[Federal Register Volume 61, Number 214 (Monday, November 4, 1996)]
[Proposed Rules]
[Pages 56645-56647]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-28170]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF THE TREASURY
Customs Service
19 CFR Parts 10, 18 and 114
RIN 1515-AC03
Bilateral Carnet Agreement Between the American Institute in
Taiwan and the Taipei Economic and Cultural Representative Office
AGENCY: U.S. Customs Service, Department of the Treasury.
ACTION: Notice of proposed rulemaking.
-----------------------------------------------------------------------
SUMMARY: This document proposes amendments to those Customs Regulations
which apply to carnets to reflect a recently signed bilateral agreement
between the Taipei Economic and Cultural Representative in the United
States (TECRO) and the American Institute in Taiwan (AIT). This
agreement established a TECRO/AIT Carnet for the temporary admission of
goods, commercial samples and professional equipment.
DATES: Comments must be received on or before January 3, 1997.
ADDRESSES: Comments (preferably in triplicate) may be submitted to the
Regulations Branch, Office of Regulations and Rulings, U.S. Customs
Service, Franklin Court, 1301 Constitution Avenue, NW., Washington, DC
20229, and may be inspected at Franklin Court, 1099 14th Street, NW.,
Washington, DC.
FOR FURTHER INFORMATION CONTACT:
[[Page 56646]]
Sharon Goodson or Dennis Sequeira, International Organizations and
Agreements Division, 202-927-0971.
SUPPLEMENTARY INFORMATION:
Background
A carnet is an international customs document, backed by an
internationally valid guarantee, which may be used for the entry of
articles under various customs procedures such as temporary importation
and transportation in bond. The carnet is used in place of the usual
national customs documentation and guarantees the payment of duties
(including taxes and associated penalties) which may become due if the
carnet requirements are not satisfied. The existence of a single
document rather than numerous national documents facilitates
international commerce.
The carnet guarantee is based on chains of national guaranteeing
associations established in the countries accepting the carnets. The
guaranteeing association is jointly and severally liable with the
carnet holder for payment of the sums due in the event of noncompliance
with the conditions or the procedures for which the carnet is used.
Benefits of the TECRO/AIT Carnet
In recent years, trade between the United States and Taiwan has
increased. It is expected that this trend will continue, and that such
trade can be facilitated through the use of carnets. However, Taiwan is
currently ineligible to accede to the ATA Carnet Convention, under
which carnets facilitate trade among more than fifty contracting
parties. Thus, Taiwan has sought access to the carnet facility through
the recently concluded TECRO/AIT Carnet Agreement. This agreement was
negotiated pursuant to the authority contained in 22 U.S.C. 3305.
A Notice informing the public that Customs is accepting
applications from parties desiring to undertake the obligation of an
issuing and guaranteeing association for the TECRO/AIT carnet agreement
that is the subject of this Notice of Proposed Rulemaking is also being
published in this issue of the Federal Register.
Comments
Before adopting this proposal, consideration will be given to any
written comments (preferably in triplicate) that are timely submitted
to Customs. All such comments received from the public pursuant to this
notice of proposed rulemaking will be available for public inspection
in accordance with the Freedom of Information Act (5 U.S.C. 552),
Sec. 1.4, Treasury Department Regulations (31 CFR 1.4), and
Sec. 103.11(b), Customs Regulations (19 CFR 103.11(b)), on regular
business days between the hours of 9:00 a.m. and 4:30 p.m., at the
Regulations Branch, 1099 14th Street, NW., Suite 4000, Washington, DC.
Regulatory Flexibility Act
Insofar as the proposed amendment is intended to facilitate
international trade and remove some existing impediments to the conduct
of business, pursuant to the provisions of the Regulatory Flexibility
Act (5 U.S.C. 601 et seq.), it is certified that the amendment, if
adopted, will not have a significant economic impact on a substantial
number of small entities. Accordingly, it is not subject to the
regulatory analysis or other requirements of 5 U.S.C. 603 and 604.
Executive Order 12866
The proposed amendment does not meet the criteria for a
``significant regulatory action'' under E.O. 12866.
Drafting Information
The principal author of this document was Peter T. Lynch,
Regulations Branch, Office of Regulations and Rulings, U.S. Customs
Service. However, personnel from other offices participated in its
development.
List of Subjects
19 CFR Part 10
Customs duties and inspection, Exports, Reporting and recordkeeping
requirements.
19 CFR Part 18
Customs duties and inspection, Common carriers, Surety bonds,
Exports.
19 CFR Part 114
Customs duties and inspection, Exports, Trade agreements.
Proposed Amendments to the Regulations
It is proposed to amend Parts 10, 18 and 114 of the Customs
Regulations (19 CFR parts 10, 18 and 114) as set forth below:
PART 10--ARTICLES CONDITIONALLY FREE, SUBJECT TO A REDUCED RATE,
ETC.
1. The general authority citation for Part 10 continues to read as
follows:
Authority: 19 U.S.C. 66, 1202 (General Note 20, Harmonized
Tariff Schedule of the United States), 1321, 1481, 1484, 1498, 1508,
1623, 1624, 3314.
* * * * *
2. It is proposed to amend Sec. 10.31 by adding in paragraphs
(a)(1) and (a)(2) the phrase ``or a TECRO/AIT carnet'' immediately
after the words ``A.T.A. carnet''.
