Hong Kong Normalization – Transition Period Extended through November 9, 2020. Executive Order 13936

This notice is to inform the trade that the 45-day transition period for compliance with the President’s Executive Order (EO) on Hong Kong Normalization has been extended for an additional 45 days through November 9, 2020.   Additionally, this notice updates the guidance provided in CSMS# 43633412, issued August 11, 2020.

Background

On July 14, 2020, the President issued Executive Order 13936 dealing with Hong Kong Normalization, and suspended, among other things, the application of section 201(a) of the United States-Hong Kong Policy Act of 1992 to certain statutes, including 19 U.S.C. 1304.  On August 11, 2020, CBP issued a notice in the Federal Register (85 FR 48551) notifying the public that, unless excepted from marking, goods produced in Hong Kong must be marked to indicate that their origin is “China” for purposes of 19 U.S.C. 1304.  The position set forth in the notice became applicable as of July 29, 2020; however, CBP granted a transition period until September 25, 2020 for importers to implement marking consistent with the notice.

Additional 45 days for informed compliance

In an effort to allow importers ample time to comply with EO requirements for goods produced in Hong Kong to be appropriately marked with the origin of “China”, CBP is extending the transition period for an additional 45 days, through November 9, 2020.  During this period, CBP personnel from the Ports of Entry and Centers of Excellence and Expertise (Centers) should not take any enforcement actions (i.e., marking notices, marking penalties, etc.) on goods produced in Hong Kong for purposes of 19 U.S.C. 1304.  Centers and Ports of Entry should take measures to inform accounts and importers of these new marking rules for Hong Kong set forth in the EO.

This change in marking requirements does not affect country of origin determinations for purposes of assessing ordinary duties under Chapters 1-97 of the HTSUS or temporary or additional duties under Chapter 99 of the HTSUS.  Entry summary procedures also have not changed.  Given that this new rule only applies to marking requirements under 19 U.S.C. 1304, filers should continue to file their entry summaries and submit payments for applicable duties, taxes and fees in accordance with current regulations and policies.

Should you have any questions regarding this notice, please contact the Trade Agreement Branch at fta@dhs.gov

Related documents:

• GUIDANCE: New Marking Rules for Goods Made in Hong Kong – Executive Order 13936 (CSMS #43633412, August 11, 2020)
• FAQ – Guidance of Marking of Goods of Hong Kong – EO 13936
• Country of Origin Marking of Products of Hong Kong (85 FR 48551, August 11, 2020)
• The President’s Executive Order on Hong Kong Normalization (85 FR 43413, July 14, 2020)
• 1997 FR Hong Kong Customs 97-14662 (62 FR 30927, June 5, 1997)

US CBP: Country of Origin Marking of Products, Hong Kong

Full Federal Register Notice: https://www.govinfo.gov/content/pkg/FR-2020-08-11/pdf/2020-17599.pdf?utm_campaign=subscription+mailing+list&utm_source=federalregister.gov&utm_medium=email

CSMS #43511668 – Information on COBRA User Fee Changes Effective October 1, 2020

Pursuant to the General Notice (85 FR 45646) published July 29, 2020, various changes to user fees within the Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985 will take effect on October 1, 2020. The General Notice may be accessed at the link below:https://www.govinfo.gov/content/pkg/FR-2020-07-29/pdf/2020-16450.pdf

The Merchandise Processing Fee (MPF) ad valorem rate of 0.3464% will NOT change. The MPF minimum and maximum for formal entries (class code 499) will change. The minimum will change from $26.79 to $27.23; and the maximum will change from $519.76 to $528.33.

The fee for informal entry or release (class code 311) will change to $2.18.

The surcharge for manual entry or release will change to $3.27.

The dutiable mail fee (class code 496) will change to $5.99.

Another CSMS will be sent when the changes are in the ACE Certification environment for trade testing.

Massport / Port of Boston Computers Down Temporarily

Good Morning,

Computers are down, no estimated time when this will be resolved.  The problem is with the provider in Seattle. If you want to pull your drivers you can.

We will send another update when available.

Regards, Yani

LABOUR STRIKE AT PORT OF MONTREAL

Update to United States Mexico Canada Agreement

After 25 year, the old North American Trade Agreement will be replaced tomorrow July 1, 2020. Each participating country has its own name, yet all three names refer to the same trade agreement. Please see the name for each country listed below. 

• United States-Mexico-Canada Agreement (USMCA), in the United States
• Tratado entre Mexico, Estados Unidos y Canada (T-MEC), in Mexico.
• Canada-United States-Mexico Agreement (CUSMA), in Canada.

US Customs and Border Patrol issued a cargo systems messaging service with the final instructions. Please see CMSM# 43215543 US-Mexico-Canada Agreements (USMCA) Implementing Instructions (Final) – July 30, 2020. The CSMA published by Customs lists the website were you can find specific information for importing under USMCA. BOC will provide a Certificate of Origin that contains all the data elements that are required for USMCA, T-MEC and CUMA with instructions, to any party requesting it.  

Cargo Systems Messaging Service CSMS #43215543
US-Mexico-Canada Agreement (USMCA) Implementing Instructions (Final) – June 30, 2020

This message is to inform the Trade Community of the release of the USMCA Implementing Instructions (Final) on June 30, 2020.  The link to this document is available below.

These USMCA Implementing Instructions replace the Updated USMCA Interim Implementing Instructions issued on June 16, 2020, and provide guidance on the new requirements under the USMCA, including information on USMCA entry, compliance, rules-of-origin, origin certifications, new auto requirements, textile requirements, and other requirements for claiming USMCA preferential treatment for goods.

The supporting USMCA regulations, the new Part 182 of Title 19, Code of Federal Regulations (19 CFR 182) that includes the USMCA Uniform Regulations, will be issued on July 1, 2020.  Additionally, the Harmonized Tariff Schedule of the United States will be amended effective, July1, 2020 to include General Note 11 (GN11) with information on the USMCA rules of origin, product specific rules, and other requirements.

Effective July1, 2020, the North American Free Trade Agreement (NAFTA) terminates and the USMCA enters into force.

Questions regarding this guidance can be directed to Maya Kamar, Director, Textiles and Trade Agreements Division at (202) 945-7228 or email FTA@CBP.DHS.GOV.

Questions regarding the USMCA automotive certification submission process for Labor Value Content certification, Steel certification, and Aluminum certification can be directed to the USMCA Center email at USMCA@CBP.DHS.GOV. 

The USMCA Implementing Instructions – June 30, 2020

https://www.cbp.gov/document/guidance/usmca-implementation-instructions

The USMCA Implementation Act (Public Law No: 116-113)

https://www.congress.gov/bill/116th-congress/house-bill/5430/text

The USMCA Agreement, Final Text

https://ustr.gov/trade-agreements/free-trade-agreements/united-states-mexico-canada-agreement/agreement-between

USTR Federal Register Notice on USMCA Alternative Staging Regimes for Automotive Imports – 85 FRN 22238, April 21, 2020

https://www.govinfo.gov/content/pkg/FR-2020-04-21/pdf/2020-08405.pdf

CSMS #43197567 – USMCA Post-Importation Claims and MPF Processing

https://content.govdelivery.com/bulletins/gd/USDHSCBP-293247f?wgt_ref=USDHSCBP_WIDGET_2