Source: https://uscode.house.gov/view.xhtml?req=granuleid%3AUSC-prelim-title19-chapter21-subchapter2&saved=%7CZ3JhbnVsZWlkOlVTQy1wcmVsaW0tdGl0bGUxOS1zZWN0aW9uMzMzMg%3D%3D%7C%7C%7C0%7Cfalse%7Cprelim&edition=prelim
Timestamp: 2020-04-06 19:29:14
Document Index: 161856729

Matched Legal Cases: ['§3331', '§201', '§1954', '§213', '§3332', '§202', '§21', '§5003', '§81', '§21', '§21', '§3333', '§203', '§3334', '§210', '§3335', '§211']

[USC02] 19 USC CHAPTER 21, SUBCHAPTER II: CUSTOMS PROVISIONS
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19 USC CHAPTER 21, SUBCHAPTER II: CUSTOMS PROVISIONS
From Title 19—CUSTOMS DUTIESCHAPTER 21—NORTH AMERICAN FREE TRADE
§3331. Tariff modifications
as the President determines to be necessary or appropriate to carry out or apply articles 302, 305, 307, 308, and 703 and Annexes 302.2, 307.1, 308.1, 308.2, 300–B, 703.2, and 703.3 of the Agreement.
(2) Effect on Mexican GSP status
Notwithstanding section 502(f)(2) of the Trade Act of 1974 [19 U.S.C. 2462(f)(2)], the President shall terminate the designation of Mexico as a beneficiary developing country for purposes of title V of the Trade Act of 1974 [19 U.S.C. 2461 et seq.] on the date of entry into force of the Agreement between the United States and Mexico.
Subject to paragraph (2) and the consultation and layover requirements of section 3313(a) of this title, the President may proclaim—
(2) Special rule for articles with tariff phaseout periods of more than 10 years
The President may not consider a request to accelerate the staging of duty reductions for an article for which the United States tariff phaseout period is more than 10 years if a request for acceleration with respect to such article has been denied in the preceding 3 calendar years.
(c) Conversion to ad valorem rates for certain textiles
For purposes of subsections (a) and (b), with respect to an article covered by Annex 300–B of the Agreement imported from Mexico for which the base rate in the Schedule of the United States in Annex 300–B is a specific or compound rate of duty, the President may substitute for the base rate an ad valorem rate that the President determines to be equivalent to the base rate.
(Pub. L. 103–182, title II, §201, Dec. 8, 1993, 107 Stat. 2068; Pub. L. 104–188, title I, §1954(a)(5), Aug. 20, 1996, 110 Stat. 1927.)
1996—Subsec. (a)(2). Pub. L. 104–188 substituted "502(f)(2) of the Trade Act of 1974" for "502(a)(2) of the Trade Act of 1974 (19 U.S.C. 2462(a)(2))".
Pub. L. 103–182, title II, §213, Dec. 8, 1993, 107 Stat. 2099, provided that:
"(a) Provisions Effective on Date of Enactment.—Section 212 [enacting provisions set out as a note under section 58c of this title] and this section take effect on the date of the enactment of this Act [Dec. 8, 1993].
"(b) Provisions Effective When Agreement Enters Into Force.—Section 201, section 202, section 203(a), (d), and (e), section 210 and section 211, the amendment made by section 203(c), and the amendments made by sections 204 through 209 [enacting this section and sections 3332, 3333(a), (d), (e), 3334, and 3335 of this title and amending sections 58c, 1304, 1313, 1508, 1509, 1514, 1520, 1592, and 1628 of this title] take effect on the date the Agreement enters into force with respect to the United States [Jan. 1, 1994].
"(c) Provisions With Delayed Effective Dates.—The amendments made by section 203(b) [amending sections 81c, 1311 to 1313, and 1562 of this title] apply—
"(1) with respect to exports from the United States to Canada—
"(A) on January 1, 1996, if Canada is a NAFTA country on that date, and
"(B) after such date for so long as Canada continues to be a NAFTA country; and
"(2) with respect to exports from the United States to Mexico—
"(A) on January 1, 2001, if Mexico is a NAFTA country on that date; and
"(B) after such date for so long as Mexico continues to be a NAFTA country."
Implementation of Safeguard Provisions for Textile and Apparel Goods
The Committee for the Implementation of Textile Agreements to implement safeguard provisions for textile and apparel goods pursuant to this section, see section 3 of Ex. Ord. No. 12889, Dec. 27, 1993, 58 F.R. 69681, set out as a note under section 3311 of this title.
