Earlier this week I found myself describing to my summer law clerk the difference between specific duty rates, such as a “per piece” rate like $0.40 cents per piece, and “ad valorem” duty rates, i.e. a percentage rate of duty, such as 6% of the invoiced value of the merchandise.
When it came to explaining that there are certain imports that are a combination of the two types of duty, I turned to watches whose classifications within HTSUS Ch. 91 can be made up of a combination of duty rates.
Watches are unique in the tariff for not only this reason but because they are subject to all kinds of different types of additional rules that other commodities are not subject to.
Take the marking requirements for a watch for example.
The “marking statute,” codified in 19 USC 1304, mandates the marking of every article of foreign origin of its country of origin.
Under Customs interpretation of the Marking Statute, the country of origin of a watch is based upon the country of origin of the movement of the watch, irrespective of whether the case, band, or other parts were produced in another country.
HTSUS Additional U.S. Note 4 to Chapter 91 of the tariff, provides for special marking requirements for watches as described in bold below.
There is an exception to these special marking requirements however, for those watches with movements with “opto-electronic displays” and cases designed for use with “opto-electronic movements.”
As liquid crystal display (LCD) and light emitting diode (LED) display watches are categorized as watches with an opto-electronic display, they are excepted from these special marking requirements.
Watch Movement: Must be marked on one (1) or more of the bridges or top plates to show the name of the country of manufacture; the name of the manufacturer or purchaser; and in words, the number of jewels, if any, serving a mechanical purpose as frictional bearings
Watch Case: Must be marked on the inside or outside of the back to show the name of the country of manufacture and the name of the manufacturer or purchaser
For more information on the classification and marking of watches, check out US Customs updated publication entitled “Classification and Marking of Watches and Clocks.”
Questions/comments? Post below or email me at clark.deanna@gmail.com
Friday, May 27, 2011
Saturday, May 21, 2011
OWIT International – A Supportive Network That Promotes the Growth of Women in International Trade
Recently, I had the pleasure of being a part of the annual global meeting for the Organization of Women in International Trade. My chapter (New York) had been intending to host this year's annual meeting and we purposely chose the date to have it during World Trade Week NYC.
As it turned out, May was a month of graduations, soccer and other sports playoffs, and weddings, among other activities. Being a network that is supportive of women (which does not mean only made up of women, as we also have male members), it was decided instead to have a video conference. While it was not as fun as a weekend in NYC, it was a great conference!
Representatives from chapters around the country participated, and other international branches joined in on the call as well, including representatives from Canada, Peru, Switzerland, Kenya and Mexico.
Serving as the Vice President to the New York chapter, and having been a member for about 4 years now – 3 of which have been on the Board of Directors - I have seen the rapid development that has occurred with OWIT-NY thanks to technology. A focus on using technology to further promote the organization and to advance its agenda to, for example, educate its members and friends in the trade community via webinars, was a large part of the discussion during the video conference.
We acknowledged the success of the webinars for both developing our members as well as the organization, and the benefits of collaborating with entities providing technology-based services, such as the trade data provider, Import Genius, with whom OWIT members will get a discount on the cost of services from.
In addition, it was recognized that the development of OWIT-International’s Facebook and LinkedIn profiles, which serve to advance our marketing efforts as well as to promote awareness about the organization, have been valuable tools worth putting further resources towards.
The collaboration and caliber of women was impressive and I feel lucky to be a part of such a dynamic and talented group of women.
For more information on OWIT International, click here.
For more information on OWIT-NY click here.
Questions/comments? Post below or email me at clark.deanna@gmail.com
As it turned out, May was a month of graduations, soccer and other sports playoffs, and weddings, among other activities. Being a network that is supportive of women (which does not mean only made up of women, as we also have male members), it was decided instead to have a video conference. While it was not as fun as a weekend in NYC, it was a great conference!
Representatives from chapters around the country participated, and other international branches joined in on the call as well, including representatives from Canada, Peru, Switzerland, Kenya and Mexico.
Serving as the Vice President to the New York chapter, and having been a member for about 4 years now – 3 of which have been on the Board of Directors - I have seen the rapid development that has occurred with OWIT-NY thanks to technology. A focus on using technology to further promote the organization and to advance its agenda to, for example, educate its members and friends in the trade community via webinars, was a large part of the discussion during the video conference.
We acknowledged the success of the webinars for both developing our members as well as the organization, and the benefits of collaborating with entities providing technology-based services, such as the trade data provider, Import Genius, with whom OWIT members will get a discount on the cost of services from.
In addition, it was recognized that the development of OWIT-International’s Facebook and LinkedIn profiles, which serve to advance our marketing efforts as well as to promote awareness about the organization, have been valuable tools worth putting further resources towards.
The collaboration and caliber of women was impressive and I feel lucky to be a part of such a dynamic and talented group of women.
For more information on OWIT International, click here.
For more information on OWIT-NY click here.
