19 Cfr 146.66

wwoods2 on DSK1DXX6B1PROD with CFR

§ 146.66

19 CFR Ch. I (4–1–11 Edition)

The total zone value shall be that price
actually paid or payable to the zone
seller in the transaction that caused
the merchandise to be transferred from
the zone. Where there is no price paid
or payable, the total zone value shall
be the cost of all materials and zone
processing costs related to the merchandise transferred from the zone.
(2) Dutiable value. The dutiable value
of merchandise provided for in this section shall be the price actually paid or
payable for the merchandise in the
transaction that caused the merchandise to be admitted into the zone, plus
the statutory additions contained in
section 402(b)(1) of the Tariff Act of
1930, as amended by the Trade Agreements Act of 1979 (19 U.S.C. 1401a(b)(1)),
less, if included, international shipment and insurance costs and U.S. inland freight costs. If there is no such
price actually paid or payable, or no
reasonable representation of that cost
or of the statutory additions, the dutiable value may be determined by excluding from the zone value any included zone costs of processing or fabrication, general expenses and profit
and the international shipment and insurance costs and U.S. inland freight
costs related to the merchandise transferred from the zone. The dutiable
value of recoverable waste or scrap provided for in § 146.42(b) will be the price
actually paid or payable to the zone
seller in the transaction that caused
the recoverable waste or scrap to be
transferred from the zone.
(3) Allowance. An allowance in the dutiable value of zone merchandise may
be made by the port director in accordance with the provisions of subparts B
and C of part 158 of this chapter, for
damage, deterioration, or casualty
while the merchandise is in the zone.
(c) Liquidation; extension to update
cost data. When the declared value or
values of the merchandise are based on
an estimate or estimates, the person
making entry may request an extension of liquidation pending the presentation of updated or actual cost data. A
request for an extension may be granted at the discretion of the port director.
[T.D. 86–16, 51 FR 5049, Feb. 11, 1986, as
amended by T.D. 91–79, 56 FR 46372, Sept. 12,
1991; T.D. 95–35, 60 FR 20632, Apr. 27, 1995]

§ 146.66 Transfer of merchandise from
one zone to another.
(a) At the same port. A transfer of
merchandise to another zone with a
different operator at the same port (including a consolidated port) will be by
a licensed cartman or a bonded carrier
as provided for in § 112.2(b) of this chapter or by the operator of the zone for
which the merchandise is destined
under an entry for immediate transportation on Customs Form 7512 or other
appropriate form with a Customs Form
214 filed at the destination zone. A
transfer of merchandise between zone
sites at the same port having the same
operator may be made under a permit
on CF 6043 or under a local control system approved by the port director
wherein any loss of merchandise between sites will be treated as if the loss
occurred in the zone.
(b) At a different port. A transfer of
merchandise from a zone at one port of
entry to a zone at another port will be
by bonded carrier under an entry for
immediate transportation on Customs
Form 7512. All copies of the entry must
bear a notation that the merchandise
is being transferred to another zone
designated by its number.
(c) Forwarding of merchandise history;
documentation. When merchandise is
transferred under the provisions of this
section, the operator of the transferring zone shall provide the operator of
the destination zone with the documented history of the merchandise
being transferred.
(1) The following documentation
must accompany merchandise maintained under a lot inventory control
system:
(i) A copy of the original Customs
Form(s) 214 with accompanying invoices for admission of the merchandise and all components thereof;
(ii) A copy of any Customs Form 214
filed subsequent to admission to
change the status of the merchandise
or its components; and
(iii) A copy of any Customs Form 216
to manipulate or manufacture the merchandise.
(2) The following documentation
must accompany merchandise not
under a lot system, and not manufactured in a zone:

116

VerDate Mar<15>2010

11:22 May 24, 2011

Jkt 223060

PO 00000

Frm 00126

Fmt 8010

Sfmt 8010

Y:\SGML\223060.XXX

223060

wwoods2 on DSK1DXX6B1PROD with CFR

U.S. Customs and Border Protection, DHS; Treasury
(i) A copy of the original Customs
Form(s) 214 with accompanying invoices for admission of the merchandise as attributed under the particular
zone inventory method;
(ii) A copy of any Customs Form 214
filed subsequent to admission to
change the status of the merchandise
as attributed under the particular zone
inventory method; and
(iii) A copy of any Customs Form 216
to manipulate the merchandise as attributed under the particular zone inventory method.
(3) If the documents specified in paragraph (c)(2) of this section are not presented, the operator of the transferring
zone shall submit the following:
(i) A statement of the zone value, dutiable value, quantity, description,
unique identifier, and zone status
(showing any changes of status after
admission and whether the merchandise was manipulated so as to change
its tariff classification) of all the merchandise in the shipment covered by
the transportation entry; and
(ii) A certification that the statement in paragraph (c)(3)(i) of this section, is true and that the information
contained therein is contained in the
inventory control and recordkeeping
system of the transferring zone.
(4) The following documentation
must accompany merchandise not
under a lot system, but manufactured
in a zone:
(i) A statement by the transferring
zone operator of the zone value, dutiable value, quantity, description,
unique identifier, and zone status of all
the merchandise (and components
thereof, where applicable) covered by
the transportation entry. The statement will also show any change in zone
status in the transferring zone and
whether the merchandise has been
manufactured or manipulated in the
zone so as to change its tariff classification; and
(ii) A certification by the operator of
the transferring zone that the statement in paragraph (c)(4)(i) of this section is true and the information therein is contained in the inventory control
and recordkeeping system of the zone.
(5) The operator of the transferring
zone shall transmit the historical documentation of the merchandise to the

§ 146.67

receiving zone within 10 working days
after it has been delivered to the bonded carrier for transportation. The documentation will be referenced to the I.T.
number covering the merchandise.
(d) Arrival at destination zone. Upon
arrival of the merchandise at the destination zone, it will be admitted under
the procedure provided for in § 146.32,
except that no invoice or Customs examination will be required. When the
historical documentation is received,
the operator of the destination zone
shall associate it with the Customs
Form 214 for admission of the merchandise and incorporate that information
into the zone inventory control and
recordkeeping system.
[T.D. 86–16, 51 FR 5049, Feb. 11, 1986, as
amended by T.D. 94–81, 59 FR 51497, Oct. 12,
1994]

§ 146.67 Transfer of merchandise for
exportation.
(a) Direct exportation. Any merchandise in a zone may be exported directly
therefrom (without transfer into Customs territory) upon compliance with
the procedures of paragraph (b) of this
section.
(b) Immediate exportation. Each transfer of merchandise to the Customs territory for exportation at the port
where the zone is located, will be made
under an entry for immediate exportation on Customs Form 7512. The person making entry shall furnish an export bond on Customs Form 301 containing the bond conditions provided
for in § 113.62 of this chapter.
(c) Transportation and exportation.
Each transfer of merchandise to the
Customs territory for transportation
to and exportation from a different
port, will be made under an entry for
transportation and exportation on Customs Form 7512. The bonded carrier
will be responsible for exportation of
the merchandise in accordance with
§ 18.26 of this chapter.
(d) Textiles and textile products. Textiles and textile products which have
been changed as provided for in
§ 146.63(d) may be exported and returned to Customs territory for
warehousing provided the entry for
warehouse is endorsed by the port director to show that the merchandise

117

VerDate Mar<15>2010

11:22 May 24, 2011

Jkt 223060

PO 00000

Frm 00127

Fmt 8010

Sfmt 8010

Y:\SGML\223060.XXX

223060