL AND IMMEDIATE FAMILIES.......................
148.90
FOREIGN REPRESENTATIVES
Diplomatic pouches, bags and mail.......................................
145.38, 148.83, 145.2
Free entry privilege....................................................
148.81, 148.82, 148.85, 148.89
Mail for................................................................
145.2
FOREIGN TRADE STATISTICS................................................
18.25(c), 113.62(b)(3), 141.0a(b) and (d)(2), 141.92(a)(2)
FOREIGN TRADE ZONES.....................................................
Part 146
Application, zone, who may file.........................................
146.9, 146.32
Carriers, use of zone by................................................
146.12
Changes.................................................................
146.7
Customs, control of merchandise in......................................
146.51
Customs forms and procedures............................................
146.13
Importer security filing................................................
146.32, 149.1
Merchandise
Admission of, procedure for.............................................
146.10, Part 146, subpart C
Appraisement and tariff classification..................................
146.65
Destruction or exhibition of............................................
146.52
Exportation of, direct..................................................
146.67
[[Page 1025]]
Manipulation or manufacture of..........................................
146.52
Permitted in a zone.....................................................
146.31
Release and removal from zone...........................................
146.71
Seals; authority of operator to break or affix..........................
146.8
Sending of into Customs territory.......................................
146.61-146.68
Shortages and overages..................................................
146.53
Transfer of to another zone.............................................
146.66
Transportation of to a zone.............................................
146.11
With Zone status of
Nonprivileged domestic..................................................
146.43
Nonprivileged foreign...................................................
146.42, 146.65
Privileged domestic.....................................................
146.43
Privileged foreign......................................................
146.41, 146.65
Zone restricted.........................................................
146.44
Transfer into Customs territory.........................................
146.70
Penalties...............................................................
146.81
Port director as board representative...................................
146.2
Retail trade within a zone..............................................
146.14
Revocation of zone grant................................................
146.83
Suspension..............................................................
146.82
Supplies, equipment, and repair material for vessels or aircraft........
146.69
FOREIGN VESSELS, BOARDING OR SEARCH.....................................
162.3
FORFEITURES
Actions for--Property valued in excess of $10,000.......................
162.32
Appraisement of merchandise subject to forfeiture.......................
162.43
Controlled substances, narcotics and marihuana..........................
162.61
Compromise of claims....................................................
161.5
Copyrights, trademarks; procedures......................................
Part 133, subpart F
Destruction of, in lieu of sale.........................................
162.46, 162.50(c)
Disposition of goods summarily forfeited................................
162.46
Expenses of seizure and forfeiture......................................
162.51
Importations contrary to law............................................
162.22
Notice of, to offender and prepenalty notice............................
162.31
Passengers baggage......................................................
148.18
Prior disclosure........................................................
162.74
Prohibited importation of immoral articles..............................
12.40-12.42
Release of, upon payment of appraised value.............................
162.44
Relief..................................................................
133.51
Remission or mitigation of, by port director, when......................
171.21-171.24
Remission or mitigation of--Petitions...................................
162.31, 162.32, 171.11-171.33
Reports to U.S. Attorney--When required.................................
162.32(c), 162.47(d), 162.49
Sale of.................................................................
162.45, 162.46, 162.48, 162.50, 162.51, 162.52
Seizure of property subject to..........................................
162.11-162.22, 122.161, 148.18, 148.19
Smuggling or other fraudulent acts......................................
161.2
Summary--Disposition of goods...........................................
162.46, 162.48
Value not exceeding $500,000............................................
162.45, 162.46, 162.48
Value not exceeding $500,000--Filing of claim and bond to stop summary
forfeiture proceedings..................................................
162.47
[[Page 1026]]
FORMS
Reproduction or substitution............................................
4.99, 122.5
Salable.................................................................
24.14
FORMULAS, DENATURING VEGETABLE OILS.....................................
10.56
FORWARDER, FREIGHT, BONDED..............................................
18.1
FREE TRADE AGREEMENTS
Dominican Republic-Central America-United States Free Trade Agreement...
Part 10, subpart J
North American Free Trade Agreement (NAFTA) (See NORTH AMERICAN FREE
TRADE AGREEMENT)
Trade Promotion Acts
US-Colombia Trade Promotion Agreement(CTPA).............................
10, subpart T
US-Panama Trade Promotion Agreement (PANTPA)............................
10, subpart S
US-Peru Trade Promotion Agreement(PTPA).................................
Part 10, subpart Q
United States-Bahrain Free Trade Agreement..............................
Part 10, subpart N
United States-Canada Free Trade Agreement...............................
Part 10, subpart G
United States-Chile Free Trade Agreement................................
Part 10, subpart H
United States-Jordan Free Trade Agreement...............................
Part 10, subpart K
United States-Korea Free Trade Agreement................................
10, subpart R
United States-Morocco Free Trade Agreement..............................
Part 10, subpart M
United States-Oman Free Trade Agreement.................................
Part 10, subpart P
United States-Singapore Free Trade Agreement............................
Part 10, subpart I
FREEDOM OF INFORMATION ACT..............................................
103.0-103.13
FRESH FRUITS AND VEGETABLES FROM CANADA AND MEXICO--Special permit for
immediate delivery......................................................
142.21(b)
FRUIT BOXES, SHOOKS, DUTIABLE STATUS....................................
10.5
FRUIT, CONDEMNED........................................................
158.14
FRUIT JUICES--Brix values...............................................
151.91
FUR PRODUCTS
Definition..............................................................
11.12a
Labeling of.............................................................
11.12a
FURS AND FUR SKINS......................................................
12.60-12.63
FURTHER PROCESSING-VALUATION
Deductive value.........................................................
152.105(i)
G
GAME ANIMALS AND BIRDS
Killed for noncommercial purposes.......................................
10.76
Live, for stocking purposes.............................................
10.76
GAUGERS, COMMERCIAL.....................................................
151.13
GAUGING
Ethyl alcohol...........................................................
10.99
Liquors
Bulk....................................................................
11.6
Dutiable and taxable quantities.........................................
159.21
Molasses and syrups.....................................................
151.28
Petroleum products......................................................
151.41,151.42, 151.44-151.47
Warehoused goods for exportation or transportation......................
144.37
GENERAL AVERAGE LIENS...................................................
141.112
GENERALIZED SYSTEM OF PREFERENCES
ATPA....................................................................
10.207
Certificate of origin...................................................
10.173
Costs or value of materials produced in the beneficiary developing
country
Determination of........................................................
10.177(c)
Produced in the beneficiary developing country, defined.................
10.177(a)
[[Page 1027]]
When origin is questionable.............................................
10.177(b)
Country, defined........................................................
10.171(b), 10.176(a)
Country of origin
Criteria................................................................
10.176
Evidence of--certification of origin....................................
10.173(b)
Shipments valued in excess of $250......................................
10.173(a)
Direct cost of processing operations
Defined.................................................................
10.178(a)
Items included in.......................................................
10.178(a)
Items not included in...................................................
10.178(b)
Direct shipment
Evidence of
Documents required......................................................
10.174(a)
Waiver of...............................................................
10.174(b)
Imported directly, defined..............................................
10.175
Informal entry of.......................................................
143.23(g)
GENERALLY ACCEPTED ACCOUNTING PRINCIPLES--Defined, Trade Agreements Act
(1979)..................................................................
152.102(c)
GENERAL ORDER
Baggage.................................................................
4.37, 148.7
Defined.................................................................
127.4
Merchandise
Immediate transportation entry, forwarding under........................
18.11
Period, how calculated..................................................
4.37
When to be sent.........................................................
4.37
Period of, defined......................................................
127.4
Weighing merchandise before deposit in warehouse........................
4.37
Withdrawal from general order for entry or exportation..................
127.2
Withdrawal of less than single lot......................................
127.2(c)
GIFTS
Baggage in..............................................................
148.33(c), 148.44
Bona fide, not exceeding $100 in value..................................
10.152, 10.153, 145.32
Flat rate of duty for noncommercial importations of limited value.......
Part 148, Subpart J
GOBELIN TAPESTRIES......................................................
10.54
GOLD ARTICLES, FALSE MARKING OF--Penalty................................
11.13
GOVERNMENT, IMPORTATIONS LIQUIDATION....................................
10.104, 141.102(d)
GOVERNMENT PROCUREMENT; COUNTRY OF ORIGIN DETERMINATIONS................
Part 177, Subpart B
GOVERNMENT VESSELS
Manifest of passengers and baggage......................................
4.5
GREAT LAKES, U.S. PORTS ON--Vessels trading between such ports and other
ports of U.S............................................................
4.83
GUAM
Customs administration of...............................................
7.2
Exports to--Drawback....................................................
191.5, 191.81, 191.131, 191.151
Imports in..............................................................
7.2(b)
Not within Customs territory of U.S.....................................
7.2(a)
Unaccompanied shipments from............................................
Part 148, Subpart K
GUANO BROUGHT IN VESSELS ENGAGED IN COASTWIDE TRADE.....................
4.84
[[Page 1028]]
GUANTANAMO BAY NAVAL STATION
Drawback, foreign territory for.........................................
191.5, 191.13, 191.131, 191.151
Importations from.......................................................
7.11
GUNPOWDER, EXPORTATION OF, ON ARRIVAL...................................
18.25
H
HAITIAN HEMISPHERIC OPPORTUNITY THROUGH PARTNERSHIP ENCOURAGEMENT ACT
(``Haiti HOPE I and II'')...............................................
Part 10, subpart O
HARBOR MAINTENANCE FEE..................................................
24.24
Payment and refund request..............................................
24.24
HEADQUARTERS PORTS, LIST OF.............................................
101.3
HELIUM GAS, CONTROLLED EXPORTS--Seizure.................................
161.2
HOLIDAYS
Definition..............................................................
24.16
National, list of.......................................................
101.6
HONEY BEES AND SEMEN....................................................
12.32
HORSES
Exported for racing.....................................................
10.66
Exported for temporary exhibition.......................................
10.66, 10.67
Taken abroad temporarily; tariff status on return.......................
148.31, 148.32
HOURS
Entry papers............................................................
141.62
Of business, official...................................................
101.6
Quota-class merchandise.................................................
132.3
HOUSEHOLD EFFECTS
Baggage.................................................................
148.31, 148.51
Definitions.............................................................
148.52, 148.74
Diplomatic, consular and military personnel, foreign representatives,
etc.....................................................................
Part 148, Subpart I
Entry of, not accompanying the importer.................................
148.6
Entry, requirements on..................................................
148.6, 148.52
Military, civilian employees of U.S., and evacuees......................
148.74
Noncommercial importations of limited value.............................
Part 148, subpart J
Reliquidation of entry..................................................
173.5
Used abroad, definition.................................................
148.52
HOUSES OF WORSHIP, STAINED OR PAINTED GLASS WINDOWS.....................
10.52
I
IDENTICAL MERCHANDISE--Defined, Trade Agreements Act (1979).............
152.102(d)
Transaction value of....................................................
152.104
IDENTIFICATION CARDS
Cartmen's employees.....................................................
Part 112, subpart D
Customs employees.......................................................
101.8
Customs Security Areas..................................................
Part 122, subpart S
IDENTIFICATION NUMBER...................................................
24.5
IMMEDIATE DELIVERY OF ARTICLES PRIOR TO ENTRY...........................
Part 142, subpart C
IMMEDIATE DELIVERY OF ARTICLES PRIOR TO ENTRY--U.S. Government
importations............................................................
10.100-10.104
[[Page 1029]]
IMMEDIATE TRANSPORTATION WITHOUT APPRAISEMENTS
By aircraft.............................................................
122.92(b)
Consolidated shipments..................................................
18.11(g)
Form of entry...........................................................
18.11(h)
From general order warehouse............................................
18.11(a)
Livestock shipments.....................................................
18.11(d)
Procedure at destination................................................
18.12, 151.9, 151.7
Procedure at port of origin.............................................
18.11(c)
Restricted products.....................................................
18.11(e)
Splitting shipments at port of origin...................................
122.92(d), 18.11
To other than a port of entry...........................................
18.11(c)
Unclaimed merchandise, entry permitted when.............................
18.12
Value stated on entry...................................................
18.11(e)
When consumption or warehouse entry may be accepted.....................
141.55
Who may make entry......................................................
18.11(b)
IMMIGRANTS, PROFESSIONAL BOOKS--Tools of trade..........................
148.53
IMMORAL ARTICLES--Importation prohibited................................
12.40,12.41
IMPORTATIONS
Atomic energy material, equipment, and devices..........................
161.2
Contiguous country, from................................................
123.0-123.9, 123.63
Contrary to law.........................................................
161.2, 162.11, 162.22
Controlled--Penalty.....................................................
161.2
Copyright articles......................................................
133.42-133.44, 133.46
Date of, definition.....................................................
101.1
Engines, nonroad........................................................
12.74
Mail....................................................................
Part 145
Narcotics and certain other drugs--Requirements--Penalties..............
12.36, 161.2, 162.61
Noncommercial importations of limited value.............................
148.101-148.106
Temporarily free of duty, metal articles................................
54.5, 54.6
Trademarked articles....................................................
133.21-133.24
U.S. Government, for....................................................
10.100-10.104
IMPORTATIONS BY STATES ARE DUTIABLE.....................................
141.1
IMPORTER
Identification number...................................................
24.5
Liability of, for duty..................................................
141.1
Refund of excessive duties or taxes.....................................
24.36
Request for value information...........................................
152.26
Warehouse designated by.................................................
144.11(c)
IMPORTER SECURITY FILING
Automated Broker Interface (ABI)........................................
143.1
Bonds...................................................................
113.62, 113.63, 113.64, 113.73, Appendix D - Part 113, 149.5
Break bulk cargo exemption..............................................
149.4
Bulk cargo exemption....................................................
149.4
Data elements...........................................................
149.3
Definitions.............................................................
149.1
Eligibility to file.....................................................
149.5
Entry and entry summary (unified filing)................................
149.6
Flexible requirements...................................................
149.2
Foreign trade zones.....................................................
146.32, 149.1
Freight remaining on board (FROB).......................................
149.3
Immediate exportation shipments.........................................
18.5, 149.3
Powers of attorney......................................................
149.5
Requirement.............................................................
149.2
[[Page 1030]]
Transmission............................................................
149.2
Transportation and exportation shipments................................
18.5, 149.3
Unified filing..........................................................
149.6
Updates.................................................................
149.2
Verification............................................................
149.2
Withdrawal..............................................................
149.2
IMPURITIES, DUTY ALLOWANCE, WHEN........................................
158.13
IN BOND SEALS, PROCURING AND ACCOUNTING.................................
24.13
INCONSISTENT CUSTOMS DECISIONS..........................................
177.13
INDENTURED LABOR, MERCHANDISE PRODUCED BY--Importations prohibited......
12.42-12.45
INEDIBLE FATS--Exportation..............................................
4.61, 4.72
INFORMAL ENTRIES
Generalized system of preferences.......................................
143.23
Information to be shown on--Form........................................
141.82(d), Part 143, subpart C
Liquidation of..........................................................
159.10
Procedure...............................................................
143.23-143.28
INFORMATION AS TO VALUES; FURNISHED TO IMPORTERS........................
152.26
INFORMATION, CLASSES OF CUSTOMS DOCUMENTS EXEMPT FROM DISCLOSURE........
103.12
INFORMATION COLLECTION REQUIREMENTS, APPROVAL OF........................
Part 178
INFORMATION, FREEDOM OF.................................................
103.0-103.13
INFORMATION, RESTRICTED
Fines, Penalties........................................................
103.32
Foreign agents..........................................................
103.33
Sanctions...............................................................
103.34
INFORMATION SUBJECT TO RESTRICTED ACCESS................................
Part 103, subpart C
INFORMERS
Awards of compensation to...............................................
161.12, 161.14-161.16
Claim for compensation--Form............................................
161.12
Confidentiality of identity.............................................
161.15
INFRINGING COPIES--Definition...........................................
133.42
INLAND FREIGHT, FOREIGN.................................................
152.103(a)(5)
INSECTICIDES, IMPORTATION PROCEDURE.....................................
12.1, 12.3
INSOLVENT DEBTORS--Duty due U.S. is a preferred claim...................
141.1
INSPECTION AND SEARCH OF TRUNKS, VEHICLES, ETC., FROM CONTIGUOUS COUNTRY
123.63
INSPECTION OF CUSTOMS RECORDS...........................................
103.0-103.11
INSPECTION OF MERCHANDISE
By importer prior to entry..............................................
151.4, 151.5
Centralized examination stations........................................
Part 118
Exported merchandise....................................................
161.2
Meat and meat food products.............................................
12.8, 12.9
INSPECTION OF PERSONS, BAGGAGE, AND MERCHANDISE ON BOARD VESSELS AND
VEHICLES................................................................
162.3-162.7
INSPECTION OF VESSELS
Certificate
Required................................................................
4.66
Verification............................................................
4.61, 4.66
INSTALLMENT SHIPMENTS, INVOICES FOR.....................................
141.82
INSTITUTIONS
Character of, evidence as to............................................
10.43
[[Page 1031]]
INSTRUMENTS AND APPARATUS FOR EDUCATIONAL AND SCIENTIFIC INSTITUTIONS
(``Florence Agreement''), General provisions............................
10.114
INSTRUMENTS OF INTERNATIONAL TRAFFIC....................................
10.41(a)
INSULAR POSSESSIONS, CUSTOMS RELATIONS..................................
7.2, 191.5
Drawback................................................................
191.5
Duty....................................................................
148.101, 148.102, Part 148, subpart K
Guantanamo Bay Naval Station............................................
7.11
Puerto Rico, spirits, wines, and coffee.................................
7.1
INTERCOASTAL RESIDUE CARGO PROCEDURE....................................
4.83, 4.85, 4.86, 4.89
INTEREST CHARGES ON CERTAIN BILLS.......................................
24.3a
INTERIM (A)(1)(a) LIST..................................................
Appendix to Part 163
INTERNAL ADVICE.........................................................
177.11
INTERNAL-REVENUE MARKS, ERASURE OF, AT EXPENSE OF IMPORTER..............
10.4
INTERNAL-REVENUE REQUIREMENTS
Cigarette papers, and tubes.............................................
11.3, 159.5
Cigars, cigarettes, medicinal preparations, and perfumery...............
11.1
Distilled spirits.......................................................
11.6, 11.7, 134.21, 159.4
Tobacco.................................................................
11.2
INTERNAL-REVENUE TAXES
American goods returned.................................................
10.3
Bill to importer for taxes due--Form....................................
24.11
Carrier liable for, shortage, etc.......................................
18.8
Computation of, upon liquidation........................................
159.4, 159.6, 159.21(b)
Destruction of articles subject to......................................
127.28(e)-(g)
Diplomatic, consular and military personnel, foreign representatives,
etc., exempt from.......................................................
148.89, 148.90
Ethyl alcohol for nonbeverage purposes, conditionally exempt from.......
10.99
Forfeited or unclaimed goods............................................
127.28, 162.45
Importations having a value not exceeding $200..........................
10.151
Liquor in passengers' baggage...........................................
148.26, 148.27, 148.51, 148.64
Liquor--Taxable quantity................................................
159.21
Merchandise subject to seizure..........................................
148.18, 148.19
Refund of...............................................................
24.36
Regauge of liquors for assessment of....................................
159.21(b)
Sale of articles subject to.............................................
127.28
Supplies for vessels exempt from........................................
10.59
Tobacco and tobacco products in baggage of nonresident..................
148.43
Tobacco products for consumption on vessel or aircraft..................
10.65
INTERNATIONAL CUSTOMS CONVENTIONS, PURSUANT TO CARGO CONTAINER AND ROAD
VEHICLE CERTIFICATION...................................................
Part 115
INTERNATIONAL (Public) ORGANIZATIONS....................................
148.87, 148.88
INTERNATIONAL TRAFFIC...................................................
10.41, 10.41a, 10.41b, Part 123, subpart B
INTERSTATE COMMERCE COMMISSION, MERCHANDISE SHIPPED IN BOND, EXAMINATION
BY......................................................................
18.9
IN-TRANSIT MERCHANDISE..................................................
Part 123, subparts A-F
[[Page 1032]]
Restricted and prohibited merchandise...................................
18.21-18.23
Through contiguous foreign territory
Animals.................................................................
123.24(a)(3), 123.27
Authority for...........................................................
123.21
Manifest--Form, contents and disposition of.............................
123.21, 123.22, 123.25
Procedure at port of exit...............................................
123.22(a), 123.28
Procedure at port of reentry............................................
123.29
Sealing of..............................................................
123.24
Seals, in bond or in transit, breaking of...............................
123.21, 123.26, 123.29
Storage in foreign territory............................................
123.26(b)
Train consist sheets....................................................
123.23, 123.29
Transshipment in foreign territory......................................
123.26
Through U.S. between ports of a contiguous foreign country..............
Part 123, subpart D, 123.52, 123.64
IN-TRANSIT SEALS, PROCURING AND ACCOUNTING PROCEDURE....................
24.13
INVENTORIES OF TOBACCO PRODUCTS FOR CONSUMPTION ON VESSELS OR AIRCRAFT..
10.65
INVENTORY, RAILWAY SUPPLIES, INTERNATIONAL TRAINS.......................
123.11
INVESTIGATORY FILES--Disclosure of information..........................
103.10(g)
INVOICES
Additional information, when required...................................
141.86, 141.89
All invoices with entry to be numbered consecutively....................
141.86(h)
Baggage declarations, special or commercial invoices....................
148.23(c)
Bond for, canceled by photocopy.........................................
141.84(e)
Commercial
Bond for production of..................................................
141.91(d)
When required...........................................................
141.83, 141.92
Cost of production, when to be shown on.................................
141.88
Cotton..................................................................
151.82
Duty rates to be noted..................................................
141.90
Entry of merchandise....................................................
Part 141, subpart F
General requirements on.................................................
141.86
Goods arriving within a period of 10 days...............................
141.82
Information required on.................................................
141.86-141.92
Mail shipments..........................................................
145.11
Merchandise found not to correspond with invoice description............
