10/17/2024
CBP Opens Exclusion Portal for U.S. Manufacturing Machinery
Check out this week's Customs Corner to read about CBP's exclusion process for domestic machinery, the WRO against Brightway Group, and more.
1) CBP Opens Exclusion Portal for U.S. Manufacturing Machinery
The Office of the U.S. Trade Representative (USTR) has launched an exclusion process for certain domestic manufacturing machinery classified under subheadings within Chapters 84 and 85 of the Harmonized Tariff Schedule (HTS) to be excluded from Section 301 tariffs.
USTR is inviting interested parties, including trade associations, to submit requests for temporary exclusions from Section 301 tariffs. These exclusions apply specifically to certain machinery, as outlined in Annex E of the September 18, 2024 notice. Requests must identify the specific product, include supporting data, and provide a rationale for the exclusion.
Key points for exclusion requests:
- Each request will be evaluated individually, considering the rationale, precision in product definition, and whether it undermines the objectives of the Section 301 investigation.
- Approved exclusions will be effective from the date they are published in the Federal Register and will remain in effect until May 31, 2025.
- USTR will accept and evaluate exclusion requests on a rolling basis, periodically announcing decisions.
The U.S. Trade Representative will also monitor the impact of exclusions, including the 14 temporary exclusions for solar manufacturing equipment announced in September 2024 and earlier product-specific exclusions granted in May 2024. This oversight ensures that the exclusions do not diminish U.S. leverage in addressing China's trade practices under the Section 301 investigation.
Key dates and procedures:
- October 15, 2024, at 12:01 a.m. EDT: USTR will open a web portal for submitting exclusion requests.
- March 31, 2025, at 11:59 p.m. EST: Deadline for submitting exclusion requests.
Responses to exclusion requests are due 30 days after their posting, and replies are due 15 days after either the response is posted or the end of the response period. All submissions must be made through the online portal: https://comments.ustr.gov.
For further details please refer to the updated notice.
2) Modification of Withhold Release Order (WRO) Against Brightway Disposable Gloves
The U.S. Customs and Border Protection (CBP) has modified the Withhold Release Order (WRO) issued on December 20, 2021, against Brightway Holdings Sdn. Bhd., Laglove (M) Sdn., and Biopro (M) Sdn. Bhd., collectively known as Brightway Group, based in Malaysia. Effective October 11, 2024, CBP will no longer detain disposable gloves produced by the Brightway Group at U.S. ports of entry, allowing shipments to enter the U.S. provided they comply with other U.S. laws.
The WRO was originally issued due to evidence that the Brightway Group was using forced labor in its manufacturing processes, with CBP identifying 10 of the 11 International Labour Organization’s indicators of forced labor. Under Title 19 U.S.C. § 1307, goods made wholly or in part using forced labor are prohibited from entering the U.S.
Since the WRO was imposed, the Brightway Group has implemented measures to fully address and remediate the forced labor issues identified by CBP. The agency modifies or revokes WROs only when it has sufficient evidence showing that the producer no longer utilizes forced labor in its operations.
Additional information can be found at CSMS # 62603019.
3) Entry Summary Payment at Any Service Port
CSMS # 62664927 provides guidance to filers on processing entry summary payments in the Automated Commercial Environment (ACE). Following Collections Release 7, U.S. Customs and Border Protection (CBP) now allows payment to be made at service ports or alternate Ports of Entry, beyond just the Port of Entry where cargo was released.
Payment Options: Filers can make payments at any service port or an alternate Port of Entry, not just at the original Port of Entry. However, payments cannot be processed at the Ports of Duluth, MN (3510), or Charlotte Amalie, VI (5101).
Tenth-Day Payment Flexibility: Filers can remove entries from Daily or Periodic Monthly Statements and pay using cash or check to ensure timely payments.
Ports of Payment: Payments can be processed at designated ports listed in CSMS # 62664927 and updated on CBP.gov. Service ports and alternate Ports of Entry accepting payments are listed by state.
Steps for Payment:
- Remove the entry from the statement.
- Deliver payment to a designated service port or listed additional port.
- Timestamp CBP Form 7501 and retain a copy as proof of timely payment.
- CBP processes the payment according to the timestamped date.
This update provides greater flexibility for entry summary payments, simplifying the process by allowing payments at multiple locations while maintaining proper documentation for timely payments.
EVENT: USFIA National Import Specialists Apparel Classification Workshop
Tuesday, November 12, 2024 from 2 - 4pm | U.S. Customs & Border Protection, One World Trade Center, New York, NY 10007
USFIA invites you to participate in a special pre-Conference event: a meeting with key National Import Specialists and gain a better understanding of the U.S. Customs & Border Protection classification process. After a brief introduction and overview of the classification process by Deborah Marinucci, Branch Chief of the National Commodity Specialist Division, you will have the opportunity to talk informally with each National Import Specialist in a trade fair-style environment. We anticipate participation by NIS’s for apparel, home textiles, and accessories areas. Pricing for the event is $45 for USFIA members and free for registered conference attendees.
Register for the Apparel Classification Workshop.
EVENT: 2025 Trade Facilitation and Cargo Security Summit
May 6 - 8, 2025 | Hilton New Orleans Riverside, Two Poydras St, New Orleans, LA 70130
This event will be hosted in person and webcasted. Event and registration details will be available soon and posted to the TFCS Summit web page.
Click here for more information.
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