23 11, 2021

9801.00.10: Updated Requirements for Returned Goods

By |2021-11-09T12:23:27-05:00November 23, 2021|ACE, Best Practices, Customs Broker, Customs Expert, Enforcement, Import, International Trade, Pre-compliance, Reasonable Care, U.S. Customs and Border Protection (CBP)|0 Comments

Background on HTSUS Subheading 9801.00.10

Ever hear of U.S. goods returned and wondered what it really meant? The Harmonized Tariff Schedule of the United States (“HTSUS”) subheading 9801.00.10 is used for re-importing U.S. made products back into the United States, duty-free. Previously, this classification only covered merchandise originally made in the United States and now reentering the country (hence “US Goods Returned”). In order to qualify for classification under subheading 9801.00.10 and duty-free treatment, these products entering the United States had to be unimproved in condition or value. In other words, the products had to not be subject to further processing abroad. For example, subheading 9801.00.10 may be used when goods are being re-imported as returned product to the seller or for repair. Under subheading 9801.00.10, the importer has the burden to prove their claim for duty-free treatment.

CBP Issues Updated Guidance

On August 20, 2021, subheading 9801.00.10 was expanded to include products which originated from foreign countries. HTSUS subheading 9801.00.10 now states: “Products of the United States when returned after having been exported, or any other products when returned within 3 years after having been exported, without having been advanced in value or improved in condition by any process of manufacture or other means while abroad.” In other words, non-U.S. origin products that are returned to the United States will ALSO qualify for duty-free treatment under subheading 9801.00.10. However, the timing requirements for U.S.-origin and foreign-origin products are different. U.S.-origin products currently have no time limit to file […]

16 11, 2021

OFAC Targets Russian Crypto Platform

By |2021-11-04T15:48:52-04:00November 16, 2021|International Trade, Pre-compliance, Trade Policy, U.S. Office of Foreign Assets Control (OFAC), U.S. Securities and Exchange Commission (SEC)|0 Comments

Treasury’s Ransomware Advisory

Recent administrations have rightfully been concerned about ransomware. Ransomware is a form of malware used to extort users – the software locks your device and then demands a ransom for its release. Ransomware attacks are increasing in scale, sophistication, and frequency, victimizing governments, individuals, and private companies around the world. In 2020, ransomware payments reached over $400 million, more than four times their level in 2019. The U.S. government estimates that these payments represent just a fraction of the economic harm caused by cyber-attacks, but they underscore the objectives of those who seek to weaponize technology for personal gain.

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9 11, 2021

Protecting Intellectual Property Rights in China

By |2021-11-08T11:47:50-05:00November 9, 2021|Best Practices, Bloomberg, China, IPR, Trademarks and Logos|0 Comments

Diaz Trade Law’s President, Jennifer Diaz,  and Associate Attorney, Sharath Patil, are enthusiastic to announce Bloomberg Law published another one of our articles, “Protecting Intellectual Property Rights in China“! Below is the article reproduced with permission for your reading pleasure. We’d love to hear your feedback!

You can read the article here (where you’ll have the ability to access all of the great hyperlinks). Please note you cannot click on the hyperlinks below.

We’d love to hear your feedback!

 

 

 

 

 

 

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5 11, 2021

Customs and Trade Law Snapshot

By |2021-11-04T16:14:39-04:00November 5, 2021|301 INVESTIGATIONS, Best Practices, China, China Trade War, EAR, Export, Forced Labor, Import, International Law, International Trade, Special 301, Supply Chain, U.S. Bureau of Industry and Security (BIS), U.S. Customs and Border Protection (CBP), U.S. Department of Labor (DOL), U.S. Trade Representative (USTR), Uncategorized, Vietnam|0 Comments

Here is a recap of the latest customs and international trade law news:

The Bureau of Industry and Security (BIS) 

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2 11, 2021

BIS Publishes Report on Effect of Uranium Imports on National Security

By |2021-10-26T12:24:39-04:00November 2, 2021|Import, Investigation, U.S. Bureau of Industry and Security (BIS), U.S. Department of Commerce (DOC)|0 Comments

Background on Section 232 Investigations – Section 232 investigations, administered by the U.S. Commerce Department, are conducted to determine the effect of imports of certain goods on national security Historically, Section 232 investigations have been conducted regarding U.S. imports of crude oil and petroleum products and uranium, among other critical imports.

