CSMS Message: 93-000491

TO : ALL ABI BROKERS.

FROM : ROBERT WOODS

SUBJECT : GRI 3(B) & 3(C)

DATE : 05/20/93

MAY 11, 1993
3131011

ENT-1-CO-TO:E:CS RMW
CATEGORY: STA

TO: ALL REGIONAL DIRECTORS (COMMERCIAL OPERATIONS),
DISTRICT, AREA AND PORT DIRECTORS, IMPORT SPECIALISTS,
ENTRY OFFICERS, AND OTHER INTERESTED PARTIES SUCH AS
BROKERS, FILERS, AND IMPORTERS

FROM: DIRECTOR, OFFICE OF TRADE OPERATIONS

RE: TREATMENT OFSETS UNDER THE GENERAL RULES OF
INTERPRETATION 3 (B) AND 3 (C)

INSTRUCTIONS REGARDING THE TREATMENT OF SETS IN ACCORDANCE
WITH GENERAL RULES OF INTERPRETATION (GRI) 3 (B) OR 3 (C) OF THE
TARIFF SCHEDULE OF THE UNITED STATES WERE FIRST PUBLISHED BY
CUSTOMS IN EMAIL MESSAGE #1156051 DATED JUNE 5, 1991. SUBSEQUENT
INSTRUCTIONS WERE PUBLISHED IN CUSTOMS DIRECTIVE #099 3550-061,
"INSTRUCTIONS FOR PREPARATION OF CF 7501", DATED SEPTEMBER 18,
1992. THESE CURRENT INSTRUCTIONS REQUIRETHAT SETS CLASSIFIABLE
IN ACCORDANCE WITH GRI 3 (B) OR 3 (C) BE REPORTED IN THE
FOLLOWING MANNER:

"REPORT IN COLUMN 30 THE HTS NUMBER FROM WHICH THE RATE OF
DUTY FOR THE SET IS DERIVED. PRECEDE THIS NUMBER WITH AN
SPI OF "X". REPORT WITH THAT PART OF THE SHIPMENT SO
CLASSIFIED, THE TOTAL VALUE, QUANTITY AND CHARGES ASSOCIATED
WITH THE SHIPMENT (I.E. ALL THE COMPONENTS OF THE SET SO
CLASSIFIED) AS WELL AS ALL APPLICABLE DUTIES, TAXES, AND
FEES IN THE APPROPRIATE COLUMNS OF THE CF 7501. IN
ADDITION, EACH ARTICLE (INCLUDING THE ARTICLE DESIGNATED
WITH A PREFIX OF "X") SHOULD BE REPORTED ON A SEPARATE LINE
AS IF IT WERE SEPARATELY CLASSIFIED. PRECEDE THESE HTS
NUMBERS WITH AN SPI OF "V". REPORT THE QUANTITY AND VALUE
ATTRIBUTED TO EACH ARTICLE ASSOCIATED WITH THE "V" SPI.
ALSO, ALL OTHER REPORTING REQUIREMENTSINCLUDING, BUT NOT
LIMITED TO, QUOTA, VISA, LICENSING, AND OTHER GOVERNMENT
AGENCY REQUIREMENTS, SHOULD BE REPORTED ALONG WITH THE
APPROPRIATE HTSNUMBER PRECEDED WITH AN SPI OF "V". BOTH
THE "X" AND "V" SHOULD BE RIGHT JUSTIFIED IN COLUMN 28,
IMMEDIATELY PRECEDING, AND ON THE SAME LINE AS THE HTS
NUMBER TO WHICH IT APPLIES."

IT SHOULD BE NOTED THAT CF 7501 SAMPLES INDICATING THE CORRECT
FORMAT TO BE USED FOR ENTRY SUMMARIES OF SETS CLASSIFIABLE IN
ACCORDANCE WITH GRI 3 (B) OR 3 (C) ARE INCLUDED IN BOTH THE EMAIL
MESSAGE AND THE DIRECTIVE REFERENCED ABOVE.

