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Newly Released CBP HQ Rulings for Dec. 10

The Customs Rulings Online Search System (CROSS) was updated Dec. 10 with the following headquarters rulings (ruling revocations and modifications will be detailed elsewhere in a separate article as they are announced in the Customs Bulletin):

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Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

H318560: USMCA Eligibility of certain chemical products

Ruling: The chemical products Gabapentin USP and Nifedipine USP will not be eligible for preferential tariff treatment under USMCA when imported into the U.S. from Canada.
Issue: Whether the chemical products Gabapentin USP, classified under 2922.49.49 and Nifedipine USP, classified under 2933.39.91, to be imported into the United States from Canada, are eligible for preferential treatment under USMCA.
Item: Gabapentin from China and Nifedipine from Hungary, imported in bulk to Canada. At a facility in Canada the products are packaged into smaller portions and sold to pharmacies for the preparation of medicines. Operations in Canada also include activities to ensure regulatory compliance and quality control.
Reason: The chemical products are not “a good produced entirely in the territory of one or more USMCA countries using non-originating materials” under GN 11(b)(iii) because they do not satisfy “all applicable requirements.” Under GN 11(l)(xvi), “production” means “growing, cultivating, raising, mining, harvesting, fishing, trapping, hunting, capturing, breeding, extracting, manufacturing, processing or assembling a good” or “the farming of aquatic organisms through aquaculture,” and does not include packaging or repackaging operations.
Ruling Date: Oct. 26, 2021