International Trade Today is providing readers with some of the top stories for Oct. 16-20 in case they were missed.
Customs Duty
A Customs Duty is a tariff or tax which a country imposes on goods when they are transported across international borders. Customs Duties are used to protect countries' economies, residents, jobs, and environments, by limiting the flow of imported merchandise, especially restricted and prohibited goods, into the country. The Customs Duty Rate is a percentage determined by the value of the article purchased in the foreign country and not based on quality, size, or weight.
CBP is reviewing entries of oil country tubular goods (OCTG) imported by American Pacific Rubber (APAC) as part of a formal Enforce and Protect Act investigation, the agency said in an Oct. 23 notice to the company. The investigation stems from allegations submitted by Aztec Manufacturing Partnership that APAC evaded antidumping duties on the goods. "Because evidence establishes reasonable suspicion that APAC has entered merchandise into the United States through evasion, CBP has taken" interim measures against APAC, it said.
A recent change to CBP policy on the timing of dunning letters does not create a new requirement to pay duties before filing a protest, the National Customs Brokers & Forwarders Association of America said in an emailed update. “CBP has clarified that its policy regarding protests has not changed; it is not a requirement that importers pay duties to lodge a protest,” the trade group said. The agency sent a CSMS message in August that said the agency is shortening the time for sending dunning letters in connection with outstanding bills, from 181 days to 61 days, “well within the 180 day protest period,” the NCBFAA said.
The Commerce Department issued a notice in the Federal Register on its recently initiated antidumping duty investigations on polyethylene terephthalate resin from Brazil (A-351-852), Indonesia (A-560-832), South Korea (A-580-896), Pakistan (A-535-905) and Taiwan (A-583-862). The agency will determine whether imports of merchandise subject to these investigations are being sold in the U.S. at less than fair value.
Members of the Commerce Department’s industry Advisory Committee on Supply Chain Competitiveness (ACSCC) made their case in person to a Trump administration trade official on Oct. 19, urging him to seriously consider several concerns that industry groups have about the ongoing NAFTA renegotiation. Tiffany Melvin, president of the North American Strategy for Competitiveness, a supply chain advocacy organization, directly questioned Commerce Deputy Assistant Secretary for the Western Hemisphere John Andersen about how receptive the Trump administration is to stakeholder feedback about the talks. “I feel like what we’re hearing is, not so much, not so receptive,” Melvin said during the ACSCC meeting. “But that’s not stopping anybody. They’re going to be sending letters and having meetings.”
Freight forwarders that transfer funds to customs brokers from importers for payment to CBP are not performing "customs business," CBP said in a Sept. 6 ruling. CBP issued ruling HQ H258556 in response to a ruling request from Terra Nova Trade Services, a licensed customs broker. As long as the freight forwarder isn't involved in the actual calculation of the customs duties, CBP said, the freight forwarder is allowed to play an intermediary role. Terra Nova, through its lawyer George Tuttle, also sought CBP's input on the required power of attorney (POA) for such transactions.
The government of Canada recently issued the following trade-related notices as of Oct. 18 (some may also be given separate headlines):
CBP published the quarterly Internal Revenue Service interest rates used to calculate interest on overdue accounts (underpayments) and refunds (overpayments) of customs duties in a notice. For the quarter that began Oct. 1 and ends Dec. 31, the interest rates for overpayments will be 3 percent for corporations and 4 percent for non-corporations, and the rate for underpayments will be 4 percent for both corporations and non-corporations. These interest rates are subject to change for the calendar quarter beginning Jan. 1, 2018, and ending March 31, CBP said.
The following lawsuits were filed at the Court of International Trade during the week of Oct. 9-15:
RANCHO MIRAGE, Calif. -- Any two-track solution to Section 321 filing in both the Automated Broker Interface and the Automated Manifest System must have the same data requirements in each, customs brokers said during a panel discussion at the Western Cargo Conference on Oct. 13. Requiring a more detailed data set, while maintaining the current stripped-down data elements in AMS, would mean filers would be incentivized to continue clearing Section 321 entries off the manifest, the brokers said.