As of February 20, 2012, certain compacted, plied, ring spun cotton yarns are removed from the DR-CAFTA short supply list in accordance with the Committee for the Implementation of Textile Agreements' (CITA) August 2011 determination that an acceptable substitute is now available in the DR-CAFTA countries in commercial quantities in a timely manner. As a result, textile and apparel articles containing the yarns will not be considered DR-CAFTA-originating if the yarns are obtained from non-DR-CAFTA sources effective for goods entered on or after February 20, 2012. CITA sources previously noted that this is the first time a product has been removed from this list.
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 President has published Proclamation 8783 in the Federal Register which amends the Harmonized Tariff Schedule to implement the U.S. - Korea Free Trade Agreement (KORUS), effective for goods of Korea entered or withdrawn from warehouse for consumption on or after March 15, 2012. The International Trade Commission has simultaneously posted the Annexes to the Proclamation which list all of the 2012 and later year amendments to the HTS for KORUS.
U.S. Customs and Border Protection for the Miami International Airport has issued an Information Bulletin informing the importing community and other interested parties of a CBP informed compliance seminar that will be presented on April 17, 2012 at the Cargo Clearance Center, 6601 NW 25th Street, Miami, Florida. The Seminar will consist of two sessions and will address building stone and household glassware. CBP recommends that attendees of these sessions bring copies of the relevant pages of the Harmonized Tariff Schedule to the seminar (Chapters 25 and 68 for building stone, Chapter 70 for household glassware). Information Bulletin #12-028 (dated 03/09/12) is available via email by sending a request to documents@brokerpower.com.
U.S. Customs and Border Protection has been advised that effective March 1, 2012, the Dominican Republic lost its eligibility for using the DR-CAFTA cumulation provisions under HTS 9822.05.11 or 9822.05.13 as the basis for preferential treatment. These provisions permit certain materials to be sourced from Mexico. CBP states a Presidential Proclamation to amend the Harmonized Tariff Schedule (HTS) as necessary to implement this change is forthcoming.
President Obama signed Proclamation 8783 to amend the Harmonized Tariff Schedule to implement the U.S. - Korea Free Trade Agreement (KORUS) on March 6, 2012. However, the details of the amendments to the HTS are not in the proclamation, but in the annexes of a companion ITC publication (No. 4308), which is expected to be posted by the ITC soon here. The U.S. Trade Representative has stated that the U.S. will implement KORUS on March 15, 2012.
U.S. Customs and Border Protection is requesting comments by April 23, 2012 on an existing information collection on the Declaration of Person Who Performed Repairs or Alterations requirement required for goods returned after repair and under Harmonized Tariff Schedule (HTS) 9802.00.40 and 9802.00.50. CBP proposes to extend the expiration date of this information collection with no change to the burden hours or to the information collected.
U.S. Customs and Border Protection has posted a summary of changes for the Automated Export System Trade Interface Requirements (AESTIR). On February 3, 2012, the following Harmonized Tariff Schedule (HTS) numbers were added and deleted from Appendix V, which contains HTS numbers that cannot be reported in the Automated Export System (AES):
U.S. Customs and Border Protection has issued a proposed rule to amend 19 CFR to transform the in-bond process from a paper dependent entry process to an automated paperless process in ACE. It would also require additional information to be reported on the in-bond application, establish a 30-day transit time for all modes except pipelines, and require electronic permission from CBP for in-bond cargo diversion, among other changes. Comments on the proposed rule are due by April 23, 2012.
U.S. Customs and Border Protection has issued a proposed rule to make various changes to the in-bond regulations so that they are more logical and better track the in-bond process. The proposed rule would transform the in-bond process from a paper dependent entry process to an automated paperless process in ACE. It would also require additional information to be reported on the in-bond application, establish a 30-day transit time for all modes except pipelines, and require electronic permission from CBP for in-bond cargo diversion, among other changes. Comments on the proposed rule are due by April 23, 2012.
United States Trade Representative Ron Kirk has announced that the U.S.-Korea free trade agreement (KORUS) will enter into force on March 15, 2012. The agreement, among other commitments, includes steps toward agricultural and industrial tariff liberalization, obligations on non-tariff measures and intellectual property rights (IPR), and enforcement provisions. ITC sources add that the drafting of the proclamation to amend the HTS for KORUS is underway.