QUESTION: We are exploring a business opportunity that may involve an assist/dutiable charges. This is the first time we’ve engaged in such a transaction, so I want to be sure that I understand what the correct process is to account for the cost of tooling/equipment that is owned by a U.S. third party. Company A, […]
QUESTION: Would the following scenario be considered an assist? If so, how should this be reported on the commercial invoice and what type of documentation should be retained (invoice for fabric and shipping)? A US wholesale apparel company enters into a contract to manufacture and import shirts for a US retailer. Under the terms of […]
QUESTION: We currently have many tooling’s in China. We have declared all of these on importation of the original production orders of these items into the USA. We now plan to move these to another country. Am I correct in that we only have to declare the international freight to the new country, as an […]
QUESTION: We a buying a tool/mold from a vendor overseas. They will create the mold, then ship us 2-5 sample widgets as a test of the mold. After sample approval, they will send us the mold for long-term production in the US. It seems like we would need to add the cost of the mold […]
QUESTION: We, as the US importer, paid a supplier in Korea $100,000 to make a new tool which makes parts for us. The tool was located in Korea at their manufacturing facility and the tool makes parts that import to us into the United States. The parts carry a 3.5% general rate of duty. However, […]
QUESTION: I found a similar question that was asked back in March 2019, but scenario is slightly different. Therefore, looking to get feedback on the below scenario. Scenario: 1). “Foreign” Company A sells prototype parts to “US” Company B 2). Company B will act as IOR 3). Parts meet all provisions of the 9817 Prototype […]
QUESTION: Our company purchased fabrics from an unrelated supplier and provided these fabrics to 3 different unrelated foreign manufacturers free of charge. The fabrics were used to manufacture 37 different types of chairs. Our company paid all freight costs to deliver the fabrics from the fabric supplier’s U.S. & Europe locations to the 3 foreign […]
QUESTION: I was re-reading the different valuation models along with the definition of “assists”. It seems that assists are ONLY added to the customs value of goods imported under the Transaction Value methodology. So, the value of an assist does not have to be added if using Valuation Methods 2-6, correct? =========== Answers: Yes, but […]
QUESTION: Scenario US manufacturer purchases parts from a supplier in China, along with tooling that is used in the production of those parts in China. The supplier ships the parts to their own warehouse located in Canada. No further alteration takes place there; it’s strictly a storage facility. When the US manufacturer is ready for […]
QUESTION: I’m not 100% certain if this is an assist. It’s a triangulated transaction, but essentially we are purchasing special tooling that will be used to manufacture a product that our China plant (same parent company as ours) will purchase and use in our finished good. Scenario. Our China manufacturer places PO with Canadian vendor […]
QUESTION: We will be sending a part to our foreign supplier for use in a finished product. The value of the part and the freight costs to get it there are paid by us and would be an assist. If our vendor bills us for their foreign import duty costs and brokerage fees, would that […]
QUESTION: We provide product labels to a manufacturer overseas. The labels are applied to both the products and the outer carton. The labels were made in the US, purchased, printed, and inventoried by us, and then shipped to the manufacturer overseas free of charge. The overseas manufacturer sticks the labels on the finished product […]
