Customs Duty

The Commerce Department issued Federal Register notices on its recently initiated antidumping and countervailing duty investigations on 100- to 150-seat large civil aircraft from Canada (A-122-859/C-122-860). The agency will determine whether imports of Canadian large civil aircraft are being sold in the U.S. at less than fair value or are illegally subsidized. The CV duty investigation covers entries Jan. 1, 2016, through Dec. 31, 2016. The AD duty investigation covers entries April 1, 2016, through March 31, 2017.

CBP published the quarterly Internal Revenue Service interest rates used to calculate interest on overdue accounts (underpayments) and refunds (overpayments) of customs duties (here). For the quarter which began April 1 and ends June 30, the interest rates for overpayments will be 3 percent for corporations and 4 percent for non-corporations, and the rate for underpayments will be 4 percent for corporations and non-corporations. These interest rates are subject to change for the calendar quarter beginning July 1 and ending Sept. 30, CBP said.

SCOTTSDALE, Arizona -- Enhanced trade enforcement provisions, the ability to collaborate on trade facilitation issues and “modernized rules of origin” are among issues CBP would like to see included in NAFTA negotiations, Acting CBP Commissioner Kevin McAleenan said during the West Coast Trade Symposium on May 24. “There's a lot of ways CBP can contribute to that dialogue,” he said. “The way this is unfolding with the importance and access being placed on CBP, I think we'll have that opportunity.” McAleenan also said the timing for the final deployment of ACE should be "announced pretty soon."

Black and perforated square tubes imported by Acme Manufacturing are subject to antidumping and countervailing duties on light-walled rectangular pipe and tube from China (A-570-914/C-570-915), the Commerce Department said in a recent scope ruling. Acme had argued the tubes are not subject to duties because they are square and perforated, come in shorter lengths of three, four and six feet, and are intended for use by “homeowners, do-it-yourselfers, hobbyists, handyman service providers, and other customers.” Commerce disagreed, finding Acme’s black and perforated square tubes meet all of the physical characteristics listed in the scope and finding no exemption language in the scope that could apply to Acme’s tubes. The scope does not say that black or perforated tubes are exempt, Commerce said. Nor is the scope limited by end-use provisions that exempt tubes used by homeowners and do-it-yourselfers, it said.

The International Chamber of Commerce would like to see more "international coherence" among customs regimes on the handling of reusable containers, the group said in a news release (here). There's increasing use of "return-refill" packaging and container systems "where containers are shipped back to the exporter empty after delivery and reused," but the customs treatment of such containers differs by country, the ICC said. "Some customs authorities will impose duties on the empty returning containers, effectively penalising companies for adopting this more sustainable transport method," it said. "Others will ask companies to navigate through lengthy transit procedures that can cost as much in time as the customs duties themselves. Such disparate customs procedures between countries mean that companies shipping their goods in return-refill container systems cannot be certain of the fees, taxes and time their trading will entail."

The Commerce Department issued Federal Register notices on its recently initiated antidumping duty investigations on cold-drawn mechanical tubing of carbon and alloy steel from Germany (A-428-845), India (A-533-873), Italy (A-475-838), South Korea (A-580-892), China (A-570-058) and Switzerland (A-441-801), and its recently initiated countervailing duty investigations on cold-drawn mechanical tubing from India (C-533-874) and China (C-570-059).

International Trade Today is providing a summary of information contained in the Food and Drug Administration’s Foreign Supplier Verification Program final rule and other FDA fact sheets and guidance on the definition of the “FSVP importer” that must comply with the regulations and be identified on entry documentation. Beginning on May 30, 2017, the first of FSVP’s staggered compliance dates (see 1602120038), FSVP importers must begin conducting the activities required by the rule if their supplier:

The high U.S. de minimis level has contributed to an upsurge in overseas distribution centers where higher-value items are broken down into smaller quantities for shipment to the U.S., the National Customs Brokers and Forwarders Association of America said in comments to the Commerce Department on U.S. trade deficits (here). Low reporting standards for de minimis shipments mask the volume of those imports, as the Census Bureau can’t acquire information on those goods, NCBFAA said. This translates to a huge quantity of imports not calculated in the U.S. trade deficit, the association said. Comments from trade groups questioned the validity of the trade deficit as a measure of U.S. economic health and fair trade, while others tied deficits to antidumping and countervailing duty collection issues.

In recent editions of the Official Journal of the European Union the following trade-related notices were posted (here):​​​​​​​

The Commerce Department issued Federal Register notices on its recently initiated antidumping duty investigations on tool chests and cabinets from China (A-570-056) and Vietnam (A-552-821), and countervailing duty investigations on tool chests and cabinets from China (C-570-057).