§3332. Rules of origin
(B)(i) each nonoriginating material used in the production of the good—
(E) the exporter or producer chooses to accumulate the regional value-content of the good in accordance with subsection (d); or
(A) for each material used by the producer listed in Annex 403.2 of the Agreement, whether or not produced by the producer, at the choice of the producer and determined in accordance with subsection (b), either—
(B) the value of any other nonoriginating material used by the producer that is not listed in Annex 403.2 of the Agreement determined in accordance with subsection (b).
(A) for a producer's fiscal year beginning on the day closest to January 1, 1998, and thereafter, 56 percent calculated under the net cost method, and for a producer's fiscal year beginning on the day closest to January 1, 2002, and thereafter, 62.5 percent calculated under the net cost method, for—
(B) for a producer's fiscal year beginning on the day closest to January 1, 1998, and thereafter, 55 percent calculated under the net cost method, and for a producer's fiscal year beginning on the day closest to January 1, 2002, and thereafter, 60 percent calculated under the net cost method, for—
In the case of goods provided for in subheadings 8703.21 through 8703.90, or subheading 8704.21 or 8704.31, exported from Canada directly to the United States, and entered on or after January 1, 1989, and before the date of entry into force of the Agreement between the United States and Canada, an importer may elect to use the rules of origin set out in this section in lieu of the rules of origin contained in section 202 of the United States-Canada Free-Trade Agreement Implementation Act of 1988 (19 U.S.C. 2112 note) and may elect to use the method for calculating the value of nonoriginating materials established in article 403(2) of the Agreement in lieu of the method established in article 403(1) of the Agreement for purposes of determining eligibility for preferential duty treatment under the United States-Canada Free-Trade Agreement. Any election under this paragraph shall be made in writing to the Customs Service not later than the date that is 180 days after the date of entry into force of the Agreement between the United States and Canada. Any such election may be made only if the liquidation of such entry has not become final. For purposes of averaging the calculation of regional value-content for the goods covered by such entry, where the producer's 1989–1990 fiscal year began after January 1, 1989, the producer may include the period between January 1, 1989, and the beginning of its first fiscal year after January 1, 1989, as part of fiscal year 1989–1990.
Except as provided in paragraph (2), accessories, spare parts, or tools delivered with the good that form part of the good's standard accessories, spare parts, or tools shall—
(3) In applying subsection (a)(4), the determination of whether a heading or subheading under the HTS provides for and specifically describes both a good and its parts shall be made on the basis of the nomenclature of the heading or subheading, the rules of interpretation, or notes of the HTS.
(C) the definitions in subsection (p) shall take precedence over the definitions in the Customs Valuation Code to the extent of any difference.
such good shall be treated as a nonoriginating good and, for purposes of this subsection, the terms "qualifying good" and "wholly obtained in the territory of" have the meaning given such terms in paragraph 26 of section A of Annex 703.2 of the Agreement.
The term "class of motor vehicles" means any one of the following categories of motor vehicles:
The term "Customs Valuation Code" means the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade, including its interpretative notes.
The terms "fungible goods" and "fungible materials" mean goods or materials that are interchangeable for commercial purposes and whose properties are essentially identical.
The term "Generally Accepted Accounting Principles" means the recognized consensus or substantial authoritative support in the territory of a NAFTA country with respect to the recording of revenues, expenses, costs, assets and liabilities, disclosure of information, and preparation of financial statements. These standards may be broad guidelines of general application as well as detailed standards, practices, or procedures.
The term "goods wholly obtained or produced entirely in the territory of one or more of the NAFTA countries" means—
The term "identical or similar goods" means "identical goods" and "similar goods", respectively, as defined in the Customs Valuation Code.
(A) The term "indirect material" means a good—
The term "intermediate material" means a material that is self-produced, used in the production of a good, and designated pursuant to subsection (b)(10).
The term "marque" means the trade name used by a separate marketing division of a motor vehicle assembler.
The term "material" means a good that is used in the production of another good and includes a part or an ingredient.
The term "model line" means a group of motor vehicles having the same platform or model name.
The term "motor vehicle assembler" means a producer of motor vehicles and any related persons or joint ventures in which the producer participates.
The term "NAFTA country" means the United States, Canada or Mexico for such time as the Agreement is in force with respect to Canada or Mexico, and the United States applies the Agreement to Canada or Mexico.
The term "new building" means a new construction, including at least the pouring or construction of new foundation and floor, the erection of a new structure and roof, and installation of new plumbing, electrical, and other utilities to house a complete vehicle assembly process.
