The Charter Brokerage Quarterly Update
What You Need to Know
Q3 Industry Highlights 2020
Merchandise Processing Fee (MPF) Rate Increase
CBP announced an increase in certain fees, which went into effect October 1, 2020.
The ad valorem rate of 0.3464% will NOT change. However, note the following changes:
- The MPF minimum will change from $26.79 to $27.23 and the maximum will change from $519.76 to $528.33.
- The informal entry MPF (automated, not prepared by CBP) will increase to $2.18.
- The surcharge for manual entry or release will increase to $3.27.
The Caribbean Basin Economic Recovery Act (CBERA)
On October 10, 2020, President Trump extended CBERA, which authorizes the Caribbean Basin Trade Partnership Act (CBPTA), to September 30, 2030.
CBERA is intended to facilitate the development of stable Caribbean Basin economies, including:
- Antigua and Barbuda
- St. Kitts and Nevis
- St. Lucia*
- St. Vincent and Gernadines
- Trinidad and Tobago*
- British Virgin Islands
*Designates CBTPA beneficiary
CBP has not provided guidance on how duties paid during the expiration period of September 30th through October 10th will be refunded.
Generalized System of Preferences (GSP) Expiration Approaching Quickly
The GSP program provides nonreciprocal, duty-free tariff treatment to certain products imported from designated beneficiary developing countries.
GSP is set to expire December 31, 2020.
Why Charter Brokerage?
Charter Brokerage is a full-service customs brokerage provider with unmatched compliance experience.
To learn more, contact us at: email@example.com