Jan. 9 CBP Bulletin Revokes Rulings on Duty-Free Treatment of Reimported Tires, Camera Parts
In the Jan. 9 issue of the U.S. Customs and Border Protection Bulletin (Vol. 47, No. 3), CBP a notice of revocation of rulings and treatment regarding the duty-free treatment of reimported tires and camera parts.
Revocations Are Effective March 11
CBP is revoking these rulings, as well as any treatment CBP previously accorded to substantially identical transactions, effective for merchandise entered or withdrawn from warehouse for consumption on or after March 11.
Reimported Tires and Camera Parts
| Item: Bridgestone Tire Operations' tires reimported for repair, upgrade, or exchange. The tires are exported to Canada from the U.S. and on some occasions returned to the U.S. for repair, upgrade or exchange. Item: Red.com cameras, lenses, lithium batteries, battery charges, battery packs, and battery plates. The parts are imported and kept in inventory in the U.S. for distribution to various customers worldwide. The cameras, lenses, batteries, and accessories that are defective or require upgrade are returned to Red.Com in the U.S. for repair, upgrade, or exchange at no additional cost, when under warranty. The inventory method used is FIFO (first in -- first out) and the inventory turnover is thirty days. |
| New Rulings: HQ H173817 and HQ H209471 (dated 11/16/12), revokes NY N163660 (2011) and NY N069900 (2009) |
| Old HTS/Rate: 9801.00.25, Free (Articles, previously imported, with respect to which the duty was paid upon such previous importation if (1) exported within three years after the date of such previous importation, (2) reimported without having been advanced in value or improved in condition by any process of manufacture or other means while abroad, (3) reimported for the reason that such articles do not conform to sample or specifications, and (4) reimported by or for the account of the person who imported them into, and exported them from, the United States.) |
| New HTS/Rate: Ineligible for duty-free treatment under 9801.00.25 |
| Reason: CBP previously ruled that both items met the requirements for duty-free imports. CBP now says because Bridgestone and Red.com didn't provide documentation of the reimports not conforming to sample or specifications, they don't meet the criteria for duty-free treatment. Items reimported for upgrade or exchange due to lack of demand are not eligible for duty-free treatment under subheading 9801.00.25, HTS. The importer must establish that the goods did not conform to sample or specification and the documentary requirements set forth in 19 CFR 10.8 must be satisfied. |
(See ITT's Online Archives 12081620 for summary of the proposed revocations of this ruling.)