The term "net cost" means total cost less sales promotion, marketing and after-sales service costs, royalties, shipping and packing costs, and nonallowable interest costs that are included in the total cost.
The term "net cost of a good" means the net cost that can be reasonably allocated to a good using one of the methods set out in subsection (b)(8).
The term "nonallowable interest costs" means interest costs incurred by a producer as a result of an interest rate that exceeds the applicable Federal Government interest rate for comparable maturities by more than 700 basis points, determined pursuant to regulations implementing this section.
The term "nonoriginating good" or "nonoriginating material" means a good or material that does not qualify as an originating good or material under the rules of origin set out in this section.
The term "originating" means qualifying under the rules of origin set out in this section.
The term "producer" means a person who grows, mines, harvests, fishes, traps, hunts, manufactures, processes, or assembles a good.
The term "production" means growing, mining, harvesting, fishing, trapping, hunting, manufacturing, processing, or assembling a good.
The term "reasonably allocate" means to apportion in a manner appropriate to the circumstances.
The term "refit" means a plant closure, for purposes of plant conversion or retooling, that lasts at least 3 months.
The term "related persons" means persons specified in any of the following subparagraphs:
For purposes of this paragraph, the term "members of the same family" means natural or adoptive children, brothers, sisters, parents, grandparents, or spouses.
The term "royalties" means payments of any kind, including payments under technical assistance or similar agreements, made as consideration for the use or right to use any copyright, literary, artistic, or scientific work, patent, trademark, design, model, plan, secret formula, or process. It does not include payments under technical assistance or similar agreements that can be related to specific services such as—
The term "sales promotion, marketing, and after-sales service costs" means the costs related to sales promotion, marketing, and after-sales service for the following:
The term "self-produced material" means a material that is produced by the producer of a good and used in the production of that good.
The term "shipping and packing costs" means the costs incurred in packing a good for shipment and shipping the good from the point of direct shipment to the buyer, but does not include the costs of preparing and packaging the good for retail sale.
The term "size category" means with respect to a motor vehicle identified in subsection (c)(1)(A)—
The term "territory" means a territory described in Annex 201.1 of the Agreement.
The term "total cost" means all product costs, period costs, and other costs incurred in the territory of one or more of the NAFTA countries.
Except as provided in subsection (c)(1) or (c)(2)(A), the term "transaction value" means the price actually paid or payable for a good or material with respect to a transaction of the producer of the good, adjusted in accordance with the principles of paragraphs 1, 3, and 4 of Article 8 of the Customs Valuation Code and determined without regard to whether the good or material is sold for export.
The term "underbody" means the floor pan of a motor vehicle.
The term "used" means used or consumed in the production of goods.
(A) the provisions set out in Appendix 6.A of Annex 300–B, Annex 401, Annex 403.1, Annex 403.2, and Annex 403.3, of the Agreement, and
(B) any additional subordinate category necessary to carry out this title 1 consistent with the Agreement.
(A) modifications to the provisions proclaimed under the authority of paragraph (1)(A), other than the provisions of paragraph A of Appendix 6 of Annex 300–B and section XI of part B of Annex 401 of the Agreement; and
(B) a modified version of the definition of any term set out in subsection (p) (and such modified version of the definition shall supersede the version in subsection (p)), but only if the modified version reflects solely those modifications to the same term in article 415 of the Agreement that are agreed to by the NAFTA countries before December 8, 1994.
(A) modifications to the provisions proclaimed under the authority of paragraph (1)(A) as are necessary to implement an agreement with one or more of the NAFTA countries pursuant to paragraph 2 of section 7 of Annex 300–B of the Agreement, and
(B) before December 8, 1994, modifications to correct any typographical, clerical, or other nonsubstantive technical error regarding the provisions of Appendix 6.A of Annex 300–B and section XI of part B of Annex 401 of the Agreement.
(Pub. L. 103–182, title II, §202, Dec. 8, 1993, 107 Stat. 2069; Pub. L. 104–295, §21(a)(2), Oct. 11, 1996, 110 Stat. 3529; Pub. L. 105–206, title V, §5003(b)(4), July 22, 1998, 112 Stat. 790.)
Act of June 18, 1934, referred to in subsec. (a)(2)(A), is act June 18, 1934, ch. 590, 48 Stat. 998, as amended, which is classified generally to chapter 1A (§81a et seq.) of this title. For complete classification of this Act to the Code, see Tables.
1998—Subsec. (n). Pub. L. 105–206 struck out "most-favored-nation" before "rate of duty".