Questions/comments? Post below or email me at clark.deanna@gmail.com
Sunday, May 15, 2011
2011 World Trade Week and OWIT-NY Wine Tasting Event This Tuesday
World Trade Week kicks off tomorrow at 8:30 a.m. in Room 14-220, on the 14th Floor at Baruch College, which is located at 55 Lexington Ave. in Manhattan.
Every year, the New York region’s trade and transportation community comes together in May to celebrate World Trade Week with a full agenda of educational seminars, global business networking events, and an awards breakfast that recognizes exemplary contributions in the field.
The Awards Breakfast, scheduled for May 16th, recognizes outstanding companies that have grown through global expansion. The Organization of Women in International Trade (OWIT-NY) will be exhibiting at the breakfast as this is one of the best market places to meet fellow international traders and to learn the latest trends in our industry.
I will be at the OWIT-NY exhibit booth from 8:30 a.m. and encourage you to stop by and say ‘hello!’
As part of World Trade Week, OWIT-NY is having an event this Tuesday, May 17th entitled, “Emerging Markets Wine Tasting.” The evening will consist of a presentation and wine tasting of 6 wines (a mixture of red, white and dessert) from 6 different emerging wine-producing countries. During the tasting presentation there will be a selection of Murray’s cheeses and breads to complement the wines.
If you’re interested in attending, be sure to register soon as there are only a few spots remaining. You can register at www.owitny.org and click on the “Events” tab.
I will be there this Tuesday and I hope you can make it out too!
Date: May 17, 2011
Time: Wine presentation 7:30 pm – 8:30 pm followed by networking and personalized wine shopping with Morrell's wine expert
Location: Morrell Wine and Spirits Store
One Rockefeller Plaza (49th Street between 5th and 6th Avenues)
New York, NY
Cost: $50 for members and $55 for non-members
For more information on other World Trade Week events, click here.
Questions/comments? Post below or email me at clark.deanna@gmail.com
Saturday, May 7, 2011
U.S. Customs Newly Updated Valuation Encyclopedia!
I’m pleased to announce that US Customs recently made available the latest version of its Valuation Encyclopedia! This sort of news is fantastic (and exciting - I know that sounds nerdy…) because us members of the international trade community depend on updates from US Customs to maintain certain standards which the agency expects of us under our informed compliance responsibilities.
While a prior version of the Encyclopedia existed, it only went up to 2003 and there has not been an updated manual available for nearly 7 years.
Let me give you a little bit of background about importing.
Pursuant to the Customs Modernization Act, it is now the responsibility of the importer of record to use “reasonable care” to “enter,” “classify,” and “value” the goods and provide any other information necessary to enable US Customs to properly assess duties, collect accurate statistics, and determine whether all other applicable legal requirements are met.
When goods are imported into the Customs Territory of the United States (the fifty states, the District of Columbia and Puerto Rico), they are subject to certain formalities involving US Customs. In almost all cases, the goods are required to be “entered,” that is, declared to US Customs, and are subject to detention and examination by Customs officers to insure compliance with all laws and regulations enforced or administered by US Customs. As part of the entry process, goods must be “classified” (determined where in the U.S. tariff system they fall) and their value must be determined.
The Encyclopedia is therefore, a compilation of US Customs rulings on different valuation topics, such as the method for determining valuation, e.g., the "transaction value" or "deductive value" methods, as well as detailing which factors might make up the value of an importation.
In addition to this, there is a collection of US Customs rulings, grouped by category of a particular valuation issue, which may serve as a reference to one looking for guidance on how US Customs would treat a particular valuation matter.
The Encyclopedia is only for information purposes of course, and any binding determination sought by an importer can only be accomplished though a request for a ruling.
Questions/comments? Post below or email me at clark.deanna@gmail.com
While a prior version of the Encyclopedia existed, it only went up to 2003 and there has not been an updated manual available for nearly 7 years.
Let me give you a little bit of background about importing.
Pursuant to the Customs Modernization Act, it is now the responsibility of the importer of record to use “reasonable care” to “enter,” “classify,” and “value” the goods and provide any other information necessary to enable US Customs to properly assess duties, collect accurate statistics, and determine whether all other applicable legal requirements are met.
When goods are imported into the Customs Territory of the United States (the fifty states, the District of Columbia and Puerto Rico), they are subject to certain formalities involving US Customs. In almost all cases, the goods are required to be “entered,” that is, declared to US Customs, and are subject to detention and examination by Customs officers to insure compliance with all laws and regulations enforced or administered by US Customs. As part of the entry process, goods must be “classified” (determined where in the U.S. tariff system they fall) and their value must be determined.
The Encyclopedia is therefore, a compilation of US Customs rulings on different valuation topics, such as the method for determining valuation, e.g., the "transaction value" or "deductive value" methods, as well as detailing which factors might make up the value of an importation.
In addition to this, there is a collection of US Customs rulings, grouped by category of a particular valuation issue, which may serve as a reference to one looking for guidance on how US Customs would treat a particular valuation matter.
The Encyclopedia is only for information purposes of course, and any binding determination sought by an importer can only be accomplished though a request for a ruling.
Questions/comments? Post below or email me at clark.deanna@gmail.com
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