152.3
Merchandise, list of, requiring special information.....................
141.89
Multiple................................................................
141.61(f)
Photocopies from, for entry purposes....................................
141.84
Pro forma...............................................................
141.82, 141.84, 141.85, 141.91, 141.92, 142.22
Required on entry
Exceptions..............................................................
141.83, 141.91, 141.92
Single shipment to be covered...........................................
141.81, 141.82(a), 141.84
Requirements............................................................
142.6
Separate sheets to be numbered..........................................
141.86(h)
Single..................................................................
141.61(f)
[[Page 1033]]
Special
Bond for productions of.................................................
141.91, 141.92
Entry procedures........................................................
143.27
When required...........................................................
141.83
Time limit, failure to produce--Liquidated damages......................
172.22
Wool and hair...........................................................
151.62
INWARD CARGO, ACCOUNTING FOR............................................
4.61, 4.62
IRREGULAR DELIVERY OF BONDED MERCHANDISE................................
18.6
J
JEWELRY AND ARTICLES OF PERSONAL ADORNMENT EXEMPTIONS, SALE OF..........
148.46
JOHNSTON ATOLL..........................................................
7.2, 191.5
JORDAN FREE TRADE AGREEMENT (See, UNITED STATES-JORDAN FREE TRADE
AGREEMENT)
JUICES, FRUIT--Brix values..............................................
151.91
JUDICIAL REVIEW.........................................................
103.9, 112.30(f), 151.12(g) and (k), 151.13(e) and (i), 174.31, Part 176
Disclosure of information...............................................
Part 103, subpart B
K
KIMBERLEY PROCESS CERTIFICATE...........................................
12.152, 163.2, 178.2
KINGMAN REEF............................................................
4.0, 4.21, 122.0, 134.1, 191.5, 191.101, 191.151
UNITED STATES-KOREA FREE TRADE AGREEMENT (See, FREE TRADE AGREEMENTS)
L
LABELING
Fur products............................................................
11.12a
Textile fiber products..................................................
11.12b
Wool products...........................................................
11.12
LABELING STANDARDS......................................................
12.50
LABELS, IN BOND, IN LIEU OF CORDS AND SEALS--Form.......................
18.4
LABORATORY, COMMERCIAL..................................................
151.12, 151.14
LABORATORY TESTING (WOOL AND HAIR)......................................
151.71
LADING AND UNLADING OF VESSELS, PERMIT OR SPECIAL LICENSE FOR--Form.....
4.30
LADING, EXPORTATION IN BOND, CUSTOMS SUPERVISION........................
18.7
LADING, CERTIFICATE OF, FOR AIRCRAFT....................................
122.94
LADING OR UNLADING, VEHICLES AND VESSELS OF LESS THAN 5 NET TONS FROM
CONTIGUOUS COUNTRY, PERMITS FOR.........................................
123.8
LANDING CARGO AT OTHER THAN PORT OF DESTINATION DUE TO DISTRESS.........
4.32
LANDING CERTIFICATES
Cancellation of export bonds............................................
113.51, 113.55
Foreign merchandise destined for foreign ports--Bond....................
4.88
Temporary importation bond--Exportation.................................
10.39
Waivers.................................................................
113.55(c)(3)
[[Page 1034]]
LARGE YACHTS IMPORTED FOR SALE..........................................
4.94a
LASH-TYPE BARGES........................................................
4.81a
LAY-ORDER PERIOD, EXTENSION OF, HOW CALCULATED..........................
4.37
LEASE, ARTICLES UNDER, EXPORTED AND REIMPORTED..........................
10.108
LEATHER ARTICLES........................................................
10.198a
LETTERS, SEARCH AND SEIZURE.............................................
162.4
LIBRARY OF CONGRESS
Articles for............................................................
10.46, 145.37(a)
Books, engravings, etc., conditionally free.............................
10.46, 145.37(b)
LICENSE FOR CERTAIN WORSTED WOOL FABRIC SUBJECT TO TARIFF-RATE QUOTA....
132.18
LICENSE, SPECIAL FOR UNLADING AND LADING................................
4.30, 122.38
LICENSES
Carriers, cartmen and lightermen........................................
112.30
Cartmen and lightermen to produce.......................................
112.28
Cartmen's suspension or revocation......................................
112.30
CES; revocation.........................................................
118.21
Customs brokers.........................................................
111.0
Revocation..............................................................
Part 111, subpart D
Gaugers revocation......................................................
151.13
Importations in vessel less than 30 net tons............................
4.100
Laboratories; revocation................................................
151.12
Yachts, pleasure, when required.........................................
4.94
LICENSING AND BONDING OF CARTMEN AND LIGHTERMEN.........................
Part 112, subpart C
LIENS
Discharge of............................................................
141.112
Duty constitutes........................................................
141.1
Freight and other charges...............................................
141.112(a)(1), 171.44
Payment from proceeds of sales..........................................
127.31
Seized property--Awarded for official use--Payment of liens.............
171.44
LIGHTERAGE..............................................................
Part 112, subparts A, C and D; 125; 127.32
LIGHTERMEN, designation of, on warehouse entry..........................
144.11
LIGHTERMEN'S BOND.......................................................
113.63
LIGHTERS, ETC., MARKING OF LICENSED.....................................
112.27
LIGHT MONEY
Exemptions..............................................................
4.21
Payment of--Certificate, form...........................................
4.23
Refund of...............................................................
4.24
Table, classes of vessels...............................................
4.20
LIQUIDATED DAMAGES
Bonded cartmen, failure to remove marking...............................
112.27(d)
Carnets, fraud, violation, or abuse of privileges.......................
114.33, 114.34
Copyrights, trademarks..................................................
Part 133, subpart F
Decisions not protestable...............................................
172.22
Failure to petition for relief..........................................
172.2
Free withdrawal of supplies.............................................
10.59
Notice of liquidated damages incurred...................................
172.1(a)
Petition for relief.....................................................
133.51, Part 172, subparts A-C
[[Page 1035]]
Return to Customs custody, failure to...................................
10.39(e), 141.113(g)
Temporary importation bond--Application for relief......................
10.39(e)
Temporary importation bond, assessment under............................
10.39
Under carrier's bond....................................................
18.8
LIQUIDATION
Appraisement entries....................................................
159.9
Articles not specified on invoice.......................................
152.3
Baggage entries.........................................................
159.10
Bonded merchandise--Shortages...........................................
18.6
Bulletin notice--Forms..................................................
159.9, 159.10
Change in rate of duty by
Congress or presidential proclamation...................................
152.17
Court decision..........................................................
152.16
Headquarters decisions..................................................
174.27, 174.29, 175.22, 177.10
Classification, change in...............................................
152.2
Clerical errors, correction of..........................................
Part 173
Commingling of goods....................................................
152.13
Computation of duties...................................................
141.104, 159.1, 159.3, 159.4, 159.6
Conditionally free--Failure to produce missing documents................
172.22
Conversion of currency..................................................
Part 159, subpart C
Courtesy notice.........................................................
159.9(d)
Currency, basis for conversion of.......................................
159.35
Deemed..................................................................
159.1
Difference between estimated and liquidated duties......................
159.6
Effective date of rate of duty..........................................
152.16, 159.7(b), 177.10
Entries
Discrepancy on--New entry required......................................
152.3
Drawback................................................................
191.71
Informal................................................................
159.10
Mail....................................................................
159.10
Protest.................................................................
145.22(c)
Merchandise entered by false documents and seized.......................
162.80
Rewarehouse.............................................................
159.7
Subject to--Exceptions..................................................
159.2
Stamped with date.......................................................
159.9(c)
Visual or auditory materials, suspension................................
10.121(b)
Warehouse...............................................................
159.9, 159.21, 159.52
Withdrawals.............................................................
159.9
Evidence................................................................
159.9(c)
Excessive duties or taxes paid, notice of refund of--Form...............
24.36
Exportation, date of....................................................
159.32
Extension of time.......................................................
159.12
Fractional parts of dollar or unit of quantity..........................
159.3
Instruments and apparatus...............................................
10.114
Internal revenue taxes, computation of..................................
159.4, 159.21
Merchandise manipulated in warehouse....................................
159.21(a)
Method of...............................................................
159.3-159.10
Net weight, when basis for..............................................
159.21, 159.22
Notice of...............................................................
159.9, 159.10
Operation of law........................................................
159.11
Protests against........................................................
174.11, 174.12, 174.14
[[Page 1036]]
Accelerated disposition of
Rates of exchange.......................................................
159.31, 159.38
Required................................................................
159.2
Shortages, allowance of.................................................
18.6, 158.2-158.6
Smelting or refining of metal-bearing materials, entries of.............
151.55
Special duties..........................................................
Part 159, subpart D
Suspension of...........................................................
159.51-159.53, 159.54, 159.55
Weight, gauge, or measure...............................................
159 subpart B
LIQUORS
Aircraft kits...........................................................
Part 122, subpart M
Baggage of diplomatic officials or other representatives................
148.81, 148.82, 148.87-148.90
Blending, permit requirements...........................................
12.37
Bottles and similar containers, imported................................
11.7
Bottling, permit requirements...........................................
12.37
Bulk importations (in casks and similar containers).....................
11.6
Certificate for shipments on small vessels--Penalty.....................
4.13
Crewmembers' declarations and exemptions................................
148.66
Distilled spirits and wines shipped to Puerto Rico......................
7.1
Foreign military personnel, exemptions..................................
148.90
Importation restricted, permits.........................................
12.37
Labeling packages, requirements--penalty................................
12.38
Nonresidents............................................................
148.43
Quantities dutiable or taxable..........................................
159.21
Residents...............................................................
148.33
Strip stamps for bottled................................................
11.6, 11.7
Taxes, internal revenue.................................................
148.26(b)
LITERATURE, TREASONABLE, ETC.--Importation prohibited...................
12.40, 145.51
LIVESTOCK
Exported for exhibition, return--Entry requirements.....................
10.66
Immediate transportation restricted.....................................
18.11
LOAD-LINE REGULATIONS...................................................
4.61, 4.65a
LOCOMOTIVES
Domestic, repaired in foreign country--Dutiable status..................
123.13
Foreign, operating in U.S.--Entry of, when not required.................
123.12
LOSS OF MERCHANDISE IN PUBLIC STORES....................................
158.26
LOTTERY MATTER, MAIL IMPORTATIONS, PROHIBITION..........................
145.51, 146.1
LUMBER, SOFTWOOD FROM CANADA............................................
12.140
LUMBER, SOFTWOOD FROM ANY COUNTRY.......................................
12.142
M
MACHINERY, EXAMINATION OF, AT MILL OR FACTORY...........................
151.8
MAIL
Absolute quota merchandise..............................................
Part 132, subpart C
Books, engravings, etc., for Government departments or agencies.........
145.37
Books or other articles imported for institutions.......................
145.36
Carnets not accepted for importation by mail............................
114.31(a)
Carriage on vessels.....................................................
4.61
[[Page 1037]]
Cigars..................................................................
11.1, 11.2, 145.13
Commercial shipments, invoice requirements..............................
145.11(b)
Copyright, articles marked for..........................................
145.37
Customs declarations and invoices required..............................
145.11(a)
Diplomatic pouches, official documents..................................
145.38
Duties, refund of.......................................................
Part 145, subpart C
Entry
Examination of..........................................................
145.2, 145.3
Firearms................................................................
145.53
Formal..................................................................
145.12(a)
Forms...................................................................
145.12(e)(2)
Free, conditionally.....................................................
10.43, 10.46, 145.12(d), 145.35-145.39, 145.41
Gifts valued not over $100..............................................
145.32
Informal................................................................
145.12(b)
Institutions, free list of; books, music, etc., for.....................
10.43, 145.36,
Internal revenue tax on mail entries....................................
11.1(a), 145.13
Liquidation of..........................................................
159.9, 159.10
Lottery matter..........................................................
145.51
Marking requirements law (Search for letters)...........................
162.4
Personal and household effects..........................................
145.34
Plant material for export...............................................
145.40, 145.57
Plants and plant products...............................................
145.57
Prohibited or restricted articles, disposition of.......................
145.4, Part 145, subpart E
Protests................................................................
145.22, 145.23
Rates of duty in effect.................................................
145.12(b)(2)
Reading of correspondence, when prohibited..............................
145.2, 145.3
Review of...............................................................
Part 145, subpart C
Search for letters......................................................
162.4
Search warrant to read foreign mail.....................................
145.3
Seizure of, addressee to be notified....................................
145.59(b)
Seizure, when imported contrary to law..................................
145.4, 145.59
Separate shipments, combining for entry.................................
145.12(a)(3)
Shipments not exceeding $200 in value...................................
145.31
Trademarks, trade names and copyrights..................................
145.55
Tools of trade..........................................................
145.34
Undeliverable, detention and disposition of.............................
145.5
U.S. Government offices or officials, articles for......................
145.12(c)
Value exceeding $2,000, entry of........................................
145.12(a)(2)
Value not more than $200................................................
145.31
When not exceeding $2,000 in value......................................
145.4, 145.12(b), 145.41
Exportations
Continuous Customs custody..............................................
145.71
Imported articles, remission of duties, when............................
145.40, 145.71, 145.72
Plant material..........................................................
145.40
Waiver of right to withdraw.............................................
145.71(b)
Fees, dutiable mail.....................................................
24.22(f)
Foreign representatives, for............................................
145.2(b)(3), 145.38, 145.39, 148.83, 148.85
Importations
Abortion and contraceptive matter.......................................
145.52
[[Page 1038]]
Absolute quota merchandise..............................................
Part 132, subpart C
Addressee dissatisfied with duties assessed.............................
Part 145, subpart C
Administrative review of mail entries...................................
Part 145, subpart C
Alcoholic beverages, nonmailable........................................
145.54
American, Samoa, Guam, or Virgin Islands, from..........................
Part 148, subpart K
MAIZE SEED--Reduced rate................................................
10.57
MANIFESTS
Air commerce............................................................
122.22(b), 122.49a, 122.49b, 122.49c, 122.75a, 122.75b
Amendment of, bulk cargo................................................
4.12
Baggage
Domestic, through contiguous foreign territory..........................
123.21, 123.65
Foreign, from contiguous foreign territory..............................
123.3-123.5
In bond--Form...........................................................
18.13
In transit through U.S..................................................
18.14, 123.64
Boarding vessels for examination of.....................................
162.3
Cargo, departure with to noncontiguous territory........................
4.84
Cargo from wrecked vessel...............................................
4.41
Cargo, vessels trading between U.S. ports on Great Lakes and other U.S.
ports...................................................................
4.83
Coastwise, vessel touching at foreign port..............................
4.82
Commercial travelers' samples
Accompanied through Canada and return...................................
10.68, 123.21, 123.51
Accompanied through U.S. and return to Canada...........................
10.68, 123.21, 123.52
Confidential treatment of information...................................
103.31(d)
Contiguous countries, vehicles and vessels less than 5 net tons, from--
Form....................................................................
123.3, 123.4, 123.7
Delivery to boarding officer............................................
4.7
Discrepancies in--Penalty...............................................
4.12
Diversion of cargo from port shown on, amendment of.....................
4.33
Entry of merchandise; line release......................................
142.46, 142.48
Failure to manifest articles when required..............................
4.7a(b)(4)
Failure to manifest narcotic drugs or marihuana.........................
162.65
Failure to list crew's purchases........................................
4.7a(b)(4)
Form....................................................................
18.2, 122.92
Government vessel from foreign port, required...........................
4.5
In-transit
Baggage through foreign territory, form.................................
123.64, 123.65
Commercial travelers' samples
Merchandise through contiguous foreign territory, form..................
Part 123, subpart C
Merchandise through U.S., form..........................................
Part 123, subpart D
Truck procedures........................................................
123.41, 123.42
Inward Foreign
Contents, forms.........................................................
4.7
Information required and alternative forms..............................
4.7a
Shipments of containerized or palletized cargo..........................
4.7a(c)(1)
Shipper's load and count and use of term ``SLAC''.......................
4.7a(c)(2)
Merchandise transported in bond
Conveyance, manifest to accompany each..................................
18.2, 18.3
[[Page 1039]]
Disposition of..........................................................
18.2
Merchandise valued not over $250 unconditionally free, manifest used as
entry...................................................................
123.7
Outward foreign
Before clearance........................................................
4.61, 4.63, 4.75
Incomplete, bond........................................................
4.75
Passenger--Unaccompanied baggage on board vessel........................
4.7a(e)(4)
Permit, used as.........................................................
18.2
Prematurely discharged or overcarried cargo, form.......................
4.34
Refusal of master to produce to boarding officer, penalty...............
4.7
Sea and ships' stores, etc., when to be manifested......................
4.7, 4.7a
Special manifest........................................................
18.10a
Transit air cargo procedures............................................
Part 122, subpart L
Transshipment of........................................................
18.3
Vehicles................................................................
123.3, 123.4
Vessels
Discrepancies, and corrections..........................................
4.12
In trade with noncontiguous territory...................................
4.84
Inward foreign--Forms, contents.........................................
4.7
Overage of cargo--Form..................................................
4.12, 4.62
Proceeding foreign via domestic ports...................................
4.87
Shortage of cargo--Form.................................................
4.12, 4.62
Vessels and vehicles, examination of....................................
162.3
MANIPULATION IN WAREHOUSE OR ELSEWHERE..................................
19.11
MANIPULATION OUTSIDE BONDED WAREHOUSE, EXPENSES OF......................
24.17(a)(8)
MARIHUANA AND NARCOTIC DRUGS
Permit to unlade, penalty...............................................
162.66
Unmanifested, penalty...................................................
162.65
When permissible on vessels, aircraft and individuals...................
162.62
MARINE PRODUCTS, CONDITIONALLY FREE.....................................
10.78
MARITIME ADMINISTRATION, VESSELS OF, EXEMPT FROM PENALTIES..............
162.22(e)
MARKING
Bolting cloth for milling purposes......................................
10.58
Containers, foreign substantial, for reimportation......................
10.7
Corn or maize, seed.....................................................
10.57
Country of origin.......................................................
Part 134
Additional duties.......................................................
134.2
Articles repacked or manipulated........................................
134.26, 134.34
Articles subject to marking.............................................
Part 134, subpart B
Certificate of marking..................................................
134.52
Compensation for services of Customs officers and employees.............
134.55
Containers and holders, marking of......................................
Part 134, subpart C
Definition of...........................................................
134.1(b)
Delivery withheld.......................................................
134.3
Exceptions to marking...................................................
Part 134, subpart D
Filing of false certificate, penalty....................................
134.52(d)
Intentional alterations, penalty........................................
134.4
Liquidated damages......................................................
134.54
Notice to mark or redeliver, form.......................................
134.51(a)
[[Page 1040]]
Requirements and methods of marking.....................................
Part 134, subpart E
Specific articles, method of marking....................................
134.43
Ultimate purchaser, defined.............................................
134.1(d)
Watches, clocks, and timing apparatus...................................
11.9, 134.43(b)
Customs officers, compensation of.......................................
24.17, 134.55
Disposition of articles not properly marked.............................
134.51-134.54
Drums of foreign manufacture exported...................................
10.7
Duties..................................................................
159.46
Furs, other skins or seal skins.........................................
12.61-12.63
Gold or silver articles, false, penalty.................................
11.13
Labeling................................................................
11.9, 11.12, 11.12a, 11.12b, 11.13
Liquor packages, penalty................................................
12.38
Liquors in casks and similar containers.................................
11.6
Milk and cream containers...............................................
12.7
Packages containing merchandise produced by convict labor, penalty......
12.45
Potatoes, seed..........................................................
10.57
Vehicles and vessels....................................................
112.27
Viruses, serums, and toxins, containers of..............................
12.18, 12.22
MARKING OF LICENSED VEHICLES AND LIGHTERS, CARTAGE......................
112.27
MARKING OF PACKAGES SHIPPED BY MAIL.....................................
145.11
MASTER CREW MEMBER LIST AND MASTER NON-CREW MEMBER LIST REQUIREMENT FOR
COMMERCIAL AIRCRAFT ARRIVING IN, CONTINUING WITHIN, AND OVERFLYING THE
UNITED STATES...........................................................
122.49c
MASTER RECORDS AND METAL MATRICES.......................................
10.90
MASTER'S DECLARATION--Repairs and equipment obtained abroad.............
4.14
MASTER'S OATH, CLEARANCE OF VESSEL ON--Form.............................
4.63
MATCHES, WHITE PHOSPHORUS--Importation prohibited.......................
12.34
MEASUREMENT
Cotton..................................................................
Part 151, subpart F
Petroleum products......................................................
Part 151, subpart C
Sugar, syrups, and molasses.............................................
Part 151, subpart B
Wool and hair...........................................................
Part 151, subpart E
MEASURING WAREHOUSED GOODS FOR EXPORTATION OR TRANSPORTATION............
144.37(e)
MEAT AND MEAT-FOOD PRODUCTS
Entry procedure.........................................................
12.8, 12.9
Exportation of, inspection by Animal and Plant Health Inspection
Service, U.S.D.A........................................................
4.61, 4.72
MEDICINAL PREPARATIONS, STAMPING........................................
11.1
MELTING, METAL ARTICLES TO BE USED IN REMANUFACTURE BY..................
54.5, 54.6
MERCHANDISE
Abandoned, forfeited, or unclaimed goods subject to internal-revenue
tax, disposition of.....................................................
127.28(e), (f), (g)
Abandoned or destroyed
Application to abandon, form............................................
Part 158, subpart D
[[Page 1041]]
Duty allowance..........................................................
Part 158, subpart D
Appraisement entries....................................................
Part 143, subpart B
Appraisement to be made.................................................
152.101
Articles not specified on invoice.......................................
152.3
Baggage, not for personal use, in.......................................
148.23(c)
Bearing trademarks or trade names.......................................
Part 133, subpart C
Bonded
Carrier to furnish warning cards for cars, etc..........................
18.4
Diversion of Transportation entry to another port.......................
18.5
Immediate transportation without appraisement...........................
18.11, 18.12
Marking required for vehicles or lighters to carry......................
112.27
Receipt by Carrier......................................................
