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  2. How does HQ Quota announce whether or not a proration is necessary?

How does HQ Quota announce whether or not a proration is necessary?

After waiting three to five days to be sure all port offices have finished reporting the subject quota lines, HQ Quota issues a notice to the field and trade notifying all interested parties of the results of the opening.

If the quota did not oversubscribe at opening, the message states that merchandise presented for the opening has been released and normal processing resumes until the 95% threshold is reached, triggering the quota “hold” manual review and release while the balance remains. Note: It is possible that the fill could occur soon after the opening depending on the balance available and quantities presented.

If the quota does oversubscribe at opening, the message states that a proration is necessary to ensure fair and equitable distribution of the quota (see Section XIV). The notice also provides the pro-rata percentage. Once notified, the importer must decide on disposition of their shipments.

Last Modified: Nov 12, 2013