Many imported goods are subject to import duty.
Customs and import duties are taxes applied to internationally traded goods. In the United States, the United States International Trade Commission (USITC) is responsible for administering trade tariffs and customs duties concerning goods imported into the United States. Certain countries, particularly developing countries, receive favorable trading terms from the United States whereby their goods are not subject to import duties. These countries include Afghanistan, Sierra Leone and Cambodia.
Canadian Automotive Products
The U.S. Automotive Products Trade Act allows Canadian automotive products to be imported into the United States free of import duty. Canadian automotive components must be ordered by a U.S. automobile manufacturer for use in the manufacture of finished automobiles. To qualify as an automobile manufacturer under the terms of this section of the Harmonized Tariff Schedule of the United States, the purchaser must have manufactured more than 15 automobiles in the previous 12 months. It must also have the capacity to manufacture no less than 10 vehicles per week. If automotive parts are imported into the United States but are not subsequently used in the manufacture of automobiles, duty must be paid to the United States Customs Service (USCS) or the articles must be given up to the USCS for supervised destruction.
Animal Products Including Human Hair
Many animal-based products do not attract customs duty when they are imported into the United States. These products include animal guts, stomachs and bladders that are to be used for sausage casings. Imports of human hair attract duty at the rate of 1.4 percent of the value of the import. Certain countries, such as Mexico, are subject to a special rate whereby imported human hair is free of import duty. However, imports of human hair from other countries, such as North Korea and Cuba, which to not enjoy normal trading relationships with the United States, attract duty at a rate of 20 percent.
Customs Duties on Overcoats for Men and Boys
Most articles of clothing attract customs duties when they are imported into the United States. Overcoats, capes, cloaks and anoraks made of cotton attract import duty of 15.9 percent if they originate in countries with normal trading relations with the United States. If the items originate in North Korea or Cuba, a duty of 50 percent is applied. If the items are manufactured using man-made fibers and are more than 25 percent (by weight) leather, the duty charged on imports is set at 5.6 percent for goods originating in most countries; again, those originating in Cuba or North Korea attract an increased rate of 35 percent.