1996—Subsec. (m)(4)(C). Pub. L. 104–295, §21(a)(2)(A), substituted "subsection (p)" for "subsection (o)".
Subsec. (p)(18). Pub. L. 104–295, §21(a)(2)(B), substituted "Federal Government" for "federal government".
§3333. Drawback
(a) "Good subject to NAFTA drawback" defined
For purposes of this Act and the amendments made by subsection (b), the term "good subject to NAFTA drawback" means any imported good other than the following:
(2) A good exported to a NAFTA country in the same condition as when imported into the United States. For purposes of this paragraph—
(B) except for a good referred to in paragraph 12 of section A of Annex 703.2 of the Agreement that is exported to Mexico, if a good described in the first sentence of this paragraph is commingled with fungible goods and exported in the same condition, the origin of the good may be determined on the basis of the inventory methods provided for in the regulations implementing this title.1
(3) A good—
(B) that is delivered—
(4) A good exported to a NAFTA country for which a refund of customs duties is granted by reason of—
(5) A good that qualifies under the rules of origin set out in section 3332 of this title that is—
(6) A good provided for in subheading 1701.11.02 of the HTS that is—
(B) substituted for by a good of the same kind and quality that is used as a material,
(8) A good used as a material, or substituted for by a good of the same kind and quality that is used as a material, in the production of—
(B) a good provided for in subheading 6307.90.99 (insofar as it relates to furniture moving pads), 5811.00.20, or 5811.00.30 of the HTS,
that is exported to Canada and that is subject to Canada's most-favored-nation rate of duty upon importation into Canada.
(d) Elimination of drawback for fees under section 624 of title 7
Notwithstanding any other provision of law, the Secretary of the Treasury may not, on condition of export, refund or reduce a fee applied pursuant to section 624 of title 7 with respect to goods included under subsection (a) that are exported to—
(e) Inapplicability to countervailing and antidumping duties
(Pub. L. 103–182, title II, §203, Dec. 8, 1993, 107 Stat. 2086.)
The amendments made by subsection (b) of this section, referred to in subsec. (a), are the amendments made by section 203(b) of Pub. L. 103–182 to sections 81c, 1311 to 1313, and 1562 of this title.
This section or the amendments made by it, referred to in subsec. (e), is section 203 of Pub. L. 103–182, which enacted this section and amended sections 81c, 1311 to 1313, and 1562 of this title.
Section is comprised of section 203 of Pub. L. 103–182. Subsec. (b) of section 203 of Pub. L. 103–182 amended sections 81c, 1311 to 1313, and 1562 of this title. Subsec. (c) of section 203 of Pub. L. 103–182 amended section 1313 of this title.
§3334. Prohibition on drawback for television picture tubes
Notwithstanding any other provision of law, no customs duties may be refunded, waived, or reduced on color cathode-ray television picture tubes, including video monitor cathode-ray tubes (provided for in subheading 8540.11.00 of the HTS), that are nonoriginating goods under section 3332(p)(19) of this title and are—
(C) substituted for by goods of the same kind and quality used as a material in the production of other goods that are exported to a NAFTA country.
(Pub. L. 103–182, title II, §210, Dec. 8, 1993, 107 Stat. 2099.)
§3335. Monitoring of television and picture tube imports
Beginning on the date the Agreement enters into force with respect to the United States, the United States Customs Service shall, for a period of 5 years, monitor imports into the United States of articles described in subheading 8528.10 of the HTS from NAFTA countries and shall take action to exercise all rights of the United States under chapter 5 of the Agreement with respect to such imports. The United States Customs Service shall take appropriate action under chapter 5 of the Agreement with respect to such imports, including verifications to ensure that the rules of origin under the Agreement are fully complied with and that the duty drawback obligations contained in article 303 and Annex 303.8 of the Agreement are fully implemented and duties are correctly assessed.
(b) Report to Trade Representative
The United States Customs Service shall make the results of the monitoring and verification required by subsection (a) available to the President and the Trade Representative. If, based on such information, the President has reason to believe that articles described in subheading 8540.11 of the HTS, intended for ultimate consumption in the United States, are entering the territory of a NAFTA country inconsistent with the provisions of the Agreement, or have been undervalued in a manner that may raise concerns under United States trade laws, the President shall promptly take such action as may be appropriate under all relevant provisions of the Agreement, including article 317 and chapter 20, and under applicable United States trade statutes.
(Pub. L. 103–182, title II, §211, Dec. 8, 1993, 107 Stat. 2099.)