WHAT YOU NEED TO KNOW

Q4 Industry Highlights

2020

QUARTERLY BROKERAGE UPDATE

became law on December 27, 2020

THE CONSOLIDATION APPROPRIATIONS ACT OF 2021

retroactive effective date July 1, 2020

Includes USMCA updates to the following:

THE CONSOLIDATION APPROPRIATIONS ACT OF 2021

treatment of goods entered through foreign trade zones

MPF refunds on post-importation claims

1. 

2. 

(i.e. 520(d) and reconciliation claims)

FTZ Update Under USMCA:

It prohibits non-originating goods used in production processes within FTZs from ever qualifying as originating goods even if all conditions under the general rules are otherwise satisfied.

THE CONSOLIDATION APPROPRIATIONS ACT OF 2021

Merchandise Processing Fee Refunds for USMCA Preferential Treatment:

THE CONSOLIDATION APPROPRIATIONS ACT OF 2021

Authorizes CBP to refund MPF for post-importation claims for USMCA preferential treatment.

(i.e. 520(d) and reconciliation claims)

At the time of USMCA implementation, CBP elected to exercise a period of restrained enforcement, from July 1 through December 31, 2020, on USMCA preferential treatment claims.

END OF RESTRAINED ENFORCEMENT PERIOD

The U.S. Department of Commerce is allowing exporters to request six-month validity period extensions for licenses that were due to expire on or before December 31, 2020.

COMMERCE PROVIDES RELIEF FOR EXPORTERS WITH SIX-MONTH EXTENSION ON LICENSES

BIS has streamlined the extension process and estimates approval within two to three business days.

COMMERCE PROVIDES RELIEF FOR EXPORTERS WITH SIX-MONTH EXTENSION ON LICENSES

This will ensure exporters have the opportunity to benefit fully from the authorizations granted.

COMMERCE PROVIDES RELIEF FOR EXPORTERS WITH SIX-MONTH EXTENSION ON LICENSES

This will ensure exporters have the opportunity to benefit fully from the authorizations granted.

COMMERCE PROVIDES RELIEF FOR EXPORTERS WITH SIX-MONTH EXTENSION ON LICENSES

The Miscellaneous Tariff Bill (MTB) is a law that temporarily reduces or suspends the import tariffs paid on specific products imported into the U.S.

MISCELLANEOUS TARIFF BILL

Typically, companies importing the products request the duty restrictions or suspensions by submitting a petition for each concerned product.

MISCELLANEOUS TARIFF BILL

The current MTB expired on December 31, 2020, which will result in an increase in duty rates on the affected products.

MISCELLANEOUS TARIFF BILL

No action has been taken to date on a new Miscellaneous Tariff Bill; we do not expect a new Bill will be passed before the current Congress concludes its term.

MISCELLANEOUS TARIFF BILL

The GSP program expired on December 31, 2020, but does not have any impact on the African Growth and Opportunity Act (AGOA).

GENERALIZED SYSTEM OF PREFERENCES (GSP)

AGOA remains in effect until September 30, 2025.

GENERALIZED SYSTEM OF PREFERENCES (GSP)

Charter Brokerage is a full-service

QUARTERLY BROKERAGE UPDATE

customs brokerage provider with unmatched compliance experience.