The World Customs Organization's Harmonized System Committee (HSC) has adopted amendments to the Harmonized System, the international level tariff schedule, at its 43rd Session from March 9-20, 2009. The HSC adopted these amendments to the HS in the context of the fourth review cycle.1
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.
Bills have been introduced in the House and Senate which would authorize the President to designate areas within Afghanistan or certain areas of Pakistan as a Reconstruction Opportunity Zones (ROZ) if the President determines that Afghanistan and Pakistan meet certain eligibility criteria, etc.
In Archer Daniels Midland Company v. U.S., the Court of Appeals for the Federal Circuit reversed the Court of International Trade regarding the classification of a deodorizer distillate ("DOD"), a residue from the production of edible soybean oil.
In November 2008, U.S. Customs and Border Protection issued its interim final rule which amended 19 CFR to require Security Filing (SF) information from importers and additional information from carriers (10+2) for vessel (maritime) cargo before it is brought into the U.S.
U.S. Customs and Border Protection has withdrawn its March 13, 2009 proposed rule to provide an incentive to use U.S.-origin parts in foreign repairs, alterations, or processing of articles by excluding the value of such parts from the dutiable value of articles exported from the U.S. and then returned under Harmonized Tariff Schedule subheadings 9802.00.40, 9802.00.50, or 9802.00.60(the subheadings for articles that return to the U.S. after repair, alteration, or processing1).
"Daily Update on Capitol Hill Actions" is a new feature of International Trade Today. The following are brief summaries of Capitol Hill actions for March 26, 2009.
Senator Robert Menendez (D) sent a letter to Secretary of Homeland Security Napolitano expressing concern about her testimony which doubted the Department of Homeland Security would be able to meet the Congressionally-mandated July 2012 deadline for 100% scanning. Menendez urges the DHS Secretary to do everything she can to either ensure the July 2012 deadline is fully met or that significant progress towards fulfilling the mandate is achieved. (Menendez press release and letter available at http://menendez.senate.gov/newsroom/record.cfm?id=309058)
In Millenium Lumber Distribution Ltd. v. U.S., the Court of Appeals for the Federal Circuit agreed with the Court of International Trade and U.S. Customs and Border Protection that the correct classification of certain cut lumber was under Harmonized Tariff Schedule heading 4407.
U.S. Customs and Border Protection has issued a proposed rule to provide an incentive to use U.S.-origin parts in foreign repairs, alterations, or processing of articles by excluding the value of such parts from the dutiable value of articles exported from the U.S. and then returned under Harmonized Tariff Schedule subheadings 9802.00.40, 9802.00.50, or 9802.00.60(the subheadings for articles that return to the U.S. after repair, alteration, or processing1).
CBP has posted a presentation providing an update on ESAR A2.2 (the Initial Entry Summary Types release) and A2.3.1 (the Harmonized Tariff Schedule (HTS), Antidumping/Countervailing Duty (AD/CVD) release) that was given at the March 3-4, 2009 Trade Support Network meeting. (See ITT's Online Archives or 03/04/09 news, 09030425 4, for BP summary of other documents from the March TSN meeting.) (See future issue of ITT for details.) (Presentation, posted 03/06/09, available at http://www.cbp.gov/linkhandler/cgov/trade/automated/modernization/trade_support_network/session_highlights/march_2009_tsn/esar_update.ctt/esar_update.pdf)