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CBP Issues Revised ICP on Peanuts and Their Classification Under the HTSUS

U.S. Customs and Border Protection (CBP) has issued a revised version of its informed compliance publication (ICP) entitled, What Every Member of the Trade Community Should Know About: Peanuts and their Classification under the HTSUS.

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Changes Regarding NAFTA TRQ on Peanuts from Mexico

According to CBP sources, there are two changes to the text of this ICP regarding the NAFTA tariff rate quota (TRQ) on peanuts from Mexico. The changes are found in the second paragraph on page 14, which now reads as follows (changes are bold & italicized):

"The quantitative limitations applicable to peanuts (except peanut butter or paste) which are the products of Mexico under the NAFTA rules of origin are listed in Subchapter VI of Chapter 99, HTSUS. U.S. Note 16 of Subchapter VI establishes the aggregate quantity of peanuts (ground nuts), shelled or not shelled, blanched or otherwise prepared or preserved (except peanut butter), that are qualifying goods entered, free of duty, under subheadings 9906.12.01, 9906.12.04 and 9906.20.03 in any calendar year, at 4,815,000 kgs for the year 2006. When the quantitative limits specified in U.S. Note 16 have been filled, peanuts of Mexican origin, whether in-shell or shelled, or prepared or preserved (except peanut butter), shall be subject to duty under the following provisions in Subchapter VI, Chapter 99: Raw peanuts, in-shell, provided for in subheading 1202.10.80, if valued not over 28.4/kg, will be dutiable under subheading 9906.12.02, HTSUS. If valued over 28.4/kg, such peanuts will be dutiable under subheading 9906.12.03, HTSUS. Raw, shelled peanuts, provided for in subheading 1202.20.80, if valued not over 65.2/kg, will be dutiable under subheading 9906.12.05, HTSUS. If valued over 65.2/kg, such peanuts will be dutiable under subheading 9906.12.06, HTSUS. Prepared or preserved peanuts (except peanut butter), provided for in subheadings 2008.11.35 or 2008.11.60, if valued not over 65.2/kg, will be dutiable under subheading 9906.20.04, HTSUS. If valued over 65.2/kg, such peanuts will be dutiable under subheading 9906.20.05, HTSUS."

Information Added for TRQs Under Additional Trade Agreements

According to CBP sources, a new paragraph has been added on TRQs under other trade agreements. The new paragraph, which begins on page 14 and carries over to the top of page 15, reads as follows:

"Similarly, preferential duty rates, within specified quantitative limitations, also apply to eligible importations of peanuts from several other countries, pursuant to their separate trade agreements with the U.S. In this regard, the "Special" duty rate column of the HTSUS adjacent to the various applicable peanut subheadings in Chapters 12 and 20 should always be consulted. Listed below are countries whose trade agreements with the U.S. include tariff-rate peanut quotas, each followed by references to the portions of the HTSUS that set forth pertinent details.

Israel (US Note 6, and subheading 9908.12.01, in Subchapter VIII of Chapter 99) Jordan (US Note 4, and subheadings 9909.12.05, 9909.12.20 and 9909.12.40, in Subchapter IX of Chapter 99) Singapore (US Note 9, and subheadings 9910.12.05, 9910.12.10 and 9910.12.20, in Subchapter X of Chapter 99) Morocco (US Note 11, and subheadings 9912.12.05, 9912.12.10 and 9912.12.20, in Subchapter XII of Chapter 99) Australia (US Note 18, and subheadings 9913.12.05, 9913.12.10 and 9913.12.20, in Subchapter XIII of Chapter 99)"

CBP states that the material in this publication is provided for general information purposes only. CBP cautions that because many complicated factors can be involved in customs issues, an importer may wish to obtain a ruling under CBP regulations 19 CFR Part 177, or to obtain advice from an expert who specializes in customs matters - for example, a licensed customs broker, attorney or consultant. Reliance solely on the general information in this pamphlet may not be considered reasonable care.

Revised Peanut ICP (dated 06/2006) available at http://www.cbp.gov/linkhandler/cgov/toolbox/legal/informed_compliance_pubs/icp009r2.ctt/icp009r2.pdf