Drawback will not be available on entries subject to 25 percent Section 301 tariffs set to take effect July 6 on products from China, CBP said in updated guidance on the new tariffs. CBP also said that, when submitting an entry in which a heading or subheading in Chapter 98 is claimed on merchandise covered by the Section 301 tariffs, filers must first report subheading 9903.88.01 (the Chapter 99 subheading for the duties), followed by the applicable Chapter 98 subheading and the normal Chapter 1-97 classification. USTR released its final list of tariff subheadings covered by the tariffs on June 15 (see 1806150005).
Correction: Section 301 duties on products from China that are set to begin July 6 will be eligible for drawback, CBP said in a CSMS message.
Correction: Section 301 duties on products from China that are set to begin July 6 will be eligible for drawback, CBP said in a CSMS message.
Importers may need to up their customs bond amounts after the Section 301 25 percent tariffs take effect on goods from China, said Laura Siegel Rabinowitz, special counsel at Kelley Drye, in a June 28 blog post. "While bonds are based on imports for the previous twelve months, the time period is rolling and we expect CBP to be aggressively reviewing imports from China beginning on July 6," she said. Rabinowitz said that after "the Section 232 duties on imported steel and aluminum went into effect recently, CBP sent letters to certain importers giving them thirty days to increase their bonds to be commensurate with the new tariffs."
The additional tariffs under sections 232 and 301 "place significant barriers on the fight against harmful fakes," a group of trade associations said in a June 26 letter to the House Ways and Means Committee leadership. "U.S. tariffs on critical imported machinery not only hurt industries, but the additional costs trickle-down to consumers thus, affecting their choices," said the American Apparel and Footwear Association, the American Bridal and Prom Industry Association, the Fashion Jewelry and Accessories Trade Association, the National Office Products Alliance, the Precious Metals Association of North America, and the Water Quality Association. "Rather than pay more for legitimate goods, we fear that consumers might seek cheap counterfeits as a replacement, whether knowingly or unknowingly. In other words, U.S. policy could help legitimize fake goods at the expense of rightful intellectual property owners."
Importers may need to up their customs bond amounts after the Section 301 25 percent tariffs take effect on goods from China, said Laura Siegel Rabinowitz, special counsel at Kelley Drye, in a June 28 blog post. "While bonds are based on imports for the previous twelve months, the time period is rolling and we expect CBP to be aggressively reviewing imports from China beginning on July 6," she said. Rabinowitz said that after "the Section 232 duties on imported steel and aluminum went into effect recently, CBP sent letters to certain importers giving them thirty days to increase their bonds to be commensurate with the new tariffs."
The additional tariffs under sections 232 and 301 "place significant barriers on the fight against harmful fakes," a group of trade associations said in a June 26 letter to the House Ways and Means Committee leadership. "U.S. tariffs on critical imported machinery not only hurt industries, but the additional costs trickle-down to consumers thus, affecting their choices," said the American Apparel and Footwear Association, the American Bridal and Prom Industry Association, the Fashion Jewelry and Accessories Trade Association, the National Office Products Alliance, the Precious Metals Association of North America, and the Water Quality Association. "Rather than pay more for legitimate goods, we fear that consumers might seek cheap counterfeits as a replacement, whether knowingly or unknowingly. In other words, U.S. policy could help legitimize fake goods at the expense of rightful intellectual property owners."
CBP issued the following releases on commercial trade and related matters:
CBP issued the following releases on commercial trade and related matters:
CBP provided some details on the coming duty collections on Chinese goods covered by the Section 301 tariffs (see 1806150003) in a June 28 CSMS message. "In addition to reporting the Chapters 1-97 HTSUS classification of the imported merchandise, importers shall also report the 9903.88.01 special tariff number for goods subject to the additional duty assessment of 25% ad valorem as a result of the Section 301 trade remedy," CBP said. The tariffs only "apply to products of China, and are based on the country of origin, not country of export." CBP said the additional duties won't apply "to products for which entry is properly claimed under a heading or subheading in Chapter 98," which covers returned U.S. goods.