July 2021 USMCA Updates
By NNR USA In USA Trade Alerts On 8th July 2021
Sewing Thread Requirement
Effective July 1st, 2021, the United States-Mexico-Canada Agreement (USMCA) implemented the sewing thread requirement.
For more information, refer to CSMS #48659796.
USMCA Regulatory Amendments
Effective July 1st, 2021, CBP issued an interim final rule to include implementing regulations for the preferential tariff treatment and related customs provisions of USMCA.
- Implement the provisions in Chapters 1, 2, 5, and 7 of the USMCA related to general definitions, confidentiality, import requirements, export requirements, post-importation duty refund claims, drawback and duty-deferral programs, general verifications and determinations of origin, commercial samples, goods re-entered after repair or alteration in Canada or Mexico, and penalties.
- Amendments to apply the marking rules in determining the country of origin for marking purposes.
- Add the sugar-containing products subject to a tariff-rate quota under Appendix 2 to Annex 2-B of Chapter 2 of the USMCA to the CBP regulations governing the requirement for an export certificate, conforming amendments for the declaration required for goods re-entered after repair or alteration in Canada or Mexico, recordkeeping provisions, and the modernized drawback provisions.
Proposed Rule: Non-Preferential Origin Determinations for Merchandise Imported from Canada or Mexico
The rule proposes to amend the U.S. Customs and Border Protection (CBP) regulations regarding non-preferential origin determinations for merchandise imported from Canada or Mexico. Specifically, that CBP will apply certain tariff-based rules of origin in the CBP regulations for all non-preferential determinations made by CBP, to determine when a good imported from Canada or Mexico has been substantially transformed resulting in an article with a new name, character, or use.