18.2
Sealing of conveyances, etc.............................................
18.4
Seals, removal..........................................................
18.3(d)
Shortages...............................................................
18.6
Splitting shipments at intermediate or destination port.................
18.5(d)
Transportation of.......................................................
18.1-18.7, Part 112, subpart B
Transportation of, nonbonded goods with.................................
18.4(c)
Transshipment...........................................................
18.3
Cartage and lighterage..................................................
Part 125
Cartmen's liability.....................................................
125.41, 125.42
Coastwise transportation................................................
4.80b
Commingling of--Segregation.............................................
152.13
Condemned perishable--Allowance in duty.................................
158.14
Contiguous country, from................................................
123.3-123.8
Contrary to law, imported...............................................
162.21, 162.22
Copyrighted.............................................................
Part 133, subpart E
Damaged or Defective--Duty allowance....................................
Part 158, subpart B
Designation of packages for examination.................................
151.1-151.3
Detention of............................................................
151.16
Discrepancy between shipment and invoice, liquidation...................
152.3
Dutiable, in baggage examined in foreign country........................
148.22
Duty paid, in public stores or bonded warehouses--Undelivered,
disposition.............................................................
127.14
Entry for manipulation..................................................
19.11
Entry; line release processing..........................................
Part 142, subpart D
Entry of
From vessel sunk for 2 years............................................
4.41(c)
Unclaimed, before sale..................................................
127.14
Entry, when and when not required.......................................
141.4, 10.151-10.153, 148.62(b), 148.85-148.88
Examination of, prior to entry, inspection charges......................
151.5
Excessive moisture and other impurities--Duty allowance.................
158.13
Exportation of, final port, in transit..................................
123.28
Exported contrary to law, seizure.......................................
161.2(b)
Exported for
Alterations or repairs..................................................
10.8
[[Page 1042]]
Exhibition, return of...................................................
10.66
Scientific or educational purposes, return..............................
10.67
Exported from Customs custody...........................................
158.45
Fee, ad valorem merchandise.............................................
24.23
Foreign, destined to foreign countries via U.S. port....................
4.88, 4.89
Foreign military personnel and their immediate families.................
148.90
Foreign representative, free entry privilege............................
Part 148, subpart I
Forfeited
Remission or mitigation of fine, penalty, and forfeiture--Petitions.....
162.32, Part 171, subparts B-D
Sold, petition for restoration of proceeds..............................
Part 171, subpart E
Forfeiture
Failure to declare in baggage, penalty..................................
148.18
Prohibited importation of immoral articles..............................
12.40-12.41
Sale....................................................................
162.45-162.48
General order procedure.................................................
4.37
Government importations.................................................
141.102(d), 10.100-10.104, 145.37
Immediate delivery, special permit for..................................
Part 142, subpart C
Importation date........................................................
101.1
Imported in vessels of less than 30 net tons............................
4.100
Importing contrary to law...............................................
162.22
Informal entry of, information to be shown..............................
Part 143, subpart C
Institutions, articles--Conditionally free..............................
10.43
In transit through contiguous foreign territory
Authority for...........................................................
123.21(c)
Manifest--Form, contents, and disposition...............................
Part 123, subpart C
Procedure at port of exit...............................................
123.22(a), 123.28
Procedure at port of reentry............................................
123.29
Sealing.................................................................
123.24
Seals, in bond or in transit, breaking..................................
123.21, 123.26, 123.29
Storage in foreign territory............................................
123.26(b)
Train consist sheets....................................................
123.23, 123.29
Transshipment in foreign country........................................
Part 123, subpart D, 123.52, 123.64
In transit through U.S.
Between ports of a contiguous country...................................
Part 123, subpart D, 123.52, 123.64
To foreign countries....................................................
18.20-18.24
Laden on vehicle or vessel without special license or permit............
148.67(b), 162.22
Landed, unentered, when to be sent to general order.....................
4.37
Library of Congress, articles for.......................................
10.46, 145.37
Line release processing.................................................
Part 142, subpart D
Loss of, by cartmen--Liability..........................................
125.35, Part 125, subpart E
Loss of, in public stores...............................................
Part 158, subpart C
Mail importations.......................................................
Part 145
[[Page 1043]]
Manipulated in warehouse................................................
19.11, 159.21(a)
Marking country of origin, exceptions...................................
11.9, Part 134, subparts D and E
Noncommercial importations of limited value.............................
Part 148, subpart J
Nonimportation--Duty allowance..........................................
158.11
Not properly marked, disposition of.....................................
Part 134, subpart F
Obscene, etc.--Importation..............................................
12.40, 12.41
Omission of merchandise on invoice......................................
152.3
Perishable
Inspection before entry or while in transit, inspection charges.........
151.4, 151.5
Unclaimed, sale.........................................................
127.28(c)
Place of examination....................................................
151.6, 151.7, 151.8
Proceeds of sale of, disposition of.....................................
Part 127, subpart D
Produced by convict, forced, or indentured labor--Importation prohibited
12.42-12.45
Recall..................................................................
141.113, 151.11
Recovered from wrecked vessel or as derelict, Disposition...............
4.41
Refused by consignee, when to be treated as unclaimed...................
141.1(f)
Reimported goods dutiable, exceptions...................................
141.2
Rejected
Exportation of..........................................................
158.45
Exportation of--Drawback................................................
191.42
Viruses, serums, and toxins.............................................
12.20, 12.23
Release of
In warehouse, limitation on.............................................
19.6
Nonexamination packages, form...........................................
141.102(d)
From carrier or warehouse proprietor....................................
Part 141, subpart H
When lien exists........................................................
141.112
Remaining unsold........................................................
127.29
Responsibility for, in warehouse........................................
144.2
Restricted or prohibited importations, Burmese covered articles.........
12.151
Restricted or prohibited importations, exportation......................
18.25, 18.26
Return to Customs custody--Default on bond, liquidated damages..........
141.113(g), Part 113, subpart F, Part 172, subpart C
Rewarehousing...........................................................
144.41, 144.42
Sale notices--Catalogs..................................................
127.24, 127.26
Sale
Abandoned or unclaimed..................................................
Part 127, subpart C
Forfeited...............................................................
162.46, 162.48, 162.49
Forfeited, disposition of proceeds--Expenses............................
162.51
Unclaimed perishable goods..............................................
127.28(c)
Samples, taking of prior to entry.......................................
151.4, 151.5
Sealed by Customs officer...............................................
123.24, 123.33, 18.4
Search and examination..................................................
162.6
[[Page 1044]]
Seized
Appraisement of.........................................................
162.43
By State officer--Adoption by Customs...................................
162.21
Disposition after summary forfeitures...................................
162.46
Disposition when inspection by other Government agency required.........
162.46(b)
Perishable or liable to waste or deteriorate in value--sale.............
162.48
Release
On payment of appraised value...........................................
162.44
Petition for............................................................
162.31, Part 171, subpart B, 171.22, Part 171, subpart D
Under bond--Petition to court...........................................
162.47(b), 162.49(b)
Subject to summary forfeiture
Release under bond....................................................
162.47, 162.49
Claim and bond to stop summary forfeiture.............................
162.47
Treatment of............................................................
Part 162, subpart E
Proceedings by libel....................................................
162.42
Seized and forfeited
Destruction of, when....................................................
162.46, 162.50
Disposition.............................................................
162.46, 162.48
Reports to U.S. attorneys--When required................................
162.32, 162.47(d), 162.49(a), 172.3
Sale....................................................................
162.45-162.52
State laws prohibiting sale.............................................
162.46(c)(2), 162.50
Transfer to other districts for sale....................................
162.46, 162.50
Seizure of--In passengers' baggage......................................
148.18, 148.19
Shortages--Duty allowance...............................................
158.2-158.6
Smuggled................................................................
162.22, 148.18(a)
Special marking requirements, exceptions................................
11.9, Part 134, subpart D 134.42-134.44
Special permit for immediate delivery...................................
Part 142, subpart C
State importations dutiable.............................................
141.1(e)
Summary sale............................................................
162.45 -162.48
Supplies for vessels withdrawn from warehouse...........................
10.59
Transfer to another warehouse...........................................
144.34
Transportation of, by bonded carriers...................................
Part 112, subpart B
Transported by pipeline
Abandonment of exportation..............................................
18.44
Applicability...........................................................
18.41
Direct exportation......................................................
18.42
Indirect exportation....................................................
18.43
Pipeline transportation of bonded merchandise...........................
18.31
Supervision of exportation..............................................
18.45
Unclaimed
Abandonment and sale....................................................
127.13, 127.14, Part 127, subpart C, Part 127, subpart D
Entry of................................................................
127.13(a), 127.2
Storage and other expenses, payment of..................................
127.13(b)
[[Page 1045]]
Unclaimed or in warehouse beyond the time fixed by law, disposition.....
127.11, 127.14
Undeliverable by cartmen................................................
125.36
Unentered, exportation of...............................................
158.45(a)
U.S., articles of.......................................................
145.37, 141.102(d), 10.100-10.104
Unladen from vehicle or vessel without special license or permit........
162.22
Valuation...............................................................
152.101
Value not exceeding $5..................................................
10.153(e)
Warehouse, sent to public stores--Disposition...........................
19.10
Warehouse withdrawal period.............................................
144.5
Warehouse withdrawals for exportation...................................
144.37
Warehoused, liability for duties........................................
144.2
Weighing, gauging, or measuring warehouse merchandise for exportation or
transportation..........................................................
144.37(e)
When duties accrue on...................................................
141.1
Withdrawal from warehouse for consumption--Form and procedure...........
144.38
Withdrawal from sale....................................................
127.14
Withdrawal of, by transferee............................................
144.27, Part 144, subpart C
Withdrawn for exportation but not laden, disposition of by inspector....
144.37(f)
METAL ARTICLES FOR REMANUFACTURE BY MELTING.............................
Part 54
METAL-BEARING ORES AND METAL-BEARING MATERIALS..........................
Part 151, subpart D
METAL MATRICES FOR SOUND RECORDS FOR EXPORT.............................
10.90
MEXICO
Articles repaired or altered............................................
181.64
Resident returning from--exemption......................................
148.35(a)
Vehicles, stolen, returned from.........................................
123.82
MIDWAY ISLANDS..........................................................
7.2, 7.3, 191.5
MILK AND CREAM, IMPORTATION OF--Special requirements....................
12.7
MISSING DOCUMENTS, BOND FOR.............................................
141.66
MISTAKE OF FACT.........................................................
162.71, 162.73
MITIGATION OF FINES, PENALTIES, AND FORFEITURES--Petitions..............
162.31, 162.32, Part 171, subpart B
MODELS AND PATTERNS FOR INSTITUTIONS....................................
10.43
MODELS OF WOMEN'S WEARING APPAREL--Temporary importation bond...........
10.31, 10.35
MOISTURE ALLOWANCE
Ores and metals.........................................................
151.55
Petroleum products......................................................
151.46
Raw sugar...............................................................
151.23
MOISTURE, EXCESSIVE, DUTY ALLOWANCE.....................................
158.13
MOLASSES (SEE SUGAR, SIRUPS, AND MOLASSES.)
MOROCCO FREE TRADE AGREEMENT (See, UNITED STATES-MOROCCO FREE TRADE
AGREEMENT)
MOTION-PICTURE FILMS
American goods returned.................................................
10.1
Exported and returned...................................................
10.68
Theatrical effects, not.................................................
10.33
MOTOR CARRIERS, BONDED CARRIERS, AS.....................................
18.1, 112.11, 112.12(b)(4)
[[Page 1046]]
MOTOR VEHICLES--Safety standards........................................
12.80
MULTIPLE ENTITIES.......................................................
141.58
MULTIPLE INVOICES.......................................................
141.61(f)
MUNITIONS AND ARMS, EXPORTATION OF......................................
4.61, 4.73
MUNITIONS OF WAR, CONTROLLED IMPORTS AND EXPORTS--Seizure...............
161.2
N
NAFTA (See NORTH AMERICAN FREE TRADE AGREEMENT)
NARCOTICS
Arrests and seizures....................................................
162.63
Controlled imports and exports, seizure of..............................
161.2(b), 162.63
Exportation to other countries, unlawful................................
162.61
Forfeited, disposition of...............................................
162.63
Importation and exportation procedure...................................
12.36
In transit through U.S..................................................
18.21
Medical stores on vessels...............................................
4.39, 162.62
Permit to unlade--Penalty...............................................
162.66
Seized, disposition.....................................................
162.63
Unmanifested--Penalties.................................................
162.65
NATIONALITY OF VESSEL, VERIFICATION OF..................................
4.61, 4.65
NAVIGATION FEES.........................................................
4.98
NEUTRALITY
Bonds, special..........................................................
113.71
Observance of, by vessels...............................................
4.73
NEWSPAPERS, INFORMATION TO..............................................
10.31, 103.31
NEWSREEL FILMS EXPOSED ABROAD...........................................
10.10
NIGHT, DEFINITION.......................................................
24.16
NOMINAL CONSIGNEE, BANKRUPT--REFUND OF EXCESSIVE DUTIES AND INTERNAL-
REVENUE TAXES...........................................................
24.36
NONCONTIGUOUS TERRITORY
Definition..............................................................
4.0
Vessels in trade with...................................................
4.84, 4.90
NONIMPORTATION, WHAT CONSTITUTES--Duty allowance........................
158.11
NONRESIDENTS
Articles carried through U.S............................................
148.41
Consignee, entry of merchandise.........................................
141.17
Definition..............................................................
148.2(c)
Exemptions allowed......................................................
Part 148, subparts E and F
Jewelry, sale...........................................................
148.46
Vehicles, free entry....................................................
148.45
NORTH AMERICAN FREE TRADE AGREEMENT.....................................
10.31(f), 24.23(c)(3), Part 102, 174.12(a)(5), 174.15(b), Part 181
NORTHERN MARIANA ISLANDS, Commonwealth of the...........................
7.2, 148.101, 148.102, Part 148,subpart K
NOTICES
Advance in value........................................................
152.2
Clean yield (wool or hair) to importer..................................
151.64, 151.71(b)
Commingling of merchandise..............................................
152.13(a)
Denial of protest.......................................................
174.30
[[Page 1047]]
Duties due, to importer.................................................
24.11
Fines, penalties, and forfeitures, to offender..........................
162.31(a)
Grade (wool or hair), to importer.......................................
151.76(b)
Increased duties, possible..............................................
152.2
Internal-revenue taxes due, to importer.................................
24.11
Internal-revenue taxes, refund of.......................................
24.36
Liquidated damages incurred.............................................
172.1
Liquidated entries, to be posted........................................
159.9, 159.10
Mail importations value over $2,000, notice to addressee................
145.12(a)(4)
Motor vehicles--Safety standards........................................
12.80(h)
Penalties...............................................................
111.92
Return to customs custody--Form.........................................
141.113, 151.11
Sale of merchandise, to importer........................................
127.24
Seizure, addressee to be notified.......................................
145.59
Seizure and intent to forfeit property..................................
162.45
Shooks and staves--Form.................................................
10.5
Staple length (cotton), to importer.....................................
151.84
Substantial containers or holders.......................................
10.7
Test of sugar, molasses, and syrup, to importer.........................
151.31
O
OBLIGATIONS OF THE U.S.
Counterfeit, prohibited importation.....................................
12.48
OBSCENE MATTER--Importation prohibited..................................
12.40, 12.41
OFFERS IN COMPROMISE....................................................
161.5
OFFICIALS OF FOREIGN GOVERNMENT--FREE ENTRY PRIVILEGE...................
Part 148, subpart I
OFFSETTING (NETTING)....................................................
163.11
OFFSPRING OF ANIMALS--FOREIGN PASTURAGE AND STRAYS......................
10.74
OIL OR REFUSE DISCHARGED BY VESSEL IN NAVIGABLE WATERS..................
4.66a, 4.66b, 4.66c
OILS
Product of American fisheries...........................................
10.78
Vegetable--Olive, palm-kernel, rapeseed, sunflower, and sesame
Denaturing..............................................................
10.56
Release.................................................................
10.56
OMB CONTROL NUMBERS, LISTING OF.........................................
178.2
OPIUM
Controlled substances...................................................
162.61
Unmanifested--Penalty...................................................
162.65
OMAN FREE TRADE AGREEMENT (See, UNITED STATES-OMAN FREE TRADE AGREEMENT)
OPTIONAL PORTS IN INTERCOASTAL TRADE....................................
4.86
ORAL DECLARATIONS.......................................................
148.12
ORES AND CRUDE METALS...................................................
Part 151, subpart D
ORES AND METALS
Domestic substituted, for drawback......................................
191.32
Entry of, in bond.......................................................
19.17
Sampling and assaying...................................................
19.17, 151.51, 151.52
ORGANIZATION OF AMERICAN STATES.........................................
148.88
ORIGINAL EQUIPMENT--AUTOMOTIVE..........................................
10.84
ORIGIN
Country of..............................................................
Part 134
[[Page 1048]]
Rules; CAFTA-DR.........................................................
10.593-605
Rules; NAFTA............................................................
181.131
OTTER FUR SKINS.........................................................
12.60-12.63
OUTBOUND ADVANCE CARGO REPORTING REQUIREMENTS...........................
192.14
OVERAGE OF CARGO--FORM..................................................
4.12, 4.62
OVERTIME
Application for service--Form--Bond.....................................
4.10, 24.16
Application for unlading or lading, approval of--Form--Bond.............
4.30
Assignments.............................................................
24.16(d)
Bond covering--Vehicles.................................................
123.8
Bond for--Vessel of less than 5 net tons, contiguous country, from......
123.8
Compensation--Bond......................................................
24.16
Computation of compensation.............................................
24.16
Definition--
Holiday.................................................................
24.16
Night...................................................................
24.16
Entry and clearance on board vessels....................................
4.16
License, special, unlading or lading vessels--Form......................
4.30
Marking, supervision....................................................
134.55
One-half day's pay, definition of.......................................
24.16
Request for service in connection with boarding, entry or clearance of
vessels--Form--Bond.....................................................
4.10
Waiting time subject to overtime compensation...........................
24.16
OWNER OF MERCHANDISE
Consignee (nominal) as..................................................
141.19, 141.20
Examination of, citation to appear and testify..........................
162.2
P
PACKAGE SEALS, PROCURING AND ACCOUNTING.................................
24.13
PACKAGES, DESIGNATION OF, FOR EXAMINATION...............................
151.1-151.3
PACKED PACKAGES, ENTRY OF...............................................
141.52
PACKING COSTS--VALUATION-DEFINED, TRADE AGREEMENTS ACT OF 1979..........
152.102(e)
PACKING TOBACCO PRODUCTS................................................
11.1, 11.2
PANAMA CANAL
Vessels transiting--
Clearance of............................................................
4.60
Crews' effects..........................................................
148.3
Passengers' baggage.....................................................
148.3
Report of...............................................................
4.4
Tonnage tax not affected by transiting..................................
4.20
PANAMA TRADE PROMOTION AGREEMENT (PANTPA) (See, FREE TRADE AGREEMENTS)
PARCEL POST, IMPORTATIONS BY............................................
Part 145, subpart B
PARCEL POST PACKAGES, EXPORTATION FROM WAREHOUSE........................
144.37(c)
PARROTS--IMPORTATION PROCEDURE..........................................
12.26
PARTNERSHIPS
Bond, execution by......................................................
113.32
Partners as sureties on bond............................................
113.36
PASSENGER LIST
Foreign trade--Production...............................................
4.50
[[Page 1049]]
Specifications..........................................................
4.50, 4.7
PASSENGER NAME RECORD (PNR) INFORMATION.................................
122.49d
PASSENGERS
Aircraft; stopover......................................................
122.88
Articles taken out, registered for identification.......................
148.1
Baggage not accompanying................................................
148.6
Classes--Residents and all others.......................................
148.2
Coastwise transportation................................................
4.80a
Contiguous country, from--..............................................
123.1-123.5
Definition..............................................................
4.50
Fees, passengers aboard vessels or aircraft.............................
24.22(g)
Personal or household effects not accompanying..........................
148.51-148.53
Report of arrival.......................................................
123.1
Request for reexamination of baggage....................................
148.25
PASSENGERS AND BAGGAGE, LIST OF.........................................
4.7
PASSENGERS' DECLARATIONS--OMITTED ARTICLES--PENALTY.....................
148.18
PASSES, CUTTER AND DOCK.................................................
4.1
PATENTS
Fee.....................................................................
24.12(a)
ATNA RICE...............................................................
10.132
PAY.GOV.................................................................
24.24
PAYMENTS OF STATE AND FEDERAL FEES......................................
4.61
PAYMENTS DUE DECEASED OR INCOMPETENT PUBLIC CONTRACTORS AND IMPORTERS OR
OWNERS OF MERCHANDISE...................................................
24.70
PENALTIES
Air cabotage............................................................
122.165
Cargo manifest discrepencies............................................
122.162
Commerce................................................................
Part 122, subpart Q
Aircraft, remission or mitigation of....................................
171.11
Arrival, departure, discharge, and......................................
122.166
Articles, various--Import and export controls...........................
161.2(b)
Aviation smuggling......................................................
122.167
Baggage and vehicles from contiguous country, failure to open...........
123.63
Baggage declaration, false statement, etc., as to.......................
148.19
Baggage, failure to declare articles in.................................
148.18
Boarding or leaving vessels without permission--Penalty.................
4.1
Cancellation of.........................................................
133.51
Clerical errors.........................................................
162.73
Compromise of claims....................................................
161.5
Contiguous countries, vehicles and vessels from, failure to report......
123.2
Controlled imports and exports..........................................
161.2, 162.61
Copyrighted articles....................................................
133.41(b), 133.52(b)
Crews' effects--Failure to declare......................................
148.67
Definitions.............................................................
162.71
Demand for payment of, smuggled articles of small value.................
162.31(c)
Determination of, measured by value.....................................
162.43
Exportation from different port.........................................
122.164
Fishing vessels, touching and trading foreign...........................
4.15, 4 N 28
Fraud...................................................................
162.73
Gold and silver articles, false marking of..............................
11.13
Gross negligence........................................................
