CBP Releases Notices on Canada, China Tariffs, Limits 'In Transit' Exemptions
Goods exempted from new tariffs on Canada and China because they were in transit when the tariffs were announced must be entered before Feb. 7 for Canada, and before March 7 for China, to qualify for the exemption, CBP said in a pair of Federal Register notices released the afternoon of Feb. 3.
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According to the notices, goods subject to the 25% tariffs on Canadian goods will enter under subheading 9903.01.10, or 9903.01.13, for energy imports subject to a 10% duty. Canadian goods entering under the exemption for shipments in transit will enter under subheading 9903.01.14. New subheadings 9903.01.11 and 9903.01.12 will exempt donations and informational materials exempt from tariffs under the International Emergency Economic Powers Act.
Goods from China subject to the tariffs will enter under subheading 9903.01.20. Goods exempt because they were in transit will enter under subheading 9903.01.23, and subheadings 9903.01.21 and 9903.01.22 will cover exempt donations and informational materials, respectively.
Both sets of tariffs won’t apply to special duty-free provisions of Chapter 98, except for goods of subheading 9802.00.40, 9802.00.50, 9802.00.60 and 9802.00.80, for which tariffs will apply to the value of the Canadian or Chinese content.
The notices say that, to implement the exclusion from de minimis of goods subject to the China and Canada tariffs, CBP will require formal entry for all mail shipments from China and Canada.