Hundreds of HTS 9902 Numbers Expire on December 31, 2009 (Congress Could Take Up MTB in Early 2010)
Congress has adjourned for the year without passing an Omnibus Miscellaneous Trade Bill (MTB).
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Hundreds of 9902 Tariff Numbers Will Expire on December 31st
As a result, hundreds of HTS 9902 tariff numbers, which temporarily provide duty-free or reduced duty treatment to certain products, will expire on December 31, 2009.
Most of the temporary duty-free or reduced duty treatment provided for in HTS 9902 is for chemical products. However, other types of items, such as textiles, footwear, food, consumer-related products, etc. also receive duty-free or low duty treatment under Heading 9902.
MTB Was Introduced in House Just Prior to Adjournment
Just prior to adjournment, House Ways and Means Trade Subcommittee Chairman Levin (D) and Ranking Member Brady (R), introduced an MTB - H.R. 4380, the "Miscellaneous Trade and Technical Corrections Act of 2009".
H.R. 4380 would temporarily suspend or reduce for three years duties on over 600 products, many of which expire on December 31, 2009. The Committee states that during the process of developing H.R. 4380, it excluded bills that involved liquidations and reliquidations, and removed retroactivity from bills that requested it.
In a December 11, 2009 letter to the House Ways and Means Committee, the Administration stated that it would not object to a temporary reduction in duties on the products contained in H.R. 4380.
Congress Could Take Up MTB or Smaller Bill in Early 2010
According to congressional sources, an MTB or a smaller bill for "expiring provisions only" could be taken up (and hopefully passed) by the House and Senate in early 2010. (See future issue for BP summary of H.R. 4380.)
(In the past, an MTB was usually enacted every two years. However, the most recent MTB legislation was enacted in 2006.)
(See ITT's Online Archives or 12/18/09 news, 09121805, for most recent BP summary on the expiration of hundreds of HTS 9902 numbers.
See ITT's Online Archives or 11/06/09 news, 09110615, for BP summary of Senate Finance's request for comments on hundreds of miscellaneous trade duty suspension/reduction and technical corrections bills under consideration for inclusion for 2009 omnibus MTB.
See ITT's Online Archives or 09/09/09 news, 09090915, for BP summary on the possible expiration of hundreds of duty-free and low-duty HTS numbers.
See ITT's Online Archives or 08/22/06 news, 06082210, for BP summary of the temporary duty suspension/reduction, etc. provisions of the 2006 MTB.)
Levin/Brady press release on introduction of House MTB (dated 12/16/09) available by emailing documents@brokerpower.com.
H.R. 4380 available at http://waysandmeans.house.gov/media/pdf/111/MTBHR4380.pdf.
White House letter (dated 12/11/09) available at http://waysandmeans.house.gov/media/pdf/111/tech4.pdf.
Spreadsheet of the Administration's review of MTBs available at http://waysandmeans.house.gov/media/pdf/111/tech3.pdf.