Treasury Dept. Regulatory Agenda Includes Details on USMCA Rule on Non-Preferential Origin Determinations
The Treasury Department published its spring 2021 regulatory agenda for CBP. The agenda includes some details about a proposal to change USMCA rules for non-preferential origin determinations for merchandise imported from Canada or Mexico. The proposal was previously disclosed by the Office of Information and Regulatory Affairs, within the Office of Management and Budget (see 2105120051), where it remains under review.
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.
Under the proposed rule, CBP "will apply the part 102 rules of origin" for "all non-preferential purposes of the customs laws, to determine when a good imported from Canada or Mexico has been substantially transformed resulting in an article with a new name, character, or use," the agency said. There's been some question in recent months over where the Part 102 rules fit within USMCA (see 2103100025). The changes "will reduce administrative burdens and inconsistency for non-preferential origin determinations for merchandise imported from Canada or Mexico for purposes of the implementation of the Agreement Between the United States of America, the United Mexican States, and Canada (USMCA)."
CBP is will concurrently publish an interim final rule to "amend various regulations to implement the USMCA for preferential tariff treatment claims," it said. That interim rule was previously included in the department's long-term agenda, but is now listed as being in the final rule stage.
No longer included in the agenda is a proposal to end the de minimis exemption for Section 301 tariffs. That proposal was mentioned in the fall 2020 regulatory agenda (see 2012140023).
The agenda lists Treasury's CBP rulemakings that are pending at the proposed, interim final, final and completed stages, as well as rulemakings that are long-term actions. The agenda lists the regulation title; past regulation(s), if any; the time frame for the next regulatory action(s), if any; a brief description of the regulation; and a contact party name and telephone number.
Agenda Highlights
Highlights of Treasury's CBP rulemakings are below. New items are marked with an asterisk (*).
| Proposed Rule Stage |
|---|
| Dog and Cat Protection Act |
| International Travel Merchandise |
| Updates to (a)(1)(A) List |
| Merchandise Produced by Convict or Forced Labor or Indentured Labor Under Penal Sanctions |
| Elimination of Paper-Based Bond Applications and the Automated Processing of Bond Applications |
| *Non-Preferential Origin Determinations for Merchandise Imported From Canada or Mexico for Implementation of the Agreement Between the United States of America, the United Mexican States, and Canada |
| Final Rule Stage |
| Automated Commercial Environment (ACE) Required for Electronic Entry/Entry Summary (Cargo Release and Related Entry) Filings |
| Administrative Exemptions on Value of Articles Increased |
| Enforce and Protect Act Regulations |
| Importations of Pesticides and Pesticidal Devices |
| Enforcement of Copyrights and the Digital Millennium Copyright Act |
| Disclosure of Information Regarding Abandoned Merchandise |
| Refund of Alcohol Excise Tax |
| Removal of References to Customs Broker District Permit Fee |
| Goods Returned to the United States |
| Fee for Inbound Express Mail (Inbound EMS) Items |
| Amendment to Statement Processing and Automated Clearinghouse (ACH) |
| Agreement between the United States of America, the United Mexican States, and Canada (USMCA) Implementing Regulations |
| *Import Restrictions Imposed on Archaeological and Ethnological Material From Turkey |