CSMS Message: 99-000484

TO : ALL ABI BROKERS.

FROM : JOHN ZZ-PIERCE

SUBJECT : EXPIRATION OF THE GSP-1999

DATE : 06/28/1999

9179071

JUNE 28, 1999

FO:TP:TA JAP

CATEGORY: GSP

TO : ALL DIRECTORS FIELD OPERATIONS AND PORT DIRECTORS

FROM : DIRECTOR, TRADE PROGRAMS

SUBJECT : SCHEDULED EXPIRATION OF THE GENERALIZED SYSTEM OF
PREFERENCES (GSP) ON JUNE 30, 1999

PASS TO: IMPORT AND ENTRY SPECIALISTS, INSPECTORS, BROKERS,
IMPORTERS AND OTHER INTERESTED PARTIES

BACKGROUND:

THE GSP IS CURRENTLY SCHEDULED TO EXPIRE AT MIDNIGHT ON JUNE 30,
1999, UNLESS ITS PROVISIONS ARE EXTENDED BY CONGRESS. CLAIMS FOR
TREATMENT UNDER THE GSP MAY BE MADE, AS SPECIFIED IN THE
INSTRUCTIONS BELOW, FOR MERCHANDISE ENTERED OR WITHDRAWN FROM
WAREHOUSE FOR CONSUMPTION ON OR AFTER JULY 1, 1999. HOWEVER,
CUSTOMS WILL NOT PROCESS THE CLAIMS AS DUTY-FREE UNDER THE GSP ON
OR AFTER JULY 1, 1999, IF THE PROGRAM IS NOT EXTENDED BEFORE THAT
DATE.

NOTE: IF THE PROGRAM IS EXTENDED BY CONGRESS PRIOR TO JUNE 30,
1999, NOTICE WILL BE PROVIDED VIA THE CUSTOMS ELECTRONIC BULLETIN
BOARD (CEBB), BULLETIN BOARD OTO5, AND AN ADMINISTRATIVE MESSAGE
TO ABI FILERS.

CUSTOMS HEADQUARTERS WILL USE THE SAME MECHANISM TO FACILITATE
REFUNDS THAT IT HAS UTILIZED IN THE PAST WHEN THE GSP EXPIRED.
UNDER THIS PLAN, FILERS WILL BE ALLOWED TO CONTINUE USING THE
SPECIAL PROGRAM INDICATOR (SPI) "A" FOR ENTRY SUMMARIES FILED ON
OR AFTER THE EXPIRATION DATE. REFUNDS WILL ONLY BE ISSUED, IF
THE GSP IS RENEWED WITH RETROACTIVE EFFECT, FOR THOSE ELIGIBLE
GOODS ENTERED OR WITHDRAWN FROM WAREHOUSE FOR CONSUMPTION DURING
THE PERIOD THE GSP WAS LAPSED THAT WERE ELIGIBLE FOR DUTY-FREE
TREATMENT UNDER THE PROGRAM PROVISIONS PRIOR TO ITS EXPIRATION.

ACTION:

1. IF THE GSP IS NOT EXTENDED BY LEGISLATIVE ACTION PRIOR TO
JUNE 30, 1999, AS OF JULY 1, 1999, CUSTOMS WILL CONTINUE
TO ACCEPT CLAIMS MADE UNDER THE GSP FOR MERCHANDISE ENTERED
OR WITHDRAWN FROM WAREHOUSE FOR CONSUMPTION ON OR AFTER JULY
1, 1999, HOWEVER, CUSTOMS WILL NOT PROCESS THESE CLAIMS AS
DUTY-FREE UNDER THE GSP ON OR AFTER JULY 1, 1999. DUTIES
AT THE NORMAL-TRADE-RELATIONS (NTR) RATE MUST BE DEPOSITED,
OR A CLAIM MAY BE MADE UNDER ANOTHER PREFERENTIAL TRADE
PROGRAM FOR WHICH THE MERCHANDISE QUALIFIES (FOR EXAMPLE,
THE ANDEAN TRADE PREFERENCE ACT, THE CARIBBEAN BASIN
ECONOMIC RECOVERY ACT).