162.73
[[Page 1050]]
Guidelines
19 U.S.C. 1497..........................................................
Part 171, Appendix A
19 U.S.C. 1592..........................................................
Part 171, Appendix B
19 U.S.C. 1641..........................................................
Part 171, Appendix C
Mitigation, availability of.............................................
171.23
Holding and proceeding against vessel or vehicle for payment of.........
162.22
Importations contrary to law............................................
162.21, 162.22, 145.4, 162.63, 123.81
Liquor, Customs marking and stamping bulk...............................
11.6
Locomotives and railway equipment, foreign--irregular use...............
123.12(c)
Mail, unlabeled, dutiable goods in sealed...............................
145.4
Manifest--Discrepancies in..............................................
4.12
Marihuana--Unmanifested-Unladen without permit..........................
162.65, 162.66
Maritime Administration vessels, exemption from.........................
162.22(e)
Marking of gold or silver articles, false...............................
11.13
Marking of liquor packages..............................................
12.38
Master of vessel or vehicle--
Failure to--
Report arrival from contiguous countries................................
123.1, 123.2
Merchandise arriving under bond, failure to deliver.....................
18.8
Merchandise in buildings on boundary line...............................
123.81
Mitigation of--Petition.................................................
162.31, 171.11
NAFTA transactions......................................................
Part 181, subpart H
Narcotics and certain other drugs--
Unmanifested--Unladen without permit....................................
162.65, 162.66
Narcotics, marihuana, and certain other drugs--Importation and
exportation of..........................................................
12.36, 162.63
Negligence..............................................................
162.73
Nonpayment of--Claim to be referred to U.S. attorney....................
162.32
Notice of, to offender, and prepenalty notice...........................
162.31, 162.76-162.79(a)
Obscene matter, etc., importation of....................................
12.40, 12.41
Offsetting (netting)....................................................
163.11(d)
Oil or refuse discharged from vessel into navigable waters..............
4.66a, 4.66b
Oral presentations seeking relief.......................................
171.3
Passenger--
Failure to declare......................................................
148.18
Personal--
Detention of vessel or vehicle as security..............................
162.22(d)
Persons assisting or financing unlawful importation or transportation of
merchandise.............................................................
162.22(b)
Smuggling activities, etc...............................................
162.22
Petition for relief from................................................
171.11, 171.12
Pre-Columbian artifacts.................................................
12.109
Prepenalty notice.......................................................
162.76-162.79(a)
Prior disclosure........................................................
162.74
Use of sampling methods.................................................
162.74(j)
Railway equipment and supplies..........................................
123.12(c)
Recovery of actual loss of duties, taxes and fees or actual loss of
revenue.................................................................
162.79b
[[Page 1051]]
Remission or mitigation of fines, penalties, and forfeitures............
148.18(b), 162.32, 171.11
Remission or mitigation of--Petitions...................................
171.11
Seals, breaking of bond.................................................
18.4
Section 593A, Tariff Act of 1930........................................
162.73a
Switchblade knives......................................................
12.97, 12.101, 12.103
Trademarked articles....................................................
133.21, 133.52(a)
Transit air cargo.......................................................
122.163
Transportation in bond--Shortage or irregular delivery..................
18.8
Unlading prior to report or entry.......................................
4.6
Unmanifested merchandise of vessel crew.................................
4.7a(b)(4)
Vessels--
Departure of, before report or entry....................................
4.6
Discharging oil or refuse matter in navigable waters....................
4.66a, 4.66b
Failure to make report of arrival or entry..............................
123.2
Maritime Administration, exemption from.................................
162.22(e)
Violation of coastwise laws.............................................
4.80(b)
Wild animals and birds, unlawful importation............................
12.27, 12.28
PERFUMERY, STAMPING.....................................................
11.1
PERISHABLE MERCHANDISE
Condensed--Allowance in duty............................................
158.14(b)
Inspection before entry or while in transit.............................
151.4, 151.5
Sale of seized..........................................................
162.48-162.51
Sale of unclaimed.......................................................
Part 127, subpart C
Unclaimed, transfer to bonded cold-storage warehouse....................
127.28(c)
Warehousing of, prohibited..............................................
144.1
PERMISSION TO DEPART TO NONCONTIGUOUS TERRITORY, WHEN REQUIRED FOR
VESSELS OF U.S..........................................................
4.84
PERMITS
Agency of U.S. Government...............................................
142.21(c)
Application for, form...................................................
142.22
Articles of a trade fair................................................
142.21(d)
Blending or rectifying wines or liquors.................................
12.37
Bottling liquors........................................................
12.37
Customs brokers.........................................................
111.19
Delinquent payment......................................................
142.26
Discontinuance of immediate delivery....................................
142.25
Failure to file timely..................................................
142.27
Fresh fruits and vegetables.............................................
142.21(b)
Immediate delivery, special permit......................................
142.21-142.28
Lading or unlading vehicle and vessel of less than 5 net tons from
contiguous country......................................................
123.8
Liquor, when required...................................................
12.37
Merchandise eligible for................................................
142.21
Merchandise from Canada and Mexico (including fresh fruits and
vegetables).............................................................
142.21(b)
Milk and cream importations.............................................
12.7
Plant and plant product importations....................................
12.11-12.13
Prohibited merchandise..................................................
142.28
Quota-class merchandise.................................................
142.21(e)
Release of cargo........................................................
4.38
Rewarehouse, issuance of--form..........................................
144.34
Softwood lumber from Canada export permits..............................
12.140
Supplies for vessels withdrawn from warehouse, delivery permit..........
10.61
[[Page 1052]]
Term special permit.....................................................
142.24
Time for filing.........................................................
142.23
Trucks, buses, and taxicabs--international traffic......................
123.14(d)
Unlading of crews effects...............................................
4.30, 4.39
Vehicles and vessels from contiguous country............................
123.2
Vessel permit to unlade or lade--form...................................
4.30, 123.8
Viruses, serums, and toxins for treatment of domestic animals...........
12.17
Warehouse entry, issuance of............................................
144.11, 144.38, 144.21
Warehouse withdrawals for consumption, disposition of, by warehouse
officer.................................................................
144.38
PERSONAL AND HOUSEHOLD EFFECTS OF CERTAIN CLASSES OF PERSONS IN THE
SERVICE OF THE U.S., OF THEIR FAMILIES, AND OF EVACUEES, FREE ENTRY OF..
148.71
PERSONAL DUTY EXEMPTION.................................................
148.31-38
PERSONAL EFFECTS
Baggage.................................................................
Part 148, subpart C
Citizens dying abroad...................................................
148.54
Noncommercial importations of limited value.............................
Part 148, subpart J
Reliquidation of entry..................................................
173.5
PERSONAL OR HOUSEHOLD EFFECTS--PROTEST UNNECESSARY FOR RELIQUIDATION....
173.5
PERSONNEL AND MEDICAL FILES--DISCLOSURE OF INFORMATION..................
103.12(f)
PERSONS AUTHORIZED TO RECEIVE CUSTOMS COLLECTIONS.......................
24.2
PERSONS RETURNING FROM ABROAD--PROFESSIONAL BOOKS--TOOLS OF TRADE.......
148.53
PERSONS, SEARCH AND EXAMINATION OF......................................
162.6
PERU TRADE PROMOTION ACT (PTPA) (See, FREE TRADE AGREEMENTS)
PESTICIDES AND DEVICES..................................................
12.110-12.117
PETITIONS
Authority of Customs officers to act....................................
171.11-171.13, 172.11-172.13
Disposition of..........................................................
Part 171, subpart C, Part 172, subpart C
Generally...............................................................
Part 171, subpart A, Part 172, subpart A
Headquarters advice.....................................................
171.14, 172.14
Limitation on consideration of petitions................................
171.13
Offers to compromise....................................................
Part 171, subpart D, Part 172, subpart D
Relief from fines, penalties, or forfeitures............................
162.31, 171.11, 171.21, 171.24
Relief from liquidated damages..........................................
Part 172, subpart B
Restoration of proceeds.................................................
Part 171, subpart E
Waivers of statutes of limitation.......................................
171.64, 172.43
[[Page 1053]]
PETROLEUM AND PETROLEUM PRODUCTS........................................
Part 146, subpart H
Allowance for excessive water and sediment..............................
151.46, 158.13
Controls on lading and gauging..........................................
151.42
Information on entry summary............................................
151.41
Released under entry or immediate delivery..............................
151.47
Storage tanks...........................................................
151.44
Storage tanks bonded as warehouses......................................
151.45
PETROLEUM, CRUDE, CANADIAN..............................................
10.179
PIRATICAL Articles......................................................
133.42
PLANT PESTS.............................................................
12.31
PLANTS AND PLANT PRODUCTS
Entry procedure.........................................................
12.10-12.15
Mail importations.......................................................
12.10-12.15, 145.40, 145.57
Unclaimed shipments, disposition of.....................................
12.13
PLUMAGE
Artificial flies for fishing............................................
12.29
Domesticated and wild birds.............................................
12.29
Game birds..............................................................
10.76, 12.29
PLUMAGE AND EGGS OF WILD BIRDS, IMPORTATION--RESTRICTIONS...............
12.29
POLLUTION OF COASTAL AND NAVIGABLE WATERS...............................
4.66a, 4.66b, 4.66c
PORT MARKS
Merchandise to be exported..............................................
18.27
Merchandise withdrawn from warehouse for exportation....................
144.37(d)
PORT OF DESTINATION, CHANGE OF, EMERGENCY...............................
4.33
PORTS OF ENTRY
By districts............................................................
101.3(b)
Customs stations........................................................
101.4
Definition..............................................................
101.1
Merchandise subject to sale at, to be reported to headquarters for
disposition.............................................................
127.22
Shortage reports under transportation entries...........................
18.6
PORTS OR PLACES, CLOSED.................................................
4.61, 4.67
PORT ENTRY..............................................................
4.12, 4.62
POSTAGE STAMPS, ILLUSTRATIONS OF........................................
12.48
POTATOES, SEED--REDUCED RATE OF DUTY....................................
10.57
POWERS OF ATTORNEY
Corporate surety........................................................
113.37
General, definitions and form of........................................
141.31-141.32,191.6
Importer security filing................................................
149.5
Protests................................................................
174.3
PRACTICE, ESTABLISHED AND UNIFORM.......................................
177.10(c)
PRATIQUE................................................................
4.9, 4.61, 4.70
PRE-COLUMBIAN SCULPTURE.................................................
12.106-12.109
PRECLEARANCE OF AIR TRAVELERS' BAGGAGE..................................
148.22
PREFERENTIAL TARIFF TREATMENT
Andean Trade Preference Act (ATPA)......................................
Part 10, subpart C
Haitian Hemisphere Opportunity Through Partnership Encouragement Act of
2006 and 2008 (``Haiti HOPE I and II'').................................
Part 10, subpart 0
U.S.-Caribbean Basin Trade Partnership Act (CBTPA)......................
Part 10, subpart E
PREFERENTIAL TREATMENT
AGOA....................................................................
10.213, 10.215, 10.217
ATPA....................................................................
10.201
CAFTA-DR................................................................
10.583
[[Page 1054]]
CBERA...................................................................
10.191, 10.195
CBTPA...................................................................
10.223, 10.225, 10.227
PRELIMINARY ENTRY OF VESSELS--CERTIFICATION--FORM.......................
4.8
PRESS, INFORMATION......................................................
10.31, 103.31
PRESUMPTIONS
ATPA....................................................................
10.206
CBI.....................................................................
10.195
GSP.....................................................................
10.176
PRICE PAID OR PAYABLE--VALUATION-DEFINED, TRADE AGREEMENTS ACT OF 1979..
152.102(f)
PRIOR DISCLOSURE, PENALTIES.............................................
162.74
PRIVILEGES
Container station; revocation...........................................
19.48
FTZ; revocation.........................................................
146.83
PROCEEDINGS, FOREIGN; DISCLOSURE OF.....................................
Part 103, subpart B
PROCEEDS OF SALE
Abandoned merchandise, disposition of...................................
158.44
Seized property--Disposition, expenses..................................
162.51
Petition for restoration of.............................................
171.41-171.44
Surplus, claim for......................................................
127.36
Unclaimed merchandise...................................................
127.31-127.37
Warehouse merchandise...................................................
127.32, 127.37
When insufficient to pay duty...........................................
127.32
PROCESSING, FURTHER-VALUATION
Deductive value.........................................................
152.105(i)
PROFESSIONAL ARTISTS, LECTURERS, AND SCIENTISTS, ARTICLES BROUGHT IN
UNDER TEMPORARY IMPORTATION BOND BY.....................................
10.31
PROFESSIONAL EQUIPMENT OF NONRESIDENTS SOJOURNING TEMPORARILY--TEMPORARY
IMPORTATION BOND........................................................
10.31, 10.36
PROFIT AND GENERAL EXPENSES--VALUATION
Computed value..........................................................
152.106(c)
Deductive value.........................................................
152.105(e)
PROGRAM; AIR CARRIER SMUGGLING PREVENTION...............................
Part 122, subpart R
PROGRAMS
CES.....................................................................
Part 118
Customs.................................................................
Part 122, subpart R, , Part 142, subpart D, 163.12, Part 191, subpart S
Entry of merchandise; line release......................................
Part 142, subpart D
Gaugers.................................................................
151.13
Immediate delivery......................................................
Part 142, subpart C
Industry Partnership....................................................
Part 142, subpart D
Laboratories............................................................
151.12
Line release............................................................
Part 142, subpart D
Test procedures.........................................................
101.9
[[Page 1055]]
Testing of merchandise; accredited......................................
151.12
Testing of merchandise; approved........................................
151.13
PROHIBITED OR RESTRICTED IMPORTATIONS
Abortions, articles for causing.........................................
12.40, 145.51
Agricultural and vegetable seeds........................................
12.16
Alcoholic beverages.....................................................
12.37, 145.54
Animals, domestic, animal by-products, etc..............................
12.24
Arms and munitions......................................................
145.53, 161.2
Articles with false designation of origin...............................
11.13(a)
Birds, wild.............................................................
10.76, 12.26-12.28
Caustic or corrosive substances.........................................
12.1-12.5
Conception, articles for preventing.....................................
12.40, 145.51
Controlled substances...................................................
161.2, Part 162, subpart F
Convict, forced, or indentured labor, goods made by.....................
12.42-12.45
Copyrights..............................................................
133.41
Counterfeit coins, etc..................................................
12.48
Cream...................................................................
12.7
Cultural Property.......................................................
12.104-12.104j
Destruction of..........................................................
158.41
Diversion of, under transportation entry................................
18.5(e)
Drugs...................................................................
12.1-12.5
Eggs of wild birds......................................................
12.29
Exportation of..........................................................
18.25-18.26
Films...................................................................
12.41
Foods...................................................................
12.1-12.5
Foreign trade zones.....................................................
146.1
Fungicides..............................................................
12.1-12.5
Immoral articles........................................................
12.40, 145.51
Insect pests............................................................
12.31
Insecticides............................................................
12.1-12.5
In transit through U.S. to foreign countries............................
18.21-18.23
Jadeite, mined or extracted from Burma..................................
12.151
Jewelry, articles of, containing jadeite or rubies mined or extracted
from Burma..............................................................
12.151
Liquors.................................................................
12.37, 145.54
Literature, seditious, treasonable, etc.................................
12.40, 145.51
Lottery matter..........................................................
145.51(b)
Mail, arriving via......................................................
145.51-145.59
Marihuana...............................................................
161.2, Part 162, subpart F
Matches.................................................................
12.34
Meat and meat-food products.............................................
12.8-12.9
Milk....................................................................
12.7
Motor vehicles and engines--Clear Air Act--Emission standards...........
12.73
Motor vehicles and equipment--Safety standards..........................
12.80
Munitions of war........................................................
145.53, 161.2
Narcotics and certain other drugs.......................................
12.36, 161.2, Part 162, subpart F
Obscene matter..........................................................
12.40, 12.41
Packages containing obscene or immoral matter...........................
145.51
Parrots.................................................................
12.26
Pesticides and devices..................................................
12.110-12.117
Piratical copies........................................................
133.42
Plants and plant products...............................................
12.10-12.15
Plumage of wild birds...................................................
12.29
[[Page 1056]]
Postage stamps, facsimiles of uncanceled................................
12.48
Pre-Columbian artifacts.................................................
12.105-12.109
Rubies, mined or extracted from Burma...................................
12.151
Securities and illustrations thereof, etc...............................
12.48
Serums..................................................................
12.17-12.23
Skins, fur-seal or sea-otter............................................
12.60
Stamps, postage.........................................................
12.48
Switchblade knives......................................................
12.95-12.103
Tea.....................................................................
12.33
Toxins..................................................................
12.17-12.23
Trademarks or trade names...............................................
133.21
Treasonable or insurrectionary matter--Forcible resistance to law--
Threats to persons......................................................
12.40, 145.51
Unfair competitions, articles involved in...............................
12.39
Value...................................................................
162.43
Viruses.................................................................
12.17-12.23
Whales..................................................................
12.30
Wild animals............................................................
10.76, 12.26-12.28
PROPERTY
Forfeited
Destruction of..........................................................
162.46(d), 162.50(c)
Disposition of proceeds of sale
Not under 19 U.S.C. 1592................................................
162.51
Under 19 U.S.C. 1592....................................................
162.52
Liens, payment of, when property awarded for official use...............
171.44
State laws prohibiting sale of..........................................
162.46(c)(2), 162.50
Transfer to other port for sale.........................................
162.46(c)(2), 162.50
Forfeiture and sale of..................................................
162.45-162.48
Petitions for remission or mitigation of forfeiture.....................
148.18(b), 162.32, 171.11, 171.22
Privately owned, damage to or loss of, caused by Customs officer........
24.71
Release of, on payment of appraised value...............................
162.44
Reports to U.S. attorney--When required.................................
162.32(c), 162.47(d), 162.49
Search and seizure......................................................
Part 162, subparts A-C
Seized--
Appraisement of.........................................................
162.43
Award or sale of........................................................
162.46
Claim and bond to stop summary forfeiture...............................
162.47, 162.47(b), 162.49(b)
Disposition.............................................................
162.46-162.52
PROSPECTIVE IMPORTS, CLASSIFICATION OF..................................
177.1
PROTESTS
Accelerated disposition of..............................................
174.22
Amendment of............................................................
174.14
Appeals from court decision.............................................
176.31
Applicability of provisions.............................................
174.2
Application for further review..........................................
174.25
Consideration of additional arguments...................................
174.28
Contents of.............................................................
174.13
Criteria for further review.............................................
174.24
Domestic interested party(ies)..........................................
Part 175, subparts B and C
[[Page 1057]]
Form of.................................................................
174.12
Further review of.......................................................
174.23
General requirements....................................................
Part 174, subpart B
Household or personal effects--Formal protest unnecessary for
reliquidation...........................................................
173.5
Mail entries............................................................
145.22, 145.23
Matters subject to protests.............................................
174.11
Notice or denial of.....................................................
174.30
Power of attorney.......................................................
174.3
Publication of protest review decision..................................
174.32
Refund of duties on reliquidation.......................................
24.36, 174.29, 176.31
Review of, by port director.............................................
174.21, 174.26, 174.29
Review of further protests, by whom.....................................
174.26
Rewarehouse entries.....................................................
144.41(h)
Samples, when required for protest purposes.............................
176.11
Stipulations............................................................
176.21
Time for filing.........................................................
174.12(e)
Transmission to court...................................................
176.11
PROTOTYPES USED EXCLUSIVELY FOR PRODUCT DEVELOPMENT AND TESTING.........
10.91
PUBLICATION--
Customs Bulletin
Federal Register........................................................
103.3
PUBLIC INTERNATIONAL ORGANIZATIONS......................................
148.87, 148.88
PUBLIC READING ROOMS....................................................
103.1
PUERTO RICO
Coffee, foreign-grown shipped from U.S.--Entry of.......................
7.1(c)
Distilled spirits and wines from warehouse, shipped to--Dutiable........
7.1
Shipments to--Drawback of internal-revenue tax..........................
191.101
PURCHASER, DEFINITION (SPECIAL MARKING).................................
11.9
PUREBRED ANIMALS, ENTRY OF..............................................
10.70, 10.71
Q
QUARANTINE, ANIMALS, DOMESTIC...........................................
12.24
QUOTA; EXPORT CERTIFICATE
Beef....................................................................
132.15
Lamb meat...............................................................
132.16
Sugar-containing........................................................
132.17
QUOTAS
Absolute quota defined..................................................
132.1(a)
Administration..........................................................
132.2
Definitions.............................................................
132.1
Effect of release under immediate delivery..............................
132.14(a)(2)
Entry of quota merchandise--
Acceptance of entry.....................................................
132.3
As establishing priority................................................
132.11-132.14
Informal................................................................
132.11(c)
Mail importation........................................................
Part 132, subpart C
Noting of time of filing on the entry, when.............................
132.13
Exception to reduced rates..............................................
132.6
Excess merchandise......................................................
132.5
Export certificates.....................................................
132.15-132.17
[[Page 1058]]
Immediate delivery permits..............................................
132.14
Inadvertent release.....................................................
132.14
Notification of restrictions, mail entries..............................
132.23(a)
Official office hours...................................................
132.3
Presentation--definition................................................
132.1(d)
Priority and status.....................................................
132.11
Tariff-rate quota defined...............................................
132.1(b)
Time of presentation....................................................
132.11(a)
R
RAILROAD--
Car fees................................................................
24.22(d)
Equipment
Domestic, repaired in foreign country, dutiable status..................
123.13
Foreign, operating in U.S.--Entry of, when required.....................
123.12
Supplies................................................................
123.11
RAPESEED OIL............................................................
10.56
RATES OF DUTY, INVOICE TO SHOW..........................................
141.90
RECEIPTS
Bills and accounts, for.................................................
24.3
Duties on baggage declarations--Forms...................................
148.27
Seizures, for...........................................................
162.15
RECEIVER, ENTRY BY......................................................
141.14
RECORDKEEPING...........................................................
Part 163
AGOA....................................................................
10.216
CBTPA...................................................................