ALL SETS CLASSIFIED BASED ON GRI 3 (B) OR 3 (C) MAY NOW BE
TRANSMITTED THROUGH ABI. DUTY, MERCHANDISE PROCESSING FEE (MPF),
AND HARBOR MAINTENANCE FEE (HMF) WILL BE CALCULATED BASED ON THE
"X" LINE. ALL OTHER DUTIES, INCLUDING COUNTERVAILING (CVD) AND
DUMPING (ADD), FEES, AND TAXES, WILL BE CALCULATED BASED ON THE
"V" LINE.

THE BUREAU OF THE CENSUS (CENSUS) HAS ADVISED THIS OFFICE
THAT, EFFECTIVE FOR MERCHANDISE ENTERED OR WITHDRAWN FROM
WAREHOUSE FOR CONSUMPTION ON OR AFTER JULY 1, 1993, THE
STATISTICAL DATA FOR GOODS CLASSIFIED INACCORDANCE WITH GRI
3 (B) OR 3 (C) WILL BE PROCESSED AND COMPILED FROM THE
INFORMATION REPORTED ON THE CF 7501 FOR THE INDIVIDUAL COMPONENTS
("V LINES) OF THE SET. PRESENTLY, CENSUS COMPILES THIS
STATISTICAL DATA USING THE TARIFF NUMBER FROM WHICH THE RATE OF
DUTY FOR THE SET IS DERIVED ("X" LINES). THE COMPILATION OF THE
DATA IN THISMANNER HAS, IN MANY CASES, RESULTED IN THE VALUE AND
QUANTITIES OF THE COMPONENTS IN THE SET BEING OVERSTATED. THE
CHANGE IN THE METHOD USED BY CENSUS TO PROCESSAND COMPILE THIS
DATA IS NECESSARY IN ORDER THAT THEY CAN PROVIDE MORE ACCURATE
IMPORT INFORMATION TO THE MANY USERS OF THEIR STATISTICS.
SPECIFICALLY THE DEPARTMENT OF COMMERCE, OFFICE OF TEXTILES AND
APPAREL, USES THE CENSUS DATA TO MONITOR ITEMS IMPORTED IN SETS
SUBJECT TO TEXTILE QUOTA AND VISA REQUIREMENTS.

AS A RESULT OF THESE CHANGES BY CENSUS, THE "V" LINES
PROCESSED THROUGH ABI WILL BE SUBJECTED TO CENSUS EDITS IN THE
AUTOMATED COMMERCIAL SYSTEM. IF THE INFORMATION ON THE "V" LINE
FALLS OUTSIDE OF THE SET PARAMETERS, A CENSUS WARNING MESSAGE
WILL BE GENERATED. THE PROCEDURES FOR PROCESSING ENTRY SUMMARIES
SUBJECT TO CENSUS WARNING MESSAGES IS OUTLINED IN CUSTOMS
DIRECTIVE #3560-01, "CENSUS INTERFACE--PROCESSING PROCEDURES",
DATED FEBRUARY 7, 1989.

IT IS ESSENTIAL THAT FILERS PROVIDE CUSTOMS WITH INFORMATION
THAT IS AS ACCURATE AS POSSIBLE FOR MERCHANDISE CLASSIFIED IN
ACCORDANCE WITH GRI 3 (B) OR 3 (C). THIS APPLIES TO ABI AS WELL
AS NON-ABI ENTRY SUMMARIES. LIKEWISE, IT IS THE RESPONSIBILITY
OF IMPORT SPECIALISTS REVIEWING THESE ENTRY SUMMARIES TO ENSURE
THAT ALL REQUIRED INFORMATION IS REPORTED ON THE CF 7501 AND THAT
THE DATA IS VALID. THE REPORTING OF COMPLETE AND ACCURATE
INFORMATION WILL SERVE TO KEEP THE NUMBER OF CENSUS WARNING
MESSAGES AT A MINIMUM, AS WELL AS AVOID THE NEED FOR CENSUS TO
REQUEST THAT CUSTOMS REVERIFY THE DATA.

QUESTIONS REGARDING THESE INSTRUCTIONS SHOULD BE DIRECTED TO
THE COLLECTIONS/STATISTICS BRANCH AT (202) 927-0801, 927-0418, OR
927-0051.

PHILLIP METZGER

Referenced By

CSMS #95-000753