TBT- 08-015-01: Mexico Inputs Allowed Under the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR) for Certain Woven Apparel
QBT-11-580: United States-Dominican Republic-Central America Free Trade Agreement (CAFTA-DR) Cumulation - Limits for Mexican Inputs
Pursuant to General Note 29 (d)(vii) of the Harmonized Tariff Schedule of the United States (HTS), the U.S.-Central America and Dominican Republic Free Trade Agreement (CAFTA-DR) permits qualifying apparel classified in Chapter 62 to enter the United States duty-free using the agreement's cumulation provisions by indicating the applicable Chapter 98 provision, HTS number 9822.05.11 or 9822.05.13, on the CBP 7501 at the time of entry summary. CAFTA-DR cumulation provisions permit certain materials to be sourced from Mexico.
This memo serves as notice that CBP has been advised, effective March 1, 2012, the Dominican Republic lost its eligibility to use the CAFTA-DR cumulation provisions. A Presidential Proclamation to amend the HTS, as necessary to implement this change, is forthcoming.
Claims for preference on woven apparel from the Dominican Republic based on the above mentioned cumulation provisions filed on or after March 1, 2012, will be assessed duty as non-originating goods.
Additionally, entries under HTS number 9822.05.11 are subject to quota. Because there is one set of limit and sublimits applied to all CAFTA-DR countries collectively, charges against the 2012 limit or sublimits for goods from the Dominican Republic entered on or after March 1, 2012, will be credited back to the limit(s) once the HTS changes are in place and systems are updated to remove the Dominican Republic from quota programming.
The duty and quota status of cumulation claims on goods from Costa Rica, El Salvador, Guatemala, Honduras or Nicaragua under HTS number 9822.05.11 or 9822.05.13 will not be affected by this change.
This memo is informational only. The Textile/Apparel Policy and Programs Division will issue a subsequent notice providing further guidance to the ports once the Presidential Proclamation is issued.
Please ensure that this notice is passed to all port directors, assistant port directors (Trade), import specialists, CBP officers, entry specialists and other interested parties such as brokers and importers.
Questions related to this TBT/QBT can be directed to Textile Operations Branch, Office of International Trade.
Questions on quota can be directed to Quota Branch, Office of International Trade.