10.226, 10.236
Requirements, warehouse.................................................
19.12, Part 163
Softwood Lumber.........................................................
Part 163 Interim (a)(1)(A) List
RECORDS
Actual use..............................................................
10.137
Copies of, importers may make...........................................
103.7-103.11
Classified..............................................................
103.5(b)(3)
Confidential or privilege...............................................
103.11(g), 103.31(d), 111.24, 143.4, 174.15, 177.2, 177.8, 177.13,
181.93, 181.99, 181.121, 181.122
Definition..............................................................
163.1
Entry and clearance of vessels..........................................
4.95
Laboratory analysis.....................................................
151.12
Persons required to maintain............................................
163.2
Retention...............................................................
143.37
RECORDS AND FILES, DISCLOSURE OF INFORMATION FROM.......................
Part 103, subpart A
REDELIVERY OF MERCHANDISE (See, RETURN TO CUSTOMS CUSTODY)
RE-EXAMINATION OF PERSONS, BAGGAGE OR MERCHANDISE.......................
148.25
REFUNDS
Abandoned or destroyed merchandise......................................
158.41
Cash deposit on temporary importation bond..............................
10.40
Duties, to whom payable.................................................
24.36
[[Page 1059]]
Internal-revenue tax....................................................
24.36
REFUSE MATTER, DISCHARGED FROM VESSEL IN NAVIGABLE WATERS--PENALTY......
4.66a, 4.66b
REGALIA.................................................................
10.43
REGISTER OF VESSELS
Deposit of upon entry...................................................
4.9
REGISTRATION OF ARTICLES
Exported for alterations or repairs.....................................
10.8
Of foreign origin being taken out of the U.S............................
148.1
REIMBURSABLE COMPENSATION...............................................
4.35, 19.7, 24.16, 24.17, 101.4, 134.52(e), 134.55, 141.86(f), 151.5(c),
151.7(c)
REIMPORTATION OF MERCHANDISE, DUTIABLE STATUS--EXCEPTIONS...............
141.2
RELATED PERSONS--VALUATION-DEFINED, TRADE AGREEMENTS ACT OF 1979........
152.102(g)
RELEASE OF MERCHANDISE
Foods, drugs, devices, cosmetics, insecticides, etc.....................
12.3, 141.113
From warehouse..........................................................
144.38(e)
Immediate delivery, special permit for..................................
Part 142, subpart C
Immediate delivery for U.S. Government..................................
10.100-10.104
Liens, existence of.....................................................
141.112
Meat and meat-food products--Restriction................................
12.8, 12.9
Permits, when issued for release of cargo...............................
4.38
Release order from carrier, form........................................
141.111
Release order from warehouse proprietor--Form...........................
141.111
Seized--
Payment of appraised value..............................................
162.44
Under bond--Petition to court...........................................
162.47, 162.49
Warehouse entry permits, issuance of--Form..............................
144.38(e)
RELIEF AND RESCUE EQUIPMENT AND SUPPLIES FOR EMERGENT TEMPORARY USE.....
10.107
RELIGIOUS PURPOSES, ARTICLES FOR........................................
10.43, 10.52
RELIQUIDATION
Change in rate of duty..................................................
177.10
Change of practice......................................................
177.10(c)
Clerical error, mistake of fact, inadvertence...........................
173.4
Excessive duties or taxes paid, notice of refund of--Form...............
24.36
Limitation upon.........................................................
173.4(c)
Mail entries............................................................
Part 145, subpart C
Notice of...............................................................
173.3(b)
Protest.................................................................
173.2(d)
Refund of duty..........................................................
24.36(a)(1)(ii), 176.31
Rewarehouse--District of liquidation....................................
159.7(b)
Under decisions of U.S. Court of International Trade and Court of
Appeals for the Federal Circuit.........................................
Part 176, subpart D
Voluntary...............................................................
173.3
REMISSION OR MITIGATION OF FINES, PENALTIES AND FORFEITURES.............
148.18(b), 162.32, 171.1, 171.11, 172.2
[[Page 1060]]
REMOTE LOCATION FILING..................................................
Part 143, subpart E
REPACKING BY IMPORTER, MERCHANDISE IN WAREHOUSE.........................
19.8
REPAIRS
Antiquities.............................................................
10.53(d)
Articles exported for...................................................
10.8
Automobiles, vehicles, aircraft, boats, teams and saddle horses,
noncommercial, taken abroad.............................................
148.31(a), 148.32(c)
Busses, trucks, taxicabs, and their equipment taken abroad for temporary
use.....................................................................
123.17
Dutiable status of merchandise repaired abroad..........................
10.8
Personal and household effects taken abroad by returning resident.......
148.31(b)
Railway, made in foreign country, dutiable status.......................
123.12, 123.13
Railway, made in foreign country, report--
Penalty.................................................................
123.12(c), 123.13
Vehicles, pleasure boats, and aircraft..................................
10.36a
Vessels, made abroad....................................................
4.14
REPLACEMENTS FOR ARTICLES DECLARED BY RETURNING RESIDENTS...............
148.37
REPORT OF ARRIVAL
Aircraft, penalties.....................................................
122.166
Coastwise trade.........................................................
4.81
Contiguous country, from................................................
123.1, 123.2
Method of reporting.....................................................
123.1(d)
Of individuals..........................................................
4.51, 123.1(a)
Of vehicles.............................................................
123.1(b)
Of vessels..............................................................
4.2
Panama Canal............................................................
4.4
Penalties for failure to report.........................................
4.3a, 4.52, 123.2
Vessels, failure to make--Penalty.......................................
4.3a, 123.2
REPORTS; LABORATORY ANALYSIS............................................
151.12
REPORTS TO U.S. ATTORNEY, WHEN REQUIRED.................................
12.103, 162.32(c), 162.47(d), 162.65(d), 172.3
REPRODUCTION OF FORMS...................................................
4.99, 122.5
REQUESTS FOR CUSTOMS RECORDS AND DOCUMENTS, PROCEDURE...................
103.2-103.5
RESCUE AND RELIEF EQUIPMENT AND SUPPLIES FOR EMERGENT TEMPORARY USE.....
10.107
RESIDENTS
Definition..............................................................
148.2
Exemption allowed returning.............................................
Part 148, subpart D, 148.52
Failure to declare......................................................
148.18
False or fraudulent claim on returning..................................
148.19
RESIDUE CARGO...........................................................
4.85, 4.86, 4.88, 4.90
RESTRAINT OF TRADE, ARTICLES IMPORTED UNDER AGREEMENTS IN--SPECIAL
DUTIES..................................................................
159.44
RESTRICTED IMPORTATIONS (See, PROHIBITED OR RESTRICTED IMPORTATIONS)
RESTRICTED INFORMATION
Advanced electronic information, Importer security filing for vessel
cargo...................................................................
103.31a
Fines, Penalties........................................................
103.32
Foreign agencies........................................................
103.33
Sanctions...............................................................
103.32-103.34
[[Page 1061]]
RESTRICTED MERCHANDISE, IMMEDIATE TRANSPORTATION........................
18.11
RETENTION OF VESSEL OR VEHICLE..........................................
162.22(d)
RETIREMENT DEDUCTIONS, DECEASED EMPLOYEES--PROCEDURE OF REFUND..........
24.32
RETURN TO CUSTOMS CUSTODY--DEFAULT ON BOND--LIQUIDATED DAMAGES..........
141.113, 151.11, 172.21, 172.22, 172.33
RETURN TO UNITED STATES OF ARTICLES
Exported for exhibition.................................................
10.66
Exported for scientific or educational purposes.........................
10.67
RETURNING RESIDENTS
Crew members............................................................
148.63
Personal duty exemption.................................................
148.31-38
REVIEW OF PROTESTS BY COMMISSIONER......................................
158.30, 174.26
REVIEW OF PROTESTS BY PORT DIRECTOR.....................................
174.21, 174.26, 174.29
REVOCATION
ABI participation.......................................................
143.7
Access to Customs Security Area.........................................
122.187
Accredited laboratory...................................................
151.12
Air Carrier Smuggling Prevention Program................................
122.176
Approved gauger.........................................................
151.13
CES.....................................................................
Part 118, subpart C
Container stations......................................................
19.48
Customs brokers.........................................................
Part 111, subpart D
FTZ grant...............................................................
146.83
Identification card.....................................................
112.48
Recordkeeping Compliance Program........................................
163.13
REWARDS, INFORMER'S COMPENSATION--CLAIM.................................
Part 161, subpart B
REWAREHOUSE AND WITHDRAWAL FOR CONSUMPTION ENTRY........................
144.42
REWAREHOUSE ENTRY
Bond--Form..............................................................
144.41(d)
Form and procedure......................................................
144.41, 144.42
Liquidation.............................................................
159.7, 159.52
Reliquidation change in duty rate.......................................
159.7(b)
Transferee--Right to withdraw...........................................
144.27
ROAD VEHICLE CERTIFICATION..............................................
Part 115
ROUGH DIAMONDS..........................................................
12.152, 163.2, 178.2
ROYALTIES--LICENSE FEES
Trade Agreements Act of 1979, Transaction value.........................
152.103(f)
RULES OF ORIGIN
Appendix--Textile and apparel manufacturer identification...............
102
Disassembly.............................................................
181.132
Entry of textile and apparel products...................................
102.24
For textile and apparel products of Israel..............................
102.22
Origin and manufacturer identification..................................
102.23
Textile or apparel products under the North American Free Trade
agreement...............................................................
102.25
RULINGS, ADMINISTRATIVE
General Ruling Procedure
Change of practice......................................................
177.10(c)
[[Page 1062]]
Completed transactions, not subject to..................................
177.1(a)(2)(ii)
Current (ongoing) transactions..........................................
177.1(a)(2)(i), 177.11
Definitions.............................................................
177.1(d)
Effect..................................................................
177.9, 177.10
How to submit request for...............................................
177.2
Internal advice.........................................................
177.11
Oral discussions........................................................
177.4
Prospective transactions................................................
177.1(a)(1)
Publication of decisions................................................
177.10
Requests for advice by field offices....................................
177.11
When requests for rulings will not be issued............................
177.1(a)(1), 177.1(a)(2)
Government Procurement; country-of-origin determinations
Applicability...........................................................
177.21
Definitions.............................................................
177.22
Country of origin advisory ruling.......................................
177.24
Form and content of request.............................................
177.25
Issuance................................................................
177.28
Oral discussion of issues...............................................
177.27
Where request filed.....................................................
177.26
Who may request.........................................................
177.23
Final Determinations
Issuance................................................................
177.28
Publication of notice of................................................
177.29
Review..................................................................
177.30
Reexamination...........................................................
177.31
Request.................................................................
177.23
S
SAFETY STANDARDS FOR BOATS AND OTHER EQUIPMENT..........................
12.85
SAFETY STANDARDS FOR ELECTRONIC PRODUCTS................................
12.90, 12.91
SAFETY STANDARDS--MOTOR VEHICLES AND EQUIPMENT..........................
12.80
ST. LAWRENCE RIVER, VESSELS IN COASTWISE TRADE VIA......................
4.83
SALABLE CUSTOMS FORMS...................................................
24.14
SALE OF MERCHANDISE
Abandoned in bonded warehouse...........................................
127.14
Abandoned or unclaimed..................................................
Part 127, subparts B and C
Advertising.............................................................
127.25
Articles subject to internal-revenue taxes..............................
127.28(e)-(g)
Auctioneer's commission.................................................
127.34
Catalogs................................................................
127.26
Charges, payment........................................................
127.31, 127.32
Inspection by Department of Agriculture of seeds, drugs, etc., prior to.
127.28(a)
Inspection by Environmental Protection Agency of pesticides and devices.
127.28(b)
Merchandise previously offered for sale.................................
127.29
Merchandise remaining unsold............................................
127.29
Notice of--Catalogs.....................................................
127.26
Proceeds, disposition--
Claim for surplus.......................................................
127.36
[[Page 1063]]
Unclaimed goods.........................................................
127.36(a)
Warehouse goods.........................................................
127.36(b)
Seized goods--
Court decree............................................................
162.49-162.51
Inspection by other Government agency, when required....................
162.46(b)
Perishable or liable to waste or deteriorate in value--Procedure........
162.48, 162.50
Petition for restoration of proceeds....................................
Part 171, subpart E
Proceeds, disposition of--Expenses......................................
162.51
State laws prohibiting..................................................
162.46(c)(2), 162.50
Transfer to other district for sale.....................................
162.46(c)(2), 162.50
Storage and other expenses, payment of..................................
127.31, 127.32
Unclaimed and abandoned goods...........................................
Part 127, subparts B and C
Unclaimed perishable goods..............................................
127.22, 127.28(c)
Unclaimed and remaining on dock.........................................
127.28(h)
Withdrawal of goods from sale...........................................
127.14
SALT FOR CURING FISH....................................................
10.80, 10.81, 10.83
SALVAGE VESSELS--RESTRICTIONS...........................................
4.97
SALVORS AND UNDERWRITERS, ENTRY BY......................................
141.13
SAME CLASS OR KIND OF MERCHANDISE--VALUATION-DEFINED, TRADE AGREEMENTS
ACT OF 1979.............................................................
152.102(h)
SAMOA, American
Shipments to--Drawback of internal-revenue tax..........................
191.5, 191.81
Unaccompanied shipments from............................................
Part 148, subpart K
SAMPLES.................................................................
181.62
Appraisement on.........................................................
151.10, 151.11
Carnets.................................................................
114.32
Commercial travelers' baggage...........................................
10.31, 10.36, 10.68, 10.69
Commercial travelers' samples
Accompanied through Canada and return...................................
123.51
Accompanied through U.S. and return to Canada...........................
123.52
Temporary importation bond..............................................
10.36
For reproduction--Temporary importation bond............................
10.31
For taking orders--Temporary importation bond...........................
10.31
Metal-bearing ores......................................................
151.51-151.53
Official samples, transmission to Court.................................
176.11
Pesticides and devices..................................................
12.116
Prior to entry, taking of...............................................
151.4, 151.5, 151.11
Request for ruling......................................................
177.2(b)(3)
Sugar...................................................................
151.24, 151.27, 151.29
Viruses, serums, and toxins for treatment of domestic animals and man...
12.19, 12.22
Wool and hair...........................................................
Part 151, subpart E
Wool and hair, for importer.............................................
151.67
SAMPLING
Agricultural and vegetable seeds........................................
12.16
Cotton..................................................................
Part 151, subpart F
Metal-bearing ores and metal-bearing materials..........................
151.51-151.53
[[Page 1064]]
Merchandise in warehouse................................................
19.17(f), 151.51
Sugars, syrups, and molasses............................................
Part 151, subpart B
Wool and hair...........................................................
Part 151, subpart E
SCIENTIFIC OR EDUCATIONAL ARTICLES EXPORTED, RETURN.....................
10.67
SCULPTURE AND MODELS FOR EDUCATIONAL PURPOSES...........................
10.43
SCULPTURE, ORIGINAL, FREE ENTRY, EVIDENCE REQUIRED......................
10.48
SCULPTURE OR MURAL--PRE-COLUMBIAN MONUMENTAL OR ARCHITECTURAL...........
12.106-12.109
SEAL, FUR SKINS.........................................................
12.60-12.63
SEALING, MEAT AND MEAT-FOOD PRODUCTS....................................
12.8
SEALS
Bond requirements.......................................................
113.25
Car, compartment, package
Kinds...................................................................
24.13
Car, compartment, and package seals; and fastenings; standards;
acceptance by Customs...................................................
24.13a
In bond
Penalty for breaking....................................................
18.4(h)
Removal of..............................................................
18.3(d)
When required...........................................................
18.4, 18.4a
In transit..............................................................
123.21-123.26
On railcars
Numbering and marking of................................................
24.13
Of stores...............................................................
4.11
SEAMEN, DECLARATION OF ARTICLES UNLADEN BY, WHEN REQUIRED...............
148.62
SEAMEN'S ACT............................................................
4.61, 4.69
SEARCH AND SEIZURE......................................................
162.5-162.7, 162.21, 162.22
SEARCH OF PERSONS, BAGGAGE, AND MERCHANDISE.............................
162.6
SEARCH OF BUILDINGS
Dwelling, search rooms..................................................
162.13
On boundary line........................................................
123.81
Warrants................................................................
Part 162, subpart B
Application for.........................................................
162.11
Requirements............................................................
Part 162, subpart B
Seizure without.........................................................
162.21
SEARCHING AND BOARDING OF VESSELS AND VEHICLES..........................
162.3, 162.5
SEA STORES
Excessive...............................................................
4.39(d)
Manifesting.............................................................
4.7, 4.7a
Narcotics included in...................................................
4.39(e)
Retained on board vessel................................................
4.7
Sealing and release.....................................................
4.11
Transfer, landing.......................................................
4.39
Vessels proceeding foreign via domestic ports...........................
4.87
Vessels with residue cargo for domestic ports...........................
4.85
Wrecked or dismantled vessels...........................................
4.40
SECURITIES, ETC., CARRIAGE ON VESSELS...................................
4.61
[[Page 1065]]
SEDITIOUS MATTER, PROHIBITED FROM ENTRY.................................
12.40
SEEDS, AGRICULTURAL AND VEGETABLE
Entry procedure.........................................................
12.16
Prohibited entry, when..................................................
12.16
Samples and sampling....................................................
12.16
SEIZURE
Abandoned merchandise...................................................
123.81
Addressee of mail articles to be notified of............................
145.59(b)
Alcoholic beverages, containers not labeled.............................
12.38
Alcoholic beverages imported in the mails...............................
145.54(b)
Appraisement of.........................................................
162.43
Articles requiring inspection by other Government agencies, disposition
of......................................................................
162.46(b)
Claim for...............................................................
162.47
Compromise of claims....................................................
161.5
Contrary to law.........................................................
145.4, 162.21, 162.22
Contributions in general average........................................
141.112(f)
Conveyances importing contrary to law...................................
162.22
Criminal or civil action--Reports to U.S. attorney......................
162.32(c), 162.47(d), 162.65(d), 172.2
Destruction of forfeited property, when.................................
162.46(d), 162.50
Disposition of goods summarily forfeited................................
133.42, 162.46
Duties on...............................................................
148.18(a)
Expenses, payment of....................................................
162.51(a)
Exporting merchandise contrary to law...................................
161.2
Forfeiture and sale of..................................................
162.45-162.48
Immoral articles, etc...................................................
12.40, 12.41
Liens for freight and other charges.....................................
171.44
Limited under section 592, Tariff Act of 1930, as amended...............
162.75
Mail importations contrary to law.......................................
Part 145, subpart E
Marihuana...............................................................
Part 162, subpart F
Merchandise imported contrary to law....................................
162.21, 162.22
Narcotics and certain other drugs.......................................
Part 162, subpart F
Penalty, demand for payment of, articles of small value.................
162.31(c)
Perishable or liable to waste or deteriorate in value--Sale of..........
162.48, 162.49
Persons other than Customs officers making..............................
162.21(b)
Pre-Columbian artifacts.................................................
12.109
Receipts................................................................
162.15, 162.21(a)
Release of
Payment of appraised value..............................................
162.44
Petitions for...........................................................
162.31, 171.11, 171.21, 171.52
Release of information--pending seizures and investigations.............
103.12, 103.13
Reports to U.S. attorney, when required.................................
12.103, 162.32(c), 162.47(d), 162.65(d), 172.2
State officers, by--Adoption of by Customs..............................
162.21(c)
Summary sale............................................................
162.45, 162.46, 162.48
Switchblade knives......................................................
12.97, 12.101-12.103
Taxes on................................................................
148.18(a)
Transfer to other district for sale.....................................
162.46(c)
Vehicles used in or employed to aid in lawful importation of merchandise
162.22
[[Page 1066]]
Warrant, without, when..................................................
162.11
Who may make............................................................
162.21
SEMEN, HONEYBEE.........................................................
12.32
SERUMS
For treatment of domestic animals--Entry procedure......................
12.17-12.20
For treatment of man--Entry procedure...................................
12.21-12.23
SERVICES
Officers, reimbursable..................................................
24.17
Overtime, charges for...................................................
24.16
SET-OFF CLAIMS..........................................................
24.72
SETTLEMENT TEST, ORES AND CRUDE METALS--ASSAYING AND SAMPLING...........
151.52, 151.54
SHIPMENTS ARRIVING ON ONE VESSEL OR VEHICLE, CONSIGNED TO ONE
CONSIGNEE--SEPARATE ENTRIES FOR, WHEN...................................
141.52
SHIPPER'S EXPORT DECLARATIONS
Aircraft................................................................
122.76
Bond for, cancellation of--Liquidation damages..........................
113.54, 172.22,
Bond for--Form..........................................................
113.14
Confidential treatment of information...................................
103.31(d)
Filing of...............................................................
4.61, 4.63, 4.75, 4.84
Filing of, in event of war..............................................
4.75(c)
Incomplete--Bond........................................................
4.75, 4.84
Penalties...............................................................
171.21, 171.31
Vessel proceeding foreign via domestic ports............................
4.87
SHIPPING ARTICLES.......................................................
4.61, 4.69
SHIPPING COMMISSIONER, EXECUTION OF SHIPPING ARTICLES BEFORE............
4.69
SHIPPING RECEIPT, ENTRY ON..............................................
141.11
SHIPS' STORES
Landing of..............................................................
4.39
Manifesting.............................................................
4.7, 4.7a
Retention on board......................................................
4.7
Transfer of.............................................................
4.39
Vessels proceeding foreign via domestic ports...........................
4.87
Vessels with residue cargo for domestic ports...........................
4.85
Wrecked or dismantled vessels...........................................
4.40
SHOOKS AND STAVES
Certificate of exportation..............................................
10.5
Certificate of foreign shipper and box matter--Form.....................
10.6
Declaration of importer, when required..................................
10.6
Definition..............................................................
10.5(b)
Exported and returned...................................................
10.5, 10.6
Notice of intent to export..............................................
10.5
SHORTAGES
Duty allowance..........................................................
158.3
In packages.............................................................
158.5, 158.6
Withdrawal for export from manufacturing warehouse......................
