Reminder on the WCO-Recommended and Other HTS Changes Implemented by Proclamation 8097 (Lists of Old & New Tariff Numbers Available)

The annexes to Proclamation 8097 are contained in Publication 3898, entitled Modifications to the Harmonized Tariff Schedule of the United States Under Section 1206 of the Omnibus Trade and Competitiveness Act of 1988, issued by the International Trade Commission (ITC).

Annexes I and III are effective for goods entered or withdrawn from warehouse for consumption on or after February 3, 2007, while Annex II is effective for goods entered or withdrawn from warehouse for consumption on or after the dates specified.

Lists of Old & New Tariff Numbers Available, Etc.

Prior to the HTS' February 3, 2007 revision, the ITC issued a report listing all of the proposed WCO-recommended changes to the HTS including both old and new (WCO-recommended) tariff numbers. According to ITC sources, almost all of the ITC-listed proposed changes were made final in the February 3, 2007 HTS without change.

Consequently, the ITC's listing is useful to consult. (See below for links to ITC report and Broker Power's 35-part series of summaries of it, which are searchable in ITT's Online Archives.)

Sampling of HTS Modifications Implemented by Proclamation 8097

Listed below are examples of modifications made to the HTS by Proclamation 8097:

Photo albums. In Chapter 39 new Additional U.S. Note 5 is added:

"5. For the purposes of heading 3924, the expression "household articles" does not include photo albums (see subheading 3926.90.48)."

Drilled or notched lumber studs, multi-layer assembled flooring panels. New Additional U.S. Note 4 to Chapter 44 is added:

"4. Heading 4418 includes--

(a) drilled or notched lumber studs; and

(b) multi-layer assembled flooring panels having a face ply 4mm or more in thickness."

Elastomeric yarn. New note 13 to Section XI (textile and textile articles) is added:

"13. For the purposes of this section, and where applicable, throughout the tariff schedule, the expression "elastomeric yarn" means filament yarn, including monofilament, of synthetic textile material, other than textured yarn, which does not break on being extended to three times its original length and which returns, after being extended to twice its original length, within a period of five minutes, to a length not greater than one and a half times its original length."

Articles of jewelry. Note 9 to Chapter 71 is superseded by the following:

"9. For the purposes of heading 7113, the expression "articles of jewelry" means:

(a) Any small objects of personal adornment (for example, rings, bracelets, necklaces, brooches, earrings, watch chains, fobs, pendants, tie pins, cuff links, dress studs, religious or other medals and insignia); and

(b) Articles of personal use of a kind normally carried in the pocket, in the handbag or on the person (for example, cigar or cigarette cases, snuff boxes, cachou or pill boxes, powder boxes, chain purses or prayer beads).

These articles may be combined or set, for example, with natural or cultured pearls, precious or semiprecious stones, synthetic or reconstructed precious or semiprecious stones, tortoise shell, mother-of-pearl, ivory, natural or reconstituted amber, jet or coral."

Diodes, transistors and similar semiconductor devices, etc. Chapter 85 note 8 (as renumbered) is superseded by:

"8. For the purposes of headings 8541 and 8542:

(a) "Diodes, transistors and similar semiconductor devices" are semiconductor devices the operation of which depends on variations in resistivity on the application of an electric field;

(b) "Electronic integrated circuits" are:

(i) Monolithic integrated circuits in which the circuit elements (diodes, transistors, resistors, capacitors, inductances, etc.) are created in the mass (essentially) and on the surface of a semiconductor or compound semiconductor material (for example, doped silicon, gallium arsenide, silicon germanium, iridium phosphide) and are inseparably associated;

(ii) Hybrid integrated circuits in which passive elements (resistors, capacitors, inductances, etc.), obtained by thin- or thick-film technology, and active elements (diodes, transistors, monolithic integrated circuits, etc.), obtained by semiconductor technology, are combined to all intents and purposes indivisibly, by interconnections of interconnecting cables, on a single insulating substrate (glass, ceramic, etc.). These circuits may also include discrete components;

(iii) Multichip integrated circuits consisting of two or more interconnected monolithic integrated circuits combined to all intents and purposes indivisibly, whether or not on one or more insulating substrates, with or without leadframes, but with no other active or passive circuit elements.

For the classification of the articles defined in this note, headings 8541 and 8542 shall take precedence over any other heading in the tariff schedule, except in the case of heading 8523, which might cover them by reference to, in particular, their function."

