To our valued clients:
You may be aware of recent challenges being brought against the collection of certain additional tariffs on Chinese merchandise commonly referred to as “Section 301”. Specifically these challenges are being brought against items on List 3 and List 4A.
Some importers have asked whether they should immediately begin filing protests within 180 days of the liquidation of all entries on which List 3 or 4A tariffs have been paid. (These would be outside the scope of any filings an attorney may have made). It should be noted however the Court of International Trade (CIT) MAY have the authority to require Customs (CBP) to issue refunds on liquidated entries in a case of this nature, even if no protest was ever filed. In other words filing a protest is not required by law. Attorneys working on these court challenges who have filed law suits in the Court of International Trade are working directly with the Department of Justice (DOJ) to resolve any doubt as to the court’s authority to order refunds on liquidated entries if the case is ultimately successful. This process may take several weeks or longer. Until the DOJ’s position is confirmed, importers should consider filing protective protests on liquidated entries. This would be the most conservative approach to prevent finality of liquidation. Importers may consider requesting CBP to extend liquidation on affected entries that are currently unliquidated however; there is no guarantee Customs will grant the extension. We hold the opinion that Customs will be inundated with such requests and may not act timely allowing entries to liquidate with the additional 301 duties being paid.
It should be noted in the event the court challenges are unsuccessful and it is determined the additional Section 301 duties on Lists 3 and 4A are valid, there will be no refunds, regardless of a protest having been filed.
If you are interested in pursuing this course of action, kindly contact your Alba Wheels Up representative.
- Posted by Joe DeSilvetri
- On October 22, 2020
- 0 Comments