Importers and exporters of softwood lumber products
should be aware of a possible avenue of excluding merchandise from the softwood
lumber antidumping (AD) and countervailing (CVD) duty orders. This would
involve re-classifying the imported merchandise under a different tariff classification
in order to exclude it from the scope of the AD and CVD orders.
This approach requires reviewing whether the imported
product is properly classifiable under one of the HTS tariff headings that
are listed in the AD and CVD orders. If the merchandise can be re-classified
to a tariff provision that is not listed in the orders, then the merchandise
might be excluded from the assessment of AD and CVD duties. However, it is
recommended that a binding ruling be obtained from Customs to confirm any
reclassification of an imported softwood lumber product.
For example, if the imported item is a used
softwood lumber product and is being classified under HTS heading 4407.10,
it may be possible to reclassify the product under HTSUS 4401.30.40 as wood,
waste and scrap. HTS 4401.30.40 is not one of the tariff provisions listed
in the AD and CVD orders as being subject to the orders. A Customs ruling
holding that the softwood lumber product in issue is classifiable under HTSUS
4401.30.40 could very well mean that the product is excluded from the orders.
However, this would have to be confirmed with Commerce even if a favorable
ruling is obtain from Customs.
Within the last year, certain importers of used railroad
ties filed a brief with Commerce to exclude the ties from the AD and CVD orders,
alleging that the ties were probably classifiable under HTSUS 4401.30.40.
Commerce didn’t deny this claimed classification, but suggested that the importer
apply for a ruling with Customs. Thus, Commerce left the door open for possible
The Law Offices of George R. Tuttle, PC, specialize
in the area of antidumping, customs, and international trade law. If you
have any questions regarding this newsletter, please email Steve Spraitzar
at firstname.lastname@example.org or contact him
by telephone at (415) 288-0427. You may also contact George R. Tuttle
at email@example.com or by phone at
Spraitzar and George Tuttle are attorneys with the Law Offices
of George R. Tuttle in San Francisco. The information in this
article is general in nature and is not intended to constitute
legal advice or to create an attorney-client relationship with
respect to any event or occurrence, and may not be considered