CBP Published Updated Guidance on Post-Importation Claims for Preferential Tariff Treatment

1. Belgium Rond-Point R.Schuman 11 1040 Brussels Phone: +32 2 588 5803 Fax: +32 2 588 5804 Canada Suite 300, 1090 Homer St Vancouver, BC V6B 2W9 Phone: +1 778 807 9713 Fax: +1 778 807 9657 Singapore 146 Robinson Road #07-01 Singapore 068909 Phone: +65 65009377 Fax: +65 68355173 United States of America 712 H Street NE, Suite 1110 Washington DC 20002 Phone: +1 202 869 0988 Fax: +1 202 869 1121 PRESS RELEASE Date: 6th March 2017 Title: CBP Published Updated Guidance on Post-Importation Claims for Preferential Tariff Treatment U.S. Customs and Border Protection (“CBP”) published a memorandum last month amending its previously issued guidance on filing post-entry claims for preferential tariff treatment. In August 2014 CBP had advised the trade community that post-importation preference claims would be reviewed in accordance with 19 U.S.C. §1520(d) (“1520(d)”). This statute identifies some, but not all, preference programs available in the Harmonized Tariff Schedule of the United States, and requires all post-importation preference claims to be filed within one year of importation. Under CBP’s prior interpretation, preference claims made under programs not listed in 1520(d) could only be made at the time of entry or through post entry amendments (PEAs) or post summary corrections (PSCs). All post-importation claims under these non-listed preference programs made by 19 U.S.C. §1514 protests were rejected as non- protestable. CBP’s updated guidance amends this policy based upon the Court of International Trade’s (“CIT”) decision last August in Zojirushi America Corp. v. U.S.[1] Under the new directive, CBP will permit importers to make post-importation claims for preferential treatment under programs not specifically covered by 1520(d) by the filing of administrative protests. CBP will also allow importers to refile administrative protests containing post-importation claims that had been rejected under its prior policy. These protests must be filed by August 14, 2017. Denied protests, however, cannot be refiled with CBP, and relief on these claims can only be obtained through the filing of court actions in the CIT. Finally, post-importation preference claims made under the programs specifically mentioned in 1520(d) continue to be governed by the procedures set forth in that statute. We have excerpted below a table included in CBP’s new guidance summarizing which preference programs are covered by 1520(d) and which are governed by the new policy:

2. Please feel free to contact Patrick J. Caulfield at (212)-973-7785 or Robert B. Silverman (212-973-7730) or the other attorneys at Council member – Grunfeld, Desiderio, Lebowitz, Silverman & Klestadt LLP. – if you have any questions about this change in Customs position. This press release was distributed by the International Trade Council. International Trade Council Member news does not necessarily represent the views of the Trade Council nor the Council's employees. For more information on the International Trade council please visit http://www.tradecouncil.org or drop by on Twitter at http:/www.twitter.com/inttradecouncil