CBP said it created Harmonized System Update (HSU) 1704 on June 28, containing 2,564 Automated Broker Interface records and 463 harmonized tariff records (here). CBP also said it is expecting a now unsigned presidential proclamation with changes to the Generalized System of Preferences to take effect July 1, but "we are unable to make the necessary modifications until the proclamation is official." The proclamation is unsigned "due to recent differences between the draft documentation and the final legislation," CBP said. The agency will update the system once the proclamation becomes official, it said. The White House issued a proclamation (here) after CBP sent out the CSMS message.
Harmonized Tariff Schedule
The Harmonized Tariff Schedule (HTS) is a reference manual that provides duty rates for almost every item that exists. It is a system of classifying and taxing all goods imported into the United States. The HTS is based on the international Harmonized System, which is a global standard for naming and describing trade products, and consists of a hierarchical structure that assigns a specific code and rate to each type of merchandise for duty, quota, and statistical purposes. The HTS was made effective on January 1, 1989, replacing the former Tariff Schedules of the United States. It is maintained by the U.S. International Trade Commission, but the Customs and Border Protection of the Department of Homeland Security is responsible for interpreting and enforcing the HTS.
The Federal Communications Commission will consider at its July 13 meeting permanently ending the Form 740 requirements for importing radio frequency devices, the agency said (here). "This requirement has become increasingly outdated and burdensome in light of current importation and marketing practices, the information otherwise collected by CBP itself, and the wealth of information available online," the FCC said. "The Order would also modify Commission rules to clarify the compliance requirements related to imported devices and to provide additional flexibility in certain cases." The FCC order needs approval by the agency and could still be modified. If approved, it would go into effect following publication in the Federal Register.
Nan Ya Plastics America filed a petition on June 26 with the Commerce Department and International Trade Commission requesting new antidumping duties on low-melt polyester staple fiber from South Korea and Taiwan. Commerce will now decide whether to begin an AD duty investigation on low-melt polyester staple fiber, which is used in conjunction with other fibers to form a formable material used in automotive headliners, floors, trunks and engine hoods, where padding or barriers for insulation must fit precisely while maintaining a specific shape for long durations, the petition said.
The Coalition for Fair Trade in Ripe Olives filed a petition on June 21 with the Commerce Department and the International Trade Commission requesting new antidumping and countervailing duties on ripe olives from Spain. Commerce will now decide whether to begin AD/CVD investigations on ripe olives, which are a processed product, typically black in color, used on pizzas, sandwiches and salads.
The Commerce Department issued Federal Register notices on its recently initiated antidumping duty investigations on fine denier polyester staple fiber from China (A-570-060), India (A-533-875), South Korea (A-580-893), Taiwan (A-583-860) and Vietnam (A-552-822), and its recently initiated countervailing duty investigations on fine denier polyester staple fiber from India (C-533-876) and China (C-570-061).
Chinese exports of downstream aluminum products, many of which are used in U.S. military and critical infrastructure applications, have eaten into other companies' market share, and the Trump administration should assess tariffs on all aluminum products in Harmonized Tariff Schedule (HTS) Chapter 76, Economic Policy Institute senior economist Robert Scott told Trump administration officials June 22. During a Commerce Department hearing on the administration’s ongoing review of the national security impacts of aluminum imports and potential responses, Scott recommended that the administration exempt Canadian imports from any trade restraints, and said (here) U.S. and Canadian aluminum could supply virtually the entire U.S. market if necessary. He said trade relief should be “predicated on adjusting for China’s attempt to capture control of the entire value chain” through “massive production subsidies and an export tax on primary aluminum designed to channel cheap inputs into manufacturing downstream aluminum products.”
Trade groups are eyeing the miscellaneous tariff bill (MTB) set to be considered in November as a possible vehicle for renewal of the Generalized System of Preferences program, industry executives said in recent interviews. “We’re thinking that those two will be packaged together to move, and so we’re hoping that’ll give additional impetus” to Congress for renewing GSP before the program expires Dec. 31, said American Apparel and Footwear Association (AAFA) Senior Vice President for Supply Chain Nate Herman. AAFA and other stakeholders are feeling an increased urgency to push for renewal after Congress let GSP benefits lapse between 2013 and 2015 before passing trade preferences legislation to re-enact the program (see 1605160032), Herman said.
CBP issued the following releases on commercial trade and related matters:
The International Trade Commission recently launched a Section 201 safeguard investigation on imports of large residential washers, it said in a notice (here). Whirlpool requested the safeguard duties in a petition filed May 31, subsequently amended in early June. The investigation will determine whether to impose a tariff-rate quota on large residential washers imported from any country, though some countries with preferential trade agreements with the U.S. may be exempt, Whirlpool said in its petition.
Archer Daniels Midland, Cargill and Tate & Lyle recently filed a petition with the Commerce Department and the International Trade Commission requesting new antidumping duties on citric acid and certain citrate salts from Belgium, Colombia and Thailand, and new countervailing duties on citric acid and certain citrate salts from Thailand. Commerce will now decide whether to begin AD/CVD investigations on citric acid from these countries.