Increase in Airline storage Fees
Airlines have started to increase storage fees and reduced the amount of free time an import is allowed to sit in storage before collecting fees. The standard free time before storage fees are incurred is now between 24-48 hours. This means that it’s even more important to notify your Dietl representative at least a week in advance of shipment departure to make sure the clearance is organized, and that trucking has been scheduled for immediate collection. If shipments arrives on one a Thursday or Friday and is not able to be collected until the weekend, additional fees may apply.
Change in classification for Chapter 97 Works of Art, Collectors' Pieces and Antiques
Effective January 27th, 2022, US Customs will update the itemized classification for artworks under Chapter 97 in the harmonized tariff code.
Why is this important? Because Dietl will need this information on your customs Invoice in order to process the customs clearance on any Imports entering the U.S.
The new system of classifications' intent is to distinguish the age range of an artwork as being less than, or greater than 100 years old.
In the past, one would declare a painting of any age with the code 9701.100000
• Now, painting greater than 100 years old will be: 9701.210000
• A painting less than 100 years old will be: 9701.910000
In the past, one would declare an engraving or lithograph of any age with the code 9702.000000
• Now, an engraving or lithograph greater than 100 years old will be: 9702.100000
• An engraving or lithograph less than 100 years old will be: 9702.900000
In the past, one would declare a sculpture of any age with the code 9703.000000
• Now, a sculpture greater than 100 years old will be: 9703.100000
• A sculpture less than 100 years old will be: 9703.900000
Antiques (9706.000) will still be classified as an object over 100 years old. The new classification system will in addition record if an antique is less than or greater than 250 years old.
In the past, one would declare an antique that was simply older than 100 years as: 9706.000000
• Now, an antique that is greater than 250 years old will be: 9706.100000
• An antique less than 250 years old will be: 9706.900000This update will not affect the current duties on artworks entering the U.S.. Artworks originating from mainland China are still accessed a 7.5% Duty
Please make sure to state the age range of the artwork in regards to these new classifications on your customs invoice.
You may say less than or more than 100 years old, and for antiques please state less than or more than 250 years old.
If you have any questions, please contact your Dietl representative.
US Duties on Photography From the UK and Germany Temporarily Suspended
The European Union and the United States agreed on the mutual suspension for four months of the tariffs related to the World Trade Organization (WTO) Aircraft disputes. The suspension will cover all tariffs both on aircraft as well as on non-aircraft products. The suspension is effective for products of the EU entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. Eastern Standard Time on March 11, 2021 and before 12:01 a.m. Eastern Standard Time on July 11, 2021. The suspension is effective for products of the UK on imports, or warehouse withdrawals for consumption, on or after 12:01 a.m. Eastern Standard Time on March 4, 2021 and before 12:01 a.m. eastern standard time on July 4, 2021. Please note the difference in dates for the EU and UK suspensions. This suspension will temporarily remove the 25% Duty that was applied to contemporary photographs and lithographs from Germany and the United Kingdom that took effect on October 18th, 2019.
4911.91.40- Pictures, designs and photographs, excluding lithographs on paper or paperboard, printed not over 20 years at time of importation
4911.91.20- Lithographs on paper or paperboard, not over 0.51 mm in thickness, printed not over 20 years at time of importation
4911.91.30- Lithographs on paper or paperboard, over 0.51 mm in thickness, printed not over 20 years at time of importation
UPDATED: Exceptions granted on duties for artwork of Chinese origin
Mainland Chinese Artworks On August 31, 2020, the Office of the United States Trade Representative (“USTR”) announced extensions for certain exclusions from the China 301 List 4 tariffs (the $300 billion trade action) set to expire of September 1, 2020. The extensions will run through December 31, 2020. Unless extended under the current action or prior actions, exclusions will expire on their previously scheduled expiration date.
The product exclusion extensions announced in this notice will apply as of September 1, 2020, and extend through December 31, 2020
Products included in this extension are:
(85) Paintings, drawings or pastels, each executed entirely by hand (the foregoing other than drawings of heading 4906 and other than hand-painted or hand-decorated manufactured articles), each measuring not more than 300 cm by not more than 2,000 cm (described in statistical reporting number 9701.10.0000)
Products not yet included that we hope to see added soon: Sculpture, Photography, Antiques, Collages, Engravings, Prints and Lithographs.
Please contact your Dietl representative if you have any questions. We will continue to advise our clients as more information is provided.
Exceptions granted on duties for artwork of Chinese origin, new Tariffs will be imposed on artworks of Hong Kong origin
7/20/2020Mainland Chinese Artworks On Friday July 17th, the US Trade Representative’s office provided guidance and authority to CBP to allow Section 301 exclusions to apply to artworks of Chinese origin that were Dutiable at a rate of 7.5% upon entry into the United States.
These exceptions include:
9701.10.0000 Paintings, Drawings and Pastels
9701.90.0000 Collages And Similar Decorative Plaques
9702.00.0000 Original Engravings, Prints And Lithographs
9703.00.0000 Original Sculptures And Statuary, In Any Material.
NOT INCLUDED: Photography
Pictures, designs and photographs except for lithographs not over 20 years old classified under 4911.91 are still subject to Section 301 dutyThese exceptions are set to expire on September 1st, 2020 as per the Federal Register notice published on 26 June. The US Trade Representative’s office is considering a possible extension for up to 12 months of exclusions granted so far. Dietl recommends that those parties who utilize these exclusions that are to expire on 1 September take advantage of the opportunity to comment to the USTR through the public docket at https://comments.ustr.gov/s/. Hong Kong Artworks
On July 14th the President of the United States signed an executive order normalizing trade between the U.S. and Hong Kong, removing its preferred status.
Within 15 days of the date of the President’s Executive Order changing the relationship of Hong Kong relative to the US, it is likely that Section 301 and any other trade sanctions including Section 232, anti-dumping and counter-vailing duties that apply to China will apply to Hong Kong as well.
This will mean artworks of Hong Kong origin will be dutiable at a rate of 7.5%, the same as mainland Chinese works of art. We are awaiting an announcement and HTSUS updates from CBP, the US Trade Representative’s office (USTR), the International Trade Commission (ITC) and other agencies regarding these matters. It is highly likely that no public comments will be taken.
It cannot be determined at this time but is highly likely that any Section 301 exclusions granted for artworks of Chinese origin will also be extended to the same types of art of Hong Kong origin.
Please contact your Dietl representative if you have any questions. We will continue to advise our clients as more information is provided
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