Changes to Liquidations for Imports Subject to Antidumping

To All Yusen Import Customers January 19,2006

Re: Changes to Liquidations for Imports Subject to Antidumping

Dear Valued Customer,

The U.S. Government has changed how they assess antidumping duties at the time of liquidation. While the government has instructed importers and brokers at the time of clearance to show the name of the actual manufacturer of the imported merchandise and deposit antidumping duties based on that manufacturer’s case number and duty rate; at liquidation US Customs will only accept that case number and associated antidumping duty rate if the actual shipper was the manufacturer. If the actual shipper does not have their own antidumping duty rate, the rate being charged will be the one for all others.

What this means is that for all imports subject to antidumping duties that were not exported directly from the manufacturer, the amount of antidumping duty being charged will be much higher than the amount deposited at the time of entry.

What this means for the importation of ball bearings subject to antidumping duties, the amount paid at the time of entry will be significantly lower than what US Customs will charge at the time of liquidation. For example, the all other antidumping duty rate for ball bearings from Japan is 45.83%.

As the U.S. Government has already instituted this policy, you will start to receive Notices of Actions and Liquidation Notices showing increases of duties owed for antidumping entries that were imported as far back as 2002. The Liquidation Notices will add interest to the increased duties being owed.

While there is no recourse for previous entries, your company may want to consider for all antidumping shipments not exported directly from a manufacturer, to have the ‘all other’ duty rate used at the time of entry. This will allow you to know the actual duty being charged for that importation and avoid being charged interest years later when the entry is finally liquidated by US Customs.

If you have further questions regarding this issue please contact either of the following;

Demetrius Jones ph. 770-909-1460

Mark Hogan ph. 630-238-7285