19.15
SILVER ARTICLES, FALSE MARKING OF--PENALTY..............................
11.13
SIMILAR MERCHANDISE--VALUATION-DEFINED, TRADE AGREEMENT ACT OF 1979.....
152.102(i)
Transaction value of....................................................
152.104
SIMULTANEOUS VESSEL TRANSACTIONS--BOND..................................
4.90
SINGAPORE FREE TRADE AGREEMENT (See, UNITED STATES-SINGAPORE FREE TRADE
AGREEMENT)
SINGLE ENTRY FOR SPLIT SHIPMENTS........................................
141.57
SINGLE ENTRY FOR UNASSEMBLED OR DISASSEMBLED ENTITIES...................
141.58
[[Page 1067]]
SINGLE INVOICES.........................................................
141.61(f)
SIRUPS (See, SUGAR, SIRUPS, AND MOLASSES)
SKINS--Seal or Sea-Otter................................................
12.60-12.63
SMUGGLING...............................................................
122.167, 148.18(a), 162.22, 162.31(b)
SMUGGLING, PASSENGERS' BAGGAGE--PENALTY.................................
148.18
SOFTWOOD LUMBER FROM CANADA.............................................
12.140
Entry code..............................................................
12.140
Basic importation and entry bond conditions.............................
113.62(k)
Certificate of origin...................................................
Index to Part 163
Export permit...........................................................
Index to Part 163
SOFTWOOD LUMBER FROM ANY COUNTRY........................................
12.142
SOUND RECORDING--RECORDATION COPYRIGHTS.................................
133.32(f)
SPECIAL CUSTOMS INVOICE.................................................
141.83, 141.89
SPECIAL DUTY-FREE TREATMENT FOR SUB-SAHARAN AFRICAN COUNTRIES...........
10.178a
SPLITTING OF SHIPMENTS
Immediate transportation at port of origin..............................
18.11
Transportation and exportation entries..................................
18.24
Withdrawals for transportation and exportation..........................
144.32, 144.36, 144.37
STAINED OR PAINTED GLASS WINDOWS FOR HOUSES OF WORSHIP..................
10.52
STAMPING
Cigarette papers and tubes..............................................
11.3
Liquors in casks and similar containers.................................
11.6
Medicinal preparations..................................................
11.1
Perfumery...............................................................
11.1
Tobacco products, returned domestic.....................................
11.1, 11.2
STAMPS
Customs inspection--Cigars, etc., imported in mails.....................
11.1, 145.13
Postage
Illustrations of, prohibited entry--Exceptions..........................
12.48
Revenue, illustrations of, prohibited entry--Exceptions.................
12.48
STANDARDS, OFFICIAL COTTON, FOR LENGTH OF STAPLE........................
Part 151, subpart F
STANDARDS, OFFICIAL, FOR GRADES OF WOOL.................................
Part 151, subpart E
STAPLING OF COTTON......................................................
Part 151, subpart F
STATE INSPECTION AND FEES--CLEARANCE OF VESSELS WITHHELD FOR COMPLIANCE.
4.61
STATE LAWS PROHIBITING SALE OF FORFEITED PROPERTY.......................
162.46(c)(2)
STATEMENT PROCESSING....................................................
24.1, 24.25
STATES AND THEIR INSTRUMENTALITIES NOT EXEMPT FROM PAYMENT OF DUTY......
141.1(e)
STATIONS, CUSTOMS.......................................................
101.4
STATUARY
Original--Free entry evidence required..................................
10.48
Sculptures, patterns, models, etc., imported by institutions............
10.43
STATUTE OF LIMITATIONS..................................................
171.64, 172.43
STEEL PRODUCTS
Entry or admission of certain steel products............................
12.145
STIPULATION OF LESSEES OF BONDED WAREHOUSES.............................
19.2(b)
STIPULATIONS............................................................
176.21
[[Page 1068]]
STOCKPILING, STRATEGIC AND CRITICAL MATERIALS FOR.......................
10.100-10.104
STOLEN OR EMBEZZLED MOTOR VEHICLES, ETC., TAKEN TO MEXICO AND RETURNED..
123.82
STOPPING VEHICLES OR PERSONS............................................
162.5, 162.7
STORAGE CHARGES ON GOODS IN PUBLIC STORES...............................
19.7, 24.12
STORAGE, GOODS IN MANUFACTURING WAREHOUSES..............................
19.13
STORAGE OF CARGO--FORM..................................................
4.12, 4.62
STORE LIST OF VESSEL SUPPLIES WITHDRAWN.................................
10.60
STOREKEEPERS (See, WAREHOUSE OFFICERS, CUSTOMS)
STORES AND EQUIPMENT OF VESSELS, LANDING OF
Entry, when required....................................................
4.39
Wrecked or dismantled vessels...........................................
4.40
STORES, SEA AND SHIPS'
Issuing of, while under seal............................................
4.11
Permit or special license for unlading or lading--Form..................
4.30
Sealing of, when........................................................
4.11
STRATEGIC AND CRITICAL MATERIALS, STOCKPILING...........................
10.100-10.104
STRIP STAMPS
Bottles and similar containers..........................................
11.7
Liquor in passengers' baggage...........................................
148.26, 148.27, 148.51, 148.64
When not required.......................................................
148.26(b)
SUBPOENA FOR CUSTOMS DOCUMENTS..........................................
Part 103, subpart B
SUBSTANTIAL TRANSFORMATION..............................................
10.14(b), 10.16(c), 10.195(a), 10.196, 102.20, 134.1, 134.35
SUBSTITUTION OF FORMS...................................................
4.99, 122.5
SUGAR, SIRUPS, AND MOLASSES
Allowance for moisture in raw sugar.....................................
151.23
Closets.................................................................
151.30
Definitions, degree, sugar degree, total sugars.........................
151.22
Estimated duties on raw sugar refund....................................
151.22
Expense of unlading, weighing, sampling, etc............................
151.29
Facilities for unlading bulk sugar......................................
151.24
Molasses, Blackstrap....................................................
10.139
Molasses or syrups gauging of, discharged in storage tanks..............
151.28
Molasses or syrups in tank cars, certificate necessary..................
151.26
Weighing and sampling done at time of unlading..........................
151.27
SUMMONS--Defined........................................................
163.1(j), 163.7
SUPERVISION.............................................................
111.1, 111.2, 125.2, 146.4
SUPPLEMENTAL PETITION FOR RELIEF FROM LIQUIDATED DAMAGES OR PENALTIES
SECURED BY BONDS........................................................
Part 172, subpart E
SUPPLEMENTAL PETITION FOR RELIEF FROM UNSECURED PENALTIES OR FORFEITURES
Part 171, subpart G
SUPPLIES
Sealing of railway cars.................................................
123.11
Vessels, for--Bond......................................................
10.60-10.64
SUPPLIES WITHDRAWN FROM BONDED WAREHOUSE FOR
Aircraft and vessels....................................................
10.59-10.65
[[Page 1069]]
SURETIES, LIABILITY UNDER WAREHOUSE ENTRY BOND..........................
144.2
SURETIES ON BONDS.......................................................
Part 113, subpart D, 141.41
SURETIES ON BONDS--ASSENT TO EXTENSION OF TIME ON BONDS.................
113.44
SURPLUS PROCEEDS FROM SALE--UNCLAIMED MERCHANDISE--DISPOSITION OF--CLAIM
FOR.....................................................................
127.36
SWITCHBLADE KNIVES
Definitions.............................................................
12.95
Forfeiture..............................................................
12.102
Importations allowed
Common and special purpose knives--utilitarian use......................
12.96
Permitted by statute....................................................
12.98
Importations allowed/prohibited.........................................
12.97
Notice of seizure.......................................................
12.101(b)
One-armed person........................................................
12.98(c), 12.99(a)(3), 12.99(c)(2)
Procedures for permitted entry..........................................
12.99
Report to U.S. attorney.................................................
12.103
Seizure of prohibited switchblade knives
Importations in good faith--exportations................................
12.100
Inadmissible importations...............................................
12.101(a)
T
TABLE OF NAVIGATION FEES TO BE POSTED...................................
4.98
TAPESTRIES, GOBELIN.....................................................
10.54
TARE
Actual--Invoice--Schedule...............................................
Part 159, subpart B
Excessive moisture and other impurities.................................
158.13
TAXES ON SEIZED MERCHANDISE.............................................
148.18(a), 148.19
TAXICABS
Domestic, repaired abroad...............................................
123.17
Foreign-owned, brought in for hire......................................
10.41, 123.14, 123.15
Taken abroad for hire, return...........................................
123.16
Taken abroad for temporary use--Tariff status on return.................
123.16
TEAS
Baggage, in.............................................................
148.23(d)
Importation procedure...................................................
12.33
TEMPORARY IMPORTATION BOND
Amount of...............................................................
10.31
Application for extension...............................................
10.37
Cancellation............................................................
10.39
Cash deposit in lieu of surety, refund of...............................
10.31, 10.40
Entry--
Liquidation.............................................................
10.31(h)
Substitute for another entry............................................
10.31
Exportation of articles under--Landing certificate, when required.......
10.38, 10.39
Entry--Form and contents................................................
10.31
Liquidated damages, when assessed.......................................
10.39
Merchandise destroyed by casualty or during experiment..................
10.39
Proof of purpose--
Models of women's wearing apparel.......................................
10.35
Theatrical effects......................................................
10.33
[[Page 1070]]
TESTING.................................................................
115.31, 115.66, 151.54, 151.71,151.73
TEST--VALUES-RELATED PARTY TRANSACTIONS, TRADE AGREEMENTS ACT OF 1979
Test programs...........................................................
101.9
Transaction value.......................................................
152.103(l)(2)
TEXTILE AND APPAREL ARTICLES
African countries.......................................................
10.211-10. 217
Caribbean countries.....................................................
10.221-10.227
TEXTILE AND APPAREL GOODS UNDER NAFTA...................................
102.25
TEXTILE FIBER PRODUCTS--LABELING........................................
11.12b
TEXTILE MACHINERY--FOR INSTITUTIONS, CONDITIONALLY FREE.................
10.43
TEXTILES AND APPAREL PRODUCTS...........................................
102.21-102.25
THEATRICAL EFFECTS, EXPORTED AND RETURNED...............................
10.68
THEATRICAL SCENERY, PROPERTIES, ETC., BROUGHT IN BY PROPRIETORS OR
MANAGERS OF THEATRICAL EXHIBITIONS--TEMPORARY IMPORTATION BOND..........
10.31, 10.33
THEFT OF MERCHANDISE IN PUBLIC STORES...................................
158.26
THREATS TO TAKE LIFE OR INFLICT BODILY HARM ON ANY PERSON IN U.S., ANY
MATTER ON--PROHIBITED IMPORTATION.......................................
12.40
TIME LIMIT
Discharge of cargo......................................................
4.36
Entry of merchandise....................................................
141.5
TITLE TO UNCLAIMED AND ABANDONED MERCHANDISE VESTING IN GOVERNMENT
Government title to unclaimed and abandoned merchandise.................
127.41
Disposition of merchandise owned by Government..........................
127.42
Petition of party for surplus proceeds had merchandise been sold........
127.43
TOBACCO AND TOBACCO PRODUCTS
Baggage, nonresidents...................................................
148.43, 148.44
Baggage, residents......................................................
148.33
Cuban leaf tobacco--Examiners...........................................
151.111
For consumption on vessel or aircraft...................................
10.65
Mail importations.......................................................
145.13
Packing and marking requirements........................................
11.1, 11.2
TONNAGE OF VESSELS, VERIFICATION OF.....................................
4.61, 4.65
TONNAGE TAX
Exemptions..............................................................
4.21
Noncitizen officers of vessels..........................................
4.20
Panama Canal, vessels passing through...................................
4.20(e)
Payment of--Certificate--Form...........................................
4.23
Rates--Table............................................................
4.20
Refund of...............................................................
4.24
Special--Exemptions.....................................................
4.20, 4.22
Vessels, coastwise, touching at Canadian ports..........................
4.83
Vessels touching at foreign port while in coastwise trade...............
4.82
Wrong tonnage on document--How fixed....................................
4.20
Yachts..................................................................
4.21(b)(5)
TONNAGE YEAR--HOW COMPUTED..............................................
4.20
TOOLS OF TRADE BY NONRESIDENTS SOJOURNING TEMPORARILY IN U.S.--TEMPORARY
IMPORTATION BOND........................................................
10.31, 10.36
TOOLS OF TRADE OF IMMIGRANTS OR PERSONS RETURNING FROM ABROAD, ENTRY
PROCEDURE...............................................................
148.53
[[Page 1071]]
TOUCH AND TRADE.........................................................
4.15, 4 N 28
TOWING OPERATIONS.......................................................
4.92
TOXIC SUBSTANCES CONTROL ACT............................................
12.118-12.127
TOXINS
For treatment of domestic animals--Entry procedure......................
12.17-12.20
For treatment of man--Entry procedure...................................
12.21-12.23
TRADE FAIRS
Abandonment.............................................................
147.46, 147.47
Articles which may be entered...........................................
147.2
Compliance, provisions of Plant Quarantine Act of 1912, and Federal
Food, Drug and Cosmetic Act.............................................
147.23
Definitions.............................................................
147.1
Detail of Customs officers to protect revenue--Expenses.................
147.32
Disposition of articles entered for fairs--Entry or transfer--
Destruction--Abandonment, voluntary or mandatory--
Exportation.............................................................
Part 147, subpart E
Entry--Appraisement--Procedure..........................................
Part 147, subpart B
Invoices--Marking--Bond.................................................
147.3, 147.12, 147.21, 147.22
Requirements of other laws..............................................
Part 147, subpart C
TRADE PROMOTION ACTS (See, Free Trade Agerements)
TRADEMARKS; Recordation.................................................
Part 133, subpart A
TRADEMARKS AND TRADE NAMES..............................................
133.21-133.24
Importations violating..................................................
Part 133, subpart C
TRADEMARKS AS SPECIAL MARKING...........................................
11.9
TRADE NAMES; Recordation................................................
Part 133, subpart B
TRANSACTION VALUE.......................................................
152.103
TRANSACTION VALUE--IDENTICAL AND SIMILAR MERCHANDISE....................
152.104
TRANSFER OF CARGO AND PASSENGERS--AMERICAN VESSELS......................
4.91
TRANSFEREES
Liability for duties....................................................
144.2
Rewarehouse entry--Procedure............................................
Part 144, subpart E
Rights and privileges, warehouse merchandise--..........................
Part 144, subpart D
Withdrawals by--
For consumption.........................................................
144.31, 144.38
For exportation.........................................................
144.31, 144.37
TRANSIT AIR CARGO (See, Aircraft)
TRANSIT AIR CARGO MANIFEST (TACM).......................................
Part 122, subpart L
TRANSPORTATION AND EXPORTATION
Baggage--
For examination at port of destination..................................
18.13
For exportation in transit through U.S..................................
18.14, 123.31, 123.52
Bond for--Form..........................................................
113.14
Cargo not sealed allowed to proceed.....................................
18.4
Carriers--Bonds.........................................................
18.1
Change of destination...................................................
18.23
[[Page 1072]]
Change of Entry.........................................................
18.23
Common carrier not available............................................
18.20
Diversions at port......................................................
18.5
Entries, kinds..........................................................
18.10
Entry procedure--Form...................................................
18.20, 122.92
Examination of merchandise by agents of the Surface Transportation Board
and trunk line associations.............................................
18.9
Exit, procedure at port.................................................
18.22, 122.92
Foreign manifests.......................................................
123.32
Forwarding port, procedure at...........................................
18.20
Immediate transportation without appraisement...........................
18.11, 122.92(b)
In transit through U.S..................................................
18.20, Part 123, subparts C and D
Irregular delivery (shortages)..........................................
18.6, 18.8
Labeling of packages in lieu of sealing.................................
18.4, 122.92(f), 122.92(g)
Liability of carrier....................................................
18.8
Limit of time merchandise may remain in U.S.............................
18.24, 18 N 9
Manifests, disposition..................................................
18.2, 18.3, 122.93
Merchandise entered for, when treated as unclaimed......................
18.2, 18 N 9
Nonbonded goods with bonded.............................................
18.4
Receipt by bonded common carrier........................................
18.2
Restricted and prohibited merchandise...................................
18.21-18.23
Retention of goods on dock..............................................
18.24
Sealing of conveyances..................................................
18.4, 122.92(f)
Short shipments.........................................................
18.6, 18.8
Shortages of irregular deliveries, report of--Penalty...................
18.6, 18.8
Splitting of shipments..................................................
18.24, 122.92(d)
Transportation and exportation warehouse withdrawals....................
Part 144, subpart D
Warehouse and rewarehouse withdrawals for transportation................
144.22, 144.36, 159.7
Warehouse withdrawals for exportation...................................
144.32, 144.37
Warning cards on cars, etc..............................................
18.4
Withdrawals from smelting and refining warehouse........................
19.20
TRANSPORTATION OF WILD ANIMALS AND BIRDS--RESTRICTIONS..................
12.27
TRANSPORTATION ORDERS--DEFENSE PRODUCTION ACT OF 1950...................
4.74
TRANSSHIPMENT--BONDED MERCHANDISE.......................................
18.3
TRANSSHIPMENT OF CARGO..................................................
4.91
TREASONABLE LITERATURE, ETC.............................................
12.40
TRUCK SHIPMENTS TRANSITING CANADA.......................................
123.41
TRUCK SHIPMENTS TRANSITING THE U.S......................................
123.42
TRUCKS
Brought in for temporary use in international traffic...................
10.41, 123.14
Domestic, repaired abroad...............................................
123.17
Fees, commercial trucks.................................................
24.22(c)
Foreign-owned brought in for hire.......................................
10.41, 123.14, 123.15
Taken abroad for temporary use--Tariff status on return.................
123.16
Taken abroad under hire and returned....................................
123.16
TRUNK LINE ASSOCIATIONS--MERCHANDISE SHIPPED IN BOND, EXAMINATION BY....
18.9
TRUST TERRITORIES.......................................................
191.5
``TWENTY-FOUR HOUR'' RULE (``24-hour'' rule)............................
4.7
[[Page 1073]]
U
UNASSEMBLED ENTITIES....................................................
141.58
UNCLAIMED AND ABANDONED MERCHANDISE
Allowance in duties.....................................................
Part 158, subpart D
Application to abandon..................................................
158.42, 158.43
Appraisement of.........................................................
127.23
Auctioneer's commission.................................................
127.34
Cartage.................................................................
125.14
Defined.................................................................
127.11
Dutiable status after 1 year............................................
127.14
Duty deficit collectible from consignee, when...........................
127.37
Entry of, before sale...................................................
127.14
Exportation of--Controlled..............................................
161.2
Immediate transportation entry after 6 months from date of importation,
when permitted..........................................................
127.2
Involuntarily, abandonment of...........................................
127.12
Plants and plant products...............................................
12.13
Sale --
General procedure.......................................................
127.21-127.27
Notice of--Catalogs.....................................................
127.26
Perishable..............................................................
127.28(c)
Proceeds, claim for surplus.............................................
127.36
Proceeds, disposition of................................................
127.31
Proceeds insufficient...................................................
127.37
Proceeds, surplus, payable to owner or consignee........................
127.36
Special items, i.e., drugs, arms, tobacco and alcoholic beverages.......
127.28
Storage.................................................................
127.13
Time period--abandonment................................................
158.43(c)(2)
Time period--destruction................................................
158.43(d)(2)
Transportation and exportation, merchandise entered for, when treated as
18.20, 18 N 9
Unordered goods not accepted by consignee...............................
141.1(f)
Warehouse entry when not permitted......................................
127.14
Withdrawal from sale....................................................
127.14(b)
UNCLAIMED FOR UNACCOMPANIED BAGGAGE.....................................
148.7
UNDERVALUATION, ENTRY BY MEANS OF FALSE INVOICES, DOCUMENTS, PRACTICES,
ETC.--PENALTY...........................................................
148.19
UNDERWRITERS
Certificate of, for bonded warehouse....................................
19.2
Entry by................................................................
141.13
UNFAIR COMPETITION; Patent owner import survey..........................
12.39
UNFAIR PRACTICES IN IMPORT TRADE--BOND..................................
113.62
UNITED NATIONS AND ITS SPECIALIZED AGENCIES.............................
148.87, 148.88
UNITED STATES, CERTAIN CLASSES OF PERSONS IN THE SERVICE OF, AND THEIR
FAMILIES--FREE ENTRY OF PERSONAL AND HOUSEHOLD EFFECTS..................
148.71
UNITED STATES-BAHRAIN FREE TRADE AGREEMENT..............................
Part 10, subpart N
UNITED STATES-CANADA FREE TRADE AGREEMENT...............................
Part 10, subpart G
UNITED STATES-CHILE FREE TRADE AGREEMENT................................
Part 10, subpart H
UNITED STATES-JORDAN FREE TRADE AGREEMENT...............................
Part 10, subpart K
UNITED STATES-KOREA FREE TRADE AGREEEMNT................................
10, subpart R
UNITED STATES-MOROCCO FREE TRADE AGREEMENT..............................
Part 10, subpart M
UNITED STATES-OMAN FREE TRADE AGREEMENT.................................
Part 10, subpart P
UNITED STATES-SINGAPORE FREE TRADE AGREEMENT............................
Part 10, subpart I
UNIT PRICE--VALUATION-DEFINED, TRADE AGREEMENTS ACT OF 1979.............
152.102(k)
[[Page 1074]]
UNLADING
Crews effects...........................................................
Part 148, subpart G
Merchandise or baggage, from contiguous country.........................
123.8
Vessels--Permit or special license, form................................
4.30
USER FEES...............................................................
24.22, 111.96
U.S.
American goods returned consigned to--Free entry procedure..............
10.103
Articles for any department, bureau, or division of.....................
10.46, 10.100-10.104, 141.102(d), 145.37
Books, engravings and other articles, conditionally free................
10.46, 145.37
Emergency purchases abroad by armed forces..............................
10.100-10.104
Enforcement of laws administered by agencies other than Customs.........
161.2
Entry and liquidation procedure.........................................