Reception apparatus for radiobroadcasting. Heading 8527 has a new description:

"Reception apparatus for radiobroadcasting, whether or not combined, in the same housing, with sound recording or reproducing apparatus or a clock:"

Child safety seats. In Chapter 94 a new Additional U.S. Note 1 is added:

"1. For the purposes of subheading 9401.20.00, "seats of a kind used for motor vehicles" does not include child safety seats."

Chapter 95 exclusions for certain textiles/apparel with utilitarian function. New note 1(v) to Chapter 95 is added:

"(v) Tableware, kitchenware, toilet articles, carpets and other textile floor coverings, apparel, bed linen, table linen, toilet linen, kitchen linen and similar articles having a utilitarian function (classified according to their constituent material)."

Chapter 95 combinations with character of toys. New note 4 to Chapter 95 is added:

"4. Subject to the provisions of note 1, heading 9503 applies, inter alia, to articles of this heading combined with one or more items, which cannot be considered as sets under the terms of General Interpretative Rule 3(b), and which, if presented separately, would be classified in other headings, provided the articles are put up together for retail sale and the combinations have the essential character of toys."

Chapter 98 utilitarian cultural/religious or 3-dimensional holiday symbol articles. The following new provisions are added to Chapter 98, Subchapter XVII:

"Articles classifiable in subheading 3924.10, 3926.90, 6307.90, 6911.10, 6912.00, 7013.22, 7013.28, 7013.41, 7013.49, 9405.20, 9405.40 or 9405.50, the foregoing meeting the descriptions set forth below:

¹ According to the Proclamation, the following countries have FTAs or trade preference programs with the U.S. which will undergo staged duty rate reductions: Mexico, Caribbean Basin Trade Partnership Act (CBTPA) countries, Jordan, Singapore, Chile, Australia, Morocco, Dominican Republic-Central America FTA (DR-CAFTA) countries, and Bahrain.

² The HTS rules of origin of other FTAs and trade preference programs also need to be modified for the WCO-recommended changes. According to ITC sources, the HTS could be modified for the NAFTA countries of the U.S., Mexico, and Canada as early as July 1, 2007. As for the HTS rules of origin for other FTAs and trade preference programs, ITC sources note that they are unsure when they will be modified.

(See ITT's Online Archives or 06/08/06, 06/09/06, 06/13/06, 06/15/06, 06/16/06, 06/19/06, 06/20/06, 06/21/06, 06/22/06, 06/23/06, 06/26/06, 06/27/06, 06/28/06, 06/29/06, 06/30/06, 07/06/06, 07/24/06, 07/26/06, 07/27/06, 07/28/06, 07/31/06, 08/04/06, 08/14/06, 08/31/06, 09/14/06, 09/19/06, 09/27/06, 10/02/06, 10/06/06, 10/10/06, 10/12/06, 10/16/06, 10/17/06, 10/20/06, 10/24/06, and 10/25/06 news, 06060815, 06060915, 06061320, 06061510, 06061620, 06061920, 06062020, 06062120, 06062230, 06062330, 06062630, 06062730, 06062820, 06062910, 06063015, 06070625, 06072415, 06072615, 06072820, 06073120, 06080430, 06081425, 06083115, 06091415, 06091920, 09062735, 06100225, 06100630, 06101030, 06101210, 06101620, 06101720, 06102035, 06102420, and 06102530 for BP summaries of the ITC's final report on the WCO proposed changes. See ITT's Online Archives or 07/21/06 news, 06072105, for BP Addendum to Chapters 1-63.

See ITT's Online Archives or 01/03/07 news, 07010300, for BP summary announcing the signing of the proclamation. See ITT's Online Archives or 02/05/07 news, 07020510, for BP reminder that the 2007 HTS, which included the WCO-recommended changes, took effect on February 3, 2007.)

Proclamation 8097 (FR Pub 01/04/07) available at http://a257.g.akamaitech.net/7/257/2422/01jan20071800/edocket.access.gpo.gov/2007/pdf/07-00004.pdf

Annexes (ITC Publication 3898, December 2006) available at http://hotdocs.usitc.gov/docs/tata/hts/pub3898.pdf

ITC report on proposed modifications to the HTS (Investigation No. 1205-6 (final), Publication 3851, dated April 2006) available at http://hotdocs.usitc.gov/docs/tata/hts/Pub3851.pdf