Free Trade Agreements

Questions and answers about Free Trade Agreements

  • 2022 WCO HTS updates and FTA certificates

    QUESTION: We are in the middle of our annual FTA solicitation cycle. The certificates we have gathered so far have been according to the “old” Harmonized Tariff schedule, not according the 2022 WCO updates. Does anyone know if we need to get new/updated certificates that reflect the 2022 HTS updates? The changes do affect our […]

  • Claiming preference treatment under US Korea FTA

    QUESTION: We import from a South Korean supplier who has issued an FTA as we are the importer and thus the product is duty free. We have an entity in Canada that imports the exact same commodity and the product is duty free entering Canada under the importing tariff code.  We had an intercompany purchase […]

  • US-Peru FTA Tariff shift for HS Code Subheading 3824.99

    QUESTION: I am looking at the RoO for product imported into the US or Peru for Subheading 3824.99 but the Peru FTA text does not cover the Subheading.  It only goes up to 3824.90. Here is the language from the USTR website for the US Peru FTA –  Annex – Product Specific Rules Chapter 38 […]

  • Multiple suppliers for the same SKU ::: outbound labeling, tracking and FTA application

    OT Fact Sheet: Origin Certification Requirements QUESTION: Brainstorming here.  In effort to mitigate risk, we are looking to multi-source certain critical SKU’s.  The critical SKU’s could either be imported from multiple different countries or potentially be manufactured in the US. We need to capture the specific country of origin and pricing from each supplier for […]

  • US TO PERU FTA CERTS

    OT Fact Sheet: Origin Certification Requirements QUESTION: We regularly issue FTA certs to our Peruvian branch and as of late they have pushed back on the Producer information for purchased parts. We state, as I believe many companies do, “AVAILABLE UPON REQUEST TO THE CUSTOMS AUTHORITIES.” The broker in Peru is insistent that the name/address/etc. […]

  • US – KOREA TRADE PROGRAM

    QUESTION: We have a Korean customer who has us ship product to their USA subsidiary and they export to their company in Korea. For these items of concern we are not the manufacturer or exporter/importer. Also, we do not want to disclose our supplier information as it is proprietary. For each of these shipments outlined […]

  • FTA HTS NOT IDENTIFIED IN ORIGIN RULES

    QUESTION: I would like to understand how trade manages situations when FTA text does not provide rules of origin for certain tariff classifications.  For example, in the US/Morocco FTA text, it jumps from Chapter 13 tariff to Chapter 20 tariff.  What if I have an item that is classified in Chapter 18 or 19?  How […]

  • Answers to Question on Costa Rica – China FTA

    QUESTION: I’ve never seen a rule such as this in the Costa Rica – China FTA. “No change in tariff classification is required, provided that there is a Regional Value Content of not less than 50%.”  Does this mean if I can tariff shift my product, I can avoid RVC?  Or I can only perform […]

  • ANSWER TO Question on Use of SPI C#

    QUESTION: Taking into account CSMS 14-000077, we understand that goods entered under Civil Aircraft Agreement that are marked or eligible to be marked the “product of” a country (let’s say Mexico in this case) with which the U.S. has an FTA that provides MPF exemption (let’s say USMCA in this case), can be imported free […]

  • ANSWERS TO QUESTION ON FTA HTS NOT IDENTIFIED IN ORIGIN RULES

    QUESTION: I would like to understand how trade manages situations when FTA text does not provide rules of origin for certain tariff classifications. For example, in the US/Morocco FTA text, it jumps from Chapter 13 tariff to Chapter 20 tariff.  What if I have an item that is classified in Chapter 18 or 19?  How do […]

  • AUSFTA SHIPMENT FROM CANADA

    QUESTION: Can we issue a AUSFTA for US goods shipping from Canada? In an effort to consolidate orders for our customer in Australia, we sell US goods to our Canadian entity that are stored in our warehouse until their orders are ready to ship.  When everything is ready the container is loaded with both US […]

  • US-Israel FTA Invoice Declaration

    QUESTION: We have a situation when exporting to Israel where our product has been substantially transformed in the US but does not meet the originating content value threshold to qualify for the US-Israel FTA. Often, the products are already duty free in Israel. Carriers continually ask us to sign the required invoice declaration but there […]