Trade Law Daily is a Warren News publication.

CITA Exempts Certain Sample and HTS Chapter 98 Textiles & Apparel from China Safeguard Quotas

The Committee for the Implementation of Textile Agreements (CITA) has issued a notice announcing its determination that certain products, exempted from visa and quota requirements under previous arrangements, should also be exempted from safeguard quotas imposed on textile and textile products from China.

Sign up for a free preview to unlock the rest of this article

Timely, relevant coverage of court proceedings and agency rulings involving tariffs, classification, valuation, origin and antidumping and countervailing duties. Each day, Trade Law Daily subscribers receive a daily headline email, in-depth PDF edition and access to all relevant documents via our trade law source document library and website.

Therefore, CITA is directing U.S. Customs and Border Protection (CBP) to exempt items entered under the following provision/HTS numbers from any China safeguard quotas that are imposed (See HTS for complete tariff number descriptions):

$800 or less marked commercial samples. Properly marked commercial samples valued at $800 or less;

Articles previously imported. HTS 9801.00.20, 9801.00.25, or 9801.00.26 - articles, previously imported, with respect to which the duty was paid upon such previous importation or which were previously free of duty;

Articles returned after being advanced/improved. HTS 9802.00.40 or 9802.00.50 - articles returned to the U.S. after having been exported to be advanced in value or improved in condition;

Low value or mutilated samples for soliciting orders. HTS 9811.00.60 - certain samples valued not over $1 each or marked, torn, perforated or otherwise treated so that they are unsuitable for sale or for use otherwise than as a sample, to be used in the U.S. only for soliciting orders for products of foreign countries;

Articles to be repaired, altered, or processed. HTS 9813.00.05 - articles to be repaired, altered or processed (including processes which result in articles manufactured or produced in the U.S.); and

International athletic event articles. HTS 9817.60.00 - articles not intended for sale or distribution to the public that are associated with an international athletic event held in the U.S., such as the Olympics or similar international athletic event.

(CITA states that Paragraph 242 of the Report of the Working Party on the Accession of China to the World Trade Organization (WTO) allows WTO members that believe imports of Chinese origin textile and apparel products are, due to market disruption, threatening to impede the orderly development of trade in these products to request consultations with China with a view to easing or avoiding such market disruption.

Currently, there is a safeguard quota imposed on China cats 332/432/632pt. for October 29, 2004 through October 28, 2005.)

(See ITT's Online Archives or 08/04/03 and 05/22/03 news, 03080415 and 03052210, for BP summaries on CITA's safeguard procedures for China.

See ITT's Online Archives or 05010405, for BP summary of the Court of International Trade's (CIT's) injunction which has temporarily stopped CITA from accepting and considering threat-based China safeguard petitions.)

CITA contact - Ross Arnold (202) 482-3400

CITA notice (FR Pub 12/29/04) available at http://a257.g.akamaitech.net/7/257/2422/06jun20041800/edocket.access.gpo.gov/2004/pdf/04-28525.pdf

CBP notice (QBT-04-039/TBT-04-042, dated 12/30/04) available at http://www.cbp.gov/linkhandler/cgov/import/textiles_and_quotas/tbts/TBT2004/tbt_04_042.ctt/tbt_04_042.doc