Investigations may be initiated based on an application from an interested party, a request from the head of any department or agency, or may be self-initiated by the Secretary of Commerce. The Secretary’s report to the President, prepared within 270 days of initiation, focuses on whether the importation of the article in question is in such quantities, or under such circumstances, that threaten to impair the national security. The President can concur or not with the Secretary’s recommendations, and take action to “adjust the imports of an article and its derivatives” or other non-trade related actions as deemed necessary.

To learn more about Section 232 investigations including background on relevant laws and regulations and the history of past cases, check out the Section 232 Program Guide.

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26 10, 2021

Trading in Wildlife? You May Need a License

By |2021-10-26T12:23:00-04:00October 26, 2021|Import, International Trade, Penalty, Pre-compliance, Reasonable Care, Supply Chain, U.S. Fish and Wildlife Service (FWS)|0 Comments

The Convention on International Trade in Endangered Species of Wild Fauna and Flora (“CITES”) is an international agreement that strives to ensure that international trade in wild animals and plants does not threaten the survival of those species. CITES was adopted by 80 countries in 1973. The text of the agreement provides for various measures to prevent the illicit trade in goods made of endangered species. Specifically, CITES imposes controls on all import, export, re-export, and introduction from the sea, of species covered by the agreement, to be authorized through a licensing system. The species that fall within the scope of CITES are listed and maintained in three appendices based on the degree of protection required.

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19 10, 2021

Why China’s Cryptocurrency Miners are Moving to Texas

By |2021-10-20T15:21:23-04:00October 19, 2021|China, International Trade, Trade Policy, U.S. Office of Foreign Assets Control (OFAC), U.S. Securities and Exchange Commission (SEC)|0 Comments

In May 2021, China announced a crackdown on cryptocurrency mining and trading. In recent months, China has doubled down on its new policy by targeting businesses involved in the mining and trading of bitcoin and other cryptocurrencies. China’s is prohibiting cryptocurrency mining and trading for many reasons, including:

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12 10, 2021

Customs Issues Notice of Proposed Rulemaking on Broker Continuing Education – Comments Open

By |2021-10-13T15:25:44-04:00October 12, 2021|ACE, Best Practices, Customs Broker, Import, International Trade, Pre-compliance, Supply Chain, U.S. Customs and Border Protection (CBP)|0 Comments

CBP’s Proposed Rule

On September 10, 2021, U.S. Customs and Border Protection (“CBP”) published a Notice of Proposed Rulemaking regarding broker continuing education. In the proposed rule, CBP is proposing mandatory continuing education requirements for individual licensed brokers. CBP underscores the benefits of mandatory continuing education for customs brokers in its proposed rule:

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6 10, 2021

Want Your 301 Exclusion Back? Comment Now!

By |2021-10-07T11:15:23-04:00October 6, 2021|301 INVESTIGATIONS, China, China Trade War, Import, International Trade, Trade Policy, U.S. Trade Representative (USTR)|0 Comments

Source: USTR

USTR Proposes Reinstating Exclusions

On October 6, 2021, the Office of the U.S. Trade Representative (“USTR”) announced in the Federal Register that the agency is considering a possible reinstatement of 549 EXCLUSIONS for Section 301 duties on products imported from China that had expired on December 31, 2020.

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4 10, 2021

Customs Classification – A Key Component of an Import Compliance Manual

By |2021-10-01T09:48:07-04:00October 4, 2021|Best Practices, Enforcement, HTS, Import, Pre-compliance, U.S. Customs and Border Protection (CBP)|0 Comments

We are often asked by importers to assist in classifying their products under the Harmonized Tariff Schedule of the U.S. (“HTS” or “HTSUS”). While seeking assistance from expert counsel is a best practice, under the CBP Modernization Act, an importer of record (“IOR”) is the sole party responsible for determining the correct classification of imported goods (and thereby paying the correct amount of customs duties). An IOR must use reasonable care in classifying its product at the time of entry. Should an importer misclassify their products and not pay the appropriate duties to CBP at the time of importation; the importer is exposing itself to potential CBP penalties under 19 U.S.C. 1592.  The process of classifying goods can be a tedious process and may require time and research to arrive at the correct HTSUS number for any one product.

This blog expands our prior blog, Crash Course in the Harmonized Tariff Schedule of the United States, and provides additional detail on the classification process and tips for importers to use when deciding on a classification its customs broker will declare to CBP.  Importers are encouraged to attend the webinar How to Build and Maintain an Effective Import Compliance Plan on October 6, 2021 (and on-demand) for best practices on how to build and maintain an import compliance plan by addressing common risks associated with the import process – including product classification.

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