When an item is supplied free of charge or at a reduced value, the value of the item and the cost of extra transportation in supplying it are both added to the final price paid or payable in order to correctly value the item for US Customs. What if the item itself is not free […]
Our company has hired a global procurement consultant to help find suppliers and savings by purchasing overseas. They will be paid a percentage of the actual savings for any new supplier they set up for us for the next 3 years. Will the payment to the consultant for the savings be an assist or a […]
We use the transaction method of appraisement of imported merchandise. We also provide tooling assists to some foreign suppliers. The article 152.103 of CFR states that the apportionment can be done 1) over the first shipment; 2) the number of units produced up to the time of the first shipment; 3) the entire anticipated production. […]
We’re building a framework around the subject of assists and attempting to create a logical questionnaire that will open discussion and discovery about each department and how they procure components in both actual country sourcing and negotiating price. Does anyone in the membership have such a questionnaire they would be willing to share?
Our company is sending a part for tooling repair to a supplier in China. We own the tooling in the U.S., and are supplying the part for tooling repair free of charge. The tooling that will be repaired is used for production of several hundred different parts that are imported into the U.S. How would […]
I was just informed that a committee is looking at “procuring” some engineering work overseas for product our company manufactures. My initial thoughts are that the Compliance Group needs to be aware of this for reasons of calculating %US content, free trade, etc. We also can do a background check on the company prior to […]
Our purchasing group issues a PO and authorizes the payment of an extra charge for tooling. Our Customs group subsequently declares the tooling against the import entries.
We are sending rough material to Brazil to our joint venture This company is going to machine this material and return to us as finished gears. We are going to retain ownership of this material for the export and import. When exporting we are going to put the cost of the rough material on our […]
If an asset is fully depreciated, and the asset is given to the foreign manufacturer to make product that will be imported back by the sender of the asset, does the US company need declare the assist if the foreign manufacturer paid for all transportation and brokerage costs associated with moving the depreciated asset off […]
We are a US manufacturing company. One of our foreign suppliers will not be able to obtain enough raw material to meet their planned delivery schedule to us. We currently have an abundance of this raw material in stock, and are going to give 10 units of it to that supplier free of charge so […]
We have contracted a company here in the US to manage our IT functions including hardware. (Ownership of our PC’s, Servers etc.) They are now ready to take over these functions in our off shore manufacturing locations. Questions: 1) Can my company export these computers to our manufacturing facilities abroad (become the USPPI??) on behalf […]
As a general rule, our vendors are responsible for all costs associated with producing an item for sale, including costs of fabric, trims and the transportation costs to move those components to their factory for manufacture. However, on occasion, we will agree to pay the costs to air freight the components to vendor’s facility, where […]