10.100 -10.104, 141.83(d)(8), 141.102(d)
Fisheries--See ``Fisheries, American''..................................
10.78
Mail importations for offices or officials..............................
145.37
Shipments consigned to Government departments, bureaus, etc.--Entry of..
10.100-10.104, 141.83(d)(8), 141.102(d)
Strategical and critical materials, stockpiling.........................
10.102
U.S. AGENCIES
Books, engravings, etc., conditionally free.............................
10.46, 145.37
U.S. ATTORNEYS, REPORTS TO, IN CIVIL, CRIMINAL, PENALTY, OR FORFEITURE
CASES, WHEN REQUIRED....................................................
162.32(c), 162.47(d), 162.65(d), 172.3
U.S. DEPARTMENT OF AGRICULTURE--MEAT AND MEAT-FOOD PRODUCTS FOR EXPORT,
INSPECTION BY...........................................................
4.61, 4.72
U.S. MARITIME ADMINISTRATION
Vessels exempt from penalties...........................................
162.22(e)
U.S. OBLIGATIONS ACCEPTED IN LIEU OF SURETIES ON BONDS..................
113.39
U.S., VESSELS OWNED BY--Bond not required to unlade on bonds............
4.30
V
VALUE
Absence of, cannot be determined........................................
152.107
Advances in--Notice to importer.........................................
152.2
Articles assembled abroad and exported to the U.S. prior to July 1, 1980
10.18
Baggage.................................................................
148.13(d), 148.24, 148.33
Basis upon which appraisement is made...................................
152.101
Computed value..........................................................
141.88
Cost of production--When to be shown on invoice.........................
141.88
Date of exportation.....................................................
152.1(c)
Declarations............................................................
148.13(d)
Entered value, how shown on entry.......................................
141.61
Furnishing of information to importer...................................
152.26
Further processing......................................................
152.105(i)
Immediate transportation entry, used on.................................
18.11
Importer to show on entry...............................................
141.90(c)
[[Page 1075]]
Rewarehouse entries.....................................................
144.41(e)
Seized property or penalty..............................................
162.43
Time of exportation.....................................................
152.1(c)
VEGETABLE OILS--OLIVE, PALM-KERNEL, RAPESEED, SUNFLOWER, AND SESAME--
DENATURING--RELEASE, REQUIREMENTS FOR...................................
10.56
VEHICLE, ROAD, CERTIFICATION............................................
Part 115
VEHICLES
Automotive products--Canadian article...................................
10.84
Bond--Form..............................................................
113.62-113.64
Common carrier, clearance of............................................
162.22
Compensation of Customs officer assigned to board--Proceeding between
ports...................................................................
24.17(a)(7)
To protect the revenue..................................................
24.17(a)(1)
Contiguous countries, from--Report and Manifest--Permits--Penalty.......
Part 123, subpart A
Detention of, to secure payment of personal penalties...................
162.22(d)
Entry...................................................................
12.73, 12.74, 12.80
Exportation of used.....................................................
Part 192, subpart A
Forfeited, petition to be filed.........................................
162.31, 162.32
Forfeiture and sale of..................................................
162.45, 162.46, 162.47
Holding and proceeding against, for payment of penalty..................
162.22
Inspection..............................................................
Part 162, subpart A
Lading without special license or permit................................
162.22
Manifest--
Disposition of..........................................................
4.7
Examination of..........................................................
162.5
Marking of licensed cartage and lighterage..............................
112.27
Motor vehicles--Canadian article........................................
10.84
Motor vehicles--Clean Air Act--emission standards.......................
12.73
Motor vehicles--safety standards........................................
12.80
Narcotics and certain other drugs--Unmanifested--Unladen without permit.
162.65, 162.66
Nonresident--Free entry.................................................
148.45
Overtime, bond--Form....................................................
123.8(c)
Persons and baggage, examination........................................
162.6, 162.7
Petitions, relief from penalties and forfeitures........................
171.2, 171.11
Repair or alteration....................................................
10.36a
Report of arrival.......................................................
123.1(b)
Retention of............................................................
162.22(d)
Safety standards--National Traffic and Motor Vehicle Safety Act.........
12.80
Sealed merchandise arriving in--Penalty.................................
18.4
Search..................................................................
162.5, 162.7
Seized--
Appraisement............................................................
162.43
Award or sale...........................................................
162.45-162.47
Seizure.................................................................
161.2, 162.22
Conveyances.............................................................
162.22
Release of, on payment of appraised value...............................
162.44
Release of, petition for................................................
162.31, 162.32, 171.11
Release on bond.........................................................
162.47, 162.49
[[Page 1076]]
Remission or mitigation of forfeiture...................................
162.31, 162.32, Part 171, subparts B-D
Stolen in Mexico........................................................
123.82
Subject to summary forfeiture--Release under bond.......................
162.47, 162.49
Taken abroad temporarily, tariff status on return.......................
148.32
Transfers to other district for sale....................................
162.46(c)(2)
Claim and bond to stop summary forfeiture...............................
162.47
Seizure by State officers, adoption of, by Customs......................
162.21
Seizure --
When used in or employed to aid in unlawful importation merchandise.....
162.21, 162.22
Stopping and searching..................................................
162.5, 162.7
Unlading without special license or permit..............................
162.22
VEHICLES, MOTOR, ETC., STOLEN OR EMBEZZLED, TAKEN TO MEXICO AND RETURNED
123.82
VESSELS
Advance filing of cargo declaration.....................................
4.7
Alcoholic liquors on vessels not over 500 tons..........................
4.13
American--Transfer of cargo and passengers..............................
4.91
American-built, for foreign account, clearance of.......................
4.61(c)
Army and Navy transports, Customs supervision and search of.............
162.3(b)
Arrival of..............................................................
4.1, 4.2
Arriving with foreign merchandise destined for foreign ports............
4.88, 4.89
Arrival, reports of, Coastwise Trade....................................
4.81
Boarding of.............................................................
162.3, 4.1
Boarding or leaving without permission--Penalty.........................
4.1
Bonds--Forms............................................................
113.62-113.64
Bonded cargo not sealed.................................................
18.4
Bulk merchandise, unlading of, outside port of entry--Expenses
reimbursable............................................................
4.35
Cargo--
Bulk for orders--Manifest, amendment....................................
4.36
Certificate of inspection, verification.................................
4.61, 4.66
Discharge of, exceeding time limit--Compensation of discharging officer.
4.36, 24.17
Discharge of, outside port of entry--Compensation and expenses of
discharging officer.....................................................
24.17
General-order procedure.................................................
4.37
Inward, accounting for..................................................
4.61, 4.62
Recovered from sunk or wrecked vessel or as derelict....................
4.41, 4 N 76, 4 N 78
Unlading, time limit....................................................
4.36
Clearance--
Bond--Unmanifested narcotics............................................
162.65(e)
Common carrier--Penalty incurred by master or owner.....................
162.22(c)
Foreign--Penalty........................................................
4.61, 162.22
Requirements............................................................
4.60, 4.61
Transportation orders issued under Defense Production Act of 1950.......
4.74
When not required.......................................................
4.60
Clearance of--(See also Clearance of vessels)
At other than port of entry--Expenses...................................
24.17, 101.4
Documentation required..................................................
4.61
Neutrality observance...................................................
4.61, 4.73
[[Page 1077]]
Outward foreign manifests required......................................
4.61, 4.63, 4.75
Requirements as to crew list............................................
4.61, 4.68
Requirements as to seamen's act and shipping articles...................
4.61, 4.69
To Panama Canal.........................................................
4.60(c)
To closed ports or places...............................................
4.61, 4.67
When not required.......................................................
4.60
Coasting trade and fishing--Documents required..........................
4.80
Coastwise--
Bonded cargo, report of.................................................
4.81(b)
Clearance...............................................................
4.81, 4.83, 4.84
Entitled to engage in...................................................
4.80
Entry of................................................................
4.81, 4.83, 4.84
Intercoastal movements..................................................
4.86
Passengers on foreign vessels taken on board and landed in the U.S......
4.80a
Report of arrival.......................................................
4.81
St. Lawrence River, via.................................................
4.83
Touching at foreign port................................................
4.82, 4.90
Common carriers, clearance may be refused...............................
162.22
Compensation of Customs officers assigned to board--Proceeding between
ports...................................................................
24.17
To protect the revenue..................................................
4.36, 24.17
Container status messages...............................................
4.7d
Contiguous country, from--Report and manifest--Permits--Penalty.........
123.1-123.8
Convention--Fisheries...................................................
4.96
Crew-Articles landed or taken ashore....................................
148.62-148.66
Crew assisting in unlawful importation of merchandise--Penalty..........
148.67, 162.22
Crew list...............................................................
4.61, 4.68
Crews, articles acquired by.............................................
4.7, 4.81, 148.62-148.66
Cruising license........................................................
4.94
Customs stations........................................................
101.4
Definition..............................................................
4.0
Departure--
Before report or entry--Penalty.........................................
4.6
Time of, definition.....................................................
4.3
Derelict--
Report of arrival.......................................................
4.2
Who may report..........................................................
4.2
Detention of, to secure penalty.........................................
162.22
Discrepancies in cargo correction--Penalty..............................
4.12, 4.62
Discriminating countries, from--Restrictions............................
4.17
Dismantled in American port, hulls and fittings.........................
4.40
Distress--Landing cargo at other than port of destination...............
4.32
Diversion of cargo from port of destination.............................
4.33
Diversion of, while en route............................................
4.91
Diverted after clearance, with supplies withdrawn from warehouse........
10.63
Drawback--Material for original construction and equipment..............
Part 191, subpart M
Dunnage.................................................................
4.39(c)
[[Page 1078]]
Electronic passenger and crew arrival manifests.........................
4.7b
Electronic passenger and crew member departure manifests................
4.64
Engaged in several movements or transactions simultaneously.............
4.90
Enrolled or licensed for coasting trade and mackerel fisheries--
Restrictions............................................................
4.15(d)
Entitled to engage in coastwise trade...................................
4.80
Entry and clearance of records..........................................
4.95
Entry of--
American................................................................
4.9
At other than port of entry--Expenses...................................
24.17, 101.4
Foreign.................................................................
4.9
When required...........................................................
4.3
Equipment purchased abroad for American.................................
4.14
Examination of..........................................................
162.3, 162.5
Export declarations--Vessel proceeding foreign via domestic ports.......
4.87
Fees, commercial vessel.................................................
24.22(b)
Fees for recording documents............................................
4.98
Fees, private vessels...................................................
24.22(e)
Fisheries of U.S.--Limited to American..................................
4.96
Fishing, enrolled and licensed for, touching and trading at foreign
places--Permit--Form....................................................
4.15
Foreign trade--
Touching at intermediate foreign port while proceeding via domestic
ports...................................................................
4.89
Forfeiture and sale of..................................................
162.45-162.47
Formal entry--Oath--Form................................................
4.9
Frontier enrollment and license, under--Touching at foreign port........
4.82, 4.90
Government owned........................................................
4.5
Great Lakes, trade between ports........................................
4.83
Holding and proceeding against, for payment of penalty..................
162.22(d)
Hudson River, proceeding to sea via.....................................
4.83(b)
Importation restrictions--Vessels of less than 30 net tons..............
4.100
Inspection of...........................................................
162.3, 162.5
Lading or unlading without special license or permit....................
4.30
Letters on, disposition.................................................
162.4
Licenses--
Less than 30 net tons...................................................
4.100
Yachts, cruising licenses...............................................
4.94
Light money, table......................................................
4.20
Light money, yachts.....................................................
4.94
Livestock-carrying--Exportation of animals--Inspection..................
4.61, 4.71
Mail, carriage..........................................................
4.61
Manifest--
Examination.............................................................
162.3, 162.5
Incorrect...............................................................
4.12
Inward foreign--Contents--Form..........................................
4.7
Outward foreign.........................................................
4.61, 4.63, 4.75
Vessel proceeding foreign via domestic ports............................
4.87
Marihuana--
Cargo or passenger's baggage............................................
162.65
Unladen without a permit--Penalty.......................................
162.66
Unmanifested--Penalty...................................................
162.65
Maritime Administration, exempted from penalties........................
162.22(e)
[[Page 1079]]
Measuring, expenses of, reimbursable....................................
24.17
Meat inspection certificate required before clearance of--Master's oath.
4.61, 4.72
Merchandise and baggage on vessels not required to enter, report of.....
4.2
Narcotics and certain other drugs, etc.--
Cargo or passenger's baggage............................................
162.65
Clearance...............................................................
162.65(e)
Sea stores..............................................................
4.39
Unladen without permit..................................................
162.66
Unmanifested--Penalties.................................................
162.65
No clearance without issuance of certificate of free pratique...........
4.70
Noncontiguous territory; report of arrival, entry, clearance or
permission to depart to.................................................
4.84
Nonconvention--Fisheries................................................
4.96
Oil discharged into coastal navigable waters --Penalty..................
4.66a, 4.66b
Overage of cargo--Form..................................................
4.12, 4.62
Overtime--Boarding, entry or clearance in connection with--Forms--Bond..
4.10
Panama Canal, transiting, report........................................
4.4
Passenger list, to be submitted by master...............................
4.50
Passengers--
Requirements............................................................
4.50
Passengers and baggage, list............................................
4.7
Permit or special license to unlade or lade--Form.......................
4.30
Persons and baggage, examination........................................
162.6
Petitions, relief from penalties and forfeitures........................
162.31, 162.32, Part 171
Pleasure yachts, when required to be licensed...........................
4.94
Pratique (bills of health), when required...............................
4.9(d)
Preliminary entry of vessels--Certification--Form.......................
4.8
Prematurely discharged or overcarried cargo, disposition................
4.34
Proceeding foreign via domestic ports...................................
4.87
Reexamination and search................................................
162.6
Refuse matter discharged or deposited in navigable waters--Penalty......
4.66a, 4.66b
Repair or alteration....................................................
10.36a
Repairs to American, abroad.............................................
4.14
Residue cargo...........................................................
4.85, 4.86, 4.88
Retention of............................................................
162.22(d)
St. Lawrence River, via.................................................
4.83
Salvage--Restrictions as to.............................................
4.97
Sea, and ships' stores..................................................
4.39, 4.87
Sealed..................................................................
4.11, 18.3, 18.4, 18.4a, 123.24
Sea or medical stores--Narcotic drugs...................................
4.39, 162.65, 162.66
Search of--Baggage and persons..........................................
4.1, 162.6, 162.7
Securities, etc., carriage..............................................
4.61
Seized--
Appraisement............................................................
162.43
Claim and bond to stop summary forfeiture...............................
162.47
Release of, on payment of appraised value...............................
162.44
Release on bond.........................................................
162.47, 162.49(b)
Remission or mitigation of forfeiture...................................
162.31,162.32, Part 171, subparts B-E
[[Page 1080]]
Seizure by State officers, adoption of, by Customs......................
162.21
Seizure --
When used in or employed to aid in unlawful importation of merchandise..
162.21,162.22
When used in unlawful exportation of articles...........................
161.2(b)
Shippers' export declarations...........................................
4.63, 4.75
Shortage of cargo--Form.................................................
4.12, 4.62
Sold under chattel mortgage or conditional sale contract--Petition......
171.13(b)
Special license issued under Anti-Smuggling Act to vessels of less than
30 net tons.............................................................
4.100
Special license to unlade or lade--Form.................................
4.30
Stores and equipment, landing of retention on board--Entry, when
required................................................................
4.39
Stores, sea and ships', sealing of, when................................
4.11
Stow plan...............................................................
4.7c
Subject to summary forfeiture--Release under bond.......................
162.47, 162.49
Supervision of, while in port...........................................
4.1
Supplies and equipment for--
Foreign Trade Zone, Removal.............................................
146.69
Withdrawn from bonded warehouse, Customs custody, internal-revenue
bonded warehouse, etc...................................................
10.59-10.64
Tonnage tax--Exemptions.................................................
4.20-4.22
Towing operations.......................................................
4.92
Transfer to other districts for sale....................................
162.46
Transiting Panama Canal--baggage........................................
148.3
Transports, Government, manifest of passengers and baggage--Form........
4.5
Transshipment of cargo due to casualty..................................
4.31
Undelivered cargo at foreign destination, returned, disposition of......
4.34
Unlading--
Articles by seaman or officer...........................................
Part 148, subpart G
Elsewhere than at port of entry.........................................
4.35
Prior to report or entry--Penalty.......................................
4.6
Unlading or transshipment at other than port of entry to casualty.......
4.31
Unmanifested narcotics, marihuana, and certain other drugs..............
162.65
U.S. Government owned, bond not required to unlade or lade..............
4.30(j)
U.S. Government, supplies withdrawn for.................................
10.59
U.S. ports on Great Lakes and other ports in U.S., trading between......
4.83
Verification of nationality and tonnage.................................
4.61, 4.65
Voyage--
Inward foreign, when completed..........................................
4 N 121
Outward foreign, when begun.............................................
4 N 121
Whale fisheries, privileges and exemptions..............................
4.96
Withdrawal of supplies and equipment from...............................
10.59
Aircraft turbine fuel...................................................
10.62b
Blanket.................................................................
10.62a
Bunker fuel oil.........................................................
10.62
Foreign Trade Zone......................................................
146.69
Warehouse...............................................................
144.35
Wrecked--
Manifest for an entry of cargo..........................................
4.41
[[Page 1081]]
Underwriters or salver of cargo deemed consignee........................
141.13
Yachts..................................................................
4.94, 4.94a
VIRGIN ISLANDS, U.S.....................................................
101.1, 191.5
Drawback................................................................
191.5
Duty....................................................................
148.101, 148.102
Flights to and from.....................................................
Part 122, subpart N
Not ``ports of entry''..................................................
101.1
Unaccompanied shipments from............................................
148.110-148.116
Vessels arriving at or from, examination of persons, baggage, or
merchandise.............................................................
162.6
VIRUSES, SERUMS, AND TOXINS
For treatment of domestic animals--Entry procedures.....................
12.17-12.20
For treatment of man--Entry procedure...................................
12.21-12.23
Mail importations.......................................................
12.17-12.23, 145.57
VOUCHERS, BILLS OF SALE, OR INVOICES; CERTIFICATION.....................
24.34
W
WAGES
Callback................................................................
24.16
Customs--
Employees...............................................................
24.17
Officers................................................................
24.16
Customs Officer Pay Reform Act..........................................
24.16
Federal Employees Pay Act...............................................
24.17
Limitations.............................................................
24.16(h)
Overtime pay............................................................
24.16(e)
Premium pay.............................................................
24.16(g)
Work assignment priorities..............................................
24.16(d)
WAKE ISLAND.............................................................
7.2, 191.5
WAREHOUSE ENTRY
Allowance of duties on..................................................
144.3
Arrival as condition for................................................
141.63
Bond--Form..............................................................
144.13
Estimated duties on.....................................................
144.12
Form and procedure......................................................
Part 144, subparts B and C
Liquidation.............................................................
159.7, 159.9
Transferee--
Liability for duties....................................................
144.2
Rights and obligations of...............................................
144.21-144.31
Transferor--Liability for duties........................................
144.2, 144.21
Unclaimed merchandise...................................................
127.14
WAREHOUSE PROPRIETOR'S BOND--FORM.......................................
113.14
WAREHOUSES
Abandonment of merchandise--Duty allowance..............................
158.41-158.43
Bonded
Alterations or Relocation...............................................
19.3
Amount of bond..........................................................
113.13
Application to bond--Annual Fee.........................................
19.2
Articles exported from, and returned....................................
10.3(d)
Bins for storage of grain...............................................
19.1
Blanket permits to withdraw.............................................
19.6
Bonded stores, definition...............................................
19.1
[[Page 1082]]
Bonds...................................................................
19.2
Buildings or enclosures as..............................................
19.1
Charges after sale of merchandise.......................................
Part 127, subpart D
Deposits................................................................
19.6
Suspensions; discontinuance.............................................
19.3
Withdrawals.............................................................
19.6
Withdrawals for exportation.............................................
144.37
Classes of, description.................................................
19.1
Cleaning, sorting, and repacking--Established for.......................
19.1
Damage or loss of merchandise...........................................
Part 158, subparts B and C
Destruction of merchandise in...........................................
Part 158, subpart D
Discontinuance of.......................................................
19.3
Disposition of merchandise in--
After expiration of warehouse period....................................
127.13, 127.14
Duty paid, undelivered..................................................
127.14
Elevators for storage of grain..........................................
19.1
Examination packages, delivery of.......................................
19.10
Examining, repacking, sampling, transferring merchandise by importers...
19.8
Expenses of labor and storage, merchandise liable for...................
19.7
Fires, lights, and locks................................................
19.4
Importer to designate on entry--the bonded warehouse....................
144.11(c)
Importer's private, definition..........................................
19.1
Liability for duty on merchandise in....................................
144.2, 144.3
Liens for freight.......................................................
19.6
Locks, Customs, required................................................
19.4
Manipulated merchandise--Dutiable weight, etc...........................
159.21, 159.22
Merchandise in, under change of law.....................................
152.12, 152.16, 152.17
New bond, when necessary................................................
19.2
Offices for warehouse officer...........................................
19.4
Protection requirements.................................................
19.1
Public--For merchandise.................................................
19.1
Public store, definition................................................
19.1
Release of merchandise..................................................
19.6, 144.38(e)
Renewal of bond.........................................................
19.2
Recordkeeping, storage..................................................
19.12
Sanitary requirements...................................................
19.4
Stables for storage of animals..........................................
19.1
Stipulation of lessee...................................................
19.2
Storage and labor charges...............................................
19.7, 24.12
Storage tanks for petroleum products....................................
151.45
Suspended status, nonbonded, storage permitted..........................
19.3
Transfer of merchandise from discontinued...............................
19.3
Yards or sheds for bulky articles.......................................
19.1
Cigar manufacturing--
Application for establishing............................................
19.13(b)
Bond--Form..............................................................
19.13, 113.11
Buildings or parts of, designated as....................................
19.13
Byproducts, withdrawal of...............................................
19.15
Constructive manipulation warehouses....................................
19.1
Containers or coverings of materials....................................
19.15
[[Page 1083]]
Entry of goods into--Form--Bond.........................................
19.14
Export procedure........................................................
19.15
Exportation of products required........................................
19.15
Formula of manufacture..................................................
19.13
Free material, application to receive--Form.............................
19.14
Manufacturer's statement................................................
19.15
Manufacturing...........................................................
19.13-19.15
Marking of products.....................................................
19.13
Puerto Rico, liquors withdrawn for shipment to..........................
7.1, 19.15(i)
Rectifying liquors......................................................
7 N 2
Shortages, etc., in transportation--Charge against carrier..............
19.15(m)
Storage of goods........................................................
19.13
Transfer of domestic spirits and wines to...............................
19.14(d)
Waste, withdrawal of....................................................
19.15
Warehouse officer to verify manufacturer's statement....................
19.15(j)
Withdrawals.............................................................
19.15
Inventory control.......................................................
19.12
Period of warehousing...................................................
144.5
Smelting and refining...................................................
19.17-19.25
Assaying of metal-bearing ores and metals...............................
Part 151, subpart D
Bond, renewal...........................................................
19.17
Bond charges and credits, basis for.....................................
19.15
Credit for dutiable metals lost.........................................
19.25
Different establishments, done in.......................................
19.21
Discontinuance..........................................................
19.17
Entry procedure.........................................................
19.17
Establishment of--Application--Bond.....................................
19.17, 113.12
Manufacturer's statements...............................................
19.19
Metal refined from crude metal (imported and produced from imported
materials)..............................................................
19.22
Moisture allowance in ores and metals...................................
151.52, 151.54
Premises, change in list................................................
19.17
Records, manufacturer's, required.......................................
19.19
Sampling procedures.....................................................
19.17, 151.52
Segregation of bonded metal-bearing ores................................
19.17
Theoretical transfer....................................................
19.24
Transfer of credits on bonds............................................
19.24
Wastage, allowance for..................................................
19.18, 19.19
Withdrawal credits......................................................
19.25
Withdrawals for consumption.............................................
19.18
Withdrawals for exportation, credit for.................................
19.20, 19.23
Withdrawals for transfer................................................
19.20, 19.24, 19.25
Storage-manipulation--
Application to manipulate...............................................
19.11
Entry for...............................................................
19.11
Repacking after manipulation............................................
19.11
Requirements............................................................
19.11
Transfer of merchandise.................................................
19.11
Withdrawal from.........................................................
19.11
WARRANTS, SEARCH, PROCURING AND SERVING OF..............................
Part 162, subpart B
WASTAGE--SMELTING AND REFINING..........................................
19.18, 19.19
WATCHES AND WATCH MOVEMENTS FROM........................................
7.4, 11.9, 134.43
[[Page 1084]]
WAX DISKS AS MASTER RECORDS FOR SOUND RECORDS FOR EXPORT................
10.90
WEIGHING
Expenses................................................................
141.86(f)
Sugar, syrup, and molasses..............................................
151.27, 151.29
Tare, determination.....................................................
159.22
Warehoused goods, for exportation or transportation.....................
144.37(e)
Wool and hair...........................................................
151.68, 151.69
WHALE FISHERIES, VESSELS IN, PRIVILEGES AND EXEMPTIONS..................
4.96(h)
WHALES--IMPORTATION AND EXPORTATION RESTRICTIONS........................
12.30
WHEAT...................................................................
19.29-19.34
WILD ANIMALS
Exported for exhibition, return.........................................
10.66
Importation procedure...................................................
10.76, 12.26-12.28
Scientific or educational purposes, for.................................
10.75
WINDOWS, STAINED OR PAINTED GLASS--Houses of worship....................
10.52
WINES (BULK IMPORTATIONS), IN CASKS AND SIMILAR CONTAINERS..............
11.6
WITHDRAWAL OF MERCHANDISE FROM SALE.....................................
127.14
WITHDRAWAL OF SUPPLIES
Aircraft turbine fuel...................................................
10.62b
Blanket.................................................................
10.62a
Bunker fuel oil.........................................................
10.62
WITHDRAWALS, CONDITIONALLY FREE, BOND FOR--FORM.........................
113.62
WITHDRAWALS FOR TRANSPORTATION AND EXPORTATION CONVERTED TO WITHDRAWAL
FOR CONSUMPTION.........................................................
144.37
WITHDRAWALS FROM WAREHOUSE
Bonded manufacturing....................................................
19.15
Consumption
Computation of duties...................................................
141.104
Form and procedure......................................................
Part 144, subpart D
Transferee, when by.....................................................
Part 144, subpart C
Exportation.............................................................
144.37
Manipulated merchandise.................................................
19.11
Period..................................................................
127.14, 144.5
Petroleum products......................................................
151.45
Smelting and refining...................................................
19.18, 19.25
Transportation, for--
Before liquidation......................................................
144.36
Before liquidation without deposit in warehouse.........................
144.36
Entry--Form.............................................................
144.36(c)
Procedure at destination................................................
144.36(g)
Procedure, forwarding...................................................
144.36(f)
Samples withdrawn, duties on............................................
144.36(e)
Vessel supplies--Form...................................................
10.60-10.64
Weighing, gauging, and measuring merchandise for exportation or
transportation..........................................................
144.37(e)
WITHDRAWALS FROM WAREHOUSE OR CUSTOMS CUSTODY--TOBACCO PRODUCTS FOR
CONSUMPTION ON VESSELS--BLANKET WITHDRAWALS--INVENTORIES................
10.65
WITHDRAWAL OF SUPPLIES AND EQUIPMENT FOR VESSELS........................
10.59
[[Page 1085]]
WOOL AND HAIR
Clean content
Determination of by laboratory testing..................................
151.70, 151.71
Expenses of retests.....................................................
151.71(d), 151.73(c), 151.74
Notice to importer required.............................................
151.71(b)
Commercial test, clean content by.......................................
151.73
Definitions of clean pound, clean yield, general sample and sampling
unit....................................................................
151.61
Duties, collection postponed, when......................................
151.66
Duties, how determined..................................................
151.65
Duties on samples.......................................................
151.66
Entry...................................................................
151.63, 151.64
Grading.................................................................
151.76
Invoice requirements....................................................
151.62
Losses, commercial cleaning wool and hair...............................
151.61(b)
Notice of higher rate of duty...........................................
151.76(b)
Notice of percentage clean yield and grade of wool or hair filed with
entry...................................................................
151.64
Official standards for grade............................................
151.76(a)
Retest..................................................................
151.71(c), 151.73, 151.74
Samples drawn by importer, weighed and recorded.........................
151.67
Sampling procedure......................................................
151.68
Standards for grades....................................................
151.76
Weighing................................................................
151.61-151.63, 151.68
WOOL, CARPET, AND CAMEL'S HAIR--BOND--FORM..............................
113.68
WOOL PRODUCTS, LABELING OF..............................................
11.12
WORKS OF ART
Antiquities.............................................................
10.53
Baggage, in.............................................................
148.23
Exhibition, articles for--Bond..........................................
10.49
Gobelin and other hand-woven tapestries.................................
10.54
Professional artists, temporary importations by.........................
10.31
Stained or painted glass windows........................................
10.52
Statuary and casts of sculpture.........................................
10.48
Transfer of imported--For exhibition....................................
10.49
WORKS OF ART, DRAWINGS, ETC., BROUGHT BY PROFESSIONAL ARTISTS,
LECTURERS, OR SCIENTISTS--TEMPORARY IMPORTATION BOND....................
10.31
WRECKED OR ABANDONED AT SEA--ENTRY OF MERCHANDISE.......................
4.40, 4.41, 141.13
WRECKED VESSELS, DISPOSITION OF CARGO AND STORES........................
4.40, 4.41
Y
YACHTS
Cargo and passengers, restrictions in carriage of.......................
4.94(a)
Foreign--
Cruising licenses may be issued.........................................
4.94(b)
Tonnage tax and other charges, when exempt..............................
4.94
Imported for sale.......................................................
4.94a
Pleasure, when required to be licensed..................................
4.94(a)
When exempt from foreign clearances.....................................
4.60(b)(1)
When not required to make entry.........................................
4.94(a)
[[Page 1086]]
Z
ZOOLOGICAL COLLECTIONS OF WILD ANIMALS AND BIRDS........................
10.75
[[Page 1087]]
List of CFR Sections Affected
All changes in this volume of the Code of Federal Regulations (CFR) that
were made by documents published in the Federal Register since January
1, 2009 are enumerated in the following list. Entries indicate the
nature of the changes effected. Page numbers refer to Federal Register
pages. The user should consult the entries for chapters, parts and
subparts as well as sections for revisions.
For changes to this volume of the CFR prior to this listing, consult the
annual edition of the monthly List of CFR Sections Affected (LSA). The
LSA is available at www.fdsys.gov. For changes to this volume of the CFR
prior to 2001, see the ``List of CFR Sections Affected, 1949-1963, 1964-
1972, 1973-1985, and 1986-2000'' published in 11 separate volumes. The
``List of CFR Sections Affected 1986-2000'' is available at
www.fdsys.gov.
2009
19 CFR
74 FR
Page
Chapter I
4 Authority citation amended.......................................2836
4.7 (b)(2) amended; (b)(5) removed................................52677
4.7b (a) amended; interim...................................2836, 25388
4.14 (a) revised; (d), (e), (f), (h) and (j)(1) amended...........53652
10.817 (a)(2) revised; interim....................................23951
Regulation at 74 FR 23951 confirmed............................68680
10.822 (a)(2) revised; interim....................................23951
Regulation at 74 FR 23951 confirmed............................68680
12 Authority citation amended......................................2846
12.104g (a) table amended...................................2843, 10483
12.151 Added;interim...............................................2846
12.155 Undesignated center heading and section removed............48852
19 Authority citation amended.....................................68683
19.6 (a)(1), (b)(1), (2), (c), (d)(1)(i)(A), (2), (3), (4), (5)
and (e) amended; (d)(1)(ii) revised; (d)(1)(iii) added.....68684
19.12 (a)(1), (3), (b)(1), (2), (c)(1), (3), (d)(1), (2), (ii),
(4)(i), (ii), (iii), (5), (e), (f)(1), (2), (5) through
(9), (g), (h)(1), (3), (i) and (j) amended; (d)(3) and
(h)(2) revised.............................................68684
19.36 (a), (b), (c), (f) and (g) amended; (e) revised.............68685
24.24 (c)(8) introductory text, (ii), (d)(3) introductory text,
(e)(2)(i), (ii), (4)(i), (ii), (iii), (iv) introductory
text, (A), (B)(1), (2), (3), (4), (5), (C), (g), (h)(1),
(2) and (3) amended; (c)(8)(i), (e)(1)(ii), (2)(iii) and
(3)(ii) revised............................................61269
101.3 (b)(1) amended................................23111, 28602, 63981
101.5 Revised.....................................................64601
111.2 (b)(2)(i)(C) revised........................................69018
111.13 (f) revised................................................52401
113.62 (k)(1) amended.............................................69018
113 Appendix D correctly revised..................................68377
115.6 Revised.....................................................36926
122 Authority citation amended.....................................2836
122.15 (b) table amended...........................................7647
(b) amended......................................28602, 53882, 53883
122.48a (a) amended; (e) removed..................................52677
122.49a (a) amended; interim.......................................2836
(a) amended; interim...........................................25388
123.91 (a) amended; (e) removed...................................52677
123.92 (a) amended; (e) removed...................................52677
[[Page 1088]]
2010
19 CFR
75 FR
Page
Chapter I
Chapter I Heading revised.........................................12445
4.2 (a) through (d) amended.......................................69585
4.3 (a)(3) and (b)(2) amended.....................................69585
4.9 (a) and (b) amended...........................................69585
4.12 (a)(5)(a) redesignated as (a)(5).............................52450
4.60 (a), (3), (b)(1), (c), (d) and (e) amended...................69585
10 Regulation at 73 FR 33678 confirmed............................50698
Authority citation revised.....................................52450
10.31 Regulation at 73 FR 33678 confirmed; (f) amended............50698
(g) amended....................................................52450
10.36 (a), (b) and (c) amended....................................52450
10.121 Revised....................................................69585
10.191 (b)(1) and (2)(iv) amended.................................52450
10.195 (b) introductory text and (1) amended......................52450
10.411 (a)(2)(vi) amended.........................................52450
10.442 (d)(1) amended.............................................52450
10.470 (a) introductory text amended..............................52450
10.581--10.625 (Subpart J) Regulation at 73 FR 33678 confirmed....50698
10.582 (d)(2) amended.............................................50698
10.583 (c) amended................................................50699
10.592 (d)(1) amended.............................................50699
10.593 (b)(3) and (p) amended.....................................50699
10.595 (d)(2) amended.............................................50699
10.598 (c)(1)(ii) and (3) revised.................................50699
10.606 Revised....................................................50699
10.607 Revised....................................................50699
10.608 Heading revised; amended...................................50700
10.616 (a) introductory text and (4) amended......................50700
10.617 (b)(3)(ii) amended.........................................50700
10.625 (b) introductory text, (c) introductory text and (d)
revised....................................................50700
10.809 (d)(7) and (n) amended.....................................52450
10.811 (a)(1) amended.............................................52450
12 Regulation at 74 FR 2846 confirmed.............................13677
Authority citation revised.....................................52450
Regulation at 73 FR 49937 confirmed............................52455
12.1 (a) amended..................................................52450
12.3 (a) amended..................................................52451
12.8 (a) amended..................................................52451
12.74 Heading, (a), (b)(1), (c)(3)(iii) and (iv) revised; (b)(2),
(c)(1), (2), (3)(i), (ii), (d) and (e) amended.............52451
12.104g (a) table amended.........................................64655
12.112 (b) amended................................................52451
12.123 (b) amended................................................52451
12.140 Regulation at 73 FR 49937 confirmed........................52455
12.142 Regulation at 73 FR 49937 confirmed........................52455
12.151 Regulation at 74 FR 2846 confirmed; eff. 4-22-10...........13677
18 Authority citation amended.....................................52451
18.11 (e) amended.................................................52451
24.23 Regulation at 73 FR 33690 confirmed.........................50698
(c)(9) amended.................................................50700
101.3 (b)(1) table amended.................................24393, 52451
103.31 (e)(2) amended.............................................52452
111.13 (a), (b), (c) and (e) amended..............................52458
118.3 Amended.....................................................52452
122.42 (b)(2) amended.............................................52452
2011
19 CFR
76 FR
Page
Chapter I
4.7 Heading, (b)(3)(i) and (4) introductory text revised; (a),
(b)(1), (2), (4)(i), (ii), (4)(ii)(B), (C), (d)(1)(ii) and
(e) amended................................................27608
4.7a (a), (b), (c)(1), (2)(ii), (iii), (3) introductory text, (4)
introductory text, (xv) introductory text, (d), (e)(1) and
(f) amended................................................27609
4.8 (a) and (b) amended...........................................27609
4.22 Amended......................................................68067
4.30 (n) revised..................................................27609
10 Authority citation amended.......................................701
Regulation at 76 FR 701 confirmed..............................65366
Authority citation amended.....................................68072
10.31 (f) amended; interim..........................................701
Regulation at 76 FR 701 confirmed..............................65366
(f) amended; interim...........................................68072
10.861--10.889 (Subpart P) Added; interim...........................701
Regulation at 76 FR 701 confirmed..............................65366
[[Page 1089]]
10.901--10.934 (Subpart Q) Added; interim.........................68072
12 Regulation at 70 FR 58013 confirmed............................14584
Technical correction...........................................16531
12.104g (a) table amended.....................3014, 13880, 74691, 74695
12.130 Regulation at 70 FR 58013 confirmed........................14584
12.131 Regulation at 70 FR 58013 confirmed........................14584
12.132 Regulation at 70 FR 58013 confirmed........................14584
24.23 (c)(10) corrected; interim....................................708
Regulation at 76 FR 708 confirmed..............................65366
(c)(11) added; interim.........................................68083
101.5 Revised.....................................................22805
102 Regulation at 70 FR 58013 confirmed...........................14584
Technical correction...........................................16531
102.0 Regulation at 70 FR 58013 confirmed.........................14584
102.20 Table corrected; CFR correction............................45402
Table amended..................................................54696
102.21 (c)(3)(ii) revised; (e)(1) table amended...................54697
102.22 Regulation at 70 FR 58013 confirmed........................14584
102.23 Regulation at 70 FR 58013 confirmed; (a) revised...........14584
102.24 Regulation at 70 FR 58013 confirmed........................14584
102.25 Regulation at 70 FR 58013 confirmed........................14584
102 Regulation at 70 FR 58015 confirmed; Appendix amended.........14584
122.15 (b) amended.........................................30823, 31824
122.153 Revised....................................................5060
122.154 (b)(2) revised.............................................5061
123 Heading revised; authority citation amended....................6689
123.71--123.76 (Subpart H) Removed.................................6689
2012
19 CFR
77 FR
Page
Chapter I
4 Authority citation amended......................................73308
4.7 (b)(4) introductory text corrected............................54808
(a) and (d)(1)(i) amended......................................73308
4.21 (b)(11) and (12) removed; (b)(13) through (17) redesignated
as new (b)(11) through (15)................................73308
4.80 (b)(1), (2), (f) and (h) amended.............................73308
4.80a (b), (c) and (d) amended....................................73308
4.83 (a) designation and (b) removed..............................73308
4.85 (a) amended..................................................73308
10 Authority citation amended.......................10369, 15948, 59069
Regulation at 76 FR 68072 confirmed............................64032
10.1 (a) introductory text, (1), (2) introductory text, (b), (e),
(f), (g)(1), (2) introductory text, (3), (h)(1)
introductory text, (2), (3) introductory text, (4)
introductory text, (5), (i) and (j)(2) amended.............72718
10.31 (f) amended; interim........................................15948
(f) amended....................................................59069
Regulation at 76 FR 68072 confirmed............................64032
10.121 (b) revised................................................10369
10.1001--10.34 (Subpart R) Added; interim.........................15948
24.23 (c)(12) added; interim......................................15959
10.901--10.934 (Subpart Q) Regulation at 76 FR 68072 confirmed....64032
10.918 (c)(1)(ii) amended.........................................64032
10.3001--10.3034 (Subpart T) Added................................59069
12.104g (a) table amended....................33625, 41269, 58021, 59543
(a) table correctly amended....................................45479
12.112 (a) corrected; CFR correction..............................64032
24 Authority citation amended.....................................72719
24.5 (f) amended..................................................73308
24.23 (c)(13) added...............................................59080
Regulation at 76 FR 68083 confirmed............................64032
(a)(4) introductory text, (b)(1)(i)(A), (B), (ii), (3), (4)
introductory text, (c)(1) introductory text, (2)(i), (ii), (3),
(4), (5), (d)(1) introductory text, (2), (e)(1) and (2) amended....72719
24.24 (c)(8)(i), (e)(1)(ii), (2)(iii), (3)(ii), (4)(iii), (iv)(A)
and (B)(5) amended.........................................73308
[[Page 1090]]
24.26 (a) through (d), (e)(1), (f) and (g) amended................73308
101.3 (b)(1) amended..............................................75824
101.4 (c) amended.................................................76352
101.9 (a), (2), (b), (1) and (2) amended..........................73309
102.20 Table amended..............................................58932
(f) and (q) amended............................................73309
102.21 (b)(5) and (e)(1) table amended............................58939
102.24 (a) and (b) designation and heading removed................72719
111.23 Revised....................................................33966
122.15 (b) amended................................................73311
122.153 (c) revised...............................................23599
123.4 Introductory text and (a) through (d) amended...............72719
123.92 (b)(2)(i), (ii), (iii) and (c)(2) amended..................72719
127.43 (e) amended................................................73309
128.24 (a) through (d) and (e) introductory text amended..........72720
133 Authority citation amended....................................24378
133.21--133.25 (Subpart C) Heading revised; interim...............24379
133.21 Revised; interim...........................................24379
133.22 (f) amended; interim.......................................24380
133.23 (f) amended; interim.......................................24380
133.26 Amended; interim...........................................24380
2013
19 CFR
78 FR
Page
Chapter I
10 Authority citation amended.....................................63056
10.31 (f) amended; interim........................................63056
10.1009 (c)(2) amended............................................32358
10.1027 (c) redesignated as (d); (d) redesignated as (c)..........32358
10.2001--10.2034 (Subpart S) Added; interim.......................63056
10.3001--10.3034 (Subpart T) amended..............................60192
10.3007 (a) revised...............................................60193
10.3011 (a) amended...............................................60193
10.3013 (b)(1) amended............................................60193
10.3016 (a) introductory text and (c)(1)(i) amended...............60193
10.3027 (c) redesignated as (d); (d) redesignated as (c); new (c)
heading amended............................................60193
10.3034 (a) amended...............................................60193
12 Authority citation amended..............................40390, 40629
12.50 Undesignated center heading and section added...............40390
12.104g (a) table amended..................................56833, 14184
12.152 Added......................................................40629
24.22 (b)(1)(i), (ii), (2)(i), (ii), (3), (c)(1), (2), (d)(1),
(2), (3), (4)(i), (ii), (5), (e)(1), (2), (3)(i), (f),
(g)(1)(ii), (5) introductory text, (6), (7), (8), (i)(3)
and (j) amended; (c)(3), (g)(5) introductory text and (i)
introductory text revised...................................5136
24.23 (c)(14) added; interim......................................63068
101 Authority citation amended....................................54756
101.3 (b)(1) amended.......................................13478, 54756
103.21 Amended....................................................70856
103.22 Amended....................................................70856
103.23 Amended....................................................70856
103.24 Amended....................................................70856
103.25 Amended....................................................70856
103.26 Amended....................................................70856
103.27 Amended....................................................70856
111.13 (b) correctly amended; CFR correction......................41299
2014
(Regulations published from January 1, 2014, through April 1, 2014)
19 CFR
79 FR
Page
Chapter I
12.104g Table amended..............................................2093
(a) table amended........................................2785, 13875
133 Authority citation correctly revised; CFR correction..........14399
[all]