2. IMPORTERS ARE TO BE REMINDED THAT THE TIME OF ENTRY IS
DEFINED DIFFERENTLY FOR VARIOUS TYPES OF ENTRIES (SEE 19
C.F.R. 141.68-69) AND ARE CAUTIONED TO BE PARTICULARLY
MINDFUL OF THE KIND OF ENTRY THAT WILL ALLOW THEM TO AVAIL
THEMSELVES OF THE MOST ADVANTAGEOUS DUTY RATE.

3. WHILE ESTIMATED DUTIES MUST BE DEPOSITED, ALL FILERS WHO
FILE ENTRY SUMMARIES THROUGH THE AUTOMATED BROKER INTERFACE
(ABI) MAY CONTINUE TO FILE USING THE SPI "A" AS A PREFIX TO
THE TARIFF NUMBER FOR ALL ENTRIES THAT WOULD HAVE QUALIFIED
FOR THE GSP IF THE GSP WERE STILL IN EFFECT. THOSE ABI
FILERS WHO WISH TO CONTINUE USING THE SPI "A" WILL HAVE TO
REPROGRAM THEIR SOFTWARE TO ALLOW THE TRANSMISSION OF AN
ENTRY FOR WHICH THEY ARE CLAIMING PREFERENTIAL TARIFF
TREATMENT UNDER THE GSP ALONG WITH THE PAYMENT OF ESTIMATED
DUTIES. CUSTOMS AUTOMATED COMMERCIAL SYSTEM (ACS) WILL BE
REPROGRAMMED TO ACCEPT THE SPI "A" WITH THE PAYMENT OF DUTY.
ALTHOUGH THE REPROGRAMMING BY IMPORTERS IS TO BE STRICTLY
VOLUNTARY, IF THE FILER ELECTS TO DO SO THERE ARE SOME
BENEFITS. ONE BENEFIT OF REPROGRAMMING IS THAT THE ABI
FILER WILL NOT HAVE TO REQUEST IN WRITING A REFUND OF DUTIES
DEPOSITED SHOULD THE GSP BE RENEWED WITH RETROACTIVE EFFECT.
CUSTOMS WILL AUTOMATICALLY REFUND DUTIES DEPOSITED TO THOSE
ABI FILERS. ALSO, ACS WILL PERFORM ITS USUAL EDITS ON THE
INFORMATION TRANSMITTED BY THE ABI FILER, ENSURING THAT GSP
CLAIMS ARE FOR ACCEPTABLE COUNTRY/TARIFF COMBINATIONS
THEREBY ELIMINATING THE NEED FOR STATISTICAL CORRECTIONS.

4. ABI FILERS WHO DO NOT WISH TO REPROGRAM, THOSE WHO DO NOT
USE THE SPI "A" AND ALL NON-ABI FILERS WOULD BE REQUIRED TO
REQUEST, IN WRITING, A REFUND OF DUTIES DEPOSITED TO THE
APPROPRIATE PORT OF ENTRY, IF THE GSP IS RENEWED
RETROACTIVELY.

5. IMPORTERS ARE TO BE ADVISED THAT THEY MAY NOT USE THE SPI "A"
IF THEY INTEND TO LATER CLAIM DRAWBACK BECAUSE CLAIMING BOTH
THE REFUND OF DUTIES DEPOSITED AND DRAWBACK WOULD BE TO
REQUEST A REFUND IN EXCESS OF DUTIES ACTUALLY DEPOSITED.
IMPORTERS WHO ARE UNSURE AS TO WHETHER THEY WILL CLAIM
DRAWBACK ARE ADVISED NOT TO USE THE SPI "A". IF THE GSP IS
RENEWED WITH RETROACTIVE EFFECT, AND THE IMPORTER HAS NOT
CLAIMED DRAWBACK OR ENABLED ANOTHER PERSON TO CLAIM
DRAWBACK, THEN THE IMPORTER MAY REQUEST A REFUND OF DUTIES
DEPOSITED BY WRITING TO THE PORT DIRECTOR AT THE APPROPRIATE
PORT OF ENTRY.

