Rulings, remedies and court proceedings for customs and trade professionals

Importer Challenges CBP's Denial of Section 301 Exclusion for Car Side Protective Attachments

Importer MKI Enterprise Group, doing business as Winbo USA, filed a complaint at the Court of International Trade on April 22 to contest CBP's denial of a Section 301 exclusion for its entries of "steel side protective attachments for motor vehicles, specifically side bars, fern bars, and bars" from China (MKI Enterprise Group v. United States, CIT # 22-00131).

TO READ THE FULL STORY
Start A Trial

The importer said the Office of the U.S. Trade Representative granted a Section 301 exclusion application in April 2020 for "side protective attachments." The importer noted that the exclusion is for "any product that meets the description in the Annex, regardless of whether the importer filed an exclusion request."

MKI Enterprise Group said it originally entered the goods under the Section 301 exclusion subheading, Harmonized Tariff Schedule subheading 9903.88.93, as the primary subheading since the goods meet the description of "side protective attachments" for which the exclusion was granted. The entries' other subheading is 8708.29.5060. CBP rejected this claim, saying that the "Nerf Bars, Running Boards, Side Steps, Steel Side bars and Bumpers" don't qualify for the exclusion.

The importer claimed that CBP "acted contrary to law in failing to grant the protest in full and not refunding Plaintiff duties assessed pursuant to Subheading 9903.88.03, HTSUS, to which Plaintiff is entitled." A separate suit, brought by importer Keystone Automotive Operations, similarly challenges CBP's failure to apply the exclusion (see 2404100071).