TariffPro Web Log

Notes on recent changes related to the HTS

• The US government recently announced changes to certain provisions of AGOA (the African Growth and Opportunity Act). The changes added Togo as an eligible sub Saharan African country and as a beneficiary sub-Saharan African country.
• The Solomon Islands was designated as a beneficiary of the GSP (Generalized System of Preferences) program.
• Preferential (duty-free) treatment for Jamaica under subheading 2202.90.37 of the HTS was withdrawn and the HTS was modified accordingly.
• Technical corrections to the Harmonized Tariff Schedule were made to reflect the waiver of the competitive need limitation (CNL) for imports from Colombia under HTS subheading 1701.11.05.

On March 28 2008, George Bush signed a Proclamation to modify the harmonised tariff tariff schedule.  Some of the changes to the tariff include deletion, addition of tariff numbers, and a reduction in duty rates. For example, oriented strand board and similar board, HTS # 4412.10.00 was deleted and  4412.10.05 was added.   Additionally, food preparations, HTS # 2106.00.38, the Australia duty rate dropped from 10.8 cents to  10.1 cents effective April 1st.

To see the full press release from the White House, click on the link below .

http://www.whitehouse.gov/news/releases/2008/03/20080328-8.html#

To learn more about how the Presidential Proclamation will affect your products contact us at www.tariffpro.com

Over the last few weeks a number of folks have been asking us about the SDN List and what it means for importers. The SDN is an acronym for Specially Designated Nationals. The US Dept. of Treasury publishes/updates the list. US firms are prohibited from doing business with individuals or entities on that list. Entities from Afghanistan on the list include:

Afghanistan
ABDEL RAHMAN (a.k.a. ABDUL RAHMAN; a.k.a. AL-MUHAJIR, Abdul Rahman; a.k.a. AL-

NAMER, Mohammed K.A.; a.k.a. ATWAH, Muhsin Musa Matwalli), Afghanistan; DOB 19

Jun 1964; POB Egypt; citizen Egypt (individual) [SDGT]

ABDUL RAHMAN (a.k.a. ABDEL RAHMAN; a.k.a. AL-MUHAJIR, Abdul Rahman; a.k.a. AL-

NAMER, Mohammed K.A.; a.k.a. ATWAH, Muhsin Musa Matwalli), Afghanistan; DOB 19

Jun 1964; POB Egypt; citizen Egypt (individual) [SDGT]

ABDULLAH, Abdullah Ahmed (a.k.a. ABU MARIAM; a.k.a. AL-MASRI, Abu Mohamed;

a.k.a. SALEH), Afghanistan; DOB 1963; POB Egypt; citizen Egypt (individual)

[SDGT]

As always, at TariffPro, we do our best to keep you ahead of the curve.

It is too early yet to tell yet what importers should expect from the next president of the United States. However, some clues are beginning to emerge. For one, it is evident now that the US economy is in trouble. The next president of the United States will have to come up with new policies to deal with a slumping or sluggish economy.

If the next president is a republican, we can reasonably expect that the policy will not be any more ingenious than domestic tax cuts and a push for a reduction in interests rates. We will not discuss the wisdom of such a strategy, but we can reasonably expect that action.

A democratic president is more of a wild card. In general, we can reasonably expect a multi faceted approach to the problem – a mixture of populist driven policies, a possible fiscal stimulus package and monetary policy tweaks. It is in the category of populist policies that the more interesting wild cards lie. Does the next government impose new restrictions and duties on imports that are taking away market share from American companies to protect domestic jobs? Does the government impose additional restriction on overseas manufacturing?

No matter, TariffPro will be here, always enabling the best possible information on import restrictions and rates.

When you look at today’s business landscape, some of the biggest companies and some of the fasted growing companies, in fact some of the most successful companies in the US and indeed in the world share a few characteristics: These achieving companies are nimble, they are creative and they put themselves in a position to define the speed and tools with which they compete. However, when even the fastest companies in the world have to deal with government, they do not have many tools that can help them define their own pace, nimbleness and speed with which they deal with government requirements, regulations and rules.

In that vein, there are companies that truly allies for the fast company that values speed, efficiency and the company that understands the return on investment in getting things done fast. Companies like TariffPro are enablers for those that understand how to compete, want to do more with less, and want to do more fast. We enable the fasted information on import duties in the US and we are actively exploring newer and better ways to make it possible for you to compete. Let us know how else we can help you.

Recently an article from the Wall Street Journal (Going Online to Lure Foreign Shoppers, http://online.wsj.com/article/SB120243349170052469.html) suggested that online retailers are turning to foreign shoppers in an effort to weather the storm of economic downturn.

For retailers who are able to navigate the myriad of customs duties and taxes, they will be well positioned to reap the benefit of increased sales to foreign shoppers thirsty for US goods. For shoppers the relatively lower prices of US goods will turn out to be a bargain if the bottom line cost of the goods (including customs taxes) turns out to be cheaper than buying the same merchandise locally. In some countries customs duties and fees can exceed 50% of the value of the item purchased.

To avoid hidden surprises we encourage retailers and shoppers alike to check on the duties and taxes applicable to their products in order to make the most informed decision.