On March 15, the International Trade Commission (ITC) released the new 2021 Basic Edition of the U.S. Harmonized Tariff Schedule (USHTS).

What is the Harmonized Tariff Schedule?

The Harmonized Tariff Schedule of the United States (HTS) was enacted by Congress and made effective on January 1, 1989, replacing the former Tariff Schedules of the United States.

The HTS comprises a hierarchical structure for describing all goods in trade for duty, quota, and statistical purposes.

This structure is based upon the international Harmonized Commodity Description and Coding System (HS), administered by the World Customs Organization in Brussels ; the 4- and 6-digit HS product categories are subdivided into 8-digit unique U.S. rate lines and 10-digit non-legal statistical reporting categories.

The new edition of the USHTS covers three “preliminary” updates issued earlier this year:

1. Four-month pause on Section 301 tariffs on goods from the European Union and the United Kingdom – announced on March 4 and effective March 11, 2021.
   1. In a mutual agreement, the United States, United Kingdom and European Union temporarily suspended retaliatory tariffs (15% on civil aircraft and 25% on about 150 tariff lines) for four months starting 12:01 a.m. March 11, and will remain suspended until midnight July 10, 2021. The goal of the tariff suspension is to reach a comprehensive and durable negotiated solution to the Aircraft disputes.
      1. Note: Products entered into foreign-trade zones under privileged foreign status before 12:01 a.m. March 11 will still be subject to the additional duties when entered for consumption.
2. New provision on the USMCA tariff-rate quota for sugar-containing products from Canada.
   1. “Originating goods that last underwent production in Canada shall be eligible for entry under subheading 9823.10.02 regardless of whether they qualify to be marked as a good of Canada pursuant to U.S. law.” In effect since July 1, 2020.
3. Removed an expired provision for certain tariff-rate quotas under the U.S.-Morocco free trade agreement that expired at the end of 2019.

As Green continues to monitor the situation, stay up-to-date on freight and trade news by following us on Facebook, Twitter, and LinkedIn. For continuous updates, make sure to check out our website at greenworldwide.com.

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meet kate rayer

Global Trade Manager, LCHB
Green Worldwide Shipping, LLC