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2012 Bahrain FTA TPL for Certain Textiles & Apparel Announced

U.S. Customs and Border Protection has issued a memorandum announcing the 2012 Bahrain Free Trade Agreement (BFTA) tariff preference level for certain non-originating textiles and apparel, as provided for in HTS Chapter 99, Subchapter XIV, U.S. Note 13.

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(U.S. Note 13 indicates that the annual TPL limit for each calendar year from 2007 through 2015 is 65,000,000 square meter equivalents (SME). This TPL expires on December 31, 2015.)

2012 TPL Limit is 65 Million SME

The 2012 Bahrain FTA TPL is for the period of January 1, 2012 - December 31, 2012, and opened on January 3, 2012 with a TPL limit of 65,000,000 SME. CBP notes that the HTS Chapter 99 tariff number is 9914.99.20, and "BH" should be used as the primary SPI indicator.

Once the in-quota allocation is filled, goods will be allowed to enter at the normal trade relations (NTR) rate or the general rate of duty as noted in the HTS.

Four "Groups" of Non-Originating Textiles and Apparel Eligible for TPL

HTS Chapter 99, Subchapter XIV, U.S. Note 13 indicates that the following four groups of non-originating textiles and apparel can qualify for this TPL:

Certain cotton/MMF fabric (yarn) -- cotton or man-made fiber (MMF) fabric goods provided for in HTS Chapters 52, 54, 55, 58, and 60 that are wholly formed in Bahrain from yarn produced or obtained outside of Bahrain or the U.S.

Certain cotton/MMF fabric (fiber) -- cotton or MMF fabric goods provided for in 79 specified six- and eight-digit headings in HTS Chapters 58 and 60 that are wholly formed in Bahrain from yarn spun in Bahrain or the U.S. from fiber produced or obtained outside of Bahrain or the U.S.

Cotton/MMF apparel -- cotton or MMF apparel goods provided for in HTS Chapters 61 or 62 that are cut or knit to shape, or both, and sewn or otherwise assembled in Bahrain from fabric or yarn produced or obtained outside of Bahrain or the U.S.

CBP states that whenever goods are classified under this TPL as ensembles in combination with a designated ensemble provision in HTS Chapter 61 or 62, the reporting number shall be for the specific component apparel article in the ensemble and not the ensemble number. Each specific apparel article in the ensemble must be identified separately by using the appropriate HTS Chapter 61 or 62 provisions in combination with 9914.99.20.

Cotton/MMF made-up goods -- cotton or MMF made-up goods provided for in HTS Chapter 63 that are cut or knit to shape, or both, and sewn or otherwise assembled in Bahrain from fabric wholly formed in Bahrain or the U.S. from yarn produced or obtained outside of Bahrain or the U.S.

(As of December 27, 2011, the 2011 TPL for BFTA textiles and apparel was 50.91% filled.)

(See ITT's Online Archives 10010420 for summary of a CBP final rule amending the "imported directly" regulation for the BFTA.)

(QBT-11-582, dated 12/22/11)