Miscellaneous

MISCELLANEOUS

  • 9A604.x versus USML category IV or EAR99

    QUESTION: The drawing from my customer states that the parts and components I am selling to them are controlled by the CCL.  Is that sufficient to classify in the CCL given the fact that my customer is a renowned manufacturer of ITAR products and has classified the items on the drawings they provided? My parts […]

  • FREE PRODUCT VALUE ON INVOICES

    QUESTION: What is the best practice for commercial invoices to show free product? We are selling product to our customer and providing samples free to charge to assist with subsequent re-sale. The customer is paying off a Letter of Credit (LOC). In order for our customer to get the LOC from the bank, we need […]

  • USPPI SCENARIO

    QUESTION: U.S.-based Company X is producing a product with an international manufacturing supply chain. In the manufacture, one step is done in Europe by Manufacturer 1.  Manufacturer 1 exports the material to Manufacturer 2 in the U.S.  Company X acts as the IOR. Manufacturer 2 performs an additional manufacturing step. This material is then exported […]

  • Selling cloud services to Huawei

    QUESTION: I have some cloud analytics services I would like to sell to Huawei.  I am a US company.  Can I even call Huawei? =========== Answer: First you need to understand if what you are selling is subject to the EAR. Next you need to read the Foreign Direct Product Rule to determine if your […]

  • Customs Clearance

    QUESTION: If our company (Company 1) purchased another company (Company 2) that still has its own IOR number, can our company clear for Company 2 even though we do not have a sales agreement with Company 2? Company 2 is considered a to be a division of our company. =========== Answers: You cannot transact customs […]

  • COO INDICATED ON SHIPPING DOCS

    QUESTION: We have several customers that do not want the COO listed on the customs documents we provide for export. They do however require a certificate of origin that would include multiple countries of origin.  It is my understanding all invoicing should have country of origin listed for each part purchased regardless of the country it is […]

  • UPDATING STATISTICAL NOTES

    QUESTION: Does anyone have any experience with the process to update a statistical note to the HTS? =========== Answer: It depends on what you want to do, but you would start with a submission or request to the appropriate Tariff Affairs Branch of the U.S. International Trade Commission (https://www.usitc.gov/offices/tata) explaining why a modification of the […]

  • DDTC registration

    QUESTION: I am wondering whether we need to look into DDTC registration.  Here’s our potential scenario:                                                                                                                                                                             We are not developing a product to sell into the defense industry, our product is strictly COTS (Commercially- available off the shelf). Our partner we may work with is asking us to sign an attestation form and access a […]

  • SCH B VS. HTS CODES

    QUESTION: We use a 3rd party supplier in the US to ship internal orders to our international locations. On the Pro Forma, they indicate a US HTS Number, yet shouldn’t it be the Schedule B?  Also, we are often contacted by the broker to further provide EU HS codes for our EU locations.  Could we […]

  • Drone killing drones

    QUESTION: Where would the most likely classification be for plastic components that are sold to a company that will use these components to assemble into a drone killing drone UAV product.  These plastic parts are used for the exterior assembly of the drone, but the parts do not have any technology to aid the drone […]

  • 9A604.x versus USML category IV or EAR99

    QUESTION: The drawing from my customer states that the parts and components I am selling to them are controlled by the CCL.  Is that sufficient to classify in the CCL given the fact that my customer is a renowned manufacturer of ITAR products and has classified the items on the drawings they provided? My parts […]

  • CMMC Compliance

    QUESTION: Customers are sending notice our company is to be compliant with Section 889(a)(1)(A) and will be asked to certify such compliance. Question: Should our company be surveying our Suppliers for the same compliance? %%%%%%%%%% ANSWERS: This is usually associated with Defense Contractors and is a requirements of defense contractor acquisition agreements. So, if you […]