6. REFUNDS ON INFORMAL ENTRIES FILED VIA ABI WITH THE SPI "A"
WILL BE PROCESSED IN ACCORDANCE WITH THE PROCEDURES OUTLINED
ABOVE.

7.WHEN MERCHANDISE IS PRESENTED FOR CLEARANCE ON A BAGGAGE
DECLARATION OR NON-ABI INFORMAL, TRAVELERS AND IMPORTERS
WILL BE ADVISED VERBALLY THAT THEY MAY BE ELIGIBLE FOR A
REFUND OF GSP DUTIES. TRAVELERS/IMPORTERS DESIRING A REFUND
SHOULD REQUEST THE CUSTOMS OFFICER TO ANNOTATE THE RECEIPT OF
PAYMENT TO INDICATE THAT THE MERCHANDISE MAY BE ELIGIBLE FOR
GSP DUTY-FREE TREATMENT. THEN, SHOULD THE GSP BE RENEWED
WITH RETROACTIVE EFFECT, THE TRAVELER/IMPORTER MUST REQUEST
THE GSP DUTY REFUND IN WRITING TO THE PORT DIRECTOR AT THE
APPROPRIATE CUSTOMS PORT OF ENTRY. THE WRITTEN REQUEST FOR
REFUND OF DUTIES DEPOSITED MUST INCLUDE A COPY OF THE
RECEIPT OF PAYMENT.

8. FOR MAIL ENTRIES, SHOULD THE GSP BE RENEWED WITH RETROACTIVE
EFFECT, THE ADDRESSEE ON THE CF 3419A (MAIL ENTRY) MAY
SUBMIT A WRITTEN CLAIM REQUESTING A REFUND OF GSP DUTIES.
THE CLAIM FOR REFUND MUST BE SUBMITTED ALONG WITH A COPY OF
THE CF 3419A TO THE APPROPRIATE INTERNATIONAL MAIL BRANCH
(ADDRESS LISTED ON THE BOTTOM RIGHT HAND CORNER OF THE CF
3419A). IT IS ESSENTIAL THAT A COPY OF THE CF 3419A BE
INCLUDED WITH THE REQUEST, AS THE INFORMATION CONTAINED ON
THE FORM WILL BE THE ONLY RECORD OF THE GSP MERCHANDISE
ENTERED AND PROOF OF PAYMENT OF DUTIES.

9. INQUIRES RELATING TO LEGISLATIVE EFFORTS TO RENEW THE GSP
SHOULD NOT BE DIRECTED TO CUSTOMS. PUBLIC INQUIRIES
REGARDING LEGISLATIVE ACTION TO RENEW THE GSP MAY BE
DIRECTED TO:

HOUSE WAYS AND MEANS COMMITTEE 202-225-6649
SENATE FINANCE COMMITTEE 202-224-4515

FOR SPECIFIC QUESTIONS RELATING TO THE AUTOMATED COMMERCIAL
SYSTEM CONTACT JAMES HALPIN, OFFICE OF INFORMATION TECHNOLOGY,
703-921-7128. QUESTIONS REGARDING TYPES OF ENTRIES AND THEIR
CORRESPONDING TIMES OF ENTRY SHOULD BE REFERRED TO THE ENTRY
BRANCH AT 202-927-0380. FOR GENERAL OPERATIONAL QUESTIONS,
CONTACT:

FORMAL ENTRIES ......... JOHN PIERCE 202-927-1249
INFORMAL ENTRIES ....... JOHN CONSIDINE 202-927-1167
MAIL ENTRIES ........... ROBERT WOODS 202-927-0542
PASSENGER CLAIMS ....... WES WINDLE 202-927-0167

ELIZABETH G. DURANT

CC: EXECUTIVE DIRECTOR, FIELD OPERATIONS
ACTING EXECUTIVE DIRECTOR, FIELD PROGRAMS