An ornamental aquarium decoration meant to look like "rusted copper pipe segments resting upon mossy rocks" satisfies the classification requirements for "artificial stone," CBP said in an Oct. 3 ruling. The ruling came in response to an internal advice request from the Consumer Products & Mass Merchandising Center of Excellence and Expertise, CBP said. The initial request came from Petco, which previously entered the merchandise classified in subheading 6810.99.00 as "Articles of cement, of concrete or of artificial stone, whether or not reinforced: Other articles: Other.”
Tim Warren
Timothy Warren is Executive Managing Editor of Communications Daily. He previously led the International Trade Today editorial team from the time it was purchased by Warren Communications News in 2012 through the launch of Export Compliance Daily and Trade Law Daily. Tim is a 2005 graduate of the College of the Holy Cross in Worcester, Massachusetts and lives in Maryland with his wife and three kids.
CBP is considering expanding an operation focused on misclassified noodles after a smaller operation led to the recovery of more than $30,000 from two importers, CBP said in its trade enforcement bulletin for the first quarter of fiscal year 2018. Over the summer, the CBP Agriculture and Prepared Products Center of Excellence and Expertise began a review of covered products that get a free rate of duty, which led to a focus on shipments of "glass noodles," CBP said. "The Center's teams are now focusing on other importers with similar import patterns and the potential for a national operation to review this market is definitely under consideration," CBP said.
CBP doesn't expect the Treasury Department to approve proposed regulations for coming changes to drawback procedures before the Feb. 24 effective date, a CBP spokesman said by email. The changes are the result of the Trade Facilitation and Trade Enforcement Act, which allowed for two years of preparation before the drawback overhaul became effective. "CBP will, however, accept TFTEA drawback claims in" ACE, "with processing to occur once the regulations are finalized," the spokesman said. CBP has said it will only allow accelerated payment for TFTEA drawback claims after it issues its final rule (see 1801260036).
President Donald Trump made a brief reference to international trade during his first State of the Union address on Jan. 30, without mentioning specific agreements or policies. The U.S. "finally turned the page on decades of unfair trade deals that sacrificed our prosperity and shipped away our companies, our jobs, and our wealth," he said. "Our nation has lost its wealth, but we’re getting it back so fast. The era of economic surrender is totally over. From now on, we expect trading relationships to be fair and, very importantly, reciprocal."
First sale appraisement is permissible in a hypothetical transaction including a sale between a middleman and two manufacturers, CBP ruled on Jan. 2. The sales involve first aid bags made by one manufacturer, related accessories made by another manufacturer, a middleman and the importer, CBP said in HQ H284207. A lawyer with Akin Gump requested the prospective ruling on behalf of the importer, the name of which was kept confidential.
The U.S. "would consider negotiating" with the Trans-Pacific Partnership agreement countries "either individually, or perhaps as a group, if it is in the interests of all," President Donald Trump said in a Jan. 26 speech. One of Trump's first actions as president was to withdraw the U.S. from the TPP (see 1701230041) and the remaining member countries recently reached a new deal (see 1801230059). Trump mentioned the idea while speaking at the World Economic Forum in Davos, Switzerland.
There were few, if any, early impacts to trade processing over the weekend following the federal government shutdown, trade association leaders said Jan. 22. Geoff Powell, president of C.H. Powell and the National Customs Brokers & Forwarders Association of America, said by email he has "not heard of any issues at this time." CBP was scheduled to provide a briefing to industry leaders on Jan. 22 regarding the shutdown while legislators continued efforts to resolve the government funding impasse through a short-term continuing resolution. Congress is expected to pass a funding bill that would end the shutdown on Jan. 22.
CBP revenue collections will be among the Department of Homeland Security operations that will be exempt from an all-out agency stoppage in the event of a government shutdown, according to a Jan. 19 detailed contingency plan issued by DHS. Some 54,000 of the 59,000 CBP employees will be "exempt and estimated to be retained during a lapse in appropriations," DHS said. "These employees are exempt since they are Presidential appointees, law enforcement officers, funded by other than annual appropriations, or necessary for the protection of life and property." Government funding will stop after Jan. 19 unless legislators can reach a deal for a continuing resolution.
The House of Representatives is scheduled to consider the Miscellaneous Tariff Bill Act (H.R. 4318) on Jan. 16, House Majority Leader Kevin McCarthy, R-Calif., said on the daily schedule. The bill is set to get expedited treatment as non-controversial legislation "under suspension of the rules," it said. The MTB legislation was introduced in the Senate and House in November (see 1711090039). Companies (see 1712070027) and lawmakers (see 1801120016) recently began a push for quick consideration of the MTB. The last MTB expired in 2012.
CBP stopped additional shipments in recent months over the possible use of North Korean labor, a CBP spokesman said by email. CBP "has taken enforcement actions to prevent the North Korean goods from entering the U.S. supply chain on a number [15] of shipments involving manufacturing performed or suspected to be performed by the labor of North Korean nationals or citizens, which is prohibited under the Countering America’s Adversaries through Sanctions Act (P.L. 115-44)," he said by email. Acting CBP Commissioner Kevin McAleenan mentioned some holds on seafood shipments from China in October during a Senate hearing (see 1710240033)