19 U.S.C. § 3005: Commission review of, and…

Summary

The Commission must keep the Harmonized Tariff Schedule under constant review and send change suggestions to the President from time to time, especially when the Customs Cooperation Council proposes changes to the Convention or when other reasons arise. It can suggest changes to match Convention amendments, to help the Convention be applied the same way everywhere (including the Annex), to update the Schedule for new technology or trade patterns, to cut unnecessary paperwork, and to fix technical errors. Before making recommendations, the Commission must ask federal agencies and the public for their views, give notice, allow written comments, and may hold a hearing. It must send a report to the President that explains the basis for each suggestion, states the likely economic effect on any industry in the United States, and includes agency comments and other parties’ views. A proposed change is allowed only if it follows the Convention or its proposed amendments, follows sound naming rules, keeps overall tariff levels substantially neutral, ties any duty-rate change to a naming change, and does not change competitive conditions for affected U.S. industry, labor, or trade.

Title 19, §3005

Customs Duties, Source: USLM XML via OLRC

(a)In general

The Commission shall keep the Harmonized Tariff Schedule under continuous review and periodically, at such time as amendments to the Convention are recommended by the Customs Cooperation Council for adoption, and as other circumstances warrant, shall recommend to the President such modifications in the Harmonized Tariff Schedule as the Commission considers necessary or appropriate—

(1)to conform the Harmonized Tariff Schedule with amendments made to the Convention;

(2)to promote the uniform application of the Convention and particularly the Annex thereto;

(3)to ensure that the Harmonized Tariff Schedule is kept up-to-date in light of changes in technology or in patterns of international trade;

(4)to alleviate unnecessary administrative burdens; and

(5)to make technical rectifications.

(b)Agency and public views regarding recommendations

In formulating recommendations under subsection (a), the Commission shall solicit, and give consideration to, the views of interested Federal agencies and the public. For purposes of obtaining public views, the Commission—

(1)shall give notice of the proposed recommendations and afford reasonable opportunity for interested parties to present their views in writing; and

(2)may provide for a public hearing.

(c)Submission of recommendations

The Commission shall submit recommendations under this section to the President in the form of a report that shall include a summary of the information on which the recommendations were based, together with a statement of the probable economic effect of each recommended change on any industry in the United States. The report also shall include a copy of all written views submitted by interested Federal agencies and a copy or summary, prepared by the Commission, of the views of all other interested parties.

(d)Requirements regarding recommendations

The Commission may not recommend any modification to the Harmonized Tariff Schedule unless the modification meets the following requirements:

(1)The modification must—

(A)be consistent with the Convention or any amendment thereto recommended for adoption;

(B)be consistent with sound nomenclature principles; and

(C)ensure substantial rate neutrality.

(2)Any change to a rate of duty must be consequent to, or necessitated by, nomenclature modifications that are recommended under this section.

(3)The modification must not alter existing conditions of competition for the affected United States industry, labor, or trade.

Notes & Related Subsidiaries

Editorial Notes

References in Text

The Harmonized Tariff Schedule, referred to in subsecs. (a) and (d), is not set out in the Code. See Publication of Harmonized Tariff Schedule note set out under section 1202 of this title.

Statutory Notes and Related Subsidiaries

Commission Report on Operation of Implementation of Harmonized Tariff Schedule Pub. L. 100–418, title I, § 1216, Aug. 23, 1988, 102 Stat. 1163, required Commission, in consultation with other appropriate Federal agencies, to prepare and submit to Congress and President a report regarding operation of subtitle B (§§ 1201–1217) of title I of Pub. L. 100–418, during the 12-month period commencing on

Effective Date

of Harmonized Tariff Schedule, Jan. 1, 1989, said report to be submitted to Congress and President before close of 6-month period beginning on day after last day of such 12-month period.

§3005 Commission Review Of, and Recommendations Regarding, Harmonized Tariff Schedule