3. It is proposed to amend Sec. 10.39(d)(2) by adding the words
``or Agreement'' immediately after the phrase ``in the Convention''.
PART 18--TRANSPORTATION IN BOND AND MERCHANDISE IN TRANSIT
1. The general authority citation for Part 18 is revised to read as
follows:
Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1202 (General Note 20,
Harmonized Tariff Schedule of the United States), 1551, 1552, 1553,
1624.
* * * * *
2. It is proposed to amend Sec. 18.1 (a)(3) by adding the phrase
``or TECRO/AIT'' immediately after the abbreviation ``A.T.A.'' each
time it appears.
3. It is proposed to amend Sec. 18.8 (a)(3) by adding the phrase
``or TECRO/AIT'' immediately after the abbreviation ``A.T.A.'' each
time it appears.
PART 114--CARNETS
1. The authority citation for Part 114 is revised to read as
follows:
Authority: 19 U.S.C. 66, 1202 (General Note 20, Harmonized
Tariff Schedule of the United States), 1623, 1624.
2. It is proposed to amend Sec. 114.1 (b) and (c) by adding the
phrase ``or bilateral Agreement'' immediately after the words ``Customs
Convention'' each time they appear, and by adding a new paragraph (g)
to read as follows:
Sec. 114.1 Definitions.
* * * * *
(g) TECRO/AIT Carnet. ``TECRO/AIT carnet'' means the document
issued pursuant to the Bilateral Agreement between the Taipei Economic
and Cultural Representative Office (TECRO) and the American Institute
in Taiwan (AIT) to cover the temporary admission of goods.
4. It is proposed to amend Sec. 114.2 by revising the section
heading and the introductory paragraph and by adding a new paragraph
(d) to read as follows:
Sec. 114.2 Customs Conventions and Agreements.
The regulations in this part relate to carnets provided for in the
following Customs Conventions and Agreements.
* * * * *
(d) Agreement Between The Taipei Economic and Cultural
Representative Office in the United States and The American Institute
in Taiwan on
[[Page 56647]]
TECRO/AIT Carnet for the Temporary Admission of Goods (hereinafter
referred to as the Agreement).
5. It is proposed to amend Sec. 114.3 (a) introductory text and
(a)(2) by adding the words ``or Agreement'' immediately after the word
``Convention'' each time it appears.
6. It is proposed to amend Sec. 114.11 by adding the words ``or
Agreement'' immediately after the word ``Convention'' each time it
appears.
7. It is proposed to amend Sec. 114.22 by redesignating paragraph
(d) as paragraph (e) and adding a new paragraph (d) to read as follows:
Sec. 114.22 Coverage of carnets.
* * * * *
(d) TECRO/AIT Carnet--(1) Use. The TECRO/AIT carnet is acceptable
for the following two categories of goods to be temporarily imported,
unless importation is prohibited under the laws and regulations of the
United States:
(i) Professional equipment; and
(ii) Commercial samples and advertising material imported for the
purpose of being shown or demonstrated with a view to soliciting
orders.
(2) Issue and use. (i) Issuing associations shall indicate on the
cover of the TECRO/AIT carnet the customs territory in which it is
valid and the name and address of the guaranteeing association.
(ii) The period fixed for re-exportation of goods imported under
cover of a TECRO/AIT carnet shall not in any case exceed the period of
validity of that carnet.
* * * * *
8. It is proposed to amend Sec. 114.23 by adding a new paragraph
(c) to read as follows:
Sec. 114.23 Maximum period.
* * * * *
(c) TECRO/AIT carnet. A TECRO/AIT carnet shall not be issued with a
period of validity exceeding one year from the date of issue. This
period of validity cannot be extended and must be shown on the front
cover of the carnet.
9. It is proposed to amend Sec. 114.24 by adding the phrase ``or
TECRO/AIT'' immediately after the abbreviation ``A.T.A.''.
10. It is proposed to amend Sec. 114.25 by adding the phrase ``or
TECRO/AIT'' immediately after the abbreviation ``A.T.A.''.
11. It is proposed to amend Sec. 114.26 (a) and (b) by adding the
phrase ``or TECRO/AIT'' immediately after the abbreviation ``A.T.A.''
each time it appears.
12. It is proposed to amend Sec. 114.31(b) by adding the phrase
``or TECRO/AIT'' immediately after the abbreviation ``A.T.A.''.
13. It is proposed to amend Sec. 114.32 by adding the phrase ``or
TECRO/AIT'' immediately after the abbreviation ``A.T.A.'' the first
time it appears and by adding the phrase ``or TECRO/AIT Agreement''
immediately after the phrase ``A.T.A. Convention''.
14. It is proposed to amend Sec. 114.33 by adding the words ``or
Agreement'' immediately after the word ``Convention''.
15. It is proposed to amend Sec. 114.34 by adding, in the heading
and text of paragraph (b), the phrase ``or TECRO/AIT'' immediately
after the abbreviation ``A.T.A.'' each time it appears.
Approved: October 2, 1996.
George J. Weise,
Commissioner of Customs.
Timothy E. Skud,
Acting Deputy Assistant Secretary of the Treasury.
[FR Doc. 96-28170 Filed 11-1-96; 8:45 am]
BILLING CODE 4820-02-M
