Some tech merchandise of Chinese origin sent to Mexico for minimal handling and then exported to the U.S. is eligible for tariff treatment under the U.S.-Mexico-Canada Agreement on free trade, said Customs and Border Protection in a ruling Friday. Jose Fierro, an El Paso customs broker, requested the ruling less than a week after USMCA took effect July 1. The broker said a client contracted with a Mexican maquiladora final assembly facility for logistical services, and inquired if USMCA treatment would apply. Workers at the maquiladora facility will provide sorting, picking and packing services on the goods, which will be exported to the U.S. "in the same condition as they were imported into Mexico," Fierro told CBP. The goods include computing products of various sorts and a broad variety of goods, including smart speakers, Bluetooth headphones, smartwatches and fitness trackers.
Some tech merchandise of Chinese origin sent to Mexico for minimal handling and then exported to the U.S. is eligible for tariff treatment under the U.S.-Mexico-Canada Agreement on free trade, said Customs and Border Protection in a ruling Friday. Jose Fierro, an El Paso customs broker, requested the ruling less than a week after USMCA took effect July 1. The broker said a client contracted with a Mexican maquiladora final assembly facility for logistical services, and inquired if USMCA treatment would apply. Workers at the maquiladora facility will provide sorting, picking and packing services on the goods, which will be exported to the U.S. "in the same condition as they were imported into Mexico," Fierro told CBP. The goods include computing products of various sorts and a broad variety of goods, including smart speakers, Bluetooth headphones, smartwatches and fitness trackers.
Some tech merchandise of Chinese origin sent to Mexico for minimal handling and then exported to the U.S. is eligible for tariff treatment under the U.S.-Mexico-Canada Agreement on free trade, said Customs and Border Protection in a ruling Friday. Jose Fierro, an El Paso customs broker, requested the ruling less than a week after USMCA took effect July 1. The broker said a client contracted with a Mexican maquiladora final assembly facility for logistical services, and inquired if USMCA treatment would apply. Workers at the maquiladora facility will provide sorting, picking and packing services on the goods, which will be exported to the U.S. "in the same condition as they were imported into Mexico," Fierro told CBP. The goods include computing products of various sorts and a broad variety of goods, including smart speakers, Bluetooth headphones, smartwatches and fitness trackers.
Some “high tech” goods of Chinese origin sent to Mexico for minimal handling and then to the U.S. are eligible for USMCA tariff treatment, CBP said in an Aug. 7 ruling. Jose Fierro, an El Paso, Texas, customs broker, requested the ruling less than a week after USMCA entered into force July 1. The broker said that a client “has contracted with a Mexican maquiladora facility to provide certain logistical services” and inquired whether USMCA treatment would apply.
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The broader impact of CBP's ruling on unsold low-value goods imported under Section 321 exemptions may be somewhat limited, industry experts said in recent interviews. The ruling (see 2007310036) laid out how the agency determines what entities can be considered a “person” for unsold Section 321 shipments.
The CBP proposal to require brokers to report to the government a client's attempts of illegal activity (see 2008040038) is an “unreasonable responsibility to place on a broker,” the U.S. Chamber of Commerce said in comments. That feeling is shared by several other trade associations that filed in the CBP docket on proposed updates to customs brokers regulations. The idea “shifts a burden that should be placed on the CBP as a law enforcement agency onto the broker instead” and directs brokers to “determine the intention of the noncompliance, error, or omission,” the Chamber said.
CBP opened up registration for the Oct. 8 customs broker license exam, it said in a CSMS message. CBP canceled the exam in April and was considering steps to administer the October exam safely (see 2007170029). The exam will have two sessions, at 8:30 a.m. and 1:30 p.m., CBP said. “Doors will open for the exams, a minimum of 30 minutes prior to the exam.” Seating is first-come, first-served “and due to coronavirus (COVID 19) or other unanticipated events, seating may be limited at certain testing locations.” Registration closes Sept. 8.
The president and part-owner of a jewelry importer will pay $415,000 to settle a False Claims Act lawsuit that alleged his company undervalued entries in an effort to avoid paying duties, the Department of Justice said in an Aug. 3 news release. Anshul Gandhi, resident of New Jersey, admitted as part of the settlement that he knew of the customs fraud, avoiding a more than $7 million judgment entered in New York Southern District federal court that same day.
Full compliance with the CBP proposal to revamp multiple government standards customs brokers are required to meet (see 2006040037) would likely take at least a year to complete, and potentially more, the National Customs Brokers & Forwarders Association of America said in comments filed Aug. 4. The updates would require dramatic changes during an already especially complex time in the industry and the broader economy, it said. Comments in the docket are due Aug. 4.