EN AGOA - Taking Advantage of AGOA Handicrafts Workshop July 2012

7/31/2019 EN AGOA - Taking Advantage of AGOA Handicrafts Workshop July 2012

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West Africa Trade HubAbidjan, Cte dIvoireJuly 3, 2012

Understanding AGOA and

complying with ExportDocumentation

Requirements


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Objectives

Overview of AGOA

Handicrafts Benefits

Requirements to enter the U.S.market

Export Documentation


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AGOA In brief Most comprehensive US unilateral preference program.

Signed into law May 18, 2000 as part of the Trade & Development Act of 2000.

Includes over 6,400 products for duty-free treatment 4600 of these products under the US Generalized System of Preferences (GSP)

additional 2000 products now included under AGOA that are import sensitive

under the GSP

AGOA III extends legislation beyond its current expirationdate of 2008 to 2015.

the 3rd

Country Fabric Provision extended through October 2012

Directs the President to finance the creation of 3 USAIDfunded Trade Hubs to serve West, East and South Africa.


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AGOA Practical GuideCountry A

(Not AGOA-eligible)

Similar characteristics(quality, price)

$ 2 FOB

UnitedStates

Export under the Normal TradeRelations (NTR)

From the HTS Code of theproduct, the duty can carry

from 5 to 32% of the productvalue

Under AGOA, it is duty-free0%

Price (underNTR)

$ 2.1 to $

2.64

Cte dIvoire(AGOA-eligible)

Export under AGOA

Price (underAGOA) =

$ 2


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Understanding the HarmonizedTariff Schedule


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Example of a product code (HS)(Leather Handbags)

Tariff under GSP = 0% (duty-free)

HTS # Description Rates of DutyCol 1 Special

Special Tariff:A = SGPD = AGOA

www.usitc.gov


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AGOA Rules of Origin

Non-Textile Goods (GSP)


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Effective Date January 1, 1976

References General Note 4, 19 CFR 10.171-178a, 19 U.S.C.

2461-2467Special Program Indicator A, A+, A*

Rules of Origin 35% Value Added + Substantial Transformation

Allowable U.S. Value Content U.S. materials and processing costs may NOT counttoward 35%

Documentation Needed to MakeClaim Knowledge (Form A no longer required)

Verification Notification Importer

Determination Notification Importer, Exporter if provided documentation to CBP

Transit/Transshipment May not enter into commerce of a 3rd country

(19 CFR 10.175)Post-Importation Claims Post Entry Amendment, 19 U.S.C. 1514

Merchandise Processing Fee(MPF)

Exempt for products of least-developed beneficiarydeveloping countries (LDBDCs)

Expiration Date July 31, 2013

GSP Summary

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GSP Special Program Indicator

A = GSP-eligible tariff linesA+ = GSP-eligible tariff lines if imported by

Least Developed Beneficiary Developing

Countries (LDBDCs)A* = GSP-eligible tariff lines with specific

country exclusions

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GSP Claim Requirements (cont.)

To qualify for duty-free treatment under GSP,goods must:

Meet the 35% value-added rule

May be met using a double substantialtransformation

Be imported directly

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Documentation for exporting to theU.S.

Non-Textiles

Commercial Invoice

Certificate of Origin(no longer requiredsince 1994)

Packing List
http://localhost/var/www/apps/conversion/current/tmp/scratch7360/Commercial%20Invoice%20Textiles%20Apparel.pdfhttp://localhost/var/www/apps/conversion/current/tmp/scratch7360/New%20AGOA%20Textile%20Certificate%20of%20Origin%202008.pdfhttp://localhost/var/www/apps/conversion/current/tmp/scratch7360/New%20AGOA%20Textile%20Certificate%20of%20Origin%202008.pdfhttp://localhost/var/www/apps/conversion/current/tmp/scratch7360/New%20AGOA%20Textile%20Certificate%20of%20Origin%202008.pdfhttp://localhost/var/www/apps/conversion/current/tmp/scratch7360/New%20AGOA%20Textile%20Certificate%20of%20Origin%202008.pdfhttp://localhost/var/www/apps/conversion/current/tmp/scratch7360/New%20AGOA%20Textile%20Certificate%20of%20Origin%202008.pdfhttp://localhost/var/www/apps/conversion/current/tmp/scratch7360/Commercial%20Invoice%20Textiles%20Apparel.pdfhttp://localhost/var/www/apps/conversion/current/tmp/scratch7360/Commercial%20Invoice%20Textiles%20Apparel.pdf


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Binding Ruling from CBP

Provides Certainty

Ruling is Free U.S. Customs & Border ProtectionOffice of Regulations & RulingsCommercial Rulings Division

1300 Pennsylvania Ave.

Washington, DC 20229

Questions? Write to:


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AGOA Information on the Internet

AGOA Information: www.AGOA.gov

Duty Rates (HTS): www.USITC.gov

Implementation Guide: www.USTR.gov U.S. Customs &

Border Protection: www.CBP.gov


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Find out more

www.watradehub.com

Subscribe to Tradewinds, monthly

e-newsletter: [email protected]

THANK YOU
http://www.watradehub.com/mailto:[email protected]:[email protected]://www.watradehub.com/

EN AGOA - Taking Advantage of AGOA Handicrafts Workshop July 2012

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