CBP Posts FAQ on Instruments of Int’l Traffic Imported with Residue

May 10, 2010 by Cindy Arevalo|Customs

U.S. Customs and Border Protection has posted a frequently asked questions document regarding instruments of international traffic imported into the U.S. with residue.

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(In July 2009, CBP issued HQ H026715 in order to modify HQ 1131291¹ to require that residual material (in containers that were not completely empty when imported) be classified, entered, and manifested. HQ H026715 allows the containers themselves to continue to be considered instruments of international traffic (IIT).

This requirement was slated to take effect on September 16, 2009; but CBP delayed enforcement until further notice.)

CBP states that it prepared its FAQ to assist the trade community in understanding the obligations for transporting carriers concerning the advance electronic cargo information and importers for entry requirements. CBP suggests that the trade continue to monitor the FAQ for changes and updates.

FAQ Addresses Definition of ITT, Estimating Residual Cargo, Etc.

In its FAQ, CBP answers the following questions:

What is the definition of an instrument of international traffic?
How is an IIT, arriving from foreign with residue, manifested and entered?
Who will make the entry (exporter, carrier)?
How will estimates for residual cargo be determined?
How is an IIT that is completely devoid of any residue manifested and entered?
In reading the ruling (HQ H026715), the impression is that this ruling focused on bulk and intermediate bulk containers (IBC), but does CBP intend to enforce on any container with residue, box, barrel, drum, pail, jerrican, can, bag, etc.? Can you please clarify if this ruling applies to all or bulk and IBC only?
Who is considered the shipper and the importer for IIT arriving with residue?
What will happen if the appropriate steps under the CBP regulations cannot be fully implemented by September 16, 2009?

BP is checking with CBP sources regarding certain passages in this FAQ. Once the issues these passages raise are resolved, BP will publish a detailed summary of the FAQ.

¹In HQ 113129, CBP had held that steel containers meeting the requirements of 19 CFR 10.41a as instruments of international traffic and filled with a chemical when exported from the U.S. could be entered as empty when imported back into the U.S., notwithstanding the residue of chemicals remaining in the containers. It was stated that not only was the residue a very small part of the amount of a full container, but it was virtually impossible to completely empty the containers. The residue was not discarded, rather, more chemicals were added to the containers

[See ITT’s Online Archives or 09/14/09 news, (Ref: 09091405), for BP summary of CBP’s enforcement delay.

See ITT's Online Archives or 08/20/09 news, (Ref: 09082030), for BP summary of CBP correcting the effective date of its ruling.

See ITT's Online Archives or 07/21/09 news, (Ref: 09072140), for BP summary of the modification containing the incorrect effective date.

See ITT's Online Archives or 08/26/08 news, (Ref: 08082655), for BP summary of proposed HQ H026715.]

FAQ (posted 05/05/10) available at http://www.cbp.gov/linkhandler/cgov/trade/trade_outreach/advance_info/itt_faqs.ctt/itt_faqs.doc.

CSMS message #10-000118 (dated 05/07/10) available at http://apps.cbp.gov/csms/viewmssg.asp?Recid=17901&page=&srch_argv=10-000118&srchtype=all&btype=